Changes to the Federal DBE Program: “What You Need to Know”

Dear DDOT Agency Partners, Contractors, Consultants and Stake Holders,

We are reaching out to share important information with you regarding changes to the USDOT Federal Disadvantaged Business Enterprise (DBE) program. Please see the attached Memorandum from the District Department of Transportation regarding the U.S. Department of Transportation Interim Final Rule (IFR) on the Disadvantaged Business Enterprise (DBE) Program and key factors below:

On September 30, 2025, the U.S. Department of Transportation (USDOT) issued an Interim Final Rule (IFR) effective October 3, 2025, that eliminates race- and sex-based presumptions in the Disadvantaged Business Enterprise (DBE) and Airport Concessions DBE (ACDBE) programs. All firms must now prove social and economic disadvantage on an individual basis. This includes those seeking certification and those who currently hold a certification will be reevaluated, and those who do not demonstrate social & economic disadvantage will be decertified.

Access the IFR here.

DBE IFR 10-03-2025

While we await further guidance from USDOT, we foresee this being the new process in reevaluation. According to the IFR, each Unified Certification Program (UCP) must:

• • Identify each currently certified DBE/ACDBE;
• • Provide current DBE/ACDBE firms with the opportunity to submit documentation demonstrating its eligibility under the new standards;
• • Determine whether each firm meets the new eligibility standards; and
• • Issue a written decision to each firm indicating that it has either been recertified or is decertified.

Firms will need to provide a "personal narrative" showing that they are, indeed, socially, and economically disadvantaged without regards to race and gender.

This is the most current information we have available but will continue to keep you updated as we learn more. Please email any questions regarding the information herein provided to the DBE branch at dbe.ddot@dc.gov

DDOT DBE Compliance Team.

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