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Subject: ACTION: Due June 30, 2020 

Fiscal Year 2020 (FY20) 

Disadvantaged Business Enterprise

 Supportive Services (DBE/SS) Call for 

Statements of Work

 

 

From: Martha Kenley

DBE & Contractor Compliance 

Team Leader 

 

To: Directors of Field Services 

Division Administrators

Civil Rights Specialists

The Federal Highway Administration (FHWA) Office of Civil Rights (HCR) requests that 

State Departments of Transportation (State DOTs) submit their FY2020 Disadvantaged 

Business Enterprises Supportive Services (DBE/SS) Statements of Work (SOW) to their 

respective FHWA Division Office (Division) for review and approval. We realize that HCR 

has not yet distributed the FY2019 DBE/SS funds as the request to allocate is currently going 

through the final approval process; however, we want to expedite the distribution of FY2020 

funds. It is acceptable for State DOTs to use the FY2020 funding to extend current programs 

if those programs have demonstrated success. Should States choose to extend current 

programs, they must update past SOWs, including updating the budget and indicating what 

additional services will be added or continued.

Divisions should review and evaluate the State DOT’s SOW submission to ensure it meets 

the intent of the DBE/SS program. After review, the Division must submit the SOW and all 

supporting documents to the corresponding State folder located on the HCR DBE/SS 

SharePoint site by June 30th, 2020. 

The SOW package must include: 

• An intent to approve letter; 

• A detailed budget; and 

• A copy of the entire SOW 

Memorandum

Date: May 18, 2020 

In Reply Refer To: 

 HCR-30 
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Examples of all of these supporting documents are on the HCR DBE/SS SharePoint Site. 

Should a State DOT decide not to participate in the DBE/SS program for FY2020, the State 

DOT’s Chief Executive Officer, or designee, must submit a written statement on agency 

letterhead of the State DOT’s intention to decline the FY2020 DBE/SS allocation. Please 

submit the letter of decline to HCR’s SharePoint by June 30, 2020. 

PROGRAM FUNDING 

HCR anticipates the FY2020 allocations will approximate the program annual allocation of 

$10M (see Table 1 attached).

BUSINESS DEVELOPMENT PROGRAMS

HCR now requires that every State DOT accepting DBE/SS funds include a Business 

Development Program (BDP). The purpose of a BDP is to evaluate and provide a structured 

process for DBEs to receive firm-specific training and technical assistance to increase

opportunities for successful participation as primes or subcontractors on highway-related 

contracts. Regulation 49 CFR Part 26, Appendix C sets forth the parameters of a BDP. For 

additional information on BDPs, please refer to a report developed from a Peer Exchange 

among FHWA, FTA, recipients, and stakeholders. 

STATEMENT OF WORK SUBMISSION PROCESS

HCR requires each State DOT to design an effective and feasible metric-based DBE/SS 

program for the purpose for increasing the capacity and to improve the overall business 

practices of DBEs. We expect State DOTs to develop their own SOWs. State DOTs must 

not use the services of a consultant or future service provider to create the SOW. The SOW 

must outline the State DOT’s proposed budget, approximated, based on the attached funding 

levels. It is important to know that HCR will accept amendments to the budget and SOW 

after HCR publishes the FY20 final allocation amounts. The Catalog of Federal Domestic 

Assistance (CFDA) number for this program is 20.205. 

State DOTs must describe how the program will deliver business development services for 

identified DBEs and the process of how staff selects DBEs for the program. The SOW 

should contain goals and objectives tailored to the development of each identified DBE 

participant. State DOTs must submit only one SOW per Federal fiscal year, although each 

SOW may include multiple concepts within a single submission. For example, the SOW 

may include an element of a concluding program and an additional Business Development 

element. The SOW should not exceed ten pages in total, excluding attachments and/or 

exhibits. 

