Alternative Project Delivery: Construction Management at Risk, Design-Build and Public-Private Partnerships

Many utility owners, consultants and constructors are seeking information on the various forms of Alternative Project Delivery (APD). Each group has experienced limitations and problems over the years using the traditional Design-Bid-Build (DBB) delivery method. Due to the increasing need to improve capital project quality, timeliness and costs, public sector owners are also looking more closely at delivery methods that can improve on these competing requirements. Three of the more popular APD methods include:Construction Management at Risk (CMAR)Design-Build (DB)Public-Private Partnerships (P3)Although the term APD would indicate that these delivery methods are more recent, in fact the DB delivery method pre-dates the DBB delivery method and has been used since the time of the ancient Egyptians. Since many public and private utilities across the country have been successfully using alternative project delivery methods for capital improvements for many years these delivery methods are really not “alternative” any more but have become mainstream and may be referred to as “collaborative” delivery methods. Each of the collaborative delivery methods listed above have advantages and limitations. Some of these limitations are due to state specific regulations or local limiting statutes while other limitations are a function of the specific delivery method. The advantages, features, benefits and limitations of each APD are reviewed.