When LIT Ignites, Transformation begins.
NEWS
A Message from Christina VillarrealExecutive Director, LIT
If you are a small business owner working in public transportation, you may have heard about the significant changes taking place within the federal Disadvantaged Business Enterprise (DBE) Program.
For some businesses, these changes have raised questions about certification, future contracting opportunities, and what comes next. Others may be hearing about these developments for the first time.
I want to take this opportunity to explain what is happening, why it matters, and how Latinos In Transit (LIT) is responding.
As an organization committed to workforce development, economic opportunity, and small business advancement, we recognize that changes to federal programs can have real consequences for the businesses and professionals who contribute to our transportation industry.
Our responsibility is to make sure our members have access to information, resources, and opportunities to navigate these changes.
The Disadvantaged Business Enterprise (DBE) Program is administered by the U.S. Department of Transportation (USDOT). It was established to help ensure that eligible small businesses have a fair opportunity to compete for federally assisted transportation contracts.
These contracts include projects involving public transit, highways, airports, engineering, construction, consulting, technology, equipment, and other transportation-related services.
For decades, the DBE Program has provided a framework for small businesses to participate in federally funded transportation projects.
Many of these businesses work as subcontractors to larger firms, while others compete directly for contracts with transportation agencies.
For some companies, DBE certification has been an important part of their business development strategy, helping them establish relationships, compete for projects, expand their operations, and create employment opportunities.
Small businesses are not simply participants in our industry. They are an essential part of how transportation projects are delivered.
In October 2025, USDOT implemented significant changes to the federal DBE certification process, followed by Final Rule in September 2026.
Previously, certain racial and ethnic groups and women were presumed to be socially disadvantaged for purposes of determining DBE eligibility.
Under the revised requirements, that presumption no longer applies.
Business owners must now individually demonstrate that they meet the program's social and economic disadvantage requirements, regardless of race or gender.
This is an important distinction.
The changes do not mean that minority-owned or women-owned businesses are automatically excluded from participating in the DBE Program.
Rather, business owners must establish eligibility through an individualized review under the revised federal requirements.
Existing DBE-certified businesses are also subject to reevaluation.
State certification agencies across the country are working through this process, and the timeline and status of reevaluations vary by state; however all states must complete reevaluations by December 24, 2026, with a possible one-time extension of up to 90 days for good cause.
The DBE Program has not been eliminated. However, the process for establishing eligibility and administering DBE participation requirements has changed significantly.
For businesses that have spent years building their companies and establishing relationships within the transportation industry, these developments deserve attention.
Separate from the DBE changes, the U.S. Small Business Administration (SBA) has proposed revisions to the size standards used to determine which companies qualify as small businesses for federal programs. The proposal would raise many size limits, consolidate industry categories, and shift some industries from revenue-based to employee-based standards. These changes could affect eligibility and the businesses competing for small business contracting opportunities. The proposal is not yet final.
The public comment period is open through November 20, 2026. Before submitting a public comment, LIT wants to hear from our members about how the proposed changes would affect their businesses. Would they create opportunities for growth, introduce new competitive pressures, or change your eligibility? Please share your perspective with our Small Business Committee, chaired by Anthony Valdiosera, so LIT’s comment reflects the experiences and needs of the members we serve.
For many small businesses, DBE certification has been one avenue for accessing contracting opportunities within the transportation industry.
Changes to certification and program administration may affect how businesses prepare for future opportunities, maintain eligibility, and work with transportation agencies and prime contractors.
Some businesses may face additional documentation requirements or uncertainty while their certifications are being reevaluated.
Others may experience changes in contracting opportunities or need to explore additional procurement channels.
It is important for businesses to carefully review communications from their certifying agencies and seek clarification when needed.
I also want to emphasize something that should not get lost in this conversation.
A business does not lose its expertise, experience, or value to the transportation industry because federal certification requirements change.
Our small businesses continue to provide essential services, support major transportation projects, create jobs, and contribute to local economies.
Helping these businesses remain informed and competitive is important to the long-term strength of our industry.
DBE Recertification by State
https://lit.paperturn-view.com/dbe-recertification-status-by-state-lit?pid=ODk8965305
At LIT, our mission is to advance workforce development, leadership, and economic opportunity within the public transportation industry.
As a national, nonpartisan nonprofit organization, our responsibility is not to advocate for a political party or administration. Our responsibility is to support the professionals and businesses we serve.
