DBE New Collection Supporting Statement FINAL

Department of Transportation
Disadvantaged Business Enterprise (DBE) Program
Information Collection Supporting Statement
Introduction
This is to request the Office of Management and Budget’s (OMB) approval of the Department of Transportation’s (Department/DOT)
information collection titled “Disadvantaged Business Enterprise Program Collections” (Collection). The Bipartisan Infrastructure
Law (BIL, enacted as the Infrastructure Investment and Jobs Act (IIJA), Pub. L. 117-58 (Nov. 15, 2021)) states that Congress
continues to find that there is a compelling need for the continuation of the DBE program. The BIL directs, except to the extent that
the Secretary of Transportation determines otherwise, that not less than 10 percent of the amounts made available for any program
under Division A-Surface Transportation, with limited exceptions, shall be expended through small business concerns owned and
controlled by socially and economically disadvantaged individuals. The statutory provision governing the DBE program as it relates to
airport financial assistance programs is 49 U.S.C. 47113. The Department’s implementing regulations are set forth in 49 CFR Parts 23
and 26.
1. Circumstances that make the collection of information necessary. Explain the circumstances that make the collection of
information necessary. Identify any legal or administrative requirements that necessitate the collection. Attach a copy of the
appropriate section of each section of each statute and regulation mandating or authorizing the collection of information.
The DBE program for DOT-assisted contracts is intended to prevent discrimination, and remedy the effects of past discrimination,
against small businesses owned and controlled by Asian-Pacific Americans, Subcontinent Asian Americans, Hispanic Americans,
Black Americans, Native Americans, women, and other groups as designated by the Small Business Administration (SBA).
Members of those groups are rebuttably presumed to be socially and economically disadvantaged (SED). The DBE program’s
overarching goal is to create and maintain equity in contracting opportunities in the Department’s highway, mass transit, and
airport financial assistance programs. The program is implemented by recipients that receive financial assistance from three of the
Department’s Operating Administrations (OAs): Federal Aviation Administration (FAA), Federal Highway Administration
(FHWA), and Federal Transit Administration (FTA). The Departmental Office of Civil Rights (DOCR) oversees the DBE
program. Each item below is a necessary element of the program that involves an information collection.

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1. Maintaining bidders lists
49 CFR 26.11 and 49 CFR Appendix B require recipients to create and maintain a list of all bidders who bid on their federally
assisted contracts. The purpose of the list is to provide recipients information about the universe of DBE and non-DBE
contractors and subcontractors who seek to work on federally assisted contracts. It also helps recipients set their overall
contract goals.
2. Maintaining DBE directories
49 CFR 26.81(g) requires that recipients create and maintain a DBE directory, and 49 CFR 26.31 requires that the directory
listing for each firm includes the firm's address, phone number, and the types of work the firm has been certified to perform as
a DBE, using the most specific North American Industry Classification System (NAICS) code available to describe each type
of work. The focus of the directory is certification eligibility. It is a list of firms that have been certified as eligible DBEs, with
sufficient identifying information to allow interested prime contractors to contact them.
3. Monitoring the performance of DBE program participants
49 CFR 26.37 requires recipients to implement monitoring mechanisms to ensure that all DBE program participants comply
with the regulation's requirements. There are two required mechanisms: 1) written certification that recipients have reviewed
contracting records and monitored work sites in their state for this purpose, and 2) a running tally of actual DBE attainments.
Monitoring mechanisms are critical to protecting the program’s integrity and preventing fraudulent practices. For example,
recipients need to confirm that prime contractors are using the DBE subcontractors that they committed to hiring.
4. Addressing overconcentration of DBEs in certain types of work
49 CFR 26.33 contemplates a situation in which DBEs in a certain work type are so prevalent that they unduly burden the
ability of non-DBE firms to participate in those work types. If a recipient determines that overconcentration of DBEs exists in
certain types of work, the recipient must submit to the appropriate OA the reasons for the determination and the measures
devised to address it. The recipient must review and analyze actual data concerning an overconcentration allegation to
determine if it supports a finding of overconcentration.

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5. Setting overall goals for DBE participation in DOT-assisted contracts
49 CFR 26.45 mandates that, in three-year intervals, recipients set and submit to the relevant OA an overall goal for DBE
participation in DOT-assisted contracts. Recipients must include with their overall goal submission a description of the
methodology they used to establish the goal and a projection of the portions of the overall goal that they expect to meet
through race-neutral and race-conscious means. The DBE program regulation requires recipients to meet the maximum portion
of their overall DBE goals through race-neutral means. Requiring recipients to list their planned race-neutral activities and
projections of the portion of the overall goal they anticipate meeting through those activities, creates accountability for
recipients to comply with section 26.45 requirements.
6. Analyzing discrepancies between Uniform Report data and recipients’ overall goals
49 CFR 26.47(c) provides that if the awards and commitments shown on a recipient’s Uniform Report of DBE Awards or
Commitments and Payments (Uniform Report) at the end of any fiscal year are less than the overall goal applicable to that
fiscal year, the recipient must, to be regarded by the Department as implementing the DBE program in good faith: (1) analyze
in detail the reasons for the difference between the overall goal and awards and commitments in that fiscal year and (2)
establish specific steps and milestones to correct the problems the recipient identified in the analysis and to enable the recipient
to meet fully the goal for the new fiscal year. Under section 26.47(c)(3)(i), if the recipient is a state highway agency, one of the
50 largest transit authorities as determined by the FTA, or an Operational Evolution Partnership Plan airport or other airport
designated by the FAA, the recipient must submit, within 90 days of the end of the fiscal year, the analysis and corrective
actions to the appropriate OA for approval. A transit authority or airport not meeting these criteria must retain analysis and
corrective actions in its records for three years and make it available to FTA or FAA on request for their review.
7. Requiring transit vehicle manufacturers (TVMs) to comply with the DBE regulation’s goal setting requirements
49 CFR 26.49 states that transit vehicle manufacturers awarded FTA-assisted contracts must comply with the reporting
requirements of section 26.11, including the submission of Uniform Report data. TVMs must do so to remain eligible to bid on
FTA assisted transit vehicle procurements.
8. Projecting which portions of overall goals of DBE participation will be met through race-neutral means and which
portions will be bet through race-conscious means

