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Design-Build DATELINE
The Journal of the Design-Build Institute of America

January 2007

Perspectives: Oscar A. Khoury

“I applaud the efforts of every public agency that thinks outside the box and applies new ways of doing business, like design-build.”

Born and raised in Beirut, Lebanon, Oscar A. Khoury pursued a career in civil engineering after graduating from the American University of Beirut during some of the most difficult times in the country’s history. Design-build presented an opportunity there to quickly renovate buildings that were damaged by the civil war and maximized the use of creativity and innovation in providing solutions. After completing his graduate studies at the University of Texas, Oscar joined the private sector designing wastewater treatment plants and wastewater collection systems. Oscar joined the City of San Diego’s team in October 1988 and now the Acting Deputy Director of the City’s Water Department, he finds it rewarding and a great place to work.

On how the City’s projects have transformed over the years: “Projects in the past used to be planned with information that directly related to what the needs were. Today, planned projects not only address the project needs, but they are coordinated with other projects from other City departments. These coordinated projects now fully address community issues and sensitivities through feedback from residents. This results in projects that minimize disruptions and better serve the communities they are built in.”

His current role in the City of San Diego’s Water Department: “I oversee the development and execution of the Water Department’s Capital Improvements Program (CIP). This includes the development and prioritization of CIP projects, and supervising budgeting, scheduling, planning, designing and constructing these projects. With a bond financed CIP, I oversee the cash flow projections resulting from each of the projects that feed the Rate Case. The Rate Case is the key component that determines any rate changes, monitors how the CIP program is progressing compared to the plan, and go through the whole process of putting the word out to the elected officials and the public regarding any changes in rates. I present these projects to the City Council and its committees for approval, respond to questions, and prepare all the documentation required on every project to get the CIP and the operation and maintenance budget components approved.”

Most memorable experience: “One experience that particularly stands out and I appreciate every day is bridging the gap between engineers and operators of the City’s water system. I was in charge of developing a computerized hydraulic water model for the water system. The water system operators were extremely talented and smart individuals who were not accustomed to having a computer tell them what they already know and acquired through experience over the years. There was great reluctance from the operators to work with the engineers on the hydraulic model because the operators knew everything that related to the water system at that time. While we developed the hydraulic model and calibrated the model, we worked very hard on getting the operators’ acceptance of the model. Our success in calibrating the model was extremely important in bridging the gap. We had very good engineers who were assigned to the hydraulic model and they kept trying to gain the buy-in from the operators. The operators started quizzing the engineers on different scenarios, and when they got the right responses they became more accepting of and comfortable with the model. Also, the engineers were able to reflect possibilities in trouble spots that remained a mystery in certain areas of the water system for many years. At that point, the engineers and the operators established a strong bond that exists to this day. The two entities work in different divisions but work very closely together on matters that affect the water system.”

A typical day: “It is difficult to define a typical day at work for me. Every day is different and presents new challenges. I regularly receive requests to attend to high-priority issues from the Mayor, City Council or the City’s Independent Budget Analyst. This past year has been extremely unusual because of the City pursuing private financing for the CIP, and preparing a case for a water rate increase for the next four years.”

First impression of design-build: “My first encounter with design-build over 24 years ago was very informal and flexible. Projects I worked on in Lebanon were very difficult in nature like rehabilitating structures that had problems ranging from structural instability to re-plumbing. Furthermore, not enough time was provided to take a project through a regular design evaluation. Rather, it was designed on the fly while purchasing and installing the improvements. These contracts were issued with a hand shake and a gentlemen’s agreement. The process today is more formalized, scopes are developed, RFQ and RFP documents are developed and firms compete for the work on a qualifications-based or using a best value selection.”

On utilizing design-build practices today: “During the execution of the 1998 bond issuance for the Water Department, it became apparent that the department needed to accelerate some of its projects. Many ideas to accomplish this goal surfaced, some of which were related to using a job order contractor to quickly get some work done, and design-build was among several ideas. The Water Department jumped on the opportunity to learn about design-build by contacting DBIA and sending staff to attend some of DBIA’s educational sessions and conferences. A lot of momentum was gained in a short time and the department’s first design-build project was issued to build 9 miles of pipeline for about $25 million. This project completed successfully and we have since utilized the design-build delivery method on many smaller projects, and it will be used on other large projects in the coming year.”

Advice to those considering design-build for their Water/Wastewater project: “Design-build is here to stay, and many public agencies have successfully implemented projects using this delivery method. Some have gone to the extreme where most of their projects use this delivery method while others remain reluctant. The laws are changing around the nation to allow for the use of design-build and it is for a good reason. It is good to venture out of the comfort zone once in a while, and you are encouraged to get in touch with DBIA, get connected with the people who have developed the experience and plan on trying it out. It works.”

Favorite project: “One of my favorite projects I worked on was replacing two miles of 16-inch cast iron water main in the City’s La Jolla neighborhood. The pipeline was built back in the late 1930s and the road where the pipeline was had changed since the original construction. The pipeline traversed a combination of residential and commercial areas, and the construction work had to take place at night because of major traffic impacts. The alignment of the project happened to be the main artery for entering and exiting La Jolla, which is a popular beachside community. Due to the extremely high traffic count, shutting down the road for construction during the day was not an option. We had to coordinate very closely with the community and the Council office on a regular basis, and establish a hotline for people in the community to call. Night time construction presented a major set-back to residents due to the back-up alarms of the construction vehicles. Cal OSHA requires these back-up alarms especially at night as a safety measure. In brief, the contractor worked very closely with the construction and project management teams using good partnering techniques, and innovative solutions were implemented that allowed the project to successfully complete.“

How you can learn more about design-build: “I strongly encourage those that are still contemplating using the design-build method and need assistance to contact DBIA and get involved with the Owners’ Council. This is a great resource for them to interact with other agencies, and to get very valuable information that will help them achieve their goals.”

INFO: City of San Diego (www.san-diego.gov)

 
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