Skanska Tops Small Business Goals on $380M LAX Roadways Project
Skanska has wrapped up a $380 million roadways and utility project at Los Angeles International Airport, exceeding every small, local and veteran-owned business participation target set for the job, Construction Dive reports.
Market Impact
The Los Angeles World Airports Roadways, Utilities and Enabling (RUE) project, completed by Skanska USA Civil in May, was made up of 16 smaller high-priority jobs supporting LAX’s $5.5 billion Landside Access Modernization Program. That larger program includes the SkyLink automated people mover, a rental car center and new parking. Construction on the RUE project began in November 2020 and delivered roughly 365,000 square feet of street paving, 8 lane-miles of pavement striping and signage, and 1.5 miles of new bike lanes, according to Skanska spokesperson Meghan Carvalho.
On the inclusion side, Skanska reported $91 million (24%) of awards went to 139 small business enterprises, above a 20% goal, and $89.7 million (24%) went to 52 local business enterprises, topping a 7% target. Local small business enterprises received $44.2 million (12%) against a 3% goal, while disabled veteran business enterprises received $18.8 million (5%), beating a 3% goal. In total, Skanska contracted with 152 certified suppliers and subcontractors across 170 contracts worth more than $160.5 million. “When local businesses are given a real opportunity, the benefits extend far beyond the jobsite,” said Teresa Maxwell, inclusion manager at Skanska USA Civil West.
What It Means for Subcontractors
- Small business enterprises should note the $91 million awarded across 139 firms as a benchmark figure when pitching capacity and past performance on future LAWA or similar airport bids.
- Veteran-owned firms can point to the $18.8 million paid to disabled veteran business enterprises on this project as a reference point when negotiating set-aside participation on upcoming public infrastructure packages.
- Trade contractors pursuing LAWA work should connect with groups like the National Association of Women in Construction and the National Association of Minority Contractors, which Skanska credits with helping source subs across 368 outreach events and 1,790 invited firms.
- Local craft workers and union subs should track the HireLAX apprenticeship program, which has placed 264 of more than 375 graduates into union construction jobs and helped the project exceed its 30% local hiring goal with 706 of 2,258 total craft workers coming from the local area.
- Firms bidding on the remaining $5.5 billion Landside Access Modernization Program, including the SkyLink, rental car center and parking components, can cite Skanska’s inclusion numbers as the standard other general contractors on that program may be expected to match.