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49 CFR 26.51(c) describes the methods recipients use to meet their overall goals. Each time a recipient submits an overall goal
for review by the relevant OA, the recipient must also submit a projection of the portion of the goal that the recipient expects to
meet through race-neutral means, along with the basis for that projection. This projection is subject to approval by the relevant
OA, in conjunction with its review of the recipient’s overall goal. Most state DOTs have an overall goal with projections of
race-neutral and race-conscious portions. A state DOT is not required to wait until it knows it will not meet its overall goal
with race-neutral measures alone before it implements DBE goals on individual contracts (race-conscious efforts).
9. Documenting and submitting evidence of having made “good faith efforts” to secure DBE participation in DOTassisted contracts
49 CFR 26.53(b)(2) and Appendix A address the good faith efforts (GFE) procedures recipients follow in situations where
there are contract goals. A recipient analyzes a bidder’s GFE on a contract-by-contract basis if a bidder does not meet a
contract goal through DBE subcontracting alone. The bidder’s GFE documents must reflect that the bidder made those efforts
one would use if it were actively and aggressively trying to meet the contract goal, but nonetheless fell short.
10. Drafting Unified Certification Program (UCP) agreements
49 CFR 26.81 requires recipients and sponsors implementing DBE and Airport Concession DBE (ACDBE) programs to
establish a UCP in their respective jurisdictions (50 states, District of Columbia, Northern Mariana Islands, and Puerto Rico).
UCPs make certification decisions on behalf of all DOT recipients in their jurisdiction. The primary purpose of having a UCP
is to provide “one-stop shopping” to certification applicants, such that a firm has to apply only to one certification entity in a
state. If that certification entity approves the firm’s application, the firm is automatically certified throughout that entire state.
For example, if a firm is certified by the City of Phoenix, the firm does not have to separately apply for certification by the
Arizona Department of Transportation. Section 26.81(a) requires each UCP to draft or update a UCP agreement in
coordination with the relevant OA and submit the agreement to the Department for approval. Forty nine of 50 states (with Iowa
as the exception) have submitted UCP agreements to the Department since 1999.
11. Evaluating the DBE certification eligibility of applicant firms
Under 49 CFR 26.83(c), one of the required steps a recipient must take when evaluating an applicant firm’s DBE certification
eligibility is to conduct an on-site visit (virtual or in-person) to the firm’s principal place of business and interview the
principal officers, as well other personnel as the recipient sees fit. Following each visit, recipients customarily write a report of

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the visit and maintain a copy of it. The information in the report is critical for recipients to determine whether an SED
individual owns and controls the firm. Recipients send a copy to the Department if a firm found ineligible files an appeal.
12. Maintaining copies of written denial letters sent to applicant firms and sending copies to DOT upon request
Under 49 CFR 26.86(a), when a recipient denies the certification application of a firm that is not currently certified by the UCP
of which the recipient is a member, the recipient must provide the firm a written explanation of the reasons for the denial. The
recipient must maintain a copy of the denial letter. If the denied firm appeals to DOT, the recipient must send a copy of the
letter to DOT. The denied firm relies on the recipient’s denial reasons to file an informed appeal to DOT.
13. Removing the eligibility of a DBE firm
If a recipient finds reasonable cause to believe that a certified firm is no longer eligible for certification, 49 CFR 26.87(a)(3)
mandates that the recipient gives the firm written notice of its intent to decertify it. Section 26.87(d) requires a recipient to
offer the firm, in writing, an opportunity for an informal hearing at which the firm may respond to the reasons for the proposal
to remove its eligibility. The recipient must maintain a verbatim record/transcript of the hearing. If a recipient reaches a final
decision to decertify the firm, section 26.87(g) requires the recipient to provide the firm written notice of the decision. If the
firm appeals to the Department, the recipient must provide the Department with a copy of the transcript, and on request, to the
firm. Recipients must maintain copies of notices of intent to decertify, final decertification decisions, hearing transcripts, and
other documents related to the decertification process described in section 26.87. Recipients must make the copies available to
DOT if a decertified firm appeals to DOT.
14. Mailing and maintaining copies of summary suspension notices
The DBE regulation permits recipients, in limited circumstances, to summarily suspend a firm’s certification. 49 CFR 26.88
explains that if a recipient does so, the recipient must immediately notify the firm of the suspension by certified mail, return
receipt requested, to the last known address of the owner(s) of the firm. If the owner(s) responds to the notice with information
demonstrating that the firm remains eligible, the recipient must respond in writing (within 30 days of receiving the
information) and explain how it intends to proceed.
15. Sending the Department a full administrative record when the Department gives notice that a denied or decertified
firm appeals to the Department and maintaining a copy of the record

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49 CFR 26.89(d) requires recipients to comply with the Department’s requests to timely provide a full administrative record
when the Department gives notice that a denied, decertified, or summarily suspended firm has filed an appeal with the
Department.
16. Providing a copy of application materials to an additional state when a firm certified in its home state applies to
another state for certification (interstate certification)
49 CFR 26.85 says that when a firm currently certified in its home state (State A) applies to another state (State B) for DBE
certification, State B is permitted to require the firm to submit a complete copy of all the materials the firm submitted to its
home state/State A for in-state certification.
17. Writing and submitting narratives of social and economic disadvantage when applying for DBE certification based on
an individualized showing of social and economic disadvantage (49 CFR 26.67(d) and Appendix E)
The DBE program is intended to be as inclusive as possible while still remaining narrowly tailored and demonstrating a
compelling interest for its continuance. Thus, individuals who are not members of groups whose members are presumed
socially and economically disadvantaged may still qualify for DBE certification. To demonstrate their eligibility, these
individuals must submit personal narratives describing why they are socially and economically disadvantaged under section
26.67(d) and the criteria listed in Appendix E.
2. How, by whom, and for what purpose the information is to be used. Indicate how, by whom, and for what purpose the
information is to be used. Except for a new collection, indicate the actual use the agency has made of the information received
from the current collection.
This collection activity supports DOT’s strategic goal of supporting and engaging people and communities to promote safe,
affordable, accessible, and multimodal access to opportunities and services while reducing transportation related disparities,
adverse community impacts, and health effects.

