California High-Speed Rail Authority Announces Apparent Best Value Proposer


The California High-Speed Rail Authority recently announced that a joint venture composed of Tutor Perini, Zachry Construction and Parsons has provided the apparent best value proposal for the initial design-build construction package of California's high-speed rail system located in the Central Valley.  The Authority received four other proposals from Dragados/Samsung/Pulice (composed of  Dragados SA; Samsung C&T America and Pulice Construction), California Backbone Builders (composed of Ferrovial Argoman and Acciona), California High-Speed Rail Partners (composed of Fluor, Skanska and PCL Constructors) and California High-Speed Ventures (composed of Kiewit Infrastructure West, Granite Construction and COMSA EMTE USA).  The apparent best value scores are shown in the table below:

The apparent best value selection was based 70 percent on price and 30 percent on technical scores.  The Tutor Perini/Zachry/Parsons proposal price of $985,142,530 was also the lowest price proposal.  The apparent best value proposal price was also significantly below the Authority's cost estimate of between $1.2 and 1.8 billion.  While the initial determination of the apparent best value proposer has been made, the procurement remains in progress.  If the Authority is unable to reach a final contract with Tutor Perini/Zachry/Parsons, the Authority may continue the procurement with the next most highly ranked proposer.

Please see the Authority's website for further information.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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