There were several hot topics at the recent Utility Management Conference (UMC), but one that stood out was the recent success with collaborative delivery models.
It’s a topic that’s on the rise with owners across the country. And with good reason.
Collaborative delivery models offer owners several benefits including:
· Better control of project schedule
· Price certainty and best-value selection to balance costs, scope and technology
· Defined levels of project control, owner engagement and risk transfer
· Innovation in technology, construction delivery, funding and risk management, etc.
Typically, collaborative delivery methods center on five types: construction management at-risk (CMAR), progressive design-build (PDB), fixed-price design-build (FPDB), design-build-operate (DBO) and public-private partnership (P3). Each of these methods features differences, offering choices that can drive the benefits to fit incremental levels of performance.
At UMC 2024, put on jointly by the Water Environment Federation and the American Water Works Association in Portland, Oregon, attendees heard about several collaborative delivery projects as well as panels and presentations on the value of the owner’s advisor, impacts of supply chain issues and a look at a P3 project in Rialto, CA.
P3 projects in the water sector are relatively few, but Kiewit is part of one P3 arrangement to deliver a 50 MGD drinking water plant in Florida.
And while P3s are less common, the CMAR and PDB methods are rapidly picking up steam in the water market. Both CMAR and PDB offer opportunities for schedule reduction, price certainty, innovation and an “off-ramp.” However, in a CMAR, the owner takes on the project performance risks, and in a PDB the project performance risk is transferred to the design-builder.
For more on the benefits of PDB, check out:
https://bit.ly/3VAmg6V
Sr. Project Manager at Ainsworth. Inc.
2moLove this. Congratulations Jill