How can procurement create (sustainable) public value under the Bipartisan Infrastructure Deal?

The economic response of the US government to the COVID-19 pandemic envisions massive investment in infrastructure construction. Yet, governments contract out public works and might lack the capacity to meet the increased demand for new construction. Drawing on a mix of survey and interview data, we identify critical deficiencies in contract capacity that might lead to a loss of public resources and further erode trust in the government. We propose a plan for restructuring public procurement systems and offer solutions around four foci: collaboration, training, flexibility, and sustainability. This transformation path would enhance government contract capacity and use markets to signal a demand for sustainable infrastructure and create public value in line with the strategic objectives of the Bipartisan Infrastructure Deal. Evidence for Practice The Bipartisan Infrastructure Deal (BID) of 2021 appropriates billions of dollars to rebuild the nation's aging infrastructure and is a potential game-changer for the US economy. Governments rely on contractors for public works, and the increased demand might strain existing local, state, and federal procurement systems. The lack of contract capacity can result in poor project execution, a waste of public money, corruption, and erosion of trust. The weaknesses of current contract management are rooted in the shortage of qualified procurement staff, thin quasi-markets for government goods and services, and scarce market research on construction pricing. Reimagining public procurement entails strengthening contract capacity by collaboration with suppliers and using markets to create demand for environment-friendly and socially responsible production of goods and services.