The Arizona Department of Transportation’s (ADOT’s) process for working with Local Public Agencies (LPAs) in the development and delivery of their transportation projects has evolved over the years. Recent changes in Arizona’s economy have reduced the distribution of state funds for local transportation projects, which has increased the demand for federal funding sources. In response to the anticipated increase in LPA projects desiring the use of federal funds and the continuing need to meet state and local transportation requirements, this updated manual highlights the steps necessary to capably deliver LPA projects in compliance with federal, state, and local requirements.

The ADOT Local Public Agency Projects Manual has been a collaborative effort among the various Divisions, Groups, and Sections within ADOT, as well as the Federal Highway Administration (FHWA) Arizona Division, with input from LPAs. ADOT would like to express sincere gratitude to Logan Simpson Design Inc. for successfully facilitating that effort and for their contribution to the production of this manual. Their hard work and in-depth coordination with ADOT and FHWA staff has been invaluable to the preparation of this manual.

The Department was established by the state legislature in July 1974 by combining the former Arizona Highway Department (originally established in 1927) and the Department of Aeronautics (originally established in 1962). The Department is not legally separate from the State of Arizona's primary government. The Department's mission is to provide a safe, efficient, cost-effective transportation system. The vision is the standard of excellence for transportation systems and services. This report includes all funds used to record the financial activity of the Department.

MGT of America, Inc. was retained to conduct a study for the Arizona Department of Transportation to determine whether there was a compelling interest to justify a disadvantaged business enterprise program for ADOT. MGT found that minority, women and disadvantaged business enterprises were substantially underutilized as prime contractors in construction and construction-related professional services. African American, Hispanic American, and Asian-owned firms were under-utilized as construction subcontractors. The study provides factual predicate evidence for the selective use of project goals for African American, Hispanic American, and Asian American construction subcontractors.