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1. Maintaining bidders lists
Recipients use the bidders lists to more accurately determine the availability of DBE and non-DBE firms and to measure the
relative availability of ready, willing, and able DBEs when setting their overall goals under section 26.45. They update the list
each time they let a new contract to make sure they are fully capturing the information.
2. Maintaining DBE directories
UCPs add new firms to their directories as the firms are certified, and remove firms that are no longer eligible. Each UCP
displays its directory on its website. The primary purpose of the directories is to show the results of the certification process,
i.e., all firms that the recipient has certified. Since DBE certification pertains to the various kinds of work a firm's
disadvantaged owner can control (as described in 49 CFR 26.71), it is important to list those kinds of work in the directories.
Prime contractors use the information to find potential DBE subcontractors.
3. Monitoring the performance of DBE program participants
Recipients collect the information so they can confirm at project sites that the DBE to whom the work was committed is
performing the work. If OAs conduct a compliance review or investigation, they check to see if the recipient in question has
the required written certifications and tallies. Recipients do not otherwise submit the information.
4. Addressing overconcentration of DBEs in certain types of work
If a recipient determines that overconcentration of DBEs exists in certain types of work, the recipient must submit to the
appropriate OA the reasons for the determination and the measures devised to address it. The recipient must review and
analyze actual data concerning an overconcentration allegation to determine if it supports a finding of overconcentration.
5. Setting overall goals for DBE participation in DOT-assisted contracts
Setting an overall goal is essential to a legally defensible DBE Program. The goal represents the DBE participation that would
be expected in the relevant market area given the availability of DBEs as compared to actual participation. Each recipient must
set a narrowly tailored goal specific to its market area. The relevant OA reviews the goal setting methodologies, submitted by
recipients triennially, to ensure that they are developed consistent with regulatory requirements and DOT official guidance.
The OA review prevents recipients from using methodologies that are not narrowly tailored, and ensures the methodologies are
supported by the best data available. This mitigates the risk of litigation or other legal challenges at the state and federal level.

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Courts typically consider a recipient’s overall DBE goal methodology in response to legal challenges to a recipient’s
implementation of its DBE program.
6. Analyzing discrepancies between Uniform Report data and recipients’ overall goals
If a recipient does not meet its goal in any given year, it is required to analyze why it fell short. For example, were enough
contract goals set? Were contract goals set high enough? Were too many contracts awarded through documented GFE instead
of DBE subcontracting? After the analysis, the recipient strategizes on changes to its procedures that could minimize the
shortfall in the upcoming year and sends the relevant OA a copy of the shortfall analysis.
7. Requiring transit vehicle manufacturers (TVMs) to comply with the DBE regulation’s goal setting requirements
Setting an overall goal is essential to a legally defensible DBE Program. The goal represents the DBE participation that would
be expected in the relevant market area given the availability of DBEs as compared to actual participation. Each TVM must set
a narrowly tailored goal specific to its market area. FTA reviews the goal setting methodologies to ensure that they are
developed pursuant to regulatory requirements and DOT official guidance. FTA's review prevents the use of methodologies
that are not narrowly tailored, and ensures the methodologies are supported by the best data available. This mitigates the risk of
legal challenges to the DBE program.
8. Projecting which portions of overall goals of DBE participation will be met through race-neutral means and which
portions will be bet through race-conscious means
Recipients use the information to determine what combination of race neutral and race conscious efforts they should undertake
to meet their overall goal. Recipients strategize the number and percentage of contract goals needed, along with its race neutral
efforts, to achieve its overall annual goal.
9. Documenting and submitting evidence of having made good faith efforts (GFE) to secure DBE participation in DOTassisted contracts
Recipients analyze a bidder’s GFE on a contract-by-contract basis if a bidder does not meet a contract goal through DBE
subcontracting alone. The GFE documentation a bidder submits to the recipient must demonstrate that the bidder made those
efforts one would use if it were actively and aggressively trying to meet the contract goal but fell short. In reviewing a bidder’s

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documented GFE, recipients must determine if the bidder identified sufficient subcontracting opportunities for DBEs to
perform, made contact with the firms that were beyond pro-forma, and negotiated fairly with these firms.
10. Drafting and updating Unified Certification Program (UCP) agreements
In January 2020, the Department confirmed that nearly all 53 UCPs (the 50 States, the District of Columbia, the Northern
Mariana Islands, and Puerto Rico) drafted a UCP agreement between 1999–2002. The Department evaluated all the
agreements and found that over 20 have errors, have not been updated to reflect changes to the DBE regulation made in 2011
and 2014, and contain significant changes that require approval by the Department. One of the Department’s concerns is that
the UCP agreements and procedures are posted online and included in employee training materials, but contain information
that misleads certified and applicant firms, as well as the recipients that created the agreements.
11. Evaluating the DBE certification eligibility of applicant firms
Under 49 USC 26.83, recipients must take various steps in determining an applicant’s eligibility, such as performing an on-site
visit to the firm's principal place of business. Recipients often write a report documenting the visit, refer to the information in it
when making a final eligibility decision, and maintain a copy of it. They send a copy to the Department if a firm found
ineligible files an appeal. The Department evaluates the report (along with the other documents in the administrative record) to
adjudicate the appeal. The recipient and DOT both maintain a copy of the report.
12. Maintaining copies of written denial letters sent to applicant firms and sending copies to DOT upon request
When a recipient denies a certification application, the recipient must provide the applicant firm a written denial letter
explaining the reasons for the decision, specifically referencing the evidence in the record that supports each reason for the
denial. The recipient must maintain a copy of the denial letter. If the denied firm appeals to DOT, the recipient must send a
copy of the letter to DOT. The Department reviews the administrative record, which includes the denial letter, to adjudicate the
appeal. DOT issues an appeal decision that it sends electronically to the recipient and the firm. DOT and the recipient
maintain an electronic copy of the decision. There is virtually no instance in which the Department will request a recipient to
provide a copy of a denial letter for a firm that has not appealed.

