1. Interstate 270 Innovative Congestion Management Progressive Design-Build Contract

2. Presentation Overview Background Contract Overview

3. Background

4. Project Corridor – Approximately 32.5 miles I-70 (Frederick, MD) I-495 (Metro Washington, DC) Watkins Mill Road Future Interchange

5. Average daily traffic approaching 240 K in many segments One of the most congested corridors in MD and the Washington, DC region with strong directional peaks Over-saturated conditions, extended peak periods greatly impacts reliability Strong economic development and housing activity projected along the corridor I-270 Corridor Facts

6. I-270 Typical Section

7. I-270 Corridor Facts HOV Hours of Operations: Southbound I-370 to I-495 (Capital Beltway) 6:00 am to 9:00 am Northbound I-495 to MD 121 (Clarksburg Road) 3:30 pm to 6:30 pm HOV implementation utilized FHWA-CMAQ funds

8. 2013 AM Peak Hour: 7 locations in top 30 most congested freeway segments 2013 PM Peak Hour: 6 locations in top 30 most congested freeway segments I-270 Corridor Facts Strong directional peaks, slow speeds and extended queues 2013 AM Peak2013 PM Peak

9. Reliability of the corridor is a huge challenge all round the year I-270 Corridor Facts

10. Contract Overview

11. No identified solutions or constraints on proposed solutions to any concept Engage expertise of design and construction industries to provide innovative solutions to address goal of moving the most traffic the fastest Relevant expertise elsewhere in the world Best Value Selection Fixed Price Contract Project Vision

12. Environmental evaluation cannot begin until after selection nor can schedule be developed until scope of improvements is known Unpredictable timeframe to begin and end construction Adequate data collection needed for price proposal preparation will be costly and time consuming. Lack of data leads to increased risk and reduced cost efficiency for improvements Time consuming process to define various project requirements Right-of-Way impacts (if any) would be unknown at time of procurement potentially leading to extended construction completion Major Risks with Vision

13. Preliminary Design CM/GC Procurement Detailed/Final Design Construction Preliminary Design Design-Build Procurement Detailed/Final Design Construction Progressive Design-Build Construction Manager/ General Contractor (CM/GC) (Construction Management at Risk (CMAR)) Design-Build Alternative Delivery Options Design-Build Procurement Preliminary Design Detailed/Final Design Construction

14. Better Management of Risks than Traditional Design-Build – Environmental Analysis (Noise, Air, Historical, etc.) – Permitting – Geotechnical and Utility Risks – Right-of-Way – Construction Schedule – Risk Assignment/Risk Sharing Pool Advantages of Progressive Design-Build

15. Procurement Overview Competitive Sealed Proposals (COMAR 21.05.03) Most Advantageous to the State – Best Value Selection Two –Step Procurement Process Step 1 - Request for Qualifications Step 2 - Request for Proposals

16. Lead Design Firm Experience, Qualifications, and Past Performance Lead Construction Firm Experience, Qualifications, and Past Performance Contract Understanding and Design-Build Approach Statement of Qualifications Evaluation Factors

17. Request for Proposals One on One Meetings Proposed Technical Concepts (PTCs) Technical Proposal Price Proposal Stipends for unsuccessful Proposers or PTCs Administration wishes to utilize

18. CONFIDENTIAL Proposers may Ask Questions related to the RFP (Proprietary or Clarifications) Identify Concerns/Conflicts in RFP Discuss solutions to address contract goals Present Conceptual Proposed Technical Concepts Agenda is set by Proposer +/- 1 week prior One on One Meetings

19. Description Location Analysis of how it advances the contract goals Potential Impacts Other projects Administration Risk Design-Builder Risk Cost/Schedule Benefits Miscellaneous Proposed Technical Concepts (PTC)

20. Are CONFIDENTIAL Each PTC submitted will be reviewed to assess the implementation potential of the technical aspects of the concept and its compatibility with the contract goals and requirements. The Administration will not approve PTCs but will return comments on the PTC on its implementation potential and its compatibility with the contract goals. Proposed Technical Concepts (PTC)

21. Separate Evaluation Teams for a specific technical factor or factors Separate Evaluation for Price Proposal Evaluation Committee recommends Most Advantageous – Trade Off Analysis Selection Committee approves Most Advantageous Adjectival Rating Process – Exceptional, Good, Acceptable, Unacceptable (+ or –) may be assigned using technical judgment and discretion in considering the strengths, weakness, and deficiencies of each proposal Relative Importance of factors – Critical (3x), Significant (2x), Important Relative Importance of Technical and Price Proposal – Technical is SUBSTANTIALLY more important than price Evaluation & Selection

22. Design-Builder solutions to address and advance goals: Mobility - Maximize vehicle throughput, minimize travel times, and provide more predictable commuter trip - CRITICAL Safety – Provide for a safer I-270 corridor - IMPORTANT Operability/Maintainability – Minimize SHA O&M - IMPORTANT Well Managed Contract – Communications, coordination and risk management, and collaborative partnership – IMPORTANT Technical Proposal

23. Design and Preconstruction Fee (All costs for Design-Builder to design projects to level to provide GMP) Construction Management Fee (Project Principal, Home Office, Safety, and Quality Control Support Staff, and Profit) Construction Services Fee (Fixed Price minus sum of Design and Preconstruction Fee and Construction Management Fee) Price Proposal will be evaluated for reasonableness. Any proposal that is unbalanced will be considered unreasonable and will not be considered for the Competitive Range Price Proposal

24. Fixed-Price Contract – Initial Notice to Proceed (NTP) - Design/Preconstruction Services – NTP 2 - Construction Design-Builder becomes part of project team to develop design solutions/concept Once design is advanced to significant level, a Guaranteed Maximum Price (GMP) would be developed and agreed upon for construction Multiple GMPs are expected for standalone construction projects that meet three main criteria: 1) connect logical termini and be of sufficient length 2) have independent utility 3) not restrict consideration of alternatives for other reasonably foreseeable transportation improvements. After Selection

25. Guaranteed Maximum Price Construction Services Costs include any: Utility Relocation costs (whether performed by Design- Builder or others) Right-of-way Acquisition costs (Acquisition by Administration) Guaranteed Maximum Price for construction Disadvantaged Business Enterprises (DBE) Goal set for each GMP Agree to GMP (comparison to Independent Cost Estimator (ICE)) or “bid” to open market if cannot reach agreement

26. Progressive Design-Build Future Use similar approach to address other major congested corridors in Maryland Evaluate for consideration on other projects (DBB, DB, CM/GC) Ultimately, an additional “Tool” in the “Tool Box” for project delivery

27. QUESTIONS? CONTACT Jeffrey T. Folden, P.E. Chief, Innovative Contracting Division Maryland DOT – State Highway Administration 410-545-8814 jfolden1@sha.state.md.us