f/EPA
United States
Environmental Protection
Agency
Office of Water
Program Operations (WH-547)
Washington DC 20460
December 1983
Construction Management
Evaluation and
Project Management
Conference Manual
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GCNb'mJLTlON MANAGEMENT EVALUATION
AND
PROJECT MANAGEMENT CONFERENCE
MANUAL
Construction Grants Program
.Municipal Wastewater
Treatment Works
1983
Municipal Construction Division
Office of Water Program Operations
Office of Water
U.S. Environmental Protection Agency
Washington, D.C. 20460
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CONTENTS
CHAPTER I GENERAL
A. PURPOSE
B. REFERENCES
C. DISCUSSION
CHAPTER II. PROJECT MANAGEMENT CONFERENCE
A. GRANT MANAGEMENT
B. CONSTRUCTION MANAGEMENT
CHAPTER III. CONVENTIONAL CME
A. GRANT MANAGEMENT
B. CONSTRUCTION MANAGEMENT
C. GRANTEE EXIT BRIEFING
CHAPTER IV. EXTENDED CME
A. GENERAL
B. GRANT MANAGEMENT
C. CONSTRUCTION MANAGEMENT
D. GRANTEE EXIT BRIEFING
CHAPTER V. THE REPORT
A. GENERAL
B. INTRODUCTION
C. GRANT MANAGEMENT
D. CONSTRUCTION MANAGEMENT
E. ACTION ITEMS
F. CONCLUSION
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Appendix A - Grantee Notification Package
Appendix B - Typical Report Outline
Appendix C - Financial Management Checklist
Appendix D - Construction Checklist
Appendix E - Construction Records Checklist
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I. GENERAL
A. Purpose
The purpose of this manual is. to .provide, .detailed iguidance on
conduct of Project Management Conferences ..(PMC) ".-and;Construction
Management Evaluations (GME). These.-.site ,visits,;ace ^intended to
enhance EPA oversight and.improve:local..construction:grant
management.
B. "REFERENCE:
1. 40 CFR.Parts 22, 23, 30, 33, 34. and 35.
2. EPA Handbook of Procedures (Third Edition).
3. EPA Construction Grants 1984 (CG84).
4. ER 415-2-4, Corps Support- of r;EPA',Construetion-J@rants,- Program,
October 1, 9183.
5. EPA Regional Guidance Documents.
6. EPA/Corps of-Engineers InteragencyAgreement.
7. EPA/Corps Regional Agreements.
8. State Delegation Agreement.
9. EPA Construction Inspection.Guide (1976, 3.volumes).
10. (EPA) Management of Construction Change Orders— A Guide for
Grantees (1983).
11. (EPA) Accounting Guide for-Construction Grants (October,
1977).
12. EPA Operating Procedures for Monitoring Construction
Activities (1983).
C. DISCUSSION:
The PMCs are conducted after award of the construction
contract and preferably before initiation of construction. The
PMC is intended to enhance the grantee's capability to complete the
treatment works in accordance with the grant documents and
applicable regulations. Typically, this conference will include
guidance to grantees on record-keeping requirements, construction
management techniques and overall grant management procedures.
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The duration of the EMC should not exceed 2 or 3 days and be
conducted on virtually all Step 3 and Step 2+3 projects with the
possible exception of grantees with demonstrated competence in project
management.
The FMC may be conducted by either the State or the Corps of
Engineers (CoE) depending upon the capability and desires of the State.
In those cases where the CoE has been phased out of a particular State
and the State cannot conduct the PMC's, the Region will arrange for the
CoE to do so. This conference may be conducted by one or more persons,
depending on the size and complexity of the project.
The conventional CME is a four to five day review conducted
during construction by the Regional Offices, preferably at the 40-60
percent stage, to evaluate the grantee's grant management procedures,
and through this process gain insight into overall program management.
The CME should be held during the 20-40 percent completion stage, if a
PMC was not conducted.
An extended CME is a five to ten day in-depth review conducted
on large multi-contract projects. These reviews will generally be
initiated by the Regional Offices and fully coordinated with the State
agencies. Team members should be experienced in this type of review
and fully knowledgeable of EPA regulations and policies.
Typically, the on-site CME will be conducted by three or more
members composed of Personnel from the EPA Regional Office (team
leader), the State Agency and the CoE. It is important that the team
leader be familiar with all grant requirements and relevant EPA
regulations. The team leader will be responsible for reviewing grantee
records, procurement procedures and grant management procedures in the
grantee's office. The other team members will concentrate on the
project field records, construction management procedures, and physical
construction.
Prior to the CME, the Team leader is responsible for notification
and coordination with the State, Grantee and CoE. He is also
responsible for all logistic arrangements. Following the site visit, he
is responsible for the preparation and distribution of the CME Report.
He alsohas the responsibility to assure that all action items have been
appropriately responded to.
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II. PROJECT MANAGEMENT CONFERENCE (PMC)
The PMC is held after the pre-construction conference and
preferably prior to initiation of construction. The purpose is to
provide detailed guidance and instructions to the grantee in overseeing.
and managing his construction grant. If applicable,..the CoE. is .well.
suited to conduct this conference.
The EMC begins with a briefing in the grantee.1-s office.-attended^by
the State representative and/or CoE representative--(if applicable).,.
members of the grantee's staff, representatives :of -.the*
architect-engineer organization and other appropriate.members..of -.the:-.
construction management team.
The Team Leader will explain the statutory requirements and-
regulations, reporting and record-keeping,requirements, construction ;
management functions, overall grant management- procedures and any
special grant conditions. These areas are discussed in detail in the
sections of this manual under CME's. However, in order to provide a
ready reference for those who will be conducting PMC's, they are also .
listed below. For a detailed discussion of many of these .activities,
reference should be made to the CME sections.
A. Grant Management
1. Statutory and Regulatory Requirements
2. Grant requirements, including special grant conditions.
3. Procurement procedures
4. Property control
5. Resident services required during construction
6. Record-keeping system
a. Provide a clear audit trail
b. Subsidiary ledger for each grant
c. Mlowable/Uhallcwable and direct/indirect cost segregation
d. Force account work documentation
e. Small purchase documentation.
f. Change orders, complete documentation.
g. Request for payments, documentation and back-up required
h. Claims, complete record of all actions taken by all parties
i. ' Correspondence control - complete, chronological
7. Project closeout and project performance certificate
B. Construction Management
1. Grantee responsibilities and authority
2. A/E responsibilities and authority
3. Contractor responsibilities and authority
4. A/E resident organization
5. Construction conformance with Plans and Specifications
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6. Inspectors daily log
7. Material testing requirements
8. Construction schedule
9. Progress Payments
10. Davis Bacon, Copeland, EEO
11. Change order procedures
12. Claims procedures
13. Shop drawings, procedures and documentations
14. As built drawings, keep current
15. Correspondence (choronological file)
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III. CONVENTIONAL CME
The- CHE'begins'with an entrance briefing at the grantee's office
attended'; by,; tlte review team, grantee office and field representatives, a
Corps of Engineers' representative (if applicable),, a representative of
the' architect-engineer organization, a contractor- representative and
others, as-desired by the grantee. The team leader will begin the
meeting, by reviewing the reason for the evaluation and1, explaihv the;, scope'
and goals of the- evaluation. After1 a brief introductions of• the, team.
members and a description of their functions^ a tentative schedule of
teanfc activities will be discussed1 to1- insure- that. ReE> personnel: frcmvthe
grantee1 & office and; field, staffs will, bei available* for eoordination1
withv teantmembers1 at mutually convenient times. The team-members will
try to- work, around! the grantee1 s established- schedules^ asi much) as-
possible* to1 minimize any disruptive effects that the1 OME- might, have-.
