Procuring Segments for the Grand(est) Parkway of All

We helped the Texas Department of Transportation (TxDOT) reach a development agreement with a joint venture to design, build and maintain a critical $1 billion project.

PROJECT DETAILS

The project was a 37-mile piece of a proposed 184-mile highway network that will eventually loop around the bustling Greater Houston area.  The portion at issue, Segments F-1, F-2 and G of the larger Grand Parkway (SH-99), will feature four tolled lanes extending from south of U.S. 290 to west of U.S. 59N.  The project will also include an array of frontage roads, crossing streets and utility adjustments.  It is expected to help improve connectivity with other highways in the Houston region, boost vehicle capacity and provide additional hurricane evacuation routes.

In March 2013, TxDOT contracted for the work with Zachry-Odebrecht Parkway Builders JV, a joint venture of Zachry Construction Corp. and Odebrecht Construction Inc., after determining the developer offered the best value.  In fact, while TxDOT estimated the construction cost at $1.160 billion excluding design, Zachry-Odebrecht proposed a design-build tab of $1.07 billion, including $30 million in options.  The joint venture's bid was $300 million less than the next closest bidder.

Zachry-Odebrecht also proposed the fastest timetable – 842 days – which was 150 days earlier than the outside deadline set by TxDOT.  Segments F-1 and F-2 opened in February 2016 and Segment G opened in March 2016. 

We are also assisting TxDOT with the procurement for design-build and long-term capital maintenance contracts for an approximately $1 billion, 52-mile portion of the Grand Parkway that includes segments H, I-1 and I-2.  The project will traverse four counties from U.S. 59 to SH-146.  The contract is under procurement. 

INNOVATION

• When finished, the Grand Parkway will span 11 segments and will be the largest beltway in the U.S.