Modified Guaranteed Maximum Price MGMP Contracting For the Public Rental Housing Development At East

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Modified Guaranteed Maximum Price
(MGMP)Contracting For the Public Rental Housing
Development At Eastern Harbour Crossing Site
Phase 4
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MGMP Contracting

• Risk-reduced Model Developed from Private
  Sectors Target Cost and Guaranteed Maximum Price
  (GMP) Contracting
• A contracting model which allows for
• Integration of contractors expertise and
  innovation in design and construction at tender
  and post tender stage
• And in doing so, it embraces the feature of
• - a guaranteed maximum price at main contract
  award
• - shared savings during construction

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MGMPContract Procurement Route
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MGMP at Various Stages of Procurement

• Design Stage
• Tender Stage
• Construction Stage

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Design Stage

• Key features at design stage
• Employer identifies works packages that require
  integration of contractors input in design,
  buildability, and procurement
• Employer prepares basic scheme / outlined design
  and performance specification for works packages
• Works Packages subject to detailed design
  development by the contractor

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Tender Stages

• Key features at tender invitation
• Earmarked for Premier League Contractors
• Corporate Strength
• Partnering Commitments
• Experience on GMP
• MGMP Sub-contract Packages
• Domestic sub-contracts
• Back to back contract documentation
• Follow HAs tendering guidelines
• MGMP sub-contract tender prices
• Ceiling price
• Part of the overall contract sum

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Tender Stages

• Key features at tender evaluation and award
• Contractors submit technical proposal for the
  MGMP Sub-contract works
• Technical and price evaluation in tender
  assessment
• Contract Sum and the technical proposals are
  binding to the contract

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Construction Stage

• Key features at Construction Stage
• MGMP Subcontracts under Open Book accounting
  arrangement
• Further savings from improvements in buildability
  anduse of materials would be shared
• Adjudication Committee to settle differences on
  MGMP design developments and variations

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Opportunities offered by EHC Site Phase 4

• Project
• Three site-specific domestic blocks
• Bus terminus and noise barrier
• Lift tower cum footbridge

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Opportunities offered by EHC Site Phase 4

• The Master Layout Plan

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• Integration of Contractors Expertise
• Good potential GMP packages for site specific
  nature of project
• Proposed packages of works
• Bus Stop
• Specialist External Works (Footbridge and Lift
  Tower, Covered Walkway, etc.)
• Plumbing and Drainage
• Fire Services and Water Pump Installation
• Electrical Services Installation
• Superstructure

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• Moderation of Benefits and Risks
• Opportunities
• Integration between building services and
  reinforced concrete construction
• Optimization of precast construction
• Optimization of contractors expertise in
  specialist design

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• Thank you