2022 DBE Availability Study

2022 DBE Availability Study

Proposed DBE Goals (FHWA, FTA, FAA)

ADOT has developed new overall proposed DBE goals for the U.S. Department of Transportation (FHWA, FTA and FAA) funded contracts and is seeking public input.

FHWA-funded contracts - ADOT is proposing an overall DBE goal for Federal Highway Administration funded contracts of 12.55% (for federal fiscal year 2024 through 2026), which updates its current goal of 12.89%. In recent years, ADOT has achieved DBE participation very close to this goal.

Based on relative availability of DBEs for these contracts and other factors, ADOT projects that it will not be able to achieve all of this goal solely through race-and gender-neutral means (ADOT small business programs and other efforts) and that a portion will need to be achieved through continued use of DBE contract goals. A new overall DBE goal must go into effect on Oct. 1, 2023.

 

FAA-funded contracts

 ADOT is proposing an overall DBE goal for Federal Aviation Administration funded contracts of 9.72% (for federal fiscal years 2025 through 2027), which updates its current goal of 10.69%. ADOT proposes to continue to meet all of this overall DBE goal through race- and gender-neutral means and does not plan to use DBE contract goals for these contracts. A new overall DBE goal must go into effect on Oct. 1, 2024.

 

FTA-funded contracts

ADOT is proposing an overall DBE goal for Federal Transit Administration funded contracts of 9.85% (for federal fiscal years 2025 through 2027), which updates its current goal of 14.51%. ADOT proposes to continue to meet all of this overall DBE goal through race- and gender-neutral means and does not plan to use DBE contract goals for any of these contracts. A new overall DBE goal must go into effect on Oct. 1, 2024.

DBE Availability Study

The Arizona Department of Transportation (ADOT) commissioned Keen Independent Research in May 2022 to conduct an availability study to determine the availability of women-and minority-owned companies to participate in ADOT work. Information from the study will help ADOT evaluate and refine their efforts to encourage the participation of minority-and women-owned businesses in their contracts and help inform any adjustments that ADOT might make to its implementation of the Disadvantaged Business Enterprise (DBE) Program. 

Every three years, ADOT must set an overall annual goal for DBE participation in its federally funded contracts. The study results will provide information for ADOT to adopt new overall DBE goals in 2023.

The study team will contact businesses by phone in the Summer of 2022 to collect information about their availability for different types of ADOT and local agency projects. Customer Research International will conduct these telephone surveys.

Project Initiation

ADOT and Keen Independent Research kicked off the availability study in May 2022 with a series of meetings with various ADOT departments and representatives. Keen Independent Research met with ADOT to introduce the study; answer questions; and begin the process of understanding contracting and vendor data that state agencies maintain.  .

Study Team

Keen Independent is a national economic consulting firm. David Keen and Annette Humm Keen are leading this assignment. Mr. Keen has led more than 100 availability and disparity studies including the previous ADOT Disparity Study in 2020 and the availability study in 2016.

The study team includes Holland & Knight, Customer Research International and Gordley Group in Tucson.

Study Schedule

Keen Independent Research initiated the availability study in May 2022 and will complete the study at the end of Nov. 2022. Once the draft Availability Study and ADOT’s proposed DBE goal are prepared in Nov. 2022, ADOT will release them for public review and comment. Two public meetings regarding the proposed goal will be held late Nov. 2022, and early Dec.2022, with a public comment period open through Dec. 30, 2022