PROCEDURESPROCEDURES for for

PLANNING, DESIGN andPLANNING, DESIGN andCONSTRUCTIONCONSTRUCTION

of of PUBLIC SCHOOLS PUBLIC SCHOOLS

PROJECTSPROJECTS

Capital Planning ProcessCapital Planning Process

• 1995 FOUNDATION LAW (Accountability)1995 FOUNDATION LAW (Accountability)– Public School Fund (PSF)Public School Fund (PSF)– Long-Range Capital Plan (5 year)Long-Range Capital Plan (5 year)

• Address the facility, educational technology Address the facility, educational technology

and equipment needsand equipment needs• 3 Major Drivers = 3 Major Drivers =

• Student DemographicsStudent Demographics• Facility AssessmentFacility Assessment• Educational ProgramsEducational Programs

Facility Assessment Facility Assessment (FAE)(FAE)

• AcreageAcreage• CapacityCapacity• AgeAge• Square FeetSquare Feet• Type ConstructionType Construction• Roof TypeRoof Type• Heat SourceHeat Source• ACAC• Number of StoriesNumber of Stories

• Fire AlarmFire Alarm• Sewage SystemSewage System• PortablesPortables• Types of SpacesTypes of Spaces• Number of SpacesNumber of Spaces• Components Components

AssessmentAssessment

Timetable Timetable (in months)(in months)

• Selection of Professional TeamSelection of Professional Team• Development of Program & BudgetDevelopment of Program & Budget• Selection & Approval of SiteSelection & Approval of Site• Development & Approval of Schematic PlansDevelopment & Approval of Schematic Plans• Development & Approval of Preliminary PlansDevelopment & Approval of Preliminary Plans• Development & Approval of Final Plans Development & Approval of Final Plans • Advertising, Bidding, and Award of ContractsAdvertising, Bidding, and Award of Contracts• Construction to OccupancyConstruction to Occupancy

Primary Types of FundsPrimary Types of Funds

• STATESTATE– PSCAPSCA– PSF LeveragePSF Leverage

• LOCALLOCAL– PSFPSF– Local RevenuesLocal Revenues– FederalFederal

Primary Project Delivery Primary Project Delivery MethodsMethods

– Traditional (design, bid, build)Traditional (design, bid, build)• Lowest responsive and responsible bidder awarded Lowest responsive and responsible bidder awarded

work work • Architect acts as agent for ownerArchitect acts as agent for owner

• Pros:Pros:– Easy to manageEasy to manage– Roles of the parties are clearly definedRoles of the parties are clearly defined– All design decisions made before construction beginsAll design decisions made before construction begins– One contractor (Usually)One contractor (Usually)– Check and balance of architect and contractorCheck and balance of architect and contractor

• Cons:Cons:– Construction can’t start until design completeConstruction can’t start until design complete– If bids are over budget, more time and money lostIf bids are over budget, more time and money lost– Little input from contractors and subcontractorsLittle input from contractors and subcontractors

ProjectProject Delivery Methods Delivery Methods

(continued(continued))• Construction Management (CM)Construction Management (CM)

– Selection process similar to A/E processSelection process similar to A/E process– General Contractor eliminated and replaced General Contractor eliminated and replaced

with CMwith CM– CM bids construction to trade contractorsCM bids construction to trade contractors

• Pros:Pros:– Owner has CM on his sideOwner has CM on his side– Encourages local participationEncourages local participation

• Cons:Cons:– Multiple contracts can make for administrative Multiple contracts can make for administrative

difficultydifficulty– Delay, etc., by one contractor can damage Delay, etc., by one contractor can damage

others (owner risk)others (owner risk)– Less liability by CM Less liability by CM

Working with the Alabama Building Working with the Alabama Building CommissionCommission

Project TeamProject Team

Roles and Responsibilities of Roles and Responsibilities of the Ownerthe Owner

• Awarding Authority• RFPs and A/E selection process• Negotiating agreements• Determination of low bidder and

award of contract• Funding• Program / requirements

• Perform work in responsible manner– Design to Budget– Design to code– Inspections for compliance with design

• Familiarity with Building Commission’s procedures

• Make recommendations to Owner• Administer construction contract

Roles and Responsibilities of the Roles and Responsibilities of the ArchitectArchitect

Roles and Responsibilities of Roles and Responsibilities of ContractorContractor

• Familiarity with Building Commission’s procedures

• Bidding• Construction in accordance with plans• Communication

– Delays– Differing site conditions– Other construction issues

• Regulatory Agency– Building codes

• Compliance with building codes• Compliance with ADA• Compliance with Energy Code

