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Ferrovial Wins $1.1B San Juan Flood Control Contract from Army Corps

The US Army Corps of Engineers awarded Ferrovial Construcción a $1.1 billion contract to widen the Río Piedras channel in San Juan, Puerto Rico's largest-ever civil works project, opening a multiyear subcontracting pipeline.

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Ferrovial Wins $1.1B San Juan Flood Control Contract from Army Corps

The US Army Corps of Engineers has awarded Ferrovial Construcción PR LLC a $1.1 billion contract to widen and reinforce the Río Piedras channel in San Juan, Puerto Rico, ENR reports. It’s the largest civil works contract the Corps has issued in the territory.

Market Impact

The award covers one segment of the larger Río Puerto Nuevo Flood Risk Management Project, a multiphase resilience effort tied to the 26-mile Río Piedras Watershed. The Corps says the improvements will prevent an estimated $126 million in flood damage annually once complete. Work includes widening the lower Río Piedras channel from 80 feet to 160 feet, dredging to deepen the waterway, reinforcing canal walls, relocating utilities, and building floodwalls anchored more than 100 feet below ground with reinforced concrete beams connecting deep concrete shafts. The two floodwalls will range from 24 feet to 31 feet in height and stretch roughly 5,200 feet, with double-wall sections in certain stretches.

“Expanding the Río Piedras channel will help safeguard neighborhoods, businesses and essential services for years to come,” Ferrovial CEO Ignacio Gaston said in a June announcement. Congress authorized the flood-control fix back in 1986, but construction only began in 2024, following decades of flooding tied to the channelization of the watershed in the 1950s. This is Ferrovial’s second project award tied to the program, and future phases call for additional channel widening, bridge replacements, new diversion channels, and green-space restoration.

What It Means for Subcontractors

  • Heavy-civil and marine construction firms should look for dredging and deep-shaft foundation subcontracts, given the floodwall design calls for shafts anchored over 100 feet deep and connected by reinforced concrete beams.
  • Utility relocation work is explicitly part of the scope, meaning electrical, water, and gas line contractors serving the San Juan metro area have a defined entry point into the project.
  • Structural concrete and formwork crews should track bid packages for the 5,200-foot floodwall system, since wall heights vary from 24 to 31 feet with double-wall sections requiring more complex sequencing.
  • Firms with prior USACE compliance experience have an advantage given the federal contracting requirements tied to this Corps-managed program.
  • Because future phases include bridge replacements, additional channel widening, and green-space restoration, subcontractors not selected for this initial package should confirm with Ferrovial or the Corps’ Puerto Rico office when subsequent phase bid packages open, since the full Río Puerto Nuevo project extends well beyond this single contract.

Sources

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