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13. Removing the eligibility of a DBE firm
Recipients must maintain a copy of the notices they send to certified firms to remove those firms' certification eligibility. They
must also keep a copy of the notices of intent to remove eligibility that are sent to certified firms. The decisionmaker appointed
by the recipient uses the information in the notice of intent to decertify and any evidence presented during or after an optional
hearing (or submitted in writing) to make a final decision on whether the firm should be decertified. The firm uses the
information in the notice of intent to decertify to determine what evidence or arguments it might want to submit at the informal
hearing (or in writing). The firm uses the information in the final decision, in part, to decide whether to file an appeal with the
Department. The Department uses all the information collected under section 26.87(g) to determine whether substantial
evidence supports the recipient's decision to remove the firm's certification eligibility.
14. Mailing and maintaining copies of summary suspension notices
When a recipient summarily suspends a firm's DBE certification, the recipient must immediately notify the firm of the
suspension by certified mail, return receipt requested, to the last known address of the owner(s) of the firm. If the owner(s)
responds to the notice with information demonstrating that the firm remains eligible, the recipient must respond in writing
(within 30 days of receiving the information) and explain how it intends to proceed.
15. Sending the Department a full administrative record when the Department gives notice that a denied or decertified
firm appeals to the Department, and maintaining a copy of the record
A recipient must provide the Department a complete administrative record within 20 days of the Department’s requesting it.
The Departments requests the information when a firm that that recipient denied or decertified files an appeal. A full
administrative record is one that contains all the documents the recipient evaluated to make its decision. The Department
reviews the documents in the administrative record to determine whether substantive evidence supports the recipient’s
decision, or whether to reverse or remand the decision. A court’s review of a Department’s appeal decision is based entirely on
the documents the recipient relied upon to reach its decision. An incomplete administrative record can undermine legal defense
of both the recipient’s and the Department’s decisions.

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16. Providing a copy of application materials to an additional state when a firm certified in its home state applies to
another state for certification (interstate certification)
Under section 26.85(c), when a firm currently certified in its home state (State A) applies to another state (State B) for DBE
certification, State B is permitted to require the firm to submit a complete copy of all the materials the firm submitted to its
home state/State A for in-state certification. State B reviews the information to determine whether there is "good cause" (a
term specifically described in the interstate certification rule) to believe that State A's certification is not erroneous or should
not apply in its State. This is critical to ensure that only fully eligible firms participate in the DBE program.
17. Writing and submitting narratives of social and economic disadvantage when applying for DBE certification based on
an individualized showing of disadvantage
Individuals who are not members of groups whose members are presumed socially and economically disadvantaged may still
qualify for DBE certification. Section 26.67(d) and Appendix E of the regulation state that to demonstrate their eligibility,
these individuals must submit a narrative describing the individual’s experiences of social disadvantage and a separate
narrative in which the individual describes why the individual is economically disadvantaged. Recipients use the narratives to
evaluate whether the individual(s) meets the requirements of disadvantage outlined in Appendix E.
3. Extent of automated information collection. Describe whether, and to what extent, the collection of information involves the
use of automated, electronic, mechanical, or other technological collection techniques or other forms of information
technology, e.g., permitting electronic submission of responses, and the basis for the decision for adopting this means of
collection. Also describe any consideration of using information technology to reduce burden.
With the exception of notices of summary suspension, all of the information in this request can be collected electronically.
DOT permits electronic submissions so that respondents have as much flexibility as possible in deciding how to collect,
maintain, share, and submit information, as they are in the best position to decide what is least burdensome and most efficient
for them.
4. Describe efforts to identify duplication. Show specifically why any similar information already available cannot be used or
modified for use for the purposes described in item 2 above.
The information in each of the collection instruments in this supporting statement is unique and is not available elsewhere
because no other agency, including the SBA, administers a DBE or ACDBE program. Some firms already have SBA 8(a)

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certification when they apply for DBE or ACDBE certification. However, 8(a) program’s information submission and
eligibility requirements are not identical.
5. Efforts to minimize the burden on small businesses. If the collection of information impacts small businesses or other small
entities, describe any methods used to minimize burden.
Four information collections impact small businesses:
• Evaluating the DBE certification eligibility of applicant firms
• Removing the eligibility of a DBE firm
• Providing a copy of application materials to an additional state when a firm certified in its home state applies to another
state for certification (interstate certification)
• Writing and submitting narratives of social and economic disadvantage when applying for DBE certification based on an
individualized showing of disadvantage
The Department has taken several measures to minimize the burdens of these information collections on small businesses. For
example, regarding certification evaluation eligibility, a firm certified by a recipient in a particular state is automatically eligible
to participate as a DBE throughout that state pursuant to 49 CFR 26.81; it need not apply separately to each certifying entity in
that state. Regarding eligibility removal, there are no mandatory actions a certified firm must take when a recipient tries to
remove its eligibility. In those instances, recipients are required to give firms detailed written notices of the evidence on which
they rely to support their ineligibility decisions. The requirement that recipients provide a focused decision prevents firms from
expending undue time and money to figure out how to best respond to a recipient’s decision. Regarding interstate certification,
the regulation prohibits the new state in which the firm seeks certification from requiring the firm to submit a new application
package. At most, the firm may have to simply forward the application materials that the firm sent to its home state. The
regulation places strict limits on what information the new state may require the certified firm to provide, so as to avoid
burdening firms from having to reprove their eligibility each time they want to attain certification in a new state. Regarding DBE
certification for businesses not owned and controlled by presumed SED individuals, Appendix E of the regulation describes the
types of evidence that the owner(s) of such firms should provide.
6. Impact of less frequent collection of information. Describe the consequence to federal program or policy activities if the
collection is not conducted or is conducted less frequently, as well as any technical or legal obstacles to reducing burden.
The DBE program’s overarching goal is to create and maintain equity in contracting opportunities in the Department’s highway,
mass transit, and airport financial assistance programs. The DBE program is necessary to prevent discrimination, and remedy the
effects of past discrimination, against small businesses that are owned and controlled by Asian Pacific Americans, Subcontinent

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Asian Americans, Hispanic Americans, Black Americans, Native Americans, and women. Members of those groups are
rebuttably presumed socially and economically disadvantaged. Individuals who are not a member of any of those groups are
eligible for DBE certification if they demonstrate social and economic disadvantage on an individualized basis. The information
collections described in this supporting statement are necessary to ensure that state and local recipients that let federally funded
contracts carry out their mandated responsibility to provide a level playing field for small businesses owned and controlled by
socially and economically disadvantaged individuals. Eliminating these collection instruments and/or conducting them less
frequently would hinder the Department’s compliance and oversight efforts.

