I 

118TH CONGRESS 

1ST SESSION H. R. 832 

To amend title 49, United States Code, to direct the Secretary of Transportation to strengthen and advance certain disadvantaged businesses, and 

for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 6, 2023 

Mr. GARCI ́A of Illinois (for himself and Mr. JOHNSON of Georgia) introduced 

the following bill; which was referred to the Committee on Transportation 

and Infrastructure, and in addition to the Committee on Small Business, 

for a period to be subsequently determined by the Speaker, in each case 

for consideration of such provisions as fall within the jurisdiction of the 

committee concerned 

A BILL 

To amend title 49, United States Code, to direct the Secretary of Transportation to strengthen and advance certain disadvantaged businesses, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Giving Disadvantaged 

5 Businesses Opportunities for Success Act’’. 

6 SEC. 2. TABLE OF CONTENTS. 

7 The table of contents for this Act is as follows: 


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Sec. 1. Short title. 

Sec. 2. Table of contents. 

Sec. 3. Congressional findings on the importance of disadvantaged businesses. 

Sec. 4. Definitions. 

Sec. 5. Severability. 

Sec. 6. Inflation adjustment to Department of Transportation net worth caps. 

Sec. 7. Update to Department of Transportation Disadvantaged Business Enterprise and ACDBE size standards. 

Sec. 8. Definition of assets under Department of Transportation personal net 

worth test. 

Sec. 9. Additional funding for Department of Transportation Minority Resource 

Center. 

Sec. 10. Improvements to Department of Transportation Disadvantaged Business Enterprise and ACDBE mentor-prote ́ge ́ programs. 

Sec. 11. Department of Transportation Disadvantaged Business Enterprise and 

ACDBE certification universal recognition. 

Sec. 12. Incentives for excellence in Disadvantaged Business Enterprise programs and ACDBE programs. 

Sec. 13. Reporting requirements and standards for waivers and exemptions. 

Sec. 14. Advisory committee on disadvantaged business enterprises and 

ACDBEs. 

Sec. 15. Definition of assets under the Small Business Act. 

1 SEC. 3. CONGRESSIONAL FINDINGS ON THE IMPORTANCE 

2 OF DISADVANTAGED BUSINESSES. 

3 Congress finds the following: 

4 (1) While significant progress has occurred due 

5 to the establishment of the Disadvantaged Business 

6 Enterprise program of the Department of Transpor7 tation under section 11101(e) of the Infrastructure 

8 Investment and Jobs Act (Public Law 117–58), the 

9 ACDBE program of the Department of Transpor10 tation under part 23 of title 49, Code of Federal 

11 Regulations, and the Section 8(a) Business Develop12 ment Program of the Small Business Administration 

13 (established under section 8(a) of the Small Busi14 ness Act (15 U.S.C. 637)), discrimination and re15 lated barriers continue to pose significant obstacles 


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1 for minority- and women-owned businesses seeking 

2 to do business in federally assisted transportation 

3 markets across the United States and through pro4 curement contracts of Federal agencies. 

5 (2) The continuing barriers described in para6 graph (1) merit the continuation of the Disadvan7 taged Business Enterprise program, the ACDBE 

8 program, and the Section 8(a) Business Develop9 ment Program. 

10 (3) Congress has received and reviewed testi11 mony and documentation of race and gender dis12 crimination from numerous sources, including con13 gressional hearings and roundtables, scientific re14 ports, reports issued by public and private agencies, 

15 news stories, reports of discrimination by organiza16 tions and individuals, and discrimination lawsuits, 

17 which show that race- and gender-neutral efforts 

18 alone are insufficient to address the problem. 

19 (4) Some examples of the sources described in 

20 paragraph (3) include the following: 

21 (A) The hearing of the Committee on 

22 Transportation and Infrastructure of the House 

23 of Representatives held on September 23, 2020, 

24 titled ‘‘Driving Equity: The U.S. Department of 


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1 Transportation’s Disadvantaged Business En2 terprise Program’’. 

3 (B) The hearing of the Subcommittee on 

4 Contracting and Infrastructure of the Com5 mittee on Small Business of the House of Rep6 resentatives held on March 2, 2022, titled ‘‘The 

7 8(a) Program: Overview and Next Steps to Pro8 mote Small Business Success’’. 

9 (C) The 2017 Disparity Study of the Illi10 nois Department of Transportation. 

11 (D) The 2018 Disparity Study of the City 

12 of Denver. 

13 (5) The testimony and documentation described 

14 in paragraphs (3) and (4) demonstrate that dis15 crimination across the United States poses a barrier 

16 to full and fair participation of women business own17 ers and minority business owners in federally as18 sisted transportation markets and through procure19 ment contracts of Federal agencies and has im20 pacted the development of such businesses. 

