An Introduction



An Introduction

"To profit from good advice requires more wisdom than to give it.”

-- Churton Collins

EdArch Associates, Inc. (EAI) is a professional management-consulting firm focused on providing services to the construction industry and their legal counsel. We at EAI are involved in a very specialized aspect of the construction process. We bring to our Clients, experience and expertise, which is generally not available "in-house." Certainly, that is understandable in that we find that our Client's business cannot economically justify permanent employment of individuals with the background of our consultants.

Acquisition of an "on-the-job" education can be brutally expensive.

It is in that light that EAI involvement in a major construction project is cost beneficial. The following pages briefly describe the types of services available from our consultants. They cover every phase of the construction process including pre-planning, contracting, scheduling, control mechanisms, construction management, inspections, performance evaluation and forecasting, change management and disputes – all generally grouped under the common heading of: Construction Management services.

The nature of those Construction Management services required generally varies depending upon the status of the project. That is, is the project in the pre-construction, construction or post-construction phase? Within these phases, EAI services can generally be classified into three distinct categories, namely:

Risk Management

Project Management/Construction Management

Disputes Resolution

Risk Management

"Keeping from falling is better than getting up.”

-- Unknown

This unknown author has expressed a principle to which EAI is dedicated -- a dedication learned from years of experience with construction disputes in which a true winner is the rarity. That experience has provided a backdrop from which we can review contract documents to assess the nature and extent of risks assumed by our Clients. Working in conjunction with the attorneys of one of the parties to a major construction undertaking, we can integrate our experience with the legal aspects of the Contract documents. This will assure our Clients of every possible opportunity for a successful project.

The key to successful risk management is the early involvement of individuals who can identify potential exposures to risk and afford the Client the chance to contractually shift, share, mitigate or avoid those risks deemed to be unreasonable. The planning phase of the project is also the optimum period for establishing control mechanisms for project management and disputes resolution.

Scope of Services

Pre-Contract Award Assistance

• Identify risks and review risk allocation Assist counsel with contract terms and conditions

• Review general and supplementary terms and conditions

• Participate with counsel in negotiation and drafting of contract documents

Install Project Control Mechanisms

• Establish a document control and retrieval system

• Create schedule/progress update process

• Setup drawing control process

• Institute change control procedures

• Establish cash flow and cost control mechanisms Institute a claims management process

• Organize a disputes resolution method

Pre-Construction Assistance

• Format planning and scheduling tools Provide for costs, manpower and equipment loading of CPM schedules

• Assist in developing a project CPM schedule

• Generate corresponding detailed network diagrams

• Link progress payments to the CPM network

Project Control Enhancements

• Install and maintain management information

• Create cost trend analysis methodology

• Establish efficiency/productivity analysis methods

• Employ cost control tools to monitor performance

• Establish schedule control and forecasting tools

• Provide in-house training seminars

Project Management/Construction Management

"He that will not apply new remedies must expect new evils.”

-- Francis Bacon

Project management has typically been a matter of placing experienced persons in key positions and relying on their expertise to plan, schedule and manage. But the construction industry has changed substantially. Particularly with the claims oriented and litigious nature of participants in major projects. As a result, sophisticated technology, particularly in the planning and scheduling area has been developed for the industry. These advancements are used not only to assist project management but also to create a record and basis for subsequent promulgation and defense of construction claims. EAI’s participation in project management includes application of state-of-the-art, project specific control mechanisms to monitor and control costs and schedule as well as to mitigate claims and disputes.

EAI’s experience has shown clearly that a construction project which remains in control, with timely information flowing to all participants, has the best opportunity to achieve targeted budgets and schedules. It also has the least likelihood of culminating in arbitration, mediation or litigation. Such an environment results in the highest probability that all parties profit from their involvement. Thus, an ongoing disputes resolution process is an effective and integral part of our project management concept.

