November 23, 2014

A&M System saves millions in construction costs with new sealed bidding process

NEWS RELEASE
November 8, 2012

COLLEGE STATION, Texas – John Sharp, chancellor of The Texas A&M University System, has introduced a new competitive sealed bid requirement on all major construction projects throughout the A&M System. The first project initiated under this program resulted in a $12 million savings on the original estimate of $50 million for Texas A&M University-Central Texas’ Multipurpose and Library Building project.

“The money we can help system members save on construction costs can be put toward academic programs, research and teaching,” said Sharp. “Those are the reasons we are here, and the functions we need to support. We need facilities, but when we can save money on building or renovating them, that is a good thing.”

The cost savings were a result of competitive bidding among the contractors. To help facilitate this, the Office of Facilities Planning and Construction took steps to help ensure the success of the bid process. This included: promoting upcoming building projects so that a wide variety of contractors were aware of the contracts up for bid; ensuring plans were specific, with little ambiguity concerning building specifications and requirements; eliminating proprietary products from plans and specifications; and separating the receipt times of the base bids and alternates.

“My hope is that this effort will set an example in the future, not only for the A&M System, but other state agencies and universities in Texas,” said Regent Jim Schwertner, chairman of the Committee on Buildings and Physical Plant.

About the A&M System
The A&M System is one of the largest systems of higher education in the nation, with a budget of $3.5 billion. Through a statewide network of 11 universities, seven state agencies and a comprehensive health science center, the A&M System educates more than 120,000 students and makes more than 22 million additional educational contacts through service and outreach programs each year. Externally funded research expenditures exceed $780 million and help drive the state’s economy.

Contact: Steven B. Moore  
(979) 458-6023
Syscomm@tamus.edu