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ArrowPerformance Contracting: A Split Personality Contractor's Perspective

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January 21, 2007

PowerPoint Version (67 kb)

Slide 1

Key Points Of Performance Based Contracting

  • Means of promoting innovation
  • Reallocates more risk to contractor
  • Suggests using "Best Value Award"
  • Performance goals should target:
    1. Improving safety
    2. Reducing congestion due to construction
    3. Improving quality
    4. Improving user satisfaction
Slide 2

Different Abilities Required For Contractors To Succeed

  • Engineering resource (in house)
  • Research capabilities or experience
  • Sophisticated planning & scheduling
  • Financial & bonding strength
  • Staff to respond to "Best Value" RFP
Slide 3


  • Performance Contracting can provide increased value in certain situations
  • You need to be aware of the abilities of your contracting community
  • It will probably reduce the number of bidders you get on a project
Slide 4

More Information



Scott Wolf
Center for Accelerating Innovation

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Updated: 04/04/2011

United States Department of Transportation - Federal Highway Administration