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Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

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Page 1: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Construction Manager at RiskProject Overview and Performance

Jenica Keller, PEAssistant Chief of Project Management

NDOT

Page 2: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

What is CMAR?

Page 3: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Procurement Strategy

• Solicitation: RFP and Interview• Evaluation & Selection process:– Qualification based – Best Value (qualification + Fee)

Page 4: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

•Design Workshop

Risk Assessment

•Risk Mitigation

Estimate•Design Workshop

Risk Assessment

•Risk Mitigation

Estimate•Design Workshop

Risk Assessment

•Risk Mitigation

Estimate

GMP

Part

nerin

g

ICE 3

ICE 1

OPCC 2

OPCC 3

ICE 2

OPCC 1

CMAR Process

Page 5: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

NDOT Experience

• 4 projects – Diverging Diamond Interchange, pavement,

structural and tunnel rehabilitation, ITS and bike path

• $1.5M to $31M• Others under consideration

Page 6: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT
Page 7: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Moana Lane

Improved Efficiency & Safety … Same Footprint

Location and Scope• I-580 at Moana in Reno• Construct DDI• $7M

Page 8: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Moana LaneWhy CMAR?• Adjacent local

agency project• High traffic

volumes• Subgrade

issues

Page 9: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Stateline to Stateline BikewayLocation and Scope• US-50 near South

Lake Tahoe• Construct multi-

use path• $1.5M

Page 10: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Stateline to Stateline BikewayWhy CMAR?• Environmentally sensitive area• Intense multi-agency coordination• Very short construction season during peak

tourist activity

Page 11: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Carlin TunnelsLocation and Scope• I-80 at Carlin• Rehabilitate pavement, structures, tunnels

and lighting• $31M

Page 12: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Carlin TunnelsWhy CMAR?• State of the art LED Tunnel

Lighting• Environmentally sensitive

area• Unknown bridge deck

conditions• Tight working conditions• Availability of

labor/housing

Page 13: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

.

Kingsbury GradeLocation and Scope• SR-207 near South Lake Tahoe• Rehab pavement and drainage• $15-18M

Page 14: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Kingsbury GradeWhy CMAR?• Environmentally sensitive• Very short construction season during peak tourist

activity• MOT and schedule• Utilities• Groundwater• Stakeholders

Page 15: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

How are we doing?

• Innovation• Budget• Schedule• Risk

Page 16: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Program Performance - Innovation

• Multiple GMPs:– Early procurement of materials

• More scope for same budget• Aggressive construction schedule/sequence• More efficient methods

Page 17: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Program Performance - Budget• Average preconstruction cost relative to bid

1.8% CMAR1.5% ICE

• Average difference in bid-2.8% CMAR/ICE1.6% CMAR/Engineer

• Average savings from innovation11.7%

Page 18: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Program Performance – Schedule• Contractor’s input improved the schedule by

identifying multiple shifts, increased production rates, etc. This resulted in reducing overall construction duration.

Page 19: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Program Performance – Risk• Risks identified and mitigated during design• CMAR owns quantity risk• Average risk reserve budget relative to bid

2.5% CMAR3-5% for DBB

• Trend shows risk reserves are adequate with budget remaining (NDOT retains) at closeout

• Budget related change orders = 0

Page 20: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

What lessons have we learned?

• Program• Procurement• Construction

Page 21: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Lessons Learned - Program

• Designate an executive level champion• Learn from others• Ensure industry support• Form an internal program team• Evaluate each step along the way and adjust• Known, fair and followed!

Page 22: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Lessons Learned - Procurement• Communicate project goals, evaluation criteria• Past CMAR experience wasn’t required• Consider a pre-proposal meeting• Evaluation and Selection: multi-disciplinary

team; E&S plan; orientation/training• Allow industry/FHWA to observe• Offer debrief meetings

Page 23: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Lessons Learned - Construction• Earlier communication and coordination leads

to higher quality• Overrun/Underrun Risk• Easy to implement: not a significant culture

change and minimal process changes required

Page 24: Construction Manager at Risk Project Overview and Performance Jenica Keller, PE Assistant Chief of Project Management NDOT

Conclusion• CMAR has been successful• NDOT will continue to use CMAR