Lessons Learned and Best Practices for Value Engineering and Contractor Engagement while Delivering Capital Projects for a $2.4 Billion CSO Program

Like many communities throughout the country, the City of Omaha, Nebraska is under a consent order to control discharges of combined sewage as defined in the City's CSO Long Term Control Plan. It is the City's mission to meet these requirements in the most fiscally responsible manner without placing undue financial burden or hardship on the businesses and residents of the City of Omaha and the communities served by the City's regional wastewater collection and treatment system. This mission has become increasingly more difficult to fulfill in the last several years due to rapid growth in economic development throughout Nebraska. Last year, the Omaha World Herald reported that for the second year in a row Nebraska is leading the nation when it comes to economic development projects per capita. Coupling this historic growth with labor shortages routinely reported by officials with the Associated General Contractors of America (AGC) has created a perfect storm which many cities and communities across the nation are forced to grapple with. The City of Omaha is uniquely positioned to experience both the extremes of economic growth as well as labor shortages, which is why it is an ideal well from which to draw lessons learned and best practices. Implementation of a value engineering and contractor engagement process are two elements that are critical towards fulfilling the City's mission. These activities help achieve the best value by continuously seeking ways to improve project schedule and constructability, reduce operating and overall project costs, and mitigate risk.