T HE O THER C OSTS OF THE P ROJECT Things to Consider When Planning New Work 12 th Annual...

THE “OTHER” COSTS OF THE THE “OTHER” COSTS OF THE PROJECTPROJECT

Things to Consider When Planning New WorkThings to Consider When Planning New Work

1212thth Annual International Aboveground Annual International Aboveground Storage Tank Conference & Trade ShowStorage Tank Conference & Trade Show

March 3, 2010March 3, 2010

OVERVIEWOVERVIEW• Planning the Project:

looking at the whole picture

• Project Process & Checklist: what to consider

• Planning Tools and Tips:

PLANNING THE PROJECTPLANNING THE PROJECT

Project Progression…


What are “Other” costs…• Product Systems

• Tanks• Piping/Mechanical• Electrical/Controls• Rail• Docks

• Other Costs• Stormwater Management• Fire Protection• Geotechnical/Soils Issues• Permitting/Approvals• Design and Management Fees


Other costs…Focusing on line-item costs can be misleading….

Additional liability comes from potential: • Re-Work $• Schedule Delay $$• Unusable Real Estate Assets $$$• Operations Impact $$$$• Failed Customer Commitments $$$$$

PLANNING THE PLANNING THE PROJECTPROJECTDepends on procurement method…• Single-Source EPC• Full-Service Design, Bid & GC• Multiple Design contracts and Construction

contracts• Just build it…now (not recommended)

PLANNING THE PLANNING THE PROJECTPROJECT…in 3 steps• Develop a scope• Vet the project• Assemble a Concept Package

• Planning the Project

• Planning Process

• Planning Tools and Tips

PLANNING THE PLANNING THE PROJECTPROJECTDevelop a scope…• Written scope of construction

with photos• Flow Diagrams (redlines or

new)• Site Layout• …or any combination of these.




PLANNING THE PLANNING THE PROJECTPROJECTVet the project…• with local operations• with permit authorities• with “providers” (rail, pipeline,

harbormasters, etc)• with major vendors (tanks, heaters,

etc)




PLANNING THE PLANNING THE PROJECTPROJECTAssemble concept package…• Scope of Construction• Site Layout• Cost Estimate• Permit information• Project Schedule




Considerations…• Who can impact my project• Typical permits/approvals• Permit investigation• Internal requirements• Other projects/permits• Useful documents to have• Use a checklist/form




PLANNING PROCESSPLANNING PROCESS

Who can impact my project…• City, County, and State• Provider (rail, pipeline, etc)• EPA (or DEP, DENR, EPD, DEQ)• DOT• US CG• US ACE• Marine/Harbor Association• Neighbors/Stakeholders





Typical permits/approvals…• Planning/Zoning• Land Disturbance• Stormwater/Water Quality• Fire Dept• Building/Foundation• Air (construction, operation)• NPDES• Rail





What if there is permitting…• Assemble Permit Tracking form • Permit contact, schedule, fee• What is the permit trigger?• Is it admin or technical?• Are there predecessors?• Is it a predecessor to others?• Is permit needed for all, some or

operations only





Internal requirements…• Find out what approvals are needed

internally – safety, environmental, operations, etc.

• Is PHA/HAZOP needed? • Assign contact person from the

beginning for each





Useful documents to have…• Surveys (ALTA, topo, hydro)• Geotechnical investigations• API 653s and pump data• SPCC and NPDES• 70E Arc Flash/One-lines/Bills• Current/active Permits• Fire-flow tests• Easements/Agreements





Use a checklist or form…• Develop a standard checklist for

project planning (or borrow)• Keep track of permits, approvals,

documents, etc





Tips…• Vet the project – operations, permits,

and providers• Every permit and regulation has a

trigger… Know it.• Plan for the worst (reasonable)• Set aside 10% for construction

contingency




PLANNING TOOLS AND PLANNING TOOLS AND TIPSTIPS

Tips…• Gather documents, now• Know the approvals needed, when

they’re needed, and which comes first• Have a standard Project Plan package

– use it every time




PLANNING TOOLS AND PLANNING TOOLS AND TIPSTIPS

Todd M Eldridge, P.E.Todd M Eldridge, [email protected] (office)404-425-7100 (office)

T HE O THER C OSTS OF THE P ROJECT Things to Consider When Planning New Work 12 th Annual...

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