Disadvantaged Business Enterprise (DBE)
Eligibility
- For-profit small business concern as defined by the U.S. Small Business Administration (based upon NAICS)
- At least 51% owned by one or more individuals who are both socially and economically disadvantaged. Minorities and women are presumed to be socially disadvantaged.
- Management and daily business operations are controlled by one or more of the socially and economically disadvantaged individuals who own it.
- The disadvantaged owner(s) must have a personal net-worth of less than $1,320,000.
- Depending upon the nature of work performed, a firm (including its affiliates) must not have average annual gross receipts in excess of $22,410,000 ($52,470,000 for airport concessionaires in general with some exceptions). This size standard is for construction related work. Depending on the type of work the business performs, other lower size standards may apply.
- If state or local law requires the persons to have a particular license or other credential in order to own and/or control the firm, then the socially and economically disadvantaged owner(s) must possess the required license or credential.
Certification
Woman- and minority-owned businesses interested in becoming certified as a Colorado DBE must complete and submit an application through the Colorado Unified Certification Program (CO UCP) to either CDOT or the City and County of Denver. Upon approval, your business can be used to meet the DBE goals established for federally-funded contracts by more than 50 agencies that participate in the CO UCP. The DBE Program is a federal program required by law (49 CFR Part 26).Resources
- CDOT DBE Website
- CDOT Online DBE Application
- City and County of Denver Online Application
- DBE Directory
- Colorado UCP
- US DOT FAQ
- Support Services
Annual Renewal
Goals
Most CDOT highway construction projects have a DBE goal. DBE goals are expressed as a percentage of the total contract. Prime contractors are required to subcontract the dollar amount equal to the DBE goal percentage to DBE-certified firms, or prove to CDOT why they cannot. This creates an incentive for primes to use DBE firms as subs on their projects. Small businesses that are DBE-certified have a considerable advantage over those that are not. Primes will actively seek out DBE firms for subcontracting opportunities and must conduct outreach for any project with a DBE goal.
CDOT Regional Civil Rights Managers review each project and make a determination of the DBE goal. This is based upon the type of work, geographic location, and capability/availability of DBE firms to perform the work, among other factors. In some cases, the DBE goal may be 0 percent while others may be as high as 15 percent. CDOT's objective is to create a cumulative amount of DBE subcontracting that meets or exceeds the overall annual goals shown below.
- CDOT FHWA Overall Annual Goal = 10.25%
- CDOT FTA Overall Annual Goal = 4.75%
- CDOT FAA Overall Annual Goal = 1.9%