Small Business Development

Small Business Development

Disadvantaged Business Enterprise (DBE) Program

The Kentucky Transportation Cabinet's DBE Program, administered by the Office for Civil Rights and Small Business Development, was established by the U.S. Department of Transportation (USDOT) to ensure that firms owned by minorities, women and other socially and economically disadvantaged persons have an equal opportunity to participate in federally assisted projects. The DBE Program is governed by the U.S. Federal Regulations in 49 CFR Part 23 and 26.

Should I Apply?

If the firm has no intention of participating or bidding on DOT-assisted contracts or airport concessions contracts, KYTC recommends that you do not pursue DBE/ACDBE certification.

The Kentucky Transportation Cabinet encourages businesses to apply for DBE certification with the intention to bid work as a prime or subcontractor on DOT-assisted contracts or airport concessions contracts. This includes construction and non-construction work in the transporation industry.

To achieve DBE status a business must meet the following criteria:

Must be an existing “for-profit" business that is currently operational;
Must meet the federal definition of a small business concern;
Must be an independent business which does not depend on its relationships with another firm or firms. If it is a subsidiary of a corporation, the business must still operate in a self-sufficient manner;
The qualifying owner(s) must meet the federal definition of "socially and economically disadvantaged" individuals;
The qualifying owner(s) must own a minimum of 51% of the company; and have an investment in their company;
The qualifying owner(s) cannot have a net worth that exceeds the PNW cap as defined by 49 C.F.R. Parts 23 and 26 (excluding the owner's business, primary residence, and retirement accounts);
The qualifying owner(s) must have day-to-day control of operations and possess an expertise in their work specialty.

How to Apply for DBE Status in Kentucky

The DBE certification process differs depending on if a firm is already DBE certified in other states. Certifying agencies are required to follow the Code of Federal Regulations (CFR) outlined in 49 CFR §23 and/or 49 CFR §26.

First Time Applicants

First time applicants applying for DBE certification must complete and submit the Unified Certification Application (UCA) and supporting documentation, then participate in an on-site interview conducted by the agency. If you fail to submit the required documents, your application may be delayed and/or denied. Firms already certified as a DBE in another state will need to follow the DBE Interstate Application process.

You may submit your DBE/ACDBE Application, Personal Net Worth (PNW) Statement, and all supporting documents to our office through mail.

DBE Interstate Application

Firms that are already certified as a DBE in their state of Jurisdiction of Original Certification (JOC), are required to follow the Interstate Certification expectations as outlined in 49 CFR §26.85 of the Code of Federal Regulations. You MUST provide:

A Cover Letter - that specifies that the DBE is applying for interstate certification, identifying all UCPs in which the DBE is certified (including the UCP that originally certified it);
An Electronic Image - of the UCP directory that shows the DBE certification*;
A New Declaration of Eligibility (DOE).

*The electronic image must show sufficient information to populate KYTC's DBE Directory. The following items must be included: business primary contact name/owner, business address, business phone number, firm website, and NAICS codes.

Please email the three (3) required documents to: KYTC.OCRSBD@ky.gov.

If you have any questions regarding DBE Certification or how to apply, you may contact:

Kentucky Transportation Cabinet
Office for Civil Rights and Small Business Development
200 Mero Street
Frankfort, KY 40622
(502) 564-3601
KYTC.OCRSBD@ky.gov

What Happens Once I am a DBE?

Once you are certified as a DBE/ACDBE, your firm is placed our statewide directory. This directory is not a guarantee that you will get KYTC work. To maintain your DBE certification, you must submit annual documentation and comply with three-year certification reviews.

Annual Declaration of Eligibility

It is the DBEs responsbility to notify its certifying agency within 30 days of any change that can impact a firms eligibility. DBEs must also annually affirm that there have been no changes.

Report changes are required within 30 days of the occurence of the change:

Changes in a firm's circumstances affecting its eligibility, or material changes in the information provided in the firm's application form;
Submission of the Declaration of Eligibility (DOE) and most recent Federal tax return on the anniversary date of the firm's certification;
Work code change/expansion requests;
Notification of address, phone, or other contact information changes; and
Withdrawal of certification

Failure to notify your certifying agency of changes or failure to submit and Annual Declaration of Eligibility within the required time frame is deemed a failure to cooperate and is grounds for removal of a firm's certification.

Three-Year Certification Review

In accordance with 49 CFR 26.83(h), it is the KYTC’s policy to conduct a review process for all certified firms. A review of the certified firm will be performed every three (3) years of certification beginning from the date of the initial notice of certification.

DBE Reciprocity

The Kentucky Transportation Cabinet has established a DBE reciprocity agreement with Indiana DOT for statewide projects allowing DBEs certified in either Kentucky or Indiana to be used for any transportation federal aid project in the partner state. For the most up to date list of DBE's certified in Indiana please click here: Indiana DBE Directory.

There is also an agreement with Ohio DOT exclusively for the Brent Spence Bridge Project.

DBE Reciprocity Agreements - please click here:

Small Business Enterprise (SBE) Program

The Kentucky Transportation Cabinet's SBE Program is administered by the Office for Civil Rights and Small Business Development. This application is for non-DBE firms applying for Small Business Enterprise (SBE) certification.

Businesses interested in pursuing a SBE certification must meet the specific size standards, including being a small business, and have personal net worth within the threshold and submit a completed application with supporting documents. Certified DBE firms are eligible to be considered for SBE certification without submitting an SBE application.

How to Apply for SBE Status in Kentucky

First Time Applicants

First time applicants applying for SBE certification must complete and submit the Small Business Enterprise Application and supporting documentation. If you fail to submit the required documents, your application may be delayed and/or denied. Firms already certified as a DBE will just need to submit an SBE Affidavit.

You may submit your SBE Application, Personal Net Worth (PNW) Statement, and all supporting documents to our office through mail.

What Happens Once I am a SBE?

Three-Year Certification Review

SBE certification is valid for three (3) years from the date of initial certification. KYTC will notify you of upcoming renewals and it is the firm's responsibility to submit the required documentation. If you are also DBE/ACDBE certified, the SBE review will take place during the DBE/ACDBE review.

Supportive Services

The Kentucky Transportation Cabinet provides supportive services to DBEs conducting business with or seeking to conduct business with KYTC. Supportive Services are designed to contribute to the growth and business efficiency of DBEs so that they may achieve proficiency in competing for contracts and subcontracts. For more information, please visit the CEI Supportive Service webpage.