– Compliance with State Law– Compliance with Manual of Procedures

• Bidding• General Conditions – termination, change

orders, delays, dispute resolution• Standard Articles – extra services,

billing/invoicing for services

Role of the Building Role of the Building CommissionCommission

PurposePurpose

• Building Commission created in 1945• Code of Alabama 1975, Title 41-9-141• Authorized and directed to adopt,

promulgate, and enforce a State Building Code and to keep the code updated and consistent with acceptable architectural and engineering practices

Purpose of Building Purpose of Building CommissionCommission

• Enforces minimum building code for state buildings, schoolhouses, hotels and motels and motion picture theaters (Title 41-9-162)

• Responsible for reviewing plans and specifications for compliance with handicapped accessibility standards prescribed by the State Fire Marshal for public buildings and facilities (Title 21-4-3 and 21-4-6)

Purpose of Building Purpose of Building CommissionCommission

• Enforces minimum energy conservation code for new and renovated state buildings (Title 41-9-171)

Purpose of Building Purpose of Building CommissionCommission

Powers and Duties of Building Powers and Duties of Building CommissionCommission

• Supervises, administers and inspects construction and improvement projects for state agencies and departments, Postsecondary Education, PSCA, and similar authorities

• Provides periodic inspections during construction of state funded projects including locally funded K-12 public school projects

Powers and Duties of Building Powers and Duties of Building CommissionCommission

Building Commission’sBuilding Commission’sManual of ProceduresManual of Procedures

• Code requirements• Plan review and submittal requirements• Design Professional Services• Fee Schedule• Forms and Contract Documents• Bidding and Award• Contract Administration• Inspections• Special Procedures for PSCA and other

authorities

Current CodesCurrent Codes• 2009 International Building Code• 2009 International Plumbing Code • 2009 International Mechanical Code• 2009 International Fuel Gas Code • 2009 International Fire Code • 2011 National Electrical Code  • ANSI/ASHRAE/IESNA Standard 90.1-2007

Energy Standard for Buildings Except Low-Rise Residential

• 2010 Americans with Disability Act Accessibility Guidelines

Building Commission Role by Project Type

Type of Project

Funding

Source

Approvals Required

ReferencePlan

Review

Contract

ReviewInspectio

ns

State Agency State√ √ √

Appendix A-1

County or City School PSCA√ √ √

Appendix A-2

County or City School Local√   √

Appendix A-4

Private School Private√    

Appendix A-6

Postsecondary PSCA√ √ √

Appendix A-2

Postsecondary Local√ √ √

Appendix A-3

Higher Education PSCA√ √ √

Appendix A-2

Higher Education Local√    

Appendix A-5

Hotels/Motels Private√    

Appendix A-6

Motion Picture Theaters Private√    

Appendix A-6

Local Government Buildings LocalADA Only    

Appendix A-7

Pre-Assembled/Portable Buildings for State

State√    

Appendix A-8

Lease/Lease-Purchased by State State√    

Appendix A-9

• Architect Agreement Approval Process (PSCA)– State agencies, Postsecondary, and PSCA and

other authorities• Plan Approval Process

– Final plans approved before bids received• Construction Contract Review Process

(PSCA)– State agencies, Postsecondary, and PSCA and

other authorities• Inspections Process

– Required inspections– Notification to Building Commission

Building Commission Building Commission ProceduresProcedures

Architectural/Engineering Architectural/Engineering ServicesServices

Procurement of A/E Procurement of A/E ServicesServices

• Public Works Law – Code of Alabama 1975, Title 39, Section 39-2-2 (d)– Exempt from competitive bidding– Qualifications-based selection process– “…shall not engage in actual construction,

repair, renovation, or maintenance of the public works with their own forces, by contract, subcontract, purchase order, lease or otherwise.”

