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CPARB

CPARB. Specialty Subcontractors Ed Kommers, P.E. Former President of University Mechanical Contractors, Inc. Director of Technical Services for the Mechanical Contractors Association of Western Washington. Specialty Contractors Summary.

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CPARB

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  1. CPARB • Specialty Subcontractors • Ed Kommers, P.E. • Former President of University Mechanical Contractors, Inc. • Director of Technical Services for the Mechanical Contractors Association of Western Washington

  2. Specialty Contractors Summary • Many subcontractors will not support the renewal of APW (GCCM) unless changes are made • The project delivery system may not be maximizing the effectiveness of the project budget for taxpayers on many projects

  3. Comments on GC/CM • Waste or doubling up on services like cleanup, dumpsters and porta potties. • Bid package subs work against each other rather than with each other under a strong leader • Prefer not to bid GC/CM or will add higher margin • Risk shifting down to subs

  4. Previous support of GC/CM • Minimized bid shopping because bids were delivered sealed and publicly opened • Subcontractors had to obtain a bid bond providing a built-in eligibility and responsibility • Oversight committee

  5. JLARC Report • Subcontractors who perform much of the work on GC/CM projects comments were somewhat marginalizedin the report (App #4) • GC/CM projects demonstrate characteristics that are a success except for the following that are “inconclusive”: • Risk (shared risk) • Project Cost (impact on CO, claims & litigation) • Quality (whether GCCM produces better quality)

  6. Mission of CPARB • “Evaluation of public capital projects construction processes” • “Impact of contracting methods on project outcomes” • “Advise …on policies related to alternative public works delivery methods”

  7. Specialty Subs Priorities • Develop standard subcontract terms • Require timely change order responses • Prohibit incentives paid out of MACC contingency • Revise Eligibility

  8. Standard Subcontract Terms • Coordinate work and resolve sub disputes • Allow recovery of costs due to delay • Realistic overhead and profit on CO’s • Require realistic lien waivers • Standardize scopes • Improve DRB process

  9. How to standardize terms • Agree on New Prime Contract Terms and Conditions • Require subcontracts to be no more restrictive on specific clauses • Develop standard subcontract terms and conditions • Edit existing model contracts

  10. General Public Works • Retainage needs lots of work • Responsibility criteria • Provide logical relief from “Johnson” decision • Restrict right to reject all bids to “good cause”

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