Project Delivery Comparions

    Comparing Two New High Schools: Ames & Waukee

    Design/Bid/Build vs. Construction Manager Agency

    Project Management Fees

    Ames Community School District and Waukee Community School District both built new high schools in recent years. The below information shows how much more the Construction Manager Agency delivery system cost the taxpayers in project management fees.

    Waukee High Ames High
    Delivery System
    Design/Bid/Build
    Construction Manager Agency
    Overall Cost
    $120 million
    $116 million
    Completed in the last few years
    Yes
    Yes
    Large project with large amounts of project management needs. (Project managers, project engineers, project superintendents, assistant superintendents, and other project assistants)
    Yes
    Yes
    Project Management Cost
    $2,500,000

    (shown as General Contractor’s billings)
    $3,609,459.23

    (shown as construction manager’s billings)

    Unlike Design/Bid/Build, Construction Management services can be awarded based on anything. An owner might just have interviews and then award the project. They might just ask for a fee and award the project. All other costs will be determined later. This is how the Ames High School had over $1 million more in project management services. When all fees and services are not bid up front with the lowest bidder being awarded the project the Taxpayers of Iowa pay the price.

    More in Project Management Services using Construction Manager Agency
    $ 1 M

    Change Orders

     The below information shows how much more the Construction Manager Agency delivery system cost the taxpayers in change order fees.

    Waukee High Ames High
    Delivery System
    Design/Bid/Build
    Construction Manager Agency
    Overall Cost
    $120 million
    $116 million
    Completed in the last few years
    Yes
    Yes
    Pre-construction Services Fees in delivery system
    None – The architect designs the project and puts it out for bid.
    Yes – These are said to help the architect design the project in order to lessen or eliminate change orders
    Pre-construction Services Fees in delivery system
    No Fees – An allowance of $2 million was included
    $520,000
    Change Order Fees
    $2,653,949.78 (2.2% of the project)
    $3,537,916.00 with 633,363 pending (3.1 %- 3.6% of the project)

    Looking at the two projects the change orders are between .9% and 1.4% less when using Design/Bid/Build. Ames CSD paid approximately $520,000 in pre-construction service and still paid more than $1 million in change orders than Waukee who did not pay anything in pre-construction services.

    Of the Project More in Change Order Fees with Construction Manager Agency
    1 %