1 BROOKHAVEN SCIENCE ASSOCIATES Conventional Facilities Method of Accomplishment Marty Fallier Director for Conventional Facilities NSLS-II PAC Review November 20, 2007

2 BROOKHAVEN SCIENCE ASSOCIATES Outline Conventional Facilities (CF) Issues CF Organization Design Phase Construction Management (CM) Construction Phase CM Construction Procurement Strategy Construction Market Conditions

3 BROOKHAVEN SCIENCE ASSOCIATES CF Issues NSLS II CF Scope is larger than any work at BNL since Is the CF Organization the right size and capability to carry out the scope of work? What construction management approach is best? What contracting approach is best? CF construction costs are still volatile and subject to dynamic market influences Are we adequately addressing this risk? Are there other strategies that should be employed?

4 BROOKHAVEN SCIENCE ASSOCIATES Conventional Facilities Organization Conventional Facilities Director M. Fallier NSLS II Design A/E HDR A. Soueid[C] Asst. Director CF Design Management O. Dyling Commissioning Contractor TBD [C] PE Trade Shop Support – Various [M] Subconsultants Vita-tech Colin -Gordon VJ Assoc.[C] Construction Phase Agent CM Project Mgr – TBD [C] CF Electrical Engineer CF Civil/Structural Engineer Facility Dynamic Modeling & Analysis N. Simos [M] CF Mechanical Engineer [M] – Matrixed [C] - Contracted Asst. Director CF Construction Management S. Sawch Construction Analysts [C] Project Schedulers [C] Field Inspectors [C] Cost Estimators [C] Construction Safety Specialists [C] Project Architect T. McEvaddy [M] Mech. Engineer G. Leskody [M] Civil/Struct. Engr. T. Joos [M] Elect. Engineer D. Danseglio [M] Sr Mech. Engr. C. Channing [M] ECS Design Supervisor J. Mills [M] Design Phase CM LiRo/Gilbane N. Heyman [C] Chilled Water Fac. Design A/E Giffels B. Harrison [C]

5 BROOKHAVEN SCIENCE ASSOCIATES Conventional Facilities Staffing This represents up to 12 FTE ’ s in the field overseeing construction during the active construction period

6 BROOKHAVEN SCIENCE ASSOCIATES Design Phase CM Services Contract awarded to joint venture of local and national CM (LiRo/Gilbane) to help reduce risk. Services include: Independent estimate Currently about 8% higher than A/E estimate Independent schedule development Baseline schedule can be shortened if funding profile is advanced Value engineering support Facilitated T-I VE review & completed T-I VE report Constructability & design review - underway Market analysis – will discuss in later slide Contractor outreach & pre-procurement support - begins next

7 BROOKHAVEN SCIENCE ASSOCIATES Construction Phase Management NSLS II CF Directors responsible for performance Construction Phase Management is an integrated team approach CM provides field inspection and coordination services Oversight of contractor performance of contract (Owners Agent) QA, Construction safety, testing, schedule, RFI ’ s, CO ’ s, Invoice review A/E will provide home office support Engineer of record, shop dwg review, ECN ’ s, periodic inspection, RFI ’ s PE Engineering and Construction Services and Trade crafts Utility interconnect support, shutdowns, start-ups, permits Commissioning contractor - checkout and startup of systems Document test results & performance, training & documentation for operating staff, info for LEED certification All working together under the leadership and direction of CF

8 BROOKHAVEN SCIENCE ASSOCIATES CM Construction Phase Responsibilities Assist BNL in bid and contract award process Provide CM staff during construction Field inspection, coordination & oversight Home office advisory support for CM processes Implement oversight of safety program Monitor schedule compliance Implement quality control program Cost controls and reporting Process monthly payment requisitions Assist in project closeout and commissioning

9 BROOKHAVEN SCIENCE ASSOCIATES Construction Packages Construction Contracts – All fixed price, best value award Construction Packages Direct 07 $ At-year $ –Site Preparation 0.9 M 1.0 M –Ring Building* (main contract) M M –Chilled Water Plant Expansion 7.8 M 9.1 M –Chilled Water Piping to site 0.9 M 1.1 M –Electrical Substation Upgrade 2.0 M 2.4 M Total$173.5 M $ M *Ring Bldg Contract to single GC with very clear, easily separable interface ties to the other packages. Firms to be pre-qualified by July 2008

10 BROOKHAVEN SCIENCE ASSOCIATES Ring Bldg Contracting Concerns Single large, lump sum GC package makes responsibility for performance & coordination clear It does limit number of local LI contractors able to perform contract of this size Its size should attract larger NYC and national firms This will be verified during contractor outreach process Amount of work in NYC is large and getting larger so firms may not be interested in coming to LI for this Most competitive pricing likely to come from local firm with capability to do work of this size May need to break up package to assure this Introduces coordination/responsibility risks DOE safety requirements may discourage competitive bids

11 BROOKHAVEN SCIENCE ASSOCIATES CF Contractor Safety Requirements All contractors selected based on safety performance as a major evaluation factor Must submit HASP for BNL approval incorporating ISM principles 10CFR851 health/monitoring program required Drug-free workplace program required Full time on-site safety representative(s) Flowdown of safety requirements to subcontractors Mandatory daily work planning & tool box safety meetings Safety incentive program

12 BROOKHAVEN SCIENCE ASSOCIATES Market & Construction Cost Volatility Material commodity price spikes continue to be a concern 4 year construction duration exposes contractors to large risk NYC construction is booming - $20B in lower Manhattan Puts pressure on labor supply and costs LI construction market is moderate – can support NSLS II Strategy – Structure packages so LI contractors can bid Consider commodity price escalation clauses to reduce contractor risk and encourage competitive pool of bidders Update market analysis frequently to adjust strategy as needed Use contractor outreach process to gauge efficacy of strategy