Jacobs Awarded Program Management Contract to Rebuild U.S. Virgin Islands

Rhea-AI Summary

Jacobs (NYSE: J) has secured a $137 million contract from the Virgin Islands Public Finance Authority to provide program management services for the 'Rebuild USVI' initiative. The project aims to rebuild critical infrastructure in the U.S. Virgin Islands following the devastation caused by hurricanes Irma and Maria in 2017.

The three-year contract involves managing simultaneous infrastructure projects including hospitals, schools, transit corridors, power, water and wastewater utilities across St. Croix, St. Thomas, and St. John. Jacobs will work with the U.S. Virgin Islands' Super Project Management Office to oversee the territory's $23 billion in federal funding.

The company will provide advisory and consulting services focused on future project planning, environmental management, logistics, supply chain and workforce challenges. Jacobs was selected based on their responsiveness, expertise, pricing, resources, innovation, and strategic partnerships.

Positive

• Secured significant $137 million contract for program management services
• Access to oversee $23 billion federal funding project
• Three-year contract duration provides stable revenue stream
• Strengthens company's position in disaster recovery and infrastructure management

Negative

• None.

Insights

Infrastructure Finance Analyst

The $137 million contract awarded to Jacobs represents a solid win that strengthens the company's position in the disaster recovery and infrastructure resilience sector. The three-year program management agreement for the "Rebuild USVI" initiative gives Jacobs a meaningful role in the broader $23 billion federal funding program for the U.S. Virgin Islands' recovery from hurricanes Irma and Maria.

While the contract value accounts for approximately 1.1% of Jacobs' annual revenue of around $12 billion, several factors make this more significant than the numbers suggest. First, program management contracts typically carry higher margins than construction work. Second, the contract positions Jacobs advantageously for potential follow-on work within the larger recovery program. Third, the selection following a competitive RFP process validates Jacobs' market-leading capabilities in program management.

The contract scope encompasses critical infrastructure spanning healthcare, education, transportation and utilities, aligning perfectly with Jacobs' expertise as the top-ranked program management firm according to Engineering News-Record. Their demonstrated experience with similar disaster recovery efforts in Puerto Rico and other regions likely provided a competitive edge.

This agreement provides revenue visibility over the next three years while also reinforcing Jacobs' positioning in the increasingly important climate resilience sector. Government infrastructure spending tends to remain stable regardless of broader economic conditions, adding an element of revenue predictability that investors typically value.

Critical infrastructure includes hospitals, schools, transit corridors, water and power projects  

Advisory and consulting services will guide future project phases

DALLAS, April 15, 2025 /PRNewswire/ -- Jacobs (NYSE: J) was contracted by the Virgin Islands Public Finance Authority to deliver program management services for the "Rebuild USVI" initiative – the U.S. Virgin Island's plan to recover and rebuild following hurricanes Irma and Maria.

With a contract value of $137 million, Jacobs will work with the U.S. Virgin Islands' Super Project Management Office on simultaneous, critical infrastructure projects, including hospitals, schools, transit corridors, power, water and wastewater utilities.

"Rebuilding is critical for St. Croix, St. Thomas, and St. John. The islands are home to nearly 90,000 people who depend on safe schools, reliable transportation, consistent utility services and access to healthcare," said Jacobs Executive Vice President Ron Williams. "Further, with tourism as the economic engine, it's essential we prioritize efforts quickly and make the islands' infrastructure more resilient for the future."

Jacobs has a proven track record of rebuilding critical infrastructure following severe weather events, incorporating resiliency, social value and equity into its programs. During the three-year contract, Jacobs will also provide advisory and consulting services focused on future project planning, environmental management, logistics, supply chain and workforce challenges.

The Office of Disaster Recovery (ODR) within the Virgin Islands Public Finance Authority oversees the territory's $23 billion in federal funding awarded after the 2017 hurricanes devasted the territory. Director Adrienne Williams-Octalien emphasized ODR's commitment to the Super Project Management initiative, highlighting Jacobs' selection for "Rebuild USVI" based on responsiveness to the request for proposal, demonstrated expertise, pricing, resources, innovation and strategic partnerships.

