News & Publications

DOT Proposes Changes to DBE Program

On May 10, 2010, the Department of Transportation published a Notice of Proposed Rulemaking regarding the Disadvantaged Business Enterprise (DBE) program found at 49 C.F.R. Part 26.  DOT proposes a number of changes to the DBE program, including the following: (a) new compliance requirements for recipients who fail to meet their overall DBE participation goal in any given fiscal year; (b) improving post-award compliance by requiring good cause shown before a prime contractor can terminate or substitute a DBE subcontractor; (c) requiring additional written certification from recipients confirming their oversight of DBE participation; (d) permitting recipients to provide year-to-year projections of DBE participation within the framework of an overall goal submitted every three years; (e) making inflationary and other adjustments to the personal net worth criteria for DBE certification; (f) adding provisions to facilitate interstate certification of DBEs and otherwise modifying and updating the certification requirements; and (g) adding provisions to foster small business participation.  Comments must be submitted by July 9, 2010.