Rule 672-22-.05 - Rules Governing Construction Management Agreements(a)Phase One - Preconstruction Services. Upon award of the Construction Management Agreement, the CM/GC will be authorized to begin performing Preconstruction Services pursuant to the requirements of the Construction Management Agreement. During the initial phase of the Construction Management Agreement, the CM/GC will be required to perform phase-one services, which may include, but are not limited to, the following: (1) Collaborating with the DOR and the Department on the design and preparation of the construction documents, for improved overall constructability of the project.(2) Participating in design reviews and anticipating construction issues.(3) Engaging in risk assessment and mitigation workshops with the Department.(4) Identification of potential risks and assistance in identifying means and methods to mitigate such risks during design.(5) Assisting with material selection, scheduling, sequencing, and other related services.(6) Evaluating contemplated innovations and constructability recommendations for cost-effectiveness.(7) Assisting the Department with project-level budgeting for construction through progressive cost estimating for the project.(8) Active management and mitigation of project risks with the Department.(b)Construction Price Proposal. The CM/GC will be responsible for progressing the estimates of probable construction costs and developing the price proposal for the construction of the project, to include the direct cost of construction, contingency, overhead, and profit (collectively, the "NCP Proposal"). The timing of the development of the NCP Proposal will be based on the percentage of design complete, as determined by GDOT on a project specific basis. The NCP Proposal shall be prepared on an open book basis using labor and equipment rates; and must include a construction schedule and the assumptions underlying the NCP amount. A price reconciliation meeting will be held to review and discuss any differences in the Department's estimate and the CM/GC's NCP Proposal. (1)Accepting the NCP Proposal. If a reasonable NCP is negotiated, the CM/GC and GDOT shall execute a supplemental agreement or amendment to the Construction Management Agreement, authorizing the CM/GC to complete the construction of the project. The CM/GC will be required to provide performance and payment bonds in the full amount of the NCP.(2)Rejecting the NCP Proposal. If the Department and the CM/GC are unable to agree upon a reasonable NCP, the Department may initiate a new procurement to complete the construction-phase work for the project.(c)Phase Two - Construction. Upon execution of a supplemental agreement or amendment to the Construction Management Agreement, its terms, including the NCP, become contractual. The Department may authorize the CM/GC to proceed in constructing the project through the release of distinct work packages based on the design documents.(d)Construction Works Packages. The construction services may be authorized through various construction works packages, which are subject to negotiation and agreement on price between the Department and the CM/GC, and will be included in the NCP as part of the development of the construction price proposal under Rule 672-22-.05(b).Ga. Comp. R. & Regs. R. 672-22-.05
O.C.G.A. §§ 32-2-2, 32-2-82, 50-13-4.
Original Rule entitled "Rules Governing Construction Management Agreements" adopted. F. Jan. 20, 2022; eff. Feb. 9, 2022.