21 (6) The testimony and documentation described 

22 in paragraphs (3) and (4) provide a strong basis 

23 that there is a compelling need for the continuation 

24 of the Disadvantaged Business Enterprise program, 

25 the ACDBE program, and the Section 8(a) Business 


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1 Development Program to address race and gender 

2 discrimination in federally assisted transportation 

3 markets and through procurement contracts of Fed4 eral agencies. 

5 SEC. 4. DEFINITIONS. 

6 In this Act: 

7 (1) ADMINISTRATOR.—The term ‘‘Adminis8 trator’’ means the Administrator of the Small Busi9 ness Administration. 

10 (2) AIRPORT CONCESSION DISADVANTAGED

11 BUSINESS ENTERPRISE.—The terms ‘‘Airport Con12 cession Disadvantaged Business Enterprise 

13 (ACDBE)’’ and ‘‘ACDBE’’ have the meaning given 

14 the term ‘‘Airport Concession Disadvantaged Busi15 ness Enterprise (ACDBE)’’ in part 23.3 of title 49, 

16 Code of Federal Regulations. 

17 (3) CONCERNED OPERATING ADMINISTRA18 TION.—The term ‘‘concerned operating administra19 tion’’ has the meaning given such term in part 26.5 

20 of title 49, Code of Federal Regulations. 

21 (4) DISADVANTAGED BUSINESS ENTERPRISE.— 

22 The term ‘‘Disadvantaged Business Enterprise’’ has 

23 the meaning given such term in part 26.5 of title 49, 

24 Code of Federal Regulations. 


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1 (5) DISADVANTAGED BUSINESS ENTERPRISE

2 ADVISORY COMMITTEE.—The term ‘‘Disadvantaged 

3 Business Enterprise Advisory Committee’’ means 

4 the committee established in section 109 of this Act. 

5 (6) PRIME CONTRACTOR.—The term ‘‘prime 

6 contractor’’ has the meaning given such term in sec7 tion 8701 of title 41, United States Code. 

8 (7) RECIPIENT.—The term ‘‘recipient’’ has the 

9 meaning given such term in parts 23.3 and 26.5 of 

10 title 49, Code of Federal Regulations. 

11 (8) SECRETARY.—The term ‘‘Secretary’’ means 

12 the Secretary of Transportation. 

13 (9) SMALL BUSINESS DEVELOPMENT CEN14 TER.—The term ‘‘small business development cen15 ter’’ has the meaning given such term in section 3 

16 of the Small Business Act (15 U.S.C. 632). 

17 (10) SMALL BUSINESS TRANSPORTATION RE18 SOURCE CENTER.—The term ‘‘small business trans19 portation resource center’’ means an entity funded 

20 by the Office of Small and Disadvantaged Business 

21 Utilization of the Department of Transportation 

22 that provides an array of technical assistance to 

23 build the capacity of small disadvantaged transpor24 tation businesses. 


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1 SEC. 5. SEVERABILITY. 

2 If any provision of this Act, an amendment made by 

3 this Act, or the application of such provision or amend4 ment to any person or circumstance is held to be unconsti5 tutional, the remainder of this Act and the amendments 

6 made by this Act, and the application of such remainder 

7 to any person or circumstance shall not be affected. 

8 SEC. 6. INFLATION ADJUSTMENT TO DEPARTMENT OF 

9 TRANSPORTATION NET WORTH CAPS. 

10 (a) IN GENERAL.—Not later than 1 year after the 

11 date of enactment of this Act, the Secretary of Transpor12 tation shall issue such regulations as are necessary to in13 crease the personal net worth cap contained in parts 23 

14 and 26 of title 49, Code of Federal Regulations, to account 

15 for any inflation that has occurred since the net worth 

16 cap under such parts was increased in the rule submitted 

17 by the Department of Transportation issued on January 

18 28, 2011, titled ‘‘Disadvantaged Business Enterprise: 

19 Program Improvements’’ (76 Fed. Reg. 5083). 

20 (b) PARAMETERS.—In carrying out subsection (a), 

21 the Secretary shall— 

22 (1) use the consumer price index published by 

23 the Bureau of Labor Statistics as the inflation met24 ric; and 

25 (2) account for any inflation that occurred in 

26 the time period between the final effective date of 


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1 the rule submitted by the Department of Transpor2 tation issued on January 28, 2011, titled ‘‘Dis3 advantaged Business Enterprise: Program Improve4 ments’’ (76 Fed. Reg. 5083) and the final effective 

5 date of any rule issued pursuant to subsection (a). 

6 (c) ADDITIONAL INFLATION ADJUSTMENTS.—The 

7 Secretary of Transportation shall issue such regulations 

8 as are necessary to update parts 23 and 26 of title 49, 

9 United States Code, to establish an interval in accordance 

10 with this section to make additional adjustments, after the 

11 adjustment under subsection (a), to the net worth caps 

12 for determining social and economic disadvantage for in13 flation. 

