Facilities Project Managers Guide by ygs12945

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									Facilities Project Managers
Guide

May 2008
                                                     TA B L E O F C O N T E N T S

Introduction to the Facilities Project Manager’s Guide ........................................................ 8

Part I: Stakeholders and Roles ............................................................................................ 11

Part II: Project Requests and Approval Process ................................................................. 27

Part III: Project Controls ........................................................................................................ 34

Part IV: Project Process Phases ........................................................................................... 56

Part V: Appendix ................................................................................................................... 75



           FOR ASSISTANCE IN USING THIS GUIDE OR TO PROVIDE COMMENTS AND EDITS,
                                                   PLEASE CONTACT DONNA GOSS




            Facilites Project Managers Guide                                                                                              Page 1
                                                   D E TA I L E D T A B L E O F C O N T E N T S
Introduction to the Facilities Project Manager’s Guide ........................................................ 8

   Executive Summary ............................................................................................................................................... 8
   How to Locate the Guide ....................................................................................................................................... 8
   Summary Overview of this Guide .......................................................................................................................... 9
   This Guide and Other Documents ......................................................................................................................... 9
      The Cornell Project Management Methodology (CPMM) Guide ....................................................................... 9
      The Project Manager’s Toolbox......................................................................................................................... 9
      Facilities Services Website and Other Websites ............................................................................................. 10

Part I: Stakeholders and Roles ............................................................................................ 11

   Facilities Services: Key Departments ................................................................................................................. 13
   Project Team ....................................................................................................................................................... 15
      Core Team ....................................................................................................................................................... 15
      Executive Group .............................................................................................................................................. 15
      Primary Customer ............................................................................................................................................ 15
      Project Executive / Director ............................................................................................................................. 16
      Project Manager .............................................................................................................................................. 16
      Construction Manager ..................................................................................................................................... 16
      Project Coordinator .......................................................................................................................................... 16
           Project Coordinator Responsibilities ........................................................................................................... 16
           Role Agreement .......................................................................................................................................... 17
   Cornell Approval Groups ..................................................................................................................................... 18
   Consultants and Contractors ............................................................................................................................... 19
   Cornell Stakeholders ........................................................................................................................................... 20
      Alumni Affairs and Development ..................................................................................................................... 20
      Construction Management Office .................................................................................................................... 20
      Contracts & Capital Projects Office ................................................................................................................. 21
      Cornell Information Technologies .................................................................................................................... 21
      Cornell Police................................................................................................................................................... 21
      Alumni Affairs and Development ..................................................................................................................... 21
      Environmental Compliance and Sustainability Office ...................................................................................... 21
           ECOS Checklist .......................................................................................................................................... 22
      Environmental Health and Safety .................................................................................................................... 22
      Facilities Management ..................................................................................................................................... 22
      Maintenance Management .............................................................................................................................. 22
      Office of Government and Community Relations Office.................................................................................. 22
      Office of the University Counsel ...................................................................................................................... 23
      Project Planning and Estimating ..................................................................................................................... 23
      Risk Management and Insurance .................................................................................................................... 23
      Transportation and Mail Services .................................................................................................................... 23
      Treasurer’s Office ............................................................................................................................................ 23

               Facilities Project Managers Guide                                                                                                                             Page 2
      University Architect .......................................................................................................................................... 23
      University Budget Office .................................................................................................................................. 23
      University Engineer ......................................................................................................................................... 24
      University Planner ........................................................................................................................................... 24
           The Roles of the University Planner and University Architect .................................................................... 24
     Utilities and Energy Management ................................................................................................................... 24
   External Stakeholder Groups............................................................................................................................... 25
      Building Inspector and Fire Marshall ............................................................................................................... 25
      Community/Neighborhood Associations ......................................................................................................... 25
      Planning and Development Boards ................................................................................................................. 25
      Other Boards ................................................................................................................................................... 26

Part II: Project Requests and Approval Process ................................................................. 27

   Cornell University Approval Process ................................................................................................................... 27
   Transaction Authority Policy ................................................................................................................................ 28
   The Project Approval Request (PAR) .................................................................................................................. 29
     Project Plans.................................................................................................................................................... 29
   How to Write a PAR ............................................................................................................................................. 30
      Types of PARS ................................................................................................................................................ 30
           Concept PAR .............................................................................................................................................. 30
           Design PAR ................................................................................................................................................. 30
           Construction PAR ........................................................................................................................................ 31
           Revised PARS ............................................................................................................................................ 31
   Municipal Approval Process ................................................................................................................................ 31
   Project Authorization Letter ................................................................................................................................. 33
      Letter of Authorization ..................................................................................................................................... 33

Part III: Project Controls ........................................................................................................ 34

   Introduction .......................................................................................................................................................... 34
   Budget Development ........................................................................................................................................... 34
      Budget Planning Phases: Overview ................................................................................................................ 34
           Planning Phase ........................................................................................................................................... 34
           Design Phase .............................................................................................................................................. 34
           Bid Phase .................................................................................................................................................... 34
           Construction Phase Cost Tracking ............................................................................................................. 34
      Budget Template ............................................................................................................................................. 35
      Planning Phase Budget Development ............................................................................................................. 35
      Design Phase Budget Development ............................................................................................................... 37
           Feasibility Study Phase Budget Development ............................................................................................ 37
           Schematic Design (SD) Phase Budget Development ................................................................................. 37
               Step 1: Parallel estimate ......................................................................................................................... 37
               Step 2: Reconciliation of estimates ........................................................................................................ 37
               Facilities Project Managers Guide                                                                                                                                Page 3
           Step 3: Allowance Items ......................................................................................................................... 37
           Step 4: Value Analysis /Value Engineering (VA/VE) .............................................................................. 37
       Design Development (DD) Phase Budget Development ............................................................................ 39
           Step 1: Perform a cost/value analysis .................................................................................................... 39
           Step 2: VA/VE Items ............................................................................................................................... 39
           Step 3: Life Cycle Costs ......................................................................................................................... 39
           Step 4: DD Estimate ............................................................................................................................... 39
           Step 5: Project Budget Validation ........................................................................................................... 39
       Construction Documents Phase Budget Development ............................................................................... 39
   Bid Project Phase Budget Development ......................................................................................................... 40
       Lump Sum Projects ..................................................................................................................................... 40
       Public or Private Bid Openings ................................................................................................................... 40
       GMC Projects Negotiations ......................................................................................................................... 40
       Bids Exceed Construction Budget .............................................................................................................. 41
       Awarding the Project to a Bidder ................................................................................................................ 41
       Construction Phase PAR ............................................................................................................................ 41
   Construction Phase Cost Tracking .................................................................................................................. 42
       Pre-construction .......................................................................................................................................... 42
       Construction ................................................................................................................................................ 43
           Keep Schedule ....................................................................................................................................... 43
           Validate, Track and Monitor Change Orders .......................................................................................... 43
           Review for ADA Access Compliance ...................................................................................................... 43
           Timely Responses to Contractor ............................................................................................................ 43
           Timely Payments .................................................................................................................................... 43
           Quality Assurance/Quality Control .......................................................................................................... 43
           Monitor Contractor’s Compliance ........................................................................................................... 43
       Close-out/Move-in ....................................................................................................................................... 44
       Resolve any claims ..................................................................................................................................... 44
   Project Contingencies ...................................................................................................................................... 44
       Escalation Contingency............................................................................................................................... 44
           Projects with fixed, non-escalating budgets ........................................................................................... 45
           Projects with budgets that are allowed to increase with escalation ....................................................... 45
       Design Contingency .................................................................................................................................... 46
           Design Contingency for Design Phase of Budget .................................................................................. 46
       Construction Contingency ........................................................................................................................... 46
        Errors and Omissions ............................................................................................................................. 47
        Unforeseen Conditions ........................................................................................................................... 47
        Scope/Program Change ......................................................................................................................... 47
Capital Project Funding Plan ............................................................................................................................... 50
Schedule Development ........................................................................................................................................ 50
Contractual Agreements ...................................................................................................................................... 50




           Facilities Project Managers Guide                                                                                                                              Page 4
      Design Agreements ......................................................................................................................................... 51
           Project Manager Issues Request for Proposal (RFP) ................................................................................. 51
           Project Manager Presents Proposals to C&CP .......................................................................................... 51
           C&CP Reviews Proposal ............................................................................................................................ 51
           Types of Design Agreements ...................................................................................................................... 52
      Construction Agreements ................................................................................................................................ 53
           Types of Construction Contracts ............................................................................................................ 53
   Invoices and Payment Applications ..................................................................................................................... 54
      Setting up an Account ..................................................................................................................................... 54
      Receipt of Invoice in C&CP ............................................................................................................................. 54
      C&CP Review of Invoice ................................................................................................................................. 54
      Construction Manager Reviews....................................................................................................................... 54
      Project Coordinator Review ............................................................................................................................. 54
      Approval by PM and Return to C&CP ............................................................................................................. 54
      CC&P Requests Payment by DFA .................................................................................................................. 55
      Project Over Budget ........................................................................................................................................ 55
      Project Manager’s Report ................................................................................................................................ 55
   Financial Reviews and Reporting ........................................................................................................................ 55
      Projects over $5 Million ................................................................................................................................... 55
      Projects under $5 Million ................................................................................................................................. 55

Part IV: Project Process Phases ........................................................................................... 56
   Project Delivery Flow Chart ................................................................................................................................. 56
   Planning Phase .................................................................................................................................................... 57
      Goal ................................................................................................................................................................. 57
      Deliverables ..................................................................................................................................................... 57
      Client Responsibilities ..................................................................................................................................... 57
      PM Responsibilities ......................................................................................................................................... 57
      Steps ................................................................................................................................................................ 58
           Initiate Project ............................................................................................................................................. 58
           Review Project Plan .................................................................................................................................... 58
           Create Project Team ................................................................................................................................... 58
           Create Project Space Program ................................................................................................................... 58
           Site Selection (new construction only) ........................................................................................................ 59
           Consultant Selection ................................................................................................................................... 59
           Decide need for either Concept Study and/or Feasibility Study ................................................................. 59
           Project Formulation ..................................................................................................................................... 60
           Primary Customer Approval ........................................................................................................................ 60
      Planning Phase Approval ................................................................................................................................ 61




               Facilities Project Managers Guide                                                                                                                                  Page 5
Design Phases ..................................................................................................................................................... 62
   Schematic Design (SD) ................................................................................................................................... 62
        Deliverables ................................................................................................................................................ 62
        Process ....................................................................................................................................................... 63
        Schematic Design Approvals ...................................................................................................................... 64
   Design Development (DD) ............................................................................................................................... 64
        Deliverables ................................................................................................................................................ 64
        Process ....................................................................................................................................................... 64
        Design Development Approvals .................................................................................................................. 65
   Construction Contract Documents (CD) .......................................................................................................... 65
        Deliverables: ............................................................................................................................................... 65
        Process ....................................................................................................................................................... 65
        Construction Documents Approvals ............................................................................................................ 66
Bid Phase............................................................................................................................................................. 66
  Deliverables ..................................................................................................................................................... 66
  Process ............................................................................................................................................................ 66
  Bid Phase Approvals ....................................................................................................................................... 67
Construction Phase ............................................................................................................................................. 67
   Site Preparation / Mobilization ......................................................................................................................... 67
   Construction..................................................................................................................................................... 67
        Deliverables ................................................................................................................................................ 67
   Close-out/Move-in ........................................................................................................................................... 68
        Deliverables ................................................................................................................................................ 68
        Process ....................................................................................................................................................... 68
  Obstacles to Closing a Project Account .......................................................................................................... 69
  Resources........................................................................................................................................................ 69
Risk Management in Project Management .......................................................................................................... 71
   Assess Financial Risk ...................................................................................................................................... 71
   Outline Legal Relationships: Design Phase/Have Clear Contracts ............................................................... 71
   Oversee Aspects of the Claims Process ......................................................................................................... 72
        Three Types of Claims ................................................................................................................................ 73
            Workers Compensation .......................................................................................................................... 73
            Liability .................................................................................................................................................... 73
            Property Damage Liability Claims .......................................................................................................... 74
            Property .................................................................................................................................................. 74




            Facilities Project Managers Guide                                                                                                                                   Page 6
Part V: Appendix ................................................................................................................... 75

   Sample Matrix for Project Coordinator (PC) Responsibilities .............................................................................. 76
   Sample Project Manager and Construction Manager and Project Coordinator Duties and Responsibilities ..... 79
   Sample Role Agreement...................................................................................................................................... 82
   Sample Revised Par ............................................................................................................................................ 84
   Construction Contingencies Exposures ............................................................................................................... 89
   GMC Systems ...................................................................................................................................................... 90
   GMC Cost of Work (Current Bidding Climate) ..................................................................................................... 91
   GMC GC’s............................................................................................................................................................ 93
   Sample Budget Sheet .......................................................................................................................................... 96
   Sample Budget: Building Cost ............................................................................................................................. 98
   Sample Budget : $110 Million .............................................................................................................................. 99
   Sample Budget: $154 vs. $140 Million .............................................................................................................. 104
   Sample Project Plan .......................................................................................................................................... 109
   Sample Feasibility Study ................................................................................................................................... 114
   Sample SD VE ................................................................................................................................................... 127
   Sample SD Cost Strategy .................................................................................................................................. 133
   Sample Design Development Value Engineering ............................................................................................ 135
   Sample Construction Development 50 Value Engineering ............................................................................... 150
   Sample Change Order Letter............................................................................................................................. 162




               Facilities Project Managers Guide                                                                                                                             Page 7
Introduction to the Facilities Project Manager’s Guide
Executive Summary
The Facilities Project Manager’s Guide is designed to support the Capital Project Delivery Process
Guide by providing the ―how to‖ of Project Management for capital projects at Cornell
University. It is written for Project Managers.
The Capital Project Delivery Process Guide describes the ―what‖ of Project Management, and was
written to provide better clarity of the process for project development for clients and users
outside Facilities Services.
The Facilities Project Manager’s Guide describes the process for managing large capital
projects overseen by Facilities Services; it also provides guidelines common to all capital
projects. Small projects may have a very different structure than large projects. Project size and
difficulty depend on the desired program, scope of work, and the complexity of the space in
which it is to be constructed. Renovation projects are also addressed, to some degree, in this
guide.

How to Locate the Guide
   Go to www.fs.cornell.edu




From the drop down box under Policies and Procedures, select ―Facilities Manager Project
Managers Guide.‖




  Facilities Project Managers Guide                                                         Page 8
Summary Overview of this Guide
The Facilities’ Project Manager’s Guide is organized into four parts.
    Part I describes the role of Facilities Services in capital project execution and the list of
     stakeholders that participate in the process along with their principle roles.
    Part II describes the project requests and approval process at Cornell.
    Part III describes project controls. Presented separately to emphasize its importance, the
     controls section describes the systems the University has designed to control the project
     budget and schedule, and presents an overview of the contract tools used to define the
     relationship between Cornell and the consultants and contractors that work for us.
    Part IV outlines how projects are managed and presents the phases of a typical project and
     describes what happens in each phase.



This Guide and Other Documents
In addition to this document and the Cornell Project Delivery Guide mentioned above, there
are two additional reference tools available to assist project managers when leading projects:
    The Cornell Project Management Methodology Guide (CPMM)
    The Project Manager’s Toolbox.

The Cornell Project Management Methodology (CPMM) Guide
The CPMM website is located at http://projectmanagement.cornell.edu/
The guide can be found at this web address:
http://www.cit.cornell.edu/computer/robohelp/cpmm/cpmm_guidebook.htm
The website contains useful tools such as templates, training announcements, and document
examples. Although Facilities Project Managers typically have the training and knowledge
covered in this guide, these resources are still valuable for Project Managers who want to
refresh and refine their knowledge.

The Project Manager’s Toolbox
The Project Manager’s Toolbox is the archive for past PM trainings delivered by Facilities
Services PM Toolbox team. These materials can be found at




    Facilities Project Managers Guide                                                            Page 9
http://www.fs.cornell.edu/fs/PMT/default.cfm
Throughout this guide we
will reference the various
trainings that have been
offered and archived as they
relate to a particular topic.

Facilities Services Website
and Other Websites
Throughout this guide, there
will be references to the
Facilities Services web site
http://www.fs.cornell.edu.
Many topics are explained in
detail under the Resources
and the Procedures drop-
down boxes. For instance, the
Project Manager’s Toolbox
page found in the Resources
list provides a library of
resources for capital project
planning and processes that
was created specifically for
project managers across the
University.
This guide will point the
reader to other various web
sites, such as Environmental
Health and Safety, or the City
of Ithaca, that have relevant
information on how to
perform the tasks outlined in
this guide.




  Facilities Project Managers Guide            Page 10
Part I: Stakeholders and Roles
One of the most important responsibilities of the Project Manager is to identify the key
stakeholders for a capital project. The stakeholders listed in this guide include
    Facilities Services
    Project Team
    Cornell Approval Groups
    Consultants and Contractors
    Cornell Stakeholders
    External Stakeholders
The organizational diagram below shows most of the participants in the execution of Cornell’s
capital projects. The Core Project Team carries the project from its inception through
completion and works with internal and external stakeholders to ensure that their needs are
met across the University and in the community.




    Facilities Project Managers Guide                                                 Page 11
                                             Core Team
                                            Executive Group
                                            Primary Customer
                                        Project Executive/Director
                                             Project Manager
                                         Construction Manager
                                           Project Coordinator




                                    Cornell Approval Groups



                                        Consultants and
                                          Contractors


                                      Cornell Stakeholders
                     PDC’s Construction Management Contracts & Capital Projects
                             Cornell Information Technology Cornell Police
                       Environmental Compliance Office         Facilities Management
                    Government and Community Affairs Office of the University Counsel
                                 PDC’s Project Planning and Estimating
                          Risk Management         Transportation and Mail Services
                                Treasurer’s Office      University Architect
                                University Engineer      University Planner
                                      Utilities & Energy Management


                                External Stakeholder Groups
                                     City, State and Federal Agencies
                                             Building Inspector
                                    Planning and Development Boards
                                                Other Boards




Facilities Project Managers Guide                                                       Page 12
Facilities Services: Key Departments
Facilities Services is an administrative support division that includes many of the departments
typically involved in capital projects. In this section, we will briefly outline some of these key
departments and their roles in capital projects:
    Contracts & Capital Projects
    Contract Colleges Facilities
    Facilities Management
    Planning, Design and Construction
    Office of the University Architect
    Utilities and Energy Management
The Office of the Vice President, Facilities Services serves Cornell through the planning,
design, construction, operation and ongoing maintenance of University facilities. All of the
departments in Facilities Services may participate as stakeholders in the Project Delivery
Process. Two of the departments, Contract Colleges Facilities and Planning, Design and
Construction, play a central role in the management of projects for customers outside the
Facilities Services Division. Contracts & Capital Projects also plays a central role in executing
the contracts and administering the payments associated with the contracts. The role of these
three departments, along with others, in the execution of Cornell’s capital projects is
summarized below.
The Contracts & Capital Projects Office (C&CP) has two primary functions:
       The formation and management of facilities-related contracts;
       The financial tracking support for Project Managers who manage capital projects.
 Contract formation and management services typically include contracts for
architectural/engineering design, consulting services, testing services, renovations and
construction services for both capital and non-capital projects.
Financial support includes invoice processing and project tracking to monitor the financial
status of projects in support of Project Managers who are responsible for capital projects.
Further, this office provides regular project status report summaries to the Buildings &
Properties Committee of the Board of Trustees.
The Contracts & Capital Projects Office is funded as an enterprise and charges both on an
hourly rate and on a lump sum basis for its services.
The Contract Colleges Facilities Office (CCF) manages the Contract Colleges Capital Plan
including project development, initiation, and execution. They facilitate the management of
State University Construction Fund (SUCF) projects and provide project management for
College and University funded capital projects for the Contract Colleges (State campus). The
Contract Colleges Facilities Office is funded by an appropriation.




    Facilities Project Managers Guide                                                      Page 13
Project Design and Construction (PDC) provides project management services for general
building and renovation projects in its Science and Technology and Architectural sections.
Projects that are somewhat trade specific, such as a mechanical upgrade or structural repair,
are generally managed in one of the PDC Engineering sections. PDC is funded as an enterprise
and bills on an hourly rate for project management services.
Project Planning and Estimating (PP&E) is often the first point of contact when considering a
renovation or small project. This group provides estimates for work and architectural design
services that in most cases are constructed by the PDC Shops. Projects that are constructed by
the PDC Shops may be managed within one of the Shops or by one of the aforementioned
sections.
PDC also includes a Construction Management section that specializes in the management of
the construction phase of our medium and large building projects.
The Campus Planning Office and the University Architect become involved in any new
building project and any other project that impact the physical campus of the University. See
the PM Toolbox training: The Campus Planning office in Capital Projects.
Maintenance Management provides an ADA Coordination function that serves to assist
Project Managers in the ADA accessibility implications of their projects. For every project,
Project Managers should conduct a preliminary review to determine what, if any, elements
will impact accessibility in the interim (construction) or long term for their project. If their
projects have implications for accessibility in either the short or long terms, the ADA
Coordinator should be involved. If it is unclear if there are any elements for accessibility,
consultation with the ADA Coordinator for determination is recommended.




  Facilities Project Managers Guide                                                      Page 14
Project Team
Core Team
 Executive Group
    Primary Customer
    Project Executive / Director
    Project Manager
    Construction Manager
    Project Coordinator
The Core Team for a project includes, at a minimum, the Primary Customer and the Project
Manager. The Core Team may also include a Construction Manager, a Project Coordinator, a
Project Director and others who are directly involved with the project. The Core Team may
report to an Executive Group.

Executive Group
Larger, more complex projects (e.g., new buildings, laboratory renovations) often have an
Executive Group. The Executive Group makes strategic project decisions that don’t require
approval by the senior University administrators who represent the Capital Funding and
Priorities Committee (CF&PC) or the Buildings and Properties Committee (B&P) of the Board
of Trustees, and makes recommendations for decisions that do require such approvals. The
group stays informed of project progress and challenges, and provide guidance to the Core
Team. The Executive Group is selected by and may be chaired by the Executive Vice President
for Finance and Administration. Alternatively the Group may be chaired by the Dean or Vice
President of the College or Division sponsoring the project.
Other members typically include the following:
    The Department Directors who will use or administer the new space;
     Someone from the Office of Planning and Budget , if central University funds are
     involved;
    The Vice President for Facilities Services or the Director of Project Design and
     Construction;
    Others associated with the project.
The Core Project Team acts as staff to support the Executive Group, and may provide the
agenda for the meetings. When properly configured and chaired, the Executive Group
provides a valuable forum for debating and resolving project issues and establishing strategic
project goals and direction.

Primary Customer
The Primary Customer establishes the desired program (scope) and works with the Project
Manager to define schedule and budget for the project. The Primary Customer may be the

    Facilities Project Managers Guide                                                    Page 15
eventual user of the finished project, or may be acting on behalf of the user. The Primary
Customer may be an individual or a group of people. If the latter, the Primary Customer
group is encouraged to identify a single individual to work with the Project Manager and
serve as program manager.

Project Executive / Director
Construction programs consisting of a series of capital projects or a very complex single
project (e.g. residential initiatives, new science buildings), may have a Project
Executive/Director (PE/PD). The purpose of this position is to ensure that the sequence of
capital projects are coordinated and meet the overall scope, schedule and budget goals of the
University. The PE/PD is generally a senior staff member in the Facilities Services Division
and serves to guide the project team.

Project Manager
The principle responsibility of the Project Manager is to deliver the project within the scope,
schedule, and budget agreed to by all of the stakeholders of the project. The Project Manager
may delegate tasks to other project team members, but still retains the responsibility for project
success. One of the key responsibilities of the Project Manager is to communicate and consult
with all of the various stakeholders. In one of the sections below in this guide, you will find the
numerous project stakeholders who may have a stake in capital projects. The Project Manager
is responsible for including those stakeholders relevant to the project, and establishing a
balance between the sometimes conflicting goals of project stakeholders and between the
various elements of the project (scope, schedule, budget, etc.).

Construction Manager
Larger projects (>$2M) typically use the services of a Construction Manager (CM) who
manages the construction phase of the project and who is the single point of contact for the
Contractor. The split of project tasks between the Project Manager and Construction Manager
is not fixed; however, the Project Manager retains responsibility for the overall success of the
project, budget and design.

Project Coordinator
Larger projects typically have a Project Coordinator (PC) who assists the Project Manager.
PCs also manage projects that range in value from $50,000 to $500,000 having the same
responsibilities as a Project Manager. The PC provides both administrative support to the
project team, and technical support to the project. PCs play a major role in large and small
projects, from inception of the project through to close-out.

       Project Coordinator Responsibilities
       The PC Matrix is a sample guide for the roles and responsibilities of each of the three
       levels of Project Coordinator (PC1, PC2, and PC 3). The roles may be assigned
       differently for each project and depending on the expereineces of thos involved. They
       may also change as the project progresses.
       See: Sample Matrix for Project Coordinator (PC) Responsibilities



  Facilities Project Managers Guide                                                         Page 16
     Role Agreement
     The Project Manager, Construction Manager and Project Coordinator project team
     should start with "PM-CM-PC Responsibility agreement in which they agree on roles.
     Below are samples of how the Project Manager (PM) , Project Coordinator (PC), and in
     the first sample, the Construction Manager (CM) can create a clear understanding of
     what role each plays in a project. Each project will be unique, so please use this as a
     guide.
     See Sample Role Agreement
     See Sample Project Manager and Construction Manager and Project Coordinator Duties
     and Responsibilities




Facilities Project Managers Guide                                                    Page 17
  Cornell Approval Groups
  The PM is responsible for coordinating timely authorizations and approvals of the various
  phases of the project with the following Approval Groups:
      Executive Vice President for Finance and Administration (EVP) or Provost ;
      Capital Funding and Priorities Committee (CF&PC - members include Senior
       Administration of the University);
      Buildings and Properties Committee (B&P - a committee of the Board of Trustees).

  The Project Approval Request (PAR) is the principle document for seeking authorizations and
  approvals. (See Part II of this guide.) A PAR is required for any capital project with a total
  project budget greater than $50,000. The approvals required for a project are dependent on the
  total budget.



                                          PROJECT IS AUTHORIZED/APPROVED WHEN….

  TOTAL COST PAR signature list                    Capital Funding and    Buildings and
             complete                              Priorities Committee   Properties Committee
  OF PROJECT                                       approves (CF&PC)       (B&P) and Executive
                                                                          Committee
                                                                          (funding/financing)
                                                                          approves

$50K- $500K          
                     (Referred to as a Signature
                     PAR.)


$500K - $5M                                       
  > $5M                                                                 

  See Part II: Project Requests and Approval Process to learn more about the different types of
  PARS and how to fill them out.

  See Part II: Project Requests and Approval Process for more on the approval process.




      Facilities Project Managers Guide                                                          Page 18
Consultants and Contractors
Cornell’s facility capital projects are
    generally designed by architectural and engineering consultants (A/E);
     built by contractors, with the construction managed by construction managers.


The Project Manager is responsible for insuring that
    the A/E and contractors are selected using approved processes .
    appropriate contract documents are executed
    the work of the A/E and contractor is properly managed.


The Project Manager is generally the University’s point person with the A/E.
As mentioned above, the CM serves as point person for the contractor.


Note:
    PDC has an in-house design group that provides A/E services for renovation projects up to
     about $1M.
    The PDC Shops occasionally compete for construction of projects up to about $1M.
See the FS website for more on architect/engineer procurement process. Also see the PM
Toolbox training, Architect-Engineer Procurement.
See the Quality control section below for proper management of contractors. Also see the
Contractor Qualifications information.




    Facilities Project Managers Guide                                                   Page 19
Cornell Stakeholders
Cornell has numerous departments and individuals who play a role in our capital projects.
The PM is responsible for including them as appropriate to the project. Possible stakeholders
are:
    Alumni Affairs
    Construction Management Office
    Contracts & Capital Projects Office
    Cornell Information Technologies
    Cornell Police
    Environmental Compliance and Sustainability Office
    Environmental Health and Safety
    Facilities Management
     Government and Community Relations Office
    Maintenance Management
    Office of the University Counsel
    Project Planning and Estimating
    Risk Management
    Transportation and Mail Services
    Treasurer’s Office
    University Architect
    University Budget Office
    University Engineer
    University Planner
    Utilities and Energy Management

Alumni Affairs and Development

Construction Management Office
PDC’s Construction Management Office includes construction managers and project
coordinators who manage contractors and construction phase activities. Individuals in the
Construction Management Office are frequently members of the project Core Team. The
Director of Construction Management is also responsible for leading the contractor selection
process for PDC-managed projects. Core Teams work with the Director to select pre-
construction contractors, construction managers, general contractor bidders’ lists, and to
develop a construction delivery strategy.

    Facilities Project Managers Guide                                                 Page 20
Contracts & Capital Projects Office
Most projects that involve hiring companies to provide labor for design, construction and
renovation work require execution of a contract, as opposed to a purchase order which is used
for procurement of supplies and/or materials. The C&CP Office writes the University’s
contracts. The C&CP Office also administers the Capital Project System, an accounting system
that tracks PAR authorizations, budget allocations, and commitments/expenditures associated
with capital projects.

Cornell Information Technologies
Cornell Invormation Technologies (CIT) can play one of three roles in a facilities project:
    Construction Standards: CIT authors construction standards and works with designers on
     the design of IT systems, including telecommunication rooms and raceway systems.
    Installation and Maintenance: CIT installs and maintains telecommunication equipment
     and software across campus and/or manages installation of these systems by contractors.
    AV Consulting: CIT provides an audio/visual consulting group that helps project teams
     and consultants specify, install and commission high tech A/V systems.
See PMT Trainings Communications Wiring, Phone Services and Data Services and Total
Technology Integration.

Cornell Police
Cornell Police participate in projects when the following are being addressed:
    building security system design
    electronic access
    video surveillance
    intrusion alarm
    locations for Blue Light telephones
    movement of large construction-related vehicles across campus roadways.

Alumni Affairs and Development
Please see the Alumni Affairs and Development web site for information on this stakeholder.

Environmental Compliance and Sustainability Office
 The Environmental Compliance and Sustainability Office            (ECOS) provides three distinct
services to project teams:
    They are available to lead or support the Municipal Site Plan Approval process, including
     preparation of environmental assessment forms and presentations to municipal approval
     groups.
    They assist in making sure completed projects comply with various State and Federal
     regulations concerning the protection of air and water resources.
    They oversee construction phase preparation and compliance with storm water pollution
     protection regulations and assist with the LEED certification process.
    Facilities Project Managers Guide                                                         Page 21
For information on the Green Buildings Oversight Committee, contact the Services Team at
ECOS.
See Cornell’s Environmental Compliance and Voluntary Environmental Initiatives
See Cornell’s Green Building Guidelines

         ECOS Checklist
         To better understand how ECOS interacts with capital projects, see the checklist on its
         website.
         PMs are encouraged to fill out this checklist to help them determine what needs to be
         considered with respect to environmental compliance issues for their projects.

Environmental Health and Safety
Environmental Health and Safety (EH&S) provides four distinct services to project teams.
    The Lab Safety group provides advice and review of construction documents for lab
     projects.
    The Fire Protection group provides advice for sprinkler and fire alarm systems.
    Document Review for overall code compliance, and assistance with abatement of asbestos
     and hazardous materials.
    EH&S can help with the oversight of construction site safety and review contractor safety
     plans.
See Your Project and EH&S and EH&S and Construction Services in the PMT Training.

Facilities Management
Facilities Management (FM) provides maintenance and custodial care for academic buildings
and grounds care for the overall campus. They provide advice and review of construction
documents regarding maintainability of building and site elements of the project. They also
provide advice to project managers regarding the forecasted operating and maintenance costs
that must be identified and included in Section 8 of PAR’s.