"We are excited to have Jacobs' support as we continue working to rebuild a stronger, more resilient community while ensuring full compliance with our funding requirements," said Williams-Octalien.

Ranked as No.1 in Program Management by Engineering News-Record, Jacobs delivers today's most complex, challenging infrastructure and recovery projects. Jacobs has supported efforts like the Port of San Francisco Waterfront Resilience Program, which is adapting 7.5 miles of the city's waterfront to be resilient to earthquakes, coastal storms and sea level rise; reinstating vital power infrastructure in the Philippines following devastating earthquakes; returning and maintaining essential services to the Puerto Rican community following Hurricane Maria; and continued on-the-ground assistance with ground assisting with FEMA disaster-related operations throughout the U.S. and its territories.

At Jacobs, we're challenging today to reinvent tomorrow – delivering outcomes and solutions for the world's most complex challenges. With approximately $12 billion in annual revenue and a team of almost 45,000, we provide end-to-end services in advanced manufacturing, cities & places, energy, environmental, life sciences, transportation and water. From advisory and consulting, feasibility, planning, design, program and lifecycle management, we're creating a more connected and sustainable world. See how at jacobs.com and connect with us on LinkedIn, Instagram, X and Facebook.  

Certain statements contained in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that do not directly relate to any historical or current fact. When used herein, words such as "expects," "anticipates," "believes," "seeks," "estimates," "plans," "intends," "future," "will," "would," "could," "can," "may," and similar words are intended to identify forward-looking statements. We base these forward-looking statements on management's current estimates and expectations, as well as currently available competitive, financial and economic data. Forward-looking statements, however, are inherently uncertain. There are a variety of factors that could cause business results to differ materially from our forward-looking statements including, but not limited to, uncertainties as to the impact of the recently completed separation transaction pursuant to which we spun off and merged our Critical Missions Solutions and Cyber & Intelligence government services businesses with Amentum  (together, "new Amentum ") on Jacobs' and new Amentum's businesses, the timing of the award of projects and funding and potential changes to the amounts provided for under the Infrastructure Investment and Jobs Act and other legislation related to governmental spending, as well as general economic conditions, including inflation and the actions taken by monetary authorities in response to inflation, changes in interest rates and foreign currency exchange rates, changes in capital markets, the possibility of a recession or economic downturn, increased uncertainty and risks, including policy risks and potential civil unrest, relating to the outcome of elections across our key markets and elevated geopolitical tension and conflicts, among others, and the impact of any future pandemic or infectious disease outbreak, including the related reaction of governments on global and regional market conditions, among others. For a description of some additional factors that may occur that could cause actual results to differ from our forward-looking statements, see the discussions contained under Item 1 - Business; Item 1A - Risk Factors; Item 3 - Legal Proceedings; and Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations in our most recently filed Annual Report on Form 10-K, and Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations; Item 1 - Legal Proceedings, as well as the company's other filings with the Securities and Exchange Commission. The company is not under any duty to update any of the forward-looking statements after the date of this press release to conform to actual results, except as required by applicable law. 

For press/media inquiries:
media@jacobs.com   

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SOURCE Jacobs

FAQ

What is the value and duration of Jacobs' (NYSE: J) USVI rebuild contract?

Jacobs secured a three-year contract worth $137 million for program management services in the U.S. Virgin Islands rebuild initiative.

What infrastructure projects will Jacobs (J) manage in the USVI rebuild program?

Jacobs will manage critical infrastructure projects including hospitals, schools, transit corridors, power, water and wastewater utilities across St. Croix, St. Thomas, and St. John.

How much federal funding is allocated for the USVI rebuild program managed by Jacobs?

The Office of Disaster Recovery oversees $23 billion in federal funding awarded after the 2017 hurricanes devastated the territory.

What services will Jacobs (NYSE: J) provide in the USVI rebuild initiative?

Jacobs will provide program management, advisory and consulting services, focusing on project planning, environmental management, logistics, supply chain and workforce challenges.