Implementation of best-value procurement for highway design and construction in the USA

Abstract

Purpose The purpose of this paper is to investigate procedures and practices to promote transparency in best-value procurement for the design and construction of highway projects with the goal of improving this evolving procurement method. Design/methodology/approach The review of published empirical studies, a national survey of transportation agencies, and case studies of highway agencies form the basis of the conclusions in this research. In addition to the national survey, with 46 of 52 agencies participating, the research presents case studies from seven highway agencies in the USA including: California, Florida, Michigan, Minnesota, New York, Oregon, and Utah. These seven case studies were selected from agencies that employ mature best-value procurement methods. The case studies involved a thorough procedural review and structured interviews of agency personnel. The agencies then validated the results and conclusions. Findings The results showed that evaluation committees should include technical members who do not have a personal interest in the outcome of the selection to maintain transparency in best-value projects. The committees should receive best-value procurement training, which necessitates the development of consistent and transparent best-value selection procedures. Debriefing meetings should be conducted to provide comments about strengths and weaknesses of each proposal to enhance fairness and transparency of the best-value selection process. Research limitations/implications Knowledge of the best-value procurement procedure will allow researchers to better understand the impact of procedures and practices on transparency in selecting best-value projects. The chief limitation of this research is that the primary data were collected from highway agencies in the USA. Any future research should include more data to enhance the validity of this study outside of the public transportation sector. Practical implications The result of this research will help transportation agencies and other public owners to improve their best-value procurement procedures. The findings of this research also address the construction and consulting industry’s concern about transparency and fairness of a best-value selection process. Originality/value This research is the first attempt to examine the impact of the evaluation committee, best-value training, and debriefings on transparency of best-value selection.