FAQs: Transitional Forms - Integrated Project Delivery (IPD)

On what familiar contract forms are the transitional agreements based?

The transitional IPD Documents are based on existing AIA Contract Documents. A295™–2008 is a general conditions document based on A201®. B195™–2008 is a standard form owner/architect agreement based on B102™. A195™–2008 is a standard form owner/contractor agreement, where the contractor is paid on a cost-plus basis with a guaranteed maximum price, based on A102™.

 

How is A295–2008 different from A201?

A295–2008 integrates the duties and services of the owner, architect, and contractor through each phase of Integrated Project Delivery. A295–2008 describes the services and duties of the owner, contractor, and architect in six phases: Conceptualization; Criteria Design; Detailed Design; Implementation Documents; Construction; and Closeout. Throughout the Conceptualization, Criteria Design and Detailed Design phases, the Architect performs its design services in close collaboration with the Owner and Contractor. The contractor, during the design phases, provides estimating and other advisory services, such as constructability reviews, to inform the architect’s design. At the conclusion of the Detailed Design Phase, the owner and contractor negotiate a Guaranteed Maximum Price and the GMP Documents are identified. The contractor is thereafter required to construct the project in accordance with the GMP Documents. Upon establishment of the Guaranteed Maximum Price, A295–2008 provides essential terms and responsibilities for the construction, clearly delineating the duties of the owner, contractor and architect through the Implementation Documents, Construction and Closeout Phases.

In addition to the unique manner in which A295–2008 describes the owner, architect and contractor’s duties, it also requires the utilization of a building information model to the greatest extent practicable.

 

How is A195–2008 different from a standard GMP Contract?

A195–2008 primarily provides the business terms for the parties’ agreement and relies on the language of A295–2008 to set forth the owner’s and contractor’s specific duties as they relate to the Project. This is somewhat similar to the approach in A102 which relies heavily on the language of A201 to set forth the parties’ responsibilities. A195–2008 differs, however, in that it contemplates that the contractor will be providing pre-construction services such as estimates and constructability reviews. In light of the contractor’s participation prior to construction, A195–2008 had to be adjusted to address matters such as compensation and termination during the pre-construction phases.

 

How is B195–2008 different from B101?

B195–2008 primarily provides the business terms for the parties’ agreement and relies on the language of A295–2008 to set forth the owner and architect’s specific duties as they relate to the Project. B101, on the other hand, describes all of the architect’s services and only relies on A201 language to augment the architect’s construction phase services. Accordingly, B195–2008 is more similar to B102™, an owner/architect agreement that does not include a scope of services, than it is to B101.

 

How do the transitional agreements differ from C195–2008, which establishes a Single Purpose Entity for IPD?

The Transitional IPD agreements do not require the participants to form an entity in order to execute IPD principles. The Transitional IPD agreements generally follow traditional models of risk allocation and compensation, whereas the SPE agreement allows for complete sharing of risk and reward in an “all for one and one for all” environment.

 

How are shop drawings utilized?

In the transitional IPD agreements, the Contractor will provide Shop Drawings throughout the Pre-construction and Construction Phases. For those Shop Drawings that are included in the Detailed Design Documents and the Implementation Documents, they are incorporated in the GMP Documents and become part of the GMP contract. Those Shop Drawings created after the commencement of construction, however, are treated in the traditional fashion and do not become part of the GMP Documents.

 

What are the Architect’s duties to design to cost?

The architect’s duty to design to the Owner’s budget is largely identical to the duty found in B103™. This is because in the Transitional IPD Documents, like in the B103, a party other than the architect is providing estimating services. In the Transitional IPD agreements, the Architect is required to redesign the Project in order to bring the design within the Architect’s budget up through the completion of the Detailed Design Documents. Thereafter, if the contractor’s estimates indicate that the design will exceed the Owner’s budget, any redesign is an additional service to the architect. At no point, however, is the Architect responsible for redesigning at its own expense due to an error in the contractor’s estimate.

 

What are the requirements for Dispute Resolution in the Transitional IPD agreements?

The dispute resolutions provisions found in the transitional IPD documents differ greatly from the dispute resolution provisions contained in the A201. Unlike the A201 family documents, the transitional IPD documents do not contain a checkbox method for selecting the method of binding dispute resolution. Under the transitional IPD agreements, the owner, contractor, and architect are required to submit any disputes to mediation and then arbitration as the method of binding dispute resolution. However, for those disputes arising between the owner and contractor after the GMP is established, all claims must first be submitted to the Initial Decision Maker for resolution, prior to elevating any claims to mediation and arbitration.

 

For more information see on Integrated Project Delivery (IPD) documents  »

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