Contractor / Engineer Conference 2010 Dispute Resolution Process Dispute Resolution Process

Dispute Resolution Claims avoidance Claims avoidance –PCEE - RFIs, Weekly Meetings, Issue ID, etc. - RFIs, Weekly Meetings, Issue ID, etc. Claims Process for unresolved changes Claims Process for unresolved changes –Subsection

Current Claims Process Subsection , Claim Process for Unresolved Changes Subsection , Claim Process for Unresolved Changes –Three Primary Levels 1.Region Review * 2.Bureau of Project Development Review * 3.Panel Review * * Alternative Dispute Resolution allowed by mutual agreement

Direction Dispute Avoidance – PCEE tools Dispute Avoidance – PCEE tools -Improve communication -Establish accountability -Promote early participation by decision makers Provide opportunity to have claim heard by third party Provide opportunity to have claim heard by third party Third party opinion – informal review Third party opinion – informal review Streamline the process – make DRBs easier to engage Streamline the process – make DRBs easier to engage

Future Claims Process Three Review Level are maintained Three Review Level are maintained Region Level – Advisory Opinion Available Region Level – Advisory Opinion Available Bureau Level – DRB available when mutually agreed upon Bureau Level – DRB available when mutually agreed upon Review Panel – DRB available when requested by either party Review Panel – DRB available when requested by either party

Advisory Opinions Provided by party knowledgeable in contract administration and construction disputes. Provided by party knowledgeable in contract administration and construction disputes. Advisory only Advisory only Generally cursory Generally cursory Acceptance or rejection not required Acceptance or rejection not required Generally address entitlement not quantum. Generally address entitlement not quantum. Not bound to advisory opinion in later hearings. Not bound to advisory opinion in later hearings.

Dispute Review Board Typically a 3-member board consisting of neutral parties selected by both the owner and contractor Typically a 3-member board consisting of neutral parties selected by both the owner and contractor Present findings and recommendation regarding entitlement and when requested quantum. Present findings and recommendation regarding entitlement and when requested quantum. Recommendation is non-binding – State law Recommendation is non-binding – State law Requires “good faith” consideration to be effective. Requires “good faith” consideration to be effective.

Dispute Review Board Expedite DRB reviews Expedite DRB reviews –Standing list of neutrals –Standardize procedures –DRB coordinated by Construction Oversight Engineers

DRB selection DRB selection Roster of Standing DRB members assembled by both the department and industry Roster of Standing DRB members assembled by both the department and industry 3-Member DRBs – Jointly established 3-Member DRBs – Jointly established Not restricted to Standing Roster Not restricted to Standing Roster Standing Roster used for informal advisory opinion. Standing Roster used for informal advisory opinion.

What is the status of DRB process? DRB Procedures – Draft completed – Available in March on WisDOT Website DRB Procedures – Draft completed – Available in March on WisDOT Website Three Party Agreement – Draft completed -Available in March on WisDOT Website Three Party Agreement – Draft completed -Available in March on WisDOT Website Establish Statewide Standing Roster of Prequalified DRB members Establish Statewide Standing Roster of Prequalified DRB members

Status - continued Develop Construction and Materials Manual Guidance Develop Construction and Materials Manual Guidance Standard Specification changes – minor changes Standard Specification changes – minor changes

Can DRBs be used now? Yes ADR is available per current specifications ADR is available per current specifications Contact the Regional Oversight Engineer to engage the process.

Contractor / Engineer Conference 2010 Core Principles Core Principles

Core Principles Document Why? Why? –Clarify Depts. fundamental approach to project delivery –Develop “critical inspection” guidelines –Set Roles and Responsibilities »Contractor »Department

Prime Contractor Responsible for: providing sufficient resources providing sufficient resources completing all the work per contract specs completing all the work per contract specs providing sufficient oversight to insure all work, including subcontractors, meet contract requirements providing sufficient oversight to insure all work, including subcontractors, meet contract requirements –Can not rely on the Dept to act as coordinators the performance of their subcontractors/suppliers the performance of their subcontractors/suppliers

Department Responsible for: insuring that Federal/State requirements are met insuring that Federal/State requirements are met interpreting contract specs interpreting contract specs verifying that the work meets contract specs verifying that the work meets contract specs accepting the work and materials on a timely basis accepting the work and materials on a timely basis authorizing payments authorizing payments protecting the Public Interest & bidding process protecting the Public Interest & bidding process Consultants represent the Dept. in same manner Consultants represent the Dept. in same manner

ASPs RFIs - Request for Information RFIs - Request for Information –Resolve disputes/ avoid claims Materials – Point of contact Materials – Point of contact –Legislative Audit Bureau