1. A GUIDE TO SELECTING THE BEST PROJECT DELIVERY METHOD FOR AIRPORTS Ali Touran, Ph.D., P.E., F. ASCE, Northeastern University

2. This presentation is based on research conducted for the ACRP- funded project “A01-05: A Guidebook for Airport Capital Project Delivery.” This presentation is based on research conducted for the ACRP- funded project “A01-05: A Guidebook for Airport Capital Project Delivery.” Background

3. Project Team Ali Touran, Northeastern Univ., P.I. Ali Touran, Northeastern Univ., P.I. Douglas D. Gransberg, Univ. of Oklahoma Douglas D. Gransberg, Univ. of Oklahoma Keith R. Molenaar, Univ. of Colorado Keith R. Molenaar, Univ. of Colorado Payam Bakhshi, Northeastern Univ. Payam Bakhshi, Northeastern Univ. Kamran Ghavamifar, Northeastern Univ. Kamran Ghavamifar, Northeastern Univ.

4.  Objective  Project Delivery Methods Interviews Interviews Pertinent Issues Pertinent Issues Selection System Selection System System validation System validation  EXAMPLE APPLICATION Outline

5. Develop a Guidebook for airports to help them make the project delivery method decision in a logical and systematic way. Objective

6. “the comprehensive process of assigning the contractual responsibilities for designing and constructing a project. A delivery method identifies the primary parties taking contractual responsibility for the performance of the work.” AGC’s Project Delivery Systems for Construction Project Delivery Method (PDM) is

7. Delivery Methods Considered Design-Bid-Build (DBB) Design-Bid-Build (DBB) Construction Manager at Risk (CMR) or CM/General Contractor (CM/GC) Construction Manager at Risk (CMR) or CM/General Contractor (CM/GC) Design-Build (DB) Design-Build (DB)

8. Interviewed Airports

9. Outline Objective Objective Project Delivery Methods Project Delivery Methods Interviews Interviews ► Pertinent issues –Selection System –System validation

10. Analysis & Critique of Pertinent Issues

11. Framework for the PDM Selection System The framework for the Project Delivery Method Selection System consists of the following two tiers: Tier 1 – Analytical Approach; Tier 1 – Analytical Approach; Tier 2 – Weighted Matrix Approach. Tier 2 – Weighted Matrix Approach.

12. Project Delivery Decision Report Weighted Criteria Decision Matrix Advantages/ Disadvantages Selection Framework Tier 2 Selection Delivery Method Considered Project Goals Project Description Tier 1 Selection

13. Tier 1: Analytical Approach

14. Advantages/ Disadvantages of the PDMs

16. Tier 2: Weighted Matrix Approach

17. Validation Testing the PDM selection system internally; Testing the PDM selection system internally; Contact the interviewees for feedback; Contact the interviewees for feedback; Panel members’ evaluation of the system; Panel members’ evaluation of the system; Applying the selection system to a real-life project. Applying the selection system to a real-life project.

18. Project Example Tier 1. Analytical Approach Tier 1. Analytical Approach Tier 2. Weighted Matrix Approach Tier 2. Weighted Matrix Approach

19. Project Example – Tier 1 Step 1. Create Project Description Step 1. Create Project Description Step 2. Define Project Goals Step 2. Define Project Goals Step 3. Review Go/No-Go Decision Points Step 3. Review Go/No-Go Decision Points Step 4. Review Advantages & Disadvantages Step 4. Review Advantages & Disadvantages Step 5. Choose Most Appropriate PDM Step 5. Choose Most Appropriate PDM Step 6. Document Results Step 6. Document Results