Maintenance Management
Project managers are encouraged to take advantage of collaboration with the ADA
Coordinator within Maintenance Management for all projects planned. This is available to
Project Managers to ensure ADA compliance for every project on Campus.

Office of Government and Community Relations Office
The Office of Government and Community Relations must be involved in the project for all
municipal approvals or when the project is of interest to Cornell’s neighbors. Examples
include projects that involve construction on the perimeter of campus, that make a noticeable
change in vehicular traffic flow on surrounding streets, or that have other noticeable
environmental impact.




    Facilities Project Managers Guide                                                     Page 22
Office of the University Counsel
Office of the University Counsel represents Cornell’s interests with regard to municipal law
and the impact on the community and the University. Projects requiring zoning variances or
having complex site plan approval processes should involve the University Counsel.

Project Planning and Estimating
PDC’s PP&E Office provides project plans, cost estimates, design services and project
management for projects intended for execution by the PDC Shops. When not occupied in
design work intended for the Shops, PP&E is available to prepare architectural designs for bid.
The Manager of PP&E also chairs regular meetings with the City and Town Building
Departments.
Core Teams are encouraged to use the PP&E venue to initiate discussions with the City and
Town Building Departments.
See the PM Toolbox training on Permits.

Risk Management and Insurance
The Risk Management and Insurance Department makes decisions regarding required levels
and types of insurance for consultants and contractors, and also analyzes the fiscal health of
those companies. See more information on Risk Management in Project Management below.

Transportation and Mail Services
Transportation and Mail Services works with project teams to identify parking resources both
for contractors and to support the finished project. See the Transportation Infrastructure
Charge Policy in the Cornell Project Delivery Process, Appendix M.

Treasurer’s Office
The University Treasurer (Treasury Management Services):
    Arranges debt financing for projects as necessary.
    Should be consulted on the source of funding for projects that may have an effect on
     historic/cultural resources. Projects using State of New York funds or State-issued bonds
     will trigger review by the NYS Historic Preservation Office.

University Architect
The University Architecht (UA):
    Leads the architect selection process. (See also PM Toolbox for more on architect selection.)
    Serves as steward for all architectural matters, including working with the University
     Planner in the site selection process.
    Makes presentations at CF&PC and B&P for approval of project concept and design.

University Budget Office
Please see this University Budget Office web site for information about this stakeholder.



    Facilities Project Managers Guide                                                       Page 23
University Engineer
The University Engineer ( UE ):
    Works with designers to develop concepts for engineered systems.
    Maintains the Cornell Design and Construction Standards
    Ensures that construction documents comply with the Design and Construction Standards
     and other standards of quality. In this role, the UE
         o meets with the A/E early in the development of the design,
         o reviews design documents.

University Planner
The University Planner ( UP):
    Brings the campus-wide planning context to bear upon the individual project and plays a
     major role in site selection.
    Advises on the long-term planning impacts of siting decisions, both from the University’s
     perspective as well as from the community’s and ensures that decisions are consistent with
     existing plans.
    Writes the Site Development Guidelines (formely called ―Site Criteria‖) for new
     construction projects. (See CPDP, Appendix C).
    Presents selected sites for approval to the CF&PC .

         The Roles of the University Planner and University Architect
         Here is what the Project Manager needs to know regarding the responsibilities of the
         University Architect and the University Planner

                          UNIVERSITY ARCHITECT                        UNIVERSITY PLANNER
            New buildings                               Site selection for new building

            Building expansions                         Landscaping, mapping, signage

            Exterior building changes                   Other site design

            Major interior building changes             Land use questions

            Building aesthetics                         Open space use questions

            Exterior building finish or other changes   Site Development Guidelines

            University Architect Selection leadership   Planning consultant selection leadership



Utilities and Energy Management
Utilities and Energy Management has two principle functions:
    They work with project teams to identify utility construction methods, including metering
     systems and connections to the various campus distribution networks.

    Facilities Project Managers Guide                                                              Page 24
    They provide advice and review of construction documents for energy saving initiatives.
         See Energy Management and Utilities Customer Relations - Construction Projects

External Stakeholder Groups
The project team is responsible for acquiring approvals of the following groups external to the
University.
Note that the Cornell central campus occupies one county and three municipalities.
    Tompkins County
    City of Ithaca
    Town of Ithaca
    Village of Cayuga Heights
In some instances the Village of Lansing and the Town of Dryden may be involved.
Each has unique procedures for permitting and site plan review. The following is intended to
be a very general overview of these processes.

Building Inspector and Fire Marshall
The Building Inspector generally works with the project team and the Architect/Engineer
during design of the project to prepare a strategy for code compliance. The Building Inspector
may include the Fire Marshall to gain consensus on things such issues as fire truck access to
the project site, design of fire protection systems, and proposals for handling flammable
materials.
Although Cornell’s contractors generally apply for building permits and arrange for
inspections themselves, most jobs require the Project Manager to facilitate discussions and
resolution of code issues during construction and project close-out phases.

Community/Neighborhood Associations
Cornell’s campus is surrounded by many neighborhoods, each of which has an association of
homeowners. Cornell’s Office of Government and Community Relations normally arranges for
meetings with these groups as appropriate to keep them informed of projects near their
neighborhoods.

Planning and Development Boards
As mentioned above, Cornell’s central campus in Ithaca occupies Tompkins County and three
municipalities (City and Town of Ithaca, Village of Cayuga Heights).
Each has a unique Environmental Quality Review and Site Plan Review and approval process,
and the PM is responsible for ensuring the timely engagement of the various staff and
planning board groups. See ECOS’s Environmental and Local Approvals Resource (ELAR)
site for information. Also see the PM Toolbox training called ―ELAR Website Review‖.




    Facilities Project Managers Guide                                                     Page 25
Other Boards
These include zoning boards for projects requiring some form of variance. The City of Ithaca
has an Ithaca Landmarks Preservation Commission that must approve projects in the City that
affect historic resources that are Designated Landmarks and Designated Historical Districts.




  Facilities Project Managers Guide                                                  Page 26
Part II: Project Requests and Approval Process
Cornell University Approval Process
Building maintenance, renovation and new construction projects with total costs exceeding
$50K are designated as capital projects.
The Transaction Authority Policy - Procedure for Processing Facilities Projects establishes cost
thresholds and associated approvals.
Schedules for Capital Funding and Priorities Committee (CF&PC) and Building and Properties
Committee (B&P) meetings are published by the Vice President for Facilities Services office
each summer for the upcoming academic year, and include dates for submission of enabling
documents.
PMs should note that all requests and presentations to the Buildings and Properties
Committee (B&P) must first be authorized by the Capital Funding and Priorities Committee
(CF&PC)




  Facilities Project Managers Guide                                                      Page 27
       Transaction Authority Policy
       Procedure for Processing Facilities Projects
       As adopted by the Executive Committee of the Board of Trustees, March 2, 2005. This can also be
       found at http://www.fs.cornell.edu/fs/IR/fs_ta_facility.cfm (Transaction Authority Policy & Procedure
       For Processing Facilities Projects)
       Project Approval                                    Transaction Authority

$50,000 to $500,000 †                              Executive Vice President              for    Finance      and
                                                   Administration or Provost

$500,000 - $5,000,000 †                            CF&PC

$5,000,000 and beyond: New Construction

         Architect Selection                       CF&PC

         Project Concept *                         Buildings and Properties Committee

         Project Design **                         Buildings and Properties Committee

         Project Construction ^                    Buildings and Properties Committee

         Financing                                 Executive Committee

$5,000,000 and beyond: Major Renovation

         Architect Selection                       CF&PC

         Budget                                    Buildings and Properties Committee

         Financing                                 Executive   Committee      (Investment                    and
                                                   Development Committees as appropriate)

Annual Campus Plan                                 Buildings and Properties Committee and Board

Annual Operating & Capital Plan                    Board
 † The B&P Committee may also review any project that significantly changes the outward appearance of a building or
 area within the core campus.
 * Includes a description of the functional program to be satisfied, a general description of the scope of construction,
 citation of the key project schedule milestones, and the major components of a preliminary budget. For new structures,
 Project Concept approval may also include review of criteria for the placement of the structure upon a site.
 ** Design approval includes a review of the schematic or design development documents that illustrate the layout,
 massing and exterior appearance of the facility within the context of its site. Also included is an updated planning
 budget based upon a refined definition of the project scope and delivery schedule.



          Facilities Project Managers Guide                                                                           Page 28
^ Construction approval authorizes construction of the final project scope defined by the construction documents and
specifications. The final project budget is reviewed for the recommendation to the Executive Committee for approval.

      The Project Approval Request (PAR)
      The PAR is the principle enabling document for capital projects. The purpose of the PAR is to
      provide information about the project to the project approvers, including the primary
      customers, and to confirm their agreement with the information provided.
      The electronic PAR Approval Process is available online.
      In general, Project Managers prepare PARs. The Project Manager places his or her name on
      the front page of the PAR, and is the person responsible for the overall execution of the project.
          PARs are submitted through CCF, FM or PDC, or directly to the VP Facilities Services
           office, to be entered into the ePAR system to circulate for signature. This also ensures the
           project is included on the CF&PC/B&P agendas as appropriate.
          The approval of a capital project is accomplished by getting full sign-off of the PAR
           signature page, and approval by CF&PC and B&P, as applicable.
          The PAR template lists specific directions for the creation of the PAR, as well as details on
           who should be included in the signature page.
      Project managers are encouraged to become familiar with the schedules for CF&PC and B&P.
      (For the most recent project approval calendar and the schedules for CF&PC and B&P
      approvals, see Project Approval Calendars in Information and Resources)
          CF&PC meets monthly
          B & P meets seven times a year, in September, October, December, January, March, May
           and June.
      See How to Write a PAR below, and the various types of PARs.
      Project Managers for State-funded and Contract Colleges projects should consult with the CCF
      office to obtain the slightly different PAR template and coordinate with their schedule due
      dates for submittal. Its PAR template is located under Get Things Done on CCF’s home page.
      Please note the CCF approval calendar that this section provides.

      Project Plans
      Project Managers are encouraged to write a Project Plan for projects requiring approval by
      CF&PC. The Project Plan uses the PAR template and describes the overall project purpose and
      scope, and an estimated schedule, and budget. Project Plans may be combined with PARs
      requesting approval to begin design work, or for large projects for approval to begin planning.
      See a Sample Project Plan.




          Facilities Project Managers Guide                                                                    Page 29
How to Write a PAR
The PAR is the first approval needed in order for a project to take the next step in the planning
phase. See Initiate Project in Part IV.
In the Cornell Project Management Methodology Guide (CPMM), which is a general
introduction to project management, the PAR is referred to as a PIP. (Project Initiation Plan).

Types of PARS
In the Plan/Design/Bid/Construct Model used at Cornell, the PM might generate PARs
throughout the various phases of the project. There are three general phases of a project:
Planning, Design, and Construction. The most often used PARs for each phase include:

       Concept PAR
       A Concept PAR is used during the Planning Phase and may include the following:
                Fleshing out alternatives
                Outlining the major Alternatives Considered and Why Rejected
       See below Part IV: for more on the Concept Study.

       Design PAR
       The description of the scope in a Design PAR may include this type of language:
                Create design
                Design layout
       o See Section 3.3 of CPDP Guide, page 36ff.
       When the PM outlines the scope of work during the Design Phase with the client,
       she/he should refer to the Owner/Architect Agreement Schedule G.          This contract
       includes what architects and engineers are required to provide during the design phase.
       The PM may want to split the design phase into three PARs:
                Schematic Design PAR
                Design Development PAR
                Construction Documents and Bid PAR
       Each of these PARs is a milestone in the design process.




  Facilities Project Managers Guide                                                       Page 30
       Construction PAR
       The scope of a Construction PAR may include these terms:
                Demolish…
                Construct…
                Provide (furnish and install)…
       See Section 3.5 of CPDP Guide page 39ff.

       Revised PARS
       On an infrequent basis it is necessary to revise a PAR. This may be due to a change in
       the project scope, schedule, or budget. Revised PARs follow the same procedures and
       pathways as the original PAR. An effective way to write a revised PAR is to use the text
       of the original and insert changes in bold type. This allows the reviewers to readily see
       the changes from what they had originally approved. See Sample Revised PAR.

       Revised PARs are submitted for the following cases:
       1) To request an increase in the approved project budget;
       2) For revisions to the project’s scope of work;
       3) For project schedule changes due to unforeseen issues/conditions that occurred
       during the current phase (design or construction) of the project.

Municipal Approval Process
Local Municipalities
The requirements for municipal approval and permitting vary by municipality. Portions of
Cornell’s main campus fall into the jurisdiction of the:
       o City of Ithaca
       o Town of Ithaca
       o Village of Cayuga Heights.
Projects off of the main campus may also be in the:
       o Town of Dryden
       o Town of Lansing
       o other municipalities




  Facilities Project Managers Guide                                                      Page 31
State-funded and/or State-owned Buildings
Projects funded by the State University Construction Fund (SUCF) or performed in a state-
owned building are not subject to approval by the local municipality, but instead are reviewed
and approved by the Code Enforcement Officer in the Contract Colleges Facilities Office.
New York State Building Code and Local Code Ordinances
All but very small projects require a building permit issued by the municipality in which the
project is located. A prerequisite to obtaining a permit is the demonstration to the building
inspector that the project meets applicable requirements of the New York State Building Code
and local codes and ordinances.
Building Inspector / Fire Department
The Project Manager is responsible for arranging communication between the designers of the
project and the building inspector. These meetings may also include a representative from the
fire department and from Cornell’s Environmental Health and Safety group. PDC’s Project
Planning and Estimating group meets regularly with both the City and Town of Ithaca
Building Departments. Project managers are encouraged to use these meetings to initiate
discussions on new projects.
Municipal Site Plan Approval
Projects that change the exterior appearance of the campus generally require site plan
approval from the municipality in which the project is located. Municipal Site Plan Approval
is a multi-step process that includes
    an environmental quality review and
    Preliminary and final site plan review and approval.
The project manager is responsible for moving the project through these processes and
including stakeholders as appropriate to the project.
Municipal Approvals
As with Cornell’s internal approvals, the Project Manager must include time for municipal
approvals in the overall project schedule. Projects under SUCF or CCF Code Authority are
exempt from Municipal site plan review, but courtesy presentations are sometimes given.




    Facilities Project Managers Guide                                                  Page 32
Project Authorization Letter
Once a project has been authorized/approved by the appropriate group and all signatures are
complete in the ePAR system, the Office of the Vice President for Facilities Services issues a
Project Authorization Letter (See the sample in the CPDP, Appendix, Item O).
This letter serves as the vehicle for Contracts and Capital Projects to request an account from
the Division of Financial Affairs and proceed with the issuance of contracts for the project.
Without this documentation, the C&CP office does not have authorization to proceed or incur
expenses for the project. No project may start without a written contract.

Letter of Authorization
Under certain circumstances, a project contract may commence with a Letter of Authorization
(LOA) signed by the Vice President for Facilities Services or Executive Vice President for
Finance and Administration, depending on the dollar amount requested. A LOA is a
contractual document that authorizes a consultant or contractor to proceed with a fixed scope
of work and to expend a fixed dollar amount which sum shall then be included in their
contract.




  Facilities Project Managers Guide                                                     Page 33
Part III: Project Controls
Introduction
This section describes Project Controls. Project Controls exist to help insure projects are
efficiently organized and executed in a manner consistent with sound business practices.
Controls exist for the following areas of project management:
    Budget Development
    Funding Plan
    Schedule Development
    Contracts
    Invoices and Payment Applications
    Financial Reviews and Reporting

Budget Development
Budget Planning Phases: Overview

         Planning Phase
         The Project Manager, working with the Core Team, develops an initial model for the
         overall project budget during the Planning Phase, using benchmark data and the Project
         Budget Template. See CPDP Guide Item L. (Disclaimer: Please note that at this time, the
         budget model provided here does not match up with the Project Manager’s report
         produced for the project.).

         Design Phase
         The Project Manager develops and refines the budget model as the project proceeds
         through the Design Phase.

         Bid Phase

         Construction Phase Cost Tracking
         During the Construction Phase, or project execution phase, the Project Manager updates
         the budget model at least monthly, including approved amounts, paid amounts to date,
         and forecast amounts, for each line of the budget model.




    Facilities Project Managers Guide                                                    Page 34
Budget Template
Budget development, tracking and control are primary responsibilities of the Project Manager.
The main subcategories of project costs from the Project Budget Template are:
     1.   Construction
     2.   Planning & Design
     3.   Furniture, Fixtures & Equipment (FFE)
     4.   Project Support
     5.   Transportation Assessment (if applicable. See Appendix, Item M, in CPDP Guide)
     6.   Project Management
     7.   Project Contingency

The definitions of the above budget lines are provided in the Appendix of the CPDP Guide,
Item L. (Disclaimer: Please note that at this time, the budget model provided here does not
match up with the Project Manager’s report produced for the project.)

Planning Phase Budget Development
The development of a Planning Budget can start with either:
    the selection of a desired budget number, from which a corresponding range for
     project/program scope can be derived, or
    a program scope, from which a budget range can be derived.
          In either case a key deliverable for the Project Team is to establish a range of typical unit
          ($/sf) construction costs and a ratio of construction costs to total project cost.
Estimations of unit construction cost are based on a preliminary understanding of the program
and site, and selection of appropriate benchmark projects for comparative purposes. The
Project Team will select representative projects at Cornell and, if possible, at other institutions,
to establish a range of unit $/SF construction costs.
 The Project Manager will also work with the core team to identify any unusual project ―soft‖
costs. For purposes of the initial Planning Budget, the ratio of construction cost to total project
cost at the beginning of a project is generally in the range of 2/3 to 3/4, and depends on the
anticipated level of the soft costs.
Soft costs are all costs not incorporated in the finished building; they are the expenses other
than bricks and mortar incurred in developing a building project. Lines 2.0 (Planning and
Design), 4.0 (Project Support), 5.0 (Transportation Assessment) are budget line items for soft
costs. 1.0 (Construction) and 3.0 (FF&E) may also show soft costs for suchs things as quality
assurance services.
The following table lists the soft cost budget lines and a range of typical percentages of project
cost.




    Facilities Project Managers Guide                                                           Page 35
                                                         LOW               HIGH
       Planning and Design                  10%                  16%
       Fixtures, Furnishing and Equipment   2%                   6%
       Project Support                      2%                   8%
       Transportation Assessment            2%                   2%    See CPDP
                                                                 Guide Appendix, M
       Project Management                   2%                   6%
       Contingency                          8%                   10%

Building efficiency is another important factor in establishing the relationship between
program size and construction cost. The ratio of net program area to building gross area is
normally in the range of 55% to 65%.
Remember that the cost per square foot is proportional to efficiency; the higher the efficiency,
the greater the cost per gross square foot.
              Relationship Between Area Efficiency (NASF/GSF) and Cost Per GSF

     NASF          GSF         Efficiency       Cost/GSF              Total Cost

    80,000       160,000    50%             $      200         $ 32,000,000
    80,000       153,846    52%             $      205         $ 31,538,462
    80,000       145,455    55%             $      211         $ 30,690,909
    80,000       140,351    57%             $      218         $ 30,596,491
    80,000       133,333    60%             $      225         $ 30,000,000
    80,000       129,032    62%             $      230         $ 29,677,419
Note: It's not easy to increase efficiency. The program and mechanical space are the costlliest spaces.
As efficiency increases, it's the less costly space that's being reduced.
Please note that un-programmed space includes
    entrance areas
    attics
    mechanical rooms
    lavatories
    corridors
    stairways
    space within walls
     ―left-over‖ spaces that occur in a building design.
To estimate archiving fees, see Worksheet for Computation of Capital Project Fees (projects $50K or
greater)

    Facilities Project Managers Guide                                                              Page 36
Design Phase Budget Development

      Feasibility Study Phase Budget Development
      A feasibility study can be quickly done for some projects, but significant projects
      usually require a feasibility / concept study. Using the preliminary program
      requirements for the project, an ―order of magnitude‖ planning budget will be
      developed by the Core Team. See sample feasibility study.
      During this phase of the project a range of project costs, e.g., design fees, management
      fees, construction estimate, should be used. This range of costs will be further refined as
      the design progresses.
      Realistic contingencies to account for unforeseen circumstances during the development
      of the project should be established. These tend to be substantial at this stage of project
      development.
      The product of a feasibility phase is the Schematic Design PAR and the budget for this
      phase, discussed next.

      Schematic Design (SD) Phase Budget Development
      An important objective at the end of the feasibility study is to develop a Schematic
      Design phase project budget for the project scope that fully meets the program
      requirements. The project budget should only require slight adjustments after the end
      of this phase if the scope of the project does not change.
      The Core Team should follow these steps to develop the SD budget:

      Step 1: Parallel estimate
      In addition to the SD cost estimate provided by the design consultant as part of their
      contract, an independent cost estimating professional should be used to furnish a
      second, parallel cost estimate of the proposed work. The estimates should utilize similar
      formats so that they can be easily compared.

      Step 2: Reconciliation of estimates
      To the extent possible, both estimators must reconcile the two cost estimates to ensure
      that they both include the same scope of work. The result of this reconciliation is the
      determination of a budget for the project.

      Step 3: Allowance Items
      Identify, and budget for, those items that will be carried in the budget as ―allowance‖
      items. Such things as furniture, special user equipment, audio-video equipment, special
      furnishings, etc., may fall into this category. This allowance will represent the not-to-
      exceed amount for these items.

      Step 4: Value Analysis /Value Engineering (VA/VE)
      Earned Value Management (EVM) is a project management technique that measures
      project progress objectively. EVM has the unique ability to combine measurements of
      technical performance (i.e., accomplishment of planned work), schedule performance

 Facilities Project Managers Guide                                                        Page 37
     (i.e., behind/ahead of schedule), and cost performance (i.e., under/over budget) within
     a single integrated methodology. EVM provides an early warning of performance
     problems while there is time for corrective action. In addition, EVM improves the
     definition of project scope, prevents scope creep, communicates objective progress to
     stakeholders, and keeps the project team focused on achieving progress.
     This process is a rigorous one, in which the project manager attempts to deliver project
     scope at a lower cost. The Project Manager’s responsibility is to consider life cycle costs.
     In this process, called ―value analysis / value engineering‖ (VA/VE), the core team,
     impacted stakeholders, and appropriate experts need be invited to review and accept
     decisions.
     VA/VE is one of the first steps in the Earned Value Management process, which is
     designed to test and validate cost estimates. The team will identify a long list of items
     to consider, if estimates exceed the target budget established during the Feasibility
     Planning Phase. It is strongly recommended that the Project Manager manage the
     project at or below the maximum range of costs for the design at this phase, before
     moving on to Design Development. It will become increasingly more difficult (and
     costly) to identify significant cost savings as the design moves toward completion.
     See PM Toolbox training Life Cycle Costing in Value Engineering
     See Sample SD VE
     Sample SD Cost Strategy.
     At the end of Schematic Design, the project budget and program should be aligned and
     the final budget should be approved.
              If the budget and the scope do not yet align, the team will return to the SD
               process to make the adjustments necessary to get the project scope and
               budget in alignment before proceeding to the Design Development phase of
               work.




Facilities Project Managers Guide                                                         Page 38
      Design Development (DD) Phase Budget Development

     Step 1: Perform a cost/value analysis
     The selected service provider of pre-construction services may perform this analysis
     which allows the contractors to review the design and propose alternatives that could
     result in additional cost savings. Design options must be decided on so that the design
     may progress including the lowest cost systems/assemblies that meet the stated design
     criteria. This step is a follow up to the cost/value analysis that was conducted at the
     end of Schematic Design.

     Step 2: VA/VE Items
     Determine a comprehensive list of VA/VE items to be considered through the
     subsequent design and bid phase. Even if the budget estimate shows the project aligns,
     this will not be certain until after bids have been secured and analyzed. See sample DD
     VE.

     Step 3: Life Cycle Costs
     Cornell’s project teams are required to design for minimum life cycle costs. Core Teams
     will consult with Cornell stakeholders (for instance, Maintenance Management,
     Utilities, and other Facilities Services groups) to solicit their participation in design
     decisions regarding life-cycle costs, durability and maintainability.
     See the PM Toolbox training Life Cycle Costing in Value Engineering.

     Step 4: DD Estimate
     Perform a DD estimate at the end of the Design Development Phase along with an
     optional parallel estimate from an independent, professional cost-estimating firm as
     deemed necessary by the Project Manager. This estimate should have a consistent
     format with schedule of values in the budget template so that useful forecasting
     statistics can be maintained.

     Step 5: Project Budget Validation
     Validate the Project Budget with the DD estimate. At this phase of design, the range of
     costs must be narrowed to a fairly certain Project Budget target that will carry through
     the Construction Document/Bid Phase.

     Construction Documents Phase Budget Development
     The design must not change during this phase.
     Alternates to the base bid design must be finalized and agreed to by the Core Team.
     Alternates are often developed during the Construction Documents (CD) phase to
     estimate the costs of specific scope elements or to identify scope that can be deleted
     from the project in the event that the bids exceed the budget.
     Separating items provides a clear means for cost benefit analysis of options that would
     enlarge or shrink the building program, according to the available project budget.

Facilities Project Managers Guide                                                      Page 39
         A final CD cost estimate is prepared at the end of this design phase.
         A contractor selected to perform pre-construction services will review the construction
         documents to validate the final cost estimate and to help avoid potential bid cost over
         runs.
         Perform final budget reconciliation just prior to bid. Ensure that the selected alternates
         will allow a construction contract to be issued.

Bid Project Phase Budget Development
 The Contracts & Capital Projects Office (C&CP) is responsible to uphold the integrity of the
   bid process for all construction projects at the University.
    For all projects, the Architect /Engineer provide the Technical Requirements
     (specifications and drawings).
    The Core Project Team edits Cornell’s General Requirements to represent the specific
     circumstances of the project, and provides both the Technical and General Requirements to
     the Contracts & Capital Projects Office.
    C&CP prepares Instructions to Bidders, Bid Forms and Cornell’s General Conditions with
     assistance from the PM as requested.
    C&CP issues the resulting bid documents and administers all flow of paper and
     information associated with the bid, including conducting the bid opening.
         o See in the CPDP, Appendix G, Bid Document Package, and Appendix H, General
           Conditions and General Requirements.
         o See C&CP web page Pricing your Construction Project .

         Lump Sum Projects
         On lump sum projects, the bids from the invited general contractors are received by
         C&CP and analyzed with the Core Team.

         Public or Private Bid Openings
         Bid openings are typically public. However, private openings may be held at the
         discretion of the Contracts & Capital Projects Office. (State-funded Project must conduct
         a public bid opening).
         If a qualified bid is within the Project Budget, a contractor may be selected for the work.

         GMC Projects Negotiations
         When the form of contract is Guaranteed Maximum Cost (GMC) the Core Team and the
         Contracts & Capital Projects Office will negotiate General Conditions, General
         Requirements (which can be found in the CPDP, Appendix H), contractor fee, and other
         contractual terms with the selected general contractor. See PM Toolbox Training
         Negotiations for Project Managers and Fixed Price Audit Program.
         All work will be competitively bid by the selected general contractor, and the result will
         be a negotiated guaranteed maximum cost for the work, that is within the project
         budget.
    Facilities Project Managers Guide                                                        Page 40
     GMC may be used when there is a challenging project schedule or a highly technical or
     complex project.
     The GMC delivery method allows the owner, contractor and design team to work
     together to save time during construction.
     o See the GMC Cost of Work spreadsheet for estimating.
     o See Appendix for examples of GMC documents and spreadsheets:
              GMC Systems
              GMC Cost of Work (Current Bidding Climate)
              GMC GC’s

     Bids Exceed Construction Budget
      If all bids exceed the construction budget, conduct a scope review and/or value
     engineering (cost saving) session to determine if the project can be completed within the
     approved construction budget. This is sometimes referred to as ―de-scoping the
     bidder‖.
     De-scoping the bidder is the process the Project Manager uses to reassure herself that
     the contractor has provided a responsible bid and has priced the project for the scope of
     work the contractor was asked to bid on. The Project Manager might sit down with the
     contractor and review the responsibilities of the contractor in order to confirm explicitly
     what the contractor is responsible for in the bid scope.

     Awarding the Project to a Bidder
     On a Lump Sum project, award is made on the basis of low base bid or project specific
     criteria. Once this selection has been made, alternate pricing is then taken into
     consideration.
     State-funded projects are awarded on the basis of base bid plus alternates in sequential
     order.
     A contract is then awarded by the Contracts & Capital Projects Office.
     Prior to award, the Core Team considers and makes decisions as to incorporation of all
     acceptable VA/VE suggestions made by the selected contractor.
              See the PM Toolbox Training Bidding a Project.
              See sample budgets.

     Construction Phase PAR
     The Construction Phase PAR is finalized with the construction budget fixed, including
     contingency. Funds are authorized.




Facilities Project Managers Guide                                                        Page 41
Construction Phase Cost Tracking
Construction phase Project Contingency is generally set at 10% of the value of the
construction contract. During the Construction Phase, the Project Manager and Construction
Manager are responsible for
    administering the intent of the construction agreement
    monitoring progress
    ensuring conformance to plans and specifications
    quality control
    payment application approvals
    pending items
    controlling the budget

         Pre-construction
         The Project Manager should implement effective processes of communication between
         the Core Team, design consultant and contractor.
         See PM Toolbox Training:
         o Projects Communications Plan
         o Managing Expectations
         o Project Communications
         o Project Communications Checklist (use this as a model)
         o The Project Manager is responsible for conducting a pre-construction meeting per
           the terms of the Agreement.
         Prior to a contractor mobilizing on site, a contract must be fully executed and all
         contractual requirements for insurance, bonding, etc., as specified in the Contract must
         be in place. Project-specific methods for addressing such things as Change Orders,
         answering questions related to the work and control of payments are discussed. See
         Risk Management below.
         Minimize or eliminate the occurrence of ―scope creep‖. Contingency funds are not to be
         used for discretionary design changes or scope items not specifically defined in the
         PAR.
         The Project Manager and Construction Manager develop an expedited means to
         review/approve submittals, and monitor it carefully. Coordination of trades and site
         logistics must be expedited, as well, by the Construction Manager.




    Facilities Project Managers Guide                                                     Page 42
     Construction

     Keep Schedule
     The Construction Manager keeps to current published schedule.
     The Project Manager and Construction Manager avoid discretionary changes to the
     design at this phase. Changes made now carry a severe cost penalty.

     Validate, Track and Monitor Change Orders
     o The Project manager and Construction Manager validate all Change Orders in a
        timely manner including the processing of contractual change orders. Document the
        cause of all Change Orders ( e.g., field conditions, design errors and omissions,
        owner initiated program change).
     o Keep an accurate, current Change Order log and insure Change Order costs are
       added to/deducted from the Master Project Budget Model.
     o See C&CP website for information on change orders.
     o See Sample Change Order letter.

     Review for ADA Access Compliance
     Project Managers should -keep an accurate review of partners consulted on access
     review, as well as have conversations with architects and Cornell University staff on
     access elements.

     Timely Responses to Contractor
     Make sure there is always a timely response to all requests by the Contractor.
     Adopt an effective system to manage and document this flow of information.

     Timely Payments
     Make timely payments. See invoice payment.

     Quality Assurance/Quality Control
     Implement a Quality Assurance/Quality Control system during the Construction
     Phase. See PM Toolbox training Quality Control, Inspections and Commissioning.
     Also, see next section.

