NAICS 237 - Heavy and Civil Engineering Construction

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What is NAICS 237

NAICS code 237, Heavy and Civil Engineering Construction, encompasses businesses engaged in constructing entire engineering projects such as highways, dams, and water resource infrastructure. This subsector also includes specialty trade contractors focused on producing specific components unique to heavy and civil engineering projects, distinct from typical building construction. These projects often involve complex technical requirements and specialized equipment not used in other construction domains. Businesses operating in this sector range from large general contractors managing multi-million-dollar infrastructure projects to niche contractors specializing in components like road painting or land drainage systems. Government agencies frequently contract these services to develop and maintain critical public infrastructure essential for transportation, water management, and land development, supporting economic growth and public safety.

Industry Classification for NAICS 237

The Heavy and Civil Engineering Construction subsector comprises establishments whose primary activity is the construction of entire engineering projects (e.g., highways and dams), and specialty trade contractors, whose primary activity is the production of a specific component for such projects. Specialty trade contractors in the Heavy and Civil Engineering Construction subsector generally are performing activities that are specific to heavy and civil engineering construction projects and are not normally performed on buildings. The work performed may include new work, additions, alterations, or maintenance and repairs. Specialty trade activities are classified in this subsector if the skills and equipment present are specific to heavy or civil engineering construction projects. For example, specialized equipment is needed to paint lines on highways. This equipment is not normally used in building applications so the activity is classified in this subsector. Traffic signal installation, while specific to highways, uses much of the same skills and equipment that are needed for electrical work in building projects and is therefore classified in Subsector 238, Specialty Trade Contractors.

Construction projects involving water resources (e.g., dredging and land drainage) and projects involving open space improvement (e.g., parks and trails) are included in this subsector. Establishments whose primary activity is the subdivision of land into individual building lots usually perform various additional site-improvement activities (e.g., road building and utility line installation) and are included in this subsector. Establishments in this subsector are classified based on the types of structures that they construct. This classification reflects variations in the requirements of the underlying production processes.

Breakdown for NAICS 237

  • Construction of major engineering projects such as highways, dams, and water resource facilities.
  • Includes specialty trade contractors producing components unique to heavy and civil engineering projects.
  • Focuses on projects not typically associated with building construction, requiring specialized equipment and skills.
  • Covers new construction, additions, alterations, maintenance, and repairs of infrastructure.
  • Incorporates subdivision and site improvement activities related to land development.
  • Classification based on the type of engineered structures constructed.

Included Activities for NAICS 237

  • Construction of highways and roadways including paving and line painting.
  • Building dams, levees, and flood control systems.
  • Water resource projects such as dredging, land drainage, and water treatment facilities.
  • Site improvements including parks, trails, and open space development.
  • Subdivision development including road and utility installation.
  • Maintenance and repair of existing heavy civil infrastructure.
  • Installation of specialized components like retaining walls and engineered embankments.
  • Earthmoving and grading for large-scale civil projects.

Business Types for NAICS 237

  • Heavy civil construction general contractors
  • Specialty trade contractors focused on heavy infrastructure components
  • Engineering and construction firms specializing in public works
  • Site development and land subdivision contractors
  • Heavy equipment operators and earthmoving contractors
  • Water resource management and environmental construction contractors

Government Buyers for NAICS 237

Federal, state, and local government agencies are primary buyers in this subsector, including Departments of Transportation, Army Corps of Engineers, Environmental Protection Agencies, and municipal public works departments. These agencies require heavy and civil engineering construction services to build and maintain highways, bridges, dams, water treatment facilities, parks, and other public infrastructure. Given the scale and complexity of these projects, government contracts ensure compliance with safety, environmental, and engineering standards while addressing public needs for reliable infrastructure and sustainable land use. Procurement from qualified contractors allows governments to leverage specialized expertise and equipment vital for these large-scale public works.

Contract Types & Procurement for NAICS 237

Contracts in this subsector typically include fixed-price, cost-plus-fixed-fee, and time-and-materials agreements, often awarded through competitive bidding or negotiated procurement processes. Large infrastructure projects may be procured via design-bid-build, design-build, or construction manager at risk (CMAR) methods to optimize project delivery and risk management. Contract values vary widely, from smaller maintenance and repair tasks in the low hundreds of thousands to major transportation or water resource projects valued in the tens or hundreds of millions. Government procurement in this subsector emphasizes compliance with environmental regulations, labor standards, and safety requirements, influencing contract terms and oversight.

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