The Department of Transportation's Immediate Office of the Secretary awarded a $188,000 firm fixed-price purchase order to Victoria University on March 28, 2024, to provide expert analytical support for a Volpe National Transportation Systems Center and Federal Highway Administration study on the macroeconomic impacts of highway investment. Under this contract, Victoria University will update and analyze a computable general equilibrium (CGE) model of the United States economy to evaluate how highway infrastructure investments affect macroeconomic outcomes. The work requires updating the existing USAGEHwy model to represent 2022 data and current economic conditions, conducting initial analyses incorporating outputs from the Highway Economic Requirements System model, and delivering regular progress reports and a final report through the ultimate completion date of May 5, 2026. This procurement includes no set-aside designation and reflects the Federal Highway Administration Office of Economic Investment Strategies' need for sophisticated economic modeling capabilities to inform infrastructure investment decision-making.
Victoria University, an Australian-based international educational institution with significant expertise in economic modeling and CGE analysis, was selected based on technical approach, understanding, and past performance. The university has established a track record delivering economic modeling services to multiple U.S. federal agencies, including the Department of Commerce's International Trade Administration, the International Trade Commission, and the Environmental Protection Agency, with prior contract values ranging from approximately $6,800 to $236,874. The contract modification reduces the period of performance for the base line item to October 29, 2025, with potential optional task extensions available through 2026 if exercised by the government.