“As far as the scope goes, they’re confirming the costs as you go. So when different things come up, they help with their construction costs input, on the means and methods, how to put something together, how you make cost savings to pay for other things and they come up with a guaranteed maximum price.”
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on with real-time feedback, so there’s opportunities to use that to our advantage for design opportunities, material selections and better solutions.” This, according to Koonce, prevents the owner from “going in a direction without true feedback from what’s the availability of materials in the industry and relative and comparative costs.” Prozeralik touts the benefits of the fiscal certainty. “We work things out so the cost is the cost,” he says. According to Prozeralik, when utilizing the design|build project delivery method, “In many cases, during the course of the design, since the contractor is sitting with us—along with the client—we’re working through the design issues. As far as the scope goes, they’re confirming the costs as you go. So when different things come up, they help with their construction costs input, on the means and methods, how to put something together, how you make cost savings to pay for other things and they come up with a guaranteed maximum price. So that the owner knows, ‘Okay, I’ve got the design, I’m not going out to the competitive bid world, where it’s not bottom line and the lowest bid.’ He controls the change orders.” “We work through the construction, and then when things come up, we work jointly together and there’s no change orders or other big issues—we work those things out so that the cost is the cost.” Koonce, however, is quick to add that there’s no right or wrong method for delivering a project—it is simply a matter of what the owner feels most comfortable with. “I think the way we deliver projects are very beneficial to the client and the
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www.akbizmag.com • Alaska Business Monthly • March 2013
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