DBE IS NOT DEI

DEI

Diversity, equity and inclusion (DEI) refers to practices and policies intended to support people who come from varying backgrounds and give them the resources they need to thrive in the workplace. DEI frameworks take into account factors like race, gender and sexual orientation, so teams can find ways to help employees from marginalized groups succeed. There is no burden of proof for individuals claiming diverse backgrounds.

According to Forbes magazine; “Organizations begin to embrace DEI as a holistic approach aiming to promote diversity in representation, ensure equitable access to opportunities, and foster an inclusive environment where everyone feels valued and can fully participate.”

DBE

The DBE program is an economic development program designed to help foster and grow small businesses, similar to the SBA program. A Disadvantaged Business Enterprise or DBE is a for-profit small business concern engaged in business activities (1) That is at least 51 percent owned by one or more individuals who are both socially and economically disadvantaged; and (2) Whose management and daily business operations are controlled by one or more of the socially and economically disadvantaged individuals who own it.

The Infrastructure, Investment, and Jobs Act requires the Department to establish minimum uniform criteria for use by State government agencies in certifying whether a concern qualifies as a small business concern. Applicants carry the initial burden of proof regarding their eligibility and must demonstrate that they meet all certification requirements, expertise in their area of business in addition to social and economic disadvantaged status. Certification agencies follow the recommendations from annual disparity studies conducted in their respective states - requirements found in 49 CFR Part 26 to certify or deny firm DBE status.

In the State of Indiana, the total DBE spend is approximately 5% of total infrastructure spending. With the recent lawsuits filed against the program by majority companies, the success of many small DBE businesses is at risk.