File #: 2024-0435   
Type: Informational Report Status: Agenda Ready
File created: 6/10/2024 In control: Construction Committee
On agenda: 7/17/2024 Final action:
Title: RECEIVE AND FILE status report on Program Management quarterly changes.
Sponsors: Board of Directors - Regular Board Meeting
Indexes: Budgeting, Capital Project, Construction, Informational Report, Pilot studies, Program Management
Attachments: 1. Attachment A - Quarterly Change Orders Log for 030124 – 053124, 2. Attachment B - OIG Con. Change Order Spot Checks (Thru May '24), 3. Presentation
Date Action ByActionResultAction DetailsMeeting DetailsAudio
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Meeting_Body
CONSTRUCTION COMMITTEE
JULY 17, 2024

Subject
SUBJECT: PROGRAM MANAGEMENT QUARTERLY CHANGE REPORT

Action
ACTION: RECEIVE AND FILE

Heading
RECOMMENDATION

Title
RECEIVE AND FILE status report on Program Management quarterly changes.

Issue
ISSUE

This board report provides a summary of quarterly contract changes for capital projects greater than $500,000 that are managed by Program Management. This report covers change activities for the reporting period between March 1, 2024 - May 31, 2024.

Background
BACKGROUND

In January 2017, the Board approved a one-year pilot program to delegate to the CEO the authority to execute project agreements up to the Life-of-Project (LOP) budget for the Crenshaw/LAX, Regional Connector, and Purple Line Extension Section 1 & 2 projects. The purpose of the pilot program was to save time and minimize disruption due to the typical contract change administration approval process.

The pilot program was effective, generated cost savings, and avoided costly construction delays. At the January 26, 2018 Board meeting, the Board approved the continuation and expansion of the delegation of authority within the LOP budget on all Transit and Regional Rail Capital Projects. Staff was directed to provide quarterly reports to the Board on change orders and modifications that are above $500,000 (Attachment A). CEO Board delegated authority of changes is very beneficial to expedite contract changes and avoid costly construction delays. The Office of Inspector General (OIG) performs spot checks of change orders and modifications quarterly and quantifies time saving on each reviewed change based upon delegated authority. (Attachment B). Since inception of the program based on OIG spot checks up to 2,765 concurrent workdays or concurrent 10.7 years, aggregated across the program, have been saved.

Discussion
DISCUSSION

The change activities for the reporting period between March 1, 2024 - May 31, 2024 are included in ...

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