Disadvantaged Business Enterprise and Airport Concession Disadvantaged Business Enterprise (DBE/ACDBE) Interim Final Ruling (IFR) Updates

All DBE/ACDBE certification-related activities are halted until further notice. Effective October 8, 2025, all DBE/ACDBE certification-related activities are suspended until further notice. VDSBSD will not process any DBE/ACDBE applications or annual declarations of eligibility, regardless of the original submission date.

 

All current DBE/ACDBE certifications must be re-evaluated for certification. Virginia-based firms must submit a personal narrative, and a new personal net worth statement for each owner to be re-evaluated based on the IFR.

 

All firms certified outside of Virginia should contact their home state for DBE/ACDBE certification information. Firms originally certified outside of Virginia must first be re-evaluated by their home state before seeking certification or re-evaluation in Virginia. These firms should contact their home state for DBE/ACDBE certification guidance and next steps.

What Happened?

 

On October 3, 2025, the U.S. Department of Transportation (U.S. DOT) issued an Interim Final Rule (IFR) requiring immediate changes to the Disadvantaged Business Enterprise (DBE) and Airport Concession Disadvantaged Business Enterprise (ACDBE) program regulations (linked below). This rule mandates an immediate suspension of DBE/ACDBE goals from projects and requires a thorough review of all firms that were not previously certified by an individualized determination of disadvantage.

 

Public Comment Period on the DBE/ACDBE IFR Open on the Federal Register.

You may review the IFR and submit comment to the U.S. DOT on the IFR until November 3, 2025, at 11:59 p.m. EST.

Key Provisions from the IFR issued by the U.S. DOT:
Removal of race- and sex-based presumptions in DBE/ACDBE qualifications.
Requirement for agencies to reevaluate DBE/ACDBE applicants based on evidence of social and economic disadvantage.
Suspension of DBE/ACDBE reporting and compliance during the reevaluation process.
Suspension of DBE/ACDBE project goals on existing contracts.
No new project goals until all reevaluations are completed.

How to Prepare for Reevaluation with the VDSBSD.

Please Note: This section only applies if your firm was certified through VDSBSD. If your firm is certified through another Unified Certification Program (UCP), you will have to contact the appropriate UCP. Additionally, if your firm was certified in Virginia by the Metropolitan Washington Airports Authority (MWAA), you will have to contact MWAA.

 

First, review and update your firm’s contact information in the Certification Portal to ensure notifications are received by the appropriate person.

Virginia-based DBE/ACDBE firms must submit required documentation to be recertified. As stated in the revised 49 CFR 2.67 the following documents are required for each owner claiming social and economic disadvantage:

 

    1. Personal narrative establishing the existence of disadvantage with individualized evidence. This includes specific instances of economic hardship, systemic barriers, and denied opportunities that have impeded the owner’s progress or success in education, employment, or business. Evidence should also highlight difficulties in obtaining financing on terms available to similarly situated, non-disadvantaged individuals.

 

Please Note: VDSBSD may not provide advice as to what a firm should include in their personal statement.

 

  1. Personal Net Worth Statement.

 

VDSBSD Support

VDSBSD has not received guidance from the U.S. DOT about how firms should complete the requirements of the IFR. If you have any follow up questions, please contact:

Calvin Thweatt, calvin.thweatt@sbsd.virginia.gov

Nina Britton, nina.britton@sbsd.virginia.gov

Richard Gordon, richard.gordon@sbsd.virginia.gov

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