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Oregon law requires the use of low-bid procurement for highway construction (ORS 279C.300), but allows exemption from this requirement if required findings provided in an exemption order are approved (ORS 279C.335).
Alternative contracting methods that require an exemption include:
Alternative Contracting Projects List
Alternative contracting methods and tools provide additional options for unique, complex, or schedule critical projects. When considering alternative contracting for a project, the selection of the right method or tool can be critical to the success of the project.
Price-Plus-Time (A+B) is a delivery method that is similar to the low-bid method. ODOT designs the project in-house or through an architecture and engineering (A&E) consultant, then awards the construction contract based on the lowest combined price and time (schedule) bid. The schedule provided by the selected bidder becomes contractually binding and is used with incentives/disincentive contract provisions.
If the project is completed ahead of schedule, there are monetary incentives, if the project is not completed on time, the monetary disincentives are applied concurrently with liquidated damages.
The Price-Plus-Multi-Parameter (A+C+D) delivery method is similar to the low-bid method. ODOT designs the project in-house or through an A&E consultant, then awards the contract based on price and other factors.
In Price-Plus-Multi-Parameter, price is weighted at 40 percent and the multi-parameter factors make up the remaining 60 percent. The A+Multi-Parameter factors that ODOT uses are:
The Construction Manager/General Contractor delivery method leverages the combined skills of an integrated multi-discipline team to control time and cost and to ensure quality.
The team consists of ODOT representatives, an A&E firm and a CM/GC firm. This team plans, designs and constructs the project together. CM/GC services are used for pre-construction and construction work, during both the design and construction phases.
The CM/GC delivery method requires contracting with an independent cost estimator (ICE) who will assist ODOT in validating estimated costs proposed by the CM/GC firm.
The A&E firm and ICE are selected using the standard consultant selection process. The CM/GC is selected through a Request for Proposal process. ODOT awards the contract based on price and other factors like qualifications, past performance, project approach, CM/GC fee, and hourly rates.
Unique CM/GC general provisions establish the terms and conditions for the following:
The CM/GC general provisions replaces ODOT’s Standard Specifications General Conditions Part 00100.
Design-build is a delivery method in which ODOT contracts with a single entity that can design the project and construct it.
ODOT performs approximately 15 to 30 percent of the conceptual design so we can accurately relay ODOT’s goals, requirements for the performance specifications that make up the contractual requirements of the project.
The DB method is a complex, two-stage procurement process that requires additional staff time or services from a consultant. First, ODOT invites proposers to submit a statement of qualifications in response to our request for qualifications. ODOT uses the SOQ to create a short list of proposers.
ODOT uses the request for proposal process to solicit bids from the proposer shortlist for the design and construction of the project. The DB proposers submit their proposals for design, construction, time, and the cost to perform all aspects of the project. ODOT awards the contract based on price and factors such as qualifications, past performance and proposed technical approach to the work.
ODOT retains oversight of the DB contract, including:
Unique DB general provisions establish the terms and conditions for the following:
The DB general provisions replace the ODOT Standard Specifications – General Conditions Part 00100.
Contractor special pre-qualifications may be needed when a public improvement project requires special knowledge or expertise. If used, these special qualifications are required in addition to the mandatory general pre-qualifications (also known as prime contractor pre-qualification).
When a special pre-qualification is used, ODOT publishes a Request for Contractor Special Pre-qualification on its internal procurement website and in the Daily Journal of Commerce for projects estimated at $125,000 or more.
Interested contractors must submit their qualifications prior to the bid opening. An evaluation committee reviews each submittal, applying a pass or fail score. Only contractors with a passing submittal will be deemed specially pre-qualified and allowed to submit a bid on the project. Special pre-qualified contractors must also meet the ODOT mandatory general pre-qualification requirements to be eligible to bid on the project. ODOT awards the contract to the lowest bidder.
ODOT uses unique special provisions that modify the ODOT Standard Specifications – General Conditions Part 00100.
ODOT uses incentive/disincentive contract provisions to maintain construction completion dates, encourage innovation in work sequencing, and accelerate project delivery.
ODOT primarily uses I/D provisions on critical projects where traffic inconvenience and delays must be kept to a minimum. ODOT applies I/D provisions to a portion of the work, with amounts based on cost estimates for items such as road user delays, traffic safety, and traffic maintenance.
The ADS team offers specialized program information, training and project guidance for the different alternative delivery methods and contracting options, including those identified above.
The Alternative Delivery Services team supports ODOT project teams with the following:
Contact us for more information.
The following documents are available upon request.
In addition to the Alternative Delivery Team, the following ODOT groups can provide assistance.
Office of Project Letting - OPL is a great resource for information about:
ODOT Procurement Office - OPO is a great resource for information about the procurement processes and requirements related to:
Additional information about alternative methods and contractual options are available from the following agencies:
For general program inquires and project evaluations:
For project information, templates and historical data:
For contract language inquires:
For value engineering, risk management and constructability reviews:
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