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Owner's Construction Manager practice questions

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Question 1Project Delivery Methods

Under a traditional design-bid-build delivery, which party typically holds the prime contract with the owner for construction?

  1. The architect of record
  2. The surety company
  3. The construction lender
  4. The general contractor Correct answer.

Explanation

In design-bid-build the owner first contracts separately with a designer, then awards a separate prime construction contract to the lowest responsive bidder, normally a general contractor. The architect serves the owner under a professional services agreement and does not hold the construction contract. The lender and surety are financing and risk-transfer parties, not builders.

Question 2Project Delivery Methods

Which delivery method is defined by a single contract entity holding responsibility for both design and construction?

  1. Construction management at risk
  2. Multiple-prime contracting
  3. Design-bid-build
  4. Design-build Correct answer.

Explanation

Design-build is the delivery method in which one entity contracts with the owner to furnish both design and construction services under a single agreement. This single point of responsibility is the defining feature that distinguishes it from methods that split design and construction. CM at risk and multiple-prime arrangements still separate design from the construction contract.

Question 3Project Delivery Methods

In construction management at risk, at what point does the CM typically become contractually bound to a guaranteed maximum price?

  1. At the owner's initial selection interview
  2. Immediately upon execution of the preconstruction agreement
  3. Only after final completion and acceptance
  4. When the design reaches a defined level of completion Correct answer.

Explanation

The CM at risk usually begins under a preconstruction services agreement and later converts to a GMP amendment once design documents are sufficiently developed to price the work. Setting a GMP before design is defined would transfer unquantified risk at an unreasonable premium. The conversion point is therefore tied to a design milestone negotiated in the contract.

Question 4Project Delivery Methods

An owner wants early involvement of the builder in design decisions but must award construction through a competitive low-bid process required by statute. Which approach best fits?

  1. Turnkey development with a sale-leaseback
  2. Agency construction management with a separate bid package Correct answer.
  3. CM at risk with a GMP amendment
  4. Pure design-build with a single contract

Explanation

Agency CM lets the owner retain a construction manager as an adviser while still procuring the actual construction through separate competitive bids, preserving the statutory low-bid award. Design-build and CM at risk generally require selecting a single entity by qualifications or best value rather than low bid. The agency CM therefore supplies early constructability input without displacing the required award method.

Question 5Project Delivery Methods

Which characteristic most clearly distinguishes agency CM from CM at risk?

  1. The agency CM holds no construction contract and bears no construction risk Correct answer.
  2. The agency CM provides the design professional of record
  3. The agency CM self-performs all major trade work
  4. The agency CM guarantees a maximum price to the owner

Explanation

An agency CM acts as the owner's professional adviser and does not hold the trade contracts, so it carries no construction cost or schedule risk. CM at risk, by contrast, holds the construction contracts and accepts a guaranteed maximum price. Self-performance and design responsibility are separate issues that do not define the agency role.

Question 6Project Delivery Methods

On a design-build project, the owner's primary means of controlling design quality after award is best described as which of the following?

  1. Establishing performance criteria and review milestones in the contract Correct answer.
  2. Hiring a separate architect to redesign the project
  3. Approving every shop drawing before fabrication
  4. Relying on the builder's internal quality program alone

Explanation

Because design and construction sit with one entity, the owner controls quality mainly through the performance and prescriptive criteria stated in the bridging or RFP documents, plus contractual design review milestones. Detailed shop drawing approval is normally delegated to the design-builder's own design professional. Adding a second designer after award would duplicate responsibility and undermine the single point of accountability.

Question 7Project Delivery Methods

Which project condition most strongly favors selecting design-build over design-bid-build?

