Discussion 3

Types of Contract:

Traditional Design (Wick’s Law):
Traditional Contract is the most known in the work field, also known that the owner will pay a higher price for this type of contact but it’s less risky since all the risk is transferred to the contractor, where the owner and the contractor must be clear and detailed on work scope that needs to be done. That being said all Shop drawings, RFPs, Inspection reports, and any order changes in the project need to be done from the start; so that the general contractor be able to get all the information from the subs/trades and fabricators, in order to get a Quote and submit bid sheets in correspondence with the project estimate. so then the GC can get hand started on supplying the materials, equipment, and labor.

Design/Bid/Build – GC Structure:
Design bid build contract is more likely to be used for real estate development. It is similar to the traditional design contract such that all the drawing and engineering documentation has to be upfront before the project goes out for bid, however; design-build contact the contactor has to break down the project different from the traditional design contact where he breaks it into smaller packages for the subs and suppliers to get better quotations and proposals. With the benefits that are clear and better coordination and easier image for the owner and the owner will pay less for this type of contact. In addition, now the general Contractor tends to transfer the risk to the subcontractor. where the owner’s representative or the project manager will directly coordinate with the contractor and subcontractor.

Design build is a type of contract that is more likely to be used in transportation such as building bridges and tunnels or large scope of buildings like infrastructure. That’s simply because contractors hire engineers to complete the engineering documentation and provide help preparing project proposals to go out for bidding. Only 60 % of the engineering drawings needs to be completed as the projects get to CD’s and updates will be required because you never know what may happen as you start construction phases. The contractor provides all materials, labor and equipment. It is both the engineer and the contractor’s responsibility to take care of the project.

I think that the Design build contract will be the best fit to this type of project since it requires engineers to assist the project with all as-builts drawings and proposal roads drawings, surveying the area, and lastly has to be sent to the DOT for approvals.