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A Utah experience with CMGC

A Utah experience with CMGC. Jim McMinimee, P.E. UDOT Kip Wadsworth, Ralph Wadsworth Construction. CMGC. Why? What it is The process we use Benefits and Risks Where are we headed? Case Study. Utah Statistics. Population: 2,233,169 (2000 Census) Land Area: 84,916 sq. miles

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A Utah experience with CMGC

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  1. A Utah experience with CMGC Jim McMinimee, P.E. UDOT Kip Wadsworth, Ralph Wadsworth Construction

  2. CMGC • Why? • What it is • The process we use • Benefits and Risks • Where are we headed? • Case Study

  3. Utah Statistics • Population: 2,233,169 (2000 Census) • Land Area: 84,916 sq. miles • Highest Point: King’s Peak 13,528 ft • Lowest Point: Beaver Dam Wash 2,350 ft • 2nd most Urbanized population

  4. Dollars in Volume • 1996 - $450 Million Federal Aid program • 1997 – 5.5 cent State Gas tax funds $3.2B (290/yr) • 2007 $1.4B General fund ($1B bond) next 2-3 yrs ($700 to $500/yr) • 143 projects $1.1B under construction right now • 2008? • Program Growth required changes in project delivery

  5. Upcoming Innovative Program

  6. Innovations to Reduce Project Delivery Time ABC Design Build CMGC/CM at Risk Total Closure A+B Lane Rental

  7. Lowest Construction Cost Traditional Cost Curve for Construction Projects

  8. User Costs vs. Time in Work Zones

  9. Project Cost Curve Construction + User Lowest Cost Project Lowest Construction Cost

  10. Innovative Methods Learning Curve

  11. Design Contracting Owner How does Innovative Delivery work? DB/CMGC/ABC Partnership involves entire industry

  12. CMGC –What is it? • Two part contracting method • Part one – Construction Management • Part two – General Contractor • Part one – • Work with Owner, and Designer to design Job • Provide advice on Constructability, Schedule, Materials, Budget • “Bid” on project • Part two- • Build project

  13. CMGC process • Owner hires Designer and CMGC contractor • CMGC contractor hired with Best Value selection – the earlier the better • UDOTS selection criteria has Experience, Project Approach, Price, and Approach to Price • Team works on design • Periodically owner asks CMGC to price job • UDOTs model has two estimates- Designer furnishing Engineers estimate, and an Independent Cost Estimate (ICE) • Iterations address risk

  14. CMGC process (cont) • Two possible outcomes of “bid” • Owner gets acceptable price • Proceed with build • Owner doesn’t get acceptable price • Proceed with more design – ultimately convert to Design-Bid-Build • Build contract can be Guaranteed Max price or Unit price

  15. Risk

  16. What Does UDOT expect from CMGC? • Better Designs • Better schedules • Lower costs • Savings in design • Savings in constructability • Savings in innovation

  17. UDOT Benefits UDOT collaborates in design UDOT helps steer innovation Reduce design errors Improved Constructability Less detail required in design Identify and manage risk Early Procurement Early start on critical path Contractor Benefits CMGC Benefits

  18. Contractor Risks UDOT Risks Sole source contract Unable to negotiate on project cost (schedule) New process CMGC Risks

  19. Strategy for CMGC • Projects where UDOT needs Contractor involvement, but desires to control design • Projects with high need for innovation • Projects that can benefit from early procurement • Projects with third-party risk or unknowns

  20. CMGC PROGRAM • 15 projects • Dollar Volume • Draft Report for FHWA

  21. Case Study 4500 south Bridge Replacement • Working with the Contracting Industry to deliver projects quickly • Uses CMGC and ABC • Rapid Bridge replacement

  22. Project Timeline • Design Bid Build • January 2007 - Begin design • September 2007 - Advertise project • Fall 2008 - Construction completion • CMGC • January 2007 - Began preliminary design • March 2007 - Hired contractor • Fall 2007 - Construction completion

  23. Success! • Interstate traffic closed only 52 hours • Decreased construction impacts from months to hours • Opened interstate 6 hours earlier than expected • Saved $4 million in user costs • Future plans to build using this innovation • I-80 • Parley’s Canyon • 33rd south, I-215

  24. Questions?

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