     Monitor Contractor’s Compliance
     Continue to monitor Contractor’s compliance with contractual submissions. Many
     different Cornell stakeholders can play a role in monitoring compliance. The Cornell
     shops, structural engineers, designers, project team, EH&S, clients, the commissioning
     agent, Maintenance Management, are examples of groups who can provide input into
     compliance of the contractor.
     See PM Toolbox training for contractor compliance and quality assurance topics
              Energy Management Tools
Facilities Project Managers Guide                                                     Page 43
                        LEED Rating System at Cornell
                        Quality Control, Inspections & Commissioning
                        Testing & Inspection Services
                        Your Project and Environment Health and Safety

               Close-out/Move-in
               During this phase of the project, the Project Manager should promptly initiate the
               financial close-out of all Project commitments. This will avoid accumulation of
               unnecessary administrative costs to the Project.

               Resolve any claims
               The Project Manager should resolve any claims. See Risk Management. Morever, this
               is a good time to advise other Project Teams of any lessons learned and/or innovations
               that could be used in the future.

Project Contingencies
      Capital building project budgets carry three types of contingencies:
          Escalation
          Design
          Construction

               Escalation Contingency
               Escalation Contingency adjusts the project budget model for changes in the cost of
               construction, caused by increases in labor costs and volatility/increases in material
               costs, and inflation of the other budget lines over time.
               Escalation Contingency must be considered for projects lasting over a year.
               The following guidelines apply to the use of cost escalation in project budgets.
               o Project budget models should list a separate line for escalation for each of the six
                 major budget categories. Construction cost estimates from our pre-construction
                 estimators should break escalation out separately and the same factor used to
                 escalate the construction estimate to the bid date should be used in the Construction
                 section of the project budget.
               o Escalation factors will probably be different for each of the project budget sections.
                 For example:
                        The Planning and Design section might not escalate once the A/E fee has
                         been negotiated.
                        Project Management costs will escalate with increases in the enterprise billing
                         rates.
                        Construction costs will escalate per the anticipated conditions in the local
                         construction market.


          Facilities Project Managers Guide                                                        Page 44
     Projects with fixed, non-escalating budgets
     o Projects with fixed, non-escalating budgets are more sensitive to volatile
        construction escalation than projects that are allowed to escalate.
     o Fixed budget projects require the project team to estimate future escalation figures at
       the start of the project, and then adjust the scope if the escalation estimates are
       wrong.
     o Scope adjustment can be very difficult, especially late in the design phase of the
       project. Consequently fixed budget projects require a more conservative approach to
       picking escalation figures, i.e., they have a larger escalation contingency.
     o The intent of fixed project budgets is to emphasize preservation of project budget
       over scope.
     o The preferred method for building the project budget is to structure the budget
       model at each project milestone cost estimate (i.e., Concept, SD, DD 50%DD),
       assuming immediate construction start. Then an escalation contingency factor is
       applied to each of the main budget subcategories to arrive at the total project cost.
       Finally the scope is adjusted as required to match the estimated total project cost to
       the budget. Escalation contingency applied to the construction line should come
       from the construction cost estimators working on the project, in concert with the
       Project Team.
     o Finally the scope must be adjusted as required to match the estimated total project
       cost to the budget. Escalation contingency applied to the construction line should
       come from the construction cost estimators working on the project, in concert with
       the Project Team.
     o Projects with fixed, nonescalating bugets should include bid alternates that may be
       taken in the event that escalation assumptions are inadequate. Development of a
       strategy for use of alternates is particularly important if the project budget is non-
       escalating.

     Projects with budgets that are allowed to increase with escalation
     o Projects with budgets that are allowed to increase with escalation are easier to match
        scope with cost than projects with fixed budgets, because there is less risk from
        faulty escalation assumptions.
     o The concept is that, if you can afford the project now, you will be able to afford it in
       the future because you are protected from escalation, except in circumstances where
       the escalation is so extreme, the project becomes unaffordable.
     o For projects with budgets that are allowed to escalate, the starting budget is allowed
       to escalate from the project approval date (the date the project base budget is set) to
       the start of construction.
     o The intent of escalating project budgets is to emphasize preservation of project scope
       over budget.



Facilities Project Managers Guide                                                        Page 45
     o Escalating project budget models can be structured in the same manner as non-
       escalating projects except the escalation contingencies are treated as additions to the
       project budget.
     o The purpose of the escalation contingency is to provide an estimate of the eventual
       total project cost.

     Design Contingency
     Design Contingency is used in the design phase of a project in acknowledgement that,
     until the design is completed, the construction cost estimate is based on incomplete
     information.
     The following guidelines apply to use of Design Contingency in project budgets.

     Design Contingency for Design Phase of Budget
     Design phase Project Contingency is used during the design phase of the project to pay
     for things such as
     o increases in A/E fees due to program changes,
     o complications in the site plan review process, or
     o delays in the project during which the project team continues to work and bill its
       time.
     The Design Contingency belongs in the construction section of the budget. Funds are
     moved from the Design Contingency line into the construction line to pay for scope that
     is identified as the design progresses.
     There is no need for a Design Contingency when using unit square foot costs to
     benchmark the cost of a proposed project during the Planning phase. The proposed
     project is being compared to an existing facility that is complete.
     The Design Contingency should be set at 10% to 15% of the construction cost-of-work
     amount in cost estimates during the planning or feasibility stage of a project. Projects
     typically carry
     o 10% at the end of Schematic Design,
     o 5% at the end of Design Development, and
     o 2.5% at the 50% construction document estimate.
     o Design Contingency is 0% when the design is complete and ready for bid.

     Construction Contingency
     Construction phase Project Contingency is generally set at 10% of the value of the
     construction contract. Project contingency is used during the construction phase for
     some of the above reasons, as well as for the following possibilities:
     o unforeseen expenses in areas such as underperforming value engineering initiatives,
     o quality assurance inspections
     o    added commissioning costs. See sample budgets.
Facilities Project Managers Guide                                                       Page 46
     o allowances or alternates to the construction contract
     o Factory Mutual (insurance) or Building Inspector requirements identified during
       construction.
     Use of the contingency for these items is generally determined by the Project Manager
     with input from the Construction Manager.
     Project Contingency is also used during the construction phase to pay for three general
     categories of cost increases related to the construction contract:
     o Errors and Omissions
     o Unforeseen Conditions
     o Scope / Project Changed

     Errors and Omissions
     Errors and Omissions (E&O) in the design documents are defined this way:
     o Errors occur when the designer makes mistakes in the contract documents; e.g.
       specifying a 32‖ wide door when a 36‖ door is required.
     o Omissions occur when the designer neglects to put something in the contract
       documents that should have been there; e.g. forgetting to put a door where one is
       needed.

     Unforeseen Conditions
     Unforeseen conditions occur when the architect or contractor had no way of
     anticipating a job site condition that affects the project. For example, in a renovation
     project the contractor may discover a structural problem in the building when a wall is
     opened up. Another example is the contractor doing an excavation and encountering a
     utility line that was not on the construction documents and not on the Owner’s utility
     maps. In each case, no one is responsible for not having addressed the condition in the
     construction documents and Cornell must pay to fix the problem.

             Responsibility: E & O and Unforeseen Conditions
              The Project Manager is responsible for determining use of contingency in the
               E&O and Unforeseen Conditions categories.
              Project teams frequently encounter circumstances at the conclusion of a
               project, when the building is newly occupied and problems arise as a result of
               the dissatisfaction of certain occupants or stakeholders. For example, the
               occupant of an office might want an extra data outlet, or a piece of mechanical
               equipment may prove to be unreliable, even though it was purchased and
               installed according to the contract documents. The Project Manager is
               responsible for post-construction contingency use when it falls into the E&O
               and Unforeseen Conditions categories.

     Scope/Program Change


Facilities Project Managers Guide                                                      Page 47
     Scope or program changes occur when Cornell makes a change to the scope of the
     project after the work has been bid and awarded. It is important to note that
     discretionary changes to the project after construction has begun are strongly
     discouraged.
     Although Project Contingency is not intended for scope/program changes during the
     construction phase, these changes are sometimes unavoidable.
     Typically there is an executive committee comprised of the Project Manager and the
     PDC Director; there may also be a a central admininistrative representative and the
     program representatives. This group discusses options and makes a recommendation
     on the use of contingency. At the next level--VP Facilities— s/he will probably insist
     on bringing forward a PAR to approve the use. For example, on the Life Sciences
     Technology Building project, the PAR's have noted the use of contingency and asked
     for backup in that amount if the project goes over budget.

             Responsibility: Scope / Program Change
              Requests to spend construction contingency on Scope/Program change
               require the authorization of the
                   VP for Facilities Services,
                   the person representing the source of the funding, and, depending on
                      the size of the change,
                   CF&PC.
              When large projects are involved, the Executive Committee should make
               timely decisions on the use of contingency for scope changes.
     A Construction Contingency Worksheet         for exposures is available for project
     managers.




Facilities Project Managers Guide                                                   Page 48
                                                         BUDGET

   TYPE OF                  PLANNING                   DESIGN                 CONSTRUCTION
CONTINGENCY
                   The Planning and Design section might not          Construction costs will
 ESCALATION
                   escalate once the A/E fee has been negotiated.     escalate per the
                   Project Management costs will escalate with        anticipated conditions in
                   increases in the enterprise billing rates.         the local construction
                                                                      market.
                   10% to 15% of the         10% of the cost of the   The Design Contingency
   DESIGN
                   construction cost-of-     design fee for each      belongs in the
                   work amount in cost       phase                    construction section
                   estimates during the      --10% at the end of
                   planning or feasibility   Schematic Design,
                   stage of a project.
                                             --5% at the end of
                                             Design Development,
                                             and
                                             --2.5% at the 50%
                                             construction
                                             document estimate.
                                             Design Contingency
                                             is 0% when the
                                             design is complete
                                             and ready for bid.
                                                                      10% of the value of the
CONSTRUCTION
                                                                      construction contract.
                                                                              Errors and
                                                                              Omissions
                                                                              Unforeseen
                                                                              Conditions
                                                                              Scope / Project
                                                                              Changed




   Facilities Project Managers Guide                                                              Page 49
Capital Project Funding Plan
Each capital project is required to have a funding plan, identifying
    the source(s) of funding for project costs,
    the need for debt financing and
    the source of repayment of debt service (principal and interest).
This funding/financing plan is the responsibility of the business manager or similar position
within the unit that is providing the project funding.
Funding sources, including identification of account numbers, must have sufficient funds
available to cover the project cost or an explanation of where funding will ultimately come
from. If debt financing is needed to cover project cost, either on a short-term, bridge basis or
long-term, permanent basis, the unit business manager is to work with the University’s
Director of Debt on the loan terms and loan application process.
Project funding to come from gifts must have backup listing the gifts raised for the project,
payments received, and a schedule of anticipated payments on outstanding gift pledges.

Schedule Development
Schedule development and update is another principal responsibility of the Project Manager.
The contractor provides the schedule to the Project Manager.
A properly designed schedule includes
    each phase of design work with time for design review
    cost estimating milestones
    associated redesign periods if needed,
    bid or buy-out period,
    construction period, and
    internal and municipal approvals.
The duration of a typical project that experiences no unusual delays, from start of initial
programming through move-in of users, ranges from 6-8 months for a smaller project
designed and built by PDC, to five or six years for a large laboratory building.
See PM Toolbox training Construction Scheduling

Contractual Agreements
After a consultant or contractor has been selected for a project, and prior to start of design or
construction work, the terms and conditions surrounding the execution of the work must be
documented in a Contractual Agreement.
Cornell’s Office of Contracts & Capital Projects (C&CP) maintains Cornell’s contractual
instruments and develops all Contractual Agreements between the University and its
consultants and contractors. The Project Manager is responsible for working with Contracts &

    Facilities Project Managers Guide                                                     Page 50
Capital Projects on modification of the contract instrument to meet the specific requirements of
the project.

Design Agreements

       Project Manager Issues Request for Proposal (RFP)
       The Project Manger issues the RFP. In order for a contract to be executed with a
       consultant, the consultant needs to have responded to a Request for Proposal which
       includes
       o a description of the services requested,
       o the deliverables and schedule requirements, and
       o a copy of Cornell’s A/E agreement (see page 8) which allows the consultant to
         respond to the RFP with an understanding of the terms of the proposed contract.
       o The University Architect is also involved in the selection of an architect for the
         project.

       Project Manager Presents Proposals to C&CP
       The Project Manager should review thoroughly (but not sign) proposals from
       consultants to ensure that all required work has been addressed and that no fees are
       included for services that are not requested (alternate pricing options may be identified)
       and present the resulting proposal to Contracts & Capital Projects for consideration in
       the preparation of a contract.

       C&CP Reviews Proposal
       Contracts & Capital Projects will review the proposal to make sure that it is consistent
       with the stipulations within the proposed contract.




  Facilities Project Managers Guide                                                           Page 51
     Types of Design Agreements


                  DOCUMENT                   USE             BACK-      LIMIT
                    NAME                                       UP

               Owner/Architect          Professional         None    Less than
               Agreement                Design Fees                  $100,000 in
               (Short Form)             and Services                 Professional
                                                                     Fees
               Short Form
               (limited)
               Short form (full
               service)

               Owner/Architect          Professional         None    Greater
               Agreement                Design Fees                  than
                                        and Services                 $100,000 in
               See Long form
                                                                     Professional
                                                                     Fees

               Preconstruction          Preconstruction      None    No Limit
               Services                 Fees and
               Agreement                Services



     See Design Agreements.
     See Blanket A/E Agreements.
     See relevant sections in PMToolbox Architectect Procurement
     For Contract College Facilities, see
     o Pofessional Service Selection Information Sheet
     o Standard 254 Form
     o Standard 254 Form Guidelines




Facilities Project Managers Guide                                           Page 52
Construction Agreements
The Core Team, working with Contracts & Capital Projects, selects the bid and/or negotiates
the proposal that is most advantageous to the University.
Contracts & Capital Projects handles the development and execution of the construction
contract.

       Types of Construction Contracts


                  DOCUMENT                         USE                    BACK-UP                LIMIT
                    NAME
        Short form agreement          The procurement of        Written scope of         Typically
                                      small renovation and/or   work, contract value     $100,000
                                      construction services     cost, schedule,
                                                                funding source, PAR
                                                                (over $50,000)
        Construction                  Construction costs and    Bid Form Plans,          Typically
        Agreement                     services contracted       Specifications,          greater than
                                      with a Lump Sum cost.     Addendums                $100,000
                                                                incorporated by
                                                                reference.
        *Guaranteed Maximum           Construction costs and    Contractor Proposal,     Typically
        Cost (GMC) Agreement          services contracted       General Conditions       greater than
                                      with a Guaranteed         Costs, Assumptions       $1,000,000
                                      Maximum Cost              and Clarifications
                                                                Plans, Specifications,
                                                                Addendums
                                                                incorporated by
                                                                reference.

       *These are customized agreements in which the Project Team works closely with the
       Office of Contracts and Capital Projects on the wording of the General Conditions (see
       GMC GC’s).
        Key items for negotiation with the Construction Manager include fee, general
       conditions costs (see GMC GC’s), contractor’s contingency and sometimes
       incentive/disincentive clauses.
       Under this contracting method, assembly, distribution of the bid documents and receipt
       of bids for subcontractor work is generally done by the Construction Manager.
See PM Toolbox Training Managing Contracts.




  Facilities Project Managers Guide                                                                      Page 53
Invoices and Payment Applications
The Project Manager is responsible for insuring the accuracy and appropriateness of payments
made by the University to consultants and contractors in payment for execution of the various
work tasks of the project. C&CP oversees the payment of invoices for projects.

Setting up an Account
Before invoices can be paid, the PM must generate a PAR and have an Approval Letter, which
C&CP uses to set up the project account with the Division of Financial Affairs (DFA).
Each month C&CP receives an accounting statement from DFA.

Receipt of Invoice in C&CP
Invoices are received by the Contracts & Capital Projects Office. Invoices received by the
Project Manager or Construction Manager should be routed to C&CP.

C&CP Review of Invoice
Upon receipt of an application for payment C&CP performs the following steps before
forwarding it to the Project Manager for approval:
    Identify the payment source
    Review the payment history
    Check invoice against contract terms and conditions
    Resolve any discrepancies with the applicant’s accountant

Construction Manager Reviews
The Construction Manager reviews the construction invoices. The Construction Manager
negotiates changes, and can determine if the contractor is offering a responsible proposal. The
Construction Manager also ensures that the services for which Cornell is being billed have
been delivered. If the project has a Project Coordinator, and if general conditions are included
in the contract, the Construction Manager may create a ―pencil copy‖.

Project Coordinator Review
Project Managers typically route payment applications to a Project Coordinator who reviews
them for completeness of supporting documentation and accuracy.
    For contracts that allow billing of reimbursable expenses, the supporting documentation
     must include receipts for all expenses.
    For contracts that allow billing of actual general conditions costs (Cornell’s GMC
     contract), the PM must check to be sure only allowable expenses are billed.

Approval by PM and Return to C&CP
The Construction Manager or Project Coordinator returns the invoice to the Project Manager,
who approves payment. The PM sends the invoice to others for approval, including the PM’s

    Facilities Project Managers Guide                                                     Page 54
supervisor and, in the case of PDC PMs, to the PDC Director, the appropriate finance person,
and the VP for Facilities Services.
The PM then sends the payment applications to the Contracts & Capital Projects Office where
all contractual payments are processed.

CC&P Requests Payment by DFA
Pay requests are sent to the DFA, where checks are issued.

Project Over Budget
CC&P will not sign off on a commitment if it causes the project to go over budget. The Project
Manager must submit a new PAR or re-allocate funds (for example, use contingency.)

Project Manager’s Report
The Project Manager’s Report contains
    Approved Budget
    Current Commitments in the contract
    Amount of the budget expended to date.
See an example of a Project Manager’s Report in the CPDP Guide, Appendix , Item N.
CC&P sends this report to Project Managers monthly.
The Project Manager can access job cost invoices by going to the Facilities Services website,
and click on ―Facilities Information‖ and then on ―FS Administrative Services /Job Cost.‖
See also Project Controls and Payments.

Financial Reviews and Reporting
Projects over $5 Million
For projects with a budget greater than $5 million, the Project Manager submits a Project
Status Report (PSR) to the VP Facilities Services and Primary Customer on a monthly basis.
The PSR includes:
    a financial status report using the seven budget categories,
    a brief summary of project activity, with focus on elements of the project that are significant
     milestones or challenges.

Projects under $5 Million
For projects with a budget less than $5 million, the PM prepares a monthly PSR if requested by
the Primary Customer. See Appendix, Item P in the CPDP Guide for an example of a PSR.




    Facilities Project Managers Guide                                                        Page 55
Part IV: Project Process Phases
Project Delivery Flow Chart
The Project Delivery Flowchart summarizes the approval process for endowed Cornell capital
construction projects on the Ithaca campus. This chart represents the most common method of
project delivery used by Cornell University – Design/Bid/Build. Contract College Facilities
has a similar flow chart which can be obtained from their office.
The chart has two basic purposes. (1) to consolidate a very complex process into a simple, one
page format that can be easily understood by any Project Team member or other interested
person that may want to gain a basic understanding of the overall Project Delivery Process. (2)
to provide a concise visual tool for the Project Management Team to manage milestone
activities as well as to provide a list of common tasks that must be accomplished each step of
the way.
The chart shows the general phases of each project – Planning, Design and Construction.
Individual steps within each general phase further define the order normally followed by
projects.
The ―Steps‖ section of the chart indicates the various stages in the sequence of project delivery.
The section of the chart above the steps, describes the various approvals for either funding or
design required for the project by senior university administration, Board of Trustee
committees or the Board of Trustees. Level of approval required is based on the total project
budget.
The section of the charts below the steps describes project milestones for the Project Team,
including the client group.
See the Project Deliver Flow Chart in the CPDP, page 34.




  Facilities Project Managers Guide                                                        Page 56
Planning Phase
Goal
The Project Manager’s goals during the planning phase are to initiate the project properly,
review and understand the client’s needs, address options thoroughly, and select the option
that is most feasible.

Deliverables
    Project Space Program
    Site Selection (new construction only)
    Consultant Selection
    Project Formulation
    Approvals

Client Responsibilities
    Define need and project goals
    Develop Project Plan (sometimes with the PM)
    Identify funding sources
    Initiate project

PM Responsibilities
   Initiate Project with client
    Review and/or help develop Project Plan.
    Create project team.
    Initiate Project Space Program.
    Ensure Site Selection is completed(new construction only) or define existing boundaries
     (renovation)
    Select Consultant
    Decide need for either Concept Study and/or Feasibility Study
    Project Formulation
    Ensure Primary Customer Approval
    Develop Schematic Design PAR and/or Design Development PAR to begin next phase
     of the Project Management Process




  Facilities Project Managers Guide                                                  Page 57
Steps

        Initiate Project
        The client may initiate a project with either of the following:
        o Ticket through Facilities Services Customer Services
        o Request for Services
        o Request for Capital Project
        o Request for Renovation work
        All of the above methods for entering into a project are a device to engage resources for
        information and advice about infrastructure and existing space

        Review Project Plan
        Client and Project Manager review Project Plan. See a Sample Project Plan.

        Create Project Team
        o Identify all stakeholders that will contribute to program development.
        o Identify the Project Team.
        o Run team meetings. See PM Toolbox for tips on how to run effective meetings:
                Job Meeting Problems
                PM Meeting Techniques
                Running Job Meetings

        Create Project Space Program
        o Define programming needs with the Core Team.
        o Create Space Program. New building and building addition projects always start
          with a Space Program. Initially, it begins as a simple list of space types (e.g. faculty
          office, class room) and floor area. The Program is developed over time to include a
          complete description of each space. The description includes area, finishes,
          adjacencies to other spaces, environmental and infrastructure requirements, and
          furnishings to be provided by the contractor.
        o Resources for developing a space program may include:
                Search Facilities Services’ Web Sites
                Find Information About Your Facility
                Document Archive
                Project Manager’s Environmental Checklist

        o For a restoration project, define the project boundaries.



 Facilities Project Managers Guide                                                           Page 58
     Site Selection (new construction only)
     o The Project Manager should contact the University Planning Office and the
        University Architect as soon as he or she is aware of a project of significant size.
     o Project Team, University Planner and University Architect develop context study in
       which the question ―how does this project fit with the rest of the neighborhood and
       surrounding area?‖ is addressed.
     o Site selection options are explored and narrowed to the preferred site. Criteria for
       selecting the site must be developed with the University Planning Office and
       University Architect.
     o It takes a few months to complete the Site Development Guidelines (formely called
       ―Site Criteria‖). The University Planning Office will review the Site Development
       Guidelines (formely called ―Site Criteria‖) with the project team, stakeholders, and
       the Campus Planning Committee.
     o Once a preferred site has been identified, the University Planning Office and the
       Project Team will develop the Site Development Guidelines (formely called ―Site
       Criteria‖). (See CPDP, Appendix C).
     o For both site selection and criteria the UP presents to CF&PC and B&P for approval.

     Consultant Selection
     o The established University Consultant Selection process will be followed. This effort
       is led by the chair of the selection team.

     Decide need for either Concept Study and/or Feasibility Study
     The Project Plan usually leads to a Feasibility Study (see sample Feasibility Study) or a
     Concept Study.
     o Both studies are conducted by a consultant to determine if the project is possible
       within a pre-defined budget or other program expectation.
     o A Concept Study looks in more detail at options for the deliverables listed below
       and produces a plan that can be reviewed by the customer and University. A
       Feasibility Study generates a possible solution to that space need with associated
       dollar amount. It generally has a program study. The feasibility study asks: ― I
       know I need the space, how do I get the space?‖
     o Upon the completion of this phase and after the required approvals are obtained, the
       preferred option will then proceed into design.




Facilities Project Managers Guide                                                         Page 59
     Both the Concept Study and the Feasibility Study take into account the following:

                             PROGRAM                      SCOPE             STAKEHOLDER
               Codes and regulations           Federal, state,      ECOS, EH&S,
                                               municipal,           Maintenance
                                                                    Management (ADA
                                                                    compliance) local code
                                                                    officials
               Site or location                Site Selection       University Planner
               Building context and existing   Context Study        University Architect
               campus fabric
               Building technology             Lab? Office?         CIT
               Cost                            See budget section   Utilities, O&M, Client



     Project Formulation
     o Develop conceptual budgets and timelines.
     o Consider the various project delivery methods for design and construction.
     o Funding sources should be identified by the primary customer.
     o Known risks should be identified for budget and schedule impacts.
     o Narrow possible options that meet stated program requirements.
     o Project Manager prepares PAR for Schematic Design Phase which includes an
       overall context, concept and scope of the project.

     Primary Customer Approval
     o Select one concept for development
     o Approve and align program and conceptual budget
     o Finalize site selection.
     o Develop Site Development Guidelines (formely called ―Site Criteria‖).
     o Agree on the project delivery method for design and construction.
     o Identify known risks to primary customer.




Facilities Project Managers Guide                                                            Page 60
Planning Phase Approval

With these approvals, the schematic design phase can begin.


                                                               Approve site selection
                            EXECUTIVE
                                                               Authorize funding if >$5M
                          COMMITTEE OR
                           FULL BOARD
                                                               Review A/E Selection
                               B&P
                                                               Approve Project Plan
                                                               Approve site selection
                                                               Approve Site Development
                                                               Guidelines (formely called
                                                               ―Site Criteria‖)
                                         Approve Concept Par   Authorize site selection
                              CF&PC
                                         Authorize PAR         Approve Site Development
                                                               Guidelines (formely called
                                                               ―Site Criteria‖)
                                                               Authorize SD
                                                               Authorize project plan:
                                                               budget, scope, schedule and
                                                               funding




  Facilities Project Managers Guide                                                          Page 61
Design Phases
Schematic Design (SD)
The Schematic Design:
    leads to clarification of the project program
    explores of the most promising alternative design solutions
    provides a reliable basis for analyzing the project cost.
The result of the Schematic Design is a clearly defined, feasible concept that can be presented
in a form that achieves the Primary Customer’s understanding and acceptance.

         Deliverables
         o 100% Schematic Design documents (See CPDP, Appendix, Item F, Schedule G,
            Documents Submittal Requirements ) from the Design Consultant that include, but
            are not limited to:
                  Site Plan , Including connection to central Utilities, if required.
                  Typical floor pllans for each level
                  All typical elevations
                  Two or more sections
                  An outline specification
                  Other characteristics in comparison to the program
                  A preliminary cost estimate (may require an independent additional
                   estimate)
                  Renderings, models or other drawings needed adequately present the
                   concept, including sustainable design charrette and narrative which is
                   required during this phase for all capital projects.
         o Confirmed budget
         o Confirmed schedule
         o Commissioning Strategy (SeePM Toolbox training Quality Control, Inspections and
           Commissioning.)
         o Identification of local, state and federal approvals needed and strategies to obtain
           them.
         o Plan for occupant relocation, swing space, and move timing
         o Schematic Design Package review and approval. Refer to Schedule G, Document
           Submittal Requirements.
         o Engagement of Facilities Inventory Group.
         o PAR for Design Development Phase

    Facilities Project Managers Guide                                                       Page 62
     Process
     o Develop schematic design budget and ensure project budget confirmation
        (including adjustments to either the program or budget to achieve alignment).
     o Project schedule confirmation.
     o Project Team must coordinate with stakeholders (such as PDC Engineering, Utilities,
       Contracts, Cornell Police, CIT, Maintenance Management, EH&S, ECOS, etc.)
     o Review for ADA Access Compliance
                          o Keep an accurate review of partners consulted on access review.
                          o Conversations with architects and Cornell University staff on
                            access elements.
     o Optional pre-construction services of a qualified contractor or construction manager.
     o Commissioning strategy development, depending on project scope a 3rd party
       commissioning agent should be brought in at this time if not sooner. SeePM Toolbox
       training Quality Control, Inspections and Commissioning.
     o Form Municipal Approvals Team which will identify local, state and federal
       approvals needed and strategies to obtain them. Be aware of municipal calendar.
     o Begin planning for occupant relocation, swing space and move timing.
     o Review and approve the Schematic Design package. (See Schedule G.) Obtain
       Primary Customer and Stakeholder approvals (including design review by PDC
       Engineering or Facilities Management).
     o Project team must engage Facilities Inventory Group for assignment of facility code
       (new buildings) and for room numbering (all new buildings and renovations that
       move partition walls). See ―For Project Managers: When does a new building or
       renovation get added to the Facilities Inventory‖?
              See PMT Training Project Archiving and Project Documentation.
              For document archives, go to the FIG archiving page.
     o Prepare PAR for Design Development Phase.




Facilities Project Managers Guide                                                           Page 63
       Schematic Design Approvals
       With these approvals, the project can move to the Design Development Phase.
                                        Authorize funding if > $5M
                          EXECUTIVE
                       COMMITTEE OR
                        FULL BOARD
                                        Approve Schematic Design
                             B&P
                                        Authorize DD if >$5M
                                        Validate budget, scope, schedule, funding
                            CF&PC
                                        Approve SD
                                        Authorize DD

Design Development (DD)
This phase develops the scope of work previously approved in the Schematic Design Phase.
The primary purpose is to define and describe all important aspects of the project so all that
remains after the completion of this phase is the creation of construction contract documents.

       Deliverables
       100% Design Development documents from the Design Consultant that include all
       documents from SD, documentation defined in the contract’s Schedule G (Appendix
       Item F in CPDP) modified as required to meet the project requirements, as well as:
       o Fully developed floor plans, interior and exterior elevations, reflected ceiling plans,
         wall and building sections, and key details
       o Basic mechanical, electrical, plumbing and fire protection systems are accurately
         defined, if not fully drawn.

       Process
       o Project Team must continue to coordinate with stakeholders such as PDC
          Engineering, Utilities, Contracts, Cornell Police, CIT, Maintenance Management,
          EH&S, ECOS, etc.
       o Validate project schedule, including definition of long-lead items.
       o Validate and reconcile project budget with DD estimate. This may require an
         additional independent estimate.
       o Review and get approvals for DD package from Core Team and Stakeholders
         (including design review by PDC Engineering or Facilities Management and
         customer agent). Obtain sign-off on plans.
       o Begin dialogue and agreements regarding front ends General Conditions and
         General Requirements for the bid package by our contracts office and the consultant.



  Facilities Project Managers Guide                                                        Page 64
       o Prepare PAR for Construction Contract Document and Bid Phase. (See CPDP,
         Appendix Item B)


       Design Development Approvals
       With these approvals, the project can move to the Construction Phase.


                            EXECUTIVE
                                         Authorize funding if > $5M
                          COMMITTEE OR
                           FULL BOARD
                                         Validate budget, scope, schedule, funding
                              CF&PC
                                         Approve DD
                                         Authorize CD




Construction Contract Documents (CD)
This is the final stage of the design process, which finalizes the drawings and specifications for
all components and systems of the project, resulting in construction contract documents used
to solicit bids for the work and construct the project.

       Deliverables:
       100% Construction Contract Documents. This set of documents fully describes the
       project and will be the basis for soliciting bids from the selected contractors. This
       documentation is defined in the contract’s Schedule G (Appendix Item F in CPDP)
       modified as required to meet the project requirements.
       Internal review of the documents by University stakeholders is normally done at 50%
       and 95% completion for content and final comments.

       Process
       o Construction Documents Estimate
       A Construction Document Estimate that finalizes the project budget is required. All
       final adjustments to the program and budget should be completed in anticipation of
       bidding the project.
       o Validate schedule and budget.
       o Construction management plan finalized.
       o Review and approve CD package.
       o Prepare bid document package, noting any special project requirements such as
         accelerated schedule or working on off shifts .
       o Prepare DRAFT PAR for Construction Phase awaiting bids.



