Liz Healas, DBE Program Coordinator Idaho Transportation Department DBE Program Requirements on Federal-Aid Projects

What OCR Tracks & Why  Bidders Registration  Information required by federal regulation  Gives us information on available bidding pool to develop DBE goal methodology  Federal-Aid Contracting & Payment Activity  Federal requirement for prompt payment  in Standard Specs for Hwy Construction  Tells us how much $$$ goes to DBE firms  ITD must meet annual participation goal with FHWA  Mandatory 6-month reporting to FHWA on commitments, payments & contract close-outs All these functions now consolidated into new online ITD Diversity Management System (B2GNow)

Quick Overview The DBE Program …  Federal Program (USDOT) administered by state transportation agencies & other direct federal-aid recipients  Counties, Cities, Airports, Transit Authorities, etc.  Applies to all transportation modes  Highway, Aviation & Transit

Brief History  1980: Began as MBE program under Title VI  1983: Got its own statutory provision & was signed into law by President Reagan  At least 10% of federal-aid contracting $$ had to be expended on DBEs  1987: Expanded to include WBEs  1999: Supreme Court directed “narrow tailoring” of goals

Why Have a DBE Program?  The DBE Program is USDOT’s most important tool for ensuring that firms competing for USDOT-assisted contracts are not disadvantaged by unlawful discrimination.  Bottom Line: a condition for receiving federal transportation funding

Now, the Essentials … What is a DBE? A Disadvantaged Business Enterprise (DBE) is a small, for-profit business concern that is at least 51% owned & controlled by socially & economically disadvantaged individuals

DBE Program Components  Help remove barriers to DBE working on USDOT-assisted projects  Establishing goals for federal-aid projects  Overall Annual Participation Goal (APG)  Project Goals (when applicable)  Ensure only firms meeting eligibility standards can participate as DBE s  ITD handles all certification in Idaho under Unified Certification Program (UCP) Agreement  DBE Directory is at

DBE Program Components  Contract Administration  DBE Special Provisions  Prime Contractor Compliance  Prompt Payment  DBEs must perform “CUFs”  CUF On-sites performed by ITD District Staff  Federal Oversight & Reporting (FTA, FHWA, FAA)  DBE Commitments/Awards & Payments, every 6 months  Audits/Reviews

What Happened to Project Goals?  9th Circuit Court of Appeals decision in 2005  DBE Program not “narrowly tailored”  States must produce evidence to support goal-setting  USDOT instructed western states justify project goal-setting with disparity studies  Idaho’s DBE Program “race/gender-neutral” since January 2006

“Race/Gender-Neutral”  “Neutral” = no individual DBE project goals  Usage of DBEs is voluntary  Primes must still provide equal opportunity  ITD still must meet overall APG  FHWA FFY15-17 APG for FAA is 0%  FHWA FFY15-17 APG for FTA is 7%  FHWA FFY14-16 APG for FWA is 7.6%  Disparity Study Update in 2016

DBE Utilization *FFY05: Last Year of Project Goals **FFY06: Race/Gender-Neutral Program

Today’s Takeways  New System will give us real-time data  Accurate Reporting to FHWA on DBE Commitments/Payment/Attainment  Will capture low-tiers & suppliers  Primes must ensure these companies are on Bidders List  Primes can monitor own DBE participation  Provide valuable info on bidding pool for goal- setting methodology  Meets Federal Requirements for Prompt Payment

Questions Afterwards? Liz Healas, DBE Program Coordinator (208) Visit us online at: Contact us if you’d like to be on our newsletter ing list.

Liz Healas, DBE Program Coordinator Idaho Transportation Department EEO and Title VI Idaho Transportation Department Russ Rivera Civil Rights Contract Compliance Officer Idaho Transportation Department

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Title VI

“Simple justice requires that public funds, to which all taxpayers of all races contribute, not be spent in any fashion which encourages, entrenches, subsidizes or results in racial discrimination” John F. Kennedy

42 US Code 2000 No person in the United States shall, on the ground of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving Federal financial assistance.

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Case Studies

Russ Rivera Civil Rights Compliance Officer Idaho Transportation Department (208)