Scope of Services

Evaluate Project Management Systems

• Reconcile the overall project management philosophy with the scope and complexity of the project

• Review engineering deliverable process

• Appraise change management system

Project Management Assistance

• Install systems to track project progress

• Update project CPM schedules

Oversight of Project Management

• Evaluate cost and schedule impact of contract changes

• Appraise delay, disruption and interferences

• Evaluate impacts of construction acceleration

• Perform cost and production trend analysis

• Assess productivity/efficiency

Troubleshoot Project Performance

• Implement information systems to identify and track cost and schedule trends

• Oversee construction claims preparation/defense Participate in the claims resolution process

• Participate in the claims resolution process

Construction Management Services

• Provide constructability reviews of technical plans and specifications

• Provide Resident Project Managers that can supervise/monitor office and field construction staffs, attend progress meetings, etc…

• Provide Office Engineers to facilitate the administrative duties of the Project Managers

• Provide for on-site mobilization/office start-up efforts

• Quality Control/Quality Assurance: Provide field testing & inspection services to support construction

• Provide Contract Management/Contract Administration services to project Owners

Disputes Resolution

"There's justice for all, but it does not seem to be equally distributed”

-- Unknown

That observation is undoubtedly the conclusion of many who have experienced the rigors of our judicial system. For this reason, EAI focuses intensely on methods designed to avoid litigation when disputes that arise in the course of construction are not resolved. Considering the costs associated with preparing for and going to trial, and the certain disruption to ordinary business associated with the process, compromise and negotiation are most often the most economical course to follow.

The key in EAI’s approach is to establish, in conjunction with our Client's counsel, an objective and realistic assessment of the factual, technical, legal and equitable posture of the respective parties. It is our belief that the most effective approach to avoiding litigation is to clearly illustrate to an adversary, the present ability and willingness to pursue a litigated conclusion, if need be. This entails a comprehensive investigation and compelling professional report establishing our Client's position, which can be presented during the negotiation process. Favorable resolution by settlement can usually be accomplished from this position of strength.

Innovation, experience and objectivity are fundamentals that EAI brings to the disputes resolution process. However, if reasonable resolution is not possible, we are prepared to vigorously assist our Clients in the pursuit of a successfully litigated conclusion to disputes. In that regard, EAI will provide comprehensive, custom reports and supporting expert testimony on schedule and cost variance, inefficiency, delay, disruption, change, etc...

Scope of Services

Issue Cognition

• Review correspondence, change orders and all other relevant project documentation

• Interview project participants

• Perform cost and schedule variance analysis

• Identify deviations in performance

• Identify delays, disruptions, interferences, inefficiencies

Determine Causation

• Investigate factual cause of each and every impact

• Prepare an as built CPM for comparison to the as-planned

• Identify responsibility for deviations in performance

• Determine magnitude of each impact to cost/schedule

Establish Liability

• Determine the nature and extent of liability for each deviation from contractual responsibility

Quantify Damages

• Identify direct costs allocable to each impact

• Determine dilution in value for nonconforming performance

• Compute and allocate time related costs or liquidated damages incurred due to delays

• Pinpoint direct, indirect, and incidental damages

Negotiation Arbitration. Litigation Support

• Prepare project factual and contractual history -- Compile cross-referenced trial notebooks

• Generate graphic displays of project history -- Prepare witnesses for deposition and testimony

• Compile and present expert report for each issue having contractual responsibility/causation/damage

EdArch Associates, Inc. Background

EdArch Associates, Inc. is a small construction management firm certified as a minority business enterprise (MBE) by the Cleveland Municipal School District (Certification on file at the District), the City of Cleveland’s Office of Equal Opportunity, Ohio Department of Administrative Services, Ohio Department of Transportation, Greater Cleveland Regional Transit Authority, Small Business Administration, City of Cleveland Port Control and Cuyahoga County Small Business Enterprise Program. The company was established in 2001. Our personnel have a wealth of talent and experience in the execution of hospital construction/renovation, office structures, tenant fit-outs, central utility plants, airports, water and wastewater treatment facilities. Although EAI is a young firm, our key personnel are all seasoned veterans of the engineering and construction industry. As such, each of the firm’s associates has 20 or more years of experience.

