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Springboard Economic Development Corporation
Registered in the United States as a tax-exempt, nonprofit organization, 501 (c) 3.
Donations to Springboard are tax-deductible to the extent allowed by U.S. law.
 

MN DOT DBE Report (click to view report)

 "all transportation stakeholders here in MN (even the AGC) recognize that there are problems with the implementation of the program in MN and that results to date are not what we nor Mn/DOT expect"
Q. If Not, Why Not?
A. ??????????????
Q1.)    Do you have to be a DBE to receive a DOT contract? If no, explain.
A1.)    "No".  Typically, contractors bid on projects as subcontractors or as prime contractors.  The majority of contractors are not classified as Disadvantaged Business Enterprises (DBEs)
Q2.)  What advantage (s) are there once you become a DBE? If yes, explain.
A2.)    (NONE) The DBE program was authorized by Congress based upon the premise that had it not been for discrimination, there would be a representative distribution of Minority/Female participants engaged in the highway construction industry as prime contractors and/or subcontractors.   Furthermore, the intent of the DBE Program codified under 49 CFR 26, in part, is to remedy past and current discrimination.  From this perspective, the DBE is not accessing the program with an advantage.  Rather, the DBE is provided access to contracting and subcontracting opportunities that were not available without DBE program authorization.  Under 26.1 of 49 CFR, objectives of the DBE program include:  creating a level playing field and removing barriers to DBE participation.
Q3.)  The DBE NAICS codes are defined by task, however the DOT specs are process written for the bids. Why?
A3.)        NAICS codes are specific narrowly defined activities.  Specifications for bidding purposes are a broader-type set of activities.   In a real world scenario, a DBE may have a contract for one item of work that may represent several NAICS codes.
FACT - Most DBEs did not report doing any business with MNDOT at any point despite being a DBE certified with MNDOT.
 
FACT - indications are DBEs owned by women, particularly women of color, and those by African Americans, did not fare as well relative to other DBEs.
 
FACT - 99% or more of all federals transportation stimulus dollars and others awarded through MN DOT went to white owned and operated firms(White Males and Female DBEs).

Fact - FHWA - MN has the "seat of power and a public trust" to adminstrer the Civil Right Act of 1964 Title VI - the DBE Program.
Stewardship/Oversight Task Force - Appendix D
Example of Division "Required Actions" List
4) QUESTION: What role does FHWA play in "problem solving," if any?
  • ANSWER: 49 U.S.C.101(b)(5) indicates USDOT [and modal agencies] must "provide general leadership in identifying and solving transportation problems. The reference to problem solving in the policy paper is in the context of FHWA stewardship responsibilities. Helping our partners solve problems has been a long-standing function of FHWA.
Analysis by Springboard Economic Development Corporation


 
 

Springboard Economic Development Corporation registered in the United States as a tax-exempt, nonprofit organization, 501(c)3.

612-861-6662, Lennie@sb501c3.org
Donations to Springboard are tax-deductible to the extent allowed by U.S. law.