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7. Special Circumstances. Explain any special circumstances that would cause an information collection to be conducted in a
manner:
- Requiring respondents to report information to the agency more often than quarterly;
- Requiring respondents to prepare a written response to a collection of information in fewer than 30 days after receipt of it;
- Requiring respondents to submit more than an original and two copies of any document;
- Requiring respondents to retain records, other than health, medical, government contract, grant-in-aid, or tax records for
more than three years;
- In connection with a statistical survey, that is not designed to produce valid and reliable results that can be generalized to the
universe of study;
- Requiring the use of a statistical data classification that has not been reviewed and approved by OMB;
- That includes a pledge of confidentiality that is not supported by authority established in statute or regulation, that is not
supported by disclosure and data security policies that are consistent with the pledge, or which unnecessarily impedes sharing
of data with other agencies for compatible confidential use; or
- Requiring respondents to submit proprietary trade secret, or other confidential information unless the agency can
demonstrate that it has instituted procedures to protect the information’s confidentiality to the extent permitted by law.
Responses to Information Requests More Often than Quarterly and in Fewer than 30 Days
49 CFR 26.85(d) regarding interstate certification provides that when a firm already certified in its home state (State A) applies
to another state (State B) for certification, State B must, within 7 days of receiving the firm’s request for certification, contact
State A and request a copy of the site visit review report for the firm, any updates to the site visit review, and any evaluation of
the firm based on the site visit. State A must transmit this information to State B within 7 days of receiving the request. State A
possesses this report and can easily send it electronically to State B. The 7-day turnaround time is reasonable and is in
alignment for the expedited process this section of the regulation supports. The purpose of the interstate certification regulation
is to eliminate unreasonable and unnecessary barriers burdens for DBEs that apply for certification in additional states after
receiving certification in their home state. DBE certification requirements are identical in every state; the interstate
certification rule was developed, large part, in response to concerns by DBEs that they were required to go through a
burdensome application process with each state to which they applied for certification. It was clear to the Department that

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interstate certification, if not accomplished through reciprocity among states, should at least be an expedited process after the
DBE has already been certified.
Under 49 CFR 26.89, a firm has 90 days to appeal a recipient’s adverse determination. DOT notifies the recipient as soon as it
receives an appeal to request that the recipient provide the entire administrative record within 20 days of DOT’s request. The
20-day deadline is in the interests of justice to the firm and efficiency for all involved parties. DOCR must log the pertinent
details in the appeals docket, verify the completeness of the administrative record, assign the adjudication to an analyst,
conduct internal review, and then send the final decision to the recipient and firm. Ten days makes a significant difference for
a firm’s ability to obtain more work. Because records are electronic and recipients already have them, a 20-day turnaround
time is reasonable. Recipients have not reported otherwise to the Department.
49 CFR 26.53(b)(3) addresses the actions prime contractors must take in documenting and submitting evidence of having made
good faith efforts (GFE) to secure DBE participation in DOT-assisted contracts. When prime contractors bid on DOT-assisted
contracts for which a DBE contract goal has been established, they have two options for submitting documentation of their
GFE. Section 25.53(b) explains the two options: (1) as a matter of responsiveness under sealed bid procedures or with initial
proposals under contract negotiation procedures, or (2) no later than 7 days after bid opening as a matter of responsibility. The
first option requires all bidders to provide the recipient with the required DBE commitment information at the time of bid
submission. The second option allows bidders to provide the required information at some point after bid submission but
before the recipient makes a contract award. Based on extensive experience and knowledge, the Department determined that
allowing more than 7 days will greatly increase the risk of fraudulent practices such as bid shopping, reverse auctions, and bid
peddling. These types of practices undermine the integrity of the DBE program.
8. Compliance with 5 CFR section1320.8(d). If applicable, provide a copy and identify the date and page number of
publication in the Federal Register of the agency’s notice, required by 5 CFR section1320.8(d), soliciting comments on the
information collection prior to submission to OMB. Summarize public comments received in response to that notice and
describe actions taken by the agency in response to those comments. Specifically address comments received on cost and hour
burden.
Describe efforts to consult with persons outside the agency to obtain their views on the availability of data, frequency of
collection, the clarity of instructions and recordkeeping, disclosure, or reporting format (if any), and on the data elements to
be recorded, disclosed, or reported.

16

Consultation with representatives of those from whom information is to be obtained or those who must compile records should
occur at least once every 3 years – even if the collection of information activity is the same as in prior periods. There may be
circumstances that may preclude consultation is a specific situation. These circumstances should be explained.
The Department published a 60-day Federal Register Notice for public comment on June 15, 2021, FR Vol. 86, No. 113, p.
31813 and a 30-day Federal Register Notice on September 15, 2021, FR Vol.86, No. 176, p. 51439. In response to the 60-day
notice, a contractors’ association commented that a requirement for recipients to include a detailed business description of each
DBE in the DBE Directories would help prime contractors conduct more targeted and meaningful outreach to DBE
subcontractors. Another contractors’ association commented that better data is needed to inform the Department of the
overconcentration of DBEs in the trucking industry. One prime contractor described the time and cost of documenting good
faith efforts. To further obtain the views of persons outside the agency, the OAs cumulatively contacted fewer than 10
recipients and asked them specific questions about their experiences about the instruments described in this supporting
statement. The Department also contacted 5 consultants who assist program applicants prepare their application packages.
9. Payment or gifts to respondents. Explain any decision to provide any payment or gift to respondents, other than
remuneration of contractors or grantees.
DOT does not provide any payment or gift to respondents.
10. Assurance of confidentiality. Describe any assurance of confidentiality provided to respondents and the basis for the
assurance in statute, regulation, or agency policy.
49 CFR 26.109(a) explains that in responding to requests for information concerning any aspect of the DBE program, the
Department complies with the applicable provisions of the Freedom of Information Act (FOIA). The Department may make
available to the public any information concerning the DBE program in accordance with federal law. Recipients must not
release any information that may reasonably be construed as confidential business information to any third party without the
written consent of the firm that submitted the information. This includes applications for DBE certification and supporting
information. Recipients must, however, transmit this information to DOT in any certification appeal proceeding under section
26.89 or to any recipient in a state to which the individual's firm has applied for interstate certification under section 26.85.
11. Justification for collection of sensitive information. Provide additional justification for any questions of a sensitive nature,
such as sexual behavior and attitudes, religious beliefs, and other matters that are commonly considered private. This
justification should include the reasons why the agency considers the questions necessary, the specific uses to be made of the