Edgar A. Archie is the company’s President. Mr. Archie has been in the construction industry since 1983 and has been involved in the management of a wide range of construction projects. Joseph H. Dabrowski is the Vice President with experience in managing heavy construction projects and claims resolutions. Other individuals associated with the firm allow us to collectively offer the variety of services as described in our corporate resume.

Photo Gallery Projects Worked

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| |Zion Chapel Missionary Baptist Church, Fellowship Hall Addition, Cleveland, |

| |Ohio |

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| |Zion Chapel Missionary Baptist Church, Fellowship Hall |

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| |Florida Power and Light, corporate headquarters, Juno Beach, Florida |

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| |Florida Power and Light, atrium and cafeteria connecting the new office |

| |tower to the existing. |

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| |Florida Power and Light, executive offices |

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| |Blue Cross-Blue Shield of Philadelphia Headquarters. Elevator lobby. |

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| |Blue Cross-Blue Shield of Philadelphia, cafeteria elevator lobby. |

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| |Blue Cross-Blue Shield of Philadelphia, employee cafeteria. |

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Key Personnel

Edgar A. Archie, President

Nineteen years of broad experience in construction and program management. This experience includes roles as firm owner/founder, project manager, assistant project manager, scheduler, estimator, assistant superintendent and mechanical/electrical coordinator.

EXPERIENCE

2001-Present EdArch Associates, Inc. – President/Project Manager

Provided construction management services for the renovation and expansion of 10,000 square feet worship facility for Zion Chapel Missionary Baptist Church. Value of the project is $600,000.00. Developed contract documents from design drawings and specifications, established bid packages and scopes of work, negotiated contracts, reviewed submittals, processed change orders, prepared project status reports, developed and maintained the project schedule, estimated costs and established the construction budget, processed pay requests and monitored quality and progress of work.

1996-2002 M2 International – Program Controller

Provided construction management services for $270 million renovation and expansion program for the Cleveland Water Division four water treatment plants. Services included estimating, scheduling, negotiating change orders, developing contractor scopes of work, organized the effort to expand the existing local area network to a wide area network for the Program Management Consultant to allow electronic data communication between three water treatment plants, write monthly and weekly project progress reports, processed contractor monthly pay requests, monitored and evaluated contractors work progress as compared to the approved baseline schedule(s).

1995-1996 The Garth Group – Project Manager/Estimator

Provided estimating and management support for a masonry contractor in Chicago, Illinois. Managed a variety of masonry projects ranging from $450,000.00 to $3.0 million in contract amounts.

1983-1994 Baker/Mellon-Stuart Construction – Project Manager/Project Engineer

Provided construction management services for various projects as noted:

• $52.0 million Office Shop and Storage Facility in Stickney, Illinois for the Metropolitan Water Reclamation District. 1993-1994.

• $2.1 million executive office tenant fit-out for Florida Power and Light, Juno Beach, Florida. 1992-1993.

• $22.0 million design/build office building for Florida Power and Light, Juno Beach, Florida. 1991-1992.

• $11.0 million central power and refrigeration plant for Miles, Inc., West Haven, Connecticut. 1990-1991.

• $23.0 million 50-story tenant fit-out for Blue Cross of Philadelphia, Pennsylvania. 1988-1990.

• $14.0 million 94-bed hospital addition with surgical suites for St. Catherine Hospital in East Chicago, Indiana. 1986-1988.

• $25.0 million hospital addition for St. Elizabeth Medical Center in Edgewood, Kentucky. 1983-1986.

EDUCATION

Baccalaureate, Construction Management University of Cincinnati 1984

PROFESSIONAL AFFILIATIONS

American Society of Professional Estimators, ASPE

Project Management Institute, PMI

Joseph H. Dabrowski, P.E., Vice President

Twenty four years of broad experience in construction and program management services. This experience includes roles as project manager, assistant project manager, purchasing agent and contracts manager.

EXPERIENCE

1994-2002 Ralph Tyler Companies, Consulting Engineers & Architects-Construction and Design Manager

Providing Construction Management services to the City of Cleveland, Department of Port Control at Cleveland Hopkins International Airport. Overseeing the construction of a $750 million expansion of the airport.

