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Alternative Project Delivery

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Presentation on theme: "Alternative Project Delivery"— Presentation transcript:

1 Alternative Project Delivery
Amy Schroeder Idaho Transportation Department Innovative Contracting Manager

2 Outline Overview Project Selection Design-Build Procurement Process
CMGC Procurement Process

3 Authority Design-Build: Idaho Code § 40-904 CMGC: Idaho Code § 40-905
20% limit of annual highway program ~$60 million annually

4 Contracting Methods Design-Bid-Build CM/GC Design-Build Design Bid
Construction Design RFP Construction CM/GC Select Early Procurement Packages Design Design-Build RFQ RFP Construction Select

5 Relationships with Department
Design-Bid-Build Construction Manager / General Contractor Design-Build (DBB) (CMGC) (DB) Owner Owner Owner Designer Contractor Designer CM/GC Design-Build Firm

6 Project Nomination Criteria
Complexity / Innovation Delivery Schedule Level of Design Risk Factors Agency Factors Market Factors Third Party Coordination

7 Risk Assessment and Allocation

8 Procurement Requirements
Design-Build: two phase procurement process RFQ for qualifications-based (short-list) RFP for technical and price proposals CMGC: single phase procurement process RFP for qualifications-based and technical/price proposal

9 Stipend (DB only) Based upon the estimated project costs
Can be increased for complexity if needed TABLE Non-responsive proposals are not eligible If accepted, Department owns the work products Contract Value (CV) Stipend Base (SB) Stipend Rate Stipend Range Max % $0 - $5M = CV x 0.3% - 15,000 0.30 $5M - $10M = SB + (CV - $5M) x 0.20% 25,000 0.25 $10M - $20M = SB + (CV - $10M) x 0.15% 40,000 0.20 $20M - $40M = SB + (CV - $20M) x 0.10% 60,000 0.15 > $40M = SB + (CV - $40M) x 0.05%

10 Design-Build Methods Best Value: Price proposal divided by the technical proposal score, awarded to the lowest overall score Fixed Price, Best Design: Highest technical proposal score Lowest Price, Technically Acceptable: Lowest price proposal that meets minimum technical and designer qualifications requirements Generally, innovation or alternatives are required No right-of-way, utility or railroad permits obtained by the design-build firm Department obtains the required environmental clearances Preliminary design is completed and the design-build firm’s role is limited to completing the design and constructing the project

11 RFQ Information Project goals Project scope Estimated cost
Design and construction or fixed price Maximum time allowed for project Design and construction Description of the evaluation criteria and process Requirements for key personnel

12 RFQ Evaluation Criteria
Construction-related experience and performance Specialized experience and technical competence Key personnel Designer experience and qualifications Performance on similar projects Qualifications and relevant experience Financial, personnel and equipment resources Proposed plan to manage design and construction Understanding of and approach to the project Other appropriate qualifications-based selection factors

13 Designer Qualifications
Project complexity Project’s level of design completeness prior to the RFP Potential for design innovation and alternatives Project impacts to the public during construction and operation

14 RFP Information Project goals & scope Estimated cost
Maximum time allowed for project Base concept Performance and technical requirements (specifications) Required deliverables Description of the selection and award criteria Copies of the contract documents Critical path method

15 RFP Evaluation Criteria
Project-specific technical and quality factors Design and construction qualifications Innovation* Design and construction quality* Time of completion* Price *optional or integrated into other criteria

16 RFP Contract Provisions
Payment/performance bond, proposal guaranty, insurance Standards, rules, guidelines, and special provisions Design and construction requirements, including specifications and environmental regulatory requirements Final documents upon completion of the project Submittal date for technical and price proposals Date for opening the sealed price proposals

17 Alternative Technical Concepts
Encourage innovation and tailor delivery and project to proposer’s means and methods Equal to or better than the base concept Improve project quality and/or reduce project costs A proposed ATC is not acceptable if it merely seeks to reduce quantities, performance or reliability, or seeks a relaxation of the contract requirements

18 Alternative Technical Concepts
Preapproved to include in technical and price proposal Each proposer shall submit only one proposal Price proposal shall reflect any incorporated ATCs The proposal may not otherwise contain exceptions to or deviations from the requirements of the RFP Proposals with ATCs are evaluated against the same technical criteria as those without Preapproved ATCs incorporated in a proposal become part of the contract upon award

19 DB Proposals Technical and price proposal submitted concurrently
Evaluation committee evaluates the technical proposals based upon established criteria Time-adjusted price (value of the time factor) Total time value = total number of days to complete the project * time factor Time-adjusted price is the total time value plus the total price proposal amount Each proposer gets a summary of scores of all proposers and their own evaluation worksheets

20 CM/GC Process Competitive procurement process
Qualifications component Price component Both qualifications and price are rated on a point-scale Highest ranking firm gets contract Two part contract Design services & assistance Construction GMP

21 2-Phase Contract Design services Construction services
Life-cycle cost considerations Scheduling Cost estimating Constructability Alternative construction options for cost savings Sequencing of work Construction services Awarded after the plans have been sufficiently developed Guaranteed maximum price (GMP)

22 RFP Information Description of project
Including programmatic, performance, technical requirements and specifications Description of the qualifications to be required of the firm Description of the requirements of key personnel Description of the process the department will use to evaluate proposals Schedule of unit prices requiring pricing Approach to pricing The form of the contract to be awarded

23 RFP Evaluation Criteria
Ability and qualifications of key personnel Financial, labor and equipment resources and availability Ability to meet time and budget requirements Scope of work to be self-performed and ability to perform that work Approach to working collaboratively with the department Construction experience in similar projects Unit prices and approach to pricing

24 CMGC Proposals Technical and price proposal submitted concurrently
Evaluation committee evaluates the technical proposals based upon established criteria Price proposal score combined with technical score Highest overall score is successful proposer Each proposer gets a summary of scores of all proposers and their own evaluation worksheets

25 Department’s Progress
Outreach: Districts, AGC, others DB pilot project awarded September 2012 Next steps Project nominations by districts and bridge section Approval by Transportation Board and FHWA

26 Additional Information
ITD Innovative Contracting Unit Website and Advertisement Announcements: ITD.Idaho.Gov Doing Business With ITD Alternative Contract Procurement Services Sharepoint (internal to ITD): Division: Highways, ICU Amy Schroeder, Innovative Contracting Manager (208)

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