1. Scope of Responsibilities

At the outset of the project, SCG will establish and document the scope of responsibilities of the construction manager with respect to the other members of the project team, in consultation with the Owner and its consultants. At the same time we will also be meeting within our own organization to make sure that all of the members of the SCG project team in-house are fully cognizant of both the program and contractual scope of the work.

We will identify the responsibility of each team member and develop and document the procedures for all key project activities, including reporting, approval and communication procedures throughout the project. ^ top

2. Design Review

Design review is an activity that will proceed throughout the entire planning, design and construction process. SCG will provide ongoing advice consultation regarding the design impact on schedules, budget, efficiency and quality. We provide reviews during:
• Schematic Design
• Design Development
• Final Contract Documents
The design documents will be analyzed for conformance with two sets of criteria—stated project goals and constructability.

a. Project Goal Review

During the pre-construction phase, SCG will review materials prepared by the architect and the engineer to establish and confirm that they meet the project goals with respect to:
• Specific program requirements
• Program quality requirements
• Project construction schedule
• Project budget
• Capital vs. operating cost priorities

b. Constructability Review

The constructability review will focus on the following elements:
• Required probes, surveys and tests
• Materials and systems to be used
• Construction methodology and site constraints
• Identification of potentiality critical and significant cost elements
• Feasibility of alternatives
• Availability of materials and equipment, especially long lead items. ^ top

3. Value Engineering ( VE )

SCG is committed to the concept that every element in the project should provide maximum value in return for its cost. Beginning with the design review process, and continuing into construction as required, SCG will work with the design team to identify opportunities for reducing project cost and increasing project value without compromising the program or the design intent. SCG’s project team reviews the cost and benefit of various materials and methods proposed against the original program’s cost, schedule and goals; and identifies alternatives and evaluates them as to which best satisfy the project needs.

In addition to the ongoing design review process, which will focus on value as one of the key objectives, the SCG team will participate fully in any formal value engineering meetings that might be held. ^ top

4. Cost Estimating

a. Organization

SCG’s staff of experienced estimators specializes in providing accurate estimates of construction costs from the program phase through detailed design and construction. Our estimating procedures are designed to ensure the project will be successfully completed within the Owner’s budget and that all construction related expenditures will be thoroughly reviewed and documented.

A critical factor in the success of a project is a full and common understanding of all the costs. In order to achieve this goal, as well as to best control costs, it is imperative that a structured process be established, agreed to and followed.

Typically, SCG, the Owner, the architect and the engineer will establish a base-line control estimate for the project. SCG will verify the existing conceptual budget and monitor the design to insure that it is consistent with the control estimate. As the project develops, any differences from the control estimate must be analyzed, reconciled and agreed to by all parties in the design team.

Although general monitoring will be performed by SCG on an ongoing basis, formal reviews will be performed at certain milestone design submittals agreed to and defined by the Owner, the architect and the engineer. Normally, these submittals would be at the end of each key phase:
• Schematic Design
• Design Development
• Final Contract Documents
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5. Project Budget

Immediately upon joining the project team, SCG will establish the validity of the project budget. Once all parties have agreed to the budget, SCG will monitor and ensure compliance with this budget using its estimating staff.

The budget will be accompanied by a narrative report, which will clarify any assumptions on which it is based and recommend a series of voluntary alternatives, which may reduce a project component, cost or shorten the project duration.

The following outline describes the steps taken in developing the budget:

• Team Meeting:
The Owner, the architect, the engineer and SCG review the project scope:
- The architect describes the project from preliminary drawings.
- The engineer describes the HVAC, plumbing, sprinklers and electrical systems.
- The Owner describes other project requirements.
- SCG identifies additional scope information needed.
- Various alternates will be identified for separate pricing.

• SCG prepares a preliminary budget, which describes and quantifies the scope of work, and makes allowances for undetermined scope items.

• We review with the team, in detail, the scope of the work and the budget that we anticipate. Adjustments are made to the scope as discussed by the project team.

• Value engineering is employed to see if there are any areas of cost savings, which could be explored through alternate methods or products to those currently in the project scope.

