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DBIA Actual Test-With 100% verified solutions 2024- 2025-tutor verified Project Delivery System How team members are organized, establishes when parties engage, determines roles of parties, and determines sequence of design, procurement, and construction (db, cmar, dbb) Procurement Method how team members are selected (QBS, best value, low price, sole source) contracting approach how team members are paid (fp, gmp, cost reimbursement, target price, unit price) Design-Bid-Build (DBB) linear, sequential process, A/E selected on qualifications, GC selected on low price, design is fully completed without input from GC, A/E acting in owner's interests, with a historically strong bond, process is well- established and understood construction manager at risk similar org structure to DBB, construction manager selected by QBS or best value, contractor provides precon services, negotiated gmp contracting approach, open book estimating process, potential to fast track project, construction cost determined before design completed, potential issues over what is reasonably inferable from gmp design documents Design-Build The owner contracts with one entity (a person or firm) to provide both design and construction services, designer and contractor have a direct contractual relationship, selected by QBS or best value, wide spectrum of contracting approaches and organizational structures, single point responsibility, owner does not manage designer, owner exposure to claims is significantly reduced engineer procure construct (epc) similar to design build, in industrial and power generation sectors, systems and performance testing are central to scope, contractor will typically perform engineering with its in-house staff, owner has need for single point responsibility, contracts include plant and process performance guarantees, contract items include performance and schedule liquidated damages and limitations of liability Multiple Prime Contracting owner contracts with multiple trade contractors, attributes are typically similar to dbb, owner's ability to schedule and coordinate the work Integrated Project Delivery (IPD) multi-party agreement - all parties equal, QBS procurement and target pricing contract approach, private sector use (limited at this time), key: owner's ability to accept risk public-private partnership (p3) Instead of government building and maintaining major infrastructure (such as highway, water treatment plant), build and maintenance is outsourced to a private company. Opposed by public sector unions. this is not considered a delivery system but its underlying approaches are delivery systems and typically use DB. multiple procurement and contracting approaches shift left intense efforts to establish scope early in the process; drives early team formation to include key trade subcontractors; can enable big decisions to be made early, affect project outcomes at lowest cost, establish a need for co-location and collaboration, and compress time during concurrent design and construction describes in terms of exactly how the product and/or its components must be built; cookbook approach; developed by the design builder but used by owners in the RFP/bridging documents for operability or maintenance needs and conditions of permits or third parties; examples: uniformat C10, partitions. "Install gypsum wallboard on 3-5/8" metal studs at 16" on center with XX acoustical insulation per YY standards." shortlisting takes the best of "qualified" teams; a key to design-build success; not the same as prequalifying or pass/fail; keeping this small increases interest among the best teams and minimizes procurement costs for everyone including the owner competitive procurement process owners define their goals and selection criteria, one or 2 phase process if shortlisting is applicable, price is not a factor in selection, award to most qualified proposer, negotiate to a fair and reasonable price QBS typical criteria qualifications, experience and past performance of design build team, qualifications of key personnel, capacity of design build team to perform work, team experience in working together, deisgn-builder's project management plan, project-specific ideas demonstrating team's ability to innovate and think outside of the box best value selection criteria are price and non-price factors; 2 phase process: RFQ to shortlist most highly qualified, RFP to obtain technical approach and price; determine evaluation factors and relative weighting; price proposals opened after evaluation and scoring of technical proposals technical score determined from multiple criteria and weighted scoring price score award full points to lowest price and assign points proportionally to the other proposers basis for award highest total score (technical score + price score) design build to budget RFP identifies project budget, proposers submit technical proposals within budget, contract awarded to bet technical proposal, project approach, and team composition; price is evaluated not scored in selection if within budget; owner can prioritize or add scope if budget allows; variant to this approach is "stipulated/fixed price, best technical proposal" Lowest Price Technically Acceptable (LPTA) contract requirements are clearly definable and minimal risk of unsuccessful contract performance; suitable for commodities or simple service; proposers do the minimum for the pass/fail process; impedes thinking creatively or creating the best team; little practical ability for an owner to ever fail someone Sole source Only one vendor can provide what your project needs to purchase. Examples include a specific consultant, specialized service, or unique type of material. essentially non-competitive; multiple contracting approaches available (unit rates, cost plus, GMP, or lump sum) RFQ goal: to get highly qualified teams and information that will serve to differentiate among proposers and evaluate past performance RFP communicates needs for firm pricing; perform front-end tasks (like geotech) for baselines; only asks for relevant and reasonably needed information; allows ATCs when mandatory technical criteria is established Alternative Technical Concept (ATC) Proposers submit