It includes your DOT reimbursement, yes. Box 12 code L represents all of your employee expenses that have been reimbursed, as seen in this FAQ: https://ttlc.intuit.com/replies/3300234
What is unclear is whether the amount is included on your w-2 as box 1 income or whether or not TurboTax is adding it to your box 1 amount. If it is reported that way on your w-2, then you will want to ask for your employer to send you a corrected w-2, because this is incorrect reporting. Please note the comment the IRS makes on this at the following link: Line 7. (This is the line where your reimbursement is reconciled on Form 2106, discussed later).
However, if it is TurboTax that is adding the amount to box 1, then you will need to file Form 2106 to reconcile your reimbursement. This reimbursed amount is taxable as wages if it is an overage. However, if your refund was not the amount of your calculated expenses, you are entitled to the difference as a potential deduction. Please see this FAQ for more information on how to enter this into TurboTax: https://ttlc.intuit.com/replies/4800418
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