Coal Age

MAY 2018

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26 May 2018 prep plant maintenance continued sponsibility enabled by a DBC, "construc- tion change orders related to design issues, and the costs involved in coordinating the two separate contracts are eliminated." Additionally, the DBC facilitates im- proved scheduling in two ways, he said. "With separate engineering and construc- tion contracts, all the engineering has to typically be completed before any pro- curement or construction can be started," he said. So, first, "with a DBC contract, initial construction, such as foundations, can be started immediately after they are designed, while the remainder of the engi- neering for the project is still being done." Second, the DBC method also eliminates a step in the process, he said. "Instead of procuring the engineering and then using that to procure the construction, there is only one procurement at the start to buy the DBC." The DBC method pays dividends on the back end as well. Regarding rework, with a DBC, "the project either meets the performance requirements or the design build contractor is responsible to make the necessary modification," Industrial Resources reported. A DBC includes a per- formance guarantee and a guarantee that the system will continue to work for an agreed upon period, often a year, Perr said. "If the system or any of the components are being used and maintained properly, and the system fails, the DBC contractor is responsible to correct the problem during this period." The ideal customer is a firm not look- ing to buy installed equipment but instead is wanting to buy a system or process that is guaranteed to meet certain per- formance criteria and who are price and schedule sensitive, Perr said. "They also include companies that have limited engi- neering and project management capabil- ities to coordinate the necessary interface between an engineering firm and a con- struction firm," he said. They also include companies with preexisting relationships with engineering firms, companies with half-completed but abandoned projects, and companies seeking expansions or re- pairs to existing infrastructure. In those situations, "often this method can result in improved scheduling, lowered costs and better performance as compared with purchasing the engineering and construc- tion separately," Perr said. Post-project service and support is a function of the terms of contract, he said. "Typically, it can include demonstration of performance, training, documentation, providing personnel on a limited basis to operate the facility and a one-year guar- antee that everything continues to work," Perr said. "It can include any other service to support the customer." The DBC has been offered for decades, which attests to its viability and perfor- mance, he said. "Industrial Resources has successfully delivered material handling systems and processing plants using the DBC method to the coal industry for more than 70 years," Perr said. "As a company, our commitment is exceptional value, meeting or exceeding all expectations and doing this in a safe manner that meets all regulatory requirements." Responsibility for the conveyor drive tower belongs to the Industrial Resources team selected for the project, as opposed to separate contractors. (Photo: Industrial Resources) A new conveyor drive overlooks the Allegheny River. The drive was a deliverable from a DBC project contracted to Industrial Resources. (Photo: Industrial Resources)

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