News Summary
The Massachusetts Department of Transportation has announced the reinitiation of the bidding process to renovate and manage 18 highway service plazas. This decision follows the failed negotiations with Applegreen due to contract disputes. As current leases are set to expire by the end of 2025, MassDOT is also negotiating extensions with existing operators to ensure traveler services continue without disruption. The agency is now looking for quality bidders to enhance the management and modernization of these essential facilities for the public.
Boston, Massachusetts – The Massachusetts Department of Transportation (MassDOT) has officially announced the reinitiation of the bidding process for a contract to renovate and manage 18 highway service plazas after previous contract negotiations with Irish company Applegreen failed. This announcement was made on October 15, 2025, and comes in light of ongoing disputes over contract terms and proposals.
The project involves a total of 11 rest stops located on the Massachusetts Turnpike (Mass Pike). Highway Administrator Jonathan Gulliver has stated that the primary goal of MassDOT is to deliver high-quality service plazas that maximize value for taxpayers. The decision to reprocure the contract follows meticulous evaluation of risks and options associated with the original agreement.
Current leases for many of the 18 highway service plazas are set to expire on December 31, 2025. As part of precautionary measures, MassDOT is initiating negotiations to extend leases with current service plaza operators, ensuring there are no disruptions to essential services for travelers and highway workers.
Applegreen, which was awarded a 35-year lease in June 2025, withdrew from the contract last month, citing unresolved issues and threats of litigation from competing bidder Global Partners. Global Partners, which is based in Waltham, Massachusetts, claimed its proposal could result in nearly $1 billion more in revenue for the state compared to that of Applegreen. They also alleged that the bidding process was flawed due to conflicts of interest and ethical violations.
In response to the controversy surrounding the original bidding process, Massachusetts Governor Maura Healey has defended MassDOT, emphasizing the agency’s commitment to a transparent process. However, Republican lawmakers have called for an investigation into the bidding deal by the state inspector general, raising questions about the integrity of the contract awards.
As part of the reprocurement process, MassDOT plans to seek feedback from industry stakeholders to attract quality bidders. Global Partners has indicated its support for MassDOT’s decision to restart the bidding and expressed readiness to submit a revised proposal that includes modern amenities and guaranteed state revenue.
The initial contract award to Applegreen sparked significant public controversy, fueled by legal actions taken by Global Partners, which aimed to challenge the award process. The MassDOT board is set to provide updates on the timeline and management of the service plazas during the rebidding process.
Governor Healey stressed the importance of providing the best services possible for residents and travelers in Massachusetts. The initial bidding process lasted eight months, and the state anticipates that the second round of bidding may require a similar timeframe. As part of the reprocurement strategy, MassDOT will reassess the parameters of the first request for proposals (RFP) and solicit recommendations from industry experts.
Initially, Applegreen had proposed a $750 million refurbishment project, which would guarantee up to $1 billion in rent over the contract term. In contrast, Global Partners had submitted a proposal of $650 million for refurbishment but with a significantly higher guarantee of $1.5 billion in rent. This divergence in projected revenues has been a focal point in the ongoing conflict between the two bidders.
Overall, the reinitiated bidding process seeks to ensure that Massachusetts’ highway service plazas are effectively modernized and managed to better serve the traveling public and the taxpayers supporting these amenities.
Deeper Dive: News & Info About This Topic
- CBS News: Massachusetts Highway Service Plaza Contract Rebid
- ENR: MassDOT to Rebid Contract for Statewide Highway Service Plaza Program
- Patch: Massachusetts Highway Service Plaza Contract to Go Back Out to Bid
- Spectrum News 1: MA Lawmakers Call for Investigation into MassDOT’s Highway Service Plaza Contract
- Wikipedia
- Google Search: Massachusetts highway service plaza
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