alternatives to mandatory requirements that are better than or equal; if accepted by owner, can be used in technical proposal; different from value engineering change proposals best practice the belief that there is a technique, method, or process that is more effective at delivering a particular outcome than any other; with proper process, checks, and testing, a desired outcome can be delivered with fewer problems and unforeseen complications schematic design the point before which core team members should be engaged in the design process design commitment designer of record confirms the documents comply with the owner's project criteria, all codes and standards; design confirmed within budget and schedule; owner's review for compliance has been completed; changes made after this may result in request for equitable adjustment; the owner and DB-er should reach a consensus on this definition and when it occurs during the post-award process integrated design work plan (IDWP) identify design tasks and decisions to complete the design of the project; decision making - how and when to make decisions; identify work flow of design deliverables best supporting construction; optimize time for design phase co-location; optimize opportunities for constructability reviews; the initial prelim should be considered in the proposal pre-construction, contract, close-out, and performance evaluation four phases of oversight pre-construction phase which involves distribution of contract documents, confirm subcontractor flow-down clauses, confirm incremental design packages, confirm what constitutes design commitment, obtain performance/payment bonds, obtain certificates of insurance, confirm attainment of permits and access rights, issue notice to proceed, and schedule initial formal partnering workshop Request for Equitable Adjustment (REA) If a change order becomes necessary in a design-build scenario, you can use this to make sure you're payed for the additional work charter, communications matrix, or issue resolution ladder formal partnering typically results in mutually developing one of 3 things formal partnering commitment between two or more organizations for the purpose of achieving specific business objectives by maximizing the effectiveness of each participant's resources implicit cost plus fee, lump sum/firm fixed price, and target price are this type of incentive explicit incentive contracts (shared savings--early completion) and award fees (non-cost performance factors) are this type of incentive. it is best practice for owners to include this type of incentive in their design-build contracts design quality an objective measure for evaluating a project that is easy to measure design value a subjective measure for evaluating a project that is hard to measure; this is determined through the design process, not after the project is completed best value (performance + quality) / cost value (what you get) / (what you give) Choosing by advantages (CBA) A process that lists the advantages of options and helps quickly identify the options with the most advantages. This process avoids the double counting inherent in listing pros and cons when in one option is also the con in another. contingency amount of $$ added to the estimate to cover risks associated with the unknown trend management program tool used to identify, evaluate, manage, and resolve changes during design, procurement, and construction; encourages proactive approach with the owner to resolve any changes as design evolves; mitigates disputes before they become bigger problems Expectation Damages award what was reasonably expected from the contract recission damages when expectation damages are not available, award what party would have had if contract had not existed specific performance and injunctive relief if contract's subject is unique, a court order may order that the breaching party perform its obligations under that contract (specific performance) or stop doing something (injunction) quantum meruit award of a reasonable sum of money (i.e. "what the claimant deserved") reasonable damages can be speculative and therefore must be proven to a ___________________ degree of certainty Consequential Damages arise from the consequences of a breach; often "big" damages that are hard to prove, difficult to manage or predict, and typically involve damages to third parties; create substantial financial exposure if something goes wrong direct damages damages that directly result from a breach; straightforward and "hard" costs tort law a legally created remedy for someone who has been wrongfully harmed by another Professional negligence failure of a person who has professional training to act in a reasonable and prudent manner betterment theory owner cannot be put in a better position than if the breach hadn't occurred Economic Loss Doctrine A common law rule holding that when an injury is purely economic, and arises from a contract made between two businesses, the injured party may only sue under a contractual claim (privity of contract) Spearin Doctrine contractor must reasonably rely on what owner has furnished; defects that are obvious in bid documents must be raised by bidders during procurement course of conduct what the parties do during the performance of other similar contracts course of performance what the parties do during the performance of this contract terms of art the use of a word in a specific industry Differing Site Conditions (DSC) subsurface or physical conditions at the site that differ materially from those indicated in the contract documents; unknown physical conditions at the site, of an unusual nature, that differ materially from those ordinarily encountered and generally recognized as inhering in the work of the character provided for in the contract Constructive Acceleration A contractor may opt to speed up a project due to an excusable or unavoidable delay caused by weather, deliveries or change orders. The contractor may choose to file a claim for damages if the extra time is warranted but not given and the contractor had to incur extra expenses to complete the work on time. Joint and Several Liability A legal concept that makes each partner in a partnership legally liable for all the acts of the joint venture