Alternative Project Delivery

Amy SchroederIdaho Transportation Department

Innovative Contracting Manager

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OutlineOverview

Project Selection

Design-Build Procurement Process

CMGC Procurement Process

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AuthorityDesign-Build: Idaho Code § 40-904CMGC: Idaho Code § 40-905

20% limit of annual highway program~$60 million annually

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Des

ign-

Bid-

Build

Design Bid Construction

Early Procurement Packages

Contracting MethodsCM

/GC

Select

ConstructionRFP

Design

Des

ign-

Build Design

Select

ConstructionRFP

RFQ

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Design-Bid-Build

Construction Manager / General

Contractor Design-Build(DBB) (CMGC) (DB)

ContractorDesigner

Owner Owner

Designer CM/GC

Owner

Design-Build Firm

Relationships with Department

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Project Nomination CriteriaComplexity / InnovationDelivery ScheduleLevel of DesignRisk FactorsAgency FactorsMarket FactorsThird Party Coordination

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Risk Assessment and Allocation

Design-Bid-Build CM/GC Design-Build

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Procurement RequirementsDesign-Build: two phase procurement process

RFQ for qualifications-based (short-list)RFP for technical and price proposals

CMGC: single phase procurement processRFP for qualifications-based and technical/price proposal

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Stipend (DB only)Based upon the estimated project costs

Can be increased for complexity if neededTABLE

Non-responsive proposals are not eligibleIf accepted, Department owns the work products

Contract Value(CV)

Stipend Base(SB)

Stipend Rate Stipend Range Max %

$0 - $5M 0 = CV x 0.3% 0 - 15,000 0.30$5M - $10M 15,000 = SB + (CV - $5M) x 0.20% 15,000 - 25,000 0.25

$10M - $20M 25,000 = SB + (CV - $10M) x 0.15% 25,000 - 40,000 0.20$20M - $40M 40,000 = SB + (CV - $20M) x 0.10% 40,000 - 60,000 0.15

> $40M 60,000 = SB + (CV - $40M) x 0.05% 60,000 -

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Design-Build MethodsBest Value: Price proposal divided by the technical proposal

score, awarded to the lowest overall scoreFixed Price, Best Design: Highest technical proposal scoreLowest Price, Technically Acceptable: Lowest price proposal

that meets minimum technical and designer qualifications requirementsGenerally, innovation or alternatives are requiredNo right-of-way, utility or railroad permits obtained by the

design-build firmDepartment obtains the required environmental clearancesPreliminary design is completed and the design-build firm’s role

is limited to completing the design and constructing the project

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RFQ InformationProject goalsProject scopeEstimated cost

Design and construction or fixed priceMaximum time allowed for project

Design and constructionDescription of the evaluation criteria and process

Requirements for key personnel

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RFQ Evaluation CriteriaConstruction-related experience and performance

Specialized experience and technical competenceKey personnel

Designer experience and qualificationsPerformance on similar projectsQualifications and relevant experience

Financial, personnel and equipment resourcesProposed plan to manage design and constructionUnderstanding of and approach to the projectOther appropriate qualifications-based selection factors

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Designer QualificationsProject complexityProject’s level of design completeness prior to the RFPPotential for design innovation and alternativesProject impacts to the public during construction and

operation

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RFP InformationProject goals & scopeEstimated costMaximum time allowed for projectBase conceptPerformance and technical requirements (specifications)Required deliverablesDescription of the selection and award criteriaCopies of the contract documentsCritical path method

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RFP Evaluation CriteriaProject-specific technical and quality factors

Design and construction qualificationsInnovation*Design and construction quality*Time of completion*

Price

*optional or integrated into other criteria

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RFP Contract ProvisionsPayment/performance bond, proposal guaranty,

insuranceStandards, rules, guidelines, and special provisionsDesign and construction requirements, including

specifications and environmental regulatory requirementsFinal documents upon completion of the projectSubmittal date for technical and price proposalsDate for opening the sealed price proposals

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Alternative Technical ConceptsEncourage innovation and tailor delivery and project to

proposer’s means and methodsEqual to or better than the base conceptImprove 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

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Alternative Technical ConceptsPreapproved to include in technical and price proposal

Each proposer shall submit only one proposalPrice 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

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DB ProposalsTechnical and price proposal submitted concurrentlyEvaluation committee evaluates the technical proposals

based upon established criteriaTime-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

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CM/GC ProcessCompetitive procurement process

Qualifications componentPrice component

Both qualifications and price are rated on a point-scaleHighest ranking firm gets contractTwo part contract

Design services & assistanceConstruction GMP

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2-Phase ContractDesign services

Life-cycle cost considerationsSchedulingCost estimatingConstructabilityAlternative construction options for cost savingsSequencing of work

Construction servicesAwarded after the plans have been sufficiently developedGuaranteed maximum price (GMP)

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RFP InformationDescription of project

Including programmatic, performance, technical requirements and specifications

Description of the qualifications to be required of the firmDescription of the requirements of key personnelDescription of the process the department will use to

evaluate proposalsSchedule of unit prices requiring pricingApproach to pricingThe form of the contract to be awarded

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RFP Evaluation CriteriaAbility and qualifications of key personnelFinancial, labor and equipment resources and availabilityAbility to meet time and budget requirementsScope of work to be self-performed and ability to

perform that workApproach to working collaboratively with the departmentConstruction experience in similar projectsUnit prices and approach to pricing

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CMGC ProposalsTechnical and price proposal submitted concurrentlyEvaluation committee evaluates the technical proposals

based upon established criteriaPrice proposal score combined with technical scoreHighest overall score is successful proposerEach proposer gets a summary of scores of all proposers

and their own evaluation worksheets

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Department’s ProgressOutreach: Districts, AGC, othersDB pilot project awarded September 2012

Next stepsProject nominations by districts and bridge sectionApproval by Transportation Board and FHWA

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Additional InformationITD Innovative Contracting Unit

Website and Advertisement Announcements:ITD.Idaho.GovDoing Business With ITDAlternative Contract Procurement Services

Sharepoint (internal to ITD):Division: Highways, ICU

Amy Schroeder, Innovative Contracting ManagerAmy.Schroeder@itd.idaho.gov(208) 334-8772