# Presentation: 257279

## Conventional Facilities Method of Accomplishment

**Marty Fallier**
**Director for Conventional Facilities**
**NSLS-II PAC Review**
**November 20, 2007**

## Outline

- Conventional Facilities (CF) Issues
- CF Organization
- Design Phase Construction Management (CM)
- Construction Phase CM
- Construction Procurement Strategy
- Construction Market Conditions

## CF Issues

- NSLS II  CF Scope is larger than any work at BNL since 1980.
- Is the CF Organization the right size and capability to carry out the scope of work?
- What construction management approach is best?
- What contracting approach is best?
- CF construction costs are still volatile and subject to dynamic market influences
- Are we adequately addressing this risk?
- Are there other strategies that should be employed?

## Conventional Facilities Organization

**Conventional Facilities**
- Director
- M. Fallier

- NSLS II Design A/E
- HDR
- A. Soueid[C]

- Asst. Director
-  CF Design Management
-  O. Dyling

- Commissioning
- Contractor
- TBD [C]

- PE Trade Shop
- Support – Various [M]

- Subconsultants
- Vita-tech
- Colin -Gordon
- VJ Assoc.[C]

- Construction Phase Agent CM
-  Project Mgr – TBD [C]

- CF Electrical Engineer

- CF Civil/Structural Engineer

- Facility Dynamic Modeling & Analysis
- N. Simos
- [M]

- CF Mechanical Engineer

- [M] – Matrixed
- [C] - Contracted

- Asst. Director
- CF Construction Management
- S. Sawch

- Construction Analysts [C]

- Project Schedulers
- [C]

- Field Inspectors
- [C]

- Cost Estimators
- [C]

- Construction Safety Specialists [C]

- Design Phase CM
- LiRo/Gilbane
- N. Heyman [C]

- Chilled Water Fac.
- Design A/E Giffels
- B. Harrison [C]

## Conventional Facilities Staffing 

**Conventional Facilities Staffing **

**This represents up to 12 FTE’s in the field overseeing construction during the active construction period**

## Design Phase CM Services

- Contract awarded to joint venture of local and national CM (LiRo/Gilbane) to help reduce risk. Services include:
- Independent estimate
- Currently about 8% higher than A/E estimate
- Independent schedule development
- Baseline schedule can be shortened if funding profile is advanced
- Value engineering support
- Facilitated T-I VE review & completed T-I VE report
- Constructability & design review - underway
- Market analysis – will discuss in later slide
- Contractor outreach & pre-procurement support -  begins next

##  Construction Phase Management

- NSLS II CF Directors responsible for performance
- Construction Phase Management is an integrated team approach
- CM provides field inspection and coordination services
- Oversight of contractor performance of contract (Owners Agent)
- QA, Construction safety, testing, schedule, RFI’s, CO’s, Invoice review
- A/E will provide home office support
- Engineer of record, shop dwg review, ECN’s, periodic inspection, RFI’s
- PE Engineering and Construction Services and Trade crafts
- Utility interconnect support, shutdowns, start-ups, permits
- Commissioning contractor  - checkout and startup of systems
- Document test results & performance, training & documentation for operating staff, info for LEED certification
- All working together under the leadership and direction of CF

**Notes:**
And 

##  CM Construction Phase Responsibilities 

- Assist BNL in bid and contract award process
- Provide CM staff during construction
- Field inspection, coordination & oversight
- Home office advisory support for CM processes
- Implement oversight of safety program
- Monitor schedule compliance
- Implement quality control program
- Cost controls and reporting
- Process monthly payment requisitions
- Assist in project closeout and commissioning

## Construction Packages

- Construction Contracts – All fixed price, best value award
- Construction Packages	_Direct 07 $_	_ __**At-year $**_
- Site Preparation 			0.9 M		**1.0 M**
- Ring Building* (main contract) 		161.9 M	**	****191.4 M**
- Chilled Water Plant Expansion 		7.8 M 		**9.1 M**
- Chilled Water Piping to site 		0.9 M 		**1.1 M**
- Electrical Substation Upgrade 		_2.0 M_		_**2.4 M**_
- 		Total		$173.5 M		**$ 205.0 M**
***Ring Bldg Contract to single GC with very clear, easily separable interface ties to the other packages.  Firms to be pre-qualified by July 2008**

## Ring Bldg Contracting Concerns

- Single large, lump sum GC package makes responsibility for performance & coordination clear
- It does limit number of local LI contractors able to perform contract of this size
- Its size should attract larger NYC and national firms
- This will be verified during contractor outreach process
- Amount of work in NYC is large and getting larger so firms may not be interested in coming to LI for this
- Most competitive pricing likely to come from local firm with capability to do work of this size
- May need to break up package to assure this
- Introduces coordination/responsibility risks
- DOE safety requirements may discourage competitive bids

**Notes:**
And 

## CF Contractor Safety Requirements

- All contractors selected based on safety performance as a major evaluation factor
- Must submit HASP for BNL approval incorporating ISM principles
- 10CFR851 health/monitoring program required
- Drug-free workplace program required
- Full time on-site safety representative(s)
- Flowdown of safety requirements to subcontractors
- Mandatory daily work planning & tool box safety meetings
- Safety incentive program

## Market & Construction Cost Volatility

- Material commodity price spikes continue to be a concern
- 4 year construction duration exposes contractors to large risk
- NYC construction is booming - $20B in lower Manhattan
- Puts pressure on labor supply and costs
- LI construction market is moderate – can support NSLS II
- Strategy –
- Structure packages so LI contractors can bid
- Consider commodity price escalation clauses to reduce contractor risk and encourage competitive pool of bidders
- Update market analysis frequently to adjust strategy as needed
- Use contractor outreach process to gauge efficacy of strategy

**Notes:**
And