Title: North Carolina Department of Transportation’s Performance-Based Contracting Experience in Charlotte
Abstract: In 2005, the North Carolina General Assembly passed legislation stating “the Department of Transportation may implement up to two performance-based contracts for routine maintenance and operations, exclusive of resurfacing.” This legislation began North Carolina Department of Transportation’s (NCDOT’s) entrance into performance-based contracting with its pilot project in Charlotte. This project includes about 700 lane miles of Interstates 85, 485, 77, and 277. As NCDOT began to prepare a contract document, identifying the scope of the project became a major undertaking. Much was learned from states that had gone before North Carolina in this endeavor and armed with Virginia and Texas experiences and NCDOT’s own internal performance measures initiative, a comprehensive contract document was prepared and advertised in June 2006. In March 2007, a performance-based contract was awarded to Infrastructure Corporation of America (ICA) and as with any new project both NCDOT and ICA had start-up challenges to overcome. Some of those included training DOT subcontractors and even ICA’s staff in a new method of contracting and performance measures, locating facilities, and working through various communication challenges. In order to verify the contractor’s performance, performance targets and semi-annual condition assessments are performed. The contractor’s payment is based on how closely he adheres to these targets. This paper outlines the process and issues involved in the development and administration of North Carolina’s performance-based contract including project selection, development of performance measures, lessons learned, and assessment methodologies.
Publication Year: 2009
Publication Date: 2009-07-01
Language: en
Type: article
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Cited By Count: 1
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