Summary

GAO discussed the potential of value engineering (VE) to reduce costs and the extent that it is currently used in Department of Transportation (DOT) administrations with major construction programs.

GAO found that, although DOT does not have a policy requiring that VE be used in its construction programs, two of its administrations use this method to a limited extent. DOT believes that VE can produce savings, but it has not required its use mainly because it believes that VE may negatively affect other DOT objectives, such as providing grantees maximum flexibility to implement construction programs. GAO concluded that a flexible VE policy would be consistent with DOT objectives.