COST-TIME BIDDING CONCEPT: AN INNOVATIVE APPROACH

Details are presented of a relatively new and innovative approach for determining the low bidder on highway construction contracts. In the cost and time method, each bidder proposes both a time duration for the project and traditional unit prices for the work items. A road user cost (RUC) is applied to the proposed contract times. The low bidder is determined as the proposal that provides the lowest combination of bid cost and total RUC. Several state transportation authorities have experimented with this system. Results of these trial cases and the comments of the participants provide interesting indications as to the merits of this new system. Data acquired from 16 case studies are analyzed. Using the conclusions, an innovative bidding procedure is developed for application in public and private sectors.