Transcript FHWA Update - Subcommittee on Construction

FHWA Update
Butch Wlaschin, P.E.
Director, Office of Asset Management
AASHTO Highway Subcommittee on Construction
2010 Annual Meeting
Burlington, Vermont
Presentation Overview
• Update on Recovery Act and
Reauthorization
• Current Issues
• FHWA Programs & Initiatives
Update - Recovery Act
Recovery Act Work Types
by % of Contract Value
Bridge Improvement
17.8%
Bridge Replacement
New Bridge Construction
5.0%
New Construction
4.0%
Other
50.8%
4.5%
5.3%
2.3%
Pavement Improvement
Pavement Widening
Safety/Traffic Management
7.5%
2.9%
Transportation
Enhancements
$0
PUERTO RICO
VIRGIN ISLANDS
TEXAS
OKLAHOMA
ARKANSAS
N MARIANA
NEW MEXICO
GEORGIA
MISSISSIPPI
ALABAMA
NORTH CAROLINA
TENNESSEE
INDIANA
NEBRASKA
SOUTH DAKOTA
FLORIDA
IOWA
KANSAS
MARYLAND
MONTANA
NEW HAMPSHIRE
NORTH DAKOTA
SOUTH CAROLINA
RHODE ISLAND
VERMONT
UTAH
WISCONSIN
COLORADO
LOUISIANA
PENNSYLVANIA
DELAWARE
VIRGINIA
WEST VIRGINIA
KENTUCKY
OHIO
WYOMING
DISTRICT OF COLUMBIA
IDAHO
ARIZONA
MINNESOTA
NEW YORK
OREGON
MISSOURI
MAINE
CONNECTICUT
HAWAII
ILLINOIS
MICHIGAN
NEVADA
WASHINGTON
MASSACHUSETTS
NEW JERSEY
CALIFORNIA
ALASKA
Average Wage Rates for
Recovery Act Contracts
$70
$60
$50
$40
$30
$20
$10
Recovery Act - Total
Contractor Work Hours (Month)
Recovery Act Expenditures
vs. Obligations
(by Improvement Type)
Obligations
Expenditures
Update - Reauthorization
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On-going discussions with Hill
OST principles to be issued
Funding continues to be the problem
Most likely to see focus on performance
Safety, Livable Communities,
Sustainability, Performance
• More to follow
Current Issues
• Project Labor Agreements
• Pavement Marking Material Shortage
• Alternate Bidding For Pavement
Type Selection
Project Labor Agreements
• February 6, 2009 President Obama signed an Executive
Order titled “Use of Project Labor Agreement for Federal
Construction Projects.”
• Encourages executive agencies to consider requiring the
use of PLAs on large-scale direct Federal construction
projects (defined as a project with a total cost of $25 million
or more).
• May 7, 2010 – FHWA Administrator Mendez signed a
memo titled: “Interim guidance on the use of Project Labor
Agreements”
– Provides factors for agencies to use in evaluating whether a
PLA is in the government’s interest
– Allows Division Offices and States to approve PLAs on a
project-by-project basis in accordance with the memo
Pavement Marking
Material Shortage
• In June 2010, State DOTs began to experience shortages of
four key raw materials used to produce waterborne traffic
paint, extruded and spray thermoplastics, and epoxy
• Only 50-60% of normal supply available; Industry indicated
6-8 week backlog in orders
• Shortages may last until the end of the 2010 calendar year.
• Not all states may perceive a shortage as paint suppliers
honored long-term supply contracts for state maintenance
contracts
• FHWA encourages our Division Offices to work with State
DOTs on a case-by-case basis in accordance with contract
requirements.
Alternate Bidding For
Pavement Type Selection
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Memo issued November 13, 2008
Clarifies and consolidates FHWA policy
Applies to Federal-aid on the NHS
Alt Bidding is “not encouraged” but can
be used in “rare instances”….
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Equivalent designs
Discount rate
Uncertainty
Rehabilitation strategy
Subjective factors
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Commodity price
adjustments
I/D provisions
Materials quantities
Approval process
FHWA Programs & Initiatives
• Every Day Counts Initiative
• TCM Steering Committee Update
• Construction Program
Baseline Review
• Construction Engineer
Training Course
Every Day Counts
Shortening Project Delivery Initiatives in
Design and Construction
• Design-Build
• Construction Manager/General
Contractor (CM/GC)
• Flexibilities in Utility
Accommodation & Relocation
Accelerated Project Delivery
Task Force
• AASHTO – ARTBA – AGC Task Force
• Provides a two pronged approach for
addressing APD that complements the
FHWA Every Day Counts initiative
• Provided initial recommendations to
FHWA in March
• Developing a work plan of APD
activities – to be completed by August.
Transportation Construction Management
Steering Committee Update
• TCM focus on quality, efficiency, risk management
• Current TCM Activities
– "A Guidebook for Selecting Highway Capital Project
Delivery Methods and Alternative Contracting Strategies”
– 2nd International Construction Management Conference
February 2011, Orlando, FL (in conjunction w/ ARTBA)
– Sponsored NCHRP 10-38 “Alternate Quality Systems”
– Pooled fund program
Construction Program
Baseline Review
- Formerly Construction Program Evaluations
• Purpose – enhance the delivery of the
construction program for improved
performance of the NHS
• Scope change – use of self assessment tool
and regional peer exchange workshops to
obtain construction program information
• Why? – faster results, less resource demand
• Regional workshops – to identify, discuss
and recommend solutions to critical
construction-related topics (5 workshops planned)
Construction Program
Baseline Review
Timeline Oct 2010:
Activity work plan
Jan 2011:
RFP for support contract
Spring 2011:
Self assessment tool development
Spring 2011:
Plan and coordinate 1st regional
peer exchange workshop
June 2011:
Conduct self assessment for 1st
regional group of states
July 2011:
Conduct 1st peer exchange
Summer 2013 5 regional peer exchanges
conducted over 2 years
Construction Engineer
Training Course
• Phase 1 – an Academy concept originally
scoped, work completed October 2009
• Scope being modified - training to be targeted
towards CM’s and management practices
– Development of a construction curriculum
– Will look at developing a CM training course
• New outline to be vetted with AASHTO and
TCCC by Fall 2010
• Phase 2 - Plan to initiate in summer 2011
LEADERS WANTED:
Become a Pilot State!
Performance contracting is an approach where the owner
agency specifies a set of clearly defined performance goals –
rather than methods – for construction projects; and the contractor
enjoys the freedom to define how to accomplish the goals. FHWA
is piloting an implementation framework for Performance
Contracting for Construction with up to six pilot states.
Become a Pilot State and receive:
• Free technical assistance
• Additional consideration for Highway for LIFE funds
• Opportunity to be among the first to implement this new and
innovative contracting approach
For more information on Performance Contracting for
Construction or to learn how to become a pilot state, visit
http://www.fhwa.gov/construction/library.cfm or contact:
Mary Huie, Federal Highway Administration
202-366-3039 | [email protected]