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DBE/ACDBE Size Standards

The Department of Transportation issued a final rule on December 14, 2020, applicable to the Disadvantaged Business Enterprises (DBE) program regarding an annual inflationary adjustment to the business size standard (business size limit/gross receipts cap) for businesses participating in the DBE program under 49 CFR part 26 and pursuant to the Infrastructure Investment and Jobs Act of 2021.

  1. Effective March 1, 2022 the business size standard for applicant and certified DBEs seeking to participate in FHWA and FTA-assisted contracts is $28.48 million (adjusted from $26.29 million). This adjustment does not apply to the Airport Concession DBE (ACDBE) program under 49 CFR part 23.
  2. Applicant and certified firms must still meet the size standard appropriate to the type of work the firm seeks to perform on DOT-assisted contracts. Business size standards vary by industry according to the North American Industry Classification System (NAICS) code(s) defined by the Small Business Administration (SBA).
  3. The $28.48 million business size standard does not apply to FAA-assisted projects. DBE firms participating in FAA-assisted projects must meet the size standard appropriate to the type of work, based solely on the applicable NAICS code size standard for that work. Unified Certification Program (UCP) directories must clearly indicate which firms are only eligible for counting on FAA-assisted work.

 

DBE Program Size Standards  

*(Firms must meet both SBA and the DBE Statutory Cap)

*Affiliation has the same meaning the term has in the Small Business Administration (SBA) regulations.

SBA Size Measure

DBE Statutory Cap

SBA business size standard(s) found in 13 CFR part 121 appropriate to the type(s) of work the firm seeks to perform in DOT-assisted contracts, including the primary industry classification of the applicant.

See 13 CFR part 121.201

Size limit = $28.48 million

The firm may elect average annual gross receipts over the firm's previous 3 or 5 fiscal years. 

After January 6, 2022, average annual gross receipts over the firm's previous 5 fiscal years.

See 13 CFR part 121.104(c)

Average annual gross receipts over the firm's previous  fiscal years.

See 26.65(b), 2021 Final Rule, DBE Guidance on Gross Receipts (2020)

*DBEs working on FAA contracts are only subject to the SBA size standards. DBEs working on FHWA and FTA contracts are subject to both the SBA size and the DBE statutory gross receipts standards. 

    ACDBE Program Size Standards

*Affiliation has the same meaning the term has in the Small Business Administration (SBA) regulations, except that the provisions of SBA regulations concerning affiliation in the context of joint ventures (13 CFR §121.103(h)) do not apply to this part.

Size Limit

Regulation

$56.42 million (Average annual gross receipts over the firm's 3 previous fiscal years)

23.33(a)

Banks and financial institutions: $1 billion in assets

23.33 (b)(1)

Car rental companies: $75.23 million (Average annual gross receipts over the firm's three previous fiscal years).

23.33 (b)(2)

Pay telephones: 1,500 employees

23.33 (b)(3)

Automobile dealers: 350 employees.

23.33 (b)(4)

 

Last updated: Tuesday, March 1, 2022