14 (d) IN GENERAL.—Not later than 1 year after the 

15 date of enactment of this Act, the Administrator shall up16 date part 124 of title 13, Code of Federal Regulations, 

17 with respect to the maximum net worth of an individual 

18 claiming economic disadvantage to be equal to the net 

19 worth cap established by the Secretary of Transportation 

20 under section 6. 

21 (e) ADJUSTMENT.— 

22 (1) INTERVAL.—On the first January 1 that is 

23 2 years after the date on which the Administrator 

24 makes the update described in subsection (d), and 

25 annually thereafter, the Administrator shall adjust 


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1 the maximum net worth described in subsection (d) 

2 for inflation using a metric developed by the Admin3 istrator. 

4 (2) METRIC.—In developing the metric de5 scribed in paragraph (1) to account for inflation, the 

6 Administrator shall— 

7 (A) consider using the Consumer Price 

8 Index published by the Bureau of Labor Statis9 tics in such metric; 

10 (B) solicit and consider the recommenda11 tions of the Secretary of Transportation; and 

12 (C) solicit and consider public comment on 

13 the appropriate metric to use and whether such 

14 metric should take into account regional vari15 ations in maximum net worth. 

16 (3) FINAL RULE ON INFLATION METRIC.—Not 

17 later than 1 year after the Administrator solicits 

18 public comment pursuant to paragraph (2), the Ad19 ministrator shall issue a final rule describing the 

20 metric developed under this paragraph. 

21 (f) INTERVAL.—The interval for adjusting the net 

22 worth caps described in subsection (c) shall be the same 

23 annual interval that the Administrator adjusts the net 

24 worth caps for the Small Business Administration under 

25 subsection (e). 


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1 (g) FIRST ADDITIONAL ADJUSTMENT.—The first ad2 ditional inflation adjustment under subsection (c) shall 

3 occur at the same time the Administrator carries out the 

4 first adjustment under subsection (e). 

5 (h) METRIC.—The Secretary shall use the same infla6 tion metric under subsection (c) that the Administrator 

7 chooses under subsection (e). 

8 SEC. 7. UPDATE TO DEPARTMENT OF TRANSPORTATION 

9 DISADVANTAGED BUSINESS ENTERPRISE 

10 AND ACDBE SIZE STANDARDS. 

11 (a) HIGHWAYS AND TRANSIT SMALL BUSINESS CON12 CERN DEFINITION.—Section 11101(e)(2)(A) of the Infra13 structure Investment and Jobs Act (Public Law 117–58) 

14 is amended to read as follows: 

15 ‘‘(A) SMALL BUSINESS CONCERN.—The 

16 term ‘small business concern’ has the meaning 

17 given the term under section 3 of the Small 

18 Business Act (15 U.S.C. 632).’’. 

19 (b) AVIATION SMALL BUSINESS CONCERN DEFINI20 TION.—Section 47113(a)(1) of title 49, United States 

21 Code, is amended to read as follows: 

22 ‘‘(1) ‘small business concern’ has the meaning 

23 given the term under section 3 of the Small Busi24 ness Act (15 U.S.C. 632);’’. 


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1 (c) RULEMAKING.—Not later than 1 year after the 

2 date of the enactment of this Act, the Secretary shall issue 

3 or amend such rules as are necessary to carry out the 

4 amendment made by this section. 

5 SEC. 8. DEFINITION OF ASSETS UNDER DEPARTMENT OF 

6 TRANSPORTATION PERSONAL NET WORTH 

7 TEST. 

8 Not later than 1 year after the date of enactment 

9 of this Act, the Secretary of Transportation shall issue 

10 such regulations as are necessary to update the assets ex11 cluded in the personal net worth test contained in parts 

12 23.3 and 26.67 of title 49, Code of Federal Regulations, 

13 to match the assets excluded in the computation of net 

14 worth under section 8(a)(6)(E) of the Small Business Act 

15 (15 U.S.C. 637(a)(6)(E)), as amended by section 15. 

16 SEC. 9. ADDITIONAL FUNDING FOR DEPARTMENT OF 

17 TRANSPORTATION MINORITY RESOURCE 

18 CENTER. 

19 (a) IMPROVEMENTS TO MINORITY RESOURCE CEN20 TER.—Section 332 of title 49, United States Code, is 

21 amended— 

22 (1) in subsection (b)— 

23 (A) in paragraph (6) by striking ‘‘and’’ at 

24 the end; 


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1 (B) by redesignating paragraph (7) as 

2 paragraph (8); and 

3 (C) by inserting after paragraph (6) the 

4 following: 

5 ‘‘(7) establish a goal of having a small business 

6 transportation resource center in every State; and’’; 

7 and 

8 (2) in subsection (e)(2) by striking ‘‘such sums 

9 as may be necessary for each of fiscal years 2005 

10 through 2009’’ and inserting ‘‘$25,000,000 for each 

11 of fiscal years 2024 through 2028’’. 

