Contract Administration: Technology and Practice in Europe

FHWA-PL-03-002

In June 2001 a team comprising federal, State, contracting, legal, and academic representatives traveled to Portugal, the Netherlands, France, and England to investigate and document alternative contract administration procedures for possible implementation in the United States.

The scan team discovered that European highway agencies appear to be better exploiting the efficiencies and resources that the private sector offers, through the use of innovative financing, alternative contracting techniques, design-build, concessions, performance contracting, and active asset management. European agencies have created contracts that focus on the users, while seeking to allocate risk appropriately and establish an atmosphere of trust in the implementation of procedures. The United States can directly and immediately employ many European procedures to help cope with its most urgent transportation needs. The report discusses these European techniques in terms of procurement, contract types, and payment mechanisms.

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