We recognize that federal policy changes can affect businesses regardless of the political circumstances surrounding those decisions.
Our focus is on education, engagement, business development, and ensuring that the experiences of small businesses are part of the broader industry conversation.
Through our Small Business Program, LIT is identifying ways to help members better understand these changes, access reliable resources, and strengthen their connections throughout the transportation industry.
We also recognize that before developing additional initiatives, we need to understand what our small business community is actually experiencing.
That is why we are asking businesses across the country to share their experiences with us.
https://fs8.formsite.com/QIMth5/vlcvb8iex0/index
An important part of LIT's efforts will involve our Small Business Committee, chaired by Anthony Valdiosera, a member of the LIT Board of Directors.
The Small Business Committee plays an important role in advancing our commitment to economic development and creating opportunities for small businesses throughout the public transportation industry.
With the changes taking place within the federal DBE Program, I believe this committee has an opportunity to play an even greater role in understanding the challenges our members are facing and helping identify meaningful ways LIT can support them.
Working alongside LIT leadership, the committee will help evaluate the information gathered through our National DBE Small Business Impact Survey and explore opportunities to strengthen educational resources, industry partnerships, and business development connections.
We recognize that not every business faces the same challenges.
Some may be navigating certification changes. Others may be concerned about contracting opportunities, access to capital, or maintaining relationships with larger firms.
Our goal is not simply to identify these challenges, but to understand where LIT can make a meaningful difference.
Under Anthony's leadership, the Small Business Committee will be an important resource as we continue strengthening our Small Business Program and identifying opportunities to support the long-term growth and competitiveness of businesses within our industry.
We want our Small Business Program to be shaped by the needs of the businesses we serve, and that begins by listening to them.
Want to join the Small Business Committee? Contact Committee Chair Anthony Valdiosera .
LIT is launching a National DBE Small Business Impact Survey to gather information directly from businesses about certification challenges, contracting opportunities, financial concerns, and other effects they may be experiencing.
We want to hear from businesses that have experienced challenges, those that have seen no changes, and those that may have identified new opportunities.
LIT is exploring educational sessions and resources to help businesses understand the revised DBE certification requirements, available technical assistance, and alternative contracting opportunities.
Our goal is to connect members with reliable information and knowledgeable professionals who can help answer their questions.
Link to Small Business Tool Kit
Relationships are an important part of business development.
LIT will continue identifying opportunities to connect small businesses with transportation agencies, prime contractors, consultants, and other industry partners.
We want our small business members to be recognized for their capabilities, experience, and the value they bring to transportation projects.
Information collected through our survey will help LIT identify common concerns and communicate aggregated findings to transportation agencies, industry organizations, and federal policymakers.
We believe meaningful conversations should be informed by the actual experiences of the businesses affected.
Our intention is to provide factual information, encourage constructive dialogue, and help identify practical solutions.
Beyond the immediate DBE changes, LIT remains committed to helping small businesses develop relationships, strengthen their competitiveness, access professional development, and identify opportunities for sustainable growth.
Our commitment to small business development extends well beyond any single federal program.
To better understand what is happening across the country, Latinos In Transit is asking small business owners and transportation professionals to participate in our National DBE Small Business Impact Survey.
Whether you are currently DBE-certified, previously certified, pursuing certification, or operating a small business without DBE certification, we encourage you to participate.
Through this survey, we hope to better understand:
How businesses are navigating the revised certification requirements.
Whether contracting opportunities have been affected.
What challenges businesses are experiencing.
What resources and assistance are needed.
How organizations like LIT can provide meaningful support.
The information collected will help guide our Small Business Program and inform discussions with transportation agencies, industry partners, and policymakers.
Participation is voluntary. Individual responses will be treated confidentially, and public findings will be reported in aggregate unless permission is given to share a specific business's experience.
We cannot accurately represent the challenges facing small businesses unless we hear directly from them.
Estimated completion time: 5–7 minutes. Continue reading here: https://docs.google.com/document/d/1eqbqvCxHqPS7Bz35cCMk1N5q3Nc3K8VEZGtvEvlVCsU/edit?usp=sharing
LIT
P.O. Box 4382
Covina, Ca. 91723 - 4382
Contact Us
information@latinosintransit.org
Tel: 626-495-1548
LIT is a non-profit 501(c) organization
TAX ID - 36-4826809
When LIT Ignites, Transformation begins.