  Facilities Project Managers Guide                                                        Page 65
                Note that the PAR requires changes to Operating and Maintenance (O&M)
                 Costs; these costs should be researched and described within the document.
                 See PM Toolbox Maintenance Costs.
                The key issue is to identify the range of the costs, and which department(s)
                 will be responsible for assuming them. The analysis should include a
                 discussion on energy use and life cycle costs.
                For energy use range of costs, see PM Toolbox Utilities and Your Project.
                Please contact Facilities Management for assistance.

       Construction Documents Approvals
       With these approvals, the project can move to the Bid Phase.

                                        Authorize Bid Phase
                              CF&PC



Bid Phase
The bid phase tasks include working closely with the Contracts & Capital Projects Office as
well as Director of Construction Management in selecting preferred, qualified contractors, and
securing bids for the specified work. A construction contract will eventually be negotiated and
awarded to the selected bidder.

Deliverables
      Select qualified contractors, including interviews, if deemed necessary.

Process
     o Determine whether bid opening will be public or private. (Note: State-funded
        projects require that certain procedures be followed regarding bidders, public bid
        opening, payment of prevailing wages, etc.)
       o Determine bidding period and schedule pre-bid meeting with all invited bidders to
         answer any remaining questions about the work. Issue addendum to the bid
         documents, if necessary. (See CPDP, Appendix, Item G)
       o Select lowest responsive responsible bid, after consideration of all other factors.
       o Finalize PAR for Construction Phase. Note the O&M section and expected utility
         costs need to be complete at this stage.
       o Contract preparation and execution.
       o See PM Toolbox training
                Bidding a Project.
                Managing Contracts
                General Conditions and Requirements
                Negotiations for Project Managers
  Facilities Project Managers Guide                                                        Page 66
Bid Phase Approvals
      With these approvals, the project can move to the Construction Phase.

                                         Authorize construction if > $5M
                            EXECUTIVE
                          COMMITTEE OR
                           FULL BOARD
                                         Authorize construction if > $5M
                               B&P
                                         Authorize construction if > $500K
                              CF&PC



Construction Phase
The primary objective is to build the specified project within the agreed-upon schedule and
budget and with a high level of quality.

Site Preparation / Mobilization
During the early phase of construction, a the Construction Manager will establish will
establish with the contractor:
       o administrative procedures
       o progress meeting schedules
       o progress update requirements
       o schedule controls
       o methods to expedite the required approvals of certain documents provided by the
         design consultants.
Permits must be obtained by the contractor, and coordination of building trades and site
logistics must be determined and agreed to by the Construction Manager.

Construction

       Deliverables
       Required submissions are listed in the General Conditions and General Requirements
       sections of the contract which can be found in the CPDP, Appendix H.
       o The Construction management point of contact information plan as described in the
         General Requirements, includes a site-specific Safety Plan, Affirmative Action
         requirements for the general contractor (GC), etc.
                Cornell Construction Contract Environmental General Requirements
       o Manage and limit scope creep.



  Facilities Project Managers Guide                                                 Page 67
       o Keep schedule and budget current and communicated to the Project Manager and
         Construction Manager.
       o Process any Change Orders in a timely manner.
                    Reminder: If there are changes in the design that impact the floor plan,
                      Facilities Inventory needs to be notified to re-assign official room
                      numbers. It could be costly to correct errors after design documents
                      have been published.
       o Pay contractors promptly.
       o Assure quality of work.
       o Review for ADA Access Compliance
                Keep an accurate review of partners consulted on access review.
                Conversations with architects and Cornell University staff on access elements.
       o Contractor must communicate clearly with the Construction Manager, especially on
         items that pose a risk to either the budget or schedule.
       o Core Team and contractor must finalize move-in plan, and date of occupancy.
       o Punch list

Close-out/Move-in
This phase facilitates the occupancy and turnover of the completed and commissioned project
to the Primary Customer.

       Deliverables
       Delivery of the completed project to the occupants.

       Process
       o See CPDP Guide, Appendix, Item K for the suggested close-out procedures.
       o Coordinate with Primary Customer on CIT, furnishings and move-in .
       o Punch list items completed promptly.
       o Before occupancy, initiate the process of obtaining measured drawings through
         Facilities Inventory see ―When does a new bulding or renovation get added to the
         Facilities Inventory?‖ (budget line 02.06.03), and site conditions CAD mapping
         through PDC Civil Section (budget line 02.06.01).
       o Obtain Certificate of Occupancy.
       o Archiving: Sort project materials for dispensation to one of these:
                the University Archives (See FIG website)
                Facilities Document Records Center
                Primary Customer.



  Facilities Project Managers Guide                                                     Page 68
       o See CPDP, Appendix Item I. The master list defines those records needed for the
         archives. All other records belong in the Records Center with copies sent to the
         Primary Customer as needed.
       o Meet with the PDC archivist to turn over project records to turn over project records,
         including record drawings and develop a plan for any outstanding documents. See
         Archiving Questionnaire for this meeting. Other useful links include filing
         protocol worksheet and document archiving instructions.
       o Complete commissioning activities, including generation of final building
         commissioning report and owner training in building operations by the Design
         consultant and Contractor.
       o EH&S Hood / Safety Inspections
       o Fire alarm testing - EH&S
       o Post-occupancy survey/analysis if desired
       o Resolution of any claims
       o Obtain contractual close-out documentation and make final payment to the
         Contractor.
       o Financial close-out of project promptly after completion of all work and payment of
         all project related expenses.

Obstacles to Closing a Project Account
     1. Open RFS or Purchase Order against a project
       2. Legal action or claim (see Risk Management)
       3. Lack of final paperwork from the contractor. (for example, .e., record
          drawings/asbuilts, required O&M manuals & warranties.)
       4. Open contract or commitment.
Close-out phase lasts through the end of contract warranty periods.

Resources
   PM Toolbox training Closing out a Project which provides checklists for close-out for
     the following areas:
       o Project Close- out: Construction Site
       o Contract Close-out and Final Payment
       o Capital Project Account Closure
       o Archiving
    Suggested Close-out Procedures in the CPDP Guide, Appendix, Item M.
    Final Release in General Conditions Article 12.04, located in the PM Toolbox training
     Closing out a Project and the CPDP, Appendix Item H.
    Guarantee in General Conditions, Article 14

  Facilities Project Managers Guide                                                     Page 69
  Consent of Surety of Final Payment in General Conditions, Article 12.04
  Record drawings as cited in Owner/Engineer Agreement, p. 13, section 9 and in
   Retention of University Records Policy
  Complete specifications as cited in Owner/Engineer Agreement, Schedule G,
   Document submittal requirements, first item.
  Master List of Records for archival storage from all PAR level facilities projects




Facilities Project Managers Guide                                                       Page 70
Risk Management in Project Management
There are three responsibilities the PM assumes in Risk Management of a project:
    Assess Financial Risk
    Outline Legal Relationships
    Oversee Aspects of the Claim Process

Assess Financial Risk
 During Design Phase/Bid Process/Bid Analysis: Risk Management and Insurance reviews
  financial risk of contractors with a model developed to determine a contractor’s risk of
  bankruptcy. The model is only one indicator among others that are used by Contract’s
  Management to evaluate risk of contractors.
     If the risk is high, Cornell can require a bond from the contractor, which will add to the
     cost of the project.

Outline Legal Relationships: Design Phase/Have Clear Contracts
 The legal relationship concerning risk is defined in the answers to these two questions:
              1) Who is responsible for insuring safety on the site?
              2) How are safety roles and issues addressed? (see Claims below)
    Risk Management defines these types of relationships with respect to who is responsible
     for safety


                TYPE OF                     WHO HAS               RISK LEVEL           INSURANCE
            RELATIONSHIP                  RESPONSIBILITY             FOR               COVERAGE
                                              FOR RISK            OPERATIONS-            RISK
                                                                     SIR
                                                                   EXPOSURE

    Normal construction         Contractors                Low                  High
    process

    Owner-Controlled            Contractors but Cornell    High                 Low
    Insurance Program or        has financial risk.
    OCIP
    Cornell as General          Cornell                    High                 Low
    Contractor

    State


    The PM should understand these relationships. They are defined in the contracts. If the
     PM knows the contracts and legal relationships which define the University’s exposure to
     risk, they can better manage the project by determining if the contractor is adhering to
     responsibilities defined in the contract.



    Facilities Project Managers Guide                                                           Page 71
    See the PM Toolbox presentation ―Risk Management at Cornell University.‖ Slides 15 – 18
     define the insurance requirements relative to the contract, and how to make claims
               1)   Major Construction Project General Liability
               2)   Contractor Insurance Requirements
               3)   A/E Insurance Requirements
               4)   Builders Risk

What if contractor is not adhering to safety requirements as stated in the contract?
 Set up meeting with contractor. If contractor still not meeting requirements:
         o Set up meeting with contractor and Director of Risk Management and Insurance. If
           contractor still not meeting requirements:
                  Set up meeting with contractor and Director of Risk Management and
                   Insurance where Risk Management will state consequences. If contractor still
                   not meeting requirements:
                                Cornell may create a work stoppage, dismiss contractor from site, or
                                terminate contract (depending on seriousness of noncompliance.) It
                                is important that the PM brings many people to the table before this
                                last point is reached, such as EH&S, Director of Construction, etc.

Oversee Aspects of the Claims Process
 The claims process is determined by the relationships defined in the contracts. Claims
  occur during the Construction Phase.
    PM needs to know who to call to start the process.
 PM may be asked to provide information about an incident. For this reason, it is important
     that the PM keep good notes and meeting minutes. PM may also be called to testify in
     court.
                  Caution: The PM must be concerned with the facts of the case and not
                   attempt to place blame. Responsibility can only be determined after a full
                   investigation and after all experts have weighed in regarding an incident.
                   Contact Legal Counsel and/or Risk Management before giving any
                   statements.




    Facilities Project Managers Guide                                                         Page 72
       Three Types of Claims
       The PM should be aware of the following claims, and should be prepared to address
       them should they arise:
       o Workers Compensation
       o Liability
       o Property

       Workers Compensation
                    PERSON                  RELATIONSHIP                  CLAIMS PROCESS
                    INJURED

        Cornell Endowed           All Contracts               Cornell Medical Leave
        employee                                              Administration-EH&S link
        Cornell State             All Contracts               Covered by state insurance fund
        employee
        Contractor’s employee     Normal contract             Contractor’s insurance
                                  OCIP                        OCIP claims process-OCIP
                                                              Administrator


See http://prp.ehs.cornell.edu/Acc-Inj/ for endowed employee claims forms.

       Liability
                   RELATIONSHIP                     PERSON                         CLAIMS
                                               RESPONSIBLE FOR                     PROCESS
                                                     INJURY

        Normal contract               Cornell Employee                 Cornell Insurance—report
                                                                       to Risk Management
                                      Contractor                       Contractor reports to his
                                                                       carrier
                                      Contractor employee is injured   May tender back to
                                      and sues Cornell                 Contractor—Over-action
                                                                       Claim
        OCIP                          All                              Report to OCIP
                                                                       administrator




  Facilities Project Managers Guide                                                                Page 73
     Property Damage Liability Claims


                 PROPERTY                        PERSON                      CLAIM PROCESS
                  OWNER                       RESPONSIBLE

      Cornell                       Contractor                    Cornell files claim or sues
                                                                  contractor
      Contractor                    Cornell                       Contractor files claim or sues
                                                                  Cornell



      Property


                PROPERTY OWNER                      COVERAGE                       CLAIMS
      Cornell                             Builders risk               Requires an
                                                                      understanding of who is
                                                                      carrying builders risk,
                                                                      Cornell or contractor
      Contract College                    Builders risk               SUCF process
      Contractor                          Contractor’s property       Contractor’s claim
                                          insurance                   process




Facilities Project Managers Guide                                                                  Page 74
Part V: Appendix




 Facilities Project Managers Guide   Page 75
       Sample Matrix for Project Coordinator (PC) Responsibilities



                                                                                PC1       PC2        PC3

                                                      COMMUNICATION
Work directly with User Groups on logistical issues such as moving,
signage and data jacks.                                                               x
Communicates with and coordinates day-to-day issues with the
customer contact person, e.g. moves, information exchange, parking,
traffic, EHS, police, fire department/alarm testing, crane schedules,
inspections, COs and TCOs, etc.                                                       x
Coordinate with Transportation on issues such as parking, coordinating
contractor permits, laydown areas, etc.                                     x
Answer public questions on the project with standard responses.
Provide site tours.                                                         x
Manage non-capital projects and segments of projects with budgets of <
$50k.                                                                       x
PM for projects that are in the range of $50k-250k                                    x
PM for projects in the range of 50k-2M                                                          x


                                                         FINANCIAL
Financial Management - Generate reports from database using BRIO,
monitor expenses against budget lines, and maintain spreadsheet of
project expenses. Supervise administrative activities related to the
project (i.e. accounts payable, job cost, status reports).                  x
Issue tickets to the shops and monitor progress. Track ticket costs and
keep PM informed. Highlight deviations from budget estimates.               x

                                                      RESPONSIBILITIES
Coordinate job site safety efforts of EH&S including review of the Safety
Plan and scheduling mock OSHA inspections.                                  x
Manage and enforce site safety plan                                                   x
Coordinates with CIT - schedule and coordinate activities                   x
Coordinates with CIT - Secure estimates and manage installation                       x
Coordinate field inspections by PDC Shops and other parties. Monitor
quality of workmanship and materials with the assistance and support of
the Design Consultant and associated PDC Shops to maintain high
standards                                                                   x
Conduct field inspects and punch list conformance inspections.                        x


         Facilities Project Managers Guide                                                          Page 76
                                                                                   PC1       PC2        PC3
Supervise and conduct field inspections to assure conformance with
plans and specifications.                                                                          x
Schedule and attend regular job meetings, prepare and distribute
minutes. Work with the PM to prepare meeting agenda.                           x
Run regular job meetings in absence of PM.                                               x
Provide direction at regular job meetings, make immediate decisions
within the authority given by the project manager.                                                 x
Manage submittal process including tracking submittals & RFI's on
projects                                                                       x
Manage change orders to agree upon the scope, cost, and schedule
impact of changed conditions. Prepares independent CU cost
estimates. Present rational/justification for approval to the PM.                                  x
Approve Change Orders presented by the CM                                                          x
Coordinates and directs, as authorized by the contract, Contractors
during construction, acts as a single voice for CU to the contractor. PM
is the backup voice. Day-to-day communication is between contractor
and CM.                                                                                            x
Prepare RFPs with direction from the PM.                                       x
Independently prepare RFPs within established procedures. Review
terms of contracts with respect to examples.                                             x
Manage consultant selection process, negotiate terms of contract.                                  x
Manage and direct the activities of A/E consultants. Review contract
compliance and authorize payments.                                                                 x

                                                       TECHNICAL SKILLS
Project Scheduling - Builds and maintains project schedule using MS
Project or Primavera from data given by others.                                x
Project Scheduling - Monitors project schedule milestones against
progress.                                                                                x
Project Scheduling - Implements corrective action to keep project on
schedule                                                                                           x
Lab furniture and equipment - coordinate purchase, arrange for storage
and transport as requested by the PM.                                          x
Lab furniture and equipment - manage purchasing process, responsible
for inspection prior to turnover to contractor, Responsible for installation
contract.                                                                                x
Lab furniture and equipment purchasing - review technical standards                                x
Formal Training in construction and contracting practices (TC3 class or
CEE 595)                                                                                 x
Build and maintain databases in Access                                         x
Independently prepare Power point presentations for project approval
from Sr Administration                                                         x


          Facilities Project Managers Guide                                                            Page 77
                                                                           PC1       PC2    PC3
Develop and maintain comprehensive section schedule                    x
Manage section work schedule by recommending adjustments to staffing
assignments                                                                      x
Author PARS (Draft)                                                    x
Maintain section web site and Project web site                         x
Maintain List Serve                                                    x
Maintain Standards on web                                              x
Manage commissioning process                                                     x
Perform Web Research for products and services                         x




         Facilities Project Managers Guide                                                 Page 78
   Sample Project Manager and Construction Manager and Project
   Coordinator Duties and Responsibilities

                            Action                                    PM       CM       PC

Manage change orders to agree upon the scope, cost, and
schedule impact of changed conditions. Prepares
                                                                           X
independent CU cost estimates. Present
rational/justification for approval to the PM.
Approve Change Orders presented by the CM                         X
Coordinates and directs, as authorized by the contract,
Contractors during construction, acts as a single voice for
                                                                           X
CU to the contractor. PM is the backup voice. Day-to-day
communication is between contractor and CM.
Work directly with User Groups on scope items and project
development issues. CM and PM negotiate the magnitude
of scope items the CM can and can't commit to during
                                                                  X
construction (scope creep). PM and CM to negotiate the
level of cost change issues, either additive or deductive, that
need PM approval before the fact.
Communicates with and coordinates day-to-day issues with
the customer contact person, e.g. moves, information
exchange, parking, traffic, EHS, police, fire                              X        X
department/alarm testing, crane schedules, inspections,
COs and TCOs, etc.
Reviews schedule for constructability. Monitors progress
against the schedule and keeps PM informed of deviations.
                                                                           X        X
Recommends actions to get back on schedule if needed.
Maintains schedule.
Reviews schedule evaluation and recommendationss from
CM. Advises CM as to correctness of schedule and
                                                                  X        X        X
evaluation and to jointly develop actions for schedule
compliance corrections.

Monitor output of Contractors; feedback, site productivity, etc   X        X        X

Coordinate efforts of EH&S (Job Site Safety). Work with
EHS to review the Safety Plan, enforces Safety Plan.                       X        X
Schedules mock OSHA inspection with EHS.

Coordinates the construction efforts of CIT                                X
Coordinates the construction efforts of Cornell Line Crew
                                                                           X
(cableing and hookups)
Oversee purchasing (ex: buying furniture) for owner                                 Assist
supplied equipment identified in the PAR as an F&CS               X        X        PM & CM
responsibility.
Coordinate arrival of CU purchased equipment. Arrange for
storage and transport to the site as required and requested
                                                                           X        X
by the PM. Responsible for inspection prior to turnover to
contractor. Responsible for installation contract if needed.



      Facilities Project Managers Guide                                                       Page 79
                            Action                                    PM       CM          PC



Responsible for installation contract if needed.                  X


Tracking construction costs, telecommunications costs, site
work and other costs that need to be tracked on an as                      X           X
needed basis against budget costs
Responsible for controlling the use of contingency funds          X        X           X
Issue tickets to the shops and monitor progress. Track ticket
costs and keep PM informed. Highlight deviations from                      X           X
budget estimates.
Supervise the coordination of administrative activities related
to the project (i.e. accounts payable, job cost, status           X        X           X
reports). CM to track reports as requested by PM.
Develop contracts and subcontracts as needed                      X        X           X
Supervise payments for project services, ensure that
                                                                  X
expenses are monitored against project budgets.
Supervise and inspect field conditions and progress of work
against project schedule; coordinate and/or act as liaison
                                                                  X        X           X
among participants to resolve problems or conflicts. Work
with PDC Shops in providing quality inspections
Who can say "NO" from a contractual perspective to the
                                                                  X        X
Contractors? The Contracting Officer
Run the "owners" weekly job meetings. Write the minutes.
PM and CM work together to develop the format of the                       X           X
meetings.
Prepare space programs, building standards and other                                   Assist
                                                                  X        Assist PM
project criteria to guide the work of outside A/E consultants.                         PM
Interview and advise on the selection of A/E consultants for                           Assist
                                                                  X        Assist PM
major design projects.                                                                 PM
Negotiate service agreements with outside A/E consultants.                             Assist
                                                                  X        Assist PM
Prepare contracts.                                                                     PM
Manage and direct the activities of A/E consultants. Review                            Assist
                                                                  X        Assist PM
contract compliance and authorize payments.                                            PM
Monitor quality of workmanship and materials with the
assistance and support of the Design Consultant and               Assist               Assist
                                                                           X
associated PDC Shops to maintain high standards.                  CM                   CM
Coordinate and schedule Shops inspections.

Create the CM and PC budget line dollar amount.                   X        X           X

Responsible for the project construction documents
                                                                  X        X           X
review/written response process.
                                                                  Assist               Assist
Empowered to give field direction changes to the contractor                X
                                                                  CM                   CM




      Facilities Project Managers Guide                                                         Page 80
Ensures frequent contact between the CM and the Contract
Officer. Computer status reports by CM and                         X          X
Superintendent.

Establish criteria and measure Team performance                    X          X              X

                                                                                             Assist
Responsible for the monthly/trustee report                         X          Assist PM
                                                                                             PM
                                                                                             Assist
Review and approve progress payments                               Approves   Approves
                                                                                             PM & CM

Authorized to release retainage                                    Approves   Approves

                                                                              X
Provides feedback on contractors/AE performance                    X (AE)                    X
                                                                              (Contractor)
                                                                                             Assist
Speaks to the news media                                           X          X
                                                                                             PM & CM
Coordinate parking issues, such as coordinating contractor                                   Assist
                                                                   X          X
permits and how does PDC arrange for laydown areas, etc.                                     PM & CM
Who settles insurance issues? Risk Management and
Contract Officer
Who is empowered to settle claims?        Director for Contracts
Administration

Recommend a scope or time increase during construction             X          X

Authority to make no cost/no time field related changes?
                                                                   X          X
PM & CM to discuss & negotiate
At least once a month review of the project with the PM, CM,
University Architect, University Engineer, Director of
                                                                   X          X
Construction Management, Director of Facilities and Director
for Contracts Administration
Bid Attendance. Who determines how money shortages will
be met, whether from contingency or elsewhere? Who
determines which alternates will be accepted? The PM has
                                                                   X          X
authority up to 25%; The Director of PDC has authority
greater than 25%. If continugencybring to attention of
Director of PDC and VP for Facilities
Authority to take risks with University resources? University
Architect, University Engineer, and Director of PDC
NOTE: The PM may delegrate authority for any of the above to the CM, and may ask that the CM
perform any of the above. In such cases, the PM remains responsible for those portions of the
project listed above.




      Facilities Project Managers Guide                                                                Page 81
 Sample Role Agreement
                        RESPONSIBILITY GUIDELINES FOR CONSTRUCTION


                          ACTION                                  PM   CM   PM   CM
                                                                            PC   PC

Manage change orders to agree upon the scope, cost, and                X
schedule impact of changed conditions. Prepares
independent CU cost estimates. Presents
rational/justification for approval to the PM
Approve Change Orders presented by the CM                         X
Work directly with the User Groups on scope items and             X    X
project development issues. CM and PM negotiate the
magnitude of scope items the CM can and cannot commit
to during construction. PM and CM negotiate the level of
cost change issues, either additive or deductive that need
PM approval before the fact.
Communicates with and coordinates day-to-day issues with               X
the customer contact person, e.g. moves, information
exchange, parking, traffic, EHS, police, fire department
alarm testing, crane schedules, inspections, COs and
TCOs
Reviews schedule for constructability. Monitors progress               X
against the schedule and keeps PM informed of deviations.
Recommends actions to get back on schedule and
maintains schedule
Coordinates efforts of EH&S for job site safety. Work with             X
EHS to review Safety Plan, enforces Safety Plan.
Schedules mock OSHA inspection with EHS.
Coordinates the construction effort of CIT                             X
Oversee purchasing for owner supplied equipment such as           X
Cage Wash and racks.
Coordinate arrival of CU purchased equipment. Arrange for              X
storage and transport to site as required and requested by
the PM. Responsible for inspection prior to turnover to
contractor. Responsible for installation contract if needed.
Tracking construction costs, telecommunication costs and          X
other costs that need to be tracked against budget costs
Responsible for controlling the use of contingency funds          X
Issue tickets to the shops and monitor progress. Track                 X         X
ticket costs and keep PM informed. Highlight deviations
from budget estimates.
Supervise the coordination of administrative activities           X         X
related to the project (i.e. accounts payable, job cost, status
reports). CM to track reports as requested by PM.
Supervise and inspect field conditions and progress of work       X    X
against project schedule: coordinate and or act as liaison
among participants to resolve problems or conflicts
Run the owners weekly job meetings and write minutes.                  X         X

    Facilities Project Managers Guide                                                 Page 82
                         ACTION                            PM   CM   PM   CM
                                                                     PC   PC

Manage and direct the activities of the A/E consultants.   X
Review contract compliance and authorize payment
Monitor quality of workmanship and materials with the           X
assistance of the Design Consultant and associated PDC
Shops to maintain high standards
Coordinate and schedule Shops inspections                       X         X
Responsible for project construction documents             X
review/written response process
Empowered to give field direction changes to contractor         X
Responsible for monthly trustee report                     X
Review progress payments for approval and payment               X
Approve progress payments                                  X
Coordinate parking issues, site layout, staging areas           X
Recommend scope or time increases during construction      X    X
Authority to make no cost/no time field related changes         X
Coordinate for A/E meetings or attendance                            X
Responsible for Budget and cost compliance                 X
Responsible for the coordination and recommendations for        X         X
independent lab testing




    Facilities Project Managers Guide                                          Page 83
     Sample Revised Par
     This example of a Revised PAR is a request for additional money to cover an increase in the project's
     scope of work.



                               PROJECT APPROVAL
                                 REQUEST (PAR)
                                      #…

                                            BUILDING Q
                                       ELECTRIC SERVICE
                                           CONSTRUCTION
                                                PAR ID #
                                              Project Team


Project Manager: (name)                        PDC Shops Representative: (name)

Engineer-in-Charge: (name)                     Utilities Representative: (name)



            Questions or comments should be directed to the
                  Facilities Services Project Manager:
                                 (name)
                             Revised – (date)


       Facilities Project Managers Guide                                                             Page 84
                                        PROJECT APPROVAL REQUEST

==================================================================
     This PAR requests an increase in the original authorized amount of $68K (date) to $95k for the
     connection of the Office Q electric service to the Utility Department’s 13.2kV electric distribution
     system. This revised PAR will allow for an increase in electric distribution capacity and reliability to
     accommodate a planned facility to be located near the new office building.
     ==================================================================

1.   Sponsoring Department: Utilities Department

2.   Purpose and Need: The purpose of this project is to add distribution equipment to an existing medium
     voltage circuit to allow for the connection of cables to feed the new office building. The need to provide
     service to the office building comes from the customer’s desire for low electric rates and a high level of
     reliability.

3.   Scope of Work: The scope of work for this PAR includes the following:

     •   Install a three-way separable tap in manhole 112.

     •   Increase cable capacity from 200 amps to 400 amps.

     •   Increase duct capacity from two-way to three-way. This will allow for a loop circuit plus one spare
         duct.

     •   The 13.2kV loop circuit will be completed only when plans for future construction are finalized.

4.   Major Alternatives Considered and Why Rejected:

     •   Have NYSEG provide the electric service to the new office building. This was rejected due to the
         customer desire for lower electric rates and higher reliability.

5.   Proposed Schedule: The proposed schedule for this phase is as follows:

                                                Approval         Begin         Complete
     Construction                             Jun (year)      Jul (year)      Jan (year)




          Facilities Project Managers Guide                                                               Page 85
6.   Project Budget: This PAR requests an increase in the original authorized amount of $68K (date) to $95k
     for the connection of the Office Q electric service to the Utility Department’s 13.2kV electric distribution
     system. This revised PAR will allow for an increase in electric distribution capacity and reliability to
     accommodate a planned facility to be located near the new office building. The proposed budget for this
     PAR is as indicated below:

                                                    Previously
                       Category                     Authorized        This Request        To Date Budget
       1.   Construction                        $           52,000 $            25,000   $          77,000
       2.   Planning & Design Fees                                - $                -    $              -
       3.   Long-Lead Equipment                                   - $                -    $              -
       4.   Project Support (Shops)                               - $                -    $              -
       5.   Project Management                  $             5,000 $            2,000   $           7,000
       6.   CP Admin Fee                        $             3,000                      $           3,000
       7.   Project Contingency                 $             8,000                      $           8,000
            TOTAL                               $           68,000 $            27,000   $             95,000

7.   The project will be funded as follows:

                                                                    Amount           Primary Account
                                                                                   Number funds will be
                                                                                         provided by

             Funds provided by Unit / College                  $95,000                       (account #)
             Total project expenses ***see below               $95,000
                                                               Name                Phone         NetID
             Contact person in unit for funding                (name)
             issues/questions
             Contact person to authorize transfer of           (name)
             funds.
     ***Total project expenses must equal the total project budget amount to date as listed on
          this PAR.


8.   Change in Maintenance and Operating Costs: Maintenance and Operating costs will slightly increase
     when the project’s electric distribution equipment is turned over to Utilities.

9.   Mode of Accomplishment: (name) will serve as Project Manager of this project. Construction will be
     performed by the PDC Electric Shop on a Time & Material (T&M) basis.




            Facilities Project Managers Guide                                                                   Page 86
10.   Municipal, State and Federal Discretionary Approvals: This project falls within the municipal jurisdiction
      of the Town of Ithaca. There are no related discretionary issues and it is not subject to the State
      Environmental Quality Review (SEQR) process.

11.   Potential Issues:

      •   An outage to the (building name) will be required. A generator can be provided during the outage
          time frame, if needed, to alleviate disruption to building occupants.




