Caltrans bridge construction forum 2007
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Caltrans Bridge Construction Forum 2007. Structure Economics Rich Hebert, C.C. Myers, Inc. Ken Bocchicchio, Caltrans So. Cal. Chief Engineer Area Construction Manager. GENERAL THEME. Does the timeliness of payments significantly affect the cost of doing business with Caltrans ? .

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Caltrans bridge construction forum 2007 l.jpg
Caltrans Bridge Construction Forum2007

Structure Economics

Rich Hebert, C.C. Myers, Inc. Ken Bocchicchio, Caltrans

So. Cal. Chief Engineer Area Construction Manager


General theme l.jpg
GENERAL THEME

  • Does the timeliness of payments significantly affect the cost of doing business with Caltrans?


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$TRUCTURE ECONOMIC$

  • Estimates

  • Cash Flow

  • Partial Payments

  • CCO’S


Tructure economic4 l.jpg
$TRUCTURE ECONOMIC$

  • Problems/Challenges/Complaints

  • Changes you would like to see.

  • Processes that work well.

  • What can be automated?


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$TRUCTURE ECONOMIC$

  • Estimates

    Have you experienced?

    • Pay items missed?

    • Lump sum change orders missed?

    • Supplemental estimates too much time and effort?

    • Payment withheld for QC issues in excess of fair value?


Tructure economic6 l.jpg
$TRUCTURE ECONOMIC$

  • Estimates

    Suggestions?

    • Establish automated monthly pay request similar to EWB?

    • More Final Pay Q’s vs. Field Measured Q’s?


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$TRUCTURE ECONOMIC$

  • Cash Flow

    Are these significant?

    • Job delay or suspension?

    • Length of PFE process?

    • DRB decisions with CT rejection results in no payment until completion of claim process.


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$TRUCTURE ECONOMIC$

  • Partial Payments

    How can MOH process be simplified?

    • Falsework and shoring partial payments or schedule of values desired?

    • What other materials should be included?

    • Details of monthly partial payments shown on estimate?

    • State is owner of materials on hand


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$TRUCTURE ECONOMIC$

  • CCO’S

    Have you struggled with?

    • Recognition of changed conditions or work

    • Negotiation methods- Lack of knowledge regarding rules of entitlement/engagement

      • Entitlement first, dollars second

    • Electronic EWB processing working?

    • Signing tentative work agreements.


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$TRUCTURE ECONOMIC$

  • Other current Caltrans business practices, which if changed, would…

    • lower the cost of doing Caltrans work?

    • Result in lower bid prices?

    • Result in less risk?


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Discussion?

  • Estimates

  • Cash Flow

  • Partial Payments

  • CCO’S



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