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Mandatory Race Conscious DBE Program Required of All Federal-Aid Funded Projects

The Federal Highway Administration (FHWA) has approved the California Department of Transportation's 2009 Disadvantaged Business Enterprise (DBE) Annual Overall Goal. FHWA's approval requires the immediate implementation of the new DBE Program that includes a Race Conscious component (RC DBE Program). Effective immediately, the California Department of Transportation (Caltrans) and local agencies receiving federal-aid funds must begin transitioning to the new RC DBE Program. Local agencies may have until June 2, 2009 to transition to the newly approved RC DBE Program. However, all local agencies (i.e., Cities and Counties, Metropolitan Transportation Organizations, and Regional Transportation Planning Agencies) are strongly encouraged to begin their transition to the new RC DBE Program immediately. Under the new RC DBE Program, local agencies must incorporate the new race conscious contract specifications into all federal-aid consultant and construction contracts.

Tech Transfer is hosting a series of free training seminars in April, 2009 throughout the State to help train local agencies administer the new RC DBE Program for their Federal-Aid funded projects. Training sessions will be conducted by DBE experts from GCAP Services. You do not need to attend the training session in your "home" district; you may attend any session most convenient to you. (Note that we are no longer limiting attendance to just one staff member per agency. We have sufficient space remaining for all who want to attend.)

Here's the typical agenda for the training sessions:

Program Overview

  • Purpose, objective and topics
  • Background: Why a Race Conscious DBE Program?
  • New DBE Program requirements for Underutilized DBEs (UDBEs)
  • How the Program impacts federal-aid projects
  • Effect on Annual Anticipated DBE Percentage Levels

Calculating Annual Anticipated DBE Percentage Levels (AADPL)

  • Identifying work items and applying the NAICS
  • Navigating the Census Bureau County Business Pattern database
  • Navigating the California Unified Certification Program (CUCP)
  • Calculating the base figure to determine DBE availability
  • AADPL calculations using UDBEs

Evaluating Good Faith Efforts (GFE)

  • Information necessary to establish adequate GFE
  • GFE procedures when there are contract goals
  • Additional guidance concerning GFEs

DBE Reporting

  • DBE Implementation Agreement
  • Notice to Bidders/Proposers
  • Standard Agreement for Subcontracts – DBE Participation

DBE Contract Administration

  • Understanding the DBE requirements after contract award
  • Preconstruction Conference – Identifying subcontractors
  • Prompt Payment to subcontractors
  • DBE Records, Substitutions and Reports
  • Administering the New DBE Program