• If there are cost restraints, the team works together to modify the levels of finishes, quantities, scope, etc. of the project until the construction budget and final scope of work are acceptable to the Owner.

The budget will be updated at various times as drawings are developed. The budget form does not change as the project progresses, but the back up will become more detailed.

SCG has the ability to format budget information any way our client requires. Our systems will allow for breakdown by construction trade, by floor or by functional area. ^ top

6. Scheduling

Project scheduling is not a static one-time event, but a discipline, which is initiated at the inception of the project and continues all the way through until project completion. Furthermore, we know that comprehensive planning, systematic scheduling, and careful monitoring of all elements of the work are essential to satisfying the Owner’s time and budget requirements. SCG takes pride in its reputation for delivering quality projects on time.

Once the particular work areas to be included are identified, SCG will develop a master schedule that addresses the complete project. The schedule will incorporate critical delivery and installation dates for any owner furnished equipment. We will also develop schedules for each of the project components as additional details are determined. We will be able to update schedules and to actively monitor the progress of each phase of the project based on this initial scheduling effort.

We can issue reports that monitor actual costs against budgeted costs and schedules. This allows us to readily identify issues affecting cost and timing as they develop, thereby reducing the potential for cost overruns and delays.

The project schedule becomes a document that accurately reflects the interaction of all elements of the construction process, and all members of the project team. ^ top

7. Construction Procurement Strategy

As part of the pre-construction phase, SCG will evaluate construction market factors that could impact the construction of the project, such as: • Manpower availability for required trades or specialties
• Availability of local, minority and female trades-people and subcontractors
• Availability of qualified subcontractors
• Competitive conditions in the marketplace

Based on this analysis and within any guidelines established by the Owner, or any legal requirements, SCG will develop a contracting plan. ^ top

8. Long Lead Items

In the preparation of the project schedule, SCG will identify all long lead materials and equipment purchases, as well as any critical activities that may have to be phased or fast tracked during construction. If the project team agrees with the early procurement, SCG will coordinate the activities to assure the development of the necessary contract documents to comply with the schedule.

Since many long lead items are identified and purchased during pre-construction, SCG’s strategy is based upon sustaining this momentum. Whether materials are purchased directly from a manufacturer or through a subcontractor, we track the progress of these items from approval through fabrication to delivery and final installation by using our “Material Status Report.” This report reflects dates related to the aforementioned process as well as methods of delivery to the job site. As storage space is at a premium at a project site, we will closely manage this tracking process to ensure that we have controlled deliveries of the materials as they are required. All deliveries will be carefully coordinated. ^ top

9. General Conditions Work

The procurement of General Condition items by SCG may reduce the project cost and overall project duration due to the efficiency of these items being purchased under a single responsibility. The treatment of these resources in this manner will provide for better coordination of these activities. ^ top

10. Bidding and Award of Contracts

As an outcome of the construction procurement strategy, SCG will recommend to the Owner a schedule of bid packages. This process will allow the documents to be developed in a manner that will allow work to progress in a timely manner. Upon review and revision, the packages will be finalized into a purchasing schedule that will serve as a control document for the work.

SCG will develop a list of recommended subcontractors to be solicited for bidding, which will be reviewed with the Owner. Every recommended subcontractor will be pre-qualified based on its past performance with regard to quality of work, experience, ability to meet schedules, manpower, and financial resources and stability.

We will then prepare an Invitation to Bidders that includes:
• Architectural and engineering drawings
• Specifications
• Construction schedule
• Building rules and regulations
• Bid form, which will include a wage rate schedule, percent markup on materials purchased, and a detailed listof unit prices and alternate prices where required
• Instructions to bidders
• Requirements for specific trades:
- specific items of work to be included in or excluded from bid proposals
- identification of information, scope or specifications missing from the contract documents to be included in the bid proposals
- necessary information which will allow all bidders to have a complete scope and bid proposal

As part of the procurement process we will develop the general conditions to be included in the bid packages. In addition, we will prepare a set of supplementary conditions which are specific to each trade involved. These identify the specific conditions of the work, the hours of operation, hours of minimal activity due to operational requirements, and means and routes of travel for the movement of construction personnel and material.

