Every year the research team at GovWin+Onvia dives deep into the state, local and education (SLED) government contracting market to find the fastest-growing areas of opportunity, which we’ve compiled in our latest report, 10 Hotspots in Government Contracting for 2018.
Two years ago we found that design-build construction contracts were an area of major growth. That trend has evolved as agencies have moved to newer project models like construction manager at-risk, sometimes referred to as CMAR. As a result, reducing risk in construction bids and RFPs have grown by 10% over the last year, making this our 10th-ranked hotspot for 2018.
Why Architecture, Engineering and Construction Contractors can Benefit
Construction manager at-risk projects are unique in that they turn the builder into a “team member.” Agencies using this model hire the contractor into the project during the design phase, and allow the vendor to take on more risk than they might using a traditional government construction contracting model.
The idea behind these projects is one that benefits both the agency and the vendor. As GovWin+Onvia SLED Market Analyst Paul Irby writes, “The thinking is that the architecture and engineering staff will feel more empowered to design with the owner’s interests in mind (having been hired directly by the agency), while the builder will also be able to affect critical early decisions that can improve the later construction process.”
…better cost feedback during the design process, more time for the contractor to thoroughly grasp the scope and details…and more time for the owner, design team and contractor to develop a mutual sense of understanding and trust prior to the start of construction.Jackson Galloway Architects
Examples of Reducing Risk in Construction Bids and RFPs
Data taken from the industry-leading GovWin+Onvia platform, the most comprehensive source of government spending market intelligence, shows just how broad the range of risk management in construction bids and RFPs is. Texas, Florida, and California are the top three states in this category, but the top 10 includes states from every region in the country.
We found several recent examples of bids and RFPs related to reducing risk in construction available within our platform, to provide a clear picture of the kinds of opportunities that vendors might find available in this portion of the SLED marketplace.
- Construction Manager At Risk – County of Dallas, TX
Dallas County is seeking proposals from experienced firms, companies, agencies and organizations to provide pre-construction and construction services for renovation of and possible additions to the county’s Elections Building.
- CM At Risk for New K-5 Addition – Jackson County School District, FL
This Florida school district is requesting qualification packets from construction managers at risk wishing to build a new K-5 wing of a school, and may include other remodeling projects.
- Design-Build Services – City of San Francisco, CA
San Francisco is looking for contractors to submit a request to provide design-build services for a construction project to renovate a city street into administrative offices and a center to provide services and programs to the city’s homeless population.
Understand all the Growth Areas for Government Contracting Opportunity in 2018
Along with bids and RFPs for reducing risk in construction, the latest research report from GovWin+Onvia highlights nine other top areas for vendors to provide products and services to state, local and education government agencies.
To download a complimentary copy of our report “10 Hotspots in Government Contracting for 2018”, click the link below and you’ll receive expert analysis from GovWin+Onvia that can help inform your public sector sales strategy.