12 (b) USE OF FUNDING.—The Secretary shall use any 

13 additional funding appropriated under section 332 of title 

14 49, United States Code, to— 

15 (1) establish additional small business transpor16 tation resource centers with the goal of having 1 in 

17 each State; and 

18 (2) provide additional funding to existing small 

19 business transportation resource centers to augment 

20 the activities of the center so the center can reach 

21 more disadvantaged businesses. 


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1 SEC. 10. IMPROVEMENTS TO DEPARTMENT OF TRANSPOR2 TATION DISADVANTAGED BUSINESS ENTER3 PRISE AND ACDBE MENTOR-PROTE ́ GE ́ PRO4 GRAMS. 

5 (a) IN GENERAL.—Not later than 1 year after the 

6 date of enactment of this Act, the Secretary shall issue 

7 such regulations as are necessary to update parts 23 and 

8 26.35 of title 49, Code of Federal Regulations (or a suc9 cessor regulation) to require covered large recipients with 

10 Disadvantaged Business Enterprise programs or ACDBE 

11 programs to have a mentor-prote ́ge ́ program. 

12 (b) QUALITY CONTROL STANDARDS.—Not later than 

13 2 years after the date of enactment of this Act, the Sec14 retary shall issue or update regulations regarding min15 imum quality standards or certain items that shall be in16 cluded in mentor-prote ́ge ́ programs in order for such pro17 grams to qualify under subsection (a), including— 

18 (1) ensuring that any mentor-prote ́ge ́ program 

19 results in an increase to or success of a prote ́ge ́ with 

20 respect to— 

21 (A) capital base, including— 

22 (i) working capital; 

23 (ii) depreciated value of equipment 

24 owned or leased; 

25 (iii) payroll; 

26 (iv) overhead; 


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1 (v) material expensed; 

2 (vi) overhead expensed; 

3 (vii) net profit; and 

4 (viii) available credit; 

5 (B) bonding limits, by job and in the ag6 gregate; 

7 (C) value of current and future work; 

8 (D) success in getting profitable work out9 side any government or other procurement pro10 gram for small, minority, women, or Disadvan11 taged Business Enterprises; 

12 (E) retention of reliable and productive 

13 employees; 

14 (F) customer loyalty resulting in repeat 

15 business; and 

16 (G) any other area determined by the Sec17 retary; and 

18 (2) ensuring that any mentorship-prote ́ge ́ pro19 gram demonstrates overall success in— 

20 (A) higher than average survival rate for 

21 prote ́ge ́s; 

22 (B) continuous improvement in the finan23 cial strength and bonding capacity of prote ́ge ́s; 


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1 (C) consistent success in meeting the ob2 jectives included in each prote ́ge ́’s individual 

3 business plan; 

4 (D) a high rate of successful transition out 

5 of the program; and 

6 (E) any other area determined by the Sec7 retary. 

8 (c) AUDITING.— 

9 (1) IN GENERAL.—The Secretary shall periodi10 cally audit the mentor-prote ́ge ́ programs of recipi11 ents to ensure such programs are meeting the qual12 ity control standards set under subsection (b). 

13 (2) USE OF INFORMATION.—The findings of 

14 the audits under paragraph (1) shall inform any up15 dates to the quality control standards that the Sec16 retary issues under this section. 

17 (d) COMPLIANCE.—In carrying out this section, the 

18 Secretary shall issue such regulations as are necessary to 

19 update parts 23 and 26 of title 49, Code of Federal Regu20 lations, to make clear that a Disadvantaged Business En21 terprise program or ACDBE program of a covered large 

22 recipient is not in compliance with this section unless such 

23 recipient’s Disadvantaged Business Enterprise program or 

24 ACDBE program has the required mentor-prote ́ge ́ pro25 gram and such program complies with all requirements 


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1 or regulations established by the concerned operating ad2 ministration or Secretary, including any quality control 

3 standards established under subsection (b). 

4 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

5 authorized to carry out this section $10,000,000 for each 

6 of fiscal years 2024 through 2028, of which— 

7 (1) $3,000,000 for each fiscal year shall be for 

8 the Secretary to carry out the quality control, audit9 ing, and compliance activities required under this 

10 section; and 

11 (2) $7,000,000 for each fiscal year shall be for 

12 the Secretary to assist recipients with setting up, 

13 improving, and carrying out mentor-prote ́ge ́ pro14 grams. 