When the sealed bids are received they will be stamped with the time and date, logged and signed by all participants. The logs will be distributed with the bids for review at the formal bid opening. A minimum of three bids will be received for each bid package.

SCG will meet with the subcontractors to review their bids and insure that they fully understand and are in compliance with the terms and the intent of the contract documents. We will then prepare a final analysis of the bids for presentation to the project team, assuring that each is responsive to the solicitation of bid and the work, and make recommendations to the team. ^ top

11. Process for Securing Construction Permit

As the construction manager, SCG will work closely with the architect and the project expeditor to secure a construction permit.

The key documents, seals and signatures that must be obtained prior to initiating an application at the Building Department are listed below:

Construction
• 3 sets of drawings signed and sealed (architectural, mechanical, plumbing and structural)
• Architectural PW-1 signed and sealed (Architect and Owner)
• TR-1 Final and/or Firestopping signed and sealed (Architect and Owner)
• Mechanical PW-1 signed and sealed (Engineer and Owner)
• TR-1 for HVAC signed and sealed (Engineer and Owner)
• Schedule B for plumbing fixtures (Engineer)
• Structural paperwork PW-1 signed and sealed (Architect and Owner)
• TR-1 for structural controls signed and sealed (Architect and Owner)
• Asbestos form (ASB4, ACP5 or ACP7)
• Filing Fee check

Sprinkler
• 3 sets of drawings signed and sealed
• PW-1 for sprinklers signed and sealed (Engineer and Owner)
• Schedule B signed and sealed (Engineer)
• Hydraulic calculations if required
• Asbestos form (ASB4, ACP5 or ACP7)
• Filing Fee check

Fire Alarm
• 3 sets of drawings signed and sealed
• PW-1 for fire alarm signed and sealed (Engineer and Owner)
• Asbestos form (ASB4, ACP5 or ACP7)
• Filing Fee check

Upon completion of construction a Certificate of Completion is obtained from the Department of Buildings. This is accomplished after the sign-off by Department of Buildings inspectors or through self-certification, which is an option to the plan examination process that will be discussed with the team. Listed below are the documents required for sign-off: Construction
• Plumbing sign-off roughing & final (either self-certify or by DOB)
• TR-1 for HVAC
• Equipment Use Application & Cards
• TR-1 for Firestopping
• TR-1 for Structural Work
• TR-1 final Inspection
• As Built drawings if required

Sprinkler
• Sprinkler sign off (either self-certify or by DOB)

Fire Alarm
• Fire Department Inspection
• Fire Department Sign-off
• Department of Buildings Sign-off
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This phase covers the period from the bid and award process through the certificate of occupancy and final closeout of the project.  During this phase, SCG will provide the project management and administrative staff necessary for successful completion of the project.

1. Project and Site Management
Our project and site management will include the following activities:
• Establish lines of authority for on-site project communication and management procedures including reports, contracts, invoicing and disbursements.
• Work closely with the architect and the project expeditor to secure a construction permit from the New York City Department of Buildings and ensure that all permits and approvals are received prior to construction.
• Seek out and respond to concerns of project participants and help to resolve conflicts on an ongoing basis.
• Direct weekly meetings with the subcontractors, and communicate with subcontractors on an ongoing and as-needed basis to ensure compliance with contract documents.
• Oversee development of coordination drawings prior to fabrication.
• Inspect the work to assure that objectives are being carried out in accordance with the working drawings, specifications, all other contract documents and local laws.
• Establish and maintain safety procedures, risk management, OSHA and other programs necessary for the safety of the work.
• Coordinate the activities of all parties including the Owner, the architect and the engineer, and outside consultants and vendors to meet the project schedule.
• Attend and provide minutes of weekly progress meetings with Owner and the consultants to assure that all matters are being considered.  This is a formal meeting that addresses project schedules, cost, change orders and other items requiring action.
• Monitor and maintain a critical path management program, bar charts and other necessary detailed schedules and give early notice to all involved parties of future activities that will impact them.
• Establish and maintain procedures for processing shop drawings, material samples, mock-ups, off-site testing, inspections, change orders and scope changes to the work.
• Comply with all local codes and ordinances as to means & methods of construction.
• Ensure appropriate temporary protection during construction of building components, artwork, etc.
• Coordinate all testing provided by others, as required by the contract documents and building codes, and maintain an accurate record of all tests and inspections.
• Monitor testing and removal of any materials, such as asbestos and lead paint as per specifications and pertinent codes such as the Department of Environmental Protection and Department of Buildings.
• Anticipate labor issues and work with the construction documents and labor union to minimize them.
• Maintain records covering manpower, work in progress and field observations.
• Receive all subcontractor, vendor and supplier applications for payment.  Then issue an AIA application for payment to the Owner and the architect for their approval.  Receive and maintain partial and final Waivers of Lien.
• Provide closeout documents including guarantees, warranties, as-built drawings, maintenance and procedures manuals for new equipment and sign-offs by authorities having jurisdiction over the project. ^ top