20. Project Example – Tier 1 Step 1. Create Project Description Project Name: Logan International Airport Central Parking Garage Renovation and Expansion Owner: Massachusetts Port Authority (Massport) Location: Logan International Airport, East Boston, MA Major Features of Work: Add 3 new levels to the garage. New stair towers, new façade; Add 3 new levels to the garage. New stair towers, new façade; Install pin (mini) piles to support new structural elements; Install pin (mini) piles to support new structural elements; Install three new vehicular bridges to existing west garage; Install three new vehicular bridges to existing west garage; Associated utility relocations. Associated utility relocations. Estimated Budget: $217,000,000 Estimated Project Delivery Period: 3 years Source(s) of Project Funding: Parking revenues (bonds secured by parking revenues)

21. Project Example – Tier 1 Step 1. Create Project Description Major Challenges: Maintaining traffic and pedestrian flow;Maintaining traffic and pedestrian flow; Safety – contractor and general public;Safety – contractor and general public; Construction phasing to maintain adequate temporary parking.Construction phasing to maintain adequate temporary parking.

22. Project Example – Tier 1 Step 2. Define Project Goals 1.Effectively renovate existing structure; 2.Provide more parking spaces; 3.Improve pedestrian and traffic flow in garage; 4.Deliver project on budget; 5.Deliver project on schedule; 6.Safe project.

23. Project Example – Tier 1 Step 3. Review Go/No-Go Decision Points

24. Project Level Issues 1. Project size 2. Schedule Compression 3. Schedule growth control 4. Early cost precision 5. Cost control 6. Risk management / allocation 7. Life cycle cost 8. Maintainability Agency Level Issues 9.Airport experience / staff capability 10.Airport control of project 11.Security 12.Control impact on passengers and operations 13.Third party stakeholder input to design and construction Public Policy/Regulatory Issues 14.Competition and local talent 15.DBE/small business impact 16.Legal and statutory constraints 17.Sustainability and LEED certification Other Issues 18.Adversarial Relationships 19.Construction Claims Project Example – Tier 1 Step 4. Review Project Delivery Method Advantages and Disadvantages – 19 Issues

25. Project Example – Tier 1 Step 4. Review PDM Advantages and Disadvantages Advantages and Disadvantages

26. Project Example – Tier 1 Step 4. Review PDM Advantages and Disadvantages Advantages and Disadvantages

27. Step 5. Choose the Most Appropriate PDM Project Example – Tier 1

28. Step 5. Choose the Most Appropriate PDM Project Example – Tier 1 In light of Project Goals (from Step 2) and reviewing PDM advantages/disadvantages summary table: It is readily apparent that CMR is a more appropriate project delivery method than DBB. CMR is rated better than DBB for 14 of the 19 issues. Construction Manager at Risk

29. Step 6. Document Results Project Example – Tier 1 Develop written report describing the thought processes and results for steps 1 through 5.  Although the Tier 1 analysis resulted in a clear selection of CMR as the most appropriate PDM, the same example project is used in the Tier 2 analysis, in order to provide an example to follow.

30. Project Example – Tier 2 Step 1. Define Selection Factors Step 1. Define Selection Factors Step 2. Weight Selection Factors Step 2. Weight Selection Factors Step 3. Score Project Delivery Methods Step 3. Score Project Delivery Methods Step 4. Choose Most Appropriate PDM Step 4. Choose Most Appropriate PDM Step 5. Document Results Step 5. Document Results

31. Project Example – Tier 2 Step 1 & 2. Select & Weight Selection Factors

32. Project Example – Tier 2 Step 3. Score Project Delivery Methods

33. Project Example – Tier 2 Step 4. Choose Most Appropriate PDM Construction Manager at Risk Highest Weighted Score Highest Weighted Score

34. Project Example – Tier 2 Step 5. Document Results Project Delivery Decision Report Outline: Safety of contractors & general publicSafety of contractors & general public Executive SummaryExecutive Summary Project DescriptionProject Description Project GoalsProject Goals Delivery Methods ConsideredDelivery Methods Considered Selection FactorsSelection Factors Weight Selection FactorsWeight Selection Factors Score Project Delivery MethodsScore Project Delivery Methods Delivery Method DecisionDelivery Method Decision AppendicesAppendices

35. Questions ?