          Facilities Project Managers Guide                                                              Page 87
12.   Submitted by:

                      Project Manager                             Date
                      Planning, Design and Construction


                      Manager                                     Date
                      Electric Purchasing & Energy Distribution

      Endorsed by:

                      University Engineer                         Date
                      Planning, Design and Construction


                      Director                                    Date
                      Planning, Design and Construction


                   Director                                       Date
                   Utilities and Energy Management


                      Vice President                              Date
                      Facilities Services


                      Vice President                              Date
                      Planning and Budget


                      Executive Vice President                    Date
                      Finance and Administration




  (date)
       Date Prepared
       dm




          Facilities Project Managers Guide                              Page 88
           Construction Contingencies Exposures
                                                                                         Budgeted
                                                                                        Amount or
                                                          Low          High            Subcontract(s)
               Exposure Category                        Estimate     Estimate              Value        Notes

Regulatory/Variance Code – We have
negotiated mitigations to gain the City
Building/Fire department support for the use of
flammable gases, flammable liquids in the           $              $                $
basement and high toxics in BUILDING H              600,000        750,000         -
Contractor Parking – We will probably lose
the Hoy South lot.                                  -              50,000          -

Building Skin – We expect to encounter
additional costs for integration with building
systems and field implementation issues.            750,000        1,250,000       12,403,845
PDC Shops Q/A Inspections – Missing or
incorrect items are typically found during
inspection, especially in the mechanical,
electrical, and plumbing systems.                   500,000        600,000         -
MEP Coordination & Commissioning – The
coordination and commissioning process
uncover issues that need to be addressed
similar to the inspection process.                  750,000        1,250,000       32,706,609
Furniture Purchase – The budget is very tight
for this item.                                      500,000        1,000,000       2,000,000
Utility Costs During Construction –
Contingency may be required to cover rising
costs.                                              500,000        750,000         1,050,000

NYSERDA – The project financial plan includes
$440K of rebates that may not be fully realized
or the program could be eliminated.                 220,000        440,000         440,000
Plant Science Tunnel - Add’l underpinning,
interior stair change, custom elevator.             300,000        500,000         2,245,866
Space Customization – Construction inflation
is eroding our ability to accommodate specific
faculty.                                            250,000        750,000         -
Fit-out – Construction inflation is eroding our
ability to accommodate a longer schedule
and/or customization of labs.                       800,000        1,000,000       4,231,110
                                                    $5,170,000     $ 8,340,000      $ 55,077,430
                                     Current GMC Value                          $104,235,108

                                     Value of Work in Place                    (25,000,000)
                                     Balance To Be Accomplished                $79,235,108
                                     Contingency on balance                     $7,923,511

              Facilities Project Managers Guide                                                                 Page 89
         GMC Systems
                       Description                                    Source/Phase

 GMC Cost of Work (Current Bidding Climate)

Foundations                                                           $          -
Structure
Exterior Enclosure
Roofing
Interior Architectural Development
Specialties & Millwork
Furnishings, Fixtures and Equipment
Vertical Circulation
Plumbing
Fire Protection
HVAC
Electrical
Controls
Sitework and Utilities
FitOut
                                                                                 $
                        SubTotal GMC Cost of Work
                                                                                 -   A

Design/Estimating Contingency to 100% CD’s            B               $          -   C=A*B
Escalation to Bid Date                                D                          -   E=(A+C)*D
                                                                             $
                           Total GMC Cost of Work
                                                                            -        F

          GMC General Conditions
                                                                                     G (from GC
General Conditions Worksheet                          H=G/F           $          -   detail)
Builder’s Risk                                        I                          -   J=F*I
GL Insurance                                          K                          -   L=F*K
Performance Bond                                      M                          -   N=F*M
                                                                             $
                    Total GMC General Conditions              P=O/F
                                                                            -        O
                                                                             $
                         GMC Internal Contingency                Q
                                                                            -        R=(F+O)*Q
                                                                             $
                                           GMC Fee               S
                                                                            -        T=(F+O+R)*S

                                          Total GMC                          $       U=F+O+R+T

             Facilities Project Managers Guide                                               Page 90
                                                                    -




GMC Cost of Work (Current Bidding Climate)

Section                              Description                   Source/Phase
                                                                          $
 Division 1             General Requirements                             -
 Division 2             Existing Conditions
 Division 3             Concrete
 Division 4             Masonry
 Division 5             Metals
 Division 6             Wood & Plastics
 Division 7             Thermal & Moisture
 Division 8             Openings
 Division 9             Finishes
 Division 10            Specialties
 Division 11            Equipment
 Division 12            Furnishings
 Division 13            Special Construction
 Division 14            Conveying Equipment
 Division 21            Fire Suppression
 Division 22            Plumbing
 Division 23            HVAC
 Division 25            Integrated Automation
 Division 26            Electrical
 Division 27            Communications
 Division 28            Electronic Safety and Security
 Division 31            Earthwork
 Division 32            Exterior Improvements
 Division 33            Utilities
 Division 34            Transportation
 Division 35            Waterway and Marine Construction
 Division 40            Process Integration
 Division 41            Material Processing and Handling Equip.
                        Process Heating, Cooling & Drying
 Division 42            Equip.
 Division 43            Process gas and Liquid handling Equip.
 Division 44            Pollution Control Equipment
 Division 45            Industry-Specific Mfgr. Equipment
 Division 48            Electrical Power Generation
                                                                              $
                                       SubTotal GMC Cost of Work                  A
                                                                              -

   Facilities Project Managers Guide                                                  Page 91
  Design/Estimating Contingency to               $
                                            B        C=A*B
  100% CD’s                                     -
  Escalation to Bid Date                    D        E=(A+C)*D
                                                -
                                                 $
                   Total GMC Cost of Work            F
                                                -


  GMC General Conditions
                                                 $   G (from GC
  General Conditions Worksheet              F   -    detail)

  Builder’s Risk                            I   -    J=F*I

  GL Insurance                              K        L=F*K
                                                -
  Performance Bond                          M        N=F*M
                                                -
                                            P
                                            =
                                                 $
  Total GMC General Conditions              O
                                                -
                                            /
                                            F        O


                                                 $
  GMC Internal Contingency                  Q        R=(F+O)*Q
                                                -

                                                 $
  GMC Fee                                   S        T=(F+O+R)*S
                                                -

                                                 $
  Total GMC                                          U=F+O+R+T
                                                -




Facilities Project Managers Guide                                  Page 92
       GMC GC’s
                    Description              Quantity     Unit     Unit Price          Total

     On Site Staff
                                                                                            $
Project Executive                                       weeks                              -
                           Reimbursables                weeks
Senior Project Manager                                  weeks
                           Reimbursables                weeks
Project Manager                                         weeks
                           Reimbursables                weeks
Superintendent                                          weeks
                           Reimbursables                weeks
Project Engineer                                        weeks
                           Reimbursables                weeks
Accountant/Cost Eng                                     weeks
                           Reimbursables                weeks
Project Safety Manager                                  weeks
                           Reimbursables                weeks
Administrative Assistant                                weeks
                           Reimbursables                weeks
                                                                 On Site Staff              $
                                                                 SubTotal                  -

     Off Site Staff

                                                                                   $
Project Executive                                       weeks                     -
                           Reimbursables                weeks
Project Scheduler Mngr                                  weeks
                           Reimbursables                weeks
Project Accountant                                      weeks
                           Reimbursables                weeks
Computer Support                                        weeks
                           Reimbursables                weeks
                                                                 Off Site Staff             $
                                                                 SubTotal                  -




         Facilities Project Managers Guide                                                      Page 93
 Field Office Expenses

                                                                                  $
Extra Plan Copies                              sets                              -
Office Supplies                                lump sum
Telephone, Data                                month
Office Trailers                                month
Trailer Utilities                              month
Trailer Furniture & Equipment                  lump sum
                                                             Field Office                 $
                                                             Expenses SubTotal           -

Professional Expenses

                                                                                  $
Stormwater Plan                                lump sum                          -
Licensed Surveyor                              lump sum
Temporary Utilities
Temporary Electric                             lump sum
Temporary Water and
Sewer                                          lump sum
Temporary Heating
Equipment                                      lump sum
Fuel for Temporary
Heating                                        lump sum
                                                             Professional                 $
                                                             Expenses SubTotal           -

   Construction Site

                                                                                  $
Fire / Safety                                  lump sum                          -
Winter Protection                              lump sum
General Hoisting                               lump sum
Portable Restrooms                             month
Trash Removal                                  lump sum
Protect Trees to
Remain                                         lump sum
Pump Water                                     lump sum
Snow Removal                                   lump sum
Storage Trailer                                month
Temporary Fencing                              linear foot
Wash Glass                                     square foot


           Facilities Project Managers Guide                                          Page 94
Protect Floors                                                        square foot
Final Cleaning                                                        lump sum
Maintain Traffic / Street
Clean                                                                 lump sum
Trucking                                                              lump sum
                                                                                    Construction Site     $
                                                                                    SubTotal             -


                                                                                    Total GMC General     $
                                                                                    Conditions           -

        NOTES: Reimbursable expenses include transportation, lodging, meals for the individual listed.

        List all other general conditions expenses as applicable.




           Facilities Project Managers Guide                                                                  Page 95
Sample Budget Sheet
$90 Million Dollar Project
                                                                                        $
 GSF:            193,400                                          NSF/GSF              90,000,000
                                                                                        $
 NSF:            113,410                                           58.64%              -
                 DESCRIPTION                                       Project
                                                                   Budget
                 CONSTRUCTI0N
        Building Construction                           $     62,000,000
        Site Work (Utl, Parking, etc)                          2,900,000
        Furnishings, Tele/Data & Equipment                     2,400,000
        Munincipal Approvals (Bldg permit, Site Plan,
        SEQR)                                                    485,000
        Construction Contingency                               6,730,000

                 Total Construction Budget                       $74,515,000




            PROFESSIONAL FEES
   Design Fees                                          $      8,300,000                            0.133871
   Environmental & Safety Consultants (EIS)                    1,560,000
   Pre-construction Services                                     750,000
   Professional Fees Contingency                                 475,000       $   530,500.00
   Total Professional Fees                              $11,085,000                                 0.148762


            OTHER COSTS
   Design Review & Project Supervision                  $        500,000
   Project, Enviro, Contract & Construction Mgmt               2,500,000
   Commissioning & Q/A                                           500,000
   General Expenses                                              500,000
   Other Costs Contingency                                       400,000       $    4,000,000

            Total Other Costs                           $ 4,400,000                             0.059049



            CONTINGENCY
   Construction                                    $        6,730,000
   Professional Fees                                         475,000
   Other Costs                                               400,000
   Total Contingency                               $ 7,605,000                        0.0845


  Facilities Project Managers Guide                                                                        Page 96
         PROJECT BUDGET SUMMARY
 CONSTRUCTION                             $   74,515,000
 PROFESSIONAL FEES                            11,085,000
 OTHER COSTS                                   4,400,000
 PROJECT TOTAL                            $90,000,000



 $'s/GSF                                  Bldg Cost
  $                                 290   $ 56,086,073
  $                                 300   $ 58,020,075
  $                                 310   $ 59,954,078
  $                                 320   $ 61,888,080
  $                                 330   $ 63,822,083
  $                                 340   $ 65,756,085
  $                                 350   $ 67,690,088
  $                                 360   $ 69,624,090
  $                                 370   $ 71,558,093
  $                                 380   $ 73,492,095
  $                                 390   $ 75,426,098




Facilities Project Managers Guide                          Page 97
       Sample Budget: Building Cost

Bldg GSF:                              230,000            Bldg/Proj=70.9%       70.91%
$'s/GSF                                Bldg Cost          Proj Cost
$         290                          $ 66,700,000       $      94,058,354                 53000000
       300                                 69,000,000            97,301,745                 290000
       310                                 71,300,000           100,545,137                 182.7586
       320                                 73,600,000           103,788,528
                                                                                Realistic
       330                                 75,900,000           107,031,920     Target
       340                                 78,200,000           110,275,311
       350                                 80,500,000           113,518,703
       360                                 82,800,000           116,762,094
       370                                 85,100,000           120,005,486
       380                                 87,400,000           123,248,877
$         390                          $ 89,700,000       $     126,492,269


BUILDING H O&M Model
O&M Item                               Cost/GSF           Annualized Cost
Bldg Care                              $           1.50   $           345,000


Routine & Preventive Maint                         1.50               345,000



Planned Maint @1.5% of
construction                                       4.95           1,138,500

          Utilities                              7.50            1,725,000
                                                  $              $
                                                 15.45           3,553,500




           Facilities Project Managers Guide                                                           Page 98
                Sample Budget : $110 Million

                                      #REF!              Area GSF:    250,037
                                      #REF!              Area NSF:    131,767
          ITEM               DESCRIPTION                  Current     REMARKS
                                                          Budget
          01.                CONSTRUCTI0N

                                                                      BUILDING H,
                                                                      tunnel to
                                                         $            PlantSci and
01.0101                      GMP                         74,816,000   landscape


                             Cost of Work (Trades-All)   64,000,000   54,400,000.00
                                                                                         74,816,000
                                                                      GC/CoW =
                                                                      10.00%, incl
                             GMP-GCs                     $6,400,000   Bldr's Risk Ins
                                                                                         299.22
                                                                      Cntgcy='s 2.5%
                             Contractor Contingency      1,600,000    CoW

                                                                      Fee ='s 4% of
                             GMP-Fee                     2,816,000    CoW+GC

                             Athletics Compensation
01.0102                      Projects                    2,000,000

                             Asbestos
01.0103                      Removal/Monitoring          250,000


                             Asbestos Removal            175,000


                             Asbestos Monitoring         75,000


01.0900                      Municipal Approvals/Fees    474,400

                                                                      Initial fee +10%
                                                                      for extend
                             Building Permit             360,000      beyond 3yrs

                             Municipal Services-Site
                             Plan Review                 54,400       $1/K of CoW

                             EIS Review Consultant to                 CEQR approval
                             City                        60,000       facilitation

                             PDC/CIT Construction
01.1000                      Support                     590,000

                             PDC Shops Construction
                             Support                     70,000

                 Facilities Project Managers Guide                                           Page 99
                             CIT Construction Support             20,000

                             Q/A, Commissioning, T&B
                             (PDC Shops)                          500,000

                             Uncommited

                    Total Construction                  $   78,130,400          115.20


02.                          SITE WORK
                                                                                ID Utilities & other civil
02.0100             UFPO/PDC Engr - Site Support        $            25,000     support
                                                                                Utility costs until
02.0200             Utility Operations                  500,000                 occupancy
                                                                                Stm, ChW & PotW - by CU
02.0300             CU Utilities Reloc & Ext            1,725,000               Utilities Dept
                                                                                NYSEG, Bell Atlantic &
02.0400             NYSE&G Relocation                   5,000                   Time Warner
02.0500             Tel/TV/Computer Conduits
02.0600             Project Control                     30,000                  Detailed site surveys
                                                                                Tree protection &
02.0700             Landscaping                         50,000                  relocation of donor trees
                                                                                2% of project budget
02.0800             Parking Tax - 2%                    2,200,000               $110M
02.0801             Replacement Parking                 345,000                 69 spaces @$5Kea
02.0900             Construction Site Preparation
02.1100             Misc Site Unfpreseen
                    Uncommited
                                                                            $
                             Total Site Work                        4,880,000

          03.                FURNISHINGS
                                                        $
03.0100             New Furniture Purchase              2,000,000
03.0600             Moving Costs                        100,000
03.0700             Telephone & Data                    350,000
03.0900             Janitorial Svcs & Supplies          50,000
03.1100             Plaques & Signs                     75,000
03.1400             AV Equipment                        300,000
                    Uncommited
                                                                            $
                             Total Furnishings                      2,875,000

          04.                PROFESSIONAL FEES
          04.0100            A/E Fee (RMP)                          #REF!
04.0100             Feasibility Study                   #REF!


                Facilities Project Managers Guide                                                            Page 100
04.0200             Schematic Design                  #REF!
04.0300             Design Development                #REF!
04.0400             Construction Documents            #REF!
04.0500             Add'l Due To EIS                  100,000
04.0600             Construction Administration       #REF!
04.0700             A/E Reimbursables                 #REF!
04.0800             Utility Design                    195,000           Gryphon
04.0900             Geotechnical Engineer             100,000
                    CM Pre-Construction Fee/Direct
05.1500             Payment                           600,000
                    CM Pre-Construction
05.1600             Reimbursables                     200,000
04.0800             Special Consultants               150,000
04.0800             EIS Consultant                    120,000
04.1000             Environmental Engineer            600,000

04.1100             Existing Conditions-Survey        20,000
04.1200             Asbestos Design Services          25,000
                                                                        Space Inventory dwgs
04.1300             As-Built Drawings                 37,506            @ $0.15/gsf
                    Uncommited
                            Total Professional Fees             #REF!

          05.               OTHER COSTS
                                                      $                 UA, Dir PDC & design
05.0100             PDC - Design                      150,000           reviews
                                                                        UE & PDC design
05.0200             PDC - Engr                        200,000           reviews

05.0300             Contract/Financial Mgmt           100,000

05.0400             Proj Mgmt                         825,000           5 yrs full time @$110/hr   825000

05.0400             Asst Proj Mgmt                    414,000           5 yrs full time @$60K/yr   414000

05.0401             Proj Coord                        412,500           5 yrs full time @$50/hr    412500

05.0402             Constr Mgmt                       427,500           3 yrs full time @ $90/hr   427500

05.0402             Environmental Proj Mgmt           150,000

05.0500             Travel & Subsistence              150,000
05.0600             Reproduction & Printing


                Facilities Project Managers Guide                                                  Page 101
                                                     25,000

05.0700             Photography                      10,000

05.0800             Communications                   10,000

05.0900             Publicity                        30,000

05.1000             Testing Services                 150,000

05.2000             Job Office Site                  20,000
                    Uncommited
                                                                         $
                            Total Other Costs                    3,074,000

          06.               CONCEPTUAL COSTS
                                                     $                       Actual costs - ASTI
06.0100             A/E Fees                         38,000                  Space Assessment &

06.0200             Other Costs                      6,000                   Preplanning Phase
                                                                        $
                            Total Conceptual Costs                 44,000

          99.               CONTINGENCY                                              Target %
                                                     $
99.01               Construction                     7,813,040               10%

99.02               Site Work                        488,000                 10%

99.03               Furnishings                      287,500                 10%
99.04               Professional Fees                #REF!                   2.50%

99.05               Other Costs                      184,440                 6%

99.06               Conceptual Costs                 -                       Completed
                            Total Contingency                       #REF!

                            PROJECT BUDGET
                            SUMMARY
                                                     $
01.                 CONSTRUCTION                     78,130,400

02.                 SITE WORK                        4,880,000

03.                 FURNISHINGS                      2,875,000
04.                 PROFESSIONAL FEES                #REF!

05.                 OTHER COSTS                      3,074,000

                Facilities Project Managers Guide                                                  Page 102
06.       CONCEPTUAL COSTS                44,000
99.       CONTINGENCY                     #REF!    #REF!
          PROJECT TOTAL                   #REF!




      Facilities Project Managers Guide                    Page 103
        Sample Budget: $154 vs. $140 Million

                                                                                                        GMC @ $382
                                           Area GSF:             251,057             247,978            vs $371/GSF
                                           Area NSF:             132,135             130,189

ITEM                   DESCRIPTION                     $154M Budget        $140M Budget              REMARKS
01.                CONSTRUCTI0N
                                                                                               BUILDING H, tunnel
                                                                                               to Building I and
01.0101    GMC                                         $   96,345,309      $   92,000,000      landscape

           Cost of Work (Trades-All)                   78,834,992          75,440,000
01.0102    Athletics Compensation Projects                  3,500,000           2,000,000
01.0103    Asbestos Removal/Monitoring                          250,000             250,000

           Asbestos Removal                            175,000             175,000

           Asbestos Monitoring                         75,000              75,000
01.0900    Municipal Approvals/Fees                             562,575             540,930

           Building Permit                             402,060             384,744             $6/K of adjusted CoW
                                                                                               $1.50/K of adjusted
           Municipal Services-Site Plan Review         100,515             96,186              CoW
                                                                                               CEQR approval
           EIS Review Consultant to City               60,000              60,000              facilitation
01.1000    PDC/CIT Construction Support                         590,000         1,090,000

           Construction Support                        70,000              70,000

           Construction Support                        20,000              20,000

           Q/A, Commissioning, T&B                     500,000             1,000,000
                                                                                               Independent Testing
01.1100    Construction Testing Services                        200,000             200,000    Agency
           Total Construction                          $ 101,447,884       $   96,080,930
 ITEM                  DESCRIPTION                     $154M Budget        $140M Budget              REMARKS

02.                SITE WORK
                                                       $                   $                   ID Utilities & other civil
02.0100    Engr - Site Support                         25,000              25,000              support
                                                                                               Utility costs until
02.0200    Utility Operations                          500,000             500,000             occupancy


          Facilities Project Managers Guide                                                                           Page 104
                                                                                    Stm, ChW & PotW -
02030.0    CU Utilities Reloc & Ext            500,000          2,000,000           by CU Utilities Dept
                                                                                    NYSEG, various
02.0400    Non-CU Utl Relocation               5,000            5,000               company names
02.0500    Connection to HiVolt                50,000           50,000

02.0600    Project Control                     30,000                               Detailed site surveys
                                                                                    Tree protection &
                                                                                    relocation of donor
02.0700    Landscaping                         50,000                               trees
02.0700    Job Office Site                     20,000           20,000
                                                                                    69 spaces @$6Kea or
                                                                                    reduce and pave
02.0801    Replacement Parking                 414,000          414,000             something
           Total Site Work                     $   1,594,000    $   3,014,000
ITEM                     DESCRIPTION            $154M Budget     $140M Budget            REMARKS
03.                 FURNISHINGS FF&E
                                               $                $                   ~$4K/person, expl
03.0100    New Furniture Purchase              2,000,000        2,000,000           recyclers
                                                                                    Growth Chambers &
                                               $                $                   other unique unshared
03.0300    Growth Chambers Equipment           6,000,000        3,210,000           equip.
                                               $                $
03.0400    Vivarium Equipment                  2,050,000        1,100,000           Mouse racks
03.0600    Moving Costs                        100,000          100,000
                                                                                    Based on discussions
03.0700    Telephone & Data                    750,000          750,000             w/ CIT Engr
                                                                                    Allowance based on
03.0800    Security System Equipment           350,000          350,000             previous
                                                                                    Allowance based on
03.0900    Janitorial Svcs & Supplies          50,000           50,000              previous
                                                                                    Allowance based on
03.1100    Plaques & Signs                     75,000           75,000              previous
                                                                                    Allowance, need
03.1400    AV Equipment                        500,000          500,000             program and design
           Uncommited
           Total Furnishings                   $   11,875,000   $       8,135,000
ITEM                     DESCRIPTION            $154M Budget     $140M Budget            REMARKS

04.                 PROFESSIONAL FEES
04.0100    A/E Fee                             17,325,000       14,226,019
                                               $                $
04.0100    Feasibility Study                   750,000          750,000
                                                                                    16.5% vs 13% of
04.0200    Schematic thru Construction Admin   15,675,000       11,960,000          GMC


          Facilities Project Managers Guide                                                               Page 105
04.0300    Record Drawings                                          50,000
04.0400    Pre-guarantee Expiration Inspection                      20,000
04.0500    Add'l Due To EIS                                         100,000
           Excess Liability Insurance                               446,019            3.73%
04.0700    A/E Reimbursables                       900,000          900,000
                                                                                       Stm, ChW & PotW -
04.0800    Utility Design                          50,000           100,000            by CU Utilities Dept
04.0900    Geotechnical Engineer                   100,000                             In A/E Fee
           CM Pre-Construction Fee/Direct
05.1500    Payment                                 550,000          550,000            Per Agreement

05.1600    CM Pre-Construction Reimbursables       250,000          -
04.0800    Special Consultants                     150,000          150,000            Safety, LEEDs, etc.
           EIS Consultant to Faciltate Municipal
04.0800    Approvals                               120,000                             By Proj Team
                                                                                       EIS, wind tunnel,
04.1000    Environmental Engineer                  600,000          400,000            chemical analysis
                                                                                       Interface with existing
04.1100    Existing Conditions-Survey              20,000           20,000             buildings
04.1200    Asbestos Design Services                25,000           25,000
                                                                                       Fly Overs, Visual
05.0700    Photographer                            10,000           10,000             Simulations, etc.
                                                                                       Space Inventory &
                                                                                       Archiving dwgs @
04.1300    Archiving and Inventory Services        37,659           86,792             $0.35/gsf
           Total Professional Fees                 $   19,237,659   $     15,567,811
ITEM                    DESCRIPTION                $154M Budget         $140M Budget         REMARKS

05.        OTHER COSTS
                                                   $                $
05.0100    Project Executives                      150,000          150,000            Dir PDC, UA
                                                                                       UE, Proj Dir & PDC
05.0200    Engr                                    600,000          400,000            design reviews

05.0300    Contract/Financial Mgmt                 100,000          100,000
                                                                                       $'s ToDate, 2 yrs full
                                                                                       time, 2 yrs half time
05.0400    Proj Mgmt                               825,000          670,000            @$x/hr

05.0400    Prgm Mgmt                               414,000          414,000            5 yrs full time @DPE

05.0400    Asst Proj Mgmt                          594,000          475,200            4 yrs full time @$x/yr
                                                                                       2.5 yrs full time
05.0401    Construction Admin Asst                 412,500          68,112             @$x/hr
05.0402    Constr Mgmt                                                                 2.5 yrs full time

          Facilities Project Managers Guide                                                                     Page 106
                                              855,000              427,500              @$x/hr
                                                                                        Technical Review and
05.0402    Environmental Proj Mgmt            150,000              50,000               Site Inspections

05.0500    Travel & Subsistence               200,000              150,000

05.0600    Reproduction & Printing            25,000               25,000

05.0700    Photography                        10,000               10,000

05.0800    Communications                     10,000               10,000

05.0900    Publicity                          30,000               30,000
           Total Other Costs                  $      4,375,500     $      2,979,812
ITEM                     DESCRIPTION              $154M Budget         $140M Budget           REMARKS

06.                CONCEPTUAL COSTS                                          Report
                                              $                    $                    Actual costs - Space
06.0100    A/E Fees                           34,584               34,584               Assessment &

06.0200    Other Costs                        12,047               12,047               (company name)
                                                               $                    $
                   Total Conceptual Costs                 46,631               46,631
ITEM                     DESCRIPTION              $154M Budget         $140M Budget           REMARKS

99.                CONTINGENCY                                                                   Target %
                                              $                    $
99.01      Construction                       10,144,788           9,608,093            10%

99.02      Site Work                          159,400              301,400              10%

99.03      Furnishings                        1,187,500            813,500              10%

99.04      Professional Fees                  961,883              778,391              5.00%

99.05      Other Costs                        262,530              178,789              6%

99.06      Conceptual Costs                   -                    -                    Completed
           Total Contingency                  $     12,716,101     $     11,680,172
ITEM                     DESCRIPTION              $154M Budget         $140M Budget           REMARKS

           PROJECT BUDGET SUMMARY
                                              $                    $
01.        CONSTRUCTION                       101,447,884          96,080,930

02.        SITE WORK                          1,594,000            3,014,000
03.        FURNISHINGS

          Facilities Project Managers Guide                                                                    Page 107
                                          11,875,000      8,135,000

04.    PROFESSIONAL FEES                  19,237,659      15,567,811

05.    OTHER COSTS                        4,375,500       2,979,812

06.    CONCEPTUAL COSTS                   46,631          46,631

99.    CONTINGENCY                        12,716,101      11,680,172      9.19% vs 9.29%
       PROJECT SubTOTAL                   $ 151,292,775   $ 137,504,357
       2% Parking Tax                     3,025,855       2,750,087
       PROJECT TOTAL                      154,318,630     140,254,444




      Facilities Project Managers Guide                                                    Page 108
Sample Project Plan
                                              PROJECT PLAN
                                      ROUTINE MAINTENANCE
                                              COST STUDY
Project Team
Project Manager:
PDC Shops Representative:
Customer Representative:
IT Representative:
Facilities Customer Service Representative:




                          Questions or comments should be directed to the
                                 Facilities Services Project Manager:
                                          (name and phone)
                                                (date)




  Facilities Project Managers Guide                                         Page 109
                                                  PROJECT PLAN

   ==================================================================
   This Project Plan requests authorization for $75K to fund a Routine Maintenance Cost Study. Associated
   PARs may be forthcoming, as the study is expected to provide recommendations requiring additional actions.
   ==================================================================
   1. Sponsoring Department: Facilities Management

   2. Purpose and Need:
   The purpose of this project is to analyze and investigate routine maintenance cost data. This is needed to
   guide planning efforts and assure cost effective maintenance is provided consistent with the University
   mission and maintenance goals.
   The Cornell University core endowed campus consists of approximately five million square feet of
   classrooms, laboratories, offices, athletic facilities, recreation, and other specialty areas. In its mission to lead
   excellence in education and research, the University facilities continuously evolve and age, with associated
   changes in maintenance requirements. As a result, it has become increasingly difficult to forecast costs for
   the routine maintenance portion of the maintenance budget. The maintenance allocation is budgeted in three
   major categories: planned, routine (unplanned /breakdown), and preventive maintenance. Gross analysis of
   these major budgetary components indicates the requirements for routine maintenance are growing at a
   greater rate than the others. Routine Maintenance Costs have more than doubled over the last ten years,
   going from approximately $1.5M to $3.5M annually. While it could be predicted that routine maintenance
   spending would be up as a result of the aging physical plant and the growth in the planned maintenance
   inventory, the exact correlation among these factors is unclear. Analysis of the maintenance costs data is
   expected to provide useful guidance to correct the trend or verify appropriateness of the current maintenance
   spending.

   3. Scope of Work:
   The scope of work for this Project Plan includes the following:
          o • Preliminary investigation of routine maintenance cost information and
               development of data plots to establish and verify routine maintenance cost trends in
               terms of maintenance categories, and building usage types. Both macro level
               (campus) and micro level (building) investigations will be completed.
           o • Secondary investigation and analysis to suggest correlations between maintenance
             costs and applicable building maintenance cost factors: building infrastructure,
             building use/function, building system technology, building code, legal factors, as
             well as, University policies and business practices.
           o • Responsive managerial initiative(s) to guide routine maintenance activities for
             continued improvement.
           o • Review the efficacy of the routine maintenance work management process,
             including work identified, work planning, work scheduling, work accomplishment,
             documentation, analysis and performance.
4. Major Alternatives Considered and Why Rejected:




      Facilities Project Managers Guide                                                                        Page 110
         • Do nothing. This was rejected because unscheduled maintenance costs have increased
          significantly in recent years and the investigation will provide necessary facilities
          managerial information for continuous improvement.
         • Maintenance Management has considered funding a term position to achieve the goals of
          this project but rejected the alternative; because, developing the expertise requires
          extended time and a change of career path is likely to occur before significant results are
          gleaned.

5. Proposed Schedule: The proposed schedule for the study phase is as follows:
                    Investigation – Phase I

                                      Approval         Begin           Complete

                                      Feb 04           Feb             Jun 04
                                                       04



     6. Project Budget: This Project Plan requests authorization for $75K to fund a Routine Maintenance Cost
     Study. Associated PARs may be forthcoming, as the study is expected to provide recommendations requiring
     additional actions. The proposed budget for this Project Plan is as indicated below:

     Study Phase
     Consultant Fees    $
     Project Management
     Contract Admin
     Miscellaneous
     Contingency
     Total              $

     7. The project will be funded as follows:
                                                                                       Primary Account
                                                                                       Number funds
                                                                                       will be provided
                                                                                       by

                                                      Amount
                        Funds provided by             $
                        Unit / College
                        Contact person in
                        department to
                        authorize transfer of
                        funds

     8. Change in Maintenance and Operating Costs:
     The study is intended to provide insight into causes for trends in increased routine maintenance costs. The
     results will be used to identify initiatives that assure effective use of maintenance resources.

     9. Mode of Accomplishment:

         Facilities Project Managers Guide                                                                Page 111
X Inc. will investigate trends of increasing routine maintenance costs to provide data plots and analytic tools
for the project team. The project team will assist X Inc with gaining access to necessary information,
interpret investigation results, and identify productive initiatives.

10. Potential Issues:
• The investigation will rely on data available through the job cost system. Skanska will be given access to
the maintenance cost data.
• Outreach to other university databases and facilities information may be required.




  Facilities Project Managers Guide                                                                    Page 112
12. Submitted by:


                                      Project Manager                      Date
                                      Planning, Design, and Construction

                                      , Director                           Date
                                      Maintenance Management
Endorsed by:


                                      Director                             Date
                                      Facilities Management

                                      Director                             Date
                                      Planning, Design, and Construction

                                      Associate Vice President             Date
                                      Division of Facilities Services

                                      Vice President                       Date
                                      Planning and Budget

                                      Vice President                       Date
                                      Administration and CFO


Date Prepared




  Facilities Project Managers Guide                                               Page 113
Sample Feasibility Study

Executive Summary
The department of x intends to augment its research capabilities at (name of building) by installing two
growth chambers in Room B74. Two used “XYZ Company” growth chambers have been purchased and
reassembled in the East wing of (name of building). The chambers are approximately 15 years old and
when completed, they will be made operational as part of the departments purchase agreement. To
complete the growth chamber installation, they must be connected to an electric power source, a heat
rejection system, and additional requirements may become evident during design development.
To develop this report Persopn A met with Person B (name of company.), Person C (PDC HVAC/R
Shop), and Person D (PDC Mechanical Design) to review the conditions at the site. We reviewed the
building conditions to establish options for heat rejection Appling a diversity factor to full time
operations, we estimated life cycle energy costs for each of the heat rejection options. Identifying
categorical scope elements, we applied gross cost estimating methods and contacted XYZ Company for
budget cost information to develop a potential range of construction costs.
Infrastructure costs will be sensitive to the design details, selected scope of construction work, and the
existing conditions. In this case, electric power is readily available for connection to the growth
chambers; however, water based heat rejection sources are not readily available. A source for chilled
water requires approximately 500 ft of piping; there is no cooling tower based condenser water loop in
the building. A domestic water source is readily available; however, it is not a feasible long term means
for heat rejection. Based on these observations and associated economic analysis, air cooled condensing
is the most economically feasible means of rejecting heat from the growth chambers. (See Table 1)
Reviewing the decision to purchase new or used equipment, we note economic considerations. Two used
chambers cost $73K; two new units of equivalent capacity cost approximately $260K. Accommodative
infrastructure is necessary for both new and used equipment, as (name of building) is not fully equipped
to support growth chamber operations, the cost to provide the infrastructure is expected to be in a range
of $100K to $160K. Therefore, capital costs for the new vs. used option are in the ranges of $360K to
$420K and $170K to $230K, respectively. Energy requirements are not appreciably different for new
and used equipment. The manufacturer representative indicates the technological advances employed in
the new chambers primarily reduce manufacturing costs. Long term maintenance costs will also be
similar for the used and new equipment; driven by reliability requirements, a comprehensive
maintenance program is recommended for both new and used equipment. Nonetheless, there is a risk
that maintenance costs will be initially higher for the used equipment, but the decision to purchase new
or used equipment is not sensitive to this difference. Therefore, we conclude the used equipment will
have minimum life cycle costs.
In conclusion, modifying the existing equipment to achieve heat rejection via air cooled condensers
results in minimum life cycle costs. To implement this option, new air cooled condensers will be located
on the roof immediately above the growth chambers. XYZ Company will adapt new heat rejection
systems to the existing growth chambers, and install the new equipment in coordination with local
trades. A structural design will also be necessary to place the condensers on the roof, assure structural
integrity, and coordinate the required utility connections. Project cost to provide the necessary
modifications and infrastructure is estimated to be in the range of $100K to $160K.