Qualification and Experience Qualification and Experience FactorsFactors

• Per Title 41-16-72 (3)– Specialized expertise demonstrated by the

proposed project approach– Resources available to perform the work in

timely manner– Past performance including quality of work,

ability to meet schedules, cost control, and contract administration

– Availability and familiarity with project location

– Proposed project management techniques– Ability and proven history in handling special

project contracts

BUILDING GROUPS OF THE SCHEDULE

Group I: Industrial buildings without special facilities, parking structures and repetitive garages, simple loft type structures, warehouses exclusive of automated equipment, and other similar utilitarian type buildings.Group II: Armories, apartments, cold storage facilities, dormitories, exhibition halls, hangers, manufacturing/industrial plants, office buildings without tenant improvements, printing plants, public markets, and service garages.Group III: College classroom facilities, convention facilities, correctional and detention facilities, extended care facilities, gymnasiums (simple, prefabricated-pre-engineered, minimum types shall be classified under Group II), hospitals, institutional dining halls, laboratories, libraries, medical schools, medical office facilities and clinics, mental institutions, office buildings with tenant improvements, parks, playground and recreational facilities, police stations, public health centers, research facilities, schools (elementary and secondary), stadiums, and welfare buildings. Also, central utilities plants, water supply and distribution plants, sewage treatment and underground systems, electrical sub-stations and primary and secondary distribution systems, roads, bridges and major site improvements when performed as independent projects. When any or all of these types of improvements are incidental to an overall plan of architectural development they will be grouped with the basic architectural service of the overall project unless stated otherwise in the agreement.Group IV: Aquariums, auditoriums, art galleries, college buildings with special facilities, communications buildings, special schools, theaters and similar facilities.Group V: Residences and specialized decorative buildings unless otherwise stated in the agreement. Custom designed furnishings shall be categorized in Group V except when considered incidental to the basic architectural service for a building.

SCHEDULE OF BASIC FEE RATES

COST OF THE WORK

FEE IN PERCENTAGE

BUILDING GROUP

I II III IV V

Up to $100,000 8.0 9.0 10.0 11.0 12.0

100,001 to 200,000 7.0 8.0 9.0 10.0 11.0

200,001 to 300,000 6.0 7.0 8.0 9.0 10.0

300,001 to 400,000 5.9 6.9 7.9 8.9 9.9

400,001 to 500,000 5.8 6.8 7.8 8.8 9.8

500,001 to 600,000 5.7 6.7 7.7 8.7 9.7

600,001 to 700,000 5.6 6.6 7.6 8.6 9.6

700,001 to 800,000 5.5 6.5 7.5 8.5 9.5

800,001 to 900,000 5.4 6.4 7.4 8.4 9.4

900,001 to 1,000,000 5.3 6.3 7.3 8.3 9.3

1,000,001 to 1,250,000 5.2 6.2 7.2 8.2 9.2

1,250,001 to 1,500,000 5.1 6.1 7.1 8.1 9.1

1,500,001 to 1,750,000 5.0 6.0 7.0 8.0 9.0

1,750,001 to 2,000,000 4.9 5.9 6.9 7.9 8.9

2,000,001 to 2,500,000 4.8 5.8 6.8 7.8 8.8

2,500,001 to 3,000,000 4.7 5.7 6.7 7.7 8.7

3,000,001 to 3,500,000 4.6 5.6 6.6 7.6 8.6

3,500,001 to 4,000,000 4.5 5.5 6.5 7.5 8.5

4,000,001 to 5,000,000 4.4 5.4 6.4 7.4 8.4

Negotiating the Negotiating the AgreementAgreement

• Adjustments to the Basic Fee– Increase for major renovation up to

25% of basic fee•Does not include reroofing

– Substantial Duplication•Reduction of one-half of Basic Fee for

Services A-C for second building (building cost only)

•No reduction to Services D & E•No reduction to Basic Fee for sitework

Negotiating the Negotiating the AgreementAgreement

• Additional Services– Consulting services such as LEED Certification or

geotechnical services or additional services outside of basic scope such as programming or prequalification

• Extra Services– Services required by events beyond the Architect’s

control (Article 5)– Include Schedule of Hourly Rates

• Reimbursable Expenses– Definition of allowable/non-allowable reimbursable

expenses (Article 6)– Agreements must include Not to Exceed amount and

applicable rates

Determining A/E FeesDetermining A/E Fees

Basic Fee (Budget x Fee Percentage)+

Additional Services (Consultant’s Fee plus markup)

+NTE for Reimbursable Expenses

= Total Design Fee

Adjustments to any of these items requires an amendment to the agreement.

Mandatory Plan Review

• Plans and specifications must be approved before receiving bids

• Review process• Code of Alabama 1975, Title 41, Section

41-9-163b) It shall be unlawful

for any state building or construction or any public schoolhouse which does not conform to the requirements of the building code to be erected or acquired.