The team leader should also schedule, the exit briefing before? adjourning;
this meeting.
The' grantee1 representatives should briefly describe their
organizational structure, the project's status and' work schedule,, the
contractor organization, the construction oversight, and1, inspection
programs. Work space and key personnel for contact by team members will
be designated at this tine by the grantee..
After completion of the entrance briefing, the1 CME team, will tour
the grantee's office, locate the filing- system- and be introduced to the
individual contact for each part of the team's review; The team will
then be shown to their designated work area in the grantee's office.
Following this orientation, the grantee representative will accompany
the CME team on a visit to the construction site and the resident
engineer's office. During this time, the team will have a chance to get
a brief overview of the construction in progress. Following this, the
team will return to their designated work area to begin their individual
tasks.
A. GRANT MANAGEMENT
The team leader will evaluate the grantee's compliance with
the grant requirements, the procurement procedures and the
grantee's record keeping system.
1. Grant Requirements
The team leader will specifically check on the grantee's
compliance with two groups of grant requirements. The first
group is comprised of requirements which all grantee must
meet, such as the requirements dealing with the Operations and
Maintenance Manual, a sewer use ordinance, user charges, an
infiltration and inflow survey, a sewer system evaluation
survey, staffing, plan of operation, a pretreatment program,
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flood insurance, and service agreements (where there is more
than one municipality). The second group is composed of
special grant conditions or requirements which have been made
a part of individual grants.
The team leader must carefully scrutinize the role the
grantee plays in seeing that these requirements are met. In
the past, CME's have revealed that some grantees do not have
firsthand knowledge of grant requirements and their
responsibilities under the grant. This is particularly true
when grantees rely on other parties to assume these
responsibilities. This can lead to serious problems, such as.
withheld grant payments when certain grant requirements are
not met or are not met on a timely basis.
2. Procurement Requirements
The team leader must be knowledgeable of all EPA
construction grant regulations and related procurement
procedures. He must thoroughly review all grantee
documents pertaining to engineering and construction contracts
to determine if all of the applicable provisions of JJOCFR
Parts 33 and 35 are being met. The grantee's procurement
systems should be reviewed to determine that contracts
with engineer and contractors are of the proper type and that
the required EPA regulations have been followed for
evaluation and selection.
3. Accounting Systems
The team leader will make a thorough review of the
grantee's accounting system. Experience shows thatthere
are four major problem areas which a significant number of
grantees encounter. These areas should be given special
attention. The four problem areas are:
(a) Failure to separate eligible and ineligible costs and/or
allowable and unallowable costs.
(b) Failure to segregate project costs between different
grants and/or steps.
(c) Failure to develop written procedures for handling
accounting, and
(d) Failure to adequately justify and record total Federal
reimbursements.
Other areas of concern include force account work, poor or
missing records, and the lack of documentation relating to tune and
compensation for construction inspectors.
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B. CONSTRUCTION MANAGEMENT
This phase of the CME will be conducted primarily by the team
menbers with assistance from the team leader. The team leader will
help review construction records after the grant requirements and
procurement procedures have been reviewed. The team will spend
most of their time evaluating construction management rather than
the acutal construction work. A CME is not intended to be a
thorough review of construction. Rather, it provides EPA with an
insight into the way grantees are handling grant and construction
management, not with detailed knowledge as to the quality of
construction being performed. The EPA interim inspectixjn program,
performed largely by the CoE, monitors and safeguards the quality
of construction.
The following listed items have been identified as recurring
problem areas in previously conducted CME's. These areas are also
closely related to the fiscal aspects of the project, as well as
the progress of construction. They should, therefore, be given
close scrutiny during the review.
1. Change Orders
The change order review begins with an evaluation of the
number of change orders that have been issued and', their
relative costs. Most large changes plus a few small changes
should be selected for detailed review. It is noted that the
number of change orders that can be expected at the tune for
the CME depends on the status of construction, size of
project, complexity of design, the quality of the contract
plans and specifications and the contractors performance. The
change orders selected for review should be checked to
determine if they are supported by the following:
a. Evidence of the need for change
b. Screening process
(1) Change order request is documented
(2) Funding is properly certified and authorized
(3) Prior approval, if appropriate
(4) Description of change
(5) Justification for change .
(6) Change to contract price, time of completion
(7) Approvals
c. Reasonableness of the method of accomplishing the
objective
d. Eligibility of the change
e. Allowability of costs
f. Specific documentation of the actual change order
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. (1) An independent engineering estimate
(a) Prepared by the consulting engineer with
(b) Reasonable accurate estimated of quantities,
and
(c) Detailed cost and pricing data
(2) . A sumnary of negotiation, including the
(a) Basis for the independent estimate and the
(b) Basis for the contractor's estimate, including
(1) Steps taken in review
(2) Explanation of differences, and'
(3) Adequacy of the estimate
(c) Results of price negotiation
(d) Basis for the method of payment
2. Claims
It is very important that the grantee provide timely
acknowledgment of claims and that all known facts concerning
claims be well documented. A spot check should be made to
determine the validity of the claims. The probability of the
contractor successfully pursuing tha claims, possible amounts
of such claims, and reasons for such claims should be
evaluated. The grantee's position in any claim action that is
not well documented is weakened because memories can fade,
personnel can change, and facts can be more easily disputed
than can timely, well-documented, written records.
3. Progress payments
Review of progress payments for larger projects is
usually limited to an explanation of procedures by the grantee
and a review of monthly payments to insure that these
procedures are being followed. The standard procedure used
for processing progress payments begins with a submittal from
the contractor containing an estimate of work completed during
the previous month. Such an estimate is usually divided into
many line item entries for various phases of work and includes
any invoices or other documentation that are required. The
inspector for the grantee who is most familiar with a certain
line item entry will then make an independent review of work
accomplished. The inspector should be able to verify
quantities of work performed or materials consumed by
referring to the daily inspection reports. If the
contractor's estimate and the inspector's review agree, the
contractor is paid the mutually agreed upon amount for that
particular line item. Any disagreement on estimates is
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negotiated, with the burden for justifying estimates falling
on the contractor. When a project nears completion, the
grantee should estimate how much money is required to complete
the job, and then insure that the amount needed, plus a
reasonable contingency, is retained to cover future work and
any known deficiencies.
4. Progress Schedules
Progress schedules and their appropriate updating ore
important on every project, in order that both the contractor
and the resident engineer are aware of the contract status.
In the event a project falls behind schedule, early
recognition of this fact is essential so that the Contractor
and Resident Engineer can plan any additional effort that may
be required to regain the schedule.
It would appear that the normal provision that allows the
grantee to assess liquidated damages against the contractor,
if the contractor does not complete the job on time, would
provide the incentive for the contractor to finish on
schedule. Unfortunately, vjhan a project does fall behind
schedule, there are usually many factors to consider that can
be the result of both contractor and grantee actions, making
it difficult to obtain a clear determination of responsibility
for delay. Therefore, the resident engineer must insist on
appropriate schedule updating and do all that is contractually
possible to encourage the contractor to maintain the schedule.