17

information, the explanation to be given to persons from the information is requested, and any steps to be taken to obtain their
consent.
The writing and submission of individualized narratives of social and economic disadvantage when applying for DBE
certification based on an individualized showing of disadvantage involves collecting information that could be considered of a
sensitive nature. The DBE program is intended to be as inclusive as possible while still remaining narrowly tailored. 49 CFR
26.67(d) explains that individuals who are not members of groups whose members are presumed socially and economically
disadvantaged may still qualify for DBE certification. Appendix E of the regulation explains that to demonstrate their
eligibility, these individuals must submit two narratives – one which provides evidence of social disadvantage, and another that
provides evidence of economic disadvantage. In the social disadvantage narrative, individuals often choose to disclose
information about, for example, their religious views or disability status. Individuals have full discretion about how many
details to provide. Recipients then evaluate the information to determine if an individual should be considered socially and
economically disadvantaged despite lack of membership in one of the designated groups. This information collection is critical
for ensuring that only fully qualified firms receive DBE certification.

18

12. Estimate of burden hours for information requested. Provide estimates of the hour burden of the collection of information.
The statement should:
- Indicate the number of respondents, frequency of response, annual hour burden, and an explanation of how the burden was
estimated. Unless directed to do so, agencies should not conduct special surveys to obtain information on which to base hour
burden estimates. Consultation with a sample (fewer than 10) of potential respondents is desirable. If the hour burden on
respondents is expected to vary widely because of differences in activity, size, or complexity, show the range of estimated hour
burden, and explain the reasons for the variance. Generally, estimates should not include burden hours for customary and
usual business practices.
- If this request for approval covers more than one form, provide separate hour burden estimates for each form and aggregate
the hour burdens.
- Provide estimates of annualized cost to respondents for the hour burdens for collections of information, identifying and using
appropriate wage rate categories. The case of contracting out or paying outside parties for information collection activities
should not be included here. Instead, this cost should be included in item 14.
The Department coordinated efforts with FAA, FHWA, and FTA to obtain burden estimates from a small number of
respondents. The hour burden on respondents varies widely for multiple reasons. For example, some recipients have more
staff/employees than others; some might have a staff of 25 while others have only 2 employees. Geographic variances also
affect the wage rate. Recipient staff hourly wage rate is taken from the U.S. Bureau of Labor Statistics’ (BLS) estimate of an
Eligibility Interviewer in Government Programs (OEWS Designation). The wage rate is multiplied by 1.62 to get a fully
loaded hourly wage rate of $34.77 to account for the cost of employer provided benefits. For state and local government
workers, wages represent 61.9% of total compensation in 2020, therefore the multiplier is 1.62 (1/0.619).

19

Collection
Instrument

Affected
Public

Number of
Frequency
Respondents of
Response

Estimated
Average
Annualized
Hours
Burden Per
Response

Estimated
Total
Annualized
Hours
Burden

Annualized
Burden Hours
Estimate
Source

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category

1. Maintaining
Bidders Lists

Recipients of
DOT funds

1,198

3 times per
year

71 hours

255,174
hours

$8,872,399

2. Maintaining
DBE
Directories

Certifying
132
entities of
DOT funding
recipients

12 times
per year

373 hours

590,832
hours

36 times
per year

1,145
hours

49,381,560
hours

Average of four
responses
ranging from
150 – 9,200.
DOT obtained
the numbers
from four
recipients.
Average of five
responses
ranging from 10
– 1,300. DOT
obtained the
numbers from
five certifying
entities.
This is the
average of six
recipient
responses
ranged from 45
– 2000 hours.

3.Monitoring
Recipients of
the
DOT funds
performance of
DBE program
participants

1,198

$20,543,228

$1,716,996,841

20

Collection
Instrument

Affected
Public

Number of
Frequency
Respondents of
Response

Estimated
Average
Annualized
Hours
Burden Per
Response

Estimated
Total
Annualized
Hours
Burden

Annualized
Burden Hours
Estimate Source

Estimated
Annualized
Cost for
Respondents
Based on Wage
Rate Category

4. Addressing
overconcentration
of DBEs in certain
types of work

Recipients of
DOT funds

1,198

0 times per
year

0 hours

0 hours

$0

5. Setting overall
goals for DBE
participation in
DOT-assisted
contracts
6. Analyzing
discrepancies
between Uniform
Report data and
recipients’ overall
goals

Recipients of
DOT funds

1,198

Once a
year

16 hours

19,168
hours

Recipients of
DOT funds

450

Once per
year

650 hours

292,500
hours

The OAs that
administer the
program (FAA,
FHWA, FTA)
reported that they
have not received
a report of
overconcentration
in more than 10
years.
This is the average
of six stakeholder
responses ranging
from 16 – 500
hours.
This is the average
of seven
stakeholder
responses ranging
from 3 – 2,000
hours.

$666,471

$10,170,225

21

Collection
Instrument

Affected
Public

Number of
Frequency
Respondents of
Response

Estimated
Average
Annualized
Hours
Burden Per
Response

Estimated
Total
Annualized
Hours
Burden

Annualized
Burden Hours
Estimate Source

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category

7a. Requiring
transit vehicle
manufacturers to
comply with the
DBE regulation’s
goal setting
requirements

FTA
recipients

328

33 times
per year

1.1 hours

11,920
hours

This is the average
of three recipient
responses ranging
from 1 – 40 hours.

$414,458

7b. Requiring
TVMs to comply
with the DBE
regulation’s goal
setting
requirements

TVMs

63

Once per
year

100 hours

6,300 hours

This is the
response from one
TVM.

