the great kahuna award !!! tea/tug 2006 conference portland, me october 18-21, 2006 office of...

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THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

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Page 1: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

THE GREAT KAHUNA AWARD !!!

TEA/TUG 2006 CONFERENCE PORTLAND, ME

OCTOBER 18-21, 2006OFFICE OF PROGRAM

ADMINISTRATION HIPA-30

Page 2: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Agenda

Great Kahuna Award! FHWA/ AASHTO Construction

Management ETG

Page 3: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

REPORTING REQIREMENTSFOR FHWA-45, FHWA-810,

AND FHWA-47 FHWA-45: Is required for all projects on the NHS =

> $500,000. Submit two weeks after the award of

contract and no later than the fifth of the month after the end of the quarter.

Information on bid prices for major items

Page 4: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

REPORTING FHWA-810: Bid tabulation Is required for all F-A const. project on

the NHS. Submit to Division Administrator. Certified by STA official. Show details on 3 low bidders. Submit within two weeks of the award of

contract.

Page 5: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

REPORTING FHWA-47: Is required for all projects on the NHS that are

$1 million or more.

Contractor completes at end of contract.

Information on final costs of wages, salaries and materials used by the contractor.

State DOT personnel verifies information.

Page 6: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Office of Program Administration

UPDATE The GAO conducted a review of FHWA

Form-45 State construction cost. Quality of the data was one big issue. You may view the report at

www.gao.gov , Report # is GAO-04-113R.

Page 7: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT01/01/2005 to 12/31/2005

State # of Bids received

# of contracts

Low bids over/(under)

EE

Alabama 83 25 (2.97)

Alaska 43 10 (3.23)

Arizona 83 26 15.71

Arkansas 15 6 (2.05)

California 0 0 0

Colorado 394 99 4.31

Connecticut 16 6 16.22

Page 8: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT

State # of Bids # of contracts

Low Bids over/(under)

Delaware 19 6 1.50

DC 2 1 (4.42)

Florida 155 44 (0.64)

Georgia 0 0 0

Hawaii 0 0 0

Idaho 52 14 17.6

Illinois * 0 0 0

Page 9: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT

State # of Bids # of Contracts

Low Bids over/(under)

Indiana 68 22 (9.16)

Iowa 0 0 0

Kansas 29 9 6.77

Kentucky 29 20 (12.97)

Louisiana 20 6 (12.51)

Maine 27 13 12.3

Maryland 119 40 7.90

Page 10: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT

State # of Bids # of Contracts

Low Bids over/(under)

Massachusetts 54 14 9.08

Michigan 66 12 1.27

Minnesota * 0 0 0.0

Mississippi 9 4 8.04

Missouri 0 0 0

Montana 14 4 (0.56)

Nebraska 0 0 0

Page 11: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT

State # of Bids # of

ContractsLow Bids over/(under)

Nevada 17 7 4.31

New Hampshire

19 6 (3.09)

New Jersey 12 3 38.10

New Mexico 1 1 12.14

New York 581 133 9.42

North Carolina

26 8 (2.30)

Page 12: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT State # of Bids # of

ContractsLow BidsOver/(under)

North Dakota 85 22 (24.91)

Ohio 369 100 (6.44)

Oklahoma 25 10 (1.68)

Oregon 25 10 8.35

Pennsylvania 89 21 5.48

Puerto Rico 0 0 0

Page 13: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT State # of Bids # of

ContractsLow Bids over/(under)

Rhode Island * 0 0 0

South Carolina 30 9 (3.29)

South Dakota 185 48 75.6

Tennessee 0 0 0

Texas 0 0 0

Utah 89 24 2.60

Page 14: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

BID OPENING REPORT State # of Bids # of

ContractsLow BidsOver/(under)

Vermont * 0 0 0.0

Virginia * 0 0 0.0

Washington 43 14 6.05

West Virginia 13 3 1.59

Wisconsin 0 0 0

Wyoming 46 12 2.26

Page 15: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Congratulations Montana DOT!!

State # of Bids # of

ContractsLow Bids over/(under)

Massachusetts 54 14 9.08

Michigan 66 12 1.27

Minnesota * 0 0 0.0

Mississippi 9 4 8.04

Missouri 0 0 0

Montana 14 4 (0.56)

Nebraska 0 0 0

Page 16: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

FHWA / AASHTO Construction Management Expert Task Group

Page 17: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

2004 Construction Management Scan

Page 18: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Scan Objective

“Examine international construction management procedures with a focus toward

ensuring appropriate project delivery, contract compliance and quality assurance”

Page 19: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Scope of Study

Maintenance and Warranties

Process Improvement

Construction Aspects of CM

Post Construction Aspects of CM

Pre-Construction Aspects of CM

General Context

Project Delivery

Staffing

Procurement

Risk Allocation & Management

Contract Administration

Contract Change Processes

Quality Plan Implementation

Project Record Keeping

Environmental Monitoring

Third Party Communications

Project Maintenance Requirements

Page 20: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Scan Team LocationsTucker FergusonPennDOT

Thomas BohuslavTX DOT Greg Schiess

FHWA, FL

James TriplettUnited Contractors

Steve DeWittNC DOT

Richard WagmanG.A. & F.C. Wagman, Inc.

