WATSONVILLE, Calif.--(Business Wire)--Granite Construction Incorporated (NYSE: GVA) announced today that it
has been selected by the California Department of Transportation
(Caltrans) as the Construction Manager/General Contractor (CM/GC) for
the estimated $410 million Highway 101 Carpinteria to Santa Barbara
Project, and for the estimated $113 million Cosumnes Bridge Replacement
CM/GC Project in Sacramento County.
“This CM/GC negotiated work aligns perfectly with Granite’s footprint
and our portfolio of services. Importantly, this type of procurement
allows project owners the opportunity to select a contractor based
purely on qualifications and the value they can add to the project
delivery process,” said James H. Roberts, Granite President and Chief
Executive Officer, adding, “An increase of CM/GC procurement in
California is the result of successful projects and Caltrans delivering
on a promise of Senate Bill 1 (SB 1; The Road Repair and Accountability
Act of 2017) funding to strengthen the state’s infrastructure.
“These recent CM/GC wins add to a growing roster of best-value projects
on which we have focused our procurement efforts, emphasizing balanced
risk and improving returns in our Transportation segment and across the
Company. We expect to pursue more than $4 billion in CM/GC work in 2019
across the nation, including nearly $1 billion in California alone,”
said Roberts. “The defeat of the Proposition 6 ballot measure in
November cleared the way for these projects to move forward, with
significant funding for the Highway 101 and Cosumnes Bridge projects
provided by California’s 10-year, $54.2 billion investment from SB 1, as
well as funding from local government measures. These wins, coupled with
a demand environment as healthy as we have seen in well over a decade,
bolster our outlook for steady growth and improved financial performance
in 2019 and well beyond.”
CM/GC procurement involves the contractor during the design and planning
phases, offers a lower risk profile for both the contractor and the
owner, while increasing the overall value to taxpayers. Granite’s
national CM/GC expertise and local capability is a natural fit for these
projects as the nation’s #1 Highway contractor (according to ENR
Magazine). The Highway 101 Project is the final phase of a larger
program to increase safety, mobility, and provide congestion relief
along US 101 in Santa Barbara and Ventura Counties. Scope includes
adding 10.9 miles of high occupancy vehicle lanes between Carpinteria
and Santa Barbara. The Cosumnes Bridge Replacement Project is located on
State Route (SR) 99, in Elk Grove, CA. Project scope includes the
removal and replacement of four bridges over the Cosumnes River and to
relinquish an underpass railroad structure, requiring partial
realignment of SR 99 southbound. Backlog for these projects is expected
to accumulate in 2019 and run through 2023.
About Granite
Through its offices and subsidiaries nationwide, Granite Construction
Incorporated (NYSE: GVA) is a full-suite provider in the transportation,
water infrastructure and mineral exploration markets. Granite, America’s
Infrastructure Company, is an award-winning firm in safety, quality and
environmental stewardship, and has been honored as one of the World’s
Most Ethical Companies by Ethisphere Institute for nine consecutive
years. Granite is listed on the New York Stock Exchange and is part of
the S&P MidCap 400 Index, the MSCI KLD 400 Social Index and the Russell
2000 Index. For more information, visit graniteconstruction.com.
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