$219,051

22

Collection
Instrument

Affected
Public

Number of
Frequency
Respondents of
Response

Estimated
Average
Annualized
Hours
Burden Per
Response

Estimated
Total
Annualized
Hours
Burden

Annualized
Burden Hours
Estimate
Source

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category

8. Projecting which Recipients of
portions of overall
DOT funds
goals of DBE
participation will be
met through raceneutral means and
which portions will
be bet through raceconscious means

1,198

Once per
year

47 hours

56,306
hours

This is the
average of six
recipient
responses
ranging from 3
– 1,387 hours.

$1,967,759

9. Documenting
and submitting
evidence of having
made “good faith
efforts” to secure
DBE participation
in DOT-assisted
contracts

1,198

72 times
each year

1 hour

86,256
hours

This is the
average of five
recipient
responses
ranging from 2
– 192 hours.

$2,999,121

Recipients of
DOT funds

23

Collection
Instrument

Affected
Public

Number of
Frequency of
Respondents Response

Estimated
Average
Annualized
Hours
Burden Per
Response

Estimated
Total
Annualized
Hours
Burden

Annualized
Burden Hours
Estimate
Source

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category

10. Drafting and
updating Unified
Certification
Program (UCP)
Agreements
11. Evaluating the
DBE certification
eligibility of
applicant firms

Recipients of
DOT funds

53

Once per year

50 hours

2,650 hours

This is the
average of two
recipient
responses.

$92,140

Recipients of
DOT funds
that perform
DBE
certification
functions

132

40 times per
year

1,146 hours

6,050,880
hours

12. Maintaining
copies of denial
letters sent to
applicant firms and
sending copies to
DOT upon request

Recipients of
DOT funds
that perform
DBE
certification
functions

132

2.5 times each
month

112 hours

36,960
hours

This is the
$210,389,097
average of three
recipient
responses
ranging from
240 – 2000
hours.
This is the
$1,285,099
average of three
recipient
responses within
a very narrow
range.

24

Collection
Instrument

Affected
Public

13. Removing
the eligibility
of a DBE firm

Recipients of
DOT funds
that perform
DBE
certification
functions
Recipients of
DOT funds
that perform
DBE
certification
functions

14. Mailing
and
maintaining
copies of
summary
suspension
notices

Number of
Frequency
Respondents of
Response
38

53 times
each year

132

5 times
each year

Estimated
Annualize
d Hours
Burden
per
Response
116 hours

84 hours

Estimated
Total
Annualized
Hours
Burden
233,624
hours

55,440
hours

Annualized
Hours Burden
Estimate
Source
This is the
average of three
recipient
responses
ranging from 60
– 180 hours.
This is the
average of three
recipient
responses
ranging from 12
– 180 hours.

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category
$8,123,106

$1,927,648

25

Collection
Instrument

Affected
Public

Number of
Frequency
Respondents of
Response

15. Sending
Recipients of
the Department DOT funds
a full
administrative
record when
the Department
gives notices
that a denied or
decertified
firm appeal to
the Department
and
maintaining a
copy of the
record

50

3 times per
year

16. Providing a
copy of
application
materials to an
additional state
when a
certified firm
applies to
another state

68

Once per
year

DBE firms
applying for
interstate
certification

Estimated
Annualized
Hours
Burden per
Response
150 hours

Estimated
Total
Annualized
Hours
Burden
22,500
hours

15 hours

1,020 hours

Annualized
Hours Burden
Estimate
Source
This is the
average of three
recipient
responses
ranging from 2
– 200 hours.

The Department
consulted with
two experts who
assist firms with
the application
process.

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category
$782,325

$35,465

26

Collection
Instrument

Affected
Public

17. Writing
and submitting
narratives of
social and
economic
disadvantage
when applying
for DBE
certification
based on an
individualized
showing of
disadvantage

Firms
applying for
DBE
certification
whose owners
are not
presumed
socially and
economically
disadvantaged

Number of
Frequency
Respondents of
Response
264

Once per
year

Estimated
Annualized
Hours
Burden per
Response
90 hours

Total Respondent Burdens: 57,227,091.5 hours / $19,909,435,723

Estimated
Total
Annualized
Hours
Burden
23,760
hours

Annualized
Hours Burden
Estimate
Source
The Department
consulted with
two experts who
assist firms with
the application
process.

Estimated
Annualized Cost
for Respondents
Based on Wage
Rate Category
$826,135

27

13. Estimate of the total annual costs burden. Provide an estimate of the total annual cost burden to respondents or
recordkeepers resulting from the collection of information. (Do not include the costs of any hour burden shown in items 12
and 14).
- The cost estimates should be split into two components: (A) a total capital and start-up cost component (annualized over its
expected useful life); and (B) a total operation and maintenance and purchase of services component. The estimates should
take into account costs associated with generating, maintaining, and disclosing or providing the information. Include
descriptions of methods used to estimate major cost factors including system and technology acquisition, expected useful life of
capital equipment, the discount rates(s), and the time period over which costs will be incurred. Capital and start-up costs
include, among other items, preparations for collecting information such as purchasing computers and software; monitoring,
sampling, drilling and testing equipment; and record storage facilities.
- If cost estimates are expected to vary widely, agencies should present ranges of cost burdens and explain the reasons for the
variance. The cost of purchasing or contracting out information collection services should be a part of this cost burden
estimate. In developing cost burden estimates, agencies may consult with a sample of respondents (fewer than 10), utilize the
60-day pre-OMB submission public comment process and use existing economic or regulatory impact analysis associated with
the rulemaking containing the information collection, as appropriate.
- Generally, estimates should not include purchases of equipment or services, or portions thereof, made (1) prior to October 1,
1995, (2) to achieve regulatory compliance with requirements not associated with the information collection, (3) for reasons
other than to provide information or keep records for the government, or (4) as part of customary and usual business or
private practices.
This information is not available, as costs to recipients and DBEs for these collections are not broken out in any way that allows
the Department to identify costs specific to this task.

