Case Study: Owner Delays Environmental Permit on Coastal Highway in Oregon (2022)

Project Overview
• Name: US-101 Coastal Resilience Upgrade
• Location: Lincoln County, Oregon
• Year: 2022
• Project Size: $160 million
• Scope: Elevation and reinforcement of a flood-prone coastal highway segment
• Lead Agencies/Contractors: Oregon DOT (Owner) /

Category of the Issue, Problem, or Challenge
• Contract Owner
• Environmental Permitting & Regulatory Coordination

Summary of the Issue, Problem, or Challenge
The Oregon DOT underestimated the time required for obtaining key federal environmental permits (wetlands and endangered species), delaying site access by nearly 8 months.

Root Cause Analysis

• Owner delayed permit applications until after design finalization.
• Insufficient early coordination with the U.S. Army Corps and NOAA Fisheries.
• Lack of contingency planning for seasonal permitting review delays.

Impacts Due to the Issue, Problem, or Challenge

• Missed critical construction window due to migratory species protection.
• Project delayed by nearly a year with significant cost escalation.
• Local pressure and media scrutiny over poor planning.

Corrective Actions Taken

1. Oregon DOT established an environmental compliance task force.
2. Permitting tasks were moved to pre-design phase in future projects.
3. Joint review panels were created with regulatory agencies.

Lessons Learned

• Environmental permits must be initiated early in design.
• Owners should actively coordinate with permitting agencies.
• Delays in permit acquisition can cause irrecoverable seasonal setbacks.

Audit & Prevention: Project Control Questions to Ask on Future Projects to Help Control the Situation

• Are permitting timelines fully integrated into project schedules?
• Has the owner initiated early dialogue with permitting authorities?
• Is the contractor informed of regulatory risks and constraints?