1. City of Ottawa, NCHCA & CEO 2017 Education Series
Bridging the Gap Between Owners, Consultants, and Contractors
The Road to Construction
“A Consultant’s Perspective”
February 24, 2017
By: Edson Donnelly

2. The Road to Construction
Andy has described how a project is created, moved to ISD and through to construction.
This presentation will focus on how a consultant is selected, engages and carries out the assignment.
The circle gets a little bigger, the team grows…

3. RFSO | RFQ | RFP How does the City do this?
There are a number of ways:
RFSO – Request for Standing Offer
RFQ/RFP – Request for Qualifications followed by a Request for Proposals
RFP – Direct to Request for Proposals
The City uses the MERX System to publish these opportunities

4. RFSO
On a 3-year rotation (typically) the City seeks to qualify firms to complete assignments under the Standing Offer
Firms must first pass the Technical ‘gate’ before their financial offer is considered. A firm must achieve a pass grade of 70% to advance.
Financial offer is then considered.
The value of services provided under a single call-up cannot exceed $250,000 (this typically includes design and services during construction and applicable taxes).
Equates to projects with an approximate maximum construction value of $1.5m to $2.0 m.
Various mandated discounts apply to assignments depending on their value (5% for Assignments over $100k, and 10% for Assignments over $150k.)

5. Categories Under the RFSO include:
Category
Number
Category Name 1
Planning, Feasibility, Pre-Engineering, Environmental Studies and Assessments 2
Design and Construction Services – Roads, Sewers, Watermains etc. 3
Design and Construction Services – Water Distribution/Treatment and Waste Water Collection 4
Structural Services – Bridges, Culverts, retaining Walls, Transit Stations etc. 5
Geotechnical Investigations and/or Contaminated Site Evaluation 6
Environmental Services 7
Asset Management Services 8
Claim and Risk Assessment/Schedule, Monitoring and Control

6. RFQ RFP RFQ/RFP Process Open call for a submission of Qualifications
It is a 2 Step Process - in each case, the City provides a detailed Terms of Reference.
RFQ
Open call for a submission of Qualifications
City reviews and creates a short list of 3-4 firms to move onto the RFP Stage
No financial information is offered at this point
RFP
80% Technical – Service Proposal (typically)
20% Financial – A minimum score of 70% of your service proposal must be reached in order for a firm’s financial to be considered

7. RFQ/RFP Process
City identifies the preferred proponent and award is recommended subject to the successful proponent resolving any issues with their submission and offering a 4% minimum reduction in their level of effort/cost.
The 4% reduction strategy was adopted by Council in 2008.
A purchase order is issued.

8. Some Comments:
In certain circumstances the City will move straight to the RFP phase, which saves time – approximately 8 – 10 weeks.
However, the effort required by the consulting industry is increased. It’s now anywhere from 8 – 12 firms submitting for the full RFP (versus only 3-4 short-listed for the RFP when the RFQ Step is included).

9. Typical Effort Expended During RFQ/RFP Award Period 25 Weeks Duration
Peak = 81 Hours per Week
Typical Effort Expended During RFQ/RFP Award Period
25 Weeks Duration
Peak Effort 81 hours per week

10. Our Design Efforts Begin
Lots of Questions/Unknowns
A certain degree of anxiety

11. As general comment, as a result of internal reviews/audits, the City have developed a series of measures to improve Project Delivery. These include:
Emphasis on schedule
Risk Analysis
Structured Capital Cost Estimating (Class A, B, C & D)
Deliverables based payments during Design Stage (Milestone Billing)
VPM
Client (usually Assessment Management Branch [AMB]) sign off on Preliminary Design Report
ISD Program Manager/Manager Preliminary Design review;
Permission to proceed to Detail Design

12. Design Efforts are typically broken down into:
Preliminary Design and related tasks
Detail Design
Tender Preparation
Input during Tender and Award Period
Preparing for and attending the Pre-construction Meeting

13. Preliminary Design Project Initiation/Notice
Data Collection and Review
Base Plan Preparation
Field Investigations (utility locates, geotechnical and environmental, surveys, private property investigations etc.)
Engage private utility companies
Preliminary Design Development
Input from a Technical Advisory Committee (TAC) (Stakeholder Awareness and feedback)
Public Open House/Consult with Ward Councillor

14. Preliminary Design Preliminary Design Reporting, Key Features:
Schedule Update (including looking at anticipated construction duration requirements)
Class Capital Cost Estimate (Class B)
Updated Risk Matrix
Preliminary Design Circulation:
Circulated widely throughout the City (including private utility companies and external agencies)

15. Capital Cost Estimate Classification System
Type
Description
Contingency
Level of
Accuracy B
Design
Level
An estimate based on design completed to a preliminary to detailed level, after site investigations and studies have been completed
10% to 20%
+/-15%

16. Capital Cost Estimate Components
Cost Component
Description
Estimate Class B
Construction
Construction contracts, traffic management and related services during construction
Design Level Estimate
Based on design completed to preliminary to detailed level
Engineering and Architectural Services
Planning, design, construction administration, surveying, studies
Actual cost incurred plus 10% to 20% of construction estimate for design and construction management
Utilities
Relocation of existing utilities
Utility company estimate
Property
Land purchase, leases, easements, legal and appraisal services
REPDO estimate
City Internal Costs
Project management, traffic management, water and sewer services
Actual cost incurred plus 5% to 7% of construction estimate for design and construction management
Miscellaneous
Permits, public art, communications
Actual cost incurred plus 3% to 5% of construction estimate
Contingency
10% to 20%

17. Typical Effort Expended During Preliminary Design Phase
Peak = 165 Hours per Week
Typical Effort Expended During Preliminary Design Phase
40 weeks duration
Peak Effort 165 hours per week

18. Detail Design Begins after Client (AMB) and Managers sign-off
Review Preliminary Design Comments
Develop Design to Detail Level
Secure Approvals
Incorporate sub-consultant input into design and tender
Development/Refine Traffic Management Strategy and Operational Constraints (D-005 & D-008)
Prepare Materials Management Plan
Prepare Class ‘A’ Estimate
Prepare Tender
Work with City on preparing the tender ‘Package’ for publication by the OCA
Preparing for construction (hand-off to construction team and pre-construction meeting)

19. Peak Effort 145 hours per week
Peak = 145 Hours per Week
Typical Effort Expended During Detail Design, Tender Preparation and Tender/Award Period
25 Weeks Duration
Peak Effort 145 hours per week

20. Timelines in Aggregate: 91 Weeks Duration

21. The Project Life Cycle (Design Development)
(Project Initiation/Fact Finding)
(RFQ/RFP)
(Tender & Commencement of
Construction
The Project Life Cycle

24. We now move to Construction
Most unknowns resolved
The circle gets bigger again
New team members