Performance-Based Contractor Prequalification as an Alternative to Performance Bonds

This study investigates the costs and benefits of performance bonding versus replacing performance bonding, to various degrees, with performance-based contractor prequalification. The scope of the study covers all types of contracts for all types of work that are awarded by State highway agencies. The research involves the collection, organization, and analysis of data and information from State highway agencies, contractors, and sureties. The research product is a recommendation on the cost effectiveness of performance bonds, and if applicable, guidance for State highway agencies that wish to develop and transition to a performance-based contractor prequalification system and recommendations for how such systems can best be implemented.

• Supplemental Notes:
  • Program Information: Surface Transportation Research, Infrastructure Analysis and Construction Team

Language

• English

Project

• Status: Completed
• Funding: $359858.00
• Sponsor Organizations:

  Federal Highway Administration

  Turner-Fairbank Highway Research Center
  McLean, VA  United States  22101
• Project Managers:

  Duval, Richard

• Principal Investigators:

  Shah, Keyur

• Start Date: 20110427
• Expected Completion Date: 0
• Actual Completion Date: 20130501
• Source Data: RiP Project 40284

Subject/Index Terms

• TRT Terms: Bonds; Contractors; Data collection; Performance based specifications; Prequalifications; State highway departments; Surety bonds
• Subject Areas: Administration and Management; Highways;

Filing Info

• Accession Number: 01573213
• Record Type: Research project
• Source Agency: Department of Transportation
• Files: RIP
• Created Date: Aug 15 2015 1:00AM