Value Engineering Applications in Transportation (2005) / Chapter Skim
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CHARACTERISTICS OF VALUE ENGINEERING PROGRAMS As discussed earlier, all STAs are required to develop and maintain a VE program in accordance with the FHWA regulation. That said, there is a wide range of VE activity across the United States.
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. Promoting Interest The earliest interest in applying VE in transportation came in the form of Value Engineering Change Proposals (VECP)
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Project managers and technical staff often receive the VE training at the transportation agencies. In some cases, agency training initiatives may include consultants, staff from other agencies, and municipalities.
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The federal VE regulation and policy also served as primary building blocks for the state agencies. In the United States, the FHWA VE regulation mandates the use of VE on major NHS projects.
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In her thesis, Value Engineering for Small Projects (32) , Clarke presented a selection methodology for VE studies of small transportation projects.
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18 FIGURE 4 Florida DOT VE project selection process (23)
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19 The selection criteria are presented in Table 4 and are similar to criteria used by New Jersey. Clarke developed this criteria based on suggestions from a variety of sources.
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20 FIGURE 6 Example project development process integrating VE (31)
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Nevertheless, MTO's VE program is viewed as being successful by many transportation agencies: SAVE, CSVA, and AASHTO. MTO implements a flexible policy to support its noncompulsory VE program: Value Engineering is to be applied to suitable projects to the maximum extent that time and resources will allow.
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VE can be used to enhance communications between the STA, the public, and stakeholders. In addition, VE tools can be used to define project team actions to ensure compliance with federal requirements (38)
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Each proposal provides an overview of how the idea is anticipated to work, a balanced assessment of its characteristics, and usually includes some measure of cost impacts (first or lifecycle costs)
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some of the comments received, it is possible that the question was not clear enough to the agencies. The challenge of the VE team is to find a balance between the time required for due diligence and the time needed to prepare an effective communication strategy.
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FDOT's experiences with hybrid VE team strategies were highlighted in "Mixing Consultant Value Engineering Services with In-House Services -- A Value Added Combination" (47)
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, it was suggested that it was 26 inappropriate for many public agencies to use life-cycle cost in VE studies, because STAs are not permitted to bank deferred expenditures. Banking deferred expenditures is the basis for life-cycle cost.
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Other STAs, associations, and international agencies have become aware of the PPM approach (17) , including: • AASHTO VE Technical Committee, • Brazilian Ministry of Transportation, • Korean Construction Industry, • CSVA, • Hungarian Society of Value Analysis, • Japanese Society of Value Engineers, • Missouri DOT, and • Ontario MTO.
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Although Ontario typically develops collision costs, where possible, the agency does not routinely develop user and travel delay costs for its studies. 28 VALUE ENGINEERING REPORTS The format of the VE report appears to be very important to some of the responding agencies, whereas others expressed less interest.
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NCHRP Report 480 cautioned that: It is common practice in many agencies to perform value engineering (VE) studies prior to construction or bidding.
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The agency must still decide on the merits of accepting any alternative concepts proposed by the D/B proponent. FIGURE 12 Sample CSD-type FAST diagram (62)
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. In 2002, a final rule regarding VE on D/B projects was published in the Federal Register (10)
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