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4 <br />has also expended ten to twenty million dollars for County projects during the same period of time. The Board of <br />County Commissioners has expressed concern recently about how to improve our collective ability to make sure <br />that we are getting the best value for the money spent. He recently attended a conference at which cities and <br />counties shared their successes using value engineering. Most cities have their own engineers but when they use <br />value engineering, in each case significant cost savings occurred. He referred to a March 20, 1999 memo on this <br />subject in which he recommended that the County pursue value engineering for projects in excess of $5 million. <br />He mentioned that the consensus of the managers who have used this system is that outside engineers should be <br />hired because they can speak more freely than staff engineers. The engineers need to question every aspect of <br />the project with a critical eye. The greatest benefit occurs when the process is implemented as early as possible. <br />He has recommended that County projects use the value engineering approach and that the school systems also <br />implement this process. In fact, he encouraged the Board of County Commissioners to urge the School Boards to <br />consider the value engineering approach for all current projects. <br />Susan Dovenbarger agreed that this is an excellent idea. She said that Mr. Ray DeBruhl has been consulting with <br />the Orange County school system on both of their projects. She feels this is a growing field of expertise and one <br />which will save many dollars for each project. <br />Commissioner Halkiotis mentioned that he gave information on this subject to the County Manger last year. In the <br />Orange County Schools they have taken a slightly different approach and have someone on their staff who works <br />for them in an engineering capacity. He has saved significant amounts of money on each project in which he has <br />been involved. Over a period of years, one elementary school was paid for out of the savings. He mentioned that <br />he would like to get more information on this process and find out exactly what these firms charge. The <br />construction management companies charge an exorbitant amount of money to manage the construction of the <br />projects. However, he did think that this was a good idea and he might suggest lowering the threshold below $5 <br />million for projects receiving value engineering. He mentioned the Skills Development Center and the suggestions <br />made by Commissioner Brown to keep the original metal structure in place. The building came in on time and <br />within budget. An interlocal memorandum of agreement could be signed by all jurisdictions to facilitate the value <br />engineering process. <br />In response to a question, John Link stated that it would be more effective to work together and he would <br />welcome collaborating with the school systems. The first step would be to identify which projects would be <br />reviewed by the value engineer. <br />Commissioner Brown stated that this person could also facilitate communication between the County and the two <br />school systems about school development projects. She noted that the University has hired someone for all of <br />their projects. She asked if John Link intended to bring forward a proposal. <br />John Link said that if there was a consensus reached this evening, he and the superintendents would work on a <br />process by which a value engineer could be selected. If there was not a consensus, he would pursue this on <br />behalf of the County. <br />Commissioner Carey indicated that the School Boards need to be formally asked for their feedback on this idea. <br />Neil Pedersen stated that they have used a scheduler to keep projects on schedule. He is not opposed to value <br />engineering, but he pointed out that it is not free. He emphasized that there are real costs associated with this <br />service which must be paid up front. <br />Commissioner Carey stated that the value engineer would not replace the construction manager. It would be <br />important to clarify what part of the project would be managed jointly. We are not talking about substituting value <br />engineering for the management process that each system needs to conduct. <br />Commissioner Halkiotis suggested that this item be on the agenda for the second meeting in April so that it could <br />be discussed and formal request letters for value engineering consultants be drafted. <br />Commissioner Gordon suggested that each Board discuss it thoroughly. The Board of County Commissioners will <br />be forwarding a letter to the school boards after their discussion, however, she suggested that the school boards <br />begin their discussion as soon as possible. <br />CtA19990331 a.do[