The U.S. Department
of Transportation
Disadvantaged
Business Enterprise (DBE) Program
Administered
by the Idaho Transportation Department |
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Here For a Slideshow! |
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Goals of the DBE Program:
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To
ensure non-discrimination in the award and administration of USDOT-assisted
contracts;
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To
create a level playing field on which DBEs can compete fairly for
USDOT-assisted contracts;
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To
ensure that the DBE Program is narrowly tailored in accordance with
applicable law;
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To
ensure that only firms that fully meet
49 CFR 26 eligibility standards are permitted to participate as
DBEs;
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To
help remove barriers to the participation of DBEs in USDOT-assisted
contracts; and
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To
assist the development of firms that can compete successfully in the
market place outside the DBE Program.
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What is a DBE? |
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DBE is a small, for-profit business concern that is at least 51% owned
and controlled by socially and economically disadvantaged individuals.
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What
does it take to be a DBE? |
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The
firm must be an existing, "for profit” business that is operational.
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The
firm must be an independent business; if it is a subsidiary of a corporation,
it must still operate in a self-sufficient manner.
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The
firm must meet the federal definition of a "small business concern."
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Owners
must meet the federal definition of "socially and economically
disadvantaged" (Women, minorities, or individuals who can document
their disadvantage; all must also demonstrate that their adjusted
personal net worth is no more than $1.32 Million).
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Owners
must possess the power and expertise to control the daily operations
and management of the firm.
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Owners
must be able to establish at least 51% ownership through real and
substantial investments of capital.
If
any one of these conditions is not met, certification cannot be
granted. |
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The
Certification Process |
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To
guarantee that this program benefits only legitimate disadvantaged business
enterprises, ITD’s Equal Employment Opportunity (EEO) Office thoroughly evaluates each applicant
firm before certifying to ensure that it meets all the eligibility criteria
requirements set by federal regulations.
Firms
requesting DBE certification must submit a complete
application with supporting documentation to DBE Supportive Services.
After all requested materials have been provided, an on-site review of
the firm will be performed by ITD’s District personnel. Finally, a DBE
Certification Committee reviews the application to determine eligibility.
Depending
on the number of pending applications already in process, it typically
takes a minimum of eight weeks to process an application.
Out-of-state
firms must be DBE-certified in their home state before seeking certification
in the State of Idaho. |
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ITD's
DBE Supportive Services provides many types of technical assistance to
DBEs. In order to achieve the maximum feasible portion of ITD's annual
DBE Goal through race/gender-neutral methods, many of these services are
available to both certified DBEs and other non-DBE, transportation-related
small businesses, free of charge.
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A
Brief History of the DBE Program |
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The
U.S. Department of Transportation (USDOT)’s Disadvantaged Business Enterprise
(DBE) Program is its most important tool for ensuring that firms competing
for USDOT-assisted contracts are not disadvantaged by unlawful discrimination.
This
program originally began in 1980 as a minority business enterprise program.
In 1983, Congress enacted the first statutory DBE provision, applying
primarily to small minority-owned firms. In 1987, the program was expanded
to women-owned firms.
Initially,
the Surface Transportation Assistant Act (STURRA) of 1982, and subsequent
transportation acts such as the Intermodal Surface Transportation Efficiency
Act (ISTEA) of 1991, directed that -- to the fullest extent possible --
at least 10% of Federal-Aid highway funds be expended with small, disadvantaged
business enterprises.
However,
in 1999, new DBE program regulations were implemented that changed the
direction of the program from the old philosophy of "maximum participation"
by DBEs on USDOT-assisted contracts to that of creating a "level
playing field" for DBEs to compete fairly for procurement opportunities.
These program changes were in response to the Supreme Court's 1995 decision
in Adarand v. Peña that affirmative action programs be "narrowly
tailored to serve a compelling governmental interest," that of addressing
discrimination.
Each
USDOT recipient (state DOTs such as the Idaho Transportation Department)
now has the responsibility for developing an overall
annual contract goal
which reflects the level of DBE participation
expected on USDOT-assisted contracts in the absence of discrimination.
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Interested
in certifying as a DBE firm in the State of Idaho?
Click
here to request
an application or for more information, or download
the application as a pdf file.
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