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Building Design for Animals
Article by Paul Gladysz, AIA, NCARB, CSI
Ready to Build: Project Delivery
Choosing the right project delivery method is one of the most critical decisions you'll make when planning a new construction project. The right choice can save you time, money, and stress.
Building a veterinary hospital isn't as simple as getting a quote and signing a contract, and while Design-Bid-Build is a long-standing practice that is still a valid option for a project, there are other delivery systems out there to consider.
What exactly is project delivery? It's the entire process of bringing a construction project to life—from obtaining permits and site preparation to the final touches and building turnover. While every project ends with a new (or renovated) building, the path to that building and the services you receive along the way can vary dramatically depending on the delivery type you choose.
Today's most popular contract arrangements all have their pros and cons. Consider each carefully before making your selection on how you want your project delivered.
Design-Bid-Build
With this delivery system an architect and engineering team is hired, plans are prepared by this team, and then those plans are given to several builders (or opened to all interested parties) and quotes, or bids, are provided. A contractor is selected based off of these bids and the construction process begins.
Pros:
- Receiving multiple bids gives a competitive price range and several options in contractors to select from.
Cons:
- Controlling the budget is difficult. Designers can utilize experience as a reference point to help with budgeting, but they cannot predict the actual cost.
- Since the builder isn't involved in the design process, they may not fully understand the project's design rationale. This lack of insight can lead to uninformed decisions during construction and cause costly issues down the line.
- The bidding builder may lack experience with veterinary hospitals. Opening a project up to bidding puts an emphasis on numbers and not experience. A price may be good, but a project may end up costly in mistakes and issues if the selected contractor doesn't have the experience necessary to execute such a specialized project as a veterinary hospital.
Construction Management
Construction management comes in two forms; Construction Manager as Agent (CMA) and Construction Manager at Risk (CMR) .
Construction Manager as Agent
A CMA works as your agent, consulting on the cost ramifications of design choices and constructability reviews, facilitating permits and approvals, soliciting bids from subcontractors, advising on bids, and managing the construction site and schedule. The fee you pay is negotiated upfront and can be based on a lump sum, the time expended, or a percentage of the work performed.
Construction Manager at Risk
A construction manager at risk is similar to CMA, but will prepare a detailed cost report and guarantee the total project to come in at or below the estimate — hence, "at risk"
Pros:
- With each of these CM types the Construction Manager, ideally, joins the team in the early stages of the project. Their early involvement leads to a better understanding of the design and project and is key to avoiding issues later in the project’s development.
- Better budget management. By having the construction manager involved early, a better handle can be kept on the budget.
Cons:
- CMA: Costs are passed through the CMA without additional markup, so you may not know the final project cost until all subcontractors are under contract.
- CMR: Fees charged under this structure are typically higher than with a CMA, but you get more certainty about the final cost.
Design-Build
Design-build is a delivery wherein you hire a single entity charged with both the project's design and execution. The entity can be several firms in partnership or a single firm offering both design and construction in-house. With this delivery you get a single contract from initial planning through occupancy, with your designer and your contractor involved in the entire process from beginning to end.
Pros:
- Like with a construction manager, control of the budget is much better. For design-builders who specialize in a single project type, the final costs can be established much earlier in the process so that financing can be completed.
- The project schedule can be shortened by weeks since subcontractors and suppliers can be arranged concurrently with the completion of the engineering plans.
- You know your team from the beginning, and will work with them through to the end, ensuring that the original design intent is delivered.
Cons:
- Because a single entity manages the entire project, there's less competitive pricing upfront. However, this potential for increased costs is often balanced by a superior final product and a shorter project timeline, as design and construction teams work together seamlessly from day one.
Each project has a unique set of conditions, so no one delivery scheme is always best. Take the time to speak with knowledgeable professionals before deciding which one is right for you.
Further reading:
The information for this article comes from Paul's column published in Today's Veterinary Business. Read it here: Team Building.
For more about hiring a builder read another article in our 'Ready to Build' series: Selecting a Contractor.
