SBCTC 2015-17 Major Project Allocation Notes
General
Funding for Major Projects is usually appropriated over two biennia. The design phase funding usually
includes everything necessary to get the project ready to bid; short of building permits, printing bid
documents and advertising for the bid. The construction phase funding is for the balance of the project
costs including the remaining design consultant costs.
For example, construction phase funding usually includes the portion of A/E Basic Services for bidding
and Construction Administration, or 31% of the Basic Service fees, as well as the Other Services for
Construction Administration.
Two of the projects we requested design phase funding for were changed from design-bid-build to
design-build delivery by the legislature. The first thing these projects at Clover Park and Spokane will
need is to develop schedules and budgets consistent with design-build delivery and the cash flow
available for them.
To assure compliance with the legislative intent, State laws, and OFM policies the appropriations for
Major Project are allotted by OFM in stages. There is a Major Project Allotment Matrix at the end of this
document based on OFM's allotment instructions that shows the typical contents and requirements for
allotments, and subsequent allocation, of Major Project appropriations. The State Board is responsible
for submitting all of our system’s allotment requests to OFM. OFM’s allotment instructions are available
here - http://www.ofm.wa.gov/budget/instructions/allotment/2015-17allotment.pdf
All of the construction phase funding provided for the 2015-17 biennium is less than what we asked for
based on the cost estimates prepared in March 2014. The following guidelines will help you manage the
projects within the funding provided.
Update the project budget to fit with available funding
The 2015-17 design phase funding is as requested. These projects will need to use OFM’s the new life
cycle cost tool available here – http://www.ofm.wa.gov/budget/forms.asp This tool is to be initially
submitted at the end of predesign and then updated with more detail before bid and after occupancy.
OFM’s predesign and budget instructions are available here –
http://www.ofm.wa.gov/budget/instructions/predesign/predesign.asp
http://www.ofm.wa.gov/budget/instructions/capinst/15-25capinstr/15-25capinst.pdf
The 2015-17 construction phase funding was on average 7% below the requested levels. Budgets should
be reviewed to determine if additional work is necessary to align them with available funding, this will
probably require having the designer update the construction costs estimate to reflect current market
conditions. In June, Centralia and Renton bid major project as designed and found there was insufficient
savings in the market to account for the funding reduction without cutting something.
OFM has an $8M construction contingency pool for the $50M in statewide legislative funding reductions
to address “emergent and unavoidable costs in excess of the construction contingency included in the
project appropriation.” Since OFM requires we bid the project before requesting any funding from this
pool and the pool is relatively small we should not count on this funding to balance project budgets.
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Request allocations based on progress
The portion of the design phase funding budgeted for Predesign has no prerequisites and has already
been allocated to the colleges. The remaining Design phase funding can be allotted after the Predesign
has been approved by OFM.
Construction phase funding for Design, Other Costs, and Project Management can be allotted from OFM
and allocated to the college as soon as we have a budget showing how the project can be completed
within the available funding. The remaining Construction phase funding can be allocated as progress is
made and additional information is provided. Please see the Major Project Allotment Matrix at the end
of this document for more details.
Communicate with State Board capital staff
The State Board’s capital staff is available to assist you with general questions or specific challenges
encountered during a project. We can help you review the consultant’s proposal for Extra Services based
on what other colleges are paying. We can help compare the recast budget to previous budgets and
expected construction cost data. We can help evaluate the return on investment of bid alternates or
other design trade-offs. Please let us know what we can do for you.
Wayne Doty, PE
Capital Budget Director
wdoty@sbctc.edu
Office: 360-704-4382
Mobile: 360-827-1389
Steve Lewandowski, AIA
Chief Architect
slewandowski@sbctc.edu
Office: 360-704-4395
Mobile: 360-701-8934
Gary Montgomery
Capital Budget Analyst
gmontgomery@sbctc.edu
Office: 360-704-4386
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Major Project Allotment Matrix
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