Public Works LawPublic Works Law

Definition of Public Definition of Public WorksWorks

• Code of Alabama, Title 39, Section 39-2-1 (5) – PUBLIC WORKS. The construction, repair,

renovation, or maintenance of public buildings, structures, sewers, waterworks, roads, bridges, docks, underpasses, and viaducts as well as any other improvement to be constructed, repaired, renovated, or maintained on public property and to be paid, in whole or in part, with public funds or with financing to be retired with public funds in the form of lease payments or otherwise.

Public Works Law Public Works Law RequirementsRequirements

• Projects over $50K must be publicly Projects over $50K must be publicly advertised (Title 39, Section 39-2-2)advertised (Title 39, Section 39-2-2)– Once a week for three consecutive Once a week for three consecutive

weeks in newspaper of general weeks in newspaper of general circulation in the countycirculation in the county

– If over $500K, once in three (additional) If over $500K, once in three (additional) newspapers of statewide circulationnewspapers of statewide circulation

• Sealed bids taken, opened and read Sealed bids taken, opened and read at the place, time and date in at the place, time and date in advertisementadvertisement

Public Works Law Public Works Law RequirementsRequirements

• Exceptions to requirement to publicly Exceptions to requirement to publicly advertiseadvertise– Projects under $50KProjects under $50K– Professional services such as architectural, Professional services such as architectural,

engineering, project management, etc. engineering, project management, etc. (Title 41)(Title 41)• Must not engage in performance of any of the Must not engage in performance of any of the

work through their own or subcontracted forceswork through their own or subcontracted forces

– Projects declared an emergency affecting Projects declared an emergency affecting health, safety or conveniencehealth, safety or convenience

– Homeland Security projectsHomeland Security projects

Bidding and Award of Bidding and Award of ContractContract

• Advertising and Receiving Bids– Title 39-2-2 (a)

• Award of the Contract– Lowest Responsible and Responsive Bidder

• “A responsible bidder is one who, among other qualities determined necessary for performance, is competent, experienced and financially able to perform the contract.”

• “A responsive bidder is one who submits a bid that complies with the terms and conditions of the invitation for bids. Minor irregularities in the bid shall not defeat responsiveness.”

Award of Public Works Award of Public Works ProjectsProjects

• Award to lowest responsible and Award to lowest responsible and responsive bidderresponsive bidder

• Use of alternates in determining low Use of alternates in determining low bidderbidder

• Mistakes in bidMistakes in bid• Negotiation of awardNegotiation of award

Current IssuesCurrent Issues

• Contracting Options• Emergency Contracts• Prompt Payment Act • Current Construction Environment• Dispute Resolution

Construction OptionsConstruction Options• Maintenance projects• Self-performed work• Work by others• Multiple contracts

Construction OptionsConstruction Options

• Design-Build• Notice to Proceed with Design• Upon approval of BC, Notice to Proceed

with Construction

• Working without a design professional• Requirements for design professional under

Title 34, Chapter 2• Very few exceptions• Project management

Emergency Contracts

Emergency Construction Contracts• Emergency Declaration Letter• Design professional services• Not required to be publicly advertised• Must have approved plans• Must execute contract

Prompt Payment ActPrompt Payment Act

• 2010 revisions to Title 8• Payments under private contracts• Time period for processing payment• Penalty for late payment• Retainage

• 2011 revisions to Title 39• Payments under Public Works projects• Time period for processing payments• Penalty for late payment• Retainage

Current Construction Current Construction EnvironmentEnvironment

•Failure to pay subcontractors•Default•Bankruptcy•Termination

OwnerOwner’’s Responsibilitiess Responsibilities

•Failure to pay subcontractors•Title 39, Section 39-1-1 (c), Awarding

Authority must promptly furnish a copy of the bond and contract

•Default•ABC Form C-8, Article 27, A.(1)(a)

•Bankruptcy•ABC Form C-8, Article 27, A.(1)(b)

OwnerOwner’’s Responsibilitiess Responsibilities

•Termination for Cause – Contracts Under $50K•ABC Form C-8, Article 27, A.(2)

• Notice to Cure• Notice of Termination

• Upon effective date of termination, Owner may take possession of site

• Finish the work by whatever reasonable method

• Final resolution if amount required to complete the project exceeds the contract balance

OwnerOwner’’s Responsibilitiess Responsibilities

•Termination for Cause – Contracts Over $50K•ABC Form C-8, Article 27, A.(3)

• Notice to Cure – typically issued by the Architect

• Notice of Termination – must be issued by the Owner

• Demand on the Performance Bond – must be issued by the Owner

• Surety Claims• Takeover Agreements

Dispute ResolutionDispute Resolution

• ABC Form C-8, General Conditions, Article 24

• Request for Dispute Resolution• Signed by both parties• Dispute hearing process• Required for PSCA

