Since Oct. 3, 2025, the federal Disadvantaged Business Enterprise program has been in a state of enhanced chaos due to an Interim Final Rule, which effectively de-certified all existing DBE firms.
The DBE program is a component of most federally funded transportation projects, with goals assigned at the time of procurement for a certain percentage of the contract value required to go to a certified DBE firm. These are prevalent on contracts for both construction and professional services.
The current federal administration has taken a brash approach to removing and dismantling all forms of Diversity, Equity and Inclusion programs, and the DBE program is no exception. Up until this IFR in October 2025, obtaining a DBE certification was relatively straightforward, as race and gender were considered objective measures of disadvantage, along with personal net worth of the owner(s) not exceeding a defined threshold…