  1. The owner wants an early, single-point schedule commitment and can define performance criteria Correct answer.
  2. The owner intends to direct every trade contract directly
  3. The owner needs a fully developed scope before any commitment
  4. The owner must use sealed low bids by local ordinance

Explanation

Design-build compresses schedule through overlapping design and construction and gives the owner one party accountable for both, which requires that the owner can express requirements as performance criteria. Where the scope must be fully fixed before commitment or low-bid award is mandated, traditional delivery fits better. Direct trade contracting points toward multiple-prime or agency CM instead.

Question 8Project Delivery Methods

In a multiple-prime contracting arrangement, who typically coordinates the trade contractors on the owner's behalf?

  1. The owner's lender through a disbursement agent
  2. The surety under a performance bond
  3. The largest trade contractor by contract value
  4. A construction manager acting for the owner Correct answer.

Explanation

When the owner holds several prime contracts directly, a construction manager is normally engaged to coordinate schedules, interfaces, and site logistics among the primes. No single trade contractor is contractually empowered to direct the others. Lenders and sureties perform financial and risk functions and do not manage field coordination.

Question 9Project Delivery Methods

A public owner is prohibited from awarding construction before design is complete but wants a builder's constructability review during design. Which contractual structure best achieves this?

  1. CM at risk with a GMP set at the first design meeting
  2. A turnkey contract awarded before any design begins
  3. Agency CM engaged for preconstruction review, with construction bid later Correct answer.
  4. Design-build with a lump-sum award at schematic design

Explanation

An agency CM can be retained purely for preconstruction services such as constructability and cost review while the owner later advertises the construction contract once design is complete. This keeps the statutory separation between design completion and construction award. Awarding any combined or GMP contract before design completion would violate the stated constraint.

Question 10Project Delivery Methods

Which statement best describes the owner's role in a design-build contract compared with design-bid-build?

  1. The owner states requirements and reviews at milestones rather than mediating design details Correct answer.
  2. The owner must approve each subcontractor bid before award
  3. The owner assumes responsibility for design errors
  4. The owner must arbitrate disputes between the designer and builder

Explanation

With one entity responsible for design and construction, the owner's management burden shifts to defining requirements, monitoring milestones, and verifying performance rather than coordinating between a separate designer and builder. The design-builder, not the owner, bears responsibility for design errors and subcontractor selection. This reduced coordination load is a principal attraction of design-build.

Question 11Project Delivery Methods

An owner using CM at risk wants the CM to begin work before the GMP is finalized. What contract mechanism typically allows this?

  1. A design-build bridging agreement
  2. A lump-sum construction contract executed at selection
  3. A preconstruction services amendment with a not-to-exceed cost Correct answer.
  4. A cost-plus contract with no ceiling

Explanation

CM at risk contracts commonly start with preconstruction services compensated on a not-to-exceed or stipulated basis, with construction proceeding later under a GMP amendment. This lets the CM begin estimating, scheduling, and constructability work while design advances. A lump sum at selection or an uncapped cost-plus arrangement would shift risk in ways the owner did not intend.

Question 12Project Delivery Methods

Which risk allocation is most characteristic of design-build compared with design-bid-build?

  1. The surety bears all design error risk under the performance bond
  2. The owner retains design error risk and passes construction means risk to the builder
  3. The designer bears construction means risk and the builder bears design error risk
  4. A single entity bears both design error risk and construction means and methods risk Correct answer.

Explanation

Design-build consolidates design error liability and construction means-and-methods liability in one contracting entity, which removes the traditional gap where each party blamed the other. In design-bid-build the owner generally retains design error risk while the builder bears means and methods. Sureties guarantee performance obligations but do not absorb design liability by default.

Question 13Project Delivery Methods

What is the principal purpose of a bridging document in design-build procurement?

  1. To transfer the owner's design contract to the design-builder
  2. To replace the need for a performance bond
  3. To define the owner's performance requirements and design intent for proposers Correct answer.
  4. To guarantee a maximum price before proposals are received

Explanation

Bridging documents convey the owner's program, performance criteria, and design intent so competing design-builders price and design against a common baseline. They preserve owner influence over design outcomes while leaving detailed design to the design-builder. They are not a price guarantee, a bond substitute, or a contract assignment instrument.

