If you want to bid on federally funded transportation contracts in Kentucky — highway construction, transit projects, airport work — DBE certification is how you get counted. Primes set aside participation goals for DBE firms on contracts funded by FHWA, FTA, and FAA. Without the certification, you can bid, but you won't satisfy a prime's DBE goal, which means many doors stay closed.
Here's what the Kentucky process actually looks like.
The certifying agency
Kentucky's DBE program runs through the Kentucky Transportation Cabinet (KYTC) — Office for Civil Rights and Small Business Development (OCRSBD). This office administers the state's Unified Certification Program (UCP), which is the federally required single-entry system created under 49 CFR Part 26. One application, one approval, recognized statewide.
Contact the OCRSBD directly:
- Address: 200 Mero Street, Frankfort, KY 40601
- Phone: (502) 564-3601
- Email: KYTC.OCRSBD@ky.gov
- Hours: Monday–Friday, 8:00 a.m.–4:30 p.m. EST
- Portal: B2GNow at kytc.gob2g.com
All applications go through B2GNow. Paper applications are not the standard path.
Who qualifies
The eligibility rules come from 49 CFR Part 26. Kentucky applies them as written.
Ownership. At least 51% of the firm must be owned by one or more socially and economically disadvantaged individuals. Ownership must be real, not nominal — the disadvantaged owner must hold actual equity, not just a title.
Personal net worth. Each disadvantaged owner must have a personal net worth below $2.047 million. This is the current cap set by U.S. DOT. Your primary residence equity and the value of your ownership interest in the applying firm are excluded from the calculation. Business retirement accounts held in the firm's name are excluded; personal IRAs and 401(k)s above certain values may count toward net worth and require explanation.
Control. The disadvantaged owner must control the firm — day-to-day operations, long-term decisions, and the technical work the firm does. A majority owner who defers all management to a non-disadvantaged partner will likely fail the control test.
Citizenship. Owners must be U.S. citizens or lawfully admitted permanent residents.
Size standards. The firm must meet SBA small business size standards for its primary NAICS code and must have gross annual receipts that average no more than $31.84 million over the prior five fiscal years.
Social and economic disadvantage. Effective October 3, 2025, U.S. DOT's Interim Final Rule eliminated the previous practice of presuming disadvantage based on race or gender. Every applicant now must demonstrate individualized social and economic disadvantage through a written Personal Narrative. This is a significant shift — see the "Important note" below.
Important note: the IFR reevaluation (2025–2026)
The U.S. DOT issued an Interim Final Rule that took effect October 3, 2025. It changed the DBE program's core mechanism. Previously, members of certain racial and gender groups were presumed to be socially disadvantaged. That presumption is gone. Now every DBE applicant — new or renewing — must write a Personal Narrative explaining specific barriers they personally faced and how those barriers affected their business or economic opportunity.
KYTC paused DBE goal-setting and certification activity while it reevaluates all currently certified firms. Firms that were certified before October 2025 had until March 31, 2026 to submit an updated Personal Narrative and Personal Net Worth Statement to maintain their eligibility. Firms that missed that deadline remain ineligible for DBE participation credit until they submit.
For new applicants, the program continues to accept applications. The same Personal Narrative requirement applies.
Required documents
Kentucky uses the U.S. DOT Uniform Certification Application. The document list below covers what KYTC expects at submission:
Business formation documents - Articles of incorporation, certificate of formation, or partnership agreement (signed/filed with the state) - Operating agreement or bylaws with all amendments - Stock certificates or membership interest records showing ownership percentages
Financial documents - Three years of signed federal business tax returns (Form 1120, 1120S, 1065, or Schedule C) - Three years of signed personal federal tax returns for all owners with 20%+ ownership - Current year-to-date profit and loss statement and balance sheet - Proof of how the disadvantaged owner capitalized the business (canceled checks, loan documents, gift records)
Banking records - Business bank account signature cards - Three to six months of business bank statements (varies by reviewer)
Licenses and registrations - Current business license(s) - Any professional licenses required for the work you perform - Kentucky Secretary of State registration (if applicable)
Owner documentation - Government-issued photo ID for all owners - Resumes or work history for all owners and key officers, demonstrating technical competence
Narrative and net worth - Personal Narrative explaining specific barriers to social and economic disadvantage - Personal Net Worth Statement (U.S. DOT Form) with supporting schedules for real estate, investments, retirement accounts, and debts
If your firm is already certified in another state (interstate certification), you submit a copy of your existing application and supporting documents plus the Kentucky Interstate Certification Affidavit. KYTC will still conduct its own review.
