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VENDOR/BUYER CONFERENCE

                                          By Don Harris

                                          There Are Ways to Speed a

                                          Construction Process and Save Money
        Barry Chasse    Karen Fleetwood


           Wading through the maze of acronyms when you’re considering a   Design/Build puts the general contractor in complete control.
        construction project doesn’t have to be so daunting for school districts.  Architects and engineers work for the general contractors, which
           Barry Chasse, of Chasse Building Team, and Karen Fleetwood, of Mesa   architects don’t like, but it enables the project to remain on schedule,
        Public Schools, spelled out the pros and cons of various methods to use   Chasse said.
        and offered suggestions that could save money and avoid headaches.  “There are some benefits, but be careful about critical detailing of a
           In a breakout session at the annual Vendor/Buyer Conference on   project’s scope,” Chasse said. “The owner’s end product must be perfectly
        January 29, Chasse and Fleetwood tackled the topic: “APDM and the   identified, and costs can be higher due to higher risk.”
        Benefits of CMAR and JOC.”                                JOC (Job Order Contracting) provides for faster procurement, saves
           Translated, APDM means Alternative Project Delivery Methods.   time, minimizes procurement expense, and improves the ability to
        CMAR is short for Construction Manager at Risk, and JOC is Job Order   schedule projects in order to maximize school breaks, Chasse said.
        Contracting. They added D/B, which means Design/Build.    If a project is to take place during summer break, don’t call a contractor
           Pure Low Bid Procurement was causing school districts problems.   in May, Chasse said. “Remember, summer starts in January,” he said.
        They ran into adversarial relations, a lack of team concept, and fights   School districts can select three to five vendors that have been pre-
        among contractors.                                     qualified for low bids and for their good track records.
           “Everybody fought, some nicely, and some not so nicely,” Chasse said.   Fleetwood said: “When we get down to the final list, we notify
        ”Some contractors cut corners to save money. Deadlines were missed.   everybody who was trying to qualify.”
        Lawsuits were filed. That was the trend in the 1990s.”    JOC is considered a pretty good process because districts don’t want
           Penalties against contractors ranged from $500 a day to as high as   to be unpleasantly surprised. You want to be able to justify why you chose
        $5,000, Chasse said. But they were difficult to collect because it was hard   the vendor you did.
        to prove damages.                                         The committee that will select a vendor may include the district
           “There was no incentive to do a good job with a low bid,” Chasse said.   Superintendent, Assistant Superintendent, Business Manager, Facilities
        “Inferior subcontractors were hired and job sites were unsafe. It wasn’t   Manager and a Maintenance Supervisor. Sometimes it’s wise to include
        working – for taxpayers or end users.”                 a member of the public to avoid having parents complain about a project
           Then in 2000, APDM came to the rescue when the Legislature passed   after the fact.
        House Bill 2340, providing for Alternative Delivery Methods, Chasse said.  Selection committee members should sign a non-collusion form
           Fleetwood, Supervisor, Procurement Specialist for Mesa Public   and be included in a conflict-of-interest discussion. There can be no
        Schools, said school districts kept records on how they arrived at a final   communication with vendors, Chasse said. The ranking of vendors
        list of vendors. “We were able to show vendors how we got to a final   should be consistent.
        list of criteria and that this is what we’re looking for,” Fleetwood said. “I   The request for vendors’ qualifications should be given 14 days before
        always have a list of the competitors’ rankings, and documentation on the   the responses are received by the district. The request should contain a
        criteria, in case of a complaint. “                    statement of construction services, specifically whether the procurement
           Chasse emphasized the importance of keeping good records at a time   is for a single contract or for JOC only multiple contracts.
        when public records requests by the media and others have become more   “Selection criteria are very important,” Chasse said. “Be specific for the
        prevalent.                                             job they will be doing.”
           Under CMAR (Construction Manager At Risk), there is a separate   Chasse cautioned against site visits prior to awarding a contract.
        contract for design and a separate contract for construction services, but a  Fleetwood said, “We don’t allow anybody on the site.”
        school district may select separate contracts for post-construction services   Chasse noted: “Always remember that the request for qualifications
        during the design phase for construction and for other construction   shall be made available for public inspection at the school district office.”
        services, Fleetwood explained.                            Qualifications may include a firm’s experience on similar projects and
           Chasse noted that under CMAR, a school district can hire “a   the pre-construction approach.
        construction partner who is right for your project,” provides for   “Remember,” Chasse said, “we’re all aiming at the same goal. Begin
        coordination of district standards for such things as plumbing fixtures,   with the end in mind.”
        enables the contractor to recruit the best subcontractors for the job, and
        avoids “a budget buster.”                              Barry Chase can be reached at: bchase@chase.us or (480) 425-7777.
           At the end of the pre-construction phase, a school district has a
        guaranteed maximum price that it has to pay, Chasse said.  Karen Fleetwood can be reached at: (480) 472-6122.




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