15 (f) COVERED LARGE RECIPIENTS DEFINED.—In this 

16 section, the term ‘‘covered large recipients’’ means— 

17 (1) a State department of Transportation; 

18 (2) large public transportation and regional 

19 transportation agencies, as defined by the Secretary; 

20 (3) any recipient of airport funds authorized 

21 under section 47101 of title 49, United States Code, 

22 that operates a large hub airport (as such term is 

23 defined in section 47102 of title 49, United States 

24 Code); and 


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1 (4) recipients that are similar in size and pur2 pose to recipients described in paragraphs (1) 

3 through (3), as determined by the Secretary. 

4 SEC. 11. DEPARTMENT OF TRANSPORTATION DISADVAN5 TAGED BUSINESS ENTERPRISE AND ACDBE 

6 CERTIFICATION UNIVERSAL RECOGNITION. 

7 (a) UNIVERSAL CERTIFICATION RECOGNITION.—Not 

8 later than 2 years after the date of the enactment of this 

9 Act, the Secretary shall issue such regulations as are nec10 essary to update parts 23 and 26 of title 49, Code of Fed11 eral Regulations, (or a successor regulation) to require 

12 States and recipients to recognize a certification issued by 

13 another State to a business recognizing such business as 

14 a Disadvantaged Business Enterprise or an ACDBE with15 out further procedures. 

16 (b) CERTIFICATION CRITERIA.—In certifying a busi17 ness as a Disadvantaged Business Enterprise or an 

18 ACDBE, a State shall meet any requirements that the 

19 Secretary establishes under section 11101(e)(5) of the In20 frastructure Investment and Jobs Act (Public Law 117– 

21 58). 

22 (c) SECRETARY AUTHORITY.—The Secretary shall 

23 have the authority to regulate certain items or issue stand24 ards that any recipient’s Disadvantaged Business Enter25 prise program or ACDBE program shall meet as part of 


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1 universal certification recognition under this section, in2 cluding— 

3 (1) the transportation contracts that a Dis4 advantaged Business Enterprise or ACDBE shall 

5 have access to bid on once such business obtains 

6 Disadvantaged Business Enterprise or ACDBE cer7 tification; 

8 (2) any differences in the way a State or recipi9 ent treats a home State Disadvantaged Business 

10 Enterprise or ACDBE versus an out-of-State Dis11 advantaged Business Enterprise or ACDBE; 

12 (3) access to a State or recipient’s resources 

13 and information that an out-of-State Disadvantaged 

14 Business Enterprise or ACDBE has access to once 

15 such business obtains a Disadvantaged Business En16 terprise or ACDBE certification; and 

17 (4) any other area the Secretary determines 

18 necessary to ensure the success of universal certifi19 cation recognition. 

20 (d) AUDITING.— 

21 (1) IN GENERAL.—The Secretary shall periodi22 cally audit States and recipients to ensure that such 

23 States are recognizing a certification issued by an24 other State to a business recognizing such business 


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1 as a Disadvantaged Business Enterprise or ACDBE 

2 without further procedures. 

3 (2) USE OF INFORMATION.—The findings of 

4 the audits under paragraph (1) shall inform any up5 dates to the regulations that the Secretary issues 

6 under this section. 

7 (e) COMPLIANCE.—In carrying out this section, the 

8 Secretary shall issue such regulations as are necessary to 

9 update parts 23 and 26 of title 49, Code of Federal Regu10 lations, to make clear that a Disadvantaged Business En11 terprise program or ACDBE program of a recipient is not 

12 in compliance with this section unless such recipient’s Dis13 advantaged Business Enterprise program or ACDBE pro14 gram recognizes a certification issued by another State to 

15 a business recognizing such business as a Disadvantaged 

16 Business Enterprise or ACDBE without further proce17 dures and meets any standards established by the Sec18 retary under subsection (c). 

19 SEC. 12. INCENTIVES FOR EXCELLENCE IN DISADVAN20 TAGED BUSINESS ENTERPRISE PROGRAMS 

21 AND ACDBE PROGRAMS. 

22 (a) ESTABLISHMENT OF EXCELLENCE AWARDS.— 

23 Not later than 1 year after the date of enactment of this 

24 Act, the Secretary shall establish an awards program that 


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1 recognizes recipients that have excellent Disadvantaged 

2 Business Enterprise programs or ACDBE programs. 

3 (b) ANNUAL AWARDS.—The Secretary shall on an 

4 annual basis review recipients’ Disadvantaged Business 

5 Enterprise programs or ACDBE programs and recognize 

6 certain recipients that have excellent Disadvantaged Busi7 ness Enterprise programs or ACDBE programs through 

8 the awards program under subsection (a). 

9 (c) CRITERIA FOR AWARDS.—In carrying out the 

10 awards program established under subsection (a), the Sec11 retary shall consider the following criteria: 

12 (1) How high the Disadvantaged Business En13 terprise or ACDBE participation goal of the Dis14 advantaged Business Enterprise program or 

15 ACDBE program is. 

16 (2) The success of the recipient in meeting and 

17 exceeding participation goals described in paragraph 

18 (1). 

