United States Department of Transportation
i
Analysis of Material Source Mergers and Acquisitions on Project Delivery Quality and Costs
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2023-06-01
[PDF-9.17 MB]
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Edition:Final Report
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Abstract:State departments of transportation (DOTs) have expressed concern about mergers and acquisitions (M&As) occurring within the industries that produce, supply, and install aggregates and other materials for transportation projects. In particular, State DOTs have suggested the possibility that these construction industry M&As impact price and competition. This research effort targeted a data analysis- and case study-focused approach to find and understand relationships or trends that occur with M&As. The study also presents activities selected States have employed to minimize adverse impacts and protect taxpayers from unfair pricing and anticompetitive behaviors. These State DOT practices limit the adverse impacts of competitive market share distribution, bid pricing, and overall project costs. This study also examined multiyear collections of State DOT construction materials bid prices and processes to monitor and analyze State DOT practices for bidding and letting projects.
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