Emerging Project Delivery Methods

Public works projects have traditionally been procured through the "Design-Bid-Build" model of contracting and risk allocation in which one firm designs the project, the owner bids the project, and the low bidder is awarded the project and builds it.

In Washington State, chapter 39.10 RCW authorizes three alternative public works project delivery methods: General Contractor/Construction Manager (GC/CM), Design-Build, and Job Order Contracting.

Public and private owners in other states and countries are experimenting with other project delivery methods, many of which share common features regarding selection, risk allocation, and contracting.

These alternative project delivery methods include the following:

• Best Value Procurement. I've written about this previously on my blog. There is some interest in Washington State to exploring legislation to authorize limited use of this method.
• Integrated Project Delivery. The owner, designer, and contractor all enter into one cooperative contract for completing the work.
• Performance Contracting for Construction. The U.S. Department of Transportation has been piloting projects using this method, which is similar to Design-Build.
• Alliance Contracting. Often used for complex projects with many unknowns, this method also contemplates a three party agreement between the owner, designer, and contractor.