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Moderator: Praful Kulkarni, AIAPresident/CEO of gkkworksNational Chairman of DBIA
Presenters: Geoffrey Neumayr, SEChief Development OfficerSan Francisco International Airport
Chris Strugar-Fritsch, DBIA
Director of Capital ProjectsSan Mateo County Community College District
PROGRESSIVE DESIGN‐BUILDWHAT IS IT? – AN UPDATE
FROM LAST YEAR
PRAFUL KULKARNI, AIAgkkworks President and CEONational Chairman of DBIA
• M. Architecture, Illinois Institute of Technology, Chicago, IL• B. Architecture, Indian Institute of Technology, Kharagpur, India• MBA, Pepperdine University, Malibu, CA• Honorary Doctorate, Anaheim University, Anaheim, CA• Registered Architect, California
Education and Certifications:Education and Certifications:
• 35+ years of expertise in project management, planning and design coordination of complex facilities. Praful founded gkkworks in 1991. Since the beginning, gkkworks’ vision has been to design and build buildings with a uniquely integrated services/customized solutions approach.
Years of Experience:
35+
Years of Experience:
35+
• DBIA - National Board Chairman and National Executive Board Member• President Emeritus, DBIA Western Pacific Region• Fellow, Rockefeller Foundation
Affiliations: Affiliations:
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ADVANTAGES/DISADVANTAGES
DESIGN BID BUILD (HARD BID)The traditional project delivery method, which customarily involves three sequential project phases:Design, Procurement, and Construction
Advantages Disadvantages
Competitive bidding,based on Low Resp.price
Quality/Qualifications
More Owner Control Change Orders/Delays
Familiar & Established Adversarial
A/E of Record Services as Owner Liaison
Lump-Sum/Closed Book, No Early Involvement
OWNER
A/E
GC
SUBS
CM MULTI-PRIMEAn important variation of Design-Bid-Build is multiple prime contracting, in which the Owner holds separate contracts with contractors of various construction work disciplines, such as general construction, earthwork, structural, mechanical, and electrical. In this system, the Owner, or its CM, manages the overall schedule and budget.
Advantages Disadvantages
Competitive Prime Trades, Early involvement from CM for cost and schedule controls
Administrative difficulty; Direct trade and A / E conflicts
Eliminates GC premiumsLack of single risk bonded price, higher risk with subs.
CM is on owners side
Lump Sum / Closed book, potential overlap or gaps in scope of work.
OWNER
A/E
P
CM
P P
ADVANTAGES/DISADVANTAGES
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CM AT RISK (CMAR)A project delivery method in which the Construction Manager acts as a consultant to the Owner in the development and design phases, but assumes the risk for construction performance as the equivalent of a constructor.
Advantages Disadvantages
Qualifications BasedLack of Subcontractor Transparency since Based on Lump Sum
Risk is on CM, Subs Assigned to CM
Legal Authorization for Delivery Method
Pre-Construction Work, Early Involvement with Procurement, Schedule, Budget, etc.
No Common Standards for Methodology
OWNER
SUBS
CMAR/GC
A/E
ADVANTAGES/DISADVANTAGES
DESIGN BUILDA project delivery method that combines architectural and engineering design services with construction performance under one contract.
Advantages Disadvantages
Qualifications BasedNewer Form of Delivery
Risk with Design/Builder
Team/Integrated Approach/ Creative Solutions
Potential Lack of Design Control
Minimal Change Orders, Early Budget and Design Estimates, Scope Controls
Higher Learning Curve for Delivery Method
Best Value Award
OWNER
A/E D/B SUBS
D/B ENTITY
PROJECT DELIVERY SUPPORT
ADVANTAGES/DISADVANTAGES
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GEOFFREY NEUMAYR, SE, CCMSan Francisco International AirportChief Development Officer
• BS Architectural Engineering, California Polytechnic State University, San Luis Obispo
• Registered Civil Engineer• Registered Structural Engineer
Education and Certifications:Education and Certifications:
• Over 33 years of experience as a Provider in AEC as a Project Manager and Vice President of Operations. He is currently Chief Development Officer at San Francisco International Airport since 2011.
