Protecting Design-Build Owners Through Design Liability Coverage, Independent Construction Managers, and Quality Control Procedures

Because the domestic economic downturn of the late 1990s restricted the ability of many state departments of transportation (SDOTs) to provide needed highway infrastructure improvements, the SDOTs had to improve the cost effectiveness of their highway construction programs in order to accomplish their goals. They sought to exploit the state of the art construction knowledge and technology to run more efficient programs. Of the many alternative procurement techniques available, one of the most promising is "design-build", a project delivery system in which a project owner contracts directly with a single entity that assumes complete responsibility for both project design and construction. This paper will explain the design-build system and some of its advantages that make it an attractive option to project owners. Specific concerns for potential design-build projects can be: design insurance coverage gaps; project quality; and unfair change orders due to an inability to effective monitor contractor performance. The paper suggests the following three ways in which potential project owners can guard against the above problems: by selecting an appropriate design liability coverage option, securing an independent construction manager, and establishing quality control programs, project owners can fully enjoy the many benefits of the design-build procurement model.


  • English

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  • Accession Number: 01003700
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Sep 1 2005 7:57AM