“We hope to improve the relationship between the city and contractors by implementing RICS’s new project information standards that better serve both parties; promote a fair, transactional relationship, and create a level playing field among bidders,” said David Resnick. “Simon has been instrumental in adapting RICS’ quantity surveying method for use in New York, and we are pleased to say we are already piloting the system on the Pike Street Yards and Remsen Avenue projects for the Department of Environmental Protection.”
RICS, which has successfully implemented similar construction bidding practices in many countries, has created a system for DDC in New York City that requires a project owner to provide measured material quantities to bidders. Releasing the precise quantities ensures that all bidding contractors have the same information and therefore a fair chance to win the contract. More importantly, the quantity surveying system develops a stronger project team where the DDC shares risk with bidders. As RICS Americas gears up for expansion in the Americas and Caribbean, the organization will utilize its international expertise to become more involved in setting real estate and construction-related standards in the U.S., Canada, and the Caribbean.
A document of standards and measurements, created by the Canadian Institute of Quantity Surveyors, provides suggested material quantities. Bidders price the quantities in the schedule based on the document’s guidelines, taking into consideration project drawings and specifications as well as contracting costs. In the end, a lump-sum bid and construction schedule are submitted, including a defined mechanism for change management and quantity correction should unknown conditions arise, which will reduce claims. DDC projects in New York City will be awarded to the lowest, responsible bidder.
“We have had great success with the defined quantity measurement system,” said Simon Taylor, spokesperson for RICS Americas. “RICS’s quantity surveying system is widely used in other parts of the world because it provides consistency, completeness and fairness. It also promotes sound practices in achieving high-quality buildings. This is a win/win for contractors and the City of New York.”
RICS (Royal Institution of Chartered Surveyors), with headquarters in London, is the largest organization for professionals in property, land, construction, and related environmental issues worldwide. We promote best practice, regulation, and consumer protection to businesses and the public. Over 131,000 members in more than 125 countries operate across 17 disciplines, from development, brokerage, and construction to environmental issues, valuation, and fine arts appraisal. RICS is the preeminent source of real estate-related knowledge, providing independent, impartial advice to governments and global organizations. Access their website at www.rics.org. The RICS credentials — MRICS and FRICS — are granted to practitioners who demonstrate professional competence and the highest standards of business practice and ethics through stringent evaluation procedures. RICS Americas, based in New York and covering North, Central, and South America and the Caribbean, has over 2,500 members in commercial and residential development, ownership, construction management, brokerage, planning, engineering, and finance. Access their website at www.rics.org/americas. For further information, please email RICS Americas at ricsamericas@rics.org.
The NYC Department of Design and Construction was created in October 1995 by Local Law 77, which authorized it to assume responsibility for certain construction projects formerly performed by the Departments of Transportation, Environmental Protection, and General Services (now Citywide Administrative Services). The Department delivers the City's construction projects in an expeditious, cost-effective manner, while maintaining the highest degree of architectural, engineering, and construction quality. The Department uses in-house resources, private consultants, and contractors to perform design and construction services related to streets and highways, sewers, water mains, correctional and court facilities; cultural institutions; libraries; schools; and other public buildings, facilities and structures. The Department coordinates a wide variety of construction projects with utilities, community representatives, and private industry, thus minimizing the disruption to individual neighborhoods as well as reducing the costs associated with such projects.
