States Reap Savings as Construction Firms Clamber for Jobs

Bids Pour In for State Construction Jobs

More Bang for the Stimulus Buck as Firms Clamber for Contracts

Construction firms are so eager for work in the sagging economy that project bids are coming in much lower than expected, allowing state and local governments to stretch their federal stimulus dollars further.

At Baltimore-Washington International Marshall Airport, a recent project to reconstruct the area around Piers C and D received six bids instead of the usual two or three. The result: The estimated $50 million project will be built for $8 million less than was budgeted, and the savings will be allocated to other projects. There were 21 bidders for a $200,000 drainage project in Carroll County, more than anyone could remember.

“Our bottom line is more bidders and better prices,” said Maryland Transportation Secretary John Porcari. “This we like.”

After years of rapidly escalating construction costs on highway and other projects due to skyrocketing prices of fuel, asphalt and steel, transportation departments are getting a break as the economy slows and construction firms that once built subdivisions and strip malls bid for government work.

via States Reap Savings as Construction Firms Clamber for Jobs – washingtonpost.com.

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