Unless such a course is pursued, the grantee risks nullifying
the "time is of the essence" and liquidated damages clauses.
5. Inspection Reports
Inspection reports are of utmost importance on any
construction project because they represent the observations
of the person closest to the work and are timely
documentations that do not rely on memory. They are essential
to the grantee in settling disputes with the contractor.
Also, the report can be an effective tool as a basis
for preparing deficiency lists when the project or major
phases of the project are nearing completion. A spot check
of inspection reports should include verification that daily
logs are being maintained, day-to-day deficiencies and
problems are being noted, discussions with contractor
personnel are being recorded, and notations are being made on
any follow-up action taken on previous comments. The daily
inspection reports should also contain reference to quantities
of work performed and materials consumed. These reports may
then be used to compute progress reports. The CME team should
determine if noted deficiencies which could be concealed by
future work are being corrected in a timely manner and
properly documented.
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6. Shop Drawings
A spot-check of the technical adequacy of shop drawings,
compared to contract documents, is made as a part of the
construction review by the team. The team should also check
the method of processing, filing and distribution of drawings
to assure that construction delays have not been caused by
deficiencies in the system.
7. As-Built or Record Drawings
An evaluation of the as-built drawing procedures should
be made to assure that the as-builts are kept current. This
can be done by comparing known changes with as-builts to see
if the changes are, in fact, being added to the drawings.
Particular attention should be given to those items which are
changed and are concealed by future work, such as underground
utilities.
8. Correspondence
It is important that any correspondence from the
contractor be answered in a timely manner and that any
decisions by the resident engineer concerning problems,
clarification, discussions with the contractor, etc., be
documented. The correspondence file and resident engineer
logs should be spot-checked to obtain a general idea of how*
well the resident engineer is documenting management of the
contract. Such documentation can be by letter or memo to the
contractor or by an entry into the resident engineer1 s daily
log. It is suggested that any documentation that
addresses decisions involving significant items of work be in
the form of a letter to the contractor. The general filing
system should also be reviewed to assure that a logical and
usable system is being employed.
9. Labor Requirements
An inspection of the contractor's facilities should be
made to determine that normal requirements for posting certain
information are being met. Such items as the applicable wage
poster and wage determinations, equal employment opportunity
notices, and OSHA regulations must be posted in such a manner
as to afford any employee the opportunity to review such
material.
10. Organizational Requirements
The team has the responsibility of evaluating the
adequacy of the resident engineer's organization as well as
that of the contractor. The record keeping system of both
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should be reviewed. Other areas in which problems may occur
are staff and organizational structure.
11. Material Testing & Certificates
A check into the resident engineer's material
testing file should be made to determine if adequate testing
records and documentation are being kept. Special emphasis
should be placed on soils, concrete, pipe, rebars and
welds.
C. GRANTEE EXIT BRIEFING
The CME concludes with an exit briefing at the grantee's
office. The briefing should be attended by the same personnel who
were present at the entrance briefing, minus the contractor
representative. The team leader begins this meeting by discussing
the findings, recommendations, and conclusions of the CME. After
the team leader has finished the CME summary, the parties involved
will be given an opportunity to discuss the findings,
recommendations, and conclusions wita the individual CME team
members.
The team leader should clarify that the CME findings presented
in this meeting will include the significant comments to appear in
the written report. However, additional details may be added to
the final CME report as appropriate.
The exit briefing is an opportunity for the grantee to
benefit from the experience and knowledge of the CME team, asking
questions and commenting on the CME findings. Ideally, this
meeting should be conducted in such a manner as to promote a
positive and open atmosphere which will stimulate constructive
criticism from all interested parties. All CME team members must
be prepared for this meeting by having, at least a rough draft of
their findings. These findings need not be in final form, but they
must be sufficiently complete so that the final report can be
easily prepared from them. By discussing these findings with the
grantee, any inconsistencies or omissions will be corrected. The
exit briefing will also assist the grantee by providing an
opportunity to go into the actual details behind the findings and
recommendations.
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IV. EXTENDED CME
A. GENERAL
The extended CME is intended for large multiple contract
projects designated by a Regional Office as appropriate for an
in-depth review of construction grant management procedures. These
five to ten day reviews are conducted by a four to five mentoer team
fully experienced in on-site review techniques and knowledgeable of
EPA regulations and policies. The designated team leader will be
from the EPA Regional office. Each team member will have specific
assignments and the team leader will determine the amount of tine
allocated to conplete these assignments.
The team structure will include the Regional Program
Manager-Team Leader and two to three experienced Team members from
the State and CoE, who will be assigned particular areas of
responsibility. The Team will further include personnel from the
Office of Audit, either initially assigned as Team menbers or on
call, as needed. The Team Leader assumes conplete responsibility
for control of the Tteam. He shall make the assignments and, in
general, shall be the Team member who reviews project records in
the grantee's office.
The scope of Review Team's actions in the field will include
an entrance briefing for the grantee, a review of the grantee's
work in place, a review of the construction management system and
procedures in the resident engineer's field office and an exit
conference with the grantee. In addition to those things described
under a conventional CME, the following will be reviewed.
B. GRANT MANAGEMENT
The elements of the grantee's financial management system
shall be discussed from the viewpoint of his organization, the
procurement system, the existing or proposed user charge system,
the property control system, the local share funding procedures and
accounting system and the grantee's record-keeping system. The
financial management system will be reviewed by the Team Leader and
the audit representative using the "Financial Management
Checklist11, Appendix C of this manual.
1. Grantee Organization description shall include the
official name of the grantee, his address and official
telephone number and a short description of the
organizational structure with names of key personnel.
The description shall also include the definition of the
service area, the community served and the service
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responsibilities incumbent on the grantee. The principal
facilities owned and operated by the grantee's wastewater
treatment organization shall be described including the
capacities and locations and functions of each major facility.
Principal agreements with other legal entities shall be
described and their current status should be assessed insofar
as possible.
2. Procurement System of the grantee for
architect-engineering services shall be described,
including commentary on its effectiveness. The grantee's
procurement system for construction contracts shall also
be described with an analysis of the grantee's policy
regarding conformance to Federal procurement procedures
as required in EPA regulations. The following documents,
as a minimum, should be reviewed. Advertisement for
Bids, Bid Tabulations, Low Bid, and Notice to proceed.
3. User Charge programs of the grantee, either existing or
proposed, shall be discussed from observations made
during the review. Particular elements to receive
attention shall include the grantee's authority for
imposing user charges, the schedule of charges and
surcharges, any special service agreement with other
legal entities. The sewer use ordinance used by the
grantee shall be reviewed for adequacy in accordance with
the guidelines. Any infiltration/inflow work in progress
shall be described and related to the schedule for its
applicability and for its necessity.
4. Property Control System for the grantee's real property
shall be reviewed for its existence and its applicability
to both easements and fee title property. The Team shall
discuss whether the grantee has the right of eminent
domain, whether he has the capability to make realistic
appraisals to negotiate with landowners effectively,
whether documentation is complete and legally filed, as
required, and the location of the filed documents.
5. Local Share Funding shall be identified as being planned,
being available, or having been obtained. Bond issues or
short-term financing of the local share of project costs
shall be described. Budgets, outlay schedules and cash
flow projections which contain funds for local share
obligations shall be discussed.