  Facilities Project Managers Guide                                                               Page 114
                                      (NAME OF BUILDING)
                           B74 ENVIRONMENTAL GROWTH CHAMBER
                                       FEASIBILITY STUDY


                                      TABLE OF CONTENTS
                                                              Page
Executive Summary
Background
Condition Evaluation of the Growth Chambers
Heat Rejection Options
Economic Analysis
       Alternatives for Condenser Heat Rejection
       New vs. Used Growth Chamber Purchase
Schedule and Mode of Accomplishment
Conclusion
Appendix A – Life Cycle Cost of Differential Options
       Option 1-Air cooled Condenser
       Option 2 – Cooling Tower Water Cooled Condenser
       Option 3 – Chilled Water Condenser Cooling
       Option 4 – Domestic Water Cooling
       Option 5 – Chilled Water Direct Cooling




  Facilities Project Managers Guide                                  Page 115
Background
The Department of X intends to augment its research capabilities at (name of building) by installing two
growth chambers and has purchased two used “XYZ Company” growth chambers. The growth
chambers have been reassembled at (name of building), but they must be connected to electric power
and a means for heat rejection. Electric power is readily available for
connection to the growth chambers; however, there are several heat rejection options having
significantly different first cost and life cycle costs.
The growth chambers have been situated in their present location since 2002 and the department is
anxious to put them into operation. The equipment had been purchased through a used equipment
broker; disassembly, storage, reassembly, and start-up services had been purchased with costs to date of
$73K. If purchased new, a budget estimate of the cost is $130K per chamber. The service provider is
contracted to return to the site to complete the work after utility connections have been
completed. In an effort to expedite placing the chambers into operation, Person B (name of company.),
provided a proposal to design a temporary domestic water system anticipating availability of chilled
water in the near future. Person B provided valuable input to establish the alternative options for long
term operations.
The original water-cooled heat rejection systems on the growth chambers had been connected to a
cooling tower condenser water system. A cooling tower is not available at the (name of building)
facility, so an alternate means for heat rejection is required.
There are several options for providing the necessary heat rejection systems, which have varying levels
of cost. (See Heat Rejection Options for a comprehensive explanation of the different system
characteristics and cost factors.)
Economic analysis indicates that modifying the existing equipment to achieve heat rejection via air
cooled condensers results in minimum life cycle costs, and the used equipment will also result in
minimum life cycle costs as opposed to purchasing new equipment.
Analysis indicates that completing the installation is feasible, and that converting the condensing portion
of the refrigeration system water cooled to air cooled will have minimum life cycle costs. Total project
costs associated with completing the installation are estimated to be in a range between $100K and
$160K.

Condition Evaluation of the Growth Chambers
The growth chambers are approximately 15 years old and appear to be in good condition capable of
providing precision control of environmental conditions for growing plants. A combination of Metal
Halide and High Pressure Sodium Lights are used to illuminate the chambers to what the manufacturer
describes as an optimal spectral blend. The level of lighting can be automatically varied with several
levels of lighting. Control is provided electronically by a programmable panel
that maintains the lighting level, temperature, humidity, and auxiliary functions such as automatic
watering and can be ramped or stepped up to 192 times per day.
The design temperature range is 4?C to 40? C with the lights off and 10?C to 40? C with the lights on. The
humidity control system is design to maintain 85%RH at 30C, by adding water via spray nozzle
humidification, but is not capable of active dehumidification. Temperature is controlled to within 0.5?C
and humidity is controlled to within 3%. The design ranges are generally considered to be the industry
standard for growth chambers.

  Facilities Project Managers Guide                                                               Page 116
The X Departmentwill be using the chambers for plant growth experiments. The temperature range will
be from 10 C to 38 C as a min and max, with most experiments probably in the 24 to 28 range. The
humidity control will be in the 45 to 85 %RH range, with most experiments around 50-60%RH. These
conditions are all within the capabilities of the growth chambers being considered.
Reviewing the condition of the used equipment, the cabinet shells are solid and square, appearing to
have good insulation and panel seals. The doors open and close freely. There is some disarray, as most
of the ceiling panels have not been installed, and the interior of the units have not been cleaned. The
control cabinets remain in a standard condition and control wiring has been terminated at the I/O
devices. We understand the assembly contractor will be responsible for final testing of the control
components upon connecting the systems to the required utilities. Prior to disassembly, the units where
reported to be operational. Nonetheless, the equipment is used and increasing levels of maintenance will
be required to keep them operational. Spare parts from a third chamber may reduce the material costs;
however, labor associated with storing, handling, cataloging the spare parts will increase the operating
expenses.
The refrigeration systems will be critical elements in terms of system reliability. The system components
have been completely reassembled and the refrigerant piping is brazed together. As such, the
refrigeration systems have not been left open to the damaging affects of humidity and airborne dirt.
Upon placing the equipment into operation, the lighting and cooling systems will impart significant
loads on the electrical system, with associated cost. To provide close tolerance temperature control, the
refrigeration compressors will run continuously when the chambers are in operation contributing electric
load. The associated energy costs are expected to be in the range of $10K to $20K per year In terms of
sustained operability, XYZ Company remains in business providing standard replacement parts for the
systems and supporting versatile and reliable growth chamber operation. Additionally, the
campus contains many other XYZ Company chambers and there is a significant resource base for
maintenance, trouble shooting, and repair. As previously mentioned the refrigeration compressor run
continuously and periodic compressor replacement may be necessary. To assure reliable operations, a
preventive maintenance program is also outlined in the manufacturers operating instructions. It includes
daily system checks and periodic cleaning. Depending upon the reliability requirements and mode of
accomplishment, the maintenance costs could vary over a large ranger, but through an effective
maintenance strategy, they may be kept between $5K and $10K per year.
Heat Rejection Options
As previously noted, the purchased growth chambers require a heat rejection system. The existing
chambers were previously connected to a cooling tower rejection system. Cooling towers normally
complete the heat rejection system and recirculate bulk system water while a portion evaporates to reject
waste heat to the atmosphere. The associated cooling towers require ongoing maintenance to prevent
fouling from dissolved build-up from the make-up water. However, when combined to serve
a large quantity of individual units, they provide the most efficient refrigeration effect with the best
economy. In this case, the scale is not sufficiently large to support cooling tower operations.


Dry coolers are more commonly used where individual water cooled condensers units must reject heat
remotely and at a distance. They recirculate water mixed with antifreeze within a closed circuit having a
water-to-air finned heat exchanger and operate at relatively high temperatures, relying on sensible

  Facilities Project Managers Guide                                                                  Page 117
cooling. Spray systems can be incorporated to improve heat transfer with increased maintenance
requirements. They provide the advantage of rejecting heat remotely, trading off
lowered efficiency caused by higher operating temperature. In this case, we will not consider a dry
cooler because, heat rejection can be accomplished within a relatively short distance from the growth
chamber.
Air cooled condensing provides the most direct means of rejecting system heat. Refrigerant is
circulated directly through a remote air cooled heat exchanger. Sensible cooling requires relatively high
condensing temperatures, with lower operating efficiency and higher electrical energy costs for the
refrigeration compressor energy. Spray water systems can be added to improve efficiency, additional
maintenance and first cost requirements must be compared with base characteristics to
establish benefit. Relative to the base cooling tower case, the heat rejection costs are minimal and
include condenser fan energy and increased refrigeration compressor energy from reduced efficiency of
higher condensing temperatures. This is the most economically attractive option.
Chilled water condenser cooling is a form of cascaded cooling; the cooling medium is pumped to the
site at significant expense to except the heat of rejection from the local refrigeration system. The local
system contains a refrigeration compressor which operates at significant expense to refrigerate the
system. The cumulative costs of the two refrigeration systems are prohibitively expensive. Therefore the
option is not recommended for this application.
Domestic water condensing is cost prohibitive and wasteful of potable water resources. Termed once
through cooling, this method of condenser cooling results in utility cost to cover the potable water
treatment and transportation, as well as, the sanitary waste treatment costs. This method typically
provides emergency backup of cooling tower operations or for interim operations while a normal source
is being planned and implemented.
Direct Chilled Water Cooling is a feasible option that replaces the local refrigeration circuit entirely.
Implementing this option requires replacement of the refrigerated cooling coil in the growth chamber
with a new chilled water coil. Control system retrofit for the chamber temperature is also necessary.
These changes have significant expense and also have a significant impact on operational performance.
The cooling coil dewpoint temperature is limited by the chilled water supply
temperature, which also limits the ability to operate at lower temperatures and limits the ability to
control humidity. Frequently, these limits do not impact usefulness for research involving plant growth.
Economic Analysis
Alternatives for Condenser Heat Rejection
To provide an economic analysis of the alternatives for heat rejection at the condenser, we assume each
of the options has a similar level of cost for compressor energy consumption, maintenance, and
operation of the refrigeration systems, and develop differential analysis of the available heat rejection
media. The analysis indicates that conversion to air cooled condensers will result in minimum life cycle
costs. Net present values of five options including first cost and annual differential cost over a 20 year
analysis period are presented in the following table.




  Facilities Project Managers Guide                                                               Page 118
                                     Local Refrigeration Compressor

                      Air cooled      Tower Water       Chilled            Domestic      Direct Chilled
                      condenser          Cooled         Water          Water Cooled      Water Growth
                                       Condenser        Cooled             Condenser        Chamber
                                                      Condenser                             Cooling

First Cost           90,000          $120,000        $90,000          $50,000            $93,500
Annual               $657            $6,728          $35,040          $37,142            $28,032
Condenser
Heat Rejection
Cost
NPV of Life          $ $64,000       $81,000         $290,000         $306,000           $216,000
Cycle
Operating Cost
NPV of Total         154,000         $201,000        $380,000         $356,000           $310,000
Life Cycle
Costs

                                                                 Table 1

        Please note the analysis does not include the energy costs associated with lighting, humidifying, and
        heating the chamber. Those costs may be higher by a factor closely related to the Energy Efficiency
        Ratio of the refrigeration system. This analysis is intended to inform a decision regarding the most
        economical means of rejecting chamber heat associated with the application described in this report.
        New vs. Used Growth Chamber Purchase
        Comparing life cycle costs of purchasing new or used equipment, the energy requirements to operate
        new or used chambers are similar. The manufacturer indicates that the technology advances employed in
        the new chambers primarily reduce manufacturing costs and have little if any impact on energy
        consumption. For example, new lighting ballasts tend to be lighter in terms of weight of the materials
        used to make them, as higher starting voltage can be generated with electronic components, but the
        energy required to operate the lights is lower.

        Growth Chamber with Air cooled condenser

                                                        Used                  New

        First Cost                                      $148,000              $380,000

        Annual Condenser Heat Rejection Cost            $657                  $657

        NPV of Life Cycle Heat Rejection Costs          $64,000               $64,000

        Annual differential Maintenance Cost $          28,000                $0

        NPV of Annual Differential                      $216,000              $0
        Maintenance Costs

        Annual Differential Chamber Energy              $0                    $0


             Facilities Project Managers Guide                                                            Page 119
Costs

NPV of Annual Differential Chamber          $0               $0
Energy Costs

NPV of Total Life Cycle Costs               $428,000         $444,000


Table 2

The refrigeration system components have changed slightly, however, the main characteristic in term of
energy consumption has not changed; the refrigeration compressor runs continuously during operation.
As the system is used and the refrigeration system had been disassembled there is some risk of an early
failure which would cost approximately $10K to replace; failure usually results in acid byproducts in the
refrigeration circuit that must be removed. However, both the new and used systems require periodic
maintenance to assure early detection of refrigeration leaks, failed components, and clean heat transfer
surfaces. Here we would note that the used equipment first costs are significantly lower than new
equipment and a decision for used equipment purchase is not sensitive to maintenance costs. In this case
annual differential maintenance cost would have to be in excess of $28K to trigger a decision to buy new
equipment. See Table 2.


Schedule and Mode of Accomplishment
As the anticipated costs exceed $50K, the project will require authorization as a capital project through
the PAR system for design and construction. The feasibility study report will form the basis of a Design
and Construction PAR. Gaining authorization for design and construction will enable pre-purchase of
the condensing units which have a 60 to 90 day lead time.
Upon receiving PAR approval, design services will begin in order to occur in parallel with equipment
pre-purchase. The design documents will define the construction work for a fixed price estimate by PDC
shops.
After receiving a fixed price estimate within the construction budget, a 2 month construction period is
anticipated. Based on this approach, the project can be completed in approximately 6 months after
receiving departmental approval to proceed. This approach will also allow for an abbreviated design
effort with associate reduction in time requirements and costs. To validate the fixed price cost estimate,
we also recommend a parallel estimate; this will add approximately $2K to the project costs.
Alternatively, construction documents can be developed for a competitive bid. These documents would
have to be developed to a higher level of detail with specifications and general requirements for a
contract. The additional design and associated bid periods will add approximately 3 months to the
completion schedule.
Conclusion
In conclusion, providing a mean to reject the heat generated in the growth chambers presents the most
challenging obstacle to placing the growth chambers into operation. Several options were considered for
meeting the most challenging component of the project. On the basis of minimum life cycle costs, air
cooled condensing is a clear choice. Although this choice does not have the lowest first costs, the lowest
first cost alternative, domestic water cooling, has high water and sewerage utility costs and is not a
viable long term option. The other options have significantly higher costs than the air cooled option.



  Facilities Project Managers Guide                                                                Page 120
To implement this option, new air cooled condensers will be located on the roof immediately above the
growth chambers. XYZ Company will provide proprietary engineered components for installation by
union tradesmen. A structural design will also be necessary to place the condensers on the roof, assure
structural integrity, and coordinate the required roof penetrations.
A new water supply and drainage system will also be provided for humidification and watering. The
refrigeration systems will contain sufficient refrigerant to require leak detection and alarm. At this early
stage, we also anticipate additional scope may be required to accommodate design details not considered
at this early stage, feasibility.
Total project costs associated with completing the installation, are estimated to be in a range between
$100K and $160K as indicated in the budget presented below. Additional breakdown of the anticipated
costs are presented in the appendices.

Budget                                      Range

Construction                    $75,000              $120,000
Planning and Design             8,000               10,000
FFE                             0
Project Support                 2,000               3,000
Transportation                   0
Project Management              10,000              15,000
Contingency                      5,000              12,000
Total                            $100,000           $160,000

Table 3




  Facilities Project Managers Guide                                                                Page 121
                           APPENDIX A – LIFE CYCLE COST OF DIFFERENTIAL OPTIONS
Option 1-Air cooled Condenser
Construction Costs                                                    low          NPV       high
General Conditions                                                    $5,000                 $6,000

GC Roof penetrations and                                              5,000                  10,000
stuctural dunnage

Mechanical                                                            2,000                  5,000

Electrical                                                            20,000                 25,000

Plumbing                                                              10,000                 20,000

Refrigeration

                                     Refrigerant                      3,000                  5,000
                                     Monitoring

                                     Refrigeration                    8,000                  12,000

                                     Condensing unit                  22,000                 22,000

Design Development                                                    0                      15,000
Allowance

                                                                      $75,000      $75,000   $120,000

Used Equipment Purchase                                                            73,000

                                        Net Present Value of Life Cycle
                                        Compressor Energy Costs(eer=5)
                                                                                   58,979
Annual Air cooled condenser hear rejection cost
        Energy Consumption (electrical)
        Cooling Capacity (tons)                            40
        Diversity                                         0.50
        delta Temp (air)                                   10
        condenser fan horse power                          1
        annual hours of operation                         8,760
        electric use rate (kw)                            1
        annual useage (kwh)                               6,570
        electric billing rate ($.10/kwh)                   $0.10
        annual air cooled condenser heat rejection cost   $657.00               $5,073
                                                          Net Present value     $212,052
Refrigeration Compressor (Air Cooled)
          Rated Amps                                               21
          Voltage                                                  480
          Phase factor                                              1.73
          KVA                                                      17
          EER @ Tc=115                                              5
          full load heat rejection(tons)                           25
          full load refrigeration capacity (tons)                  20
          diversity                                                50%
          Annual hours of operation                                8760
          Annual compressor energy consumption (kwh)               76,380
          Electric power billing rate ($/kwh)                      $0.10
          Annual compressor energy cost ($)                         7,638
          discount rate                                             0.05

   Facilities Project Managers Guide                                                                    Page 122
          Net Present Value of Life Cycle Compressor Energy Costs(eer=5) 58,979


Option 2 – Cooling Tower Water Cooled Condenser
                                                                                                                      NPV
General Conditions                                                $5,000.00
Mechanical                                                        16,000
Electrical                                                        23,000
Plumbing
           Domestic water & sanitary connection                   26,000
           Roof                                                   15,000
           Cooling Tower Package                                  20,000
Design Development Allowance                                       15,000
                                                                  $120,000.00                              $120,000
Net Present Value of Life Cycle Compressor Energy Costs(eer=10)                                            $29,489

Energy Consumption (condenser water)
Cooling Capacity (tons)                                           40
Diversity                                                          0.50
delta Temp                                                        8
average flow rate (gpm)                                           72
annual hours of operation                                         8,760
annual evaporation rate (gal)                                     33,692
blowdown                                                           67,385
domestic water billing rate ($/gal)                               $0.0032
sanitary waste billing rate                                       $0.0040
fan energy                                                         1,000
water treatment                                                   5,000
annual domestic water cost                                        323
annual sanitary waste cost                                        404
                                                                  $6,727.75                    $51,950
                                                                  Net Present Value             $201,439

Refrigeration Compressor (Chilled Water Cooled Condenser)
Rated Amps                                                                             21
Voltage                                                                               480
Phase factor                                                                          1.73
KVA                                                                                   17
EER @ Tc=115                                                                          5
EER @ Tc=85                                                                           10
full load heat rejection(tons)                                                        25
full load refrigeration capacity (tons)                                                20
diversity                                                                             50%
Annual hours of operation                                                             8760
Annual compressor energy consumption (kwh)                                            38,190
Electric power billing rate ($/kwh)                                                    $0.10
Annual compressor energy cost ($)                                                      3,819
discount rate                                                                          0.05
Net Present Value of Life Cycle Compressor Energy Costs(eer=10)                       29,489




   Facilities Project Managers Guide                                                                                        Page 123
Option 3 – Chilled Water Condenser Cooling
                                                                                    NPV
General Conditions                                                         $2,500
Mechanical                                                                 2,000
Electrical                                                                 14,000
Plumbing
Domestic water & sanitary connection                                       16,500
Isolation heat exchanger package                                           20,000
2" Chilled water line 500 ft.                                              20,000
Design Development Allowance                                               15,000
                                                                           90,000    $90,000
Net Present Value of Life Cycle Compressor Energy Costs(eer=15)                     19,660

Energy Consumption (chilled water)
Cooling Capacity (tons)                             40
Diversity                                           50%
delta Temp                                          24
average flow rate (gpm)                             20
annual hours of operation                           8,760
annual flow rate 10,                                512,000
annual useage (ton hours)                            175200
chilled water billing rate ($/ton hour)              $0.20
annual chilled water heat rejection cost            $35,040       270,570
                                           Net Present Value      $380,229

Refrigeration Compressor (Chilled Water Cooled Condenser)
Rated Amps                                                        21
Voltage                                                           480
Phase factor                                                      1.73
KVA                                                               17
EER @ Tc=115                                                      5
EER @ Tc=70                                                       15
full load heat rejection(tons)                                    25
full load refrigeration capacity (tons)                            20
diversity                                                         50%
Annual hours of operation                                         8760
Annual compressor energy consumption (kwh)                        25,460
Electric power billing rate ($/kwh)                               $0.10
Annual compressor energy cost ($)                                 2,546
discount rate                                                      0.05
Net Present Value of Life Cycle Compressor Energy Costs(eer=15)   19,660




   Facilities Project Managers Guide                                                           Page 124
Option 4 – Domestic Water Cooling
Option 4 - Domestic Water Cooling                                                         NPV
        General Conditions $                                 2,500
        Mechanical                                           2,000
        Electrical                                           14,000
        Plumbing                                             16,500
        Design Development Allowance                         15,000
                                                             50,000                       $50,000
        Net Present Value of Life Cycle Compressor Energy Costs(eer=15)                   19,660

        Energy Consumption (domestic water)
        Cooling Capacity (tons)                     40
        Diversity                                   0.50
        delta Temp                                  48
        average flow rate (gpm)                     10
        annual hours of operation                   8,760
        annual flow rate                            5,256,000
        domestic water billing rate ($/gal)         $0.0031
        Sewer water billing rate ($/gal)             0.004
        annual domestic water cost                   $16,118
        annual sanitary waste cost                  $21,024
        annual domestic water heat rejection cost   $37,142.40                  286,804
                                                             Net Present Value $356,463




  Facilities Project Managers Guide                                                                 Page 125
Option 5 – Chilled Water Direct Cooling



Option 5 - Chilled Water Direct Cooling                                                    NPV
         General Conditions                                                   $2,500
         Mechanical                                                           2,000
         Electrical                                                            14,000
         Plumbing
                    Control Modifications                                     15,000
                    Evap Coil                                                  25,000
                    2" Chilled water line 500 ft.                             20,000
         Design Development Annalysis                                         15,000
                                                                              93,500       $93,500

                                          Net present value of compressor energy costs     0
          Energy Consumption (chilled water)
          Cooling Capacity (tons)                             40
          Diversity                                           0.50
          delta Temp                                          12
          average flow rate (gpm)                             40
          annual hours of operation                           8,760
          annual flow rate                                    21,024,000
          annual useage (ton hours)                           140160
          chilled water billing rate ($/ton hour)              $0.20
          annual chilled water heat rejection cost            $28,032           216,456
                                                   Net Present Value            $309,956




   Facilities Project Managers Guide                                                                 Page 126
        Sample SD VE
      Value Engineering Ideas by
              Discipline                     Cost Impact      Comments            Yes          Maybe         No

Mechanical

1            Heat Recovery Options       $      (60,000)   Analyze in DD                     (60,000)
             Eliminate 2 speeds
2            from Recirc clean room            (150,000)   Analyze in DD                     (150,000)
             50% fixed sash @31
3            fume hoods                         (31,000)                                                 (31,000)
             Eliminate 3rd floor
4            specialty labs Scrubber           (245,000)                         (245,000)
                                                           ENSR advise, $
4a           Downsize scrubber                             TBD
             View current AHU #4 -
5            Eliminate Fan Coil                 (10,000)                          (10,000)
             Reduce Floor Ht at 16'                        Verify
             floors and raise                              archit/struct/ME
6            penthouse                         (200,000)   P impact                                      (200,000)
             Acid Nuetralization
7            systems -Eliminate                 (30,000)                          (30,000)
             Eliminate all
             humidifyers for clean
8            room                               (20,000)                          (20,000)
             Eliminate lab
             humidifyers in
9            penthouse                          (50,000)                          (50,000)
             Unify humidification /
10           dehudificate to 42%                (65,000)                          (65,000)
             Central HVAC in                               Reduce # of
11           Penthouse                          (20,000)   AHU                    (20,000)
                                                           Reduce
             Delete 18 meg ohm                             distribution, final
12           system                            (360,000)   polish                (360,000)
13           PVC Pipe for DI water              (32,000)                          (32,000)
             Galvanized steel
             ductwork for solvent
14           exhaust                           (100,000)                         (100,000)
             Consolidate all solvent
14a          exhaust                            (20,000)   add CNF to lab                    (20,000)
             Revise non-potable
15           water system                       (21,000)   at lab sinks           (21,000)
16           Delete natural gas to              (21,000)   Utility corridor       (21,000)

           Facilities Project Managers Guide                                                               Page 127
     Value Engineering Ideas by
                Discipline                     Cost Impact      Comments                Yes          Maybe          No
               labs                                          distribution only
                                                             Utility corridor
17             Delete nitrogen to labs             (5,000)   distribution only           (5,000)
               Delete vacuum
               sys/install exhaust                           explore
18             system                            (100,000)   requirements                          (100,000)
               Reduce Utl                                    explore
19             compressed air                     (20,000)   requirements                          (20,000)
               Reuse Company E
               AHU/Combine non lab
20             AHUs
                                                                                                    $           $
               SubTotal                    $ (1,560,000)     SubTotal            $    (979,000)    (350,000)   (231,000)
                                                             SubTotal w/
20%            Markup                          (1,872,000)   20% Markup              (1,174,800)   (420,000)   (277,200)
                                                             Realize 100%                           $
60%            Realized                    $ (1,123,200)     Yes, 35% Maybe      $ (1,174,800)     (147,000)   $           -


Electrical

1              VFD Change                  $      (24,000)                                         (24,000)
               Locate generator in                           verify storage of
2              basement                           (40,000)   fuel                                  (40,000)
               Downsize generator -
               look at optional
3              standby                           (140,000)                            (140,000)
               Relax CU spare
               capacity standard -
4              generator                           (5,000)                                                     (5,000)
               Lighting package                              consider fewest
5              reduction to $6/sqft              (131,000)   # of fixtures            (131,000)
               Review quantity of
6              power outlets                      (12,500)                             (12,500)
               Reduce raceway
6a             standards                          (13,000)                             (13,000)
7              Rough in changes                   (25,000)                             (25,000)
               delete Central Clock
8              sys                                (31,000)                             (31,000)
                                                             Adjust to 500
9              TeleData                                      drops                            -
                                                             Not construction
10             Delete Video/Confr                 (18,000)   budget                    (18,000)
11             Delete Paging Sys                  (16,000)   Not construction          (16,000)

             Facilities Project Managers Guide                                                                     Page 128
     Value Engineering Ideas by
                Discipline                     Cost Impact      Comments             Yes             Maybe          No
                                                             budget
               Lightning Protection
12             system                             (65,000)                                         (65,000)
                                                                                                    $           $
               SubTotal                    $     (520,500)   SubTotal           $   (386,500)      (129,000)   (5,000)
                                                             SubTotal w/
20%            Markup                            (624,600)   20% Markup             (463,800)      (154,800)   (6,000)


                                                             Realize 100%                           $
60%            Realized                    $     (374,760)   Yes, 35% Maybe     $   (463,800)      (54,180)    $          -


Structural
               Reduce vibration at 3rd
1              floor                       $      (50,000)                                         (50,000)
               Relocated tunnel, infill
               basement, move
2              elevator                           (50,000)   Verify sheilding                      (50,000)
                                                                                                    $
               SubTotal                    $     (100,000)   SubTotal           $          -       (100,000)   $          -
                                                             SubTotal w/
20%            Markup                            (120,000)   20% Markup                        -   (120,000)   -


                                                             Realize 100%                           $
50%            Realized                    $      (60,000)   Yes, 35% Maybe     $              -   (42,000)    $          -
Architectural
               Adjust slate flooring
1              pricing to thin set         $     (120,000)                          (120,000)
               Reduce stone walls in
2              atrium                            (200,000)   Revise materials       (200,000)
               Add 40 fire shutters @
2a             Atrium                             80,000                             80,000
               Reduce railings in
3              atrium                             (30,000)                           (30,000)
               Reduce stone on
4              exterior                           (50,000)                                                     (50,000)
               Another freight
5              elevator scheme                    (50,000)                                         (50,000)
               Review casework
6              allowance                         (100,000)                                         (100,000)
7              Delete Natural gas                            in Mechanical

8              Barrell vault roof                 (50,000)                                                     (50,000)


             Facilities Project Managers Guide                                                                     Page 129
     Value Engineering Ideas by
             Discipline                     Cost Impact       Comments             Yes            Maybe        No

            Cleanroom Wall                                 Verify rated
9           system                             (50,000)    assembly needs         (50,000)
            Revise perimeter walls
9a          of cleanroom                       (50,000)                                       (50,000)
            Reduce ClnRm ceiling
9b          system                             (70,000)                                       (70,000)
            Reduce sound
10          treatment at atrium                (50,000)                           (50,000)
            Reduce carpet
11          allowance to $25/sqyd              (20,000)                           (20,000)
            Eliminate cleanroom
12          casework                                   -   TBD
            Eliminate Elevator or
13          Stair                              (45,000)                           (45,000)
14          Reduce Curtainwall                 (50,000)                           (50,000)

15          Eliminate fritted glass            (20,000)    Increases HVAC                                 (20,000)
            Terrace deck material
            change 80/20
16          crete/stone                       (150,000)                          (150,000)
            Delete Window
17          washing equipment                  (25,000)                                       (25,000)
            Cleanroom floor
18          system                             (45,000)                                       (45,000)
19          Interior Signage                   (40,000)                           (40,000)
20          Gas cabinets to fit out           (220,000)                          (220,000)
                                                                                               $           $
            SubTotal                    $ (1,355,000)      SubTotal         $    (895,000)    (340,000)   (120,000)
                                                           SubTotal w/
20%         Markup                          (1,626,000)    20% Markup           (1,074,000)   (408,000)   (144,000)


                                                           Realize 100%                        $
50%         Realized                    $     (813,000)    Yes, 35% Maybe   $ (1,074,000)     (142,800)   $           -


Contract/Purchasing Strategy
            Adjust
            Escalation/Acceleratio
            n Assumptions               $          -       TBD

            Early Procurement           $     (300,000)    Big $ items                        (300,000)
            Open Spec                   $          -       TBD
            SubTotal                    $     (300,000)    SubTotal         $            -    $           $           -

          Facilities Project Managers Guide                                                                   Page 130
     Value Engineering Ideas by
             Discipline                     Cost Impact      Comments            Yes            Maybe          No
                                                                                            (300,000)
                                                          SubTotal w/
20%         Markup                            (360,000)   20% Markup                   -    (360,000)    -


                                                          Realize 100%                       $
100%        Realized                    $     (360,000)   Yes, 35% Maybe    $          -    (126,000)    $           -



            Total Projected value                                                            $            $
            of VE Ideas                 $ (2,730,960)                       $ (2,712,600)   (511,980)    -
Function/Program Options
            Office Support
1           adjustment by Users               (350,000)                         (350,000)
            Adjust Program - swap                         Variable, but
2           space types                              -    insufficient                      -
            Reduce Dry Lab
3           covertiblity                      (250,000)                                     (250,000)
            Reduce Cleanroom;
            Accommodate all
            characterization,
            Teaching Lab & CNF
4           Admin                                    -    TBD                               -
            Reduce Cleanroom
5           Class to 10,000                          -    TBD                               -
            No High Toxic Lab
6           capability                               -                                      -
            Change module size                            Shorten bldg by
7           from 11' to 10'-6"                (665,100)   8'                                (665,100)