Provided Design Management services to the City of Cleveland, Department of Port Control at Cleveland Hopkins International Airport. Supervised the efforts of various professional firms in the design of numerous projects that comprise a $750 million expansion of the airport.

Provided Construction Management services to the City of Cleveland, Department of Public Utilities in a $135 million renovation and expansion of the City’s Crown Water Treatment Plant – a facility that produces up to 100 million gallons of day of drinking water for as many as 500,000 residents of NE Ohio and remain in operation at all times.

Provided on-site extension of staff services to a large design-build organization that was contracted to provide in excess of $100 million in instrumentation and control upgrades to the City of Detroit’s wastewater treatment plant.

1989 – 1994 Montgomery-Watson Americas, Inc.-Project Manager

Provided Project Management and Construction Management services to various and diverse clients on the following projects: $70 million water treatment plant renovation/expansion; $24 million underground district chilled water system. Provided Design Management services overseeing the efforts of various staff mechanical design engineers ranging from process piping to HVAC to steam cycles to power generation.

1987 – 1989 HWH Associates, Inc.-Project Engineer

Performed various mechanical design engineering efforts ranging from process piping to HVAC to steam cycles to power generation for various industrial clients.

1986 – 1987 J.E. Manzi & Associates, Inc.-Project Manager

Worked with a Client’s outside legal counsel to develop an as-built construction schedule that was instrumental in developing a litigation strategy in a lawsuit for lack of fiduciary responsibility involving a $10 billion nuclear power plant.

1978- 1986 The Cleveland Electric Illuminating Co., Inc.-Purchasing Agent/Contract Administrator

Served as a Purchasing Agent, whose primary duties and responsibilities included the negotiation of all change orders and construction claims for various and diverse contractors working to construct an $8 billion nuclear power plant.

As a Contract Administrator, oversaw the day-to-day activities of several contractors who provided $125 million worth of construction goods and services. Responsible for assuring that the work was performed on time and on budget while meeting the quality and safety goals and requirements established by the contract.

EDUCATION

Bachelor of Science Degree in Mechanical Engineering

Cleveland State University, 1978

Masters Degree in Business Administration

Lake Erie College, 1984

PROFESSIONAL AFFILIATIONS

American Arbitration Association – Panel of Commercial Arbitrators

CERTIFICATIONS

Registered Professional Engineer, Ohio, 1982

Former Certified Ohio Department of Industrial Relations

Special Inspector of Pressure Piping #348

Reference

EAI currently has one contract to provide construction management and closeout services. The contract is with Zion Chapel Missionary Baptist Church, Cleveland, Ohio. The project involves renovation and expansion of existing buildings. Value of construction is $600,000.00. The planning for project started in December 1999 with the construction start date in July 2001. The project was completed in the summer of 2002. The owner’s contact for this project is Reverend Kenneth James, 216-251-5137.

Customer reference for EdArch Associates, Inc. is:

Zion Chapel Missionary Baptist Church

4234 Lee Road

Cleveland, Ohio 44128

Reverend George O. Stewart, 216-752-0108

Reverend Kenneth James, 216-251-5137

Deacon Charles Lee, 216-570-5321

Services provided by EdArch Associates include planning, contract development and negotiation, contract scopes of work for 10 prime contractors, scheduling, estimating, procurements, change management and design review.

Current Projects

NASA-New Central Chemical and Storage Facility

Client: Blaze Building Corporation

151 Lou Groza Blvd.

Berea, Ohio 44017

Contact Mr. Pete Marcoff, Project Manager

440-234-5595

EdArch Associates, Inc. duties are to provide scheduling and construction consulting services for the construction of the new facility. Project value is $7.0 million with anticipated completion in 2004. The project requires the critical scheduling and sequencing of work required to relocate the Central Chemical and Storage Facility to make way for the new runway at Cleveland Hopkins International Airport. Critical nature of the work is to maintain operation at existing facility while constructing a new building without interruption of NASA’s daily operation.

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