451 Exam 1 Questions And Correct Detailed Answers 100% Verified.

T/F If price is part of the final selection criteria and the price is the totla cost of construction is not 100% the final and sole selection criteria, then delivery method is Best Value: Total Cost - correct answers False T/F Some industry participants use the term contract type to mean the basis of reimbursement and others use the term to refer to the project delivery method. - correct answers True T/F Basic philosophy of lean construction is centered on the idea of eliminating waste. - correct answers True Which Procurement option is defined as "competition where price is a factor in the final selection criteria?" - correct answers Low Bid What basis of reimbursement typically used with IPD? - correct answers Target Price or estimated maximum price Which procurement method is typically used when selecting an Agent Cm firm? - correct answers QBS T/F Agency CM firms may coordinate, receive, and award trade bids and proposals for the owner. - correct answers True T/F Surety bonds such as payment bonds and performance bonds in the const. industry are considered to be the same as insurance - correct answers False T/F Case evaluation involves a neutral third party or facilitator that is not empowered to make a decision on the dispute - correct answers True Which statement(s) are true regarding prequalifications? - correct answers -May be used in DBB -May be used in DB May be used when selecting designer/constructor - One process for procurement, RFQ/RFP, has it built into the processs -May be used with IPD -May be used w/ CM at risk T/F Lump Sum of Fixed Firm Price are generally open-book with the owner having access to the contractor's or design-builder's cost related info - correct answers False Which of the following services may be provided by an Agent CM firm? - correct answers - Locating temp. facilities for project team members - Identifying and facilitating long lead item orders - Coordinate, receive and award trade bids and proposals - Help Owner obtain permits and gov. approvals - Help owner obtain consultants T/F Once the response to the RFP have been received, the owner evaluates them using either a formulaic approach for a trade-off analysis approach - correct answers True which of the following is NOT an accelerated procurement approach? - correct answers Owner In-House Contracting T/F Target price is also known as no GMP - correct answers False T/F Performance specs precisely state how work is to be performed, and describe in detail the materials to be used and the manner in which work is to be executed. - correct answers False Retainage usually amounts to what percentage of the contract price. - correct answers 5-10% T/F Fast-tracking refers to speeding up the procurement of materials through incremented payments to the supplier/manufacturer over a condensed period of time - correct answers False T/F When using DB or CM@Risk, design and construction are separate contracts - correct answers False T/F A delivery method identifies the primary parties taking contractual responsibility for the performance of work. - correct answers true By DEfinition, DBB can be procured with either ____ or _____. - correct answers Low bid, Best Value Total Cost Which one of these is not part of TCC? - correct answers Constructor's bonus T/F GMP is a type of Cost Plus contract - correct answers True T/F QBS procurement process is defined as competition where price is small factor in final selection criteria - correct answers Flas T/F When a Project Man.''s level of responsibility moves beyond construction of single project, the manager becomes a program manager - correct answers True The industry has developed typical ways of compensating contractors for their general costs. Which of the following is/are Not included in those methods of compensation - correct answers A pooled contingency between owner and contractor covers general conditions T/F During the construction phase of a project, an agent cm would typically act as the owner's onsite repr., which may include an active role ins cheduling and project coordination meetings - correct answers True T/F The text states that Engineer-Procured-Construct (EPC) is another term for DB - correct answers True The GMP can be set at any time during or after the design process. But, often the GMP is set near the completion of the development documents, at the end of DEsign development, the design is _____ complete - correct answers 60-65% T/F It is advisable to select a management method before locking into a delivery method - correct answers True T/F On projects using the target price reimbursement methods, the owner agrees to reimburse the contractor all the actual direct project costs and the project-specified overhead - correct answers True T/F Schematic Design is the stage of design where the scope of a project are determined - correct answers True Who were the two ancient master builders or master masons that led construction of the parthenon athena - correct answers Ictinus and Callicrates T/F Value engineering began at the General Elec. Co. during the Korean War - correct answers false T/F according to the text, CM@Risk, DB, and IPD are all project delivery methods to effectively shorten project schedules - correct answers True T/F There are three types of Agency CM orgs. that typically offer construction management services they include; general construction firms, professional design firms, and consulting firms. - correct answers true T/F According to the text, agency CM is a project delivery method option and owner may select - correct answers False Until the construction docs become more defined and costs are further identified, the amount included in an estimate to represent the yet-to-be-detailed or defined portions of the contract documents is referred to as _____________ - correct answers Design Contingency Which of the following is a defining characteristic for a CM@Risk project? - correct answers Total construction cost is not a factor in final selection of the constructor Key difference between a developer and a fee developer/development manager is: - correct answers Whether the developer holds an ownership or equity participation