                                                          Shorten bldg by                   (1,490,320
8           Trim 1 module slice             (1,490,320)   10'6"'                            )

                                                          Shorten bldg by                                (2,981,200
9           Trim 2 module slice             (2,981,200)   21'                                            )
            Move Colloquium to                            Reduces other
10          Bldg footprint                    (250,000)   program                                        (250,000)
                                                                                             $            $
                                                                                            (2,405,420   (3,231,200
                                                          SubTotal          $   (350,000)   )            )

                                                          SubTotal w/                       (2,886,504   (3,877,440
20%         Markup                                        20% Markup            (420,000)   )            )
                                       Total Projected
                                       value of           Realize 100%                       $            $
                                       Function/Progra    Yes & Maybe       $   (420,000)   (2,886,504   -

          Facilities Project Managers Guide                                                                   Page 131
Value Engineering Ideas by
        Discipline                   Cost Impact        Comments            Yes          Maybe    No
                                  m Ideas                                            )
                                                                          Building
                                                          Atrium          Name W

                                                   64                70
                                                   72                90
                                                   4608              6300
                                                                     73.14%
                                                   12                30
                                                   22                30
                                                   264               900
                                                   5.73%             14.29%
                                                   4344              5400
                                                                     80.44%
                                                                          Building
                                                   Building Name          Name W

                                                   80                70
                                                   72                90
                                                   5760              6300
                                                                     91.43%
                                                                          Building
                                                        Building Y        Name W

                                                   30                70
                                                   194               90
                                                   5820              6300
                                                                     92.38%
                                                                          Building
                                                    Total Atrium          Name W

                                                   16188             6300
                                                                     256.95%




     Facilities Project Managers Guide                                                           Page 132
Sample SD Cost Strategy

                   Building                    Company A                    Company B

               Project Elements                    Estimate                  Estimate               Delta

      New Bldg.                           $   31,390,718            $    32,623,000            $ (1,232,282)
      Atrium Addition and
      Modifications                            5,995,745                  6,530,000                 (534,255)
      ―B‖ Hall                                 2,044,009                  1,077,000                 967,009
      Sitework                                 2,639,180                  2,607,000                  32,180
                                                                                                       $
                                                                                                      (767,348
                                  Total            $   42,069,652             $   42,837,000          )

                   Buidling                    Company A                    Company C

               Project Elements                    Estimate                  Estimate               Delta
                                                                                                       $
                 Landscape (Carried                                                                   (347,000
                 Above)                            $      953,000             $    1,300,000          )


                                                                        Gross Area

                 Type of Space                     Budget                    Estimate               Delta

      Mechanical Rooms                    22,500                    46,934                           24,434
      Service, Misc.                      13,120                    12516                              (604)
      1st Floor Clean Room **             36,600                    27301                            (9,299)
      2nd Floor Lab Space                 30,000                    26954                            (3,046)
      3rd Floor Lab Space                 28,640                    27589                            (1,051)
      Atrium                              18,940                    22142                             3,202
      Total Project GSF                         149,800                      163,436                 13,636


      Project Budget/SD Estimate          $   37,000,000            $    42,069,652            $   5,069,652


      Cost/GSF                            $        247.00           $         257.41


      Cost/GSF x GSF Delta                $   (3,368,037)           $    (3,510,009)




 Facilities Project Managers Guide                                                                     Page 133
How to get to 37 million?                              Goals
 I.    Reconcile A/BDifferences                    $           -
II.    Reconcile A/C Differences                   $           -
       Value Engineering                           Yes                 Maybe
III.
       Mechanical                           $   1,174,800          $    147,000
       Electrical                                 463,800                54,180
       Architectural                            1,074,000               142,800
       Structural                                        -               42,000
       Contract/Purchasing                               -              126,000
                                                  $                      $
                              SubTotal VE         2,712,600              511,980
                                                                                     Continued
       Functional/Program Changes                  Yes                 Maybe
IV.
       Reconfirm program                    $     420,000          $         -
       Quantity/function of lab                          -              300,000
       SqFt reduction                                    -             2,586,504
       Redesign                                          -                       -
       Reduce Quality                       Not Explored Beyond VE
                                            $     420,000          $   2,886,504


                                                   Yes                 Maybe

       Net Total Cost Reductions            $   3,132,600          $   3,398,484



V.             Risk Items
                                                  Verify storage for
               Rock                               events
               Vibration                          Study Redundancy
               Shoring/Underpinning               EIS Study
               Code Issues                        Gas Detection
               Company E In Operation
                  Off peak work
                  vibration, sound
                  Const. Freight
               elevator, travel
               Temp Eclosure on west
               elevation
               I.E.S. study
               Wind Tunnel results
               Environmental
               Casework in cleanroom


  Facilities Project Managers Guide                                                      Page 134
       Sample Design Development Value Engineering


       Compnay A                                                             Building X
       VALUE ENGINEERING/COST ADJUSTMENTS                                    Cornell University June 21, 2000

 NO         DATE            DESCRIPTION                 AMOUNT             ACTION            COMMENTS

Foundations
1.01     6/12/2000   Delete stainless steel         $     (10,000)   Pending                Need EMI
                     rebar at characterization.                                             consultant
1.02     6/12/2000   Revise rock unit pricing.      $     226,000    Approved
1.03     6/12/2000   Revise bank shoring unit       $     (21,000)   Approved
                     pricing/quantity, look at
                     alternate wall forming
                     methods (in at $36/sf).

1.04     6/12/2000   included with 1.06             $         -      N/A
1.05     6/12/2000   Raise basement floor           $     (72,000)   Approved
                     elevation 1' in mechanical
                     room and 2' in electrical
                     room
1.06     6/12/2000   Revise Caisson per new         $     (25,000)   Approved
                     sizing.
Floor and Roof Structures
3.01     6/12/2000   Change concrete frame                           Pending
                     unit prices.

3.02     6/12/2000   Delete fireproofing at         $         -      N/A                    included in
                     penthouse roof framing.                                                revised design
                                                                                            and estimate
3.03     6/12/2000   Change roof framing from       $     (85,000)   Approved
                     15# to 10# per sf.
3.04     6/12/2000   Reduce concrete frame          $     (33,000)   Approved               Per John H.
                     heating.
Enclosure
4.01     6/12/2000   Revise composite metal         $     (80,000)   Rejected
                     panels from gasketed
                     system to wet seal.
4.02     6/12/2000   Lower atrium curtain wall      $     (75,000)   Pending                ABC to review
                     elevation heights 5'-0" +/-.                                           design
                     Eliminate/minimize                                                     implications
                     clerestory windows at
                     Building Y terrace (reduce
                     by 5'-0" +/-)
4.04     6/12/2000   Delete storefront on north     $     (18,000)   Rejected               Bob thinks we
                     side of Building Y; existing                                           are light in the
                     to remain                                                              estimate

         Facilities Project Managers Guide                                                                      Page 135
         Compnay A                                                          Building X
         VALUE ENGINEERING/COST ADJUSTMENTS                                 Cornell University June 21, 2000

 NO         DATE            DESCRIPTION               AMOUNT              ACTION            COMMENTS

Roofing and Waterproofing
5.01      6/12/2000   Eliminate rectangular       $     (16,000)    Rejected
                      skylights at Atrium.
5.02      6/12/2000   Eliminate skylight at       $      (7,500)    Rejected
                      Atrium stair
5.03      6/12/2000   Weathered Terne Coated      $     (88,000)    Rejected               Cannot be
                      Steel to painted metal on                                            taken with
                      barrel vault roof.                                                   5.03a
5.03a     6/12/2000   Terne Coated Steel to       $     (105,000)   Rejected               Cannot be
                      Sarnafil profile                                                     taken with 5.03
Interior Partitions
6.01      6/12/2000   Reduce cleanroom ceiling    $     (18,000)    Approved               Cannot be
                      height to 9'. (from 10')                                             taken with
                                                                                           17.17
6.02      6/12/2000   Use hollow metal frames     $     (40,000)    Approved
                      in lieu of aluminum.
6.03      6/12/2000   Change all interior doors   $      (4,500)    Rejected
                      from 9'-0" to 8'-0".
6.03a     6/12/2000   Change all interior doors   $      (4,500)    Rejected
                      from 8' to 7'
6.04      6/12/2000   Review extent of            $          -      N/A
                      sidelights/transoms at
                      interior doors.
6.05      6/12/2000   Change interior doors       $     (10,000)    Rejected               Possible Bid
                      from solid core maple                                                Alternate
                      finish to more economical
                      species - based on 3x9'
                      doors
6.05a     6/12/2000   Change interior woodwork    $     (20,000)    Rejected               Possible Bid
                      from maple to more                                                   Alternate
                      economical species




          Facilities Project Managers Guide                                                                    Page 136
        Compnay A                                                            Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                   Cornell University June 21, 2000

 NO        DATE            DESCRIPTION                  AMOUNT             ACTION            COMMENTS

6.06     6/12/2000    Eliminate roll down fire      $      (6,000)   Pending                1450 sqft of
                      shutters and glass                                                    acoustical
                      guardrails at all openings                                            treatment
                      (1st, 2nd, 3rd floors).                                               needed.
                      Replace with
                      tempered/laminated glass
                      windows in gasketed
                      frames with minimum two
                      deluge sprinklers per
                      opening (to maintain 2
                      hour separation required
                      by New York State
                      Building Code.) include
                      bridge connections in this
                      change
6.07     6/12/2000    Included in 6.06              $         -      N/A
6.08     6/12/2000    Reduce number of doors        $      (8,000)   Approved
                      in clean room or change
                      size or type.
6.09     6/12/2000    Replace automatic sliding     $     (19,000)   Approved
                      doors in clean room with
                      single swinging doors.
6.10     6/12/2000    Reduce size of doors          $     (11,000)   Approved               research finish
                      upstairs to serv. Corridor-                                           hardware count
                      width double doors to                                                 on these leaves
                      single doors.
6.11     6/12/2000    Replace ZB walls with Z       $     (39,000)   Approved




6.11a    6/13/2000    Replace some clean room       $     (11,000)   Rejected
                      walls with standard stud
                      walls for "fixed" rooms


6.12     6/12/2000    Revise F13 Partition @        $     (30,000)   Approved
                      clean room to Epoxy finish
Floor, Wall and Ceiling Finishes
7.01     6/12/2000    Change slate paving to        $         -      N/A                    included in
                      slate tile, thin set                                                  revised design
                      application. (Investigate                                             & estimate
                      fixed tile sizes, pattern
                      options, and domestic
                      stone supplier.)




         Facilities Project Managers Guide                                                                      Page 137
       Compnay A                                                            Building X
       VALUE ENGINEERING/COST ADJUSTMENTS                                   Cornell University June 21, 2000

 NO       DATE            DESCRIPTION                 AMOUNT              ACTION            COMMENTS

7.02    6/12/2000   Change stone tile to          $     (75,000)    Rejected               Potential to re-
                    patterned stained                                                      price slate tile in
                    concrete for Atrium floor.                                             lieu of stamped
                                                                                           concrete
7.03    6/12/2000   Change stone tile walls to    $     (29,000)    Rejected
                    painted gyp. Board.
7.04    6/12/2000   At Atrium ceiling, revise     $     (27,000)    Rejected
                    ceiling design to utilize
                    suspended T-bar/perf.
                    Metal lay-in panel
                    construction with
                    acoustical material
                    behind.
7.05    6/12/2000   Revise Atrium ceiling to      $     (41,000)    Rejected
                    use Tectum type
                    acoustical panel instead
                    of perf. Metal.
7.06    6/12/2000   Eliminate acoustical fabric   $     (37,000)    Rejected
                    wrapped paneling
                    Compare
                    performance/cost to glue
                    down fabric installation
7.07    6/12/2000   Revise carpet cost from       $     (13,000)    Approved
                    $35/yd to $28/yd. Verify
                    carpet as direct glue
                    installation, no pad.
                    (Cannot be taken with
                    7.08)
7.08    6/12/2000   Investigate using poly-       $          -      N/A                    see 7.07
                    olefin type carpet and
                    reducing carpet cost to
                    $15-$20/yd.) (Cannot be
                    taken with 7.07)
7.09    6/12/2000   Revise cleanroom              $          -      N/A                    see 6.11 and
                    materials                                                              6.12
7.10    6/12/2000   Revise cleanroom layout       $     (240,000)   Rejected
7.11    6/12/2000   Remove ceiling grid over      $          -      N/A                    included with
                    service area in clean room                                             7.13
7.12    6/12/2000   Change floor in mos           $          -      N/A                    included with
                    service area (end of clean                                             7.13
                    room) to vct controls?

7.13    6/12/2000   Reduce ceiling grid at        $     (18,000)    Approved
                    clean room - eliminate
                    furnace back area - use

        Facilities Project Managers Guide                                                                      Page 138
        Compnay A                                                              Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                     Cornell University June 21, 2000

 NO        DATE            DESCRIPTION                   AMOUNT              ACTION            COMMENTS
                      VCT in lieu of static
                      flooring


Function Equipment and Specialties
8.01     6/12/2000    Eliminate all racks, etc. in   $     (52,850)    Approved
                      chem storage area.
                      Owner will fit out as
                      needed.
8.02     6/12/2000    Replace walk-in hoods in       $     (37,000)    Approved
                      chem waste area with
                      snorkels.
8.03     6/12/2000    Reduce/eliminate               $          -      N/A                    with 8.05
                      overhead service carriers.
8.04     6/12/2000    Reduce out fitting of toxic    $          -      N/A                    with 8.05
                      gas labs until occupants
                      better known.
8.05     6/12/2000    Eliminate some lab             $     (415,851)   Approved               Target
                      specialties items.                                                      $1,000,000 for
                                                                                              lab equipment -
                                                                                              Lynn to review
                                                                                              Kewaunee
                                                                                              estimate
8.06     6/12/2000    Reduce Lab Furniture           $          -      N/A                    with 8.05
8.07     6/12/2000    Delete Clean Room              $          -      N/A                    with 8.05
                      Equipment added at DD
8.08     6/12/2000    Reduce Signage                 $     (30,000)    Approved
                      allowance to $30,000
Vertical Transportation and Stairs
9.01     6/12/2000    Provide standard cab           $     (24,000)    Approved               go to the
                      finishes in elevators.                                                  standard
                                                                                              stainless cab
                                                                                              interior
9.02     6/12/2000    Stair railings to be           $          -      N/A                    estimate not
                      standard SS mesh                                                        based on
                      product in painted metal                                                custom design
                      frame with SS grab rails
9.03     6/12/2000    Delete translucent glass       $     (30,000)    Approved               Go to standard
                      risers                                                                  riser
9.04     6/12/2000    Relocate elevator at           $          -      N/A                    included with
                      Building Y south.                                                       9.11




         Facilities Project Managers Guide                                                                        Page 139
       Compnay A                                                            Building X
       VALUE ENGINEERING/COST ADJUSTMENTS                                   Cornell University June 21, 2000

 NO       DATE            DESCRIPTION                 AMOUNT              ACTION            COMMENTS

9.05    6/12/2000   Change Stair #1 and #2 to     $           -     N/A
                    rectangular switchback
                    stairs (not squares).
9.06    6/12/2000   Eliminate star #3 at South    $           -     N/A                    impacted by
                    Building Y. Retain                                                     9.11
                    exterior fire escape for
                    egress from 2nd floor.
9.07    6/12/2000   Remove dumbwaiters            $      (24,000)   Rejected
                    completely, transport
                    chemicals in service
                    elevators.
9.08    6/12/2000   Change guardrails from        $           -     N/A                    included with
                    stainless steel/mesh to all                                            9.02
                    painted metal.
9.09    6/12/2000   Review changing               $           -     N/A                    included with
                    handrails from stainless                                               9.02
                    steel to wood.
9.10    6/12/2000   Alternative to the            $           -     N/A                    not allowed by
                    handicap elevator - wheel                                              code
                    chair lift
9.11    6/12/2000   Redesign HRM delivery         $     (430,000)   Approved
                    systems. Delete Stair 12,
                    delete elevator 1, Elevator
                    2 becomes (elev 1) freight
                    & passenger and adds
                    basement HRM corridor
                    stop. Elevator 3 becomes
                    hydraulic three stop (
                    basement MER, HRM and
                    cleanroom/service). Add
                    6x6 hatch in penthouse
                    deck with chain fall to 3rd
                    floor (service corridor @
                    south?). South Building Y
                    stair (#3) extended to
                    785'6". Move dumbwaiter
                    to that area, use
                    Company E basement for
                    HRM route & storage.
                    Ventilate storage w/HRM,
                    new lights in storage.
9.12    6/12/2000   Change Traction Freight       $           -     N/A                    included with
                    elevator to hydraulic                                                  9.11
        Subtotal Architectural                         $                    Approved
                                                      (1,225,701)

                                                  $      (91,000)   Pending

        Facilities Project Managers Guide                                                                      Page 140
        Compnay A                                                           Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                  Cornell University June 21, 2000

 NO        DATE            DESCRIPTION                AMOUNT            ACTION              COMMENTS

                                                  $     (837,500)   Rejected
                                                  $   (2,154,201)   Total
10.01    6/12/2000   Delete non-potable water     $     (14,000)    Approved               Cannot be
                     system.                                                               taken with
                                                                                           10.05
10.02    6/12/2000   Delete laboratory suction    $     (94,000)    Rejected               Reconsider
                     vacuum system.                                                        distribution to
                                                                                           2nd & 3rd floors
                                                                                           Watch
                                                                                           acceptance of
                                                                                           10.06
10.03    6/12/2000   Eliminate roof                                 Rejected
                     drains/overflows. Provide
                     scuppers/gutters at
                     exterior.
10.04    6/12/2000   Add insulation for non       $      39,000     Approved
                     potable domestic water
10.05    6/12/2000   Delete non potable hot       $     (114,000)   Rejected               Cannot be
                     water system and                                                      taken with
                     associated 10.04                                                      10.01
                     insulation
10.06    6/13/2000   Delete gases distribution    $     (55,000)    Rejected               Reduce credit
                     in corridors, risers only                                             by 8,000 if
                                                                                           10.02 is
                                                                                           accepted
10.07    6/13/2000   Bring gases into building                      Rejected
                     only
10.08    6/13/2000   Use copper materials in      $      (5,000)    Rejected
                     lieu of stainless for
                     nitrogen
         Subtotal Plumbing                        $      25,000     Approved
                                                  $          -      Pending
                                                  $     (268,000)   Rejected
                                                  $     (243,000)   Total
HVAC
11.01    6/12/2000   Reduce HEPA's (increase      $     (39,500)    Rejected
                     air flow from 62 fpm to 80
                     fpm), changes coverage
                     from 30% to 25%
11.02    6/12/2000   Reduce process cooling       $     (17,000)    Approved
                     from 400 to 200 gpm.


         Facilities Project Managers Guide                                                                     Page 141
         Compnay A                                                            Building X
         VALUE ENGINEERING/COST ADJUSTMENTS                                   Cornell University June 21, 2000

 NO         DATE            DESCRIPTION                  AMOUNT           ACTION              COMMENTS

11.03     6/12/2000   Reduce chilled water           $          -      Rejected
                      system gpm.
11.04     6/12/2000   Reduce heating water           $          -      Rejected
                      system gpm.
11.05     6/12/2000   Delete temporary exhaust       $     (121,000)   Rejected
                      system for canopies.
11.06     6/12/2000   Fan filter units at clean      $     (416,000)   Rejected              Mario would
                      room.                                                                  prefer 11.26
11.06a    6/20/2000   Fan Filters at Corridors                         Pending               Explore at CD's
11.06b    6/20/2000   In duct HEPAs at class                           Pending               Explore at CD's
                      10,000 space
11.07     6/12/2000   Delete heat recovery unit      $     (331,000)   Approved              need this with
                      along with all heat                                                    constant
                      recovery piping, pumps,                                                volume
                      controls, etc.
11.08     6/12/2000   Change all fume hoods to                         Pending
                      constant volume half
                      sash. Use a non ddc
                      phoenix valve heresite
                      coated with sound
                      attenuator for each fume
                      hood or grouped snorkels.
                      The labs will remain vav
                      with ddc tracking supply
                      and exhaust terminal units
                      with Building Z Control
                      controllers mounted on
                      teh terminal units.
                      Therefore, you eliminate
                      the Anemostat lab control
                      system. To save further
                      energy consider using the
                      Air Sentry fume hood by
                      Flow Safe Inc which
                      requires 330 to 500 cfm
                      for a 18"-21" sash
                      opening at 40' per minute
                      velocity compared to 900
                      cfm at 100 fpm for the
                      standard hood.
11.08a    6/20/2000   Low Flow Fume Hood                               Pending               Cornell To Give
                                                                                             Guidence
11.09     6/12/2000   Delete the return air          $          -      Rejected              Already
                      terminal units in the office                                           included in
                      areas. Use flow                                                        estimate
                      measuring station in the

          Facilities Project Managers Guide                                                                      Page 142
         Compnay A                                                           Building X
         VALUE ENGINEERING/COST ADJUSTMENTS                                  Cornell University June 21, 2000

 NO         DATE            DESCRIPTION                 AMOUNT             ACTION            COMMENTS
                      main return duct to track
                      the supply fan.



11.10     6/12/2000   Verify that there are no                       N/A
                      control valves at the
                      radiant panels.. The
                      radiant panel system is a
                      constant flow variable
                      temperature system. A
                      main control valve
                      controls the loop
                      temperature based on
                      outdoor air temperature.
11.11     6/12/2000   Delete scrubber. Leave        $         -      Rejected               Already
                      space.                                                                included in
                                                                                            estimate
11.12     6/12/2000   Delete clean steam            $     (36,000)   Rejected
                      generator for clean room.
11.13     6/12/2000   Eliminate some back up                         Rejected
                      systems/pumps.
11.13a    6/19/2000   Eliminate Chilled Water       $     (28,000)   Rejected
                      stand-by pump chp-2
11.13b    6/19/2000   Eliminate process chilled     $      (9,000)   Rejected
                      water stand-by pump
                      PCHP-2
11.13c    6/19/2000   Eliminate glycol hot water    $     (10,000)   Rejected
                      stand-by pump gwp-2
11.13d    6/19/2000   Eliminate hot water stand     $     (10,000)   Rejected
                      by pump HWP-2
11.13e    6/19/2000   Eliminate perimeter heat      $      (6,000)   Rejected
                      stand-by pump HWP-4
11.14     6/12/2000   Fan filters instead of fans   $         -      N/A                    void
                      and filters.
11.15     6/12/2000   Reduce di capacity.                            N/A
11.16     6/12/2000   Reduce air changes in                          N/A
                      upstairs labs.
11.17     6/12/2000   Reuse some Company E                           Pending
                      lab Exh. Lam. Flow
                      benches.
11.18     6/12/2000   Eliminate natural gas on      $      (4,000)   Approved               (name) to re-
                      3rd floor. (Still costing                                             price
                      Cornell at least $16,000.)

          Facilities Project Managers Guide                                                                     Page 143
        Compnay A                                                               Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                      Cornell University June 21, 2000

 NO           DATE             DESCRIPTION                AMOUNT              ACTION            COMMENTS

11.21        6/12/2000   Utilize steam preheat in     $     (100,000)   Rejected
                         lieu of hot water with
                         glycol
11.23        6/12/2000   Replace desiccant drier      $     100,000     Rejected
                         with low temp chiller and
                         coil
11.24        6/12/2000   Delete clean room            $     (37,000)    Approved
                         instrument air loop
11.25        6/13/2000   Delete stack sound           $     (55,000)    Approved
                         attenuators
11.26        6/13/2000   Adjustment of re-            $     (391,500)   Approved
                         circulating supply duct to
                         units
11.27        6/13/2000   Provide premanufactured                        Pending
                         clean room system
                         (modular tunnel)
11.28        6/13/2000   Reduce recirculation air                       Rejected
                         by 10%
             Subtotal HVAC                            $     (835,500)   Approved
                                                      $          -      Pending
                                                      $     (675,500)   Rejected
                                                      $   (1,511,000)   Total
Electrical
12.01        6/12/2000   Remove cable                 $          -      N/A                    refer to 12.07
                         tray/isoduct language
                         from office spaces and
                         distribute majority of
                         voice/data at the
                         perimeter walls.
                         Distribute to centers of
                         rooms via fixed drop
                         (poles or fixed
                         architectural walls).
12.02        6/12/2000   Rotate lights parallel to    $     (16,000)    Approved
                         lab benches and maintain
                         75 fc at bench height.


12.03        6/12/2000   Select cheaper fixture for   $     (87,000)    Approved
                         Labs and provide
                         alternate
                         selections/manufacturers.-
                         stay with parallel scheme


             Facilities Project Managers Guide                                                                     Page 144
        Compnay A                                                             Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                    Cornell University June 21, 2000

 NO        DATE            DESCRIPTION                   AMOUNT             ACTION            COMMENTS

12.04    6/12/2000   Provide fixture alternates      $     (90,000)   Approved
                     for Offices at $6/sf.
12.05    6/12/2000   Reduce cost of Atrium           $     (30,000)   Approved
                     lighting by 10% without
                     affecting the design (does
                     not include light tube).
12.06    6/12/2000   Eliminate draw-out              $     (36,000)   Approved               Bob review by
                     construction for feeder                                                 maintenance
                     circuit breakers on the
                     main switchboard. Main
                     draw-outs for the main
                     and tie circuit breakers.
                     This will require that one
                     side of the main
                     switchboard be shut down
                     to pull periodic
                     maintenance of feeder
                     circuit breakers.
12.07    6/12/2000    Provide a system of fixed      $     (55,000)   Pending                Pending
                     power poles in lieu of                                                  redesign
                     linear flexibility Quantities
                     and layout to be
                     determined.
12.08    6/12/2000   Fully develop the design        $         -      N/A                    Pending overall
                     of the cleanroom to                                                     design
                     determine the actual
                     power requirements. At
                     this time the requirements
                     are for an allowance of 30
                     watts/sf. This needs to be
                     confirmed. Detailed
                     equipment lists will be
                     required.
12.09    6/12/2000   Delete door access and          $     (30,000)   Rejected
                     card reader system $
                     remaining in construction
                     cost. Limit security and
                     CCTV work to power and
                     raceways only. System
                     equipment and wiring to
                     be provided by the Owner.
12.10    6/12/2000   Relocate the generator to       $     (37,000)   Rejected
                     the roof of Building X to
                     reduce the length of the
                     emergency feeder.




         Facilities Project Managers Guide                                                                       Page 145
         Compnay A                                                               Building X
         VALUE ENGINEERING/COST ADJUSTMENTS                                      Cornell University June 21, 2000

 NO         DATE             DESCRIPTION                   AMOUNT              ACTION            COMMENTS

12.11      6/12/2000   Reduce emergency                $     (135,000)   Approved
                       generator capacity - life
                       safety only- 1250 kw to
                       900 kw
12.12      6/12/2000   Reduce 110v outlets by          $     (29,000)    Rejected
                       25%
12.13      6/12/2000   Reduce isoduct by 25%-          $     (11,000)    Rejected
                       shorter sections along
                       each wall.
12.14      6/12/2000   Lighting in labs - drop in      $     (58,000)    Pending                additive with
                       fixtures vs alternate                                                    12.03
                       pendant fixtures parallel to
                       benches
12.14a     6/12/2000   Lighting in offices - drop in   $     (187,000)   Pending                Additive with
                       fixtures not pendant.                                                    12.04
12.15      6/12/2000   Wireless as a solution to       $          -      N/A
                       the open office tele/data
                       problem.
12.16      6/12/2000   Alternative wire                $          -      N/A                    see 12.07
                       distribution in flex-office
                       space.
12.17      6/13/2000   Review & Adjust Clean           $     (30,000)    Approved
                       Room Fixture Counts &
                       Pricing
12.18      6/13/2000   Delete Lightning                $     (30,000)    Pending                Bob get
                       Protection                                                               comments from
                                                                                                FMI
12.19      6/20/2000   Additional Smoke                $     100,000     Approved               Mike to confirm
                       Detectors at all rooms that                                              qtys and budget
                       are enclosed


           Subtotal Electrical                         $     (324,000)   Approved
                                                       $     (330,000)   Pending
                                                       $     (107,000)   Rejected
                                                       $     (761,000)   Total
Sitework
15.01      6/12/2000   Direct burial of utilities in   $     (55,000)    Pending                Additional
                       lieu of cast in place                                                    saving to 16.01
                                                                                                - precast utility
                                                                                                tunnel.
15.02      6/12/2000   Remove terrace walkway          $          -      Rejected
                       (no wall, simple path.

           Facilities Project Managers Guide                                                                        Page 146
         Compnay A                                                             Building X
         VALUE ENGINEERING/COST ADJUSTMENTS                                    Cornell University June 21, 2000

 NO         DATE            DESCRIPTION                  AMOUNT              ACTION            COMMENTS

15.03     6/12/2000   Make terrace walk              $      (4,000)    Rejected
                      narrower (12 feet instead
                      of 16 feet).
15.04     6/12/2000   Revise pricing cover at        $     (35,000)    Approved
                      Loading Dock area.
15.04a    6/12/2000   Remove cover on Loading        $     (60,000)    Rejected
                      Dock area.
15.05     6/12/2000   Remove enclosure walls         $     (14,000)    Rejected
                      @ service area

15.06     6/12/2000   Move X north entrance to       $     (66,000)    Pending
                      Quad budget
15.07     6/12/2000   Delete limestone and           $     (45,000)    Rejected
                      llenroc handrail at west
                      side terrace from
                      mechanical shaft south to
                      ahndicap access (137 lf)
                      and associated concrete
                      footing/retaining wall
16.01     6/12/2000   Precast south utility tunnel   $     (170,000)   Approved               Cannot accept
                      in lieu of cast in place                                                with 15.01
16.02     6/12/2000   Sleeves versus concrete        $          -      N/A                    see 15.01
                      for utility tunnel.
          Subtotal Site                              $     (205,000)   Approved
                                                     $     (121,000)   Pending
                                                     $     (123,000)   Rejected
                                                     $     (449,000)   Total
General Conditions and Scope
17.01     6/12/2000   Refine tower crane             $     (60,000)    Approved               adjust duration
                      duration/size/cost, move                                                to 14 months
                      to GC's.
17.02     6/12/2000   Adjust escalation.             $          -      N/A                    No value in
                                                                                              current market


17.03     6/12/2000   Take 6'-0" off south end of    $     (30,000)    Rejected
                      Building X (approximately
                      1,000 gsf).


17.04     6/12/2000   Eliminate                      $     (27,000)    Rejected
                      bridge/interaction space at
                      Building Y Atrium on 3rd
                      floor (+/- 500 sf).

          Facilities Project Managers Guide                                                                       Page 147
        Compnay A                                                               Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                      Cornell University June 21, 2000

 NO        DATE            DESCRIPTION                     AMOUNT             ACTION            COMMENTS


17.05    6/12/2000   Eliminate bridge                  $     (35,000)   Rejected
                     connection between
                     Building Y and at the 3rd
                     floor level.


17.06    6/12/2000   Eliminate bridge                  $     (35,000)   Rejected
                     connection between
                     Building Y and at 2nd
                     level
17.07    6/12/2000   Build Chem. Tunnel in             $         -      N/A                    included with
                     Phase 2, use Stair #3 to                                                  9.11
                     acccess/egress from
                     basement level. Use
                     Elevator #4 as temporary
                     service elevator and serve
                     Building X through west
                     entry until completion of
                     tunnel in Phase 2
                     (demolition of Company
                     E) is complete.
17.08    6/12/2000   Move service elevator and         $         -      N/A                    included in 9.11
                     dumbwaiters outside of
                     Building Y footprint (into
                     Atrium).
17.09    6/12/2000   Delay renovation to               $         -      N/A                    Sacred -
                     Building Y 1st floor. Use                                                 Program
                     chemical storage trailers                                                 compromise
                     at exterior. Perform
                     renovation as part of
                     donor or grant proposal
                     build out (by future
                     occupants, companies,
                     etc.)
17.10    6/12/2000   Delete owner/architect            $     (13,000)   Approved               Target some
                     trailer rental/setup/utilities.                                           savings from
                                                                                               $26,500;
                                                                                               perhaps utilize
                                                                                               larger
                                                                                               contractor
                                                                                               trailer
17.11    6/12/2000   Reduce Kitchen/vending            $         -      N/A
17.12    6/12/2000   Abandon the flex office           $         -      N/A
                     concept.




