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Benefits Of A Catastrophic Event
There are benefits that can be obtained when handling catastrophic events. The problem that needs our attention is apparently obvious, and organizations quickly come together creating effective solutions. The 2007 reconstruction of the I-35 Bridge collapse in Minneapolis is a great example. This tragic event occurred during the evening rush hour killing 13 people and injuring 145. The average timeline for the review, approval and construction of a highway bridge project in the United States is 10 years. Under an accelerated development and review process, the demolition, design and reconstruction of the I-35 bridge was completed in 14 months.
Recently Los Angeles-based construction company AECOM completed the construction of two temporary hospitals in New York City in response to the Covid-19 pandemic, just one month after receiving the contract. The work was awarded through New York City Department of Design and Construction to build the facilities in Brooklyn and Queens to increase the city’s hospital capacity by more than 1,000 beds. Under normal circumstances these projects would take years to complete.
Worse-Case Event, Best-Outcome
When handling catastrophic, tragic events, organizations work together to find effective solutions towards a common goal. Benefits routinely include significantly reduced project schedules, improved coordination and reduced costs. The other long-term benefit that is often overlooked from tragic events – the identification of redundant, ineffective processes, practices, time consuming, inefficient reviews and approvals, over restrictive regulations, red tape that impedes the completion of projects. It is true, the handling of catastrophic, tragic events are "worse-case" scenarios. However the processses applied for completing these projects are examples of "best-outcome" for projects. These events are very helpful, and could/should be used as a base-line process for the development, review, and approval of projects.
Causes for Delays
In a recent survey design firms were asked if projects have been halted or delayed due to the COVID-19 pandemic? If so, why? A common response was local building departments were ill-equipped for handling remote work causing delays in design plan checks, approvals, performing, coordinating site inspections, and contract reviews and approvals. According to the US Office of Personnel Management, almost one-half of government agencies’ workloads could be automated and close to two-thirds of federal employees could see their workloads reduced by as much as 30 percent (30%) with the use of technology. Along with the private section, it is imperative that the pubic and government entities identify areas where improvements will be made to project processes reducing time, and creating more value.
Infrastructure Projects
At a time when an economic recovery agenda is needed, infrastructure projects create a great opportunity. Infrastructure spending would provide action on longer-term measures that will kick-start the economy and sustain growth in the coming years. However, federal assistance is needed. States have seen a significant decline in traffic volume due to COVID-19 stay-at-home orders leading to a 30% - 40% drop in state motor fuel tax collections. This is money states count on to fund transportation projects. Some states are pulling back on projects they planned for this spring, summer, and fall due to the uncertainty of state-generated transportation funds.
Both political parties seem to favor national infrastructure legislation that will benefit the industry and economic recovery. Congress already has the framework for an infrastructure-based recovery program. Both the House and the Senate were working on reauthorizing America’s surface transportation and water infrastructure programs before COVID-19 struck. Every dollar invested in fixing America’s roads and bridges creates $4 in economic activity. For every $1 billion spent to improve our water infrastructure, 23,000 jobs are created. Design and construction organizations support the effort including contacting government authorities requesting $50 billion in federal finding to cover the falloff in state transportation to offset longer-term consequences. Without federal funding, projects will come off the books – which could lead to increased unemployment rates in construction and furloughs of state DOT employees.
Trimming the Fat
Under these extreme conditions driven by COVID-19, we are all being forced to make changes. We have a great opportunity to identify areas for improvements, to improve efficiencies for all parties supporting project efforts. Identifying the most expedited, accelerated processes and building upon them with highly scrutinized valued-added steps benefits all. The "best-outcome" measures used following a catastrophic, tragic event is an excellent example and starting point. Under tragic event conditions, we identify the most efficient, effective processes in completing a project. Additional steps and processes would be added based on project types, and other circumstances. However these additional steps must be reviewed and approved by all parties including why they are needed, who would be completing the process, and in what timeline. Would/could ALL highway bridge projects be completed in 14 months? Realistically the answer would be no. However the same should be said for the average project being completed in 10 years. There is plenty of room for improvement. Our new normal for projects should be closer to 14 months than 10 years.
Opportunity
The COVID-19 pandemic has forced us, provided us an opportunity for change. We have the opportunity to improve our standard review and approval processes for projects. Image the benefits to our country and projects if Infrastructure, DOT, water, wastewater and other projects applied a "best-outcome" process, implementing the most efficient model on projects. We should all look through the unbiased lens - identify more efficient, effective, value-added methods. This is a perfect time for all organizations to improve operational processes and procedures, cut the fat and improve project efficiencies. The added benefit - help our national economic recovery effort.
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NOTICE: This article is for informational purposes only and should not be construed as legal advice. Please consult with a legal professional in your area for advice reagrding your firms individuals circumstances.
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