19 (3) How much successful growth a Disadvan20 taged Business Enterprise or ACDBE in the pro21 gram has. 

22 (4) To what extent and how well a Disadvan23 taged Business Enterprise program or ACDBE pro24 gram welcomes new Disadvantaged Business Enter25 prises or ACDBEs. 


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1 (5) How well a Disadvantaged Business Enter2 prise program or ACDBE program assists all so3 cially and economically disadvantaged individuals in 

4 overcoming barriers to participation. 

5 (6) The existence of and the quality of a men6 tor-prote ́ge ́ program. 

7 (7) Any other criteria the Secretary determines 

8 is integral to an excellent Disadvantaged Business 

9 Enterprise program or ACDBE program. 

10 (d) ADJUSTING CRITERIA.—The Secretary may ad11 just the criteria under subsection (c) to account for a re12 cipient’s size, type of business, geographic location, or any 

13 other characteristic the Secretary determines necessary. 

14 (e) DISCRETIONARY GRANT PREFERENCE.—The 

15 Secretary shall provide preferences for discretionary grant 

16 funding awards to recipients that are recognized under 

17 subsections (a) and (b). 

18 (f) NOTICE OF FUNDING OPPORTUNITIES.—Notwith19 standing any other provision of law or regulation, the Sec20 retary shall ensure that any notice of funding opportunity 

21 or availability for discretionary grant funding issued by 

22 the Secretary contains the preferences under subsection 

23 (e). 


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1 (g) TIMING OF REQUIREMENT.—Subsection (f) shall 

2 apply to any notice of funding opportunity or availability 

3 issued after the date of enactment of this Act. 

4 (h) ADDITIONAL INCENTIVES.—In addition to the 

5 grant preferences under subsection (e), the Secretary may 

6 provide additional incentives to recipients that are recog7 nized under subsections (a) and (b). 

8 (i) REPORTING.—The Secretary shall— 

9 (1) make available on the Department of 

10 Transportation’s website a list of recipients being 

11 recognized for excellent Disadvantaged Business En12 terprise or ACDBE programs under subsections (a) 

13 and (b); 

14 (2) include a rationale for why the Secretary is 

15 recognizing the recipients described in paragraph 

16 (1); 

17 (3) provide information regarding the recipi18 ents’ Disadvantaged Business Enterprise or ACDBE 

19 programs, including a link to the recipients’ program 

20 website; and 

21 (4) annually update the information required 

22 under this subsection. 

23 (j) AUTHORIZATION OF APPROPRIATIONS.—There is 

24 authorized to carry out this section $2,000,000 for each 

25 of fiscal years 2024 through 2028. 


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1 SEC. 13. REPORTING REQUIREMENTS AND STANDARDS 

2 FOR WAIVERS AND EXEMPTIONS. 

3 (a) REPORTING REQUIREMENTS.—Not later than 1 

4 year after the date of enactment of this Act, the Secretary 

5 shall update parts 23 and 26 of title 49, Code of Federal 

6 Regulations, to require each concerned operating adminis7 tration or model agency to annually report to the Sec8 retary any waiver or exemption such administration or 

9 agency grants to a recipient from any requirement under 

10 parts 23 and 26 of title 49, Code of Federal Regulations. 

11 (b) CONTENTS OF REPORTS.—The reports under 

12 subsection (a) shall contain the following information: 

13 (1) The name of the recipient granted the waiv14 er or exemption. 

15 (2) The name of the concerned operating ad16 ministration or model agency that granted the waiv17 er or exemption. 

18 (3) Any provision that the recipient received a 

19 waiver or exemption from. 

20 (4) The reason the concerned operating admin21 istration or model agency granted the waiver. 

22 (5) A description of the conditions in the recipi23 ent’s jurisdiction that made the situation appro24 priate to grant the recipient’s program proposal. 

25 (6) The duration of the waiver. 


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1 (7) The public participation a recipient con2 ducted in developing such recipient’s request, includ3 ing any consultations with the Disadvantaged Busi4 ness Enterprise and ACDBE communities. 

5 (8) Any other information the Secretary deter6 mines necessary. 

7 (c) POSTING ON WEBSITE.—Not later than 90 days 

8 after the date on which a report is required to be filed 

9 under subsection (a), the Secretary shall in a full-text 

10 searchable, sortable, and downloadable format for access 

11 by the public— 

12 (1) make the reports submitted to the Secretary 

13 under subsection (a) available on the website of the 

14 Department of Transportation; 

15 (2) report the total number of waivers or ex16 emptions that a concerned operating administration 

17 or model agency granted that year; and 

18 (3) report the total number of waivers or ex19 emptions that a recipient applied for or was granted 

20 that year. 

