Page 152 - TCDB combined Book

128 The Complete DESIGN BUILDER

Building Design:

Phased Agreements:

A signed agreement for this arrangement would include the preparation of preliminary
design documents necessary for quantifying and costing the scope of work included in a proposal.
These designs should be prepared assuming there conversion to the final working design. The
proposal would cover a phased arrangement with the design portion as Phase 1 and the
construction work as Phase 2. Should the project not proceed or your proposal is unsuccessful
you would be reimbursed for the predetermined amount of Phase 1. The disadvantage to this type
of arrangement is the design work becomes the property of the client and may not result in a
signed contract. The design professionals involved should be made aware of their obligations and
possible involvement with a third party should their particular design work be used for this
project. The only advantage of this phased arrangement would be the reimbursement for your
preliminary design work costs, assuming you have retained professionals on a fee due basis. This
type of phased agreement allows the client to use your design expertise and not necessarily your
construction capability. The distribution of your design information to other proponents as the
basis for a proposal should result in comparable proposals being received by the client. The use
of your design work for this purpose should be clearly understood by all parties from the outset.
Competition cannot be totally eliminated, therefore; it could be beneficial if all bidders are using
the same information.

Licensing & Certification:

Prior to signing a Design-Build agreement all jurisdictional authorities should be contacted
regarding licensing or certification requirements. Many jurisdictions have implemented control on
the extent and type of service that can be offered in the design and construction of building
projects. Builders, designers, owners and project developers should be fully aware of the legal
implications and individual responsibilities in using the Design-Build method for any particular
trading territory.