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CONTENTS I. Introduction, 3 II. Competitive Bidding Basics, 3 III. Exceptions to Competitive Bidding, 4 IV. Contract Modification Basics, 5 A. Cardinal Change, 6 V. Federal Requirements, 8 VI. Representative State Requirements on Contract Modifications, 9 A. Competitive Bidding Statutes, 9 B. AASHTO Guide Specifications and Typical State Guidelines and Specifications, 10 C. Alternative Project Delivery, 11 VII. General Conclusions, 11 VIII. Selected Case Studies, 12 A. Ohio Department of Transportation, 12 B. New York State Department of Transportation, 14 C. Rhode Island Department of Transportation, 18 D. MassDOT Highway Division, 21 E. Vermont Agency of Transportation, 23 Appendix A: Summary of Survey Responses, A-1 Appendix B: Summary of State Transportation Approaches to Contract Modifications, B-1