Question 14Project Delivery Methods

Which delivery method gives the owner the greatest direct control over individual trade contract awards?

  1. Turnkey construction
  2. Design-build
  3. CM at risk with a GMP
  4. Multiple-prime contracting Correct answer.

Explanation

Under multiple-prime contracting the owner holds separate contracts with each trade contractor and therefore directly controls their selection and terms. Design-build and turnkey concentrate awards in one entity, and CM at risk transfers trade contracting to the CM. The trade-off for this control is a heavier coordination and interface burden on the owner.

Question 15Project Delivery Methods

An owner has a fixed budget, a well-defined scope, and a policy requiring award to the lowest responsible bidder. Which delivery method is most consistent with these conditions?

  1. Agency CM with cost-plus construction
  2. CM at risk with an early GMP
  3. Design-build best value
  4. Design-bid-build with a lump-sum contract Correct answer.

Explanation

A complete scope and a mandatory low-bid award align directly with design-bid-build, where a lump-sum contract is competitively bid after design is finished. Design-build and CM at risk use qualifications or best-value selection and are less suited to a rigid low-bid policy. Cost-plus construction also conflicts with the fixed-budget, low-bid requirement.

Question 16Project Delivery Methods

In CM at risk, what does the CM typically do with trade subcontracts?

  1. Submits them to the surety for approval before award
  2. Awards them and holds them, performing under a GMP Correct answer.
  3. Forwards them to the owner for direct execution
  4. Awards them as agent for the owner without assuming risk

Explanation

The CM at risk contracts directly with trade subcontractors and holds those contracts, which is what allows it to commit to a guaranteed maximum price. Holding the subcontracts is the source of the risk the CM accepts. Agency CM, by contrast, awards without assuming cost risk, and sureties do not approve subcontract awards.

Question 17Project Delivery Methods

A design-build RFP asks proposers to submit a design concept, schedule, and price. Which evaluation approach best preserves the owner's ability to weigh design quality alongside price?

  1. Lottery among qualified proposers
  2. Best-value scoring with weighted technical and price criteria Correct answer.
  3. Lowest total price among responsive proposals
  4. Award to the proposer with the shortest schedule only

Explanation

Best-value scoring lets the owner weigh design quality, team qualifications, and schedule against price rather than defaulting to the cheapest number. Pure low-price award tends to reward design shortcuts and undermines the quality objectives of design-build. Single-criterion awards ignore the multiple dimensions the RFP asks proposers to address.

Question 18Project Delivery Methods

Which statement about the owner's exposure to change orders is generally accurate when comparing design-bid-build with design-build?

  1. Design-build eliminates all change orders regardless of owner-initiated scope changes
  2. Both methods produce identical change exposure because scope is fixed
  3. Design-build typically reduces owner exposure to design-error changes because one entity owns design Correct answer.
  4. Design-bid-build typically produces fewer owner-initiated changes because design is complete

Explanation

In design-build the entity that owns design also owns construction, so design coordination errors generally fall on the design-builder rather than generating owner-paid changes. Design-bid-build often produces changes where design omissions or conflicts surface during construction. Neither method eliminates changes arising from owner-initiated scope changes.

Question 19Project Delivery Methods

What is the primary function of a guaranteed maximum price in CM at risk?

  1. To fix the CM's fee regardless of actual cost
  2. To establish the surety's bond premium
  3. To cap the owner's cost for defined scope, with savings shared per contract terms Correct answer.
  4. To set the designer's professional fee

Explanation

The GMP caps the owner's cost for the scope defined in the amendment, with the CM absorbing overruns and typically sharing savings under agreed terms. It does not fix the CM's fee, which is separately negotiated, and it has nothing to do with design fees or bond premiums. Changes outside the GMP scope are handled through normal change provisions.

