2008-07-14 Regular Meeting, Public Hearing and Workshop Meeting of the La Porte City Council

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instead of having to spend a considerable amount of time, effOlt and money re-designing and/or modifying completed construction documents, OR, the Owner decides to spend more money or obtain higher financial support for the project. To manage the budget before design is done, construction crews are mobilized, CM is spending tens of thousands per week just having onsite management, major items are purchased, etc, etc,...is an extremely more effcient use of everyone's time, effOlt, Architect / Designer's costs, and the CM's General Conditions costs, AND delivering to the Owner a design within his budget. Maintaining positive working relationships among the Owner, Architect / Designer and Constructor. Maximizes the awareness among Owner, Architect I Designer and CM of all parties needs, expectations in order to perform their part of the project in the most efficient manner. Construction l\tlanager at Risk, Additional Information The CM at-risk delivery method is an alternative procurement process similar to long-standing private sector construction contracting. It allows the client to choose the CM before the design stage is complete. The CM is chosen based on qualifications, and then the entire operation is centralized under a single contract. The architect and CM work together in order to cultivate and assay the design. Then, the CM gives the client a guaranteed maximum price, and coordinates all subcontract work. Cost savings can be realized in a number of ways. By hiring the CM during the design phase, early coordination is possible, which can increase the speed of the project and strengthen coordination between the AE and the CM. Since the client hires the construction manager based on qualifications, it ensures a construction manager with a strong allegiance to the client, because their business relies on references and repeat work. Finally, transparency is enhanced, because all costs and fees are in the open, which diminishes adversarial relationships between components working on the project, while at the same time eliminating bid shopping. Due to the fact that legislation is changing on a constant basis, we have compiled information on the states which have construction manager at-risk laws, links to those laws, and additional resources related to construction management at-risk. Texas Construction management at-risk is expressly authorized for school districts. It is also authorized for use in other public projects for the construction, rehabilitation, alteration, and repairs of facilities. Procedures for this process are duly ascribed by the appropriate government agent. Statute 9 44.038 Statute 9 51. 782 Statute 9 2166.2532 Statute 9 271.118 Statute 9 60.462 Page 3 of 4