How highway agencies work
and

To an ad agency rep new to the industry

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How highway agencies work

Highway agencies use funds from gasoline taxes and other sources to build and maintain bridges, roads, and related services. This includes traffic control (signs, signals), road safety (barriers, attenuators), roadside vegetation maintenance, winter road maintenance, and many other areas.How Highway Agencies Work

In some work areas, agency crews do all of the work themselves. The agency - state, county, city, or township - buys or leases equipment and materials for them to use. Winter maintenance (snow and ice control), gravel road maintenance (including dust control), vegetation management, some areas of road maintenance (patching, pot hole repair, crack filling), and traffic control are areas most often completed by agency crews.

In areas where agencies use outside contractors, such as new road construction, bridge construction, and overlays, agency personnel write specifications for materials, methods, and equipment to be used. Specification writing ensures that outside contractors will use products and services that perform the way the agency wants. This makes reaching key highway agency personnel critical, even when outside contractors eventually purchase the product.

If highway agency personnel don't know about your client's product or service and it isn't covered in the agency's specification, outside contractors will not be able to buy or use it.

Trends

Like many industries, highway agencies are becoming more automated. Intelligent transportation systems, called ITS, computerized traffic control devices, computer chips embedded in heavy equipment such as graders and trucks, computerized bridge and road design software, and computerized bid evaluation software are just some of the new areas to watch.

Federal legislation mandated that agencies choose the lowest life-cycle cost option when evaluating bids on projects that include even an element of federal funding. This opens the door to many suppliers who make higher-cost, longer-life materials and products. So if you hear someone say, "Road departments always take the lowest bid," it's not necessarily so any more. Now they must use the lowest-cost lifetime cost option, which often includes materials and products that cost considerably more.

Predictions

Accelerated moves toward life-cycle costing - quality rather than low initial cost - will gradually work its way down from state projects to include all projects.

Computer software and the Internet will increasingly let highway agencies search for the best of new materials, equipment, and better work methods. Better Roads can help you get information about your client's advantages in these areas in front of road department buyers, both in the magazine and at our Web site, www.betterroads.com.

Distribution

Better Roads is always mailed on time, getting your advertisement in front of your buyer when you want and expect it. Last year, every issue of Better Roads was mailed before the end of the month preceding the date of issue. Other magazines often mail midway through the month of issue or later. Ask to see our postal receipts (and theirs) if you want proof.

On-time mail dates help keep your ad's effectiveness. Buyers are less likely to keep magazines whose issue dates have passed. So, with Better Roads, your ad is in their hands from the beginning of the month, not the end.

To an ad agency rep new to the industry...

If you've just started with an ad agency, or if you've been reassigned to a highway industry account from another area, here are some industry facts that can help you get started.

     1. Total market value of bridge and road construction and maintenance now stands at $124 billion a year, a marked increase thanks to TEA-21. About 25% of this is channeled from driver user taxes via the federal government to state and local highway departments. About 60% of the money is spent by state highway departments. The rest is spent by local road and street agencies.

     2. Governmental highway engineers and managers make most of the buying and/or specifying decisions. Even when a contractor buys a product, it must meet government highway agency specifications and government specifiers often write their specs to limit the products or services that can be used.

     3. There are about 7,000 prequalified highway contractors. States decide on qualifications before a contractor can bid on highway work. Local agencies usually follow their state's qualifications. So, after your advertising client reaches governmental buyers - their primary target - the next most important target is the buyer in a prequalified construction company.

Better Roads circulates to prequalified contractors, as well as the largest number of highway department buyers, and skips the wasted circulation of contractors who are not prequalified to do related road work.

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