PE Working for a General Corporation

[weh3]

I work for a design firm that is not a professional corporation nor a professional limited liability company. The executive VP is ambitious and wants to be contract holder for design-build projects with major clients. Thus, we would be the prime and subcontract the civil, electrical, and other work. Included in the scope of work for such a role are things that raise red flags all over the place, like

"Provide project and construction management and safety oversight."

"Inspect all equipment, materials, and workmanship for compliance with scope of work and specifications."

Especially the "safety oversight" part. What are we getting into with that one?

Has anyone had any experience where the design professional acted as the prime in a design-build contract? In Virginia, anyone offering "construction services" is required to be licensed as a contractor, which we are not.

Is it possible to offer project management without offering construction management? It seems to me that you are taking on the liability for your subs, expressly or no, and thereby taking on construction management.

This is a design firm whose owners, including the VP, are not licensed engineers. There are two licensed engineers on staff, of which I am one.

Any insight from anyone?

 

[Slugger926]

Here is my opinion:

As the design engineer, you still have to project management duties when the job is being constructed. You will have to ansewer technical questions, and make minor engineering adjustments to support the general contractor and his sub-contractors. You are not doing any of the contracting, but supporting your original design work through the construction phase. If you did a really good job of engineering to begin with, your work during the construction phase will be minimimil.

You may still need to inspect the construction to see that it is being constructed per the Engineering Design. Some contractors will try to get by with smaller rebar, cheaper concrete, smaller power cables and such to save time and money. These will need to be inspected to insure your general contractor is using appropriate materials.

 

[JKEngineer]

I would be concerned about a more basic issue, but am not an expert on it. That is: are you in compliance with the state laws in offering design services if you are not a licensed / allowed to practice / ... fill in your own description ... firm? I think design is a license requiring activity. In NY I am pretty clear on this, although not absolutely certain, since it is outside my area. If I were you or your bosses, I would be real nervous.
Jack

Jack M. Kleinfeld, P.E. Kleinfeld Technical Services, Inc.
Infrared Thermography, Finite Element Analysis, Process Engineering

http://www.KleinfeldTechnical.com