Question 20Project Delivery Methods

An owner wants to begin site work before design is complete but must retain a separate design professional for permitting. Which arrangement is most workable?

  1. Agency CM with phased bid packages released as design portions finish Correct answer.
  2. Multiple-prime contracting with no coordinating manager
  3. Design-build with a single lump-sum award
  4. Design-bid-build with one bid after full design

Explanation

Phased or multi-package bidding under an agency CM allows early site and foundation packages to proceed while later design packages are completed, and it preserves the owner's separate design contract for permitting. A single lump-sum award or a single bid after full design defeats the early-start objective. Multiple-prime contracting without a coordinator leaves interface risk unmanaged.

Question 21Project Delivery Methods

Which party normally administers the construction contract and certifies payment on a design-bid-build project?

  1. The design professional of record Correct answer.
  2. The general contractor's surety
  3. The subcontractors' trade association
  4. The owner's construction lender

Explanation

On design-bid-build projects the architect or engineer of record typically administers the construction contract, reviews submittals, and certifies payment applications for the owner. The lender disburses funds but does not certify contract compliance. Sureties and trade associations have no contract administration role.

Question 22Project Delivery Methods

Which condition most undermines the effectiveness of design-build delivery?

  1. The owner changes the program substantially after award Correct answer.
  2. The project has a compressed schedule
  3. The owner can express requirements as clear performance criteria
  4. The design-builder has in-house design capability

Explanation

Design-build depends on requirements being reasonably stable so the single entity can design and build to them; major post-award program changes erode the price and schedule certainty that justified the method. Clear performance criteria, integrated design capability, and schedule pressure all favor design-build. Substantial late program changes therefore represent its weakest condition.

Question 23Project Delivery Methods

In a CM at risk contract, what happens to savings when actual cost falls below the GMP?

  1. Savings are shared between owner and CM per the contract's savings clause Correct answer.
  2. Savings are returned to the design professional
  3. The CM retains all savings without disclosure
  4. Savings revert entirely to the surety

Explanation

CM at risk contracts typically include a savings clause allocating any cost below the GMP between the owner and the CM, often in a stated proportion. The CM does not simply keep undisclosed savings, and neither the surety nor the designer has any claim on construction savings. The exact split is a negotiated commercial term.

Question 24Project Delivery Methods

An owner is comparing agency CM and CM at risk for a project with high cost uncertainty. Which consideration most favors CM at risk?

  1. The owner wants to avoid any preconstruction involvement
  2. The owner wants the lowest possible professional fees
  3. The owner wants to retain all trade contracts directly
  4. The owner wants a single party accountable for a cost ceiling Correct answer.

Explanation

CM at risk provides a guaranteed maximum price, giving the owner a single party accountable for cost performance when uncertainty is high. Agency CM leaves cost risk with the owner because the CM holds no trade contracts and offers no ceiling. Lower fees and avoiding preconstruction services are not the deciding factors in allocating cost risk.

Question 25Project Delivery Methods

Which procurement approach is most consistent with public-sector requirements for qualifications-based selection of a construction manager?

  1. A request for qualifications followed by ranked interviews Correct answer.
  2. Sealed low bid on a lump-sum construction contract
  3. Award to the incumbent CM without competition
  4. A reverse auction among prequalified bidders

Explanation

Qualifications-based selection uses a request for qualifications, evaluation of experience and staffing, and ranked interviews or discussions to choose the CM. Sealed low bidding and reverse auctions select on price rather than qualifications. Noncompetitive award to an incumbent would generally violate public procurement rules.

Question 26Project Delivery Methods

Under a traditional design-bid-build delivery, what is the owner's contractual relationship with the construction contractor?

  1. The contractor contracts directly with the designer for construction administration services.
  2. A construction manager holds the contract and the owner has no direct agreement with the builder.
  3. The designer holds the construction contract and subcontracts the work to the contractor.
  4. The owner holds a direct contract with the contractor, who is not contractually linked to the designer. Correct answer.