Discussion of bond issues shall include the level of
current long-term indebtedness and limits on bonding
authority. The handling of funds received from the sale
of bonds or borrowed on a short-term basis for local
share payment shall also be discussed.
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The Report shall note the frequency of audits and the
basis upon which each one is performed. Disclaimers by the
auditors shall be particularly mentioned and the reason for
each shall be justified.
The discussion of budgets and associated financial
planning documents shall include reference to special funds or
reserves for debt retirement.
6. Record-keeping System review shall include the project
file for all grant agreements and other documentation
such as advertisements, bid tabulations, proper federal
•and state approvals, recommendation for award, executed
contracts, valid bonds, required insurance coverage and
other required documentation. The review of periodic
payment estimates and change order descriptions shall
include completeness of documentation, .proper format and
compliance with EPA regulations.
Direct purchases and other charges to the project shall
be analyzed for their allowability and the proper
establishment of their value. The track of EPA payments shall
be reviewed through the grantee's accounting documents to
determine if proper controls have been applied at each stage.
The Team Leader shall have the rebponsibility to review
the grantee's cost accounting system. However, should an
auditor be a member of the team, he will -be assigned this
tasks.
Mb effort will be made to perform a formal fiscal audit
of the grantee's records. The purpose of this review is to
check for an audit trail and determine that a proper usable
accounting system is in place and being properly used and
maintained.
C. CONSTRUCTION MANAGEMENT
The construction records are the source documents for the
history of the project and all actions that have been taken during
the course of its construction. These records should be reviewed
to the extent deemed unecessary by the team. A list of typical
construction records is contained in Appendix E.
1. Plan and Specifications will be reviewed so that the team
becomes familiar with the construction aspects of the project.
This knowledge will be used to determine that the project is
being constructed in accordance with the approved plans and
specifications.
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2. Compliance with Approved Plan - The Facility Plan should be
reviewed to assure that the project is in compliance with the
plan. If it is not, an explanation and justification must be
provided by the grantee.
3. Resident Engineer and Inspector Organization should be
monitored from the standpoint of their demonstrated technical
competence.
4. Shop Drawings delivery and storage systems shall be review.
The Report shall content on the checking procedures including
the system and levels of responsibility of the checkers, and
the mechanism for informing the contractor and owner of
approvals and disapprovals.
5. Construction Schedule requirements and required format shall
be discussed. The responsibility for creating, updating and
using the schedule to control construction progress shall
emphasized.
6. Correspondence Control shall be evaluated from the copies
retained in the field office. Mention should be made of the
correlation between level of authority and the subject of each
piece of correspondence. Storage facilities and a control
system such as a correspondence log shall litewise be
evaluated.
7. Pay Estimate Documentation shall be reviewed, special
attention should be given to the method of preparation and the
basis for establishing quantities and prices by which the work
is paid.
8. Inspection Reports discussions shall center on the inspector's
daily reports and any official diaries which may supplement
them. They shall be analyzed for completeness and timeliness.
Their use for job control shall be described.
9. Change Orders and the documentation to supplement them shall
be thoroughly reviewed, including the methods for negotiating
change orders. Procedures for handling change orders over
$100,000 shall be separately analyzed.
10. Materials Testing Documentation shall be reviewed including
the types of tests, the recored of tests, the schedule of
quotas for materials testing, the use of outside materials
testing laboratories and the use of tests to reject materials
and work. Special attention should be given to corrective
action taken when tests fail. This action must be
completely documented.
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11. Davis-Bacon, Copeland, EEO requirements to be met at the
construction site shall be reviewed and any violations shall
be noted.
12. Other Topics to be mentioned in the Report include the
presence and requirement for an Operation and Maintenance
Manual, copies of OSHA regulations available on the site,
the posting and enforcement of proper emergency procedures,
the posting of emergency telephone numbers and the presence of
the required trade permits and waterways encroachment permit
requirements.
D. EXIT BRIEFING
Briefing shall be as described under Conventional CME. The
format for the briefing is included as a part of Appendix A.
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•V. .THE REPORT
A. GENERAL
Upon completion .of the on-site evaluation, ,a formal ^report
will be prepared. A final .draft should :be ready .within one -jreek
after leaving the site. The final .report should :be .issued within
one month. The report .will -be ..a .self ^contained -.(3ocument -which
details the evaluation .and its ,results.. The ,team leader is
responsible -for .writing and issuing -the final -report. Based .on
past experience,;a typical. report-will average .10 to 2JD pages.
It is suggested the report-be divided into -five-major,parts
and necessary .appendices.. These -five .parts are -the 'Introduction,
Grant Management, Construction Management, Action Items and
Conclusion. .-Any ^backup -information needed to clarify or support
the main body of the report should be .included in the Appendices.
B. INTRODUCTION
The introduction .provides .an opportunity ^ ^describe -the
grantee organization, the purpose .of -the-.(23E 9nd the.-soope of ,the
evaluation. A reader -.should .be ^able -.to .understand the whole CME
program by reading the introduction .to .any .individual jCME .report.
The description of the .grantee -must .be ..in sufficient detail for a
reader to compare the particular grantee being evaluated with other
grantees. As such, the description must include .all pertinent items
regarding the grantee, -including the :population served by the project,
the physical layout of treatment plant, the type of management
system utilized, the number of contracts as well as the dollar
value of each.and the project status at the time .of the CME.
C. GRANT MANAGEMENT
This part of the report can generally be divided into four
sections: project record control, .accounting system, grant
requirements, and recommendations. In some cases a separate
section on .procurement procedures may be desirable.
The section on grant requirements may be set up in a tabulated
fashion. All the grant requirements that are checked should be
discussed in the tabulation. If the grantee failed to meet any of
these requirements or if there is a strong possibility the grantee
will be unable to meet requirements in the future, then this fact
and the problem behind it should be discussed in this portion of
the CME report.
V-l
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The recommendations section is intended to benefit and provide
guidance to the grantee. The recommendations nust be specific,
detailed, and tailored to the needs of the individual grantee. If
the recommendations are acted upon by the grantee, they should
remedy problems that the grantee,may be having with grant
management. Recommendations will be viewed as advice while the
ACTION ITEMS part of the CME report will be viewed as a mandate.
D. CONSTRUCTION MANAGEMENT
This part of the report is best separated into three sections:
construction management, construction review, and recommendations.
The construction management section may be divided into
subsections such as change orders, progress payments, progress
schedules and the like. Each of the subsections will summarize the
team findings with respect to,that area and list any deficiencies
noted. These subsections should not be cluttered with unnecessary
detail. They need to be short and to the point, but still detailed
enought to allow a reader to find the grantee's strengths or
weaknesses in a given area.
The construction review section should give a brief.
description as the the quality of work being performed. If any
problems were observed with respect to the quality of construction
. work, then the team engineer should note these. When such a
situation occurs, the team leader should include extra
documentation in a separate appendix and provide greater detail
than usual for this section.
The recommendations section should be designed in the same way
as the grant management part of the report.
E. ACTION ITEMS
1 This probably is the most important part of the written CME
report. It outlines actions to be taken, which if followed, will
correct deficiencies noted as a result of the CME. The action
items should be divided into three distinct sections.
The first section will include, all action items required of
the grantee, and will be divided into two subsections: (1) those
actions which the grantee must personally implement, arid (2) those
actions which the grantee will have consultants or contractors
implement. An example of the former would be a change in the
grantee's accounting system. An example of the latter would be
requiring the contractor to update or revise a construction
schedule.
