DBE GOAL SETTING                                           DBE GOAL                                               ─ Work Categories
                                                                                                                         The work items that are considered
                                                            SETTING PROCESS                                              subcontractable are then classified into
Why are project goals set?                                                                                               the appropriate DBE work category,
The Disadvantaged Business Enterprises
                                                                                                                         which can be found in the DBE
(DBE) program is mandated by Congress                 When the Civil Rights Office sets a goal                           Directory at:
under TEA 21 (Transportation Equity Act               on a project many factors are taken into
for the 21st Century). DBE goal setting               consideration.                                                      www.dot.state.ak.us/cvlrts/index.shtml
requirements, detailed in 49 CFR Part 26,                                                                                Generally, bid items in work categories
are passed down to the State as part of                 •    Scope of the project                                        that do not have at least three DBEs
the DBE program and required as a                                                                                        listed in the project’s region are not
condition of the funding agreement. If the
                                                        •    The type of contractor who would                            considered subcontractable to DBEs.
State does not meet the DBE
                                                             most likely bid as a prime on the
requirements, the State will be ineligible
to receive USDOT assisted funding.
                                                             project                                                  ─Project Location
                                                                                                                         Individual work items, or groupings of
                                                        •    Location of the project                                     like work items with relatively low dollar
Who sets this goal?                                                                                                      values are generally not considered
The Civil Rights Office                                 •    Inter-dependence-of-time of the bid                         subcontractable on projects in locations
                                                             items                                                       with high shipping or mobilization costs.
How are project goals set?
Setting goals is a process of reviewing                 •    Available DBEs for the type and                          ─Project Timing
projects and eliminating bid items that                      area of work                                                Bid items that require tight scheduling,
aren’t reasonable to be subcontracted to                                                                                 or significantly control overall project
DBEs. The basic steps of goal setting                   •    Other factors that may vary from                            timing are best handled by the prime
are outlined in this brochure.                               project to project.                                         contractor would not be considered
                                                                                                                         subcontractable. Generally such
What is a goal?                                                                                                          determination is made in conjunction
Project goals establish the amount of                                                                                    with the Department’s Design and
DBE participation that is believed can be
                                                      Project Review
                                                                                                                         Construction sections.
reasonably achieved and is one of the
ways the department meets federal DBE                ─ Project Scope
program requirements. DBE goals have                    The scope of the project and overall                           Goal Calculation
two parts:                                              dollar value of the primary bid items are
                                                        considered to determine the type of                            The DBE goal is then calculated as a
(1) DBE Utilization Goal; the percentage                                                                               percentage of the total estimated dollar
                                                        contractor likely to bid as a prime. The
    of the basic bid amount that must be                                                                               value of the DBE subcontractable bid
                                                        bid items typically performed by the
    satisfied by DBE subcontracts.                                                                                     items over the total basic bid amount.
                                                        assumed prime contractor are generally
(2) DBE Work Categories; used if DBE                    not considered subcontractable to                              This percentage is considered the
    Utilization Goal cannot be met and a                DBEs.                                                          maximum justifiable DBE goal.
    Good Faith Effort is required to be
    demonstrated by the contractor.
                                     “Providing for the safe movement of people and goods and the delivery of State services.”
Goal Adjustment                                     CONTACT INFORMATION

                                                ADOT&PF Civil Rights Office
Setting DBE goals varies greatly from
                                                PO Box 196900

                                                                                                                                 DBE COMPLIANCE
project to project. Sometimes important         Anchorage, AK 99519-6900
details of a project are not available at the
time the goal is calculated. For that           Physical address:
                                                2200 E. 42nd Avenue
                                                                                                          Project Goal
reason, the Civil Rights Office welcomes
public questions and comments on DBE            Phone: 907-269-0851 or
                                                1-800-770-6236 (within Alaska)
                                                                                                          Setting for
project goals.
                                                Fax: 907-269-0847

What if a goal can’t be met?
                                                TTY: Contact Relay Alaska
                                                     1-800-770-8255                                       Participation
                                                Web site:
Before a project is awarded the low                http://www.dot.state.ak.us/cvlrts/index.shtml
bidder is required to meet (or exceed) the
goal percent set on a project, or submit        The Civil Rights Office (CRO) certifies all
an acceptable Good Faith Effort (GFE)           Disadvantaged Business Enterprises (DBEs) for the
when the goal percentage is not met.            Alaska Unified Certification Program. The CRO also
                                                ensures statewide compliance with the Alaska
A bidder may meet the project DBE               Department of Transportation and Public Facilities
                                                (ADOT&PF) federal non-discrimination and affirmative
project goal by utilizing DBE(s) as
                                                action obligations as a condition of continued federal
subcontractors or by having DBE(s)
                                                funding for highway and airport construction.             Alaska Department of
supply creditable materials or goods. The
DBE must be certified in the DBE
                                                ADOT&PF promotes opportunities for socially and           Transportation and
                                                                                                          Public Facilities
                                                economically disadvantaged individuals to participate
category for the work to be performed, or       on federally funded highway and aviation projects
items to be supplied in order to receive        through the DBE Program.
credit toward meeting the DBE project
                                                It is the policy of the ADOT&PF to ensure compliance
goal for award. This is regardless of
                                                with Title VI of the Civil Rights Act of 1964, related
whether the Work Category is designated
                                                statutes and regulations to the end that no person
on the DBE Subcontractable Items form
                                                shall be excluded from participation in or be denied
(25A-324).                                      the benefits of, or be subjected to discrimination
                                                under any program or activity receiving federal
Should a low bidder not meet the DBE            financial assistance from the U.S. Department of
Utilization Goal percent on a project the       Transportation on the grounds of race, color, sex,        Civil Rights Office
bidder must be able to demonstrate an           age, disability, or national origin.
acceptable GFE as outlined in the
Section (Special Provision) 120.                                                        Rev: March 2008

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