The Bluegrass Institute for Public Policy Solutions

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KYTC awarded $33.3 million in single-bid contracts exceeding their engineer's estimates in August

The Kentucky Transportation Cabinet (KYTC) awarded 13 single-bid contracts exceeding their internal estimates to Kentucky’s highway contractors in August. The single-bid awards totaled $33,370,593 - costing taxpayers $1,526,302 above and beyond the estimated costs for those projects.

Scotty’s Contracting was awarded the largest single-bid contract last month. Their $14,067,824 bid was $603,909 higher than KYTC’s estimate for a KY 90 (“Glasgow-Burkesville Rd”) project in Barren County.

Gaddie-Shamrock won a $7,694,314 contract for a ten mile section of asphalt pavement rehabilitation on Cumberland Parkway in Russell County. The company’s bid exceeded the Cabinet’s estimate by $486,021.

L-M Asphalt Partners secured two single-bid contracts in August, including an $884,805 project in Fayette County. How KYTC is incapable of generating competition for projects in the state’s second largest county is a question that needs to be explored and answered.

The Rogers Group was awarded two single-bid contracts (exceeding the Cabinet’s estimates) totaling $1,959,160 for “various routes in Caldwell County” and “various routes in Christian County.”

Seven more Kentucky highway contractors were each awarded a single-bid contract last month:

  • Lexington Quarry Company: $2,898,455 for 4.8 miles of asphalt resurfacing in Jessamine County. The company’s bid exceeded the estimate by $129,668.

  • Mountain Enterprises: $977,377 for “various routes in Leslie County.” Mountain’s bid exceeded KYTC’s estimate by $56,433.

  • Mago Construction: $558,576 for 2.6 miles of asphalt resurfacing of US 60 in Breckinridge County.

  • The Allen Company: $540,673 for 4 miles of asphalt resurfacing of KY 2888 (“Rockwell Rd.”) in Clark County.

  • Haydon Materials: $431,947 for “various routes in Taylor County.”

  • Hinkle Contracting: $417,444 for 2.8 miles of asphalt resurfacing on Crab Orchard Rd. (KY 39) in Pulaski County.

  • H.G. Mays Corporation: $342,633 for “various routes in Franklin County.”

A back of the envelope calculation indicates KYTC has awarded 115 single-bid contracts (that exceeded their engineer’s estimates) totaling $148.3 million to Kentucky’s road contractors since January 2021.

In August, KYTC awarded single-bid contracts for projects in the following counties: Russell, Fayette, Breckinridge, Clark, Jessamine, Laurel, Pulaski, Barren, Caldwell, Christian, Franklin, Leslie and Taylor.

A complete list of August’s single-bid awards is available at this link.

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Single-bid projects have been awarded in the following Kentucky counties in 2021: Barren, Bath/Rowan, Breathitt, Breckinridge, Bourbon, Boyle, Boyd, Carter, Caldwell, Calloway, Casey, Christian, Clark, Clay, Clinton, Cumberland, Estill, Fayette, Floyd, Franklin, Garrard, Graves, Greenup, Hancock, Jessamine, Johnson, Knott, Knox, Laurel, Lawrence, Lee, Leslie, Letcher, Lincoln, Logan, Lyon, Madison, Marion, Marshall, McCracken, Metcalfe, Menifee, Mercer, Monroe, Montgomery, Morgan, Owsley, Perry, Pike, Pulaski, Rockcastle, Russell, Scott, Taylor, Wayne, Whitley, Wolfe.