Construction Contracting - Under Secretary of Defense for ...

Construction Contracting - Under Secretary of Defense for ...

Construction Acquisition 15 Feb 07 3e 1 Overview Customers A-E background Info Construction background Info WPAFB construction projects Environmental program 88 CONS/PK Construction Flight

2 Construction Education Section training On the job training DAU Courses Offered: CON 243 Focuses on the unique aspects of contracting for professional A&E services. Specifically acquisition planning source selection, proposal analysis, contract award, and work/contract management. CON 244 Focuses on the unique aspects of construction contracting. Topics include project planning, funding, environmental concerns, reviews of government estimates, overhead calculations, Construction Specification Institute format, contractability reviews, labor laws, bonds, partnering,

design/build, turn-key, pre-construction meetings, liquidated damages, etc. 88 CONS/PK Construction Flight 3 Our Customers (And how we support them) Engineering (88ABW/CE) Civil Environmental Management

A-E ID/IQ Contracts Stand-alone construction contracts SABER A&E ID/IQ Contracts Other ID/IQ contracts (single trades) (88ABW/CEV) Remedial Action ID/IQ Roofing Asbestos removal Paving

88 CONS/PK Construction Flight 4 Project Funding Primary is Operation & Maintenance (O&M) Funds 3400 Minor Construction - limited to $750,000 Sustainment, Maintenance and Repair (SRM) Over $5,000,000 must be funded by MILCON 3300 Awarded by U.S. Army Corps of Engineers 88 CONS/PK Construction Flight 5

Construction Process Overview D e s i g n - t o - B u i ld C o n s t ru c t io n P r o c e s s O v e r v ie w A C o n s t r u c t i o n p r o je c t i s b o r n R e c ie v e A -E t a s k B id s e t o f D r a w in g s a n d S p e c s F is c a l Y e a r C o n s t r u c tio n p ro g r a m a p p r o v e d ( A u t h o r it y t o a d v e r t is e ) P r o je c t h it s th e s t r e e t F u ll a n d O p e n c o m p e t it io n (IF B o r R F P ) F A R P a rt 1 4 o r 1 5 8 (a )

( C o m p e t it iv e o r S o le s o u r c e ) N e g o t ia t e w it h C o n t ra c t o rs A d m in is te r t h e C o n t r a c t to e n s u r e p r o je c t f in is h e s o n t im e A d m in is te r t h e C o n t r a c t to e n s u r e p r o je c t f in is h e s o n t im e 88 CONS/PK Construction Flight 6 Architect-Engineer services 7

A-E services defined Professional services of an architectural or engineering nature that are required to be performed or approved by a person licensed, registered or certified to provide those services. Professional services of an architectural or engineering nature performed by contract that are associated with research, planning, development, design, construction, alteration, or repair of real property. Those other professional services of an architectural or engineering nature that members of those professions may logically or justifiably perform, including studies, surveying and mapping, tests, evaluation, comprehensive planning, conceptual designs, plans and specifications, soils engineering, drawing reviews, etc. 88 CONS/PK Construction Flight

8 Governing Guidance FAR and DFARS Subpart 36.6 10 U.S.C. 2807, Architectural and Engineering Services and Construction Design 10 U.S.C. 9540, Architectural and Engineering Services 40 U.S.C. 541-544, Brooks Act AFPAM 32-1005, Working in the Engineering Flight 88 CONS/PK Construction Flight 9 A-E Contracting

Special Aspects Does not follow procedures in FAR 13, 14 or 15 A-E selection process in FAR 36.6 Potential contractors submit qualifications Evaluation board lists firms in order of preference Negotiations conducted with most qualified. 88 CONS/PK Construction Flight 10 A-E Contracting Special Aspects

A-E clauses 52.236-22, Design Within Funding Limitations 52.236-23, Responsibility of the ArchitectEngineer Contractor 52.236-24, Work Oversight in ArchitectEngineer Contracts 52.236-25, Requirements for Registration of Designers 88 CONS/PK Construction Flight 11 A-E Contracting Special Aspects Title I - Design Services Production of designs and investigative work needed to execute a construction project.

Title II - Supervision and Inspection Services Associated with project under construction Six Percent Statutory Fee Limitation (Brooks Act) Fee attributable to the producing and delivering designs, plans, drawings, and specifications cannot exceed the statutory limitation of six percent of the estimated construction costs 88 CONS/PK Construction Flight 12 A-E Task Procedures Statement of Work provides scope of project

Negotiation based on disciplines and hours Site work by contractor Submittals at 10%, 35%, 65%, 95%, 100% Design reviews after each submittal 88 CONS/PK Construction Flight 13 Construction 14 Construction Defined Construction, alteration, or repair (including dredging, excavating, and painting) of buildings, structures, or other real

property For purposes of this definition, the terms buildings, structures, or other real property include but are not limited to improvements of all types, such as bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, and so on Does not include the manufacture, production, furnishing, construction, alteration, repair, processing, or assembling of vessels, aircraft, or other kinds of personal property 88 CONS/PK Construction Flight 15 Governing Guidance FAR and DFARS Part 36, AFFARS Informational Guidance (IG 5336.9201), includes