21 (d) STANDARDS FOR GRANTING WAIVERS.—Not 

22 later than 2 years after the date of enactment of this Act, 

23 and every 5 years thereafter, the Secretary shall issue 

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1 emptions to a recipient from any requirement under parts 

2 23 and 26 of title 49, Code of Federal Regulations, in 

3 order to minimize the improper granting of such waivers 

4 or exemptions. 

5 (e) CONSIDERATIONS.—In carrying out subsection 

6 (d), the Secretary shall consider— 

7 (1) creating a uniform list of reasons for grant8 ing waivers or exemptions; 

9 (2) creating a uniform list of conditions in ju10 risdictions that are appropriate for granting waivers 

11 or exemptions; 

12 (3) limiting the number of waivers or exemp13 tions a recipient can receive; 

14 (4) requiring a recipient to conduct more public 

15 hearings and consultations with the Disadvantaged 

16 Business Enterprise and ACDBE communities be17 fore a proposal for a waiver or exemption can be 

18 granted; and 

19 (5) increasing the level of standard for which a 

20 recipient’s proposal must meet before a concerned 

21 operating administration or model agency will grant 

22 a waiver or exemption to a recipient. 

23 (f) AUDITING.— 

24 (1) IN GENERAL.—The Secretary shall periodi25 cally audit concerned operating administrations or 


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1 model agencies to ensure that such administrations 

2 or agencies are minimizing the improper granting of 

3 waivers or exemptions to a recipient from any re4 quirement under parts 23 and 26 of title 49, Code 

5 of Federal Regulations. 

6 (2) USE OF INFORMATION.—The findings of 

7 the audits under paragraph (1) shall inform any up8 dates to the regulations that the Secretary issues or 

9 updates under subsection (d). 

10 (g) AUTHORIZATION OF APPROPRIATIONS.—There is 

11 authorized to carry out this section $3,000,000 for each 

12 of fiscal years 2024 through 2028. 

13 SEC. 14. ADVISORY COMMITTEE ON DISADVANTAGED BUSI14 NESS ENTERPRISES AND ACDBES. 

15 (a) DISADVANTAGED BUSINESS ENTERPRISE AND

16 ACDBE ADVISORY COMMITTEE.— 

17 (1) ESTABLISHMENT.—Not later than 180 days 

18 after the date of the enactment of this Act, the Sec19 retary shall establish a Disadvantaged Business En20 terprise and ACDBE Advisory Committee (in this 

21 section referred to as the ‘‘Committee’’). 

22 (2) DUTIES.—The duties of the Committee 

23 shall be to provide a forum for stakeholders to dis24 cuss and make policy recommendations to Congress 

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1 taged Business Enterprises and ACDBEs in the 

2 transportation, infrastructure, construction, and 

3 building industries. 

4 (3) MEMBERSHIP.— 

5 (A) VOTING MEMBERS.—The Committee 

6 shall be composed of the following voting mem7 bers: 

8 (i) The Secretary or the Secretary’s 

9 designee. 

10 (ii) The Administrator or the Admin11 istrator’s designee. 

12 (iii) A representative of State govern13 ments. 

14 (iv) A representative of local govern15 ments. 

16 (v) A representative of county govern17 ments. 

18 (vi) A representative of State Depart19 ments of Transportation. 

20 (vii) A representative of transit agen21 cies. 

22 (viii) A representative of airports. 

23 (ix) A representative from the Con24 ference of Minority Transportation Offi25 cials. 


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1 (x) Two individuals who have experi2 ence advocating for Disadvantaged Busi3 ness Enterprises or ACDBEs. 

4 (xi) Two or more representatives from 

5 Disadvantaged Business Enterprises or 

6 ACDBEs owned by persons of color. 

7 (xii) Two or more representatives 

8 from Disadvantaged Business Enterprises 

9 or ACDBEs owned by women. 

10 (B) APPOINTING AUTHORITY.—The Sec11 retary shall appoint all members of the Com12 mittee, except for the Administrator, who shall 

13 have a self-executing appointment. 

14 (C) APPOINTMENT REPLACEMENT.—The 

15 Secretary shall promptly appoint a replacement 

16 for any member whose term has expired or who 

17 has resigned from the Committee. 

18 (D) TERM LENGTH.— 

19 (i) IN GENERAL.—Each member, ex20 cept for the Secretary or the Adminis21 trator, shall serve for an initial term of 4 

22 years on the Committee. 

23 (ii) REAPPOINTMENT.—A member 

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1 appointed to the Committee for subsequent 

2 terms. 

3 (E) SERVICE CONTINUATION.—A member 

4 whose term has expired may continue to serve 

5 until the Secretary has appointed a replacement 

6 member. 