V-2
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The second section will include all Agency action items which
must be taken by the State Environmental Agencies. An example of
such an item would be the same as any Regional EPA action item
where the State had received delegation in the area.
The third section will include all action items which need to
be taken by the Regional EPA Office. An example might be a
requirement for an adjustment in progress payments.
F. CONCLUSION
The conclusion is a short final statement with respect to the
project as a whole. It should state a conclusion as to the overall
quality of the grantee's management. The team leader should be
given discretion in deciding what should be included in this
section.
V-3
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APPENDIX A
GRANTEE NOTIFICATION PACKAGE
FOR
CONSTRUCTION MANAGEMENT EVALUATIONS
The itans listed below make up the notification package to the
qrantee. Samples of these documents are included as a part of this
Ippendix. *Key should be tailored to each individual ^antee and sent
tothe grantee at least two weeks prior to the scheduled date of the
CME.
Sample Grantee Notification Letter A-2
Schedule for Review and Briefings A-3
Outline of Construction Management Evaluation Revis*
Topics
nts and Facilities Required from Grantee A-5
Outline of Entry Briefing at Grantee's Office A-6
Outline of Exit Briefing at Grantee's Office A-7
A-l
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SAMPLE GRANTEE NOTIFICATION LETTER
(Address)
Dear —
This is to confirm that there will be a Construction Management
Evaluation (CME) of your construction grant project from (date) to
(date) inclusive.
The. following enclosures have been attached to assist in- your .
preparation for the field'visit:
Schedule for Review and Briefings
Outline of CME review topics
Outline of Entry Briefing at Grantee's Office
Docurnents and Facilities Required from Grantee
Outline of Exit Briefing at Grantee's Office
The primary purpose of the visit is to provide an overview of the
management of the construction phase of the construction grants program.
It should be emphasized that this project has been selected because it
is part of a sampling of projects representing a cross-section of the
construction grants program. No suggestion of improprieties can be
inferred from its selection.
Your assistance in providing access to project documentation and
working space for the Review Team will be appreciated. It is
anticipated that Team Members will require consultation with your staff,
your A/E's field personnel and construction contractor
personnel. These interviews will be scheduled during the Entry
Briefing. Your cooperation during the field visit will be appreciated
and the Review Team has been instructed to respect your normal working
schedule insofar as possible.
Questions should be directed to (name), Project Officer, at
(telephone number).
Sincerely,
(signature)
A-2
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SCHEDULE FOR REVIEW AND BRIEFINGS
(Day and date)
10:00 AM - Entry Briefing with Grantee at Grantee's Of-fiee
1:00 EM - Escort of Team by Grantee, Orientation Tour of
Gcnstructioh Sites, Storage Site(s), Work Spaces,
Introduction/Arrangenehts with Conferences
(Day and date)
8:00 AM - Team Members Begin Concentrated Effort on Assigned
Areas
(Day and date through Day and date) .
8:00 AM - Team Members Work on Assigned Areas
(Day and date)
8:00 AM - Team Members final Preparation for Exit Briefing
(Day and date)
9:00 AM - Exit Briefing with Grantee
PM - Team Travel
A-3
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OUTLINE OF CONSTRUCTION MANAGEMENT EVALUATION REVIEW TOPICS
1. Grant Management
a. Grantee Organization
b. Procurement System
c. User Charge/Industrial Cost Recovery
d. Property Control System
e. Local Share Funding
f. Record-keeping System
g. Facility Plan
h. Claims
2. Construction Monitoring1
a. Preliminary Work
b. Work Quality Assurance (Summary)
c. Resident Engineer and Inspector Organization
d. Contractor Organization
e. Work Performance
3. Construction Records
a. Plans and Specifications
b. Shop Drawings
c. Construction Schedule
d. Correspondence Control
e. Pay Estimates Documentation
f. Inspection Reports
g. Change Orders
h. Material Testing Documentation
i. Davis-Bacon, Copeland, EEO
j. Other
A-4
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DOCUMENTS AND FACILITIES REQUIRED FRCM GRANTEE
1. Documents to be Furnished by Grantee
a. Contract Drawings
b. Specifications
c. Change Order File
d. Claims File
e. Payment File
f. A/E Contract (s)
g. Construction Contract(s)
h. Grant Agreement(s)
i. Organization Chart with Telephone Numbers
j. A/E and Contractor Organization Charts with Telephone Numbers
k. Project Schedule
1. Resident Engineer (s) Reports
m. Shop Drawings
n. Correspondence File
o. Records of Testing
p. Payroll Records
q. Permits and Certificates
r. Operation and Maintenance Manual (if prepared)
s. Shop Drawings
2. Team Facilities Required
a. Work space in A/E site office(s) accessible to field files
b. Work space in Grantee's office accessible to Grantee files
A-5
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ENTRY BRIEFING WITH
Grantee's Office
A. Attendees
Grantee - Chief Executive
Principal Staff Engineer
Principal Staff Financial Representatives
Other (Grantee option)
A/E - Project Manager
Project Resident Engineer
' Chief Inspector
Other (Grantee option)
Contractor - Construction Superintendent
R.O. - Project Officer (if not delegated)
State - Project Officer (where delegated)
CME Team
B. tentative Agenda
CME Team Leader - Introduction /Purpose/Objective, Schedules
- Team Member
Grantee - Discuss the follxwing:
0 Description of Construction Inspection and
Supervision Arrangements
0 Briefing of Institutional Arrangements,
Statutory Authority, Regional Agreements
« Overview of Project Status, Financing,
0 Designate Grantee Principal Contacts, Work
Spaces
C. Grantee Escort of Team on Orientation Tour, PM
- Construction Site(s)
- Storage Site(s), stockpiles, and Off-site
Plants
- Field offices
- Other
A-6
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EXIT BRIEFING WITH GRANTEE
Grantee's Office
A. Attendees
Same as Entry Briefing, Except:
- Minus Construction Superintendent
B. Tentative Agenda
CME Team leader - Highlights of Favorable Findings
- Highlights of Unfavorable Findings
— Reocnmendations
- Probable Thrust of Final Report
Grantee - Observation on Exit Briefing
- Conments, Questions, Discussion of any findings
or observations of the review team
A-7
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APPENDIX B
TYPICAL REPORT OUTLINE
PART I Introduction
A. Purpose
B. Scope
C. Grantee
1. Organization
2. Construction Grant
3. Construction Project
PART II Grant Management
A. Record Control
1. Project Filing System
2. Manner of Organization
B. Procurement Procedures
1. Engineering Services
a. Maximum Open Technical Competition
b. Types of Contracts
(1) Cost of Percentage of-cost
(2) Peroentage-of-construction-costs
(3) Cost Reimbursement
(4) Fixed Price
(5) Per Diem
c. Responsible Engineer Capable of Performing
d. Contract Clearly Defining Scope of Service
e. EPA Transition Policy - Appendix D
(1) Prior to July I, 1975 - Existing contracts
(2) July 1, 1975 to December 17, 1975 -
Negotiated on current cost and pricing data
(3) After December 17, 1975 - Provision of
40 CFR 35-937 Subagreemsnts for A/E services
(4) December 17, 1975 - February 1, 1976 - RA can
excuse announcement and selection procedures
f. Access to Records, Appendix D, required after
July 1, 1975.