Simplified Acquisition of Base Engineer Requirements (SABER) 10 U.S.C. 2802, Military Construction Projects 10 U.S.C. 2805, Unspecified Minor Construction AFI 32-1032, Planning and Programming of Real Property Maintenance AFI 32-9001, Acquisition of Real Property AFI 32-1023, Design & Construction Standards 88 CONS/PK Construction Flight 16 Acquisition Methods Performance-Price Tradeoff RFP FAR Part 15 Preferred method

Sealed Bidding IFB FAR Part 14 Used when project is not complicated or time is limited Can only consider price public bid opening 88 CONS/PK Construction Flight 17 Construction Contracting Special Aspects Disclosure of the Magnitude of construction projects - FAR Part 36.204 Liquidated Damages - FAR Part 36.205

Distribution of advance notices and solicitations - FAR Part 36.211 88 CONS/PK Construction Flight 18 Construction Contracting Special Aspects (Cont) Governed by Davis-Bacon Act Contracts > $2,000 for construction, alteration, or repair (including painting and decorating) . . .no laborer or mechanic employed directly upon the site of the work shall receive less than the prevailing wage rates as determined by the secretary of Labor. -FAR 22.403-1 Wage Determinations -- FAR 22.404-1 and 2 Building construction (admin, hospitals, etc.) Residential construction (single family houses, apts. No more than 4

stories) Heavy and Highway (streets, parking lots, sewer lines, etc.) 88 CONS/PK Construction Flight 19 Construction Contracting Special Aspects (Cont) provided paragraph (c) ofpayment this subsection, bidany TheExcept

Milleras Act requiresinperformance and bonds for guarantees be required whenever a performance or a constructionshall contract exceeding $100,000, except thatbond this requirement

performance and payment bond is required. -- FAR 28-101-1 (a) may be waived: The chief of the contracting office may waive the requirement if it is By the C.O. for work to be performed in a foreign country. determined that a bid guarantee is not in the best interest of the As other wisefor authorized the Miller -Act or other law.(c)

-- FAR 28-102Government a specificbyacquisition. FAR 28-1011(a), (Clause FAR 52.228-15) 88 CONS/PK Construction Flight 20 Construction Contracting Special Aspects (Cont) Bread and butter construction clauses 52.236-2, Differing Site Conditions 52.236-3, Site Investigation and Conditions Affecting the Work 52.236-5, Material and Workmanship

52.236-6, Superintendence by the Contractor 52.236-9, Protection of Existing Vegetation, Structures, Equipment, Utilities, and Improvements 52.236-11, Use and Possession Prior to Completion 52.246-12, Inspection of Construction 88 CONS/PK Construction Flight 21 Simplified Acquisition of Base Engineer

Requirements (SABER) Overview SABER contracts are fixed-priced indefinitedelivery/indefinite-quantity (ID/IQ) with provisions for economic price adjustments SABER contracts include a collection of detailed task specifications that encompass most types of real property maintenance, repair, and construction work Governed by Air Force Contracting Construction Guide, June 2006 - (IG 5336.9201) includes SABER guidance 88 CONS/PK Construction Flight 22 SABER Purpose Expedites contract award of civil engineering requirements

by reducing civil engineer design work and acquisition lead time Delivery orders for individual projects can be estimated, proposed, negotiated, and issued in 3 to 4 weeks Projects priced according to commercial pricing tools called the Unit Price Guides (e.g., WinEstimator Inc, Timberline Software, and R.S. Means) SABER best suited for non-complex, minor construction and maintenance and repair projects that require minimum design Coefficients are factors multiplied against standard unit prices in the UPG to calculate Task Order prices. 88 CONS/PK Construction Flight 23

SABER (cont) Limitations on SABER projects SABER does not replace traditional construction programs It is not appropriate for large, complex projects that require extensive design effort or for predominately single skill/material projects for which competitively bid contracts or single trade IDIQ contracts would be more cost effective Architect-Engineer (A-E) services 88 CONS/PK Construction Flight 24 Environmental Program

25 Architect-Engineer (A-E) Environmental Contracts Provide contracting vehicles for services such as: Prepare Permit Applications Developing & Maintaining Action Plans Support the AF in incorporating pollution prevention into base programs such as reducing or eliminating the use, release, and disposal of hazardous materials, ozone depleting chemicals, municipal solid wastes and air emissions. Prepare Impact Statements Records of Decision Environmental Assessments Special Studies (Historic Preservation, Fish & Wildlife, Outdoor

Recreation, aviation and noise analysis These contracts are primarily for studies and design, not for cleanup type activities 88 CONS/PK Construction Flight 26 Remedial Action Contracts (Clean-Up) Provide contracting vehicles for services/construction such as: On - site source control: Thermal destruction Soil washing and soil vapor extraction Surface water controls (grading, re-vegetation, dikes, channels, sedimentation basins, levees, etc.) Air pollution controls (gas collection/control systems, dust suppressant, wind screens, etc.)

Spill Response/Remediation (after the immediate spill is contained) Operation and Maintenance of projects facilities These contracts are primarily for cleanup not studies and design 88 CONS/PK Construction Flight 27 The End 28

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