Disadvantaged Business Enterprise (DBE) Certification
DBE Certification at a Glance
What is it? A free federal certification that lets your firm count toward DBE goals on contracts funded by the U.S. Department of Transportation.
Who's eligible? Small businesses at least 51% owned and controlled by owners who show, individually, that they are socially and economically disadvantaged.
How long does it take? Several months once we receive your complete application.
Changes to DBE certification
The U.S. Department of Transportation (USDOT) has changed how DBE eligibility is decided. A final rule published September 25, 2026 completes changes that began with an interim rule on October 3, 2025. Race and sex no longer create a presumption of disadvantage. Every disadvantaged owner must now show social and economic disadvantage based on their own experiences, in a personal narrative.
DoSEM is accepting new DBE applications under the new rules.
All DBEs certified by Maryland are being reevaluated, and reevaluations must be complete by December 24, 2026. Until they are complete, federal rules do not allow new DBE contract goals to be set or DBE participation to be counted. If your firm is already certified and you have questions about reevaluation, email [email protected] with the subject line "IFR Certification Reevaluation Question."
Program benefits
DBE certification lets your firm count toward DBE participation goals on contracts funded by USDOT. In Maryland, that includes contracts from the Maryland Department of Transportation State Highway Administration, Maryland Transit Administration, and Maryland Aviation Administration, as well as metropolitan planning organizations. The Maryland Department of Social and Economic Mobility (DoSEM) is Maryland's official certifying agency for the DBE program.
Important note: DBE certification makes your firm eligible to count toward DBE goals, but it does not guarantee contracts. You still need to market your services, bid on relevant projects, and deliver the work.
Am I eligible?
Your business can be certified as a DBE if it meets all of the following requirements.
Am I eligible for DBE certification?
One or more owners who are socially and economically disadvantaged must own at least 51% of the business and control its management and daily operations. The ownership must be real and substantial.
Each disadvantaged owner must submit a personal narrative that shows, with individualized proof, specific instances of economic hardship, systemic barriers, and denied opportunities, and how they caused economic harm. Owners must also be economically disadvantaged in fact compared with similarly situated individuals who are not disadvantaged.
An owner whose personal net worth is above $2,047,000 is not presumed economically disadvantaged. The calculation excludes your ownership interest in the business, the equity in your primary residence, and assets in qualified retirement accounts.
Your business must meet the U.S. Small Business Administration (SBA) size standard for its type of work. Its average annual gross receipts over the previous three fiscal years, including affiliates, also cannot exceed $32.82 million, a limit USDOT adjusts each year.
Only for-profit small businesses can be certified as DBEs.
DBE FAQs
Every DBE certified by Maryland is being reevaluated under the new federal rules. Submit your personal narrative, a current Personal Net Worth Statement, and supporting documents in the Certification Management System. Firms that do not submit them will remain ineligible for the DBE program. Reevaluations must be complete by December 24, 2026.
Yes. DBE certification counts toward goals on contracts funded by USDOT. Maryland Minority Business Enterprise (MBE) certification counts toward State and local government goals. Many firms hold both.
Yes. Email [email protected] to ask for your MBE or SBE application to be separated from your DBE application.
Get help completing your DBE application
Attend a free monthly application workshop or book a 30-minute one-on-one review of your application.