New Jersey Service Contract for Development and Design

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FAQ

The New Engineering Contract (NEC) is a series of contracts designed to manage any project from start to finish. The contracts are written in plain English with a straightforward structure and are designed to be easily understood. NEC contracts aim to prevent costly disputes.

Before a construction firm can compete for public works construction projects, its qualifications must be verified by the Division of Property Management & Construction (DPMC).

Use of the Design-Build family of AIA Contract Documents is appropriate when the project delivery method is design-build. In design-build project delivery, the owner enters into a contract with a design-builder who is obligated to design and construct the project.

Cost growth with design-build is up to 5.2% less, and unit cost is roughly 6% less with design-build. Schedule. When your design and construction team are working together, there will be a much more streamlined schedule. This will result in fewer bottlenecks and more opportunities for concurrent work.

The Joint Contracts Tribunal (JCT) Design and Build Contract (DB) is intended for use on construction projects following the design and build procurement route. This involves appointing a main contractor to design (or complete the design) of the project and then to go on and construct it.

The NEC4 Design Build and Operate contract (DBO) allows Clients to procure a more integrated whole-life delivery solution.

Design-build is a project delivery method in which the owner contracts directly with one entity to provide both the design and construction of the project. It is important to recognize that a design-builder assumes responsibility and liability for both the design services and construction work.

Research shows design-build is the best performing delivery system for both schedule and cost and will deliver nearly half of all construction dollars this year and New Jersey now joins the majority of states with full or widely permitted design-build authorization.

A common design-build method is EPC, but another similar type of contract exists as wellEPCM. These two methods follow the same concept but differ slightly in execution responsibility.

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New Jersey Service Contract for Development and Design