Appropriate risk allocation in design-build RFPs

This paper presents a framework for appropriately allocating risk in a Design-Build (D-B) Request for Proposals (RFP). Specifically, this paper discusses risk in D-B delivery, defines critical elements to be included in a D-B RFP, presents a framework for developing a project definition package and concludes with a discussion of how an RFP can be used as a tool for risk allocation. To reduce the likelihood of unforeseen circumstances arising on a construction project, the owner should describe in the greatest detail possible all known or available information related to the design-build project in the RFP. The framework presented in this paper is intended to assist owners and their representatives in drafting RFPs to appropriately allocate D-B delivery risks.