John Smythe

Iowa DOT

Eugene Hoelker

FHWA, MWRC

Keith Molenaar

U. Colorado, Boulder

Jerry YakowenkoFHWA, HQ

Page 21: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

What we found…

Similar transportation needs Construction management systems that

promote alignment of customer goals Integrated use of risk analysis techniques Strategic use of alternative delivery

methods Procurement systems that set the

framework for success

Page 22: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

What we found…

Contract payment methods that support alignment and trust

Delegation of traditional highway agency functions that promote efficiency

A philosophy of network management Greater partnership between public and

private entities

Page 23: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

CLIENT

CLIENT or CONTRACTOR

CLIENT ADVISOR

CONTRACTOR

PHASE 1

PHASE 2

PHASE 3

PHASE 4

PHASE 5

PHASE 6

PHASE 7

Construction

Operation & Maintenance

Identification of the Problem

Preliminary Study & Recommendation

Feasibility,Public Involvement & Public Announcement.

Contract Preparation & Tender

Planning or Statutory Orders or Transport Act Application

Outline design

PHASE 0

British Highways Agency ExampleEarly Contractor Involvement

Page 24: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

British Highways Agency Example

Page 25: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Recommendations Align Team Goals to

Customer Goals Develop Risk Assessment

and Allocation Techniques Strategically Apply

Alternative Delivery Methods Enhance Qualification Rating

Processes Use Qualifications in

Procurement Pilot Early Contractor

Involvement http://international.fhwa.dot.gov/construction_mgmt/contents.htm

Page 26: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Recommendations Apply Alternate Bids/Designs in Procurement Conduct Pre-Proposal Meetings Apply More Contractor Quality Management Use Appropriate Alternative Contract Payment

Methods Work Toward Warranties and Life Cycle

Responsibility

Page 27: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Construction Management ETG

Implementation group for SCAN recommendations

Funding - $300,000 from FHWA National Construction Management

Conference in 2008 State DOT, FHWA, Industry, Academia

representation

Page 28: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Construction Management ETG Members Stuart Anderson, Texas A&M

University Thomas R. Bohuslav, Construction,

Texas DOT Tim Aschenbrener, Materials,

Colorado DOT Bob Burns, CH2M Hill Steven D. DeWitt, (Co-chair), North

Carolina Turnpike Authority Tucker Ferguson, Maintenance

Division, PennDOT Ted Ferragut, TDC Partners, Ltd. Matt Girard, , HBG Flatiron Eugene Hoelker, FHWA Rich Juliano, ARTBA

Mike Loulakis, Attorney, Wickwire Gavin

Keith R. Molenaar, U. of Colorado Jerry Porter, Peter Kiewit Sons', Inc. Greg L. Schiess, FHWA Sid Scott, Trauner Consulting

Services, Inc. John M. Smythe, Construction, Iowa

DOT Jim Sorenson, FHWA James E. Triplett, United

Contractors W Richard Wagman, G.A. & F.C.

Wagman, Inc. Gerald Yakowenko, (Co-chair),

FHWA

Page 29: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Construction Management ETG Current Activities Best Value Implementation Plan.

NCHRP 10-61 - additional case studies (NCHRP Report #561 available in hardcopy)

Pilot Projects under SEP-14 Alternative Payment Methods.

Develop a “white-paper” on current US alternate payment methods– Provide examples that include lump sum payments,

milestones/components, plan quantity, etc. – Include the advantages and disadvantages of each strategy. – Impacts on staffing requirements, material usage approvals, fair and

equitable adjustment of quantities, audits, supporting documentation of claims, prompt payment, historic database for future estimates

Page 30: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Risk Assessment and Allocation Prepare a Risk Assessment and

Allocation Guide for Highway Construction Management Includes: risk identification, assessment,

analysis, mitigation and planning, allocation, monitoring, checklists, examples, etc.

Conduct Risk Workshops

Construction Management ETG Current Activities

Page 31: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Enhance Qualification Rating Process Alternative Bidding State of the Practice Contractor Quality Management Strategic Use of Alternative Delivery Methods Qualifications in Procurement Warranties and Life Cycle Responsibility

Construction Management ETG Future Activities

Page 32: THE GREAT KAHUNA AWARD !!! TEA/TUG 2006 CONFERENCE PORTLAND, ME OCTOBER 18-21, 2006 OFFICE OF PROGRAM ADMINISTRATION HIPA-30

Questions

Who may I contact for more information about the Construction Management ETG? Steve Dewitt, Co-chair, NCDOT, (919) 715-4458,

[email protected] Jerry Yakowenko, Co-chair, FHWA, (202) 366-1562,

[email protected] Ted Ferragut, Consultant to ETG, 703-836-1671,

[email protected]