Design-build is a project delivery method in which the owner contracts with one entity for both design and construction.
Definition
In design-build, an owner contracts with a single design-builder for both design and construction, with the design-builder potentially being one company or a team of firms and contractors. The agreement sets the scope, design responsibilities, construction obligations, schedule, compensation, and allocation of risk. For a civil engineering firm, participation may range from serving as the design-builder to providing a defined design discipline as a subconsultant. The firm should understand its authority, coordination duties, fee, insurance requirements, and responsibility for design decisions. Design-build is not the same as design-bid-build, where the owner generally contracts separately for design and construction. It also does not establish a uniform level of design completion or risk transfer; those depend on the contract and project structure. DBIA provides resources on the delivery method, while project-specific terms govern each team's obligations.
How owners use it
- Identify whether the firm would contract directly with the owner or join another design-builder's team.
- Review the requested design scope, coordination duties, schedule, and risk allocation before committing staff.
- Example: A $120,000 design subconsultant fee minus $8,000 of planned reimbursable costs leaves $112,000 in fee revenue before labor and overhead.
- Compare the proposal workload and delivery schedule with available technical capacity.
