DOTD secretary tells committee modernization cut contractor payment times and boosted project delivery

Glenn Ladday, secretary of the Department of Transportation and Development, told the committee the department is pursuing a broad transformation to improve project delivery, procurement and contractor payments.

Ladday said DOTD is tracking more than 42 initiatives and highlighted six priority initiatives with near-term milestones. He said modernization efforts, including new software and process changes, reduced the average time to pay a contractor from over 35 days to under 20 days and are trending toward an average 15-day payment window. "When a contractor submits his payment, he will receive payment within 15 days," Ladday said as a goal and noted month-to-month improvements.

Ladday also said the department shrank change-order approval times and improved project-delivery rates, moving from under 40% prior to the transformation to above 82% currently, and reported more than $1.7 billion in lettings this fiscal year. He described work to update specifications, accelerate decision-making on unknowns, and incorporate modern software tools to support construction and operations.

Committee members suggested an oversight hearing after session to review transformation progress and implementation details.

Next steps: DOTD will be available for follow-up questions during Transportation Day and committee members may schedule an oversight hearing after the session.