Step-by-step application process
Step 1: Create a B2GNow account. Go to kytc.gob2g.com and register as a new firm. You'll complete the online application form and upload all supporting documents through the portal.
Step 2: Complete the Uniform Application. The form covers business structure, ownership, control, and NAICS codes. Fill it out completely — incomplete submissions get returned, which resets the clock.
Step 3: Write your Personal Narrative. This is the piece most applicants underestimate. The narrative must describe specific experiences — not general statements about industry conditions — that show personal disadvantage. Vague narratives get rejected or sent back. Be concrete about dates, people, and outcomes.
Step 4: Complete the Personal Net Worth Statement. Account for every asset: real estate, bank accounts, retirement funds, vehicles, business interests, and debts. Attach supporting documentation for each line. The OCRSBD will cross-reference this against your tax returns.
Step 5: Submit through B2GNow. Once everything is uploaded, submit the application. The OCRSBD will assign a reviewer and contact you if anything is missing.
Step 6: On-site visit. Kentucky typically conducts an on-site review as part of the certification process. A reviewer visits your place of business to verify that operations match what you described on the application — that equipment exists, that you have office space, that the owner is present and running things.
Step 7: Decision. KYTC targets a 90-day review window from the date of a complete submission. If approved, your firm is listed in the B2GNow DBE directory, which primes search when assembling subcontractor teams.
Cost: The application itself is free. There are no filing fees for DBE certification through KYTC. If you hire a consultant or attorney to prepare your Personal Narrative and documents, expect to pay $500–$2,500 depending on the complexity of your financial situation.
Annual renewal: Certified firms must submit an Annual Affidavit of No Change on the anniversary of their original certification date. If something has changed — ownership, revenue, net worth — you report it at that time.
What contracts it opens
DBE certification applies to federally funded transportation contracts. In Kentucky, the primary funding sources are FHWA (highways and bridges), FTA (public transit), and FAA (airport work). The contracts that carry DBE goals include:
- KYTC highway construction and resurfacing projects
- KYTC bridge rehabilitation and replacement projects
- Louisville Transit Authority (TARC) capital and operating contracts
- Lexington Transit Authority (LexTran) contracts
- Louisville Muhammad Ali International Airport capital projects
- Blue Grass Airport (Lexington) capital projects
- Local Public Agency (LPA) projects where federal-aid funds flow through counties and cities
KYTC publishes project-specific DBE goals in each bid advertisement. Goal percentages vary by project type and available DBE capacity in the relevant specialty. For one recent statewide program management contract, FHWA set an 11.95% DBE goal. KYTC's proposed DBE participation goal for the three federal fiscal years beginning October 1, 2025 was 1.18% for transportation delivery work — though program-level goals are distinct from project-level goals, which can run higher depending on the work type and location.
In practical terms: primes on KYTC contracts need to document DBE participation to comply with federal requirements. Certified subcontractors are in demand for concrete work, paving, signage, trucking, inspection services, engineering, and environmental compliance.
Stacking with other certifications
DBE certification is specific to transportation and federally funded infrastructure. It does not automatically qualify you for other set-aside programs.
SBA programs (8(a), HUBZone, WOSB, SDVOSB): These are separate federal programs with separate applications. DBE certification provides no credit toward SBA eligibility, but the documents you gather — tax returns, ownership records, net worth statement — overlap significantly. If you're going to apply for multiple programs, sequence the applications to share preparation work.
Kentucky SBE (Small Business Enterprise): KYTC also administers a separate state SBE certification for small businesses on state-funded (non-federal) contracts. SBE uses different size standards and does not require the disadvantage showing. You can hold both.
NMSDC (MBE) and WBENC (WBE): These are corporate supplier diversity certifications used for private-sector contracting, not government transportation work. They don't substitute for DBE and vice versa. If you're targeting both government and corporate buyers, you'll need both.
If you want help with the application
The Personal Narrative is the hardest part of a post-IFR DBE application. It's an essay about your life and your business history, evaluated by a federal compliance standard. Many owners with legitimate disadvantage still get tripped up by how to frame and document it.
If you'd rather not navigate that alone, CertifyAll at SupplierDiversity.com prepares DBE applications — including the Personal Narrative, Personal Net Worth Statement, and document assembly — for business owners who want professional help getting it right the first time. The service handles the preparation work; KYTC still makes the final certification decision.
Program details for KYTC's DBE program: (502) 564-3601 or KYTC.OCRSBD@ky.gov. The B2GNow portal is at kytc.gob2g.com. The U.S. DOT Interim Final Rule is effective as of October 3, 2025; requirements may evolve as court challenges and federal guidance develop.
