DBEs and OJT: How DOT&PF drives Alaska business development.

• Author: Kvapil, Rachael

Roads, harbors, and airports are economic engines, not just because of the commerce they convey but thanks to the capital invested in their construction. For this reason, the Alaska Department of Transportation and Public Facilities (DOT&PF) is, perhaps surprisingly, one of the more robust business development agencies in the state. With millions, and sometimes billions, of state and federal dollars to spend on contractors, DOT&PF wields enormous leverage that it uses to help small firms grab a piece of the infrastructure pie.

Among the eleven divisions within DOT&PF, the Civil Rights Office (CRO) has the potential to benefit small businesses through its affirmative action programs. These programs are designed to provide small businesses owned and operated by socially and economically disadvantaged individuals with a fair opportunity to compete for federally funded transportation contracts.

Leveling the Playing Field

In 1980, the US Department of Transportation (USDOT) created a flagship program to remedy discrimination by attaching conditions to federally funded highway, transit, and airport contracts. Title VI of the Civil Rights Act of 1964 and other nondiscrimination statutes provided the framework for financial assistance programs. The Disadvantaged Business Enterprise (DBE) program has four main objectives: to let DBEs compete for federally-funded transportation projects, to verify that only eligible firms participate as DBEs, to ensure that contractors comply with DBE laws and requirements, and to provide assistance so that companies can eventually compete outside the DBE program.

Aaron Nickols, business development and On-the-Job Training (OJT) program manager for DOT&PF, says applying as a DBE is a multi-step process. First, an applicant must meet specific criteria such as business status (including size), social and economic disadvantage, ownership, independence, and management and control. Though there are general guidelines defining these criteria, Nickols suggests speaking with a CRO representative or another support partner, such as the Alaska Small Business Development Center, Alaska APEX Accelerator (previously the Alaska Procurement Technical Assistance Center), or the US Small Business Administration.

"We always recommend that you look at the application and talk to us," says Nickols. "The application process is not easy and requires a lot of documentation. The Civil Rights Office and our partner organizations can help...