Fierce Competition on Stimulus Projects Leaves Surplus of Funds for New Jobs

July 21, 2009

States from around the country are reporting that bids on stimulus-funded projects are coming in far lower than expected, according to 120 Days Later: How the Recovery and Reinvestment Act of 2009 is Impacting the AEC Industry, a new report from ZweigWhite. This leaves a surplus of funds that states may use to fund projects which were initially deemed to be lower priority or less than "shovel ready."

With new projects becoming available, and only 14 percent of the $787 billion stimulus package spent so far, A/E and environmental firms still have a chance to go after work funded by this historic initiative.

"This money will be spent. Our analysis suggests that firms planning to pursue these new projects shouldn't sit still, waiting for the government to release requests for proposals," notes Elaine Howley, editor of the report.

"We're advising our clients to invest in developing strategic partnerships now in order to be ready the moment states decide to move forward with additional jobs. Tactics may include identifying public sector decision-makers and forming alliances with other professional services firms."

"It's very notable that the desire to win these jobs is so great that more jobs will be made available. The other side of that coin," Howley cautions, "is that, when placing bids, firms must be mindful that there has been considerable downward pressure on pricing."

ZweigWhite's new report, 120 Days Later: How the Recovery and Reinvestment Act of 2009 is Impacting the AEC Industry, details the spending that's occurred in the months since the passage of the economic stimulus bill and explains what's expected to happen next. The report also provides information on what projects are still available and provides practical advice for pursuing stimulus-funded work quickly.

This is a companion report to Guide to the American Recovery and Reinvestment Act of 2009, which was published in April and explains how stimulus funds are being distributed and offers proven strategies for securing public work. Both reports are available for immediate download at

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