B-l
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2. Construction Contracts
a. Competitive Bidding w/Public Notice and
Adequate Time
b. Type of Contract
(1) Lump sum
(2) Unit price
(3) Combination
c. Bidding Documents
(1) Statement of work
(2) Terms and Conditions of Contract
(3) Explanation of Method of Bidding
(4) Bid Evaluation Requirement and Criteria
(5) Sealed Bids
d. Lowest Responsive, Responsible Bidder
e. EPA Approval
f. Eligible/Ineligible Items
C. Cost Accounting Systems
D. Grant Requirements
1. User Charge -35.925-11 and 35.935-13
a. Status
(1) Evidence of Timely Development - 50 percent
Grant Payment
(2) System Approval - 80 percent Grant Payment
2. Industrial Cost Recovery (ICR) - 35.925-11 and
35.935-15
a. Status
(1) Class deviation at 45 FR 81576,
December 11, 1980, eliminates all industrial
cost recovery requirements back to
December 27, 1977.
(2) ICR payments due to EPA prior to
December 27, 1977, on grants awarded after
March 1, 1973, are still required.
3. Sewer Use Ordinance 35.927-4 and 35.935-6
a. Status
(1) Ordinance Approval - 80 percent Grant Payment
4. Sewer System Evaluation and Rehabilitation 35.927-5
and 35.935-16
B-2
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a. Status
(1) Compliance with Rehabilitation Program
80 percent Grant Payment
5. Operation and Maintenance Manual 35.935-12
a. Status
(1) Draft or Timely Development - 50 percent
Grant Payment
(2) Manual Approval - 90 percent Grant Payment
E. Recommendations
1. Listing of Specific Recommendations
2. Recommendations Should be Impersonal
PART III Construction Management
A. Construction Records - Overall Statement
1. Plans and Specifications
a. Comprehensiveness of Review
b. Plans - Some significant Points
(1) Site layout Compared to Tour of Site
(2) Wastewater & Sludge Flow Diagram
(3) Hydraulic Profile
(4) Structures Compared to Site Layout
(5) Process Equipment
e. Specifications - some Significant Points
(1) Liquidated Damages
(2) As-built Drawings
(3> Time of Completions
(4) Construction Schedule
(5) Contract Price Breakdown
(6) Payment estimates
(7) Change Orders
2. Construction Schedule
a. Types of Schedules
b. Primary Concern - On Schedule or Not?
c. Secondary Concern - Will Construction Remain on
Schedule?
d. Indicators of Future Trouble
(1) Construction Schedule Has Not been Updated
Recently
B-3
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(2) Little Evidence of Contractor's Advance
Planning
(3) Shop Drawing Suhmittal Is Slow
(4) Numerous Scheduling Conflicts
e. Reason for Slow Construction Progress
(1) Poor Bidding
(2) Poor Planning
(3) Acts of God
(4) Financial Expedience
f. Behind Schedule Actions
(1) Warning Notice to Contractor
(2) Requirement for Interim Make-up Schedule
(3) Liquidated Damages Reminder
g. Consequences of Ignoring Construction Schedule
3. Payment Estimates
a. Method of Preparation
(1) Submitted by Contractor to Resident Engineer
(2) Reviewed and Adjusted by Resident Engineer
(3) Negotiated with Contractor
(4) Estimate Certified by Resident Engineer
(5) Estimate Submitted to Grantee
b. Documentation Required
(1) Unit Price Contract
(2) Lump Sum Contract
(a) Contractor's Breakdown
(b) Resident Engineer Quantity Records
(c) Stored Material Records
4. Change Orders
a. Reviewed Individually
(1) Type of Change Order
(a) Unit Price Previously Agreed
(b) Unit Price Negotiated
(c) Agreed Lump Sum
(d) Cost Reimbursement
(2) Purpose
(3) Justification of Need
b. Management Elements
(1) Independent Engineering Cost Estimate
(a) Prepared by Consulting Engineer
(b) Reasonably Accurate Estimate of
Quantities
(c) Detailed Cost and Pricing Data
(d) Published Estimating Handbook
(e) Informal Local Quotations
(f) Advice from Experts
(2) Summary of Negotiations
(a) Basis for Independent Estimate
B-4
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(b) Basis for Contractor's Estimate
(c) Steps Taken to Review
(d) Explanation of Differences
(e) Adequacy of Estimate
(f) Results of Price Negotiation
(g) Basis for Method of Payment
(3) Time Extension
(a) Approvable for Extra Work Impacting
Critical Path
(b) Not Approval for Float Time Elements
(c) Documentation Required
i. Independent Cost Estimates
ii. Summary of Negotiations
iii. Justification for Time Extension
5. Shop Drawings
a. Process Review
(1) Delivery
(2) Control
(3) Checking
(4) Approval
b. Process Delays
(1) Submittal-Indicative of Poor Schedule
(2) Grantee Review - Basis for Extension of Time
Claim
6. As-Built Drawings
a. Engineering Agreement Requirements
b. Specification Requirements
c. Preparation
(1) What to Look For
(a) Currently Posted
(b) Sufficiently Detailed
(c) Contained in a Bound Set
(2) How to Evaluate Sufficiency
(a) Difficult
(b) Compliance with Specifications Provision
(c) Outside Underground Piping
7. Inspection Reports
a. Form
b. Detail
(1) Weather
(2) Work Performed
(3) Material Used
(4) Work Crew
c. Remarks
d. Quantities for Payment Estimate Documentation
B-5
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8. Material Testing and Certificates
a. Specification Requirements
(1) Soils
(2) Concrete
(3) Reinforcing Steel
(4) Pipe
(a) Concrete
(b) Steel
(c) Cast Iron
(5) Other Material
9. Labor Requirements
a. Davis-Bacon Act
b. Ccpeland Act
c. EGO
d. OSHA
B. Construction Work - Overall Statement
1. Inspection Organization
2. Contractor's Organization
3. Work Performance
C. Recomendations
1. Listing of specific Reccmmendations
2. Recormsndation should be Impersonal
PART IV Action Items
A. Grantee
B. State
C. Regional Office
B-6
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APPENDIX C
FINANCIAL MANAGEMENT CHECKLIST
for
CONSTRUCTION MANAGEMENT EVALUATION
A. General Project Information
1. Region
2. Grant Number
3. State
4. Review Date
5. Name of Grantee
6. Office Address
7. Mailing Address
8. Telephone
9. Chief Executive (Name & Title)
10. Designated Contact (Name & Title)
11. Jurisdiction
12. Project Location
13. Project Description
B. Grantee's Management Organization
1. Type of Organization
2. Authority for Establishment
3. When Established
4. Description of Service Area; Communities Served;
Service Responsibilities
5. Description of Ruling Body
6. Appointing Authority
7. Terms of Appointment
8. Principal Manager
a. Title
b. Name
c. Areas and Limit of Responsibility and
Authority
9. Principal Financial Manager
a. Title
b. Name
c. Areas and Limit of Responsibility and
Authority
10. Principal Engineering Manager
a. Title
b. Name
c. Areas and Limit of Responsibility and
Authority
C-l
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11. Principal Legal Counsel
a. Title
b. Name
c. Areas and Limit of Responsibility and
Authority
12. Organizational Chart
13. Principal Wastewater Facilities
14. Principal Regional Agreements
a. Community
b. Basis/term
c. Special Agreements
(1) Federal/State
(2) Industry
(3) Intermunicipal
15. Bonding of employees
C. Procurement System
1. A/E Services
a. Procurement policies and procedures
b. Types of contract
c. Sub-contract procurement
d. Sub-contract advance approval
e. Review of contracts
2. Construction Contracts
a. Procurement policies and procedures
b. Standard grant clauses
c. Time for completion/penalties
d. Review of contracts
e. Exclusionary or Restrictive Bidding
Requirements
D. User Charges, Industrial Cost Recovery
1. Authority for Imposing Service Charges
2. Rate Schedules-Surcharges
3. Special Service Agreements
4. Industry Service Agreements
5. Cost Recovery Provisions P.L. 92-500
a. Current Involvement
b. Current Status
c. Agreements-Basis
d. Remaining Actions
6. Sewer Use Ordinance
a. Legal status/adequacy
b. Monitoring-Enforcement
c. Industry Pretreatment-Prohibitions
C-2
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d. Inflow Connections Portion