position At the end of Schematic Design the design is generally _____ complete. - correct answers 15% T/F Fast tracking is when multiple specific scopes of work on a project are being constructed at the same time - correct answers False According to AGC, which delivery method can use any of the procurement options - correct answers Design Build T/F According to AGC when someone labels a "typical" characteristic as a "defining" characteristic, a hybrid is created - correct answers True T/F According to AGC, several states prohibit any element of price to be part of the selection process for contractors in public work using CM@ Risk - correct answers True What are considered to be the first set of recorded building code? - correct answers Code of Hammurabi T/F QBS is a procurement process that is defined as a competition where price is only a small factor in the final selection criterion - correct answers False T/F Agency CM when involved in project administration is at risk for the cost and schedule of building the job, or the performance risk - correct answers False CM @ Risk contract can NOT be awarded based on a lump sum fixed price contract even if the parties agree to a fixed price - correct answers false OPen-book refers to a contractural req. th=o share info related to the project, particularly project cost information - correct answers True Dispute review boards are boards of project reps that are appointed in advance of the project and that meet periodically throughout the project - correct answers True This insurance provides excess coverage, over and above the limits of insurance carried by a constructor for any other type of insurance - correct answers Umbrella Liability insurance This insurance is property insurance that covers against physical damage to the work while construction is in progress and has historically been purchased by the owner - correct answers Builder's Risk Insurance According to the text which of the following is not one of the components of the Total Construction Costs - correct answers Construction Contingency According to the text the term Negotiated is used to describe which of the following? - correct answers Procurement T/F According to AGC, CM @ Risk can be procured with either Best Value: Fees or QBS - correct answers True Who is considered the first to separate art from the craft? - correct answers Alberti When considering cost reimbursement, which project delivery method is part of the contractor's corporate overhead and profit placed at risk - correct answers IPD The _______ delivery method allows the owner to control the entire process and take on the responsibilities of the GC - correct answers Multiple prime T/F In CM @ Risk, design error and omissions would generally be the owner's responsibility and would be considered a justification for changes to the original GMP - correct answers True T/F A payment bond is a surety bond that secures a constructor's obligation to pay subcontractors, suppliers, and other lower in the hierarchy - correct answers True The first known record credited __________ as the first person to intentionally separate the craft from the art - correct answers Leone Battista Alberti Design Build means _______ - correct answers One company is responsible for both design and construction Professional A/E firms are generally selected through - correct answers QBS This type of procurement option considers qualifications, price, and technical merits - correct answers best value selection T/F Twentieth century public contracting laws in NA history have mandated professional design service be purchased separate of contractor selection and required the selection of contractors solely on the basis of lowest responsible bid. - correct answers True Under this type of procurement option, demonstrated competence and project approach is the basis fro selection. Price is not a factor for selection - correct answers QBS Which of teh following best describes the Low Bid Type procurement option? - correct answers - Strictly a price driven selection - Procurement process is time consuming and resource intensive- There are no incentives for innovation or exceptional performance - Review process is fast and simple A document used by owners to shortlist potential proposers requesting experience, financial and bonding capabilities, records of excellence, staff and schedule performance. - correct answers Request for Qualification A document often used by owners to request pricing for design and/or construction services - correct answers RFP _____ is the practice of narrowing the field of potential firms through the selection of the most qualified proposer on the basis of qualifications - correct answers Shortlisting Which of the following contract approaches/payment methodologies provides the owner the highest amount of risk - correct answers Cost-Plus-Fee What type of contract approach/payment methodology is based on specific rates given completed construction items? - correct answers Unit Price Which of the following contract approaches/payment methodologies provides the contractor the highest amount of risk? - correct answers Lump Sum The ______ contract approach/payment methodology does not guarantee a price and provides little incentive for the contractors to be efficient - correct answers Cost-Plus-Fee T/F Most public procurement statutes require the selection of design service be purchased on the basis of lowest responsible bid - correct answers False Under this contract approach/payment methodology the contractor or design builder collaborates with owner to establish pricing with no profit at the beginning of the job and fees are earned quarterly if performance and pricing are met - correct answers target price T/F The owner can predetermine how a project's construction team will interact with him or her and with each other through the selection of the delivery system - correct answers True T/F When using Best Value procurement, the RFP is the first phase of the process of selecting a contractor - correct answers False Cost associated with the GMP are typically categorized into three buckets for cost reimbursements; cost of work, contractor's general conditions. and contractor's fee - correct answers True