Applicable Projects:
Each project located on the National Highway System (NHS) as specified in 23 USC 103 where the estimated total project cost is $50 million or more that utilizes Federal-aid highway funding;
Each bridge project located on the NHS where the estimated total project cost is $40 million or more that utilizes Federal-aid funding;
Any major project (as defined by 23 USC 106(h)) on or off of the NHS, that utilizes Federal-aid highway funding in any contract or phase comprising the major project;
Other projects that the Department determines that a Value Engineering (VE) analysis may result in substantial savings in cost and/or impacts to the traveling public;
A construction project where a Value Engineering Change Proposal (VECP) has been submitted by the construction contractor based on the VECP provision in the contract;
Note – a value engineering analysis shall not apply to any project delivered using the design-build method of construction. A VE analysis is required on projects delivered using the Construction Manager/General Contractor (CM/GC) method of contracting if the project meets the requirements outlined above.

The Bureau of Planning shall identify potential projects meeting the applicable criteria and forward them to the Engineering Council for further review. Upon confirmation of the need to conduct a VE analysis, the Engineering Council (EC) will convene a study group to be led by a member of the EC. The group will be comprised of a multidisciplinary team not directly involved with the design of the project. The study group can meet with the project team to learn more about project aspects and rationale of why individual design elements were selected.

A formal written report consisting of the following will be developed:
Project information;
Identification of the VE analysis team;
Background and supporting documentation, such as information obtained from other analyses conducted on the project (e.g. environmental, safety, traffic operations, constructability);
Documentation of the stages of the VE Job Plan:
Information Phase Gather project information including project commitments and constraints;
Function Analysis Phase Analyze the project to understand the required functions;
Creative Phase Generate ideas on ways to accomplish the required functions which improve the project’s performance, enhance its quality, and lower project costs;
Evaluation Phase Evaluate and select feasible ideas for development;
Development Phase Develop the selected alternatives into fully supported recommendations;
Presentation Phase Present the VE recommendation to the project stakeholders;
Resolution Phase Evaluate, resolve, document and implement all approved recommendations;
Summarization of the analysis conducted;
Documentation of the proposed recommendations and approvals received at the time the report is finalized; and
The formal written report shall be retained for at least 3 years after the completion of the project (as specified in 49 CFR 18.42)
For bridge projects the following is expected in addition to the above:
Include bridge substructure and superstructure requirements that consider alternative construction materials; and
Be conducted based on:
An engineering and economic assessment, taking into consideration acceptable designs for bridges; and
An analysis of life-cycle costs and duration of project construction.

The Engineering Council shall:
Be responsible for establishing and documenting VE program policies and procedures that ensure the required VE analysis is conducted on all applicable projects;
Ensure that a VE analysis is conducted as early as practicable in the planning or development of a project – typically between the development of a draft Preliminary Design Report (PDR) and final PDR;
Ensure that all approved recommendations are implemented and documented in a final VE report prior to the project being authorized to proceed to construction advertisement;
Monitor and assess the VE Program, and disseminate an annual report to the FHWA consisting of a summary of all approved recommendations implemented on applicable projects, the accepted VECPs, and VE program functions and activities.
Establish and document policies, procedures, and contract provisions that identify when VECP’s may be used; identify the analysis, documentation, basis, and process for evaluating and accepting a VECP; and determine how the net savings of each VECP may be shared between the agency and the contractor;
Ensure that the required VE analysis has been performed on any projects administered by sub recipients, and ensure approved recommendations are implemented into the project’s plans, specification, and estimate;
Act as the VE Program Coordinator to promote and advance VE program activities and functions.

MaineDOT Value Engineering Procedure

MaineDOT VE procedure rev.9/11/2014

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