Do firms graduate from the MBE/DBE Programs?
Yes. Graduation is defined as the removal of a firm’s eligibility to be certified as an MBE/DBE based upon its having met or exceeded the small business size standards applicable to one or more of the North American Industry Classification System (NAICS) Codes in which the firm is certified. A firm certified in more than one NAICS Code area may graduate in one or more of its NAICS Codes, depending on the size standards for those industries. Depending on the NAICS Code, small business size standards are calculated based on a firm’s three year of annual gross receipts or the average number of employees for the past 12 months. If a firm’s business size meets or exceeds the revenue or employee totals as specified in the U.S. Small Business Administration (SBA) regulations at 13 C.F.R. Part 121, that firm is determined to have graduated and it no longer eligible to participate on any new State contracts as an MBE or DBE in the applicable NAICS Code. The DBE Program includes an additional ov
