IDOT Revising Upcoming Letting and Certification Process to Best Support Small and Minority-Owned Businesses
In response to new Trump administration contracting rule, IDOT implementing steps to preserve federal funding while supporting the Disadvantaged Business Enterprise program
SPRINGFIELD – The Illinois Department of Transportation has announced that it has begun the process to recertify firms to qualify them for participation in the Disadvantaged Business Enterprise program. In addition, IDOT will remove some contracts in its upcoming November letting to protect homegrown, small, disadvantaged businesses and ensure a continued level playing field on state projects. Adjusting the November letting will enable more time for businesses to get recertified while also preserving access to federal funding. These moves are in response to a new federal rule imposed under the Trump administration that’s designed to deny local minority- and women-owned firms the opportunity to participate on state contracts through the longtime DBE program. The federal change enacts new bureaucratic requirements on DBE certification, which potentially jeopardize the timely delivery of projects across Illinois.
“Despite President Trump’s attempts to stifle minority-, veteran- and women-owned businesses, the state of Illinois remains committed to uplifting them,” said Gov. JB Pritzker. “State investments are a cornerstone of our economy, and we take seriously our responsibility to ensure they reflect and celebrate the diversity of this great state. We encourage eligible businesses to get recertified as DBEs, regardless of attempts to undermine the value of historically underrepresented businesses by the federal government.”
In response to these changes at the federal government, IDOT will limit contracts to those that are critical to public safety to proceed in the November letting, which will provide firms the time and resources needed to recertify in the DBE program. There are currently 144 projects with an estimated $409 million value on the letting. Which contracts will proceed and the timeline to place the paused contracts on future lettings remain under review.
The federal government established the DBE program more than 40 years ago to create a path for small, disadvantaged businesses to take part in federally funded transportation projects to remedy past and ongoing discrimination. The program also provided parameters for states to set DBE goals on projects. Through the DBE program administered in Illinois, IDOT has made enormous strides in leveling the playing field for diverse businesses previously left out of government contracting opportunities.
Historically, the program relied on the presumption that members of certain racial or ethnic minority groups and women were disadvantaged for purposes of obtaining the needed DBE certification.
Under the new rule issued by the Trump administration earlier this month, all firms now must follow a time-consuming process to prove they are disadvantaged, leaving no chance for them to participate in the next IDOT letting on Nov. 7.
“A core principle at IDOT is to provide opportunity for those who have been unfairly left out of the process to invest, build and create wealth in their communities,” said Illinois Transportation Secretary Gia Biagi. “Unfortunately, recent changes at the federal level are creating new challenges, which we are committed to overcome by working with our partners to address. We are proud of the success stories that have come from our DBE program and look forward to many more in the years ahead.”
Firms must be recertified by a state Unified Certification Program to be considered an eligible DBE. In Illinois, the UCP is comprised of IDOT, the City of Chicago, the Chicago Transit Authority, Metra and Pace.
Along with its UCP partners, IDOT is embarking on an aggressive timeline for recertifying existing DBE firms, committing to having eligible firms recertified by the end of the year. Until that time, no DBE goals can be placed on contracts.
IDOT’s Bureau of Small Business Enterprises is hosting district workshops around the state to assist DBEs with their recertification process. IDOT has scheduled events Oct. 21-27 in each of its nine districts. Supportive services consultants also are available for one-on-one assistance in recertification. Guidance for firms can be found on IDOT’s website.
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Paul Wappel
Guy Tridgell