Proposed DBE Program Changes are Deemed Significant

AGC has learned that the U.S. Department of Transportation (DOT) has determined that the September 6, 2012 proposed changes to its Disadvantaged Business Enterprise (DBE) program regulations are “significant” and therefore will be given closer scrutiny. When the Notice of Proposed Rulemaking was issued DOT claimed that the changes were minor and not a “significant regulatory action” and therefore DOT was not require to undertake an assessment of potential costs and benefits. AGC, however, disagreed and pointed out in formal comments the detrimental impact the rule would have if it were implemented as proposed. DOT received over 250 comments on the rule including approximately 125 letters from AGC members and 18 AGC chapters. DOT acknowledged that the outpouring of adverse comments lead to its decision to do a full evaluation of the rule’s impact. AGC has also been discussing the rule’s impact with members of the House Transportation and Infrastructure Committee and the Senate Environment and Public Works Committee pointing out that the recently enacted MAP-21 legislation reauthorized the DBE program but did not call for any changes to be made. A summary of the rule changes can be found here.