Design-Build Procurement Approaches - Design-Build for Water and Wastewater Projects - page 78

Table 7-7. Advantages and disadvantages for best-value selection (BVS)—two step
(RFQ/RFP)

Advantages Disadvantages

Competitive price component provided;
price certainty at time of proposal
submission

Owners and proposers need time and incur
cost to prepare RFQ and RFP

Detailed technical information provided Could limit proposer creativity and flexibility

by doing too much design for the RFP

Selection can be based on price and
other factors, thus providing “best
value”
Integrated and collaborative approach
between owner and design-builder can
still be achieved albeit diminished

Owner input only during procurement
development; during proposal preparation
there is no owner input

Can short-list the most qualified and
experienced firms

Subject to price based pitfalls

Two step is most attractive to proposing
community (i.e., short-list limits
competition to a few)

Life-cycle cost considerations limited
The proposal price, quality, and scope have
to be accepted. Any change will be an
adjustment to proposal price or a change
ord e r.
Less integrated and collaborative approach
between owner and practitioner

Table 7-8. Advantages and disadvantages for progressive DB
Advantages

Disadvantages

Maintains the required competitive process
(competitive bidding can be achieved)

May not be legally permissible

Substantially reduces procurement time and cost Competitive price proposal not

provided

The most-qualified design-builder is selected for
project

Detailed technical information not
provided

Owner negotiates final scope, project quality,
price, and schedule

Is counter to “public low bid” psyche
and desire to receive prices through
competitive bidding

Life-cycle cost considerations can be included in
design very easily; owner can make scope and
pricing decisions based on life-cycle costing
and ease of maintenance and operability

Could be a “tough sell” politically even
though legally permissible

Integrated collaborative approach maximized Potentially new procurement territory

for owner; thus a steep learning
curve

(continued)