Explanation

In design-bid-build the owner signs a separate contract with the designer and a separate contract with the builder, so no contractual privity exists between those two parties. This separation is what allows the owner to hold the contractor to a lump-sum price while the designer remains the owner's agent. Any coordination between designer and builder runs through the owner rather than through a direct agreement.

Question 27Project Delivery Methods

Which delivery method is characterized by a single entity holding one contract with the owner for both design and construction?

  1. Construction management at risk
  2. Design-build Correct answer.
  3. Design-bid-build
  4. Multiple-prime contracting

Explanation

Design-build consolidates design and construction responsibility under one contract with the owner, creating a single point of responsibility. The other methods divide design and construction among separate parties, which preserves the owner's need to coordinate or arbitrate between them. This single-contract structure is the defining feature that distinguishes design-build from the rest.

Question 28Project Delivery Methods

In agency construction management, what is the CM's typical contractual authority over the trade contractors?

  1. The CM shares the construction risk equally with the owner.
  2. The CM holds the trade contracts and pays the trades directly.
  3. The CM acts as the owner's agent and holds no trade contracts. Correct answer.
  4. The CM guarantees a maximum price and absorbs cost overruns.

Explanation

An agency CM represents the owner's interests and administers the work without holding the construction contracts or financial risk. The trades contract directly with the owner, and the CM's fee is typically a professional services fee. Because the CM bears no construction risk, it cannot guarantee price or absorb overruns.

Question 29Project Delivery Methods

Which delivery method requires the owner to fully complete the design before construction contracts can be awarded?

  1. CM at risk with early work packages
  2. Turnkey
  3. Design-build
  4. Design-bid-build Correct answer.

Explanation

Design-bid-build sequences design completion, then competitive bidding, then construction, so a complete and biddable design package must exist before award. The other methods allow construction to begin or be priced while design is still developing. This sequential structure is the source of design-bid-build's long overall duration.

Question 30Project Delivery Methods

An owner wants a firm construction price locked in early but also wants the builder's constructability input during design. Which approach best satisfies both objectives?

  1. Design-bid-build with a prequalified bidder list
  2. Design-build with a single combined contract
  3. CM at risk engaged during design with a GMP set before construction Correct answer.
  4. Agency CM with a separate lump-sum construction contract

Explanation

CM at risk lets the owner bring the builder in during design for constructability review while still converting the construction scope to a guaranteed maximum price before work proceeds. That combination delivers early builder input and a firm cost ceiling that design-bid-build cannot provide until bidding. Agency CM offers the input but no price guarantee, and design-build trades away the owner's separate design control.

Question 31Project Delivery Methods

In a CM at risk arrangement, what is the owner's typical obligation once the guaranteed maximum price is established?

  1. The owner pays a fixed lump sum and the CM keeps all savings regardless of contract terms.
  2. The owner pays the CM's actual cost plus fee up to the GMP and shares any savings under a pre-agreed formula. Correct answer.
  3. The owner transfers design liability to the CM for all design defects.
  4. The owner reimburses all costs with no ceiling and the CM bears no cost risk.

Explanation

Under a GMP the owner reimburses allowable actual costs plus fee up to the ceiling, and savings below the GMP are distributed according to the contract's savings clause, often shared. The CM bears risk for costs above the GMP unless changes are owner-directed. This cost-plus-with-cap structure is what distinguishes CM at risk from both lump-sum and pure agency arrangements.

Question 32Project Delivery Methods

An owner is procuring a design-build project and wants to preserve meaningful design competition while controlling the cost of stipends. Which procurement structure best fits?

  1. A qualifications-only award with price negotiated after selection
  2. Two-step qualification followed by a shortlisted RFP with a design concept and stipend Correct answer.
  3. Sole-source negotiation with a single shortlisted firm
  4. Low-bid award open to any responsive proposer

Explanation

A two-step process narrows the field on qualifications, then asks a small shