Office of Civil Rights News
Since the federal government fundamentally changed the definition of Disadvantaged Business Enterprises (DBEs) in October 2025, the Minnesota Department of Transportation (MnDOT) has completed the DBE reevaluation process, revised MnDOT’s overall DBE goals and submitted an updated DBE program plan to the Federal Highway Administration (FHWA).
The United States Department of Transportation has approved the updated DBE program plan and MnDOT is now prepared to resume setting numerical DBE goals on federally funded projects.
MnDOT remains committed to equity in transportation and values our disadvantaged business community. Staff from multiple agencies collaborated throughout the reevaluation process to prioritize program administration and small business support to complete these steps.
This update covers several areas impacted by the DBE interim final rule:
- MnDOT’s 3-year goals
- DBE goal setting
MnDOT’s 3-year goals
MnDOT deeply values Minnesota’s disadvantaged business community. As a result of the federal government’s changes to the definition of a disadvantaged business enterprise, there are far fewer certified DBEs in Minnesota today than there were a year ago. MnDOT's reduced DBE program goals reflect that reality. MnDOT will continue to partner with businesses in Minnesota and work to grow the number of DBEs across the state.
On Sept. 8, MnDOT submitted its revised 3-year goals for the remainder of the FFY 2025–2027 period.
MnDOT proposed to adjust its overall FHWA DBE goal from 15.3% to 6.2% and its FTA goal from 8.7% to 2.8%.
Prior to this, MnDOT issued a notice on Aug. 5, 2026, seeking input on the revised 3-year goals for the DBE program. The public comment period was open from Aug. 5, 2026, through Sept. 7, 2026.
Comments provided to MnDOT were varied in requesting the goal be higher, lower, or concurred with the new goal. However, none of the comments provided suggested any methodology or calculations that aligned with 49 CFR 26.45 requirements for overall goal setting, so no adjustment was made.
To review the executive summaries, please visit Revised 3-Year Disadvantaged Business Enterprise Goals - Civil Rights - MnDOT.
DBE goal setting
MnDOT will resume setting project-based numerical DBE Program goals on federally funded projects. Going forward, projects advertised will include a DBE numerical goal or a DBE-neutral goal. Contractors should review the project specific advertisement or solicitation for details. Federal regulations require that contractors document enough participation to meet the DBE goal or document that it made adequate good faith efforts to meet the DBE goal. Visit the MNUCP Directory for active DBEs.
More information
For more information please visit www.mndot.gov/civilrights/updates.html
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