Infrastructure Law to Fund DBE Supportive Services

It comes at a time of large-scale infrastructure investment.

Source : Contactor News

January 26, 2023

Author : Patty Allen

The Federal Highway Administration (FHWA) announced new resources from President Biden's Bipartisan Infrastructure Law to create economic opportunity for disadvantaged entrepreneurs and workers.

These resources include:

  1. Offering new guidance to support federal investment in workforce development, training, and education to help meet the demand generated by the President's investment in rebuilding the nation's infrastructure.
  2. FHWA's Disadvantaged Business Enterprise/Supportive (DBE/SS) Funding offers $10 million for supporting small businesses run by minorities, women, and socially or economically disadvantaged people.

The U.S. Transportation Secretary Pete Buttigieg said, "It is critical that the historic infrastructure investments we are making reach the places and people who need them the most." 

“To realize the potential of President Biden’s bipartisan infrastructure package, we must provide disadvantaged businesses a chance to grow and train a workforce that meets tomorrow's challenges," explained Federal Highway Administrator Shailen Bhatt.

FHWA's Fiscal Year 2022 DBE/SS program funds were allocated to 47 State DOTs, including the District of Columbia, Puerto Rico, and the United States Virgin Islands. The infrastructure law provides $50 million in financing for the DBE/SS program through 2026. The money enables participating states to give qualifying small businesses training and business development services to increase their ability to compete as prime and subcontractors on federally subsidized contracts.

Each year, FHWA distributes DBE/SS money based on statements of work provided by state DOTs, and an administrative formula is used to calculate funding for each recipient. This year, six states and territories turned down assistance, which was reallocated among the remaining recipients.

The funding amount report from the Fiscal year 2022 shows California received the highest grant of $929,389 while the District of Columbia received only $48,308. 

Category : Disadvantaged Business Enterprises Federal Government

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