Years of Experience:
33+
Years of Experience:
33+
• Incoming Board Member, DBIA National• Member, American Association of Airport Executives (AAAE)• Advisory Board of California Polytechnic State University, San Luis Obispo
Architectural Engineering Department
Affiliations: Affiliations:
CONFLICT GAME ON
THE CONFLICT IN THE LAW
Spearin DoctrineUnited States v. Spearin (248 U.S. 132), also referred to as the Spearindoctrine is a 1918 United States Supreme Court decision. It remains one of the landmark construction law cases. The owner impliedly warrants the information, plans and specifications which an owner provides to a general contractor. The contractor will not be liable to the owner for loss or damage which results solely from insufficiencies or defects in such information, plans and specifications.
Standard of CareThe common law standard of care for performance of design professional services is generally defined as the ordinary and reasonable care usually exercised by one in that profession, on the same type of project, at the same time and in the same place, under similar circumstances and conditions. Perfect performance is not required by the common law.
Builder can assume contract is error freewith no omissions.
Designer is accountable to a reasonable standard of care,therefore Errors and Omission are acceptable within a limit.
The Airport
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LOSS OF PRODUCTIVITY
Dictated Requirements
• Lowest Bid Wins• Qualifications are not
Considered
• Critical Path or Push Scheduling• Fixed Cost Based on Low Bid
• Organization Structure is Hierarchical
• Blame is Assigned to Party Based on Contract Requirements
• Project Alliance is Built on Common Purpose
• Partnered Approach to Issue Identification and Resolution
• Terms of Cost, Scope and Schedule is Co-Created Prior to Finalizing
• Qualifications are Considered
Co-Created Requirements
• Pull Planning to Promote Improvement• Target Value Budgeting
Commercial Terms: You will get the behavior you contract for – what is the contractual relationship?
Organization Behavior: The project individual team members behavior will depend on the leadership style - How is the participant control structure organized?
Operating Management: Behavior will reflect the way the project is managed –how is the project management plan created?
DOMAINS OF PROJECT DELIVERY
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PERCEIVED PROJECT RISK
thinks the builder will:
thinks the designer will:• only be concerned with the
own ego• be over budget• not be what is wanted or
needed• miss program elements
• never do what we want• pursue change orders and
additional cost • never finish on time• cut corners to save money
thinks the Airport will
• deviate from the design• look for errors and ask to
many RFI’s• always say it is not
constructible and drawings are deficient
• never make a decision• keep changing the design• blame the design for change
orders• always want additional
design services for free
thinks the designer will:
• never be satisfied with the quality of the work
• not pay for changes • never acknowledge schedule
delays
• provide incomplete unconstructable drawings
• claim the drawings are perfectly understandable
• always fault the contractors for missing things in their bid
thinks the builder will: thinks the Airport will:
Vision Risk• Budget expectations• Funding expectations• Schedule expectations• Scope expectations• Project outcome expectations• Sharing vision with team
• Interpret vision• Communicate design• Develop Project Program• Develop project contract
drawings• Develop project specifications
• Build project in accordance with contract documents
• Build project within approved budget
• Build project within approved schedule
Design Risk Construction RiskVision Risk• Budget expectations• Funding expectations• Schedule expectations• Scope expectations• Project outcome expectations• Sharing vision with team
• Interpret vision• Communicate design• Develop Project Program• Develop project contract
drawings• Develop project specifications
Design Risk• Build project in accordance with
contract documents• Build project within approved
budget• Build project within approved
schedule
Construction RiskRisk Will Always Stay With the Responsible Organization
Focus On Aligning ExpectationsNot Assigning Risk
PROJECT RISK REALITY
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The Project Team The Project
ALIGNED PROJECT DELIVERY
Contractual RelationshipLines of Communication
Collaborate
CHRIS STRUGAR‐FRITSCH, DBIASan Mateo County Community College International AirportDirector of Capital Projects
• Master of Science, Administration, Central Michigan University• Bachelor, Business Administration, Summa Cum Laude, Northwood University• Associate Degree, Lansing Community College• Journeyman Carpenter, U.S. Department of Labor, Bureau of Apprenticeship and Training
Education and Certifications:Education and Certifications:
• Director of Capital Projects for San Mateo County Community College District rresponsible for development and management of all capital projects at the District’s three colleges and District Office. Executive leader in higher education capital outlay projects, administrative services, facilities management, and operations for multiple campuses, leadership and management in commercial and industrial project development, planning, and construction implementation with various delivery methods: design/bid/build, GC GMP, integrated project delivery, and construction management services.
