The Kentucky Transportation Cabinet (KYTC) awarded $150,407,982 in single-bid asphalt contracts in the first half of 2025, according to information released today by the Kentucky Forum for Rights, Economics & Education (KYFREE). The widespread usage of asphalt single-bid contracts by KYTC resulted in project costs that were $12,765,410 more than those estimated by competitive scenarios.
“The Transportation Cabinet is still failing Kentucky taxpayers,” said Andrew McNeill, Senior Policy Fellow and President of KYFREE. Every dollar that is squandered on these extravagant prizes reduces funding for transportation objectives that would create safer roads and encourage state-wide economic growth.
According to a 2024 report by the Legislative Oversight and Investigations Committee of the General Assembly, the Transportation Cabinet most often contracts asphalt projects through single bids. Since single-bid projects have plagued Kentucky for many years, it is unclear why KYTC has been unable or unwilling to confront this costly and unfair practice.
In the first and second quarters of the year, 15 highway companies won asphalt contracts through single bid. During the six-month period, six companies received eighty-seven percent (87%) of the single-bid wins. Many of the contractors are subsidiaries of international building companies, have joint ventures, or share ownership.
According to McNeill, the absence of competition in the Fayette County region is still an issue. While Lexington isn’t competitive, the Louisville and northern Kentucky regions are. The Transportation Cabinet keeps its head in the sand, despite the taxpayers’ expectation that Frankfort will be on their side.
Twice a year, KYFREE gathers and disseminates research on single-bid asphalt bidding. KYTC awarded asphalt single-bid contracts totaling $270 million in 2024. These rewards were $20.4 million more than anticipated in competitive settings.
The Kentucky Forum for Rights, Economics & Education is the state s leading taxpayer watchdog & free market think tank. The organization is committed to empowering individuals and promoting access to opportunity by creating, shaping and advancing policy solutions to the most significant challenges facing Kentucky.
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