Common use of Performance of DBE Contractors, and Other DBE Subcontractors/Suppliers Clause in Contracts

Performance of DBE Contractors, and Other DBE Subcontractors/Suppliers. a. A DBE does not perform a commercially useful function if its role is limited to that of an extra participant in a transaction, Preconstruction Services Contract, or project through which funds are passed in order to obtain the appearance of DBE participation. In determining whether a DBE is such an extra participant, examine similar transactions, particularly those in which DBEs do not participate.