Section 3: Payment Reporting when a DBE is a Prime Contractor

Overview

Before payment audits, the District needs to ensure that the processes described in Chapter 9, Section 3 of this manual have been completed.

DMS tracks payments to DBE prime contractors as the remaining amount after payments are made to all certified and non-certified subcontractors
. This method requires that all subcontractors are tracked. For example:


TxDOT total payments to prime contractor	$1,000000.00
Prime payments to DBE certified subs	$(100,000.00)
Prime payments to non-DBE certified subs	$(150,000.00)
Goal credit of DBE prime contractor	$750,000.00
Total DBE goal credit on Project	$850,000.00
TxDOT total payments to prime contractor	$1,000,000.00

DMS Process for a DBE Prime Contractor

The DBE prime contractor will be required to report payments to all of their subcontractors, including all DBE and non-DBE subcontractors.

All subcontractors will be required to respond to requests for verification of payment.