Dispute Resolution

PSCA FundingPSCA Funding

PSCA Project InitiationPSCA Project Initiation

• Superintendent sends letter to School Superintendent sends letter to School Architect outlining scope and funds Architect outlining scope and funds requiredrequired

• School Architect assigns PSCA Number School Architect assigns PSCA Number and notifies system and ABCand notifies system and ABC

• ABC administers project (by law)ABC administers project (by law)• Funds can be allocated, redirected, Funds can be allocated, redirected,

etc., only by written communication etc., only by written communication from local superintefrom local superintendentndent

Allowable ExpensesAllowable Expenses• Capitol Improvements ExpendituresCapitol Improvements Expenditures

– Professional ServicesProfessional Services• Architect and/or EngineerArchitect and/or Engineer• SurveyingSurveying• Construction TestingConstruction Testing

– Construction ContractConstruction Contract• ContractorContractor• Construction MaterialsConstruction Materials

– Fixtures, Furnishings and Fixtures, Furnishings and Equipment (FFE)Equipment (FFE)– Purchase of propertyPurchase of property– Other miscellaneous expensesOther miscellaneous expenses

Ineligible ExpensesIneligible Expenses

• Non-capital expendituresNon-capital expenditures – SuppliesSupplies– Athletic equipment (uniforms, pads, balls, etc.)Athletic equipment (uniforms, pads, balls, etc.)– Ink cartridges and other dispensable itemsInk cartridges and other dispensable items– Personal furnishings such as art, plants, or Personal furnishings such as art, plants, or

decorative itemsdecorative items– Teaching materials (textbooks, software, etc.)Teaching materials (textbooks, software, etc.)

• Reimbursement of local paymentsReimbursement of local payments• Expenditures not related to the approved Expenditures not related to the approved

project scopeproject scope

Timeline for Expenditure Timeline for Expenditure of PSCA fundsof PSCA funds

• PSCA funds do not expirePSCA funds do not expire• Two year goal for obligating and Two year goal for obligating and

expending PSCA fundsexpending PSCA funds• Uncommitted PSCA funds can be Uncommitted PSCA funds can be

transferred at any time by letter fromtransferred at any time by letter from

Superintendent to State School ArchitectSuperintendent to State School Architect• Committed PSCA funds must be Committed PSCA funds must be

de-obligated (by contract modification)de-obligated (by contract modification)

prior to transferprior to transfer

PSCA ContractsPSCA Contracts

• PSCA Contract Requirements– PSCA as Co-Owner– Severable Payments– Signature of PSCA– Commitment of funds– PSCA version of contract documents

Building Commission’s RoleBuilding Commission’s Rolefor PSCA Projectsfor PSCA Projects

• Administers PSCA-funded contractsAdministers PSCA-funded contracts• Reviews plans for compliance with State Reviews plans for compliance with State

Building CodeBuilding Code• Reviews contract documents including Reviews contract documents including

Owner-Architect Agreements, Owner-Architect Agreements, construction contracts, change orders, construction contracts, change orders, and amendmentsand amendments

• Reviews and approves PSCA Reviews and approves PSCA expendituresexpenditures

• Inspects projects during constructionInspects projects during construction

PSCA vs. LOCALPSCA vs. LOCAL• Locally funded project procedures basically same Locally funded project procedures basically same

as PSCA, except:as PSCA, except:

– Four (4) originals of AE Agreement sent to School ArchitectFour (4) originals of AE Agreement sent to School Architect

– Five (5) originals of Construction Contract sent to School Five (5) originals of Construction Contract sent to School

ArchitectArchitect

– Notice to Proceed issued by Local BoardNotice to Proceed issued by Local Board

– Five (5) originals of Change Orders sent to School ArchitectFive (5) originals of Change Orders sent to School Architect

– All disbursement of funds by local board (School Architect All disbursement of funds by local board (School Architect

approval not required)approval not required)

– Sales Tax Procedures Sales Tax Procedures

Questions?Questions?• State Department of Education’s website State Department of Education’s website

is is www.sde.alabama.gov

• Alabama Building Commission’s website Alabama Building Commission’s website is is www.bc.alabama.gov

• Contact us:Contact us: Perry Taylor at (334) 242-9731Perry Taylor at (334) 242-9731

oror Katherine Lynn at (334) 242-4082Katherine Lynn at (334) 242-4082