Deltek Pulse: Architecture, engineering and construction (AEC) month in review, December 2016

Posted by Evan Halperin on January 4, 2017

construction

As we moved into the final month of 2016, Deltek observed another drop in the number of architecture, engineering and construction (AEC) projects released by state and local governments. The end of the year brings a bit of a slowdown in government activity with the holidays and change in calendar year. The percentage decrease in bids from November to December was nearly 13%.

While it seems alarming at first glance, judgement should be reserved until several months of data is available in 2017. Should activity remain even with the end of 2016, this may be the new normal state of government contracting. If the number of projects starts moving back up again, as Deltek anticipates, we can expect a steady rise through the first half of 2017.

In December, city and state governments released a nearly identical percentage of projects at 33% and 32.9%, respectively. County projects went up slightly to 13.7%, while university activity dropped a bit to 7.5%.

From a regional perspective, the Southern U.S. released 38.1% of projects, with the West at 25.36%, East with 19.17% and Midwest at 17.31%. The projects in the West were mostly out of California, which issued the most bids from a state perspective, with 10%. Texas (8.9%), New York (5.8%), Virginia (5.8%) and Florida (5.4%) round out the top five. One surprise was a big increase in South Carolina, which issued 4.1% of bids.

Notable Solicitation Releases

Notable Contract Awards

New Lead Alerts

You can learn more about current procurement opportunities in the GovWin IQ State, Local and Education Opportunities database. Not a Deltek subscriber? Click here to learn more about Deltek's GovWin IQ service and gain access to a free trial.

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