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CONSTRUCTION CONTRACT DELIVERY APPROACHES General Contractor Comnetitive Bid Bid documenis are 100% complete at time of bid. Contract award is made to lowest responsive bidder. (This represents the standard governmental approach to contract bid and award.) Advantages • Lump sum amount for a defined scope of work. • Owner is contractually liable to a single prime contractor. Disadvantages • No opportunity for design phase contractor input on budgeting, scheduling, or value engineering. • Potential for substantial cost growth (change orders, claims). • Relationships are typically adversarial. • Potential for schedule impacts (delay, acceleration). • Potential for poor quality workmanship. Pre-Qualified Contractor Competitive Bid Bid documents are 100% complete at time of bid. Bidders are pre-qualified prior to bid. Contractor evaluation crtteria can include: strength o#contractorteam, compatibility, similar p~oject experience, schedule and budget pertormance history, and work quality. Contract awarci is made to lowest responsive bidder. Advantages • Lump sum amount for a defined scope of work. • Owner is contractually liable to a single prime contractor. Disadvantages • No opportunity for design phase contractor input on budgeting, scheduling, or value engineering. • Potenfial for substantial cost growth (change orders, claims). • Dependent upon extent of the selection process, Owner-Contractor relationships can still be adversarial. • Potential for schedule impacts (delay, acceleration). • Some poten6al for poor quality workmanship. Pre-Qualified General Contractor Competititive Bid - Incomplete Documents Contrad documents are partially complete at bid (e.g., 50%, 90%, etc.). Bidders are pre-qualified prior to bid. Contractor evaluation criteria can inctude: strength of contractor team, compatibility, similar project experience, schedule and budget performance history, and work quality. Contract award is made to lowest bidder. Advantages • A base lump sum amount is established for a defined scope of work. • Contractor is available to provide some design phase input on budgeting, scheduling, and value engineering. • Opportunity exists for converting the competitive bid into a negotiated GMP (g~oss maximum price). • Owner is contractually liable to a single prime bidder.