1. Start with a Clear Programmatic Foundation
Alternative delivery is most effective when it is structured at the program level, as opposed to project-by-project. This allows agencies to standardize procurement, contracts and processes across multiple projects, thereby reducing redundancy and improving efficiency while not sacrificing quality. A programmatic approach also allows for prioritization of projects and offers an opportunity for the agency to ready itself organizationally for collaboration.
To this end, KYTC focused on developing standardized procurement documents, contract templates and delivery processes. This approach created the internal consistency needed to scale its program efficiently and expand when necessary.
2. Align Delivery Methods to Project Needs
Alternative delivery is not a one-size-fits-all approach. KYTC carefully selected delivery methods based on specific project complexity, risk profile and desired outcomes. Progressive design-build, for example, was used on projects where scope needed to adjust over time, while CM/GC was applied to complex, high-risk efforts.
This tailored approach allowed KYTC to align the delivery method to each project’s specific demands, allowing for flexibility while also effectively managing risk.
3. Use Alternative Delivery to Accelerate Schedule, Increase Flexibility
KYTC’s primary motivation for adopting alternative delivery was to improve schedule performance and increase flexibility, as these methods reduce the need for strict, sequential workflows, which help to accelerate timelines.
Alternative delivery also provides flexibility in areas such as right-of-way acquisition and scope definition, enabling agencies to move forward even when all the variables aren’t resolved fully.
This approach empowers quicker project delivery and helps meet the demands of a rapidly shifting infrastructure environment.
4. Establish a Strong, Collaborative Approach to Risk Management
The heart of successful alternative delivery is successful risk management. With that in mind, KYTC implemented a structured, ongoing process to assess and address risk throughout the project lifecycle.
Alternative delivery promotes a more collaborative approach compared to traditional models that more often transfer the risk entirely to the contractor. Instead, risks are allocated to the party best positioned to manage them. By proactively addressing risk, the agency better understood the risks it was accepting and was more attuned to how to manage those risks. Combined with transparent risk registers and clear accountability, KYTC saw marked improvements in overall performance.
5. Leverage the Right Expertise to Scale Quickly
Building an alternative delivery program does not require an expanded internal team. KYTC successfully augmented its internal capacity with experienced external partners, enabling rapid program growth without overextending resources.
KYTC also established a dedicated Alternative Delivery Program Manager, who works closely with alternative delivery project managers to guide execution, as well as a core group of subject matter experts who support these projects consistently.
This structure improved efficiency and consistency across projects and strengthened institutional knowledge as the program has grown.
Realized Outcomes
KYTC’s program has enabled rapid mobilization across multiple projects and has delivered tangible results, including one progressive design-build project complete and open to traffic: US 421 in rural Harlan County, and three others well into construction: Mountain Parkway, KY 8 and a Wrong Way Driving initiative. These projects, in combination with the I-65 Central Corridor project, the state’s first CM/GC project, range in value from $15 million to $450 million.
These methods have been applied across a diverse range of contexts, from large urban projects to rural environments, which typically see less alternative delivery projects. This demonstrated versatility showcases the adaptability of KYTC’s alternative delivery program.
Scalable Success
KYTC demonstrates how a lean organization can successfully implement and scale a sophisticated delivery program, and that alternative delivery isn’t just for large, resource-rich agencies.
KYTC’s experience serves as a practical model for DOTs that are earlier in their alternative delivery journey and shows that with the right structure, strategy and partnerships, alternative delivery can be adapted to a wide range of environments and organizational contexts.
As infrastructure programs continue to grow in complexity, alternative delivery is becoming less of an option and more of a necessity. For agencies looking to modernize their approach, Kentucky’s success provides a clear roadmap for what’s possible.