State DOTs should announce all DBE/SS solicitations on their public website and must 

solicit proposals from qualified sources in such a way as to ensure the competitive nature of 

the procurement (23 CFR § 230.204 (e)).
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ALLOCATION AND PERFORMANCE PROCESS

Based on the availability of funds, the Division Administrator’s recommendation as well as 

concurrence by the USDOT Secretary and FHWA Administrator, HCR’s Associate 

Administrator will allocate the funds. Then, the State DOT will need to request obligation of the 

funds in the Fiscal Management Information System (FMIS). From there, the Division will 

provide authorization to proceed via FMIS (23 CFR § 630.106). When the State DOT awards 

the contract and once approved in FMIS by the Division, the 12-month performance period for 

the DBE/SS contract begins. DBE/SS contracts may contain an option to renew for up to two 

years conditioned upon documented satisfactory performance and availability of funding. 

Finally, the State DOT must obligate and expend all the allocated funds by the end of the 

designated performance period, unless given a written permission to extend by the Division. The 

Divisions must notify HCR of all extension approvals. State DOTs must de-obligate all 

unexpended balances within 90-day of the end of the performance period, unless given written 

approval to extend the date by the Division. 

To ensure success of the DBE/SS program, all Divisions must maintain a sufficient level of 

program oversight to measure progress, achievement of stated metrics, and to address identified 

concerns promptly. State DOTs must also ensure appropriate DBE/SS program oversight, 

regularly track progress, and demonstrate achievement of program goals/objectives. State DOTs 

must submit timely and accurate reports to their respective Division. Divisions must submit a 

short narrative report to HCR at the end of the performance period. 

If you have any questions, please feel free to contact Janelle Hinton at (202) 366-1604 or 

Janelle.Hinton@dot.gov. 
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Table I: Approximate FY2020 DBE/SS Estimated Allocation 

State Program 

Code

FY2020 

Estimated 

Allocation

Alabama Z480 $ 191,601

Alaska Z480 $ 126,630

Arizona Z480 $ 184,777

Arkansas Z480 $ 130,753

California Z480 $ 926,916

Colorado Z480 $ 135,045

Connecticut Z480 $ 126,844

Delaware Z480 $ 42,720

District of Columbia Z480 $ 40,296

Florida Z480 $ 478,486

Georgia Z480 $ 326,086

Hawaii Z480 $ 42,714

Idaho Z480 $ 72,233

Illinois Z480 $ 359,054

Indiana Z480 $ 240,637

Iowa Z480 $ 124,115

Kansas Z480 $ 95,436

Kentucky Z480 $ 167,798

Louisiana Z480 $ 177,249

Maine Z480 $ 46,618

Maryland Z480 $ 151,763

Massachusetts Z480 $ 153,382

Michigan Z480 $ 265,898

Minnesota Z480 $ 164,679

Mississippi Z480 $ 122,142

Missouri Z480 $ 239,080

Montana Z480 $ 103,618

Nebraska Z480 $ 72,996

Nevada Z480 $ 91,704

New Hampshire Z480 $ 41,726

New Jersey Z480 $ 252,155

New Mexico Z480 $ 92,741

New York Z480 $ 423,909

North Carolina Z480 $ 263,391

North Dakota Z480 $ 62,699

Ohio Z480 $ 338,516

Oklahoma Z480 $ 160,167

Oregon Z480 $ 126,229

Pennsylvania Z480 $ 414,360

Rhode Island Z480 $ 55,231

South Carolina Z480 $ 169,110

South Dakota Z480 $ 71,220

Tennessee Z480 $ 213,408

Texas Z480 $ 924,139

Utah Z480 $ 87,694

Vermont Z480 $ 51,255

Virginia Z480 $ 256,994

Washington Z480 $ 171,203

West Virginia Z480 $ 110,366

Wisconsin Z480 $ 190,022

Wyoming Z480 $ 64,698

Puerto Rico Z480 $ 35,000

Virgin Islands Z480 $ 22,500

Estimated Allocation Total $ 10,000,000