Alternate Bidding & Asphalt Price Adjustment

1. Alternate Bidding & Asphalt Price Adjustment Pat GardinerBureau Of Maintenance And Operations

2. Why

3. Concept • Market Conditions Control Concrete Vs Asphalt • Fostered By The Concrete Industry • LCCA Process No Longer Determines Pavement Type • WIN - WIN For PennDOT And Industry • Lower Prices Thru Competition

4. Criteria • Sol 465-09-3 • Applies To Structural Improvements • Interstates Over $3 Million • Other Facilities Over $15 Million

5. The “C” Factor • Includes • Future Maintenance Costs • User Delay Costs • Residual Life Discount • AC Lifecycle = 50 Yrs • Concrete Lifecycle = 55 Yrs

6. Design Options • PennDOT Embraced Alternate Bidding To Save Money • Plans Can Show: • 1 Alternate Pavement Design • 0 Alternate Pavement Designs • Both Alternate Pavement Design • Not Recommending Designing Both Alternates Based On Cost

7. The List • 3R & 4R Projects • Columbia Co SR 80 Sec 078 • Allegheny Co SR 28 Sec A09 • Allegheny Co SR 28 Sec A10 • Washington Co SR 70 Sec Y20 • Bucks Co SR 95 Sec TPK • Somerset Co SR 6219 Sec 020 • Monroe Co SR 209 Sec 007

8. Future • Focus Is On Preservation • Limited Dollars • Bridge Priority • Open Plan Schedules To Include Pavement Design

9. Asphalt Price Adjustment • Who Cares • Adjustments Made Based On Monthly Index When Material Is Placed vs The Index In The Proposal

10. LCCA • AC Adjustment Factor • Previously Calculated Based On Amount Paid For Projects Closed Out In Last 6 Months • This Yields Untimely Factors

11. LCCA • New Process • AC Adjustments EARNED In Last 12 Months • New Factor Calculated On 6 Month Basis • Data Is Used In Calculation Of “C” Factor

12. Questions