2. Change Order Management

Change orders result from requests for additional work whether as the result of the architect’s request, a change in the job condition or a change in the scope of the project.  Changes that may occur due to the field conditions or clarifications will be documented in the following manner: • We will prepare a Request for Information (RFI) for clarifications to the contract documents or field conditions that require an alternative to the construction.

The architect and consultants will review the RFI and provide supplemental instructions to us.
•If a cost is involved, we will provide the proper information increasing or decreasing the contract value.  This is then reviewed by the architect and a proposed change estimate is issued.  This may include authorization to proceed with the item so as not to affect the project schedule.
•A formal contract modification is then prepared refining the change in scope and including a detailed actual cost.
• A scope change is work requested by the Owner or its consultants that differs from the original design and documentation.  As scope changes are requested, they are analyzed to determine if the change is an addition to the budget or a credit back to the owner.
• After a tracking number is assigned to the change order request it is analyzed by the estimator who attaches a dollar value to the change and solicits prices from the subcontractors.  A change order is then prepared and submitted to the Owner through the architect.  The approved change is entered into the cost management system for accounting purposes.
• Invoices for approved change order work are received by the Accounting Department and are checked for accuracy before being sent to the project manager for approval.
• Our typical construction budget would include an Owner-approved contingency, rather than a percentage for change orders. ^ top

3. Shop Drawing and Submittals

SCG will establish a shop drawing submittal schedule to guarantee a smooth flow of shop drawings compatible with the construction and long lead schedules.  We will monitor the progress of the shop drawings throughout the approval process by maintaining a log of their status.  Drawings can be submitted to all consultants simultaneously to expedite the formal review if desired.

We will review each shop drawing for compliance with design intent, adherence to plans and specification sections.  Comments and coordination drawings are attached to facilitate the architect’s and the engineer’s review prior to forwarding.  When changes are made to shop drawings, we will expedite the subsequent re-submittals to the architect or the engineer. ^ top

4. Project Close-Out

When the project is nearing completion, SCG will coordinate a walk-through with the Owner, the architect and the engineer to develop a punch list of remaining work that needs to be done to satisfy contract requirements.  We will develop a schedule for completion of the punch list work, and monitor its progress.

At the appropriate time, substantial and final completion certification will be established by the project team.  A Final Certification of Occupancy will be obtained prior to issuing final approvals and payments.

Upon acceptance of systems, equipment and facilities, all operating manuals, instruction manuals, guarantees and warranties as required by the contracts, will be obtained by SCG and turned over to the Owner.

On all payments, an amount will be recommended to SCG to be retained by the Owner to cover the value of work to be completed or replaced.  All releases of claims, as required, will be received prior to the release of any approvals and/or payments. ^ top

 

The SCG Post-Construction Phase includes the following steps to assure the Owner of a problem-free occupancy:
• SCG will review all as-built drawings provided by the subcontractors with the architect and consultants prior to issuing them.
• All warranties, guarantees, instruction information, etc. will be collected and issued to the owner.
• SCG will prepare a final cost report for the Project. Final Certificate of Payment and other closing items will be part of our Agreement. This will include final waivers of lien from all the sub-contractors, and would follow general AIA format and generally acceptable accounting principals.
• A final review will be made by SCG to make sure that all outstanding items in the project are brought to closure. ^ top