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CALTRANS EXPERIENCE WITH WARRANTIES

CALTRANS EXPERIENCE WITH WARRANTIES. WHY WARRANTY. Shift Responsibility of Quality Control to Contractor State Responsibility to select good projects for warranty Failure Avoidance. The Right Strategy at the Right Time. Failure Avoidance. Repair work done by State Maintenance crews.

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CALTRANS EXPERIENCE WITH WARRANTIES

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  1. CALTRANS EXPERIENCE WITH WARRANTIES

  2. WHY WARRANTY • Shift Responsibility of Quality Control to Contractor • State Responsibility to select good projects for warranty • Failure Avoidance The Right Strategy at the Right Time

  3. Failure Avoidance Repair work done by State Maintenance crews. Severely Bleeding Pavement

  4. Repairs Done By the State after Contract Acceptance • 20 projects in last 3 years failed to meet expectations • Over $2.8 million in repairs by the state • Pavement defects include chip seals and overlays

  5. HISTORICAL PERSPECTIVE • FIVE-YEAR WARRANTY REHAB PROJECT IN DISTRICT 2 (1993) • THREE-YEAR WARRANTY REHAB PROJECT IN DISTRICT 11 (1994) • SEVERAL FORM 42 MAINTENANCE PROJECTS (1998) • 2 1/2-YEAR CAP-M WARRANTY PROJECT IN DISRICT 11 (1999)

  6. HISTORICAL PERSPECTIVE • TWO-YEAR WARRANTY MAINTENANCE PROJECT IN DISTRICT 2 (2001) • ONE-YEAR WARRANTY MAINTENANCE PILOT PROGRAM (ON GOING) • FIVE-YEAR WARRANTY REHABILITAION PILOT PROGRAM (ON GOING)

  7. DISRICT 2 REHAB PROJECT • Built in 1993 • TWO INVOATIONS: • Innovative SHRP Mix Design in One Direction • Reduced Thickness Design Over PCC • Asphalt Rubber Hot Mix Gap Graded (RAC-G) • Five-Year Warranty • It is Now 5-Years after Warranty Period Expired • Performing Well • Mtce Cost Data is Limited to Minor Crack Seal • No Major Maintenance is Currently Planned

  8. D2-Sha-5 (BUILT IN 1993) ASPHALT RUBBER HOT MIX - GAP GRADED (RAC-G) 5 YEAR WARRANTY - 5 YEARS AFTER WARRANTY PERIOD

  9. Imperial-111-PM 38.0-40.8 (3 Year Warranty) • Completed Construction 1994 (RAC Type-G) • Awarded for $1.7 Million • Preventive PME Chip Seal 2000 • Little or No Maintenance Costs prior to PM Chip • Continuing to perform well

  10. FORM 42 MAINTENANCE PROJECTS • Several Projects By Emergency Contracts • Built in 1998 • District 11 - AR Chip Seal (1 Year) • District 11 - AR Type G (2 Years) • District 11 - AR Type G (1 Year) • District 7 - AR Type G (1 Year) • Performing Well

  11. FORM-42 (2-yr Warranty) San Diego-54-PM 14.8-16.1 Asphalt Rubber (Type G) • Construction Completed 1998 • No Maintenance Cost to date • Performing well

  12. FORM-42 (1 year Warranty) San Diego-94-PM 9.9-10.5 Asphalt Rubber (Type G) • Construction Completed 1998 • No Maintenance Cost to date • Little to no cracking present • Good Candidate for addition PM Seal coat

  13. FORM-42 Los Angeles-138-PM 0.0-2.6 Asphalt Rubber (Type-G) • Project constructed in 1998 • Continues to show excellent performance with little to no cracking

  14. Form-42 (1-yr Warranty) Imperial-78-PM 34.8-42.8 Asphalt Rubber Chip Seal

  15. Form-42 (1-yr Warranty) Imperial-78-PM 34.8-42.8 Asphalt Rubber Chip Seal • Constructed in 1998 • Note resistance to reflective cracking • Little to no cracking in the travelway. • Performing well

  16. ONE-YEAR WARRANTY PILOT PROGRAM • Purpose • Improve Quality of Surface Treatments Without Significantly Increasing Initial Cost • Shifting QC Responsibility to the Contractor • Preventive Maintenance Projects • Over 30 Projects are Planned • Warranty Pilot began 1998

  17. ONE-YEAR WARRANTY PILOT PROGRAM • Preventive Maintenance Strategies • Seals • AR Chip Seal • Slurry & Microsurfacing • PME/PMA Chip Seal • Overlays • Conventional AC – Dense Graded/Open Graded/PBA • Rubberized AC – Open Graded/High Binder • Experimental • Bonded Wearing Course/Various

  18. ONE-YEAR WARRANTY PILOT PROGRAM • Developed Specifications Jointly with Industry • Preventative Maintenance Projects • Minimum Exclusions (Less than 15%) • Good Performance • No Claims

  19. ONE-YEAR WARRANTY PILOT PROGRAM • 6 Projects – Constructed & Out of Warranty Period • 4 Projects – Constructed & Still in the Warranty Period • 7 Projects – Bid & Pre-Construction Rating was Performed • 7 Projects – Planned for 03/04 FY

  20. ONE-YEAR PILOT PROJECT PROGRAM • CONTINUOUS EVALUATION • FIELD PERFORMANCE • COST COMPARISON - WARRANTY PROJECTS VS. NON-WARRANTY PROJECTS • COST DURING CONSTRUCTION - WARRANTY VS. NON-WARRANTY • COST INCURRED BY CONSTRUCTION DURING WARRANTY PERIOD • COST INCURRED BY MAINTENANCE DURING FIRST YEAR AFTER CONSTRUCTION • COST PER LANE MILE - WARRANTY VS. NON-WARRANTY

