DESIGN BUILD P RO J E C T D E L I V E RY WALTER SCHACHT, FAIA 7 APRIL 2015 INTRODUCTION WALTER SCHACHT, FAIA Principal Architect, Schacht Aslani Architects Architects’ Representative to Capital Project Advisory Review Board • CPARB Design Build Committee • CPARB Life Cycle Cost Analysis & Energy Efficiency Committee PRESENTATION OUTLINE Major Project Delivery for WA State Public Works Comparing Design Build & Design Bid Build Recent Projects DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BUILD PROJECT DELIVERY MAJOR PROJECT DELIVERY WA STATE PUBLIC WORKS SBCTC CAPITAL WORKSHOP 7 APRIL 2015 MAJOR PROJECT DELIVERY TYPES DESIGN BID BUILD ALTERNATIVE PROJECT DELIVERY Design Build (DB) General Contractor/Construction Manager (GCCM) Alternative methods are evolving • Performance Contracting • Progressive Design Build DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 TYPICAL USES DESIGN BID BUILD • Used for majority of WA State public works • Most competitive - largest pool of architects, engineers, contractors • Easiest for public agency to administer ALTERNATIVE METHODS • Select GC based on qualifications and cost • Assign risk to GC • Expedite schedule • Contract for O&M and/or performance (DB) • Phase projects (GCCM) DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 CAPITAL PROJECTS ADVISORY REVIEW BOARD RCW 39.10 CPARB provides oversight of alternative project delivery Project Review Committee (PRC) approves use of alternative methods • Project Approval • Agency Certification • Department of Enterprise Services is a certified agency DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BUILD RCW 39.10.300 Projects where total project cost is + $2M and: • Construction activities are highly specialized and a DB approach is critical in developing the construction methodology • Opportunities for greater innovation or efficiencies between the designer and the builder • Significant savings in project delivery time PRC approval not req’d for parking garages, prefabs or modulars DBOM (Design/Build/Operate/Maintain) for up to 3 years DBOM for +3 years for an approved demonstration project DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 GCCM • General Contractor/Construction Manager • Also known as “Construction Manager at Risk” RCW 39.10.340 Projects with at least one of the following conditions: • Complex scheduling, phasing, or coordination • An occupied facility which must operate during construction • Involvement of GC/CM in design is critical to project success • A complex or technical work environment • Specialized work on a building that has historic significance • A heavy civil construction project DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 COMPARING DESIGN BUILD & DESIGN BID BUILD DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BID BUILD PREDESIGN A/E ARCHITECT OWNER CONTRACTOR Consultants Subcontractors DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BUILD PREDESIGN A/E OWNER DESIGN BUILDER Architect Consultants DESIGN BUILD PROJECT DELIVERY Subcontractors SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BID BUILD CONTRACTS 2 PROCESSES / 2 AGREEMENTS • Architect: Qualifications Based Selection (QBS) • General Contractor: Lowest Qualified Bid, Responsibility Criteria CONTRACT AWARD Based on completed design DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BUILD CONTRACT 1 PROCESS / 1 AGREEMENT • Design Builder • Selection procedure is more complex, potential for protests 2 PHASE SELECTION RFQ phase - qualifications RFP phase - cost and other factors • Honorarium • Design concept, technical specifications, schedule CONTRACT AWARD Based on preliminary design DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 PROJECT SCHEDULE DESIGN BID BUILD Bienium 1 Bienium 2 Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Predesign SD/DD/CD Bid Contract Award CA DESIGN BUILD Predesign RFP/RFQ Bid Award DD/CD Construction DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 KEY DIFFERENCES Design Bid Build Design Build Contractor Low bid No involvement prior to bid Qualifications and cost Leads Design Build team Cost Control A/E and Owner are responsible Contractor is responsible Higher overhead & profit rates Motivation to finish quickly, cheaply Escalation may be a challenge A/E Owner responsible for performance Procured as a service Fees for 1 design Provides oversight in construction DB responsible for performance Procured as a commodity Fees for 3 or more designs Works for contractor Design Control Owner involved in all decisions Detailed design documents Limits on Owner involvement Concept & performance specs Performance Not an option Contract Multiple options for post-occupancy performance requirements DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 SOME ISSUES TO CONSIDER • What are the benefits of assigning risk? • Who needs to be involved in the process? • Are we prepared to make decisions early in the process? • How much do we want to control the details? • Does our funding allow us to benefit from the efficiencies? DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 DESIGN BUILD PROJECT DELIVERY RECENT PROJECTS SBCTC CAPITAL WORKSHOP 7 APRIL 2015 GSA FEDERAL CENTER SOUTH DESIGN BUILDER Sellen/ZGF SIZE/COST 209,000 sf, $65M OTHER Performance contract, payment withheld for 1 year pending verification Post occupancy commissioning was key to success DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015 Project Highlights 1063 BLOCK REPLACEMENT DESIGN BUILDER Sellen/ZGF SIZE/COST 215,000 sf, $82M OTHER Performance contract, incentives for 3 years pending verification 2 funding allocations CornerDELIVERY of Capitol DESIGN BUILD PROJECT & 11th SBCTC CAPITAL WORKSHOP 7 APRIL 2015 SPSCC Lacey Campus Building 1 SPSCC LACEY CAMPUS DESIGN BUILDER Korsmo/KMB SIZE/COST 52,657 sf, $8M OTHER Design concept by team that was not awarded contract 1 funding allocation DESIGN BUILD PROJECT DELIVERY SBCTC CAPITAL WORKSHOP 7 APRIL 2015