Years of Experience:
35
Years of Experience:
35
• Society for College and University Planning Institute: Certified Planner; Integrated Planning • Member City of Lansing/Ingham County Bike Share Feasibility Committee• Mayoral & Lansing City Council appointment Saginaw Street Corridor Improvement Authority• Licensed Builder, State of Michigan # 2101063025• Standardized Emergency Management Systems (SEMS) – FEMA Certification• National Incident Management Systems (NIMS) – FEMA Certification• Design Build Institute of America (DBIA) – Design Build Professional
Affiliations: Affiliations:
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San Mateo County Community College Migration to Progressive Design Build
PRESENTER
Chris Strugar-Fritsch, DBIA
Director of Capital Projects
Cañada College B1N – Kinesiology & Wellness [Blach/ELS]
SMCCCDHistory with Design Build
• SMCCD first California CCD to use Design-Build• AB 1000: Enacted in September 2002. Allowed Design-
Build to be used by five CCDs as pilot programs until December 2007
• José Nuñez, SMCCD Vice Chancellor for Facilities and Jeff Gee, Swinerton Management Consultants lobbied legislature to approve AB 1000
• Current California Education Code 81700 – 81708 allows CCDs to use Design-Build for project > $2.5M through 2020
• SMCCD two previous Bond Measure Programs has constructed ~$400M of capital projects using Design-Build
• Current Bond Measure Program using Design-Build ~$250M
Cañada College B1N – Kinesiology & Wellness [Blach/ELS]
Progressive Design‐Build
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Past • Architect Develops Bridging Documents• RFSOQ and RFP Process to Select Design-
Build-Entity• Design Competition• Guaranteed Maximum Price (GMP)
Established at Contract Award
SMCCCD PRACTICES
Current • RFP Qualifications/Best Value Selection
Process• No Bridging Documents• No Design Competition – Design Completed
with College/District Input• GMP Established After Design is Fully
Developed, Agencies Permit Processes and Buyout Completed
Skyline B1N – Social Sciences & Creative Arts [Turner/Snohetta/DLR Group]
Progressive Design‐Build
DESIGN BUILD PROCUREMENT PROCESS
• Three highest ranked Design-Build Entities are invited to participate• Employs objective evaluation criteria as required per Education Code
81700; price, technical expertise, life cycle costs, skilled labor force availability, and acceptable safety record
• Allows for price or costs to be considered with qualifications
• Employs evaluation criteria traditionally used for qualifications-based selection along with a prequalification questionnaire based on the Department of Industrial Relations’ guidelines
• Allows for a larger pool of qualified firms to participate
“Best Value”Qualifications + Cost
Request for Statementof Qualifications
Request for Proposals
Cañada College B23N – Math, Science & Technology [McCarthy/HGA]
Progressive Design‐Build
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• District Has More Influence on Design After Contract Award• District Can Hire DBE Team that is Best Fit for College• Improved Integrated Design Process• Leverage IPD and Lean Construction Practices• Improved Speed to Market• Open Book/Transparent Cost Management• Improved Competition
REASONS FOR IMPLEMENTING CURRENT PRACTICE
Skyline B12N – Environnemental Science [XL Construction / DES Architects]
Progressive Design‐Build
PRESENTER
CONTACT
INFORMATION
Praful Kulkarni, AIAPresident/CEO | gkkworks | National Chairman of DBIA |[email protected] | (949) 249‐2500
Geoffrey Neumayr, SEChief Development Officer | San Francisco International Airport |[email protected] | phone number
Chris Strugar‐Fritch, DBIADirector of Capital Projects | San Mateo County Community College District| [email protected] | 650‐378‐7342
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QUESTIONS?