Public works construction can be complicated and costly. It involves multiple stages, including Purchasing and Contracting, the Design-build method, and Prevailing wage. There are also many considerations and pitfalls to avoid in the construction process. Listed below are some of the most common issues to be aware of. This article provides a general overview of the most common issues associated with public works construction.
Purchasing and Contracting
Purchasing and contracting for public works construction involves the acquisition of goods and services for public use. These works may be in the form of new buildings, renovations or alterations, or demolitions. They may also involve routine preservation or repair work, such as resurfacing streets. Public works also involve the planting, replacement, and maintenance of landscaped areas and irrigation systems.
To bid on a public works construction project, a contractor must first be prequalified. The agency notifies qualified contractors of its procurement plans and invitations to bid. It may also conduct supplemental prequalification processes for a specific project. Once prequalified, a contractor will be listed on the ‘Qualified County Public Works Project Contractor List’ for a period of one year.
If a public works project has no specified amount, the fee calculation must be based on the expected maximum amount of the project. However, the contracting agency may make adjustments to the fee after the project is completed. To learn more about fees for public works construction, visit the BOLI’s website.
A contract may last for a specified period or include supplies or services. The contract must state all of the relevant terms. The Commonwealth must be able to fund the contract for the first fiscal period before it can be renewed. If the contractor fails to meet these requirements, the Commonwealth has the option to cancel the contract.
After the selection of three design professionals, the head of the purchasing agency may negotiate a fee for the project. If the project is over $20,000,000, the department must adjust its fee based on the Composite Construction Cost Index (CCI). CCCI is published by the United States Department of Commerce.
A design-build method of public works construction is becoming increasingly popular with state and local agencies. This approach allows the architect and contractor to work together to create a more complete and efficient project. The process reduces change orders, delays, and costs. A 1999 Penn State study found that design-build projects were 33% faster than the traditional design-bid-build method and were also 6% cheaper.
This project delivery method has supporters among both private corporations and government agencies. It was first introduced to the public sector in the late 1960s, but has since been adopted by state and local agencies for a number of purposes. For example, design-build has been used to build highways and other public works projects.
Governments are often motivated to reduce costs and increase efficiency. A design-build approach allows project managers to maintain more control over the design phase of the project. It also offers increased flexibility in meeting the requirements of the owner. The result is a higher-quality product. Moreover, design-build teams can be more creative and responsive to changing requirements.
Although design-build has many benefits, it has also drawn some controversy. While some states have adopted design-build law without any restrictions, others have resisted it because of the lack of transparency. In the United States, design-build is legal in nearly half of states, but in three states, it is prohibited by law.
A design-build team consists of both architects and contractors. They collaborate with each other to find the most efficient solution for a project. This approach allows both parties to compare alternative solutions, select materials, and estimate schedules and costs. This helps to speed up the process of construction. While design-build was once mostly used for smaller residential projects, it has recently become more common in commercial and public construction.
New York City has recently adopted the design-build method on certain projects. The new law will allow public works agencies to award contracts to design-build teams in certain circumstances. The Department of Transportation will be able to award design-build contracts for projects that cost at least $10 million. The Department of Parks and Recreation will also be able to use design-build for projects like cultural institutions, security upgrades, and sidewalk access. Furthermore, the Housing Authority will be allowed to use the design-build method on certain projects.
Right-of-way permit fee
Any contractor working in a public right-of-way must obtain a permit to begin work. If the contractor fails to obtain a permit, they will be issued a stop work order. They will have to pay a second permit fee. However, emergency work is exempt from this requirement.
Right-of-way permit fees are determined based on the amount of construction, the type of work, the location of the construction, and the timeframe for completion. For example, a project involving an extensive and unique facility will require an increased fee. For projects involving a large volume of work, the additional fee will be calculated by the City Engineer and City Manager based on the unique circumstances surrounding the project.
When performing utility work within a right-of-way, an applicant must submit plans that show the location of the construction in relation to existing topographic elevations. Horizontal measurements must be tied to known points of reference and vertical elevations must have known benchmarks. In addition, utility work must be a minimum of 30 inches in diameter.
The right-of-way permit fee for public works permits covers a variety of public works projects. In New York City, permits are needed for street openings, sidewalk construction, and canopies over sidewalks. Additionally, permits are required for public works projects that affect sidewalks, curbs, and paved roadways. Obtaining a permit requires documentation, which a contractor should submit before construction begins.
Encroaching upon a right-of-way can be dangerous for pedestrians. Those working in the right-of-way should be cautious and plan accordingly. A proper permit will ensure the safety of pedestrians and minimize any potential hazards for pedestrians and vehicles. If they do not obtain a permit, they may be required to pay double the permit fee.
When a permit is required, the contractor must maintain the signs that are placed in the right-of-way. These must be inspected daily to ensure that they are properly maintained. If signs are missing or damaged, they must be replaced immediately. A violation of this rule may result in the revocation of the right-of-way occupancy. The contractor should also remove signs when construction is complete.
Prevailing wage in public works construction is an issue that should be considered when evaluating public works projects. While it has several advantages, it also raises costs for taxpayers. For example, it causes more debt, which requires additional government funding. In addition, it limits the number of public construction projects.
Labor Law section 220(3-a)(f) specifies that the prevailing wage be paid for work done on a public works project. This includes hauling construction materials from central stockpiles and work performed on the worksite. The prevailing wage applies to work performed on a public works project, including hauling aggregate supply construction materials from central stockpiles to work sites.
The Prevailing Wage Act also covers transportation of equipment. A contractor/subcontractor is responsible for the difference between the prevailing wage and the workers’ wages. An underpayment incurred by the contractor/subcontractor is punishable by a 20% fine. For each subsequent violation, the penalty increases to 5% of the underpayment, or up to 50% of the total amount.
A prevailing wage rate schedule is issued by the Department of Labor. It is specific to a project and cannot be published more than 20 days before the bid date. This rate schedule must be included in the bid documents. The rate schedule cannot be amended later. The Department of Labor must also be notified if a project does not go out to bid, and for updates. The prevailing wage rate schedule must be quoted on each contract.
New York State has passed an annual budget bill that includes a prevailing wage expansion. The new law applies to public works projects that receive 30 percent or more of public funding. Because of the expansion, prevailing wage in public works construction in New York will be significantly more common. It also defines the scope of a prevailing wage law to include employees of critical infrastructure.
Prevailing wage laws are a critical part of the labor market. These laws ensure that the right rates are being paid and that all contractors are playing by the same rules. Contractors who fail to meet prevailing wage rates face stiff penalties.