State law predominantly relies on a design-bid-build (DBB) project delivery method to design and build infrastructure projects. Often referred to as a "traditional" delivery method, the majority of Caltrans’ projects are delivered using DBB, where the public sector retains the majority of the risk for design, permitting, and right of way. Project delivery methods that transfer certain responsibilities for project delivery from the public sector to the private sector include design-build, construction manager/general contractor (CM/GC), and Public-Private Partnership (P3). Existing law permits Caltrans to use these innovative project delivery methods on a limited basis to deliver construction projects, as discussed below.

AB 2498 (Gordon, Chapter 752, Statutes of 2012) authorized Caltrans to use the CMGC project delivery tool for six projects as a pilot program. With CMGC, Caltrans remains the engineer of record and engages a contractor as a construction manager during Caltrans’ design process to leverage the construction manager’s construction expertise more completely and specifically in constructability reviews. CMGC is a two-step process which includes Caltrans entering into a pre-construction services agreement with a construction manager. At a mutually agreed point, Caltrans and the construction manager negotiate the price to construct the project. Once agreement has been reached, the two enter into a construction agreement and the construction manager becomes the general contractor for the project.

It should be noted that CMGC is primarily a cost savings tool and allows Caltrans, with the engagement of a construction expert early in the design process, to iron out any issues with constructability while the design is completed. CMGC is intended to limit or eliminate any contract change orders related to the design of the project. To date, all six slots have been awarded and the current status of each CMGC project may be found on Caltrans’ CMGC website.

On September 28, 2016, the Legislature passed and the Governor signed into law AB 2126 (Mullin, Chapter 750) authorizing Caltrans to enter into six more CM/GC contracts. The projects will be added to this list as this authority is assigned.