         Facilities Project Managers Guide                                                                         Page 148
        Compnay A                                                                Building X
        VALUE ENGINEERING/COST ADJUSTMENTS                                       Cornell University June 21, 2000

 NO        DATE            DESCRIPTION                   AMOUNT                ACTION            COMMENTS

17.13    6/12/2000   Reduce basement size by     $               -       N/A                    included in
                     using some of Company E                                                    other items
                     lab basement for
                     incidental mechanical
                     items.
17.14    6/12/2000   Basement smaller,           $               -       N/A                    too late in
                     penthouse bigger to cut                                                    design
                     down on rock excavation.


17.15    6/12/2000   Shorten time frame by                               Pending
                     early occupation of clean
                     room.
General Conditions and Scope Summary             $          (73,000)     Approved
                                                 $               -       Pending
                                                 $         (127,000)     Rejected

                                                 $         (200,000)     Total
                                                                                                W/ 15 %
                                                                                                markup
         Total Summary                           $        (2,638,201)    Approved
                                                                                                (3,033,931)
                                                 $         (542,000)     Pending
                                                                                                (623,300)
                                                 $        (2,138,000)    Rejected
                                                                                                (2,458,700)
                                                 $        (5,318,201)    Total
                                                                                                (6,115,931)

                                                 DD Estimate                                    $43,341,000
Summary
                                                 Budget                                         $39,000,000
                                                 Delta                                          $4,341,000

                                                 Approved VE W/ markup                          ($3,033,931)

                                                 Current Delta                                  $1,307,069




         Facilities Project Managers Guide                                                                          Page 149
           Sample Construction Development 50 Value Engineering

Company A                                                 Building X Hall                        Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                        Cornell University                     columns
                                                          (date)


NO        DATE         DESCRIPTION            AMOUNT      ACTION      COMMENTS
                                                                                                 Approved    Pending     Rejected
1 - Foundations                                                                                  0           0           0

1.01      11/30/2000   Review Rock             $          Approved    Provide trench for     D   20000       0           0
                       Excavation             20,000                  laterals/pit
                       Quantity
1.02      11/30/2000   Review MEP              $          Approved    Provide all MEP        D   -124794     0           0
                       Trench excavtion in    (124,794)               rock excavation by
                       rock                                           sitework
1.03      11/30/2000   Review bank             $          Approved    Company                D   -200000     0           0
                       shoring - un-          (200,000)               C/company B qtys
                       realized VE of                                 - 9,900 sf
                       $235K
1.04      11/30/2000   Verify underdrain       $          Approved    ABC to validate        D   -20000      0           0
                       quantity at            (20,000)                700 lf quantity with
                       basement slab                                  geotech
1.04a     11/30/2000   Review                  $          Pending     ABC to validate        D   0           -24000      0
                       requirement for        (24,000)                requirement with
                       underdrains at                                 geotech
                       basement slab

3 - Floor and Roof Structures                                                                    0           0           0

3.01      11/30/2000   Add penthouse           $          Approved                           P   20000       0           0
                       structure to           20,000
                       Building Y for
                       HVAC equipment
3.02      11/30/2000   Revise atrium           $          Approved                               -46000      0           0
                       structural steel       (46,000)
                       pricing to
                       $3200/ton
3.03      11/30/2000   Review concrete         $          Approved                               -50000      0           0
                       pan slab pricing -     (50,000)
                       target savings
3.03 A    12/7/2000    Eliminate all 4"        $          Approved                               -5000       0           0
                       distribution ribs at   (5,000)
                       pans slab
3.03 B    12/7/2000    Revise pan slab         $          Rejected                               0           0           -15000
                       layout to eliminate    (15,000)
                       20" wide pans


3.04      11/30/2000   Delete fireproofing     $          Rejected                               0           0           -41800
                       at penthouse steel     (41,800)


3.05      11/30/2000   Delete fireproofing     $          Approved                               -16000      0           0
                       at upper atrium        (16,000)
                       steel and/or
                       bridges

4 - Enclosure                                                                                    0           0           0


                Facilities Project Managers Guide                                                                        Page 150
Company A                                                    Building X Hall                       Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                           Cornell University                    columns
                                                             (date)


NO         DATE           DESCRIPTION             AMOUNT     ACTION      COMMENTS
4.01       11/30/2000     Adjust unit pricing      $         Pending     ABC to refine             0           0           0
                          for curtain             -                      design for future
                          walls/support steel                            cost review
                          at atruim
                                                                                                   0           0           0
4.02       11/30/2000     Adjust unit price for    $         Pending     ABC to refine             0           0           0
                          curtain                 -                      design for future
                          walls/support steel                            cost review
                          at Dufflied
4.03       11/30/2000     Revise north entry       $         Pending                               0           -32000      0
                          to existing Building    (32,000)
                          Y - existing to
                          remain
4.04       11/30/2000     Revise exterior          $         Approved                              -15000      0           0
                          caulking scope          (15,000)



5 - Roofing and Waterproofing
5.01       11/30/2000        Provide               $         Approved                        D     -20000      0           0
                             membrane             (20,000)
                             roofing as 0.060
                             EPDM un-
                             reinforced fully
                             adhered with
                             design average
                             R-value
5.02       11/30/2000        Revise smoke          $         Approved                        D     7000        0           0
                             vents at             7,000
                             stairwell roofs
5.03       11/30/2000        Fluid applied vs.     $         Approved                        D     -16000      0           0
                             membrane             (16,000)
                             foundation
                             waterproofing

6 - Interior Partitions                                                                            0           0           0

6.01       11/30/2000        Pending               $         Pending                               0           0           0
                                                  -
                                                                                                   0           0           0

7 - Floor, Wall and Ceiling Finishes
7.01       11/30/2000     Revise slate wall        $         Approved    Confirm unit        A     -42000      0           0
                          material/thickness      (42,000)               pricing
                          from mechanically
                          fastened to
                          adhered
7.02       11/30/2000     Revise source of         $         Approved    Vermont Slate       D/A   -72000      0           0
                          slate materials         (72,000)
7.03       11/30/2000     Review clean room        $         Pending     16192 sf per ABC    D     0           0           0
                          ceiling                 -
                          quantites/details at
                          partitions
7.04       11/30/2000     Review clean room        $         Pending     Company A to        D     0           0           0
                          ceiling support         -                      verify estimate
                          system under

                Facilities Project Managers Guide                                                                          Page 151
Company A                                                      Building X Hall                        Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                             Cornell University                     columns
                                                               (date)


NO        DATE           DESCRIPTION             AMOUNT        ACTION      COMMENTS
                         recirc units and
                         ductwork

7.05      11/30/2000     Revise Mech room         $            Approved                         D     -17000      0           0
                         B0070 floor to clear    (17,000)
                         sealer
7.06      11/30/2000     Delete ceiling grid      $            Approved                         D     -14117      0           0
                         at clean room           (14,117)
                         furnace area

8 - Function Equipment and Specialties
8.01      11/30/2000        Reduce quantity       $            Approved                         D     -102545     0           0
                            of lab casework      (102,545)
                            and equipment
                            to 85% DD VE
                            scope
8.01 A    12/8/2000         Delete coldroom       $            Approved                               -45000
                            - move to fitout     (45,000)
                            costs
8.02      11/30/2000        Review lab            $            Pending                          D     0           0           0
                            casework unit        -
                            pricing
8.03      11/30/2000        Add gas               $            Rejected                         D     0           0           0
                            cylinder             -
                            restraints at labs
8.04      11/30/2000        Revise window         $            Approved    Still have 6000 sf   D     -40000      0           0
                            treatment unit       (40,000)                  at $5/sf
                            pricing
8.05      11/30/2000        Reivew                $            Approved                         R     -8000       0           0
                            projection           (8,000)
                            screen vs.
                            marker board
                            quantities

9 - Vertical Transportation and Stairs                                                                0           0           0

9.01      11/30/2000        Reduce freight        $            Pending     Changes openings     D/A   0           -135000     0
                            elevator             (135,000)                 and door heights
                            capacity from                                  and arrangements
                            7000# to 5000#
                            for #1 and #4
9.02      11/30/2000        Provide direct        $            Approved    Need vendor          D/P   -20000      0           0
                            purchase of          (20,000)                  quotes
                            dumbwaiters

Subtotal Architectural                            $            Approved
                                                 (826,456)
                                                  $            Pending
                                                 (191,000)
                                                  $            Rejected
                                                 (56,800)
                                                  $            Total
                                                 (1,074,256)




               Facilities Project Managers Guide                                                                              Page 152
Company A                                              Building X Hall                        Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                     Cornell University                     columns
                                                       (date)


NO      DATE         DESCRIPTION            AMOUNT     ACTION      COMMENTS
10.01   11/30/2000   Reduce misc.            $         Approved                         D     -10649      0           0
                     plumbing R/I's         (10,649)
                     quantity from 100
                     to 50
10.02   11/30/2000   Revise Laboratory                 Pending                          D     0           0           0
                     air compressor
10.03   11/30/2000   Provide                 $         Approved                         D     -10562      0           0
                     mechanical joint       (10,562)
                     pipe at under 3"
                     vents for acid
                     waste piping
10.04   11/30/2000   Provide                w/10.03    Approved                         D     w/10.03     0           0
                     mechanical joint
                     pipe at under 3"
                     drains for acid
                     waste piping
10.05   11/30/2000   Provide welded          $         Pending     Bob to pursue as     D     0           30000       0
                     stainless steel        30,000                 vendor provided
                     nitrogen piping for
                     clean roon
10.06   11/30/2000   Delete fire wrap on     $         Approved    Need sprinklers on   D     -15900      0           0
                     plastic pipe in        (15,900)               ceiling plenum at
                     plenums ((DI, acid                            cleanroom
                     waste)
10.07   11/30/2000   Revise cost per                   Pending                          all   0           0           0
                     Company Dl
                     pricing
10.08   11/30/2000   Provide kitchen         $         Approved    No exhaust           D/P   20000       0           0
                     equipment rough-       20,000
                     ins
10.09   11/30/2000   Delete tool hook-up     $         Rejected                         D     0           0           -92914
                     piping - provide as    (92,914)
                     fit-out (DI, vacuum,
                     air, nitrogen)
10.10   11/30/2000   Bore permanent                    Pending                          D     0           0           0
                     Building Y water
                     feed from Building
                     X thru to Building Y
                     basement
10.11   11/30/2000   Future drain            $         Approved                         D     10000       0           0
                     locations above        10,000
                     clean-rooms
10.12   11/30/2000   Simplify clean-                   Pending     Cornell to confirm   D     0           0           0
                     room fit-out                                  scope
10.13   11/30/2000   Delete automatic        $         Approved                         D     -14076      0           0
                     flush valves           (14,076)
10.14   11/30/2000   Delete domestic         $         Approved                         D     -9700       0           0
                     water booster          (9,700)
                     pump
10.15   11/30/2000   Delete vacuum to        $         Approved                         D     -40000      0           0
                     2nd and 3rd floor      (40,000)
                     labs
10.16   11/30/2000                                                                      D     0           0           0

            Facilities Project Managers Guide                                                                         Page 153
Company A                                                Building X Hall                       Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                       Cornell University                    columns
                                                         (date)


NO         DATE         DESCRIPTION          AMOUNT      ACTION      COMMENTS
                                                                                               0           0           0

Subtotal Plumbing                             $          Approved
                                             (60,238)
                                              $          Pending
                                             30,000
                                              $          Rejected
                                             (92,914)
                                              $          Total
                                             (123,152)




11- HVAC
11.01      11/30/2000    Revise cost per
                         Company D
                         pricing
11.02      11/30/2000    Change FRP           $          Approved    (name) to confirm   D     -200000     0           0
                         duct to alternate   (200,000)               pricing
                         material
11.03      11/30/2000    Revise              w/11.02                                     D     0           0           0
                         loacations for
                         FRP duct
11.04      11/30/2000    Delete FRP duct                 Rejected                        D     0           0           0
                         connections to
                         hood - provide
                         with fit-out
11.05      11/30/2000    Utilize standard     $          Approved                        D     -54000      0           0
                         valves in lieu of   (54,000)
                         process quality
                         valves and
                         controls at re-
                         circ air units at
                         clean room -
                         quantity of 24
                         (all but RAHU
                         2/3)
11.06      11/30/2000    Provide                         Pending                         D/A   0           0           0
                         competitve
                         controls bidding
11.07      11/30/2000    Revise smoke         $          Approved    (name) to review    A
                         exhaust duct in     (40,000)                BR+A drawings
                         atrium
11.08      11/30/2000    Eliminate            $          Approved                        A     -27089      0           0
                         cooling at          (27,089)
                         bridges
11.09      11/30/2000    Review costs for     $          Approved    Review schedule     D     -10000      0           0
                         temporary air       (10,000)
                         intake relocation
                         (only needed 2
                         months per
                         Cornell)


               Facilities Project Managers Guide                                                                       Page 154
Company A                                             Building X Hall                      Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                    Cornell University                   columns
                                                      (date)


NO      DATE         DESCRIPTION           AMOUNT     ACTION      COMMENTS
                                                                                           0           0           0
11.10   11/30/2000    Spark resistant       $         Approved                         D   -2000       0           0
                      vs. explosion        (2,000)
                      proof motors at
                      exhast fans
11.11   11/30/2000    Add flying fin-       $         Approved    Need drawings        D   18000       0           0
                      tube heating of      18,000                 from A/E
                      curtain walls -
                      no cover
11.12   11/30/2000    Bore permanent                  Pending                          D   0           0           0
                      Building Y
                      steam feed and
                      condensate
                      return from
                      Building X thru
                      to Building Y
                      basement
11.13   11/30/2000    Delete clean          $         Rejected                             0           0           -65286
                      room process         (65,286)
                      cooling fit-out
11.14   11/30/2000    Delete lap-top        $         Approved                         D   -5000       0           0
                      computer with        (5,000)
                      full graphical
                      software
                      package
11.15   11/30/2000    Delete training       $         Pending     confirm pricing of   D   0           -10000      0
                      instructions per     (10,000)               revised spec
                      specifications
11.16   11/30/2000    Provide               $         Approved                         D   -12000      0           0
                      laboratory           (12,000)
                      quality in lieu of
                      process quality
                      temperature
                      transmitters
                      (except for
                      RAHU 2/3)
11.17   11/30/2000    Change silane         $         Approved                             -42824      0           0
                      duct from SS         (42,824)
                      304 welded to
                      galvanized
                      spiral
11.18   11/30/2000    Delete                $         Pending     review load calcs    D   0           -33000      0
                      recirculating        (33,000)
                      pumps at 24
                      RAHU's
                                                                                           0           0           0
11.19   11/30/2000    Change class of       $         Approved
                      instructional lab    (27,000)
                      from 1000 to
                      10,000
11.20   11/30/2000    Adjust chilled        $         Approved                         D   8000        0           0
                      water and            8,000
                      condensate
                      meters


            Facilities Project Managers Guide                                                                      Page 155
Company A                                                 Building X Hall                       Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                        Cornell University                    columns
                                                          (date)


NO         DATE          DESCRIPTION          AMOUNT      ACTION      COMMENTS
11.21      11/30/2000      Change vacuum       $          Pending     (name) to confirm         0           0           0
                           pump exhaust       -                       pricing
                           duct riser from
                           20 to 12 inch
                           diameter
11.22      11/30/2000      Change outside      $          Approved                              -4700       0           0
                           air plenumbs       (4,700)
                           from SS to
                           galvanized G90
                           except for the
                           bottom panel
11.23      11/30/2000      AHU-2, 3 & PH-      $          Approved    (name) to confirm         50250       0           0
                           1 to be double     50,250                  with Trane
                           wall in lieu of
                           single wall
11.24      11/30/2000                          $          Pending
                                              -

Subtotal HVAC                                  $          Approved
                                              (281,363)
                                               $          Pending
                                              (43,000)
                                               $          Rejected
                                              (65,286)
                                               $          Total
                                              (389,649)

12 - Electrical
12.01      11/30/2000      Delete lab          $          Approved                        D     -75583      0           0
                           equipment          (75,583)
                           connections
12.02      11/30/2000      Provide solid       $          Approved                        D     -17000      0           0
                           bottom/covered     (17,000)
                           cable tray vs.
                           ladder type
12.03      11/30/2000      Revise pricing      $          Rejected    Cornell to          A     0           0           0
                           of light pipe at   -                       prepurchase
                           Atrium
12.04      11/30/2000      Revise power        $          Approved    No data - (name)    D     0           0           0
                           pole pricing at    -                       to price
                           offices
12.05      11/30/2000      Review              $          Approved                        S     -20000      0           0
                           Company E          (20,000)
                           demolition costs
12.06      11/30/2000      Owner to            $          Approved                        all   -34000      0           0
                           provide            (34,000)
                           tele/data wiring
12.07      11/30/2000      Provide kitchen     $          Approved                        D/A   10000       0           0
                           equipment          10,000
                           rough-ins
12.08      11/30/2000      Increase power      $          Approved                        A     9450        0           0
                           and data outlets   9,450
                           at Atrium


                  Facilities Project Managers Guide                                                                     Page 156
Company A                                               Building X Hall                            Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                      Cornell University                         columns
                                                        (date)


NO        DATE         DESCRIPTION          AMOUNT      ACTION      COMMENTS
12.09     11/30/2000    Delete remote        $          Approved    (name) to review         D     0           0           0
                        ballasts at e-      -                       pricing
                        beam rooms
                        and utilize
                        incandescent
                                                                                                   0           0           0
12.10     11/30/2000    Class A wiring       $          Approved                             R     -10000      0           0
                        for initiating      (10,000)
                        devices not
                        required - use
                        class B
12.11     11/30/2000    Change 600           $          Approved    Revises to                     -20000      0           0
                        kcmil to 500        (20,000)                standard breakers
                        kcmil up to                                 at 80%
                        800A, eliminate
                        special devices
12.12     11/30/2000    Delete witness       $          Approved                                   -15000      0           0
                        testing on          (15,000)
                        transformer and
                        generator
                                                                                                   0           0           0
12.13     11/30/2000    Delete impulse       $          Approved                                   -1000       0           0
                        testing on          (1,000)
                        transformers,
                        provide data for
                        similar
                        equipment
12.13     11/30/2000    Utilize aluminum                Pending     (name) to price                0           0           0
                        in lieu of copper
                        at switchgear,
                        panels, etc.
12.14     11/30/2000    COMPANY A -          $          Approved                                   -2000       0           0
                        delete limit 6      (2,000)
                        buckets per
                        vertical stack
                                                                                                   0           0           0

          Subtotal Electrical                $          Approved
                                            (175,133)
                                             $          Pending
                                            -
                                             $          Rejected
                                            -
                                             $          Total
                                            (175,133)

13 - Fire Protection
13.01     11/30/2000    Eliminate flex       $          Approved    BR+A to review           D     -31306      0           0
                        heads at clean      (31,306)                details for ability to
                        rooms                                       change hepas
                                                                                                   0           0           0
13.02     11/30/2000    Provide Sch. 10      $          Approved                             D/A   -6700       0           0
                        vs. Sch. 40         (6,700)


               Facilities Project Managers Guide                                                                           Page 157
Company A                                                Building X Hall                      Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                       Cornell University                   columns
                                                         (date)


NO        DATE         DESCRIPTION            AMOUNT     ACTION      COMMENTS
                           piping

                                                                                              0           0           0
13.03     11/30/2000       Verify no           $         Pending     BR+A to review       A   0           0           0
                           sidewall heads     -
                           at skylights
                                                                                              0           0           0
13.04     11/30/2000       Add pre-action      $         Rejected    Estimate include         0           0           40000
                           system to E-       40,000                 preaction at
                           beam rooms                                Characterization
                                                                                              0           0           0
13.05     11/30/2000       Delete Pre-         $         Pending                              0           -41000      0
                           action system to   (41,000)
                           Characterization
                                                                                              0           0           0

Subtotal Fire Protection                       $         Approved
                                              (38,006)
                                               $         Pending
                                              (41,000)
                                               $         Rejected
                                              40,000
                                               $         Total
                                              (39,006)

15 - Sitework
15.01     11/30/2000       Revise routing      $         Approved    BR+A and             S   -85000      0           0
                           for emergency      (85,000)               Lemessuir to
                           generator thru                            review routing,
                           Building Y Hall                           Company A to
                                                                     price
15.02     11/30/2000       Revise routing      $         Approved    Need design          S   -50000      0           0
                           for tele/data      (50,000)               information from
                           ductbank thru                             BR+A
                           Building Y Hall
15.03     11/30/2000       Provide on-site     $         Rejected    Discuss with         S   0           0           -5000
                           stockpiling of     (5,000)                Company M,
                           excavated                                 potential location
                           materials to be                           at equestrian
                           re-used/filled                            building
15.04     11/30/2000       Revise natural                Pending     Costich to           S   0           0           0
                           gas                                       evaluate
                           piping/NYSEG
                           allowance -
                           $40,000
15.05     11/30/2000       Review              $         Pending     Company A to         S   0           0           0
                           concrete vault     -                      evaluate
                           removal costs
15.06     11/30/2000       Review site         $         Approved                             -10000      0           0
                           painting cost of   (10,000)
                           $25K




                Facilities Project Managers Guide                                                                     Page 158
Company A                                             Building X Hall                    Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                    Cornell University                 columns
                                                      (date)


NO      DATE         DESCRIPTION          AMOUNT      ACTION      COMMENTS
15.07   11/30/2000    Review               $          Pending     Company A to       S   0           -20000      0
                      dumping costs       (20,000)                evaluate
                      for Company E
                      and Building Y
15.08   11/30/2000    Add SDR-21           $          Pending     (name) to review   S   0           0           0
                      liner to 16" DIP    -                       with (name)
                      sanitary sewer
                      under Atrium
15.09   11/30/2000    Provide clean        $          Pending     Review at future   S   0           0           0
                      corridor and        -                       CNF move
                      elevation                                   strategy meeting
                      adjustment for
                      access between
                      clean rooms in
                      Company E and
                      Building X
15.10   11/30/2000    Delete or            $          Approved                       S   -21000      0           0
                      change Gothic       (21,000)
                      lights
15.11   11/30/2000    Revise pricing       $          Pending     (comments)         S   0           -4000       0
                      for bulk Nitrogen   (4,000)
                      tank piping
15.12   11/30/2000    Add temporary        $          Approved                       S   5000        0           0
                      stairs for south    5,000
                      Building Y
                      during
                      construction
15.13   11/30/2000    Add temporary        $          Pending     Review at future   S   0           5000        0
                      dock for CNF        5,000                   CNF move
                      move                                        strategy meeting
15.14   11/30/2000    Revise pricing       $          Pending     (comments)         S   0           -25000      0
                      for bulk Nitrogen   (25,000)
                      tank systems
15.15   11/30/2000    Temporary            $          Pending     (comments)         S   0           0           0
                      HRM storage         -
                      facility
15.16   11/30/2000     Revmove cost        $          Approved                       S   -19000      0           0
                      of stairs and       (19,000)
                      bollards at
                      loading dock
                      and site signage
15.17   11/30/2000    Eliminate            $          Approved                       S   -10600      0           0
                      benches             (10,600)
15.18   11/30/2000    Delete special       $          Approved                       S   -10000      0           0
                      shoring             (10,000)
15.19   11/30/2000    Delete               $          Approved                       S   -56250      0           0
                      duplication on      (56,250)
                      Gothic lights on
                      wall
                                                                                         0           0           0
                                           $          Approved
                                          (256,850)
                                          $           Pending

            Facilities Project Managers Guide                                                                    Page 159
Company A                                                  Building X Hall                    Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                         Cornell University                 columns
                                                           (date)


NO       DATE         DESCRIPTION            AMOUNT        ACTION      COMMENTS
                                             (44,000)

                                              $            Rejected
                                             (5,000)
                                              $            Total
                                             (305,850)

17 - General Conditions and Scope
17.01    11/30/2000    Review moving          $            Pending     Review at future   G   0           0           0
                       CNF to Building       -                         CNF move
                       X with 100%                                     strategy meeting
                       shutdown of
                       Company E as
                       soon as Duffiled
                       cleanroom is on
                       line and
                       validated
17.02    11/30/2000    Provide unit           $            Pending                        G   0           0           0
                       prices for lab fit-   -
                       out work a
                       reduce fit-out
                       work included in
                       construction
17.03    11/30/2000    Revise General         $            Approved                       G   -50000      0           0
                       Conditions            (50,000)
                       estimate
17.04    11/30/2000    Reduce                 $            Pending                            0           -358149     0
                       contingency to        (358,149)
                       2.5%



General Conditions and Scope                  $            Approved
                                             (50,000)
Summary
                                              $            Pending
                                             (358,149)
                                              $            Rejected
                                             -
                                              $            Total
                                             (408,149)
                                                           App/pend
                                                                       (2,521,782)

Total Summary                                 $            Approved
                                             (1,698,695)               (1,826,097)
                                              $            Pending
                                             (647,149)                 (695,685)
                                              $            Rejected
                                             (180,000)                 (193,500)
                                              $            Total
                                             (2,525,844)               (2,715,282)


                                             50% CD Estimate           $42,017,447



             Facilities Project Managers Guide                                                                        Page 160
Company A                                             Building X Hall            Don't forget to hide these
VALUE ENGINEERING/COST ADJUSTMENTS                    Cornell University         columns
                                                      (date)


NO        DATE     DESCRIPTION        AMOUNT          ACTION      COMMENTS
Summary                               Budget                      $39,100,000
                                      Delta                       $2,917,447


                                      Approved VE W/ markup       ($1,826,097)

                                      Current Delta               $1,091,350




            Facilities Project Managers Guide                                                            Page 161
      Sample Change Order Letter

      DATE:          June 8, 1998

      TO:            (name)
                     (name at C&CP)

      FROM:          Project manager

      SUBJECT:       X Project
                     Change Order #6, Contract # C…
                     X Construction Company

      Please process Change Order #6 to the Guaranteed Maximum Cost (GMC) agreement between Cornell
      and the Company G contract #C…, dated …, to cover the following detailed in the attached
      documentation:
      The following Potential Change Orders (PCO’s) were due to Design Changes:
      PCO        General Description                              COW       GC's   Fee      Amount
149              Added type FAG light fixtures not indicated on   $7,965           $159     $8,124
                 drawings
167              RFI#404 -- Foot grill size increase              $807             $16      $823
174              ASI#110a - Relocation of floor boxes in          $20,743          $415     $21,158
                 classrooms
216              Change to ACT-4, ceiling tile in classrooms      $3,444           $69      $3,513
218              Upgrade brackets & standards in 20 faculty       $3,905           $78      $3,983
                 offices
236              Add 8 ceiling cruciforms in classrooms at        $5,317           $106     $5,423
                 projectors
243              Upgrade concrete and asphalt walks to CU         $13,718          $274     $13,992
                 standards
248              RFI#423-Provide (12) 2" circuit setters          $2,526           $51      $2,577
253              RFI#618-Relocate classroom equipment             $2,550           $51      $2,601
254              Finials atop vaulted roof                        $1,369           $27      $1,396
269              Gold Leaf on signature stones                    $1,505           $30      $1,535
                 Total PCO’s due to Design Changes:               $63,849          $1,276   $65,125




        Facilities Project Managers Guide                                                            Page 162
      The following PCO was due to a Scheduled Allowance Adjustment:
      PCO              General Description      COW      GC's      Fee            Amount
114          Spire Allowance Adj.                    $66,828    $8,483   $1,337   $76,648

      The following PCO’s were Owner Directed:
      PCO              General Description     COW              GC's     Fee      Amount
217           Change shelving to bookcases in 40     $143,280            $2,866   $146,146
              faculty offices
225           Wood ceiling in Exec Ed classroom      $8,435              $169     $8,604
              141
244           ASI#123-Added concrete walks           $8,473              $169     $8,642
255           Delete mow strip                       ($4,500)                     ($4,500)
262           Added locks at storm windows per CU $2,065                 $41      $2,106
266           Additional receptacles in telephone    $4,337              $87      $4,424
              closets per CU
273           Telecom Tie-in to Dover Elevator       $1,413              $28      $1,441
              Total PCO’s due to Owner Directed:     $163,503            $3,360   $166,863


      The following PCO’s were due to Unforeseen Conditions:
      PCO      General Description              COW       GC's           Fee      Amount
081             Existing Floor Joist Work per        $1,049              $21      $1,070
                RFI#316
104             Remove existing plank at roof edge   $693                $14      $707
                for blocking
116             Unforeseen at Projected Dormer       $2,073              $41      $2,114
185             Window jamb extensions               $28,456             $569     $29,025
222             Upgrade parking lot to CU standard   $34,402             $688     $35,090
                PCO’s due to Unforeseen Conditions: $66,673              $1,333   $68,006




        Facilities Project Managers Guide                                                    Page 163
       The following table summarizes Change Order #5 costs and the impact to the GMC line items:


               Item                           Current              Change               Revised

Unforeseen Conditions                                     $68,006.00
Scheduled Allowance Adj.                                  76,648.00
CU Directed Changes                                       166,863.00
Design Changes                                            65,125.00
Cost Of Work                          $23,680,821.00      $360,853.00             $24,041,674.00


General Conditions                    $2,216,869.00       8,483.00                $2,225,352.00


Fee                                   $902,851.00         7,306.00                $910,157.00
Total GMC                             $26,800,541.00      $376,642.00             $27,177,183.00
       Additionally, retainage reduction to zero is requested for various . subcontractors:
                                          Original         Final       Retainage      Retainage
                                          Contract      Contract                      Reduction
      Company               Trade                                         Held
                                          Amount         Amount                        Request

(name)                  Spire Steel Fab       $19,900    $19,900        $1,990         $1,990

(name)                  Spire Erection,       $43,954    $43,954        $4,779         $4,779
                        etc.
(name)                  Fireproofing          $228,375   $280,914       $28,247        $28,247

(name)                  Scaffolding           $288,680   $314,621       $31,462        $31,462

(name)                  Auto Closing          $82,616    $86,386        $4,319         $4,319
                        Doors
(name)                  Accordion Doors       $52,173    $52,173        $5,217         $5,217

(name)                  Telephone Spec. $4,800           $4,800         $480           $480

(name)                  Signage               $4,091     $4,091         $409           $409

(name)                  Libr. Security        $13,145    $13,145        $1,314         $1,314
                        Sys.
(name)                  Access Flooring       $4,500     $4,500         $225           $225

(name)                  Microfiche            $14,928    $14,928        $1,492         $1,492
                        Cabinets
(name)                  Historic Moldings $5,940         $5,940         $594           $594

(name)                  Refrigerators         $1,088     $1,088         $108           $108

(name)                  Louvers               $5,041     $5,041         $504           $504

(name)                  Library Book          $2,133     $2,133         $213           $213
                        Drop



          Facilities Project Managers Guide                                                         Page 164
                                              Original     Final     Retainage    Retainage
                                              Contract    Contract                Reduction
    Company                  Trade                                      Held
                                              Amount      Amount                   Request

(name)                 Foot Grilles          $5,900      $16,457     $1,645      $1,645



     If you have any questions or require additional documentation, please let me know.


     Thank you.


     Attachments



     xc:




         Facilities Project Managers Guide                                                    Page 165

								
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