Industry advocates dey warn say low DBE recertifications fit affect minority contracting goals for big projects like Blatnik Bridge replacement.
MADISON, Wis. — After federal ruling reset Disadvantaged Business Enterprise Program, Wisconsin Department of Transportation note low number of businesses wey recertify for disadvantaged program this spring. If low trend continue, e fit affect how state set minority contracting goals for future highway projects.
Last fall, state record around 1,300 minority- or women-owned firms wey dey work for construction or airports, but only small fraction apply for recertification. Total of 122 out of 796 eligible firms apply for recertification between February and April 2, WisDOT officials tok. Eighty-seven applications get preliminary approval from state’s Unified Certification Program, wey be application system wey transportation department manage, and firms go get notification after all applications review finish.
Department expect say overall triennial goal go be affected and likely lower than previous years. But e also caution say dem no certain of dip until recertification process and DBE goal setting method complete. Project goals dey set case-by-case based on number of DBE firms available, work type, and location.
Some minority- and women-owned firms credit DBE Program as chance to show their skills to contractors, and others tok say dem don outgrow program. “When state DOTs set their goals for projects moving forward, dem base those goals on available or approved firms currently within dat state,” tok Ugo Nwagbaraocha, president of National Association of Minority Contractors – Wisconsin Chapter and vice president of NAMC national organization. Dat percentage fit be significantly lower at current number of recertifications, Nwagbaraocha add.
Declining trend fit lower goals for Wisconsin future megaprojects like John A. Blatnik Bridge replacement for Duluth, Minnesota, and Zoo Interchange project for Milwaukee. Plus, low recertification fit also affect minority contracting goals for other big projects like I-94 expansion and US 41 project for Green Bay, Nwagbaraocha tok.
“DBE firms, we dey critical to economy, hiring, and employment. If low recertification move forward currently, dis go affect not just DBE firms but entire economy,” Nwagbaraocha tok. Low turnout fit also affect status of national DBE Program itself, e add.
DBE Program get roots back to Ronald Reagan administration and na to give small businesses access to federally assisted transportation and airport concessions projects. But program face legal challenges from some businesses wey sue U.S. Department of Transportation alleging dem lose business to DBE-certified firms based on race and sex. After court ruling, U.S. DOT change policy.
Infrastructure Investment and Jobs Act of 2021 mandate 10% of all new surface transportation funding — worth more than $37 billion — go spend through DBE Program. For January 2025, President Donald Trump sign executive order to end diversity, equity, and inclusion programs for public sector. E no clear how many DBE businesses go apply for recertification or how long review process go take.
For February, WisDOT officials tok say applications dey review as soon as dem receive dem. NAMC – Wisconsin Chapter go work with firms wey dey seek access and information for recertification process, Nwagbaraocha tok.
