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36

RPPI

C. Design-Build (DB)

In the DB system, the department contracts with a single entity to provide both design and construction services. This offers a single point of responsibility and a single contract.

DB is fast becoming the project delivery mode of choice (see Figure A-1). Forty-nine states (all except Montana) allow DB procurements in some cases, according to the Design-Build Institute of America.163 In the mid-1990s, of the $212 billion U.S. construction market, approximately $37.2 billion (18 percent) was DB.164 According to a survey in Public Works Financing, over $6 billion worth of major transportation improvement

projects will be awarded as DB in 2000.165

Of this, $1.6 billion is for large road and rail projects where DB

teams are awaiting further notice. These include a $390 million monorail in Las Vegas; a $230 million highway bypass of Myrtle Beach, South Carolina; segment four of Denver’s E-470 tollroad ($250 million); and the $350 million Tacoma Narrows Bridge in the Seattle area. Five major rail projects being built under DB are (by size) the Alameda Corridor freight rail link between ports in Los Angeles and Long Beach; New York’s JFK Airport rail link; New Jersey’s Hudson-Bergen light-rail commuter line and Camden-Trenton trolley; and an airport extension via light-rail in Portland.

Figure A-1: Will Design/Build Overtake Design/Bid/Build by 2005?

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Design/bid/build

Design/build

CM (at risk)

80

60

40

20

0

1985 1990 1995 2000 2005 2010 2015

The Design-Build Institute of America forcasts that use of the design/build project delivery format will surpass traditional design/bid/build by 2005. DBIA's forecast was derived by projecting F.W. Dodge data against total nonresidential construction volume as reported by the U.S. Department of Commerce.

Source: Design-Build Institute of America

163

David Johnston, director of technical programs, Design-Build Institute of America, interview with author, March 2000.

164

Jack Rizzo, “Design/Build Alternative: A Contracting Method,” Journal of Management in Engineering, vol. 14, no. 6 (November/December 1998), p. 44.

165

“US Transport Design-Build Pipeline Full,” Public Works Financing (December 1999), pp. 1–2.

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