7 (F) NON-VOTING MEMBERS.—The Sec8 retary may allow additional interested stake9 holders to attend and participate in the activi10 ties of the Committee as non-voting members. 

11 (4) MEETINGS.—The Committee shall meet not 

12 less frequently than— 

13 (A) 4 times per year until the report under 

14 paragraph (5) is submitted; and 

15 (B) 2 times per year after such report is 

16 submitted. 

17 (5) REPORT.— 

18 (A) IN GENERAL.—Not later than 2 years 

19 after the establishment of the Committee, the 

20 Committee shall submit to the Committee on 

21 Commerce, Science, and Transportation of the 

22 Senate, the Committee on Environment and 

23 Public Works of the Senate, the Committee on 

24 Banking, Housing, and Urban Affairs of the 

25 Senate, the Committee on Small Business and 


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1 Entrepreneurship of the Senate, the Committee 

2 on Transportation and Infrastructure of the 

3 House of Representatives, and the Committee 

4 on Small Business of the House of Representa5 tives a report that contains recommendations, 

6 supported by at least a majority of all voting 

7 members. Such report shall include rec8 ommendations regarding— 

9 (i) policy or regulatory changes to 

10 help increase the success of Disadvantaged 

11 Business Enterprises or ACDBEs in the 

12 transportation construction and building 

13 industries; 

14 (ii) policy or regulatory changes to 

15 help increase the number of prime contrac16 tors that are Disadvantaged Business En17 terprises or ACDBEs; 

18 (iii) policy or regulatory changes to 

19 address the penalization that occurs when 

20 businesses owned by women or persons of 

21 color become too large to qualify as Dis22 advantaged Business Enterprises or 

23 ACDBEs; 

24 (iv) policy or regulatory changes to 

25 address the structural and legacy barriers 


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1 faced by women and persons of color in at2 tempting to enter or succeed in the trans3 portation, construction, and building indus4 tries; 

5 (v) policy or regulatory changes to in6 crease the access of Disadvantaged Busi7 ness Enterprises or ACDBEs to financial 

8 capital and other necessary ancillary serv9 ices to succeed; and 

10 (vi) ways to make existing Federal 

11 technical assistance programs such as 

12 small business transportation resource cen13 ters, small business development centers, 

14 minority business development centers, and 

15 procurement technical assistance centers 

16 work better and reach more Disadvantaged 

17 Business Enterprises and ACDBEs. 

18 (B) DISSENTING VIEWS.—The report in 

19 subparagraph (A) shall include a section allow20 ing any dissenting views and the dissent’s ra21 tionale from the majority’s recommendations. 

22 (6) ADDITIONAL REPORTS.—After the submis23 sion of the report under paragraph (5), the Com24 mittee shall, from time to time at an appropriate 

25 time determined by the Committee, submit to the 


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1 Secretary and Congress subsequent reports that are 

2 consistent with the duties of the Committee de3 scribed in paragraph (2). 

4 (7) COMPENSATION.—Members of the Com5 mittee shall serve without compensation, but may be 

6 allowed travel expenses, including per diem in lieu of 

7 subsistence, in accordance with subchapter I of 

8 chapter 7 of title 5, United States Code. 

9 (8) SUPPORT.—The Secretary shall use the re10 sources of the Department of Transportation and 

11 the Office of the Secretary to provide support to the 

12 Committee. 

13 (b) TERMINATION.—The Committee shall terminate 

14 on the date that is 5 years after the date on which the 

15 Committee is established under subsection (a). 

16 (c) REGULATIONS.—The Secretary shall have the au17 thority to issue or modify any regulations necessary to 

18 carry out subsection (a). 

19 (d) CONFORMING AMENDMENT.—Sections 100501, 

20 100502, and 100503 of the Infrastructure Investment and 

21 Jobs Act (Public Law 117–58) are repealed. 


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1 SEC. 15. DEFINITION OF ASSETS UNDER THE SMALL BUSI2 NESS ACT. 

3 (a) DEFINITION OF ASSETS.—Section 8(a)(6)(E) of 

4 the Small Business Act (15 U.S.C. 637(a)(6)(E)) is 

5 amended— 

6 (1) in clause (ii), by striking the period at the 

7 end and inserting a semicolon; and 

8 (2) by adding the following new clauses: 

9 ‘‘(iii) retirement savings accounts of 

10 disadvantaged owners; 

11 ‘‘(iv) investments in real estate other 

12 than primary personal residences of dis13 advantaged owners; and 

14 ‘‘(v) equity in businesses that are not 

15 certified under this subsection of disadvan16 taged owners.’’. 

17 (b) RULEMAKING.—Not later than 1 year after the 

18 date of the enactment of this Act, the Administrator shall 

19 issue or amend such rules as are necessary to carry out 

20 the amendments made by subsection (a). 

Æ 


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