The building process is basically a management exercise to navigate through many layers of roadblocks. Red tape & bureaucracy from start to finish of any project. Then you start to get ahead of steam up and then some bright spark decides to change something in the process and this creates a ripple effect that causes challenges down the line again and again.
The design and building components of the processes on everyone doing their job at the right time and assuming that everything runs to plan. So you have a huge number of stakeholders interested in the project that could cause a speed bump at any time.
When things run right in the building industry – It is a beautiful thing.
But then there are those times it does not.
The process of building can be broken into a number of processes and then a number of sub-layers below. But you start the process off with a concept then you develop that concept, you then create a cost plan to ensure you can afford said design. Then you develop that design and get all required approvals, and normally at that point, you would then send the design out to the market and get builders to price the project and then build the project. This summary is illustrated below in more detail:
Design & Building Process
Once you have an Occupation Certificate (OC) you can move in and start using the building.
In Australia, we have regulations under the NCC (BCA) called Part J. This section of the related to the energy efficiency of the building. Now that is a great start however more needs to be directed to the quality of finishes which have a direct cost on life span, and then there are the building systems. It is one thing to get approval for Occupation Certificate (OC) however what about the running costs of the building over time. These elements don’t show up at the building contract stage, but when using the building after the builder has long left the building and then pour quality building materials will come back to bite the client. What about the cost to maintain landscaping or a garden. What about the cost of heating and cooling? These ongoing costs in running the building can make those cost cuts at construction seem pretty insignificant in the big picture of the real cost of a building.
DesigN Construction PHASE Critical Path
FEASIBILITY AND CONCEPT BRIEF
STEP ONE
Depending on the needs of a client, normally the client would enlist the services of a design profession (architect or building designer) to lay down on paper a concept can be developed. Around this time when we have basic drawings – the services of a quantity surveyor may be commissioned for a cost plan or a D&C builder commissioned under an early engagement contract. Numbers are crunched – budget and funding ratified and if a design manager is commissioned buildability of the concept is reviewed. On a larger project over $25M – a good DM is pivotal to a great result during the construction phase and even more so the ongoing life span of a building.
DESIGN DEVELOPMENT
STEP TWO
The concept is constantly being developed with the help of key consultants such as town planners, civil engineers, etc. The town planning advice is crucial at this stage and you rely on their relationships and preferably local knowledge to be able to shape the concept drawings. On a project that has a change in use or first in the area – the town planner may request a “Pre DA” meeting with the council. But as a general rule I would advise this path more as a political strategy. A Pre-DA meeting is held at the council and it is a chance to engage the council town planner and building departments. In my experience, if you engage the council early you can get some very frank feedback and normally this strategy give them the time before the actual DA is submitted to mull the project over. At a DA these council employees are then less likely to have any shocks and thus process the project with a minimum of hassle. Everyone wins. The alternative without a Pre DA – the council employees are under time restraints due to acts of parliament and on more complex projects – roadblocks are more likely to arise.
Depending on the fact-finding exercise – the design consultants process on documenting reasonably coordinated documents for submission to the Council for DA. Australia is a big place and regionally the hoops you need to have to jump through and research can vary.
It should be noted – people’s power at DA stage comes into play… If you are dealing with a sensitive are culturally or community changes. Life can get pretty hard without the backing of the local “stop development community.” At the Pre DA – if there is a strong community presence, well you are going to do battle one way of the offer. The time when is up to the applicant. My advice – get the council to advise and do exactly what they suggest. – you don’t want a battle on two fronts…
Most sites these days need geo-technical and contaminant advise especially where any processing plant once stood. Parts of Central NSW you can come across NOA – naturally occurring asbestos. Then we have all types of fora & flora issues and ecological issues associated with the freshwater act. Aboriginal Artifacts, historic data, etc. Etc and etc….
Any applicant that takes this stage of the development at half measure – life can get pretty hard pretty quick.
DEVELOPMENT APPLICATION
STEP THREE
The DA process is pretty straight forward if you have done the right thing and done all your due diligence, you have commissioned the consultants to get the job done. – Right. Unfortunately, the answer is no. People’s power comes into play. Many communities are very steadfast to change and can create a long and costly process for both applicant and council. People are very subjective and sometimes you get a clean run that you don’t expect to get through. And another time you have nothing but pain for a development that ticks all the boxes.
Someone just does like the look or sound or whisper about nothing.
If you get local consultants you have a better chance not to rock the boat.
Below are are list of possible Consultants for DA:
- Architect
- Town planner
- Council Report – Bylaws
- Civil Engineer – Stormwater Management Plan
- BCA and /or Fire engineer
- Contaminant report
- Hazmat & Asbestos Report
- Geotechnics Report
- Environmental Impact Statement
- Flora & Fauna Reports
- Flood Report
- Traffic Report
The Development Application process generally follows the flow chart below:
Construction Certificate Drawings Approval
Drawings that are approved by a PCA are not "Constructions Drawings".
Construction Drawings
These are drawings that have been coordinated after CC and are fully documents. Once that happens and only when that happens - who is contractually responsible issues a stamped "ISSUED FOR CONSTRUCTION".
Construction Certificate (CC)
STEP FOUR
We have now a DA approval subject to that the design look does not change and the building now is fully documented for a private certifying authority (PCA) to review and confirm. So the DA drawings are a concept that complies with the council bylaws, The CC is a set of documents that satisfy all the NCC (BCA) requirements, these include the environment, energy efficiency, fire-resistant, the path of travel, etc. The PCA can now be either council or a private consultant that often gives Building Code advise and possibly even Part J advice as well. Today the external consultant has become the norm in the industry.
The design consultant now ratifies there design and coordinate all drawings and construction details, finishes schedules, door and window schedules, specifications and the like.
If your documents are up to scratch the process is normally fairly painless. The PCA normally shows up to a design meeting and gives direction to fast track the approval time.
CONstruction Drawings
STEP FIVE
Are drawings stamped with “ISSUED FOR CONSTRUCTION” – There always seems to be a confusion in the industry about CC and “Construction Drawings”? Yes – it is possible that CC approved drawings are adequate for construction, in theory, however, I would strongly suggest – “don’t kid yourself”.
I will draw down into what a proper set of construction drawings looks like in a later article however the easy test is simple. If you are constantly needing information from consultants to build, The documents are not coordinated, changes of finishes details in every direction to a point that a that you can easily find a detail you may looking forward, detailing is back referenced and there are NO ambiguities of any type. Then we have “Construction Drawings.” Simply put if you accept substandard documents, well you will have trouble. Answers to “Requests for Information” that we are charged at exorbitant rates and will fleece your profits.
One of my biggest pet peeves.
If this line in the sand is administered correctly – The “Stamped Construction Drawings” tell everyone that this is what we are building from this set of documents and if anyone changes the docs in any way from here – someone other than the builder will pay in the form of a variation.
If the builder is controlling the documentation – Well you are shit out of luck. No excuses.
Construction PHASE
STEP SIX
The Contract is now in full swing and the stamped “FOR CONSTRUCTION” has been issued. The contracts team executes the contract and constructs to the contract documents.
The contracts team is raising to beat their program. Generally, the two contract areas are practical completion and occupation certificate. Even though they are very similar in definition, it really depends on what a contract deems to be practical completion. This definition is normally a very important contract note at the start of the process. It also a trigger for money retention to be released plus the defects liability is also triggered at Practical Completion.
Practical completion normally kicks in first once the PCA is satisfied that the building meets all the required standards to all the standard against the CC. Now the Defect Liability Period also kicks in at this stage. Partial occupation of the client could also trigger practical completion.
But it is not until the building is completely safe for an occupation that an OC can be issued. Often the building can be staged and a partial OC can be issued however for OC can only be triggered once all areas are safe for human occupation.
Often there are frustration processes to get them built from PC to OC. Sometimes the Fire department has a large power at this stage. The fire department needs to sign off that the building is now fire safe. In the past, I have had situations that the fire department must see a PC certificate prior to booking a final inspection. This inspection then could take 2 to 4 weeks lead time. etc.
This is when OC may drag behind the PC due to red tape and procedure. We have all got to operate within the rules so this final process – even though stressful can test the best of us.
Please and thank you, is often the human side of things that all should remember.
Defects Liability (Maintenance Period) (DLP)
STEP SEVEN
As mentioned above practical completion is the trigger for retentions and also the start of the DLP, now at the end of that period which is normally 52 weeks of 26 weeks. Now retention money bonds and bank guarantees are also released back to the builder at this time. This then triggers the final warranty period of the building as per the contract agreement or the BCA or Australian Standards.
Certificate of Occupancy (OC)
STEP EIGHT
OK the DLP may or may not be running at this stage but for discussion, let’s assume that have reached practical completion (PC) and now we are finalizing some key components for the PCA to satisfy his or her that the building is fit for purpose. Fire department inspections and mandatory requirements all satisfied and OC. Let’s be idealistic and say the building gets built without a hitch. All inspections have been completed the building certified, the fire department approves the building is safe for occupancy. The PCA issues the “Certificate of Occupancy.” At this stage, the client can trade to the public, occupy the building and also can now sell the building if required.
Ongoing Maintenance
STEP NINE
After a building has hit the end of the DLP and is contractually released from there commitments. However, it should be noted that the client’s financial commitment to the building doesn’t stop at that stage due to “Ongoing Maintenance” for the “Life Cycle of the Building”.
The extent of this ongoing cost has a direct relationship to the choices made during design and finishes schedules. A good example would be the developer that just wants the building to look great as the sales point and sell the building off to the highest bidder and then walks away from any liability. The developer may choose cheaper products where an owner-occupier would invest more time and money into good quality selections that will not need much ongoing maintenance. The owner-occupier would be more interest in longer warranties of products.
But on the flip side – spending more money on “bling” doesn’t necessarily mean good quality.
After a new owner who has purchased a building of a developer may now inherit bad quality fixtures and fitting that look great but have a small life span. So his or her hers purchase of the new building may not be truly realized until the building maintenance, energy & running cost kicks hard to their pocket.
I am not picking on developers by the way (even though the white-collar developer has got some thing s to answer ) – just using them as an example – So what may be cheap at the start of the process may cost you twice as much over ten to twenty years. Imagine the replacement cost of an air conditioning system that dies two days after its warranty.
Then you have a client that wishes to set themselves up with an ecologically sound building that has good quality inclusions. Well, you will still have ongoing maintenance however the upkeep would be manageable with little to no surprises. In fact – good decisions at the start of a project could actually save you money with energy efficiencies, running cost and possibly carbon and energy sell back to grid schemes, etc. A fully sustainable building is not science fiction anymore it is morally and financially responsible especially when you consider rising energy costs, water consumption, etc.
Try to educate everyone you can – as when enough people demand good quality buildings, Mr developer has only got one direction to go.
Generally, I would hope that in our careers we can figure out to do no harm to our planet.
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Tender Process – Click Here