CVE 4070

Construction EngineeringDisaster RecoveryProf. Ralph V. Locurcio, PE

Looking ahead…

Today… Disaster Recovery Construction Study guide for Test #1

Thursday… Sept 18 Test #1-The Basics Commons Room 244 500pm – 615pm

Disaster Recovery

Special form of construction Public welfare is primary objective Speed of response is essential

Life safety Public services

Requires public & private cooperation Special contracting rules apply

Disaster Scenarios…

Natural disasters Hurricane Floods – Tidal wave - Tsunami Earthquake Fire

Man-made disasters Building collapse Fire Terrorist attack Unknowns… train wreck, hazmat spill, etc.

Electrical systems…

Water systems…

Debris…

Key Facilities…

Roads & Bridges…

Ports & Harbors…

Fire damage…

Terrorist actions…

Unknowns…

Recovery Operations…

Speed is essential Projects are spread out over wide area Work sites not well defined No plans & specs Organization and prioritization are key Scope limited to minimum operations Quality judged on speed & quantity Safety is paramount Logistics may be very complicated Contracts not well defined

Recovery Operations…

Reconaissanceand

Assessment

Life Safety Operations

Damage Survey

Operations

EmergencyConstructionOperations

Prioritization Funding

ContractAwards

ConstructionOperations

ContractSupervision

& Administration

Estimating

ContractSupervision

& Administration

ProjectTurnover

ProjectTurnover

Record Keeping & Public Information

Phase I: Emergency Operations

Phase II: Reconstruction

Organization for recovery…

Construction Manager

ContractingEstimatingProject Management

Engineering Support

Admin & Logistics

Project PrioritySchedule controlCost controlFunds controlFunds allocationProject statusProject reporting

Quantity take offTime & materialsCost estimatingMarket adjust

General CivilGeotechnicalStructuralMechanicalElectricalEnvironmentalSanitary

PersonnelTransportationOffice suppliesFoodLodgingTravelFinance & pay

Contract prepContract reviewsInsurance & bondsContractor selectionContract adminContract reports

Legal advisor

Finance

Report from Gulf Oil Spill…

Centralized control is essential Numerous gov’t agencies involved Numerous non-govt agencies involved

Projects must be organized Projects must be prioritized Budget control is essential Speed is essential Media coverage increases pressures

Project Prioritization…

Cat A Cat CCat B Cat D Cat n

Project 1Project 2Project 3Project 4Project 5

Project N

Project 1Project 2Project 3Project 4Project 5

Project N

Project 1Project 2Project 3Project 4Project 5

Project N

Project 1Project 2Project 3Project 4Project 5

Project N

Project 1Project 2Project 3Project 4Project 5

Project N

Director of Project Management

PM A PM B PM C PM D PM n

1

2

3

Construction Goals Differ…

Life saving & emergency operations Remove obstacles & hazards to life Enable key government functions Operate hospitals & schools Restore utilities; elec, water, sewer Restore transportation; roads, bridges, rail Enable logistical functions; food, fuel, ice Clear debris Restore normal operations Restore public safety & confidence

“Traditional” Contracts

Contracting operations…

Letter contracts Cost plus contracts Unit price contracts Indefinite quantity contracts Design-build contracts Design contracts Fixed price contracts

Construction contracts… Lump-sum Unit-price Fixed-price with incentives

Cost-reimbursable Time & materials (T&M) Cost-plus-fixed-fee (CPFF) Cost-plus-incentive fee

Guaranteed Maximum Price (GMP)

Fixed Price

Cost Plus

Fixed price contracts

Unit-price contract… Modified form of “fixed-price” contract. Based on “measurable” construction units. Unit prices for tasks are fixed. Contract scope is the total list of tasks. Specifications govern quality. Unspecified tasks must be negotiated. Used for pipelines, roadways, tunneling, etc. Quantities purchased may be not be limited. Called “Indefinite Quantity” or IDQ contracts Used when total scope is unknown.

How do you measure?

Porta-potty method…

3 ft

3 ft

10 ft

1 PP = 90 cu ft

Fixed-price incentive contract… Same as fixed-price But… profit is based on performance Incentive formula must be clearly specified in

contract documents May have price ceiling Requires a performance “rating” Requires close supervision to ensure

contractor hits performance target

Cost-reimbursable contracts…

Time & materials contracts… Contractor is paid his actual costs for labor &

materials plus a 15% + mark-up for overhead Contract documents define eligible costs such

as labor categories, travel, rentals, permits, fees, other expenses…

Contractor must supply invoices for all expenses and certified time sheets for labor

Audit of costs & invoices is essential Profit is specified 10% + mark-up of costs Also called Cost-plus-percentage-of-cost

+

Time & materials contracts… Used when scope is completely unknown

and there is no time to design Owner assumes all of the risk Easy to write; difficult to administer End price is unknown Sometimes includes “upset” amount Contractor can make substantial profit

Example of T&M contract…

Materials cost $40,000 (invoices)Labor cost $60,000 (time

sheets)Sub-total $100,000Overhead 15% $15,000 (in contract)Sub-total $115,000

Profit/Fee 10% $11,500 (in contract)Grand total $126,500

Cost-plus-fixed-fee…

Actual costs paid for labor & materials Overhead rate generally fixed Fee is a “fixed” dollar amount that is

specified in contract documents Generally used when scope of work is

known but no time to design Contractor shares some risk Provides owner some control

Cost-plus-incentive-fee… Similar to cost-plus-fixed-fee Contractor is paid an additional fee or

bonus if certain specified conditions are met, such as time, cost or satisfaction of user

No bonus if conditions not met Incentive minimizes risk to owner Intent is to “motivate” the

contractor

Project controls…

Contracts are limited Increased supervision Increased accounting Decisions & finances will be audited

Damage survey reports = design

Engineering analysis Structural integrity Mechanical, electrical & plumbing

operations Hard surfaces, paving & grounds Architectural features Construction take off Cost & schedule estimating

Contract inspection & supervision…

Verify quantity & time of operations Manpower & equipment use Material quality & quantity

Engineering sufficiency of work Quality of work Deviations from damage survey Negotiate claims for additional work Certification for occupancy

Roles for civil engineers…

Public works… public safety & critical facility operations Utilities operation & safety: water, elec, sewer, trash Public & critical infrastructure buildings Transportation: roads, hiways, bridges, rail Landfill & environmental operations Contract organization, operations & control Public liaison & information

Damage assessment – design firms Construction operations – construction firms

Estimators & schedulers Equipment & trades operation & direction Material & construction supplies

Records, documentation & funds control

Skills you will need…

Engineering analysis Construction take off & estimating Work scheduling Ordering & receiving Negotiating Common sense Supervision & leadership

See you Thursday…