28

14. Estimates of costs to the Federal Government. Provide estimates of annualized cost to the federal government. Also,
provide a description of the method used to estimate costs, which should include quantification of hours, operational expenses
such as equipment, overhead, printing, and support staff, and any other expense that would not have been incurred without
this collection of information. Agencies also may aggregate cost estimates from items 12, 13, and 14 in a single table.
The table below provides estimates of the annualized cost to the federal government. DOT employees who are involved with the
DBE program are located throughout the United States including Los Angeles, CA, Washington, D.C., and New York, NY. To
measure the burden on the federal government, this analysis estimates a DOT employee’s wage rate based on the average wage rate
of the 2021 General Schedule Locality Pay Tables, Hourly Rate GS-13 Step 05 wage rate for these locations. The average hourly
compensation rate for a DOT employee who works on DOT’s programs is $56.73. https://www.opm.gov/policy-data-oversight/payleave/salaries-wages/2021/general-schedule/ Including a compensation factor of 1.75, the DOT employee’s compensation rate is
$99.27.

RESOURCE

PAY GRADE

1. Maintaining Bidders
Lists

N/A

N/A

ESTIMATED
TIME TO
REVIEW
EACH
RESPONSE
0 hours

2. Maintaining DBE
Directories

N/A

N/A

0 hours

COLLECTION
INSTRUMENT

ESTIMATED
ANNUALIZED
HOURS
BURDEN

ESTIMATED
ANNUALIZED COST
BURDEN

0 hours

$0

0 hours

$0

29

4. Addressing
N/A
overconcentration of
DBEs in certain types of
work
5. Setting overall goals
N/A
for DBE participation in
DOT-assisted contracts

N/A

ESTIMATED
TIME TO
REVIEW
EACH
RESPONSE
0 hours

N/A

0 hours

0 hours

$0

6. Analyzing
discrepancies between
Uniform Report data
and recipients’ overall
goals

Fully loaded
compensation rate
based on GS 13
step 5 and 1.75
compensation
factor
($99.27/hour)
N/A

7 hours

174 hours

$695

0 hours

0 hours

$0

COLLECTION
INSTRUMENT

RESOURCE

Equal
Opportunity
Specialist

7. Requiring transit
N/A
vehicle manufacturers to
comply with the DBE
regulation’s goal setting
requirements

PAY GRADE

ESTIMATED
ANNUALIZED
HOURS
BURDEN

ESTIMATED
ANNUALIZED COST
BURDEN

0 hours

$0

30

RESOURCE

PAY GRADE

8. Projecting which
portions of overall goals
of DBE participation
will be met through
race-neutral means and
which portions will be
bet through raceconscious means

N/A

N/A

ESTIMATED
TIME TO
REVIEW
EACH
RESPONSE
0 hours

9. Documenting and
submitting evidence of
having made “good
faith efforts” to secure
DBE participation in
DOT-assisted contracts

N/A

N/A

0 hours

0 hours

$0

10. Drafting and
updating Unified
Certification Program
(UCP) Agreements

N/A

N/A

0 hours

0 hours

$0

11. Evaluating the DBE
certification eligibility
of applicant firms

N/A

N/A

0 hours

0 hours

$0

COLLECTION
INSTRUMENT

ESTIMATED
ANNUALIZED
HOURS
BURDEN

ESTIMATED
ANNUALIZED COST
BURDEN

0 hours

$0

31

COLLECTION
INSTRUMENT
12. Maintaining copies
of denial letters sent to
applicant firms and
sending copies to DOT
upon request

RESOURCE

PAY GRADE

N/A

N/A

13. Removing the
Equal
eligibility of a DBE firm Opportunity
Specialist in
the
Departmental
Office of
Civil Rights
14. Mailing and
Equal
maintaining copies of
Opportunity
summary suspension
Specialist in
notices
the
Departmental
Office of
Civil Rights

Fully loaded
compensation rate
based on GS 13
step 5 and 1.75
compensation
factor
($99.27/hour)
Fully loaded
compensation rate
based on GS 13
step 5 and 1.75
compensation
factor
($99.27/hour)

ESTIMATED
TIME TO
REVIEW
EACH
RESPONSE
0 hours

ESTIMATED
ANNUALIZED
HOURS
BURDEN

ESTIMATED
ANNUALIZED COST
BURDEN

0 hours

$0

1 hour

12 hours

$1,191

30 minutes

6 hours

$595

32

COLLECTION
INSTRUMENT

RESOURCE

PAY GRADE

15. Sending the
Department a full
administrative record
when the Department
gives notice that a
denied or decertified
firm appeals to the
Department and
maintaining a copy of
the record

Equal
Opportunity
Specialist in
the
Departmental
Office of
Civil Rights

Fully loaded
compensation rate
based on GS 13
step 5 and 1.75
compensation
factor
($99.27/hour)

16. Providing a copy of
application materials to
an additional state when
a firm certified in its
home state applies to
another state for
certification (interstate
certification)

N/A

N/A

ESTIMATED
TIME TO
REVIEW
EACH
RESPONSE
1 hour

0 hours

ESTIMATED
ANNUALIZED
HOURS
BURDEN

ESTIMATED
ANNUALIZED COST
BURDEN

12 hours

$1,191

0 hours

$0

33

COLLECTION
INSTRUMENT
17. Writing and
submitting narratives of
social and economic
disadvantage when
applying for DBE
certification based on an
individualized showing
of social and economic
disadvantage (49 CFR
26.67(d) and Appendix
E)

RESOURCE

PAY GRADE

N/A

N/A

ESTIMATED
TIME TO
REVIEW
EACH
RESPONSE
0 hours

ESTIMATED
ANNUALIZED
HOURS
BURDEN

ESTIMATED
ANNUALIZED COST
BURDEN

0 hours

$0

TOTAL ANNUALIZED COST BURDEN: $3,672
15. Explanation of the program change or adjustments. Explain the reasons for any program changes or adjustments reported
in items 13 or 14.
There are no program changes or adjustments.
16. Publication of results of data collection. For collections of information whose results will be published, outline plans for
tabulation, and publication. Address any complex analytical techniques that will be used. Provide the time schedule for the
entire project, including beginning and ending dates of the collection of information, completion of report, publication dates,
and other actions.
The information in DBE directories is available on UCP websites. Firms ineligible for DBE certification are listed on DOT’s website.

34

17. Approval for not displaying the expiration date of OMB approval. If seeking approval to not display the expiration date
for OMB approval of the information collection, explain the reasons that display would be inappropriate.
DOT is not seeking this approval.
18. Exceptions to the certification statement. Explain each exception to the certification statement “Certification for
Paperwork Reduction Act Submissions.”
None of the information collections in this supporting statement have such an exception.