  21. D6-Fre-5 OPEN GRADED ASPHALT RUBBER - HIG BINDER Warranty Started on 12/08/00

  22. Quality Control (New Mix) Numerous Trial Mix Designs Aggregate Plant modified to keep up with needed production Temperature Sensitive and haul time Contractor Cost increase material by $3.33 per ton cost per lane mile $37,000/ln-MI Risks State concurrence for exclusions Mobilize Rubber plant for repairs Possible demands for multi-repair mobilization Performance Measures High Binder Transfer risk to contractor Select the right project to warranty Designers and Engineers need better understanding of specifications Exclusions shown on the plans Contractor and Engineer need more time to review project All projects need Pre and Post Evaluations Specs needed modification rut depth specified exclusion from cracks Improved Materials and Workmanship no claims and only minor repairs Lessons LearnedContractor Vs. Dept. of TransportationSBD-5 [RAC High Binder (Type-O)] Contractors State

  23. D8- SBD Route 40 OPEN GRADED ASPHALT RUBBER - HIG BINDER Warranty Started on 7/19/01

  24. Request for exclusions Issues over the rut depth specified Contractor requested exclusion of all ruts. Average (rut depth 8-9mm) Issue with unknown stability of mix Existing pavement Crack issue 30% of project was warranted Designers and Engineers need better understanding of specifications Exclusions shown on the plans Contractor and Engineer need more time to review project All projects need Pre and Post Evaluations Specs needed modification rut depth specified exclusion from cracks 100% of project benefited from warranty No claims performing well. Lessons LearnedContractor Vs. Dept. of TransportationSBD- Route 40 [RAC High Binder (Type-O)] Contractors State

  25. ONE-YEAR PILOT PROJECT PROGRAM • SOME FINDINGS: • PERFORMING WELL - NO WARRANTY FAILURES • NO CLAIMS • COST INCREASE (4% TO 14%) • CONTRACTORS TOOK EXTRA EFFORT • NO PROBLEMS ENCOUNTERED WITH THE SPECIFICATION

  26. ONE-YEAR PILOT PROJECT PROGRAM • SOME FINDINGS: • PERFORMING WELL - NO WARRANTY FAILURES • NO CLAIMS • COST INCREDASE (4% TO 14%) • CONTRACTORS TOOK EXTRA EFFORT • NO PROBLEMS ENCOUNTERED WITH THE SPECIFICATION

  27. Contract Items for Preparatory Work • Need good up-front engineering • Good strategies • Good estimates • Need pay items • Dig outs • Grinding • Etc. • Excluded work and work limits must be clear

  28. Performance is a Department Goal • Warranties require performance specifications • Means and methods specifications and warranties aren’t compatible • “As directed by the Engineer” is out • “As needed to guarantee the work” is in

  29. Quality Control is the Contractor’s Business • Cultural shift for contractor and State • Contractors decide the outcome • Chip seal spread rate • Atmospheric temperature during placement • Smoothness • Etc. • How much control is needed to meet minimum quality for warranty period?

  30. Work Completion/Warranty Switchover • Need process to switch from completed work to warranty period • Performance bond to warranty bond • Construction to monitoring • Similar to plant establishment period?

  31. Performance vs. Warranty Bonds • AB 1745 Public contracts: bonds. • Would require a state department to provide the contractor the option of either submitting a separate warranty bond to the department upon completion of the work or permitting the department to retain the contractor's performance and payment bonds until the end of the warranty period.

  32. Who decides if warranty repair work is needed? • Resident Engineer (RE) • REs continue to be the State’s Representative during warranty period. • REs move on to other contracts • Maintenance Supervisor? • Drive the roadway every day • Vested interest • Knowledgeable

  33. FIVE-YEAR WARRANTY PILOT PROGRAM • REHABILITAITON PROJECTS (10-YR DESIGN LIFE) • MINIMUM 15% ASPHALT RUBBER • THE SPEC IS OPEN TO ALL PROCESSES • FIVE PROJECTS • ONE PROJECT CONSTRUCTED IN D-7 ON ROUTE 150 • FOUR PROJECTS WILL BE CONSTRUCTED IN 03/04 • D2 - Route 395 • D6 - Route 33 • D10 - Route 140 • D11 - Route 75

  34. How to get quality product by low bid? • Improve up front engineering • Performance specifications • Warranty • Contractor’s prepare and follow quality control plan

  35. ALTERNATIVE ACCEPTANCE DISTRICT 11 CAP-M PROJECT • Built in 1999 on ROUTE 8 - IMPERIAL COUNTY • CAP-M (5-YEAR DESIGN LIFE) • ASPHALT RUBBER HOT MIX - GAP GRADED (RAC-G) • IT WAS NOT BID AS A WARRANTY PROJECT • CONTRACTOR FAILED COMPACTION • 2 1/2 WARRANTY PERIOD • CONTRACTOR CHOSE TO WARRANTY PAVEMENT INSTEAD OF PAYING PENALTY • IT WILL BE OUT OF WARRANTY IN OCT 2003 • performing Well

  36. SUMMARY • LIMITED EXPERIENCE WITH WARRANTIES • LIMITED NUMBER OF PROJECTS • REHAB AND MAINTENANCE PROJECTS • EXPERIMENTAL AND INNOVATIVE PROJECTS • TO ENSURE AGAINST FAILURE WHEN SPECS ARE NOT MET DURING CONSTRUCTION • TO TRY A NEW REPAIR STRATEGY • TWO PILOT PROGRAMS: • ONE-YEAR WARANTY ON PREVENTIVE MAINTENANCE PROJECTS • 5-YEAR WARRANY ON RAC-G REHABILITATION PROJECTS

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