e. Plumbing Ordinance Compatibility
7. Infiltration/Inflow
a. Analysis
b. Survey
c. Rehabilitation
E. Property Control System
1. Acquisition System
a. Easements
b. Titled Property
2. Right of Eminent Domain
3. Appraisals
4. Negotiations
5. Where Filed
6. Copies of Deeds Available
7. Property Insurance, Types, Amounts
8. Flood Hazard Insurance
9. Property Reporting to EPA R.O.
F. Local Share Funding
1. Bond Issues
a. Bond Counsel
b. A/E for Engineering Report
c. Marketing Method-Experience
d. Current Issues, G.O.? Rev.?
e. Coverage
f. Trustees-Trust Agreements
g. Repositories
h. Investments
i. Debt Service Schedule
j. Special Funds
2. Short-term Financing
a. Purpose
b. Terms-Source
c. Special Funds
3. Synopsis of All Special Funds
a. Purposes
b. Restrictions
c. Transfers
4. Annual Budget
a. Operations Section
b. Debt Service Section
c. Other
C-3
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5. Annual Financial Report
6. Audit
a. Auditor
b. Frequency
c. Basis
d. Report
7. User Charge System/ICR
8. Sewer Ordinance
G. Record Keeping System
1. Project Files
a. Grant Agreement/Amendments
(1) Step 1
(2) Step 2
(3) Step 3
b. Bidding File
(1) Advertisement
(2)- Tabulations
(3) State/Federal Approvals
c. Acceptance-Notice to Proceed
d. Contracts-Bonds-Insurance
e. Construction Schedule
f. Construction Correspondence Control
g. Periodic Payment Estimates
(1) Ample Backup of Costs of Work
Accomplished
(2) Retentions
(3) Payment Records
h. Change Orders
(1) Backup of Cost Produced
(a) Change Notice
(b) Change Estimate
(c) Authorizations
(d) Regional Actions
(e) Cost plus percent-of-cost
i. Direct Purchase
j. Force Account By Grantee
k. Other Charges to Project
1. Track of EPA Payment
m. Prompt Transmittal/Filing-shop Drawings, etc,
n. Wage Rates - Furnished and Checked
o. EEO
2. Cost Accounting System
a. Audit Trail - cost track to project file
b. Identifiable eligible/ineligible cost
C-4
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c. Identifiable allowable/unallowable cost
d.. Identifiable direct/indirect cost
e. Payments made-Retentions-Promptness
f. Grant Payments received
g. Direct Purchases
h. Controls
i. Etc.
C-5
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APPENDIX D
CONSTRUCTION CHECKLIST
for
CONSTRUCTION MANAGEMENT EVALUATION
A. General Project Information
1. Region
2. Grant Number
3. State
4. Review Date
5. Name of Grantee
6. Office Address
7. Mailing Address
8. Telephone
9. Chief Executive (name & title)
10. Designated Contact (name & title)
11. Jurisdiction
12. Project Location
13. Project Description
B. General Construction Information
1. Principal Inspection Manager
a. Title
b. Name
c. Areas and Limit of Responsibility and
Authority
d. Telephone
2. Inspection Staff
a. Duties
b. Names
c. Areas and Limits of Responsibility and
Authority
3. General Contractor Site Representative
a. Title
b. Name
c. Areas and Limit of Responsibility and
Authority
d. Telephone
D-l
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C. Plans Specifications and Contracts
The engineer will first thoroughly study the plans
and specifications to familiarize himself with the
project and to arrive at an understanding of the
responsibilities and duties of the contractor.
The engineer will study the A/E contract to
develop a clear understanding of the responsibilities
of the owner, the A/E and the contractor. The
relationship and authority of the three principal
parties must be clearly understood by the engineer.
D. Conformance with Plans and Specifications
The engineer shall visit the construction site and
physically inspect both the completed work and the work
in progress. The following points will be emphasized:
1. Does the contractor appear to be well organized
and efficiently pursuing the work?
2. Does the resident inspector exhibit technical
competency, initiative; is he well organized and
observant?
3. Is stockpiling of materials adequately protected,
properly inventoried and readily accessible?
4. Does the quality of materials, both stockpiled and
in-place meet appropriate standards?
5. Has the work in place been properly executed and
is it visually acceptable?
6. Are health and safety measures adequate?
7. Is testing of materials being accomplished as
required by the contract documents? .3
8. Treatment levels maintained during construction?
9. Are there procedures for properly controlling
measured quantities?
10. Are the batch plants and manufacturing plants
producing products which meet the specifications
and are there proper control procedures?
11. Is the overall construction in conformity with the
plans and specifications?
E. Resident Engineer and Inspector Organization
1. Name
2. Employer
3. Apparent qualifications
4. Staff
5. Procedures
6. Attendance at site
D-2
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7. Change order control
8. Schedule control
9. P.E. opinion of contract drawings and
specifications
10. Degree of dedication to project
11. Procedures for notifications to contractor
12. Relationship with Design Engineer
13. Authority (documented, to "act for" grantee,
limitations, etc.) .
14. Contractor-Engineer relations (friendly, fair,
firm, businesslike and cooperative)
15. Inspector(s) personally knowledgeable, good
judgment, responsible)
16. Plans and Specifications (reference set,
marked-upf amendments, changes)
17. Progress Schedules (changes, slippages)
18. As-built drawings (set kept current for record)
19. Inspectors guidance (formal)
F. Contractor Organization
1. Name and Qualifications .
2. Equipment (appear adequate in number and size for
schedule and/or safety) .
3. Personnel (sufficient for safe and efficient
prosecution of the work) .
4 Supervisory personnel (organizational ability)
5 Field Office and Shops (well placed, without
safety or health hazard, adequately sized)
6. Storage area (well organized, protected)
G. Work Performance
c
1. Work in place (properly executed)
a. Site
E (1) Appearance
(2) Safety - security
rft (3) Project Sign
(4) Materials Storage
(5) Dewatering - Drainage
b. Foundation Work
(1) Dewatering - Shoring
(2) Piling
(3) Material Consolidation
c. Concrete
(1) Appearance
(2) Samples
(3) Condition of Reinforced Steel - Steel
Location
D-3
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(4) Formwork - Bracing
(5) Curing Procedures
(6) Inserts
(7) Expansion Joints - Waterstops
(8) Contiguous Pours
d. Structures
(1) Masonary
(2) Steel Frame
(3) Substitutions
(4) Roofing
e. Mechanical
(1) Conformance
(2) Condition
(3) Installation
(4) Protection
f. Electrical
(1) Conformance
(2) Condition
(3) Installation
(4) Protection
g. Pipelines
(1) Materials
(2) Installation
(3) Testing
2. Safety (personnel, equipment and site)
3. Site drainage (adequate)
4. Dust control (maintenance of roads, stripped
areas)
5. Erosion protection (in place and planned).
D-4
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APPENDIX E
CONSTRUCTION RECORDS CHECKLIST
for
CONSTRUCTION MANAGEMENT EVALUATION
A. General Project Information
1. Region
2. Grant number
3. State
4. Review date
5. Name of grantee
6. Office address
7. Mailing address
8. Telephone
9. Chief executive (name & title)
10. Designated contact (name & title)
11. Jurisdiction
12. Project location
13. Project description
14. Reviewer
B. General Construction Information
1. Principal inspection manager
a. Title
b. Name
c. Area and limit of responsibility and
authority
d. Telephone
2. Inspection staff
a. Duties
b. Names
c. Areas and limits of responsibility and
authority
3. General contractor site representative
a. Title .
b. Name
c. Areas and limit of responsibility and
authority
d. Telephone
E-l
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C. Resident Engineer and/or Inspector Information
1. Employer
2. First arrived at project
3. Work hours
a. Normal
b. Authority to Work Overtime
4. Communications
a. To Employer
b. On-Site
5. Inspection equipment furnished
6. Office security
a. Method
b. Evidence of tampering
7. Inspector's library
a. On-site office
b. Manuals
D. Working Papers
1. Contract drawings and specifications
a. Does inspector have approved set?
b. Is superintendent working from approved set?
c. Are changes being kept current by both
parties?
d. Are they supported by working sketches?
(1) Source
(2) Completeness
(3) Admini stration
e. Do subcontractors have sufficient sets?
f. Are all contractors obligated to furnish
as-built drawings?
(1) In what form?
(2) If not, who furnished?
2. Shop Drawings
a. Delivery procedure
b. Storage and filing system
c. Approval system
(1) Who has responsibility?
(2) Mechanism
(3) Turn-around time
(4) Substitutions
(5) Log
(6) Ahead of deliveries?
3. Construction Schedule
a. Is one required?
b. Who prepares?
c. Format
d. Date furnished
e. Conforms to specified completion?
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f. Obvious conflicts
g. Who updates?
h. Agrees with partial payment request?
i. Up to date?
j. Reaction to delays
(1) Inspector's actions
(2) Superintendent's actions
(3) Current status
k. Reflects stop orders, approved delays?
4. Requests for Partial Payments
a. Frequency
b. Who prepares and verifies
c. Format
d. Treatment of work in process
e. Allowance for materials on site
(1) Protection requirements
(2) Determining value
f. Subtrade documentation
h. Treatment of specifically manufactured items
5. Force Account Records
a. Force account used on what elements of
project?
b. Is RA preapproval documented?
c. Format
d. How are quantities kept and verified?
(1) Labor
(2) Materials
(3) Overhead
6. Correspondence .
a. What level of correspondence can be initiated
by project engineer for construction?
b. With grantee
c. With utilities
d. With general contractor
(1) Reasons
(2) Actions ordered
(3) Control procedures
(4) Stop work orders
(5) Other
7. Current Deficiencies
a. Immediate action items
b. Preliminary punch list
(I) Is one being created?
(2) Mechanism for adding an item
(3) Is it current?
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8. Spare Parts Inventory
a. Are spare parts required?
b. Is inventory being created?
c. Who prepares?
d. Is it current?
e. Does it conform to specifications?
E. Job Records
1. Inspector's Daily Reports
a. Is set complete to date?
b. Do assistants have separate reports?
c. Format
(1) Complete heading
(2) Record of construction activity
(3) Record of quantities
(4) Special instructions
(5) Basis for change orders
(6) Remarks on progress
(7) On-site tests
(8) Demonstrate methods of quantity control
and measurements?
d. Correlates with partial payment request
e. Stop work orders
2. Diaries
a. Are they kept?
b. Can we inspect?
c. Do they record measured quantities?
3. Change Orders
a. Number
b. Total value
c. Is negotiation complete prior to initiation
of change work?
d. Procedures for change order over $100,000
e. Amount by trades
(1) Total each trade
(2) Relationship to subbids
f. Format'
g. Specification basis
h. Completness of documentation
i. Procedures for creation
j. Appropriateness for costing method
k. Reflection of quality of contract drawings
and specifications
-(1) Interpretation of justification for
each?
(2) Is value realistic?
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(3) Is there a contract provision for
unilateral ordering of changes?
(4) Quality of A/E documents
1. Or-equal violations
m. Minor changes trade-off file
(1) Is there one?
(2) Is it formal/informal?
(3) Are trades consistent?
(4) Are trades shown on as-built drawings?
4. Records of Tests
a. Requirements clauses in A/E contract and/or
specifications?
b. List from specifications
c. Conformance to schedule
d. Who pays for testing?
e. Names of testing laboratories/certification
procedures
(1) Soils
(2) Concrete
(3) Pipe
(4) Rebars
(5) Welds
(6) Paint
(7) Other
f. Test results indicate need to inspect
manufacturing plants?
g. Authority to reject materials
(1) Source
(2) Record of actions
(3) Frequency of rejections
5. Operation and Maintenance Requirements
a. Do manufacturer's manuals arrive at same time
as equipment?
b. Are manufacturer's respresentatives available
during installation?
c. Is a draft of O&M Manual available at site
(note percent completion of project)?
d. Operator input to draft O&M Manual
(1) Reommendations
(2) Inventory
(3) Contacts with suppliers
6. Plant Operator Information
a. Has he/she/they been hired (note percent
completion of project)?
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b. License
(1) State/local requirement?
(2) Grade
(3) Training in lieu of license
c. Does operator have conflicting duties?
d. Accountability for operator's time
e. Reporting responsibility
f. Staffing conform to staffing plan?
F. Documentation
1. Certificates
a. Mill
b. Pipe
c. Guarantees register
d. Other
2. Davis-Bacon and Wage Hour Law Requirements
a. Secretary's determination
(1) Posted
(2) Correct rates
3. EEO Notice Posted?
a. Weekly payrolls
(1) Copies delivered
(2) Conform to inspector's reports
(3) Correct rates
(4) Complaints about wage payments
4. Emergency Procedures
a. Are signs posted?
(1) Electric
(2) Flammable
(3) Ventilation
(4) Dangerous liquids
(5) Emergency showers
(6) First aid equipment
(7) Firefighting equipment
(8) Breathing equipment
(9) Chlorine tank repair equipment
b. Telephone numbers posted?
(1) Fire Department
(2) Police
(3) Utilities
(4) Grantee
(5) A/E
(6) Contractor nights/weekends
(7) Other
c. OSHA Regulations
(1) Available on site
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(2) Accident records
(3) OSHA inspector comments
5. Permits
a. Building
b. Trades
(1) Electrical
(2) Plumbing
c. Corps of Engineers
: (1) Waterways
(2) PL 92-500, Section 404
d. State requirements
6. Delivery Documents
a. Concrete truck slips
b. Copies of invoices
c. Systematic filing
d. Verification system
e. Delivery control
G. Remarks
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