Bills proposed to increase share of federal contracts going to small and diverse businesses

News - Published Mar 22, 2022

U.S. Senator Alex Padilla and U.S. Representatives Pete Aguilar and Jimmy Gomez have jointly announced a package of legislation to assist minority- and woman-owned business enterprises (MWBEs) in competing for federal contract dollars, including that which will be available through the recently passed Bipartisan Infrastructure Law.

The Disadvantaged Business Enterprise Supportive Services Expansion Act would increase the annual funding cap for the Federal Highway Administration’s (FHWA) Disadvantaged Business Enterprise (DBE) Supportive Services Program from $10 million to $25 million. The DBE Supportive Services program provides a raft of services and training opportunities to DBEs with the intent of helping them grow and become self-sufficient. The current funding cap of $10 million has remained in place since 1973. The bill would also create analogous DBE Supportive Services Programs at the Federal Aviation Administration and at the Federal Transit Administration.

The Accelerating Small Business Growth Act would create a grant program usable by the transportation agencies of states and local governments to create "innovative programs" with the goal of assisting small and diverse businesses grow and achieve the capacity to compete for federally-funded transportation projects on an equal basis. The grant program would be funded for $20 million over the next four years. Agencies receiving such grants would be required to submit reports on the efficacy of their efforts to the Department of Transportation.

"Providing resources to help develop women- and minority-owned businesses will uplift our entire economy and it's how we truly build back better," Senator Padilla said in a press release.

Read the press release from Senator Padilla's office at https://www.padilla.senate.gov/newsroom/press-releases/padilla-aguilar-gomez-announce-legislation-to-help-minority-and-women-owned-businesses-compete-for-infrastructure-funding%EF%BF%BC/. Read the text of the Disadvantaged Business Enterprise Supportive Services Expansion Act at https://www.padilla.senate.gov/wp-content/uploads/Disadvantaged-Business-Enterprise-Supportive-Services-Expansion-Act.pdf. Read the text of the Accelerating Small Business Growth Act at https://www.padilla.senate.gov/wp-content/uploads/Accelerating-Small-Business-Growth-Act.pdf.