Closing Out a Project

8/3/2019 Closing Out a Project

1/24

CLOSING OUTCLOSING OUT

A PROJECTA PROJECTPresented by Mike Wilkinson,Nancy Phelps and Lisa Rose

Guest appearance by Jane VanDerzee


2/24

Project CloseProject Close--Out at the Construction SiteOut at the Construction Site(Mike Wilkinson)(Mike Wilkinson)

Contract CloseContract Close--Out & Final PaymentOut & Final Payment(Nancy Phelps)(Nancy Phelps)

Capital Project Account ClosureCapital Project Account Closure(Lisa Rose)(Lisa Rose)

ArchivingArchiving

(Jane VanDerzee)(Jane VanDerzee)


3/24

Project CloseProject Close--Out at theOut at theConstruction SiteConstruction Site


4/24

Assuring the contractorAssuring the contractorss

successsuccess-- Throughout the project it is important to buildThroughout the project it is important to build

a partnership with the contractor but it isa partnership with the contractor but it isabsolutely vital at the end of the project as theabsolutely vital at the end of the project as thecontractor is your only avenue to success.contractor is your only avenue to success.

Contractors are often unaware of how muchContractors are often unaware of how much

work is still left to be done in the final weekswork is still left to be done in the final weeksor months of a project so as a projector months of a project so as a projectmanager it is our responsibility to guide themmanager it is our responsibility to guide themto their goal.to their goal.


5/24

A strategy that can be useful is to walkA strategy that can be useful is to walkthe superintendent room by roomthe superintendent room by roomcreating a completion list, thiscreating a completion list, this

accomplishes two things, the first andaccomplishes two things, the first andmost important is that it makes themost important is that it makes the

contactor aware of just how much is leftcontactor aware of just how much is leftto complete, it also gives the Contractor ato complete, it also gives the Contractor a

tool to manage his manpower and time.tool to manage his manpower and time.


6/24

Obtaining a Certificate ofObtaining a Certificate of

OccupancyOccupancy-- The GC should manage this tasks but it is ourThe GC should manage this tasks but it is our

responsibility to stay involved and help in anyresponsibility to stay involved and help in anyway possible to reach the most importantway possible to reach the most importantmilestone in any project.milestone in any project.

Invite the Building Inspector to tour yourInvite the Building Inspector to tour yourprojects several weeks before you plan onprojects several weeks before you plan on

going for your CO or TCO inspection.going for your CO or TCO inspection.

Use your resources by engaging EH &S oftenUse your resources by engaging EH &S oftenwith items such as exiting, sprinkler and firewith items such as exiting, sprinkler and firealarm systems and fire stopping.alarm systems and fire stopping.


7/24

Obtain all the necessary certificatesObtain all the necessary certificates

before the date of CO inspection such as,before the date of CO inspection such as,EH&S preEH&S pre--occupancy inspection, sprinkleroccupancy inspection, sprinkler

& fire alarm test, Electrical and plumbing& fire alarm test, Electrical and plumbinginspections, backflow preventioninspections, backflow preventioncertifications, elevator inspections etc.certifications, elevator inspections etc.

Letter of Substantial CompletionLetter of Substantial Completion


8/24


9/24

Assign a dollar value to the unacceptable orAssign a dollar value to the unacceptable orincomplete work and do not pay for this workincomplete work and do not pay for this workuntil it is acceptable, this will also encourageuntil it is acceptable, this will also encourage

the Contractor to complete these items.the Contractor to complete these items.

Set a realistic date for all items to be completeSet a realistic date for all items to be complete

and make the contractor aware that if theand make the contractor aware that if theitems are not complete by that date then youitems are not complete by that date then you

can enforce the contract provisions tocan enforce the contract provisions to

complete the work within the parameters ofcomplete the work within the parameters ofthe contract.the contract.


10/24

Commissioning and TrainingCommissioning and Training Commissioning is an ongoing eventCommissioning is an ongoing event

throughout the building of a project but isthroughout the building of a project but ismost important at the end of the project inmost important at the end of the project inassuring that all of the buildings systems areassuring that all of the buildings systems are

working as designed on the day you turn theworking as designed on the day you turn thebuilding over to the customer. You should gobuilding over to the customer. You should goback through all of your commissioning andback through all of your commissioning and

test reports to make sure that all of thetest reports to make sure that all of thesystems and components of the systems havesystems and components of the systems havebeen commissioned.been commissioned.


11/24

It is very important to make sure that theIt is very important to make sure that theBuilding Manager, CU Shops andBuilding Manager, CU Shops and

Maintenance Management group areMaintenance Management group arecorrectly trained as well as walkedcorrectly trained as well as walkedthrough the entire building and shownthrough the entire building and shown

every piece of equipment and how itevery piece of equipment and how itoperates, these are the professionals whooperates, these are the professionals whowill be maintaining the building for yearswill be maintaining the building for years

to come.to come.


12/24


13/24

Contract CloseContract Close--OutOut& Final Payment& Final Payment


14/24

Final ReleaseFinal Release General ConditionsGeneral Conditions

Article 12.04Article 12.04

Submitted by theSubmitted by the

Contractor, eachContractor, each

subcontractor andsubcontractor and

subsub--subcontractorsubcontractor


15/24

GuaranteeGuarantee General Conditions,General Conditions,

Article 14Article 14

Upon completion ofUpon completion of

the project, thethe project, the

Contractor shallContractor shall

submit to the Owner asubmit to the Owner a

guarantee for theguarantee for the

projectproject


16/24

Consent of SuretyConsent of Surety

to Final Paymentto Final Payment

General Conditions,General Conditions,Article 12.04Article 12.04

If bonds have beenIf bonds have been

required, the writtenrequired, the written

Consent of the SuretyConsent of the Suretyto the payment of theto the payment of the

balance duebalance due


17/24

Final Payment ApprovalFinal Payment Approval

What does my signature mean?What does my signature mean?

Project is complete and all closeProject is complete and all close--outoutdocumentation has been obtained indocumentation has been obtained inaccordance with the Contract including:accordance with the Contract including:AsAs--Built Documents and Operating & MaintenanceBuilt Documents and Operating & Maintenance

Manuals distribution to the proper partiesManuals distribution to the proper parties CloseClose--Out documentation transmission to CCPAOut documentation transmission to CCPA

Warranties and GuaranteesWarranties and Guarantees

Verification that are no outstanding claims orVerification that are no outstanding claims oropen items associated with the projectopen items associated with the project


18/24

Capital ProjectCapital ProjectAccount ClosureAccount Closure


19/24

Meet with Capital ProjectMeet with Capital Project

AccountantsAccountants

Prior to submission of a written request to close a Capital ProjPrior to submission of a written request to close a Capital Project, theect, theProject Manager is requested to schedule a Project Closure meetiProject Manager is requested to schedule a Project Closure meeting withng withCapital Projects. At this meeting we will:Capital Projects. At this meeting we will: Review Capital Project ReportReview Capital Project Report

Identify open Request for Facilities Services (Job Orders) and TIdentify open Request for Facilities Services (Job Orders) and Tickets soickets soProject Manager should request closure via email.Project Manager should request closure via email.

Shops Orders closed by DeniseShops Orders closed by Denise LiddingtonLiddington EH&S Orders closed by Sue SearsEH&S Orders closed by Sue Sears CCPA Orders closed by Capital ProjectsCCPA Orders closed by Capital Projects Tickets closed by Customer ServiceTickets closed by Customer Service

Review all Purchase Orders to make sure they are final billed anReview all Purchase Orders to make sure they are final billed and closed.d closed.Capital Projects will handle any issues.Capital Projects will handle any issues.

Review all Contracts to make sure they have final billed.Review all Contracts to make sure they have final billed. Review PAR to see if there are any parking tax fees, mapping orReview PAR to see if there are any parking tax fees, mapping or spacespace

inventory fees to be charged to the project.inventory fees to be charged to the project.


20/24


21/24

Project Manager should follow up with anProject Manager should follow up with an

email to Capital Projects requesting accountemail to Capital Projects requesting accountclosure when they haveclosure when they have

Verified thatVerified that RFSRFSss have been closed and finalhave been closed and final

billedbilled

Contractors and Architects have been contacted toContractors and Architects have been contacted to

confirm that billings are completeconfirm that billings are complete

Capital Projects will respond to email advisingCapital Projects will respond to email advisingthe Project Manager thatthe Project Manager that

POPOs have been closed and final billeds have been closed and final billed CCPACCPARFSRFSss have been closed and final billedhave been closed and final billed

All parking tax fees, mapping and space inventoryAll parking tax fees, mapping and space inventory

fees have been charged (if applicable)fees have been charged (if applicable)


22/24

Account Closure by CCPAAccount Closure by CCPA Final Reconciliation will take place.Final Reconciliation will take place.

Final CP Report will be sent to Project Manager.Final CP Report will be sent to Project Manager. Funding transaction will take place (if it hasnFunding transaction will take place (if it hasntt

already). Project account will be reimbursed andalready). Project account will be reimbursed andadjusted to zero balance and funding sourceadjusted to zero balance and funding source(Department funding PAR) will be charged for project(Department funding PAR) will be charged for projectexpenses. At the request of the funding source, thisexpenses. At the request of the funding source, thistransaction may take place at the beginning, duringtransaction may take place at the beginning, duringor at the end of the project.or at the end of the project.

Project account closure request issued to Division ofProject account closure request issued to Division ofFinancial Affairs.Financial Affairs.

Project account closed.Project account closed.


23/24

ArchivingArchiving What:What:

Record drawingsRecord drawings

Owner/Engineer Agreement, pg 13 section 9Owner/Engineer Agreement, pg 13 section 9 -- Record Drawing PhaseRecord Drawing Phase University PolicyUniversity Policy -- Retention of University RecordsRetention of University Records --http://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.html

Complete specificationsComplete specifications Owner/Engineer Agreement, Schedule GOwner/Engineer Agreement, Schedule G -- Document SubmittalDocument Submittal

Requirements, first itemRequirements, first item How:How:

Through the Facilities Information Group.Through the Facilities Information Group. Set funding aside in yourSet funding aside in yourproject for archiving.project for archiving.

What about all the rest of the project records?What about all the rest of the project records? For now:For now:

Take the 10 yr view on your filesTake the 10 yr view on your files Assume a search through them will be by someone else.Assume a search through them will be by someone else.
http://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.htmlhttp://univco.cornell.edu/policy/RR.html


24/24

??? QUESTIONS ?????? QUESTIONS ???