ConstructionAdvisorToday

Should All Claimed Costs Be Actual and Documented?

Project owners have started imposing contract language requiring documentation of actual costs in support of claims. These costs alone will be grounds for a price adjustment. Courts are enforcing this language. It is a challenge to some long-used techniques for quantifying construction claims.

Could New Advances in Photovoltaics Make the Technology More Appealing to Construction Professionals?

Could a pair of new developments in the photovoltaics (PV) industry make owners, architects, and others in the construction community more receptive of the technology when it comes time to plan their building projects?

No Pilot Project Considered Perfect by VDC/BIM Scorecard Standards

Washington, D.C. -- Of 28 projects evaluated for their implementation of VDC (virtual design and construction)/BIM, how many achieved a perfect rating under the standards of the VDC/BIM Scorecard? Zero, reported Calvin Kam, a consulting assistant professor at Stanford University. He revealed this finding at the AIA (American Institute of Architects) 2012 National Convention and Design Exposition late last month.

Should Overhead Recovery Be Limited to a Percentage of Cost?

When the construction performance period is extended beyond the original schedule, a contractor incurs overhead costs. The time in the field, with its associated costs, is extended. Additionally, contract payments are spread over a greater period of time, reducing the rate at which the contract absorbs its share of fixed home office expenses. If the extended performance period was the responsibility of the project owner, the contractor will want compensation. How should that compensation be calculated?

Case for Increasing Funding for DOE’s ‘Better Buildings, Better Plants Challenge’ Program Gets Boost

Could a recent accomplishment in the Better Buildings, Better Plants Challenge (BBBPC) justify the funding increases that President Obama (D) has proposed for this and other activities within the U.S. Department of Energy’s (DOE) Market Barriers subprogram? After just one year’s participation in BBBPC, Legrand last week reported that it is already four-fifths of the way toward meeting its 10-year goal for reducing energy use at its facilities, perhaps making the president’s requested 75 percent increase in funding for Market Barriers more palatable for congressional lawmakers. 

BuildingSMART Alliance Executive Director Outlines Timetable for NBIMS-US Version 3

Washington, D.C. -- On the heels of formally unveiling National Building Information Modeling Standard -- United States Version 2 (NBIMS-US V2), buildingSMART alliance (bSa) Executive Director Dana Smith has provided Construction Project Controls and BIM Report (CPC/BIM) details about the organization’s plans for Version 3. During the exclusive interview, conducted last week at the AIA (American Institute of Architects) 2012 National Convention and Design Exposition, he also discussed central funding for BIM in the U.S. and adoption of NBIMS abroad. Here is a transcript of the interview as well as other news coming out of the conference:

Should Mistaken Bids Be Corrected After Bid Opening?

Correction of a bid mistake after bid opening poses some difficult questions. If a low bid can be corrected, still leaving the bid as low, isn’t this advantageous for the project owner? The alternative is to allow withdrawal of the mistaken bid, to which the bidder would clearly be entitled, and award of the contract at a higher price to the second low bidder. But isn’t any change in a bid price after disclosure of all bid prices contrary to the fundamental principles of sealed competitive bidding?

Could Congressional Spending Legislation Impede Development of New Energy-Efficient Materials, Techniques, and Technologies?

Spending legislation currently undergoing congressional consideration threatens to thwart certain key requirements for reducing energy use in federal buildings, but could the proposal additionally impede progress toward developing new materials, techniques, and technologies that make buildings more energy efficient? At least one group is fearful of such a double whammy.

Modularization, Prefabrication Expected to Play a Larger Role in Improving Construction Productivity

Modularization and prefabrication will play an increasingly larger role in improving the productivity of the entire construction value chain -- on par with lean construction techniques, alternative project delivery methodologies, and 3D and 4D modeling, according to a white paper that FMI released earlier this month. However, the report emphasizes that for modularization and prefabrication to maximize their potential to improve industry productivity, construction professionals first need to take several important steps.

Are Inconsistent Dispute Mechanisms Causing Problems?

Arbitration offers several advantages for resolving construction disputes. Many construction professionals consider it faster and more expeditious than court litigation. But a party that contractually commits to binding arbitration of disputes may not be allowed to change its mind. The party can be compelled to participate and will not be allowed to take the matter to court.