Caltrans DBE Program Change Announcement
Caltrans held an industry-wide call yesterday afternoon to announce changes to its Disadvantaged Business Enterprise (DBE) program effective June 15, 2012. In a letter from Caltrans Director Malcom Dougherty, found here, Caltrans had been directed by the United States Department of Transportation (US DOT) to terminate the Caltrans DBE Program Waiver as it did not include all certified DBEs; and specifically the underutilization of Hispanic-American and Subcontinent-Asian-American-owned DBEs.
Going forward all Federal-aid contracts with DBE goals advertised by Caltrans after June 15, 2012 must ensure the contract goals apply to all DBEs. Additionally, all Federal-aid local agency-administered contracts with DBE goals authorized after June 30, 2012 must ensure the goals apply to all DBEs.
Caltrans is also required to adjust its race-neutral and race-conscious split to make proper use of race-neutral and race-conscious means, consistent with 49 CFR 26.51, that will allow Caltrans to meet its overall DBE goal. The FHWA recognizes these program modifications require Caltrans to make several process changes and has granted Caltrans some flexibility in adjusting it race-neutral and race-conscious split.
If you have any questions about this change, please contact Sam Hassoun at (916) 371-2422.