Evaluation of the Ohio Department of Transportation's Small Business Enterprise Program

The Ohio Department of Transportation (ODOT) is committed to fair and equal opportunities for firms of all sizes to do business with the state. The Small Business Enterprise (SBE) Program was established to ensure that small businesses receive fair opportunities to participate in ODOT contracting and consulting activities as prime contractors. It is a race/gender-neutral set-aside program that restricts competition for prime contracts on certain federally funded highway construction and design contracts (e.g., culvert replacement, geotechnical design, environmental consulting) to small businesses that have been certified through the program. SBE firms must be prequalified with ODOT to bid on SBE set-aside projects. The SBE must perform or exercise responsibility for at least 30% of the total cost of its contract with its own workforce. While it is a federal requirement to have an SBE element as part of the Disadvantaged Business Enterprise (DBE) program, the design and implementation of the SBE element is completely at ODOT's discretion, however, the process must be approved by the Federal Highway Administration (FHWA). ODOT's current SBE program was developed in 2015. While some individuals view the program as being successful, concerns have been expressed that the pool of SBE contractors is small resulting in a lack of competitive bids on construction projects. Research is needed to evaluate ODOT's SBE program to ensure it is effective and meets the desired outcome. The goal of this research is to evaluate ODOT's SBE program, determine its effectiveness and make recommendations for improvements. Objectives of this research include the following: (1) determine the current state of practice for SBE programs and establish best practices; (2) provide a baseline assessment of ODOT's SBE program's performance from its inception in 2015 to present day; and (3) provide recommendations for enhancements in the design and implementation of ODOT's SBE program which includes both certification requirements and the implementation of the program. This research will provide critical insights into how other recipients of transportation federal funding are structuring and managing their SBE programs and how ODOT's program can become more effective and efficient at facilitating competition by fostering productive relationships with SBEs. Findings from this research will identify potential improvements in the program that will not only help ODOT ensure compliance but may also serve to make the SBE program more robust and competitive while maintaining ODOT's ability to carry out design and construction programs in a cost effective manner.

• Record URL:
  https://www.dot.state.oh.us/Divisions/Planning/SPR/Research/reportsandplans/Lists/Final%20Reports%20All/Item/displayifs.aspx?List=47f3581d%2Df21c%2D403b%2D9358%2Dfea0b008772b&ID=805&Source=https%3A%2F%2Fwww%2Edot%2Estate%2Eoh%2Eus%2FDivisions%2FPlanning%2FSPR%2FResearch%2Freportsandplans%2FLists%2FFinal%2520Reports%2520All%2FAllItems%2Easpx%3FuseFiltersInViewXml%3D1%26FilterField1%3DResearch%255Fx0020%255FOrganization%26FilterValue1%3DBBC%2526M%26FilterType1%3DChoice&ContentTypeId=0x0100BD006C89430C884FB603A74E63BB6849&RootFolder=%2FDivisions%2FPlanning%2FSPR%2FResearch%2Freportsandplans%2FLists%2FFinal%20Reports%20All

Language

• English

Project

• Status: Active
• Funding: $219440
• Contract Numbers:

  41219

  136819

  120527

• Sponsor Organizations:

  Federal Highway Administration

  1200 New Jersey Avenue, SE
  Washington, DC  United States  20590
• Managing Organizations:

  Ohio Department of Transportation

  Research Program
  1980 West Broad Street
  Columbus, OH  United States  43223
• Project Managers:

  Fout, Vicky

• Performing Organizations:

  BBC Research & Consulting

  1999 Broadway Suite 2200
  Denver, Colorado  United States  80202
• Principal Investigators:

  Bawa, Sameer

• Start Date: 20241001
• Expected Completion Date: 20260201
• Actual Completion Date: 0

Subject/Index Terms

• TRT Terms: Certification; Construction management; Contract administration; Implementation; Recommendations; Small business; State of the practice
• Identifier Terms: Ohio Department of Transportation
• Subject Areas: Administration and Management; Construction; Transportation (General);

Filing Info

• Accession Number: 01931494
• Record Type: Research project
• Source Agency: Ohio Department of Transportation
• Contract Numbers: 41219, 136819, 120527
• Files: RIP, STATEDOT
• Created Date: Sep 20 2024 3:44PM