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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, DBIADirector of Capital ProjectsSan Mateo County Community College District

PROGRESSIVE DESIGNBUILDWHAT IS IT? AN UPDATEFROM LAST YEAR

PRAFUL KULKARNI,AIAgkkworks PresidentandCEONationalChairmanofDBIA

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

EducationandCertifications:EducationandCertifications:

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.

YearsofExperience:

35+

YearsofExperience:

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/DISADVANTAGESDESIGN 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 Based Newer 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,CCMSanFranciscoInternationalAirportChiefDevelopmentOfficer

BS Architectural Engineering, California Polytechnic State University, San Luis Obispo

Registered Civil Engineer Registered Structural Engineer

EducationandCertifications:EducationandCertifications:

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.

YearsofExperience:

33+

YearsofExperience:

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 RFIs 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 DELIVERYContractual RelationshipLines of Communication

Collaborate

CHRISSTRUGARFRITSCH,DBIASanMateoCountyCommunityCollegeInternationalAirportDirectorofCapitalProjects

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

EducationandCertifications:EducationandCertifications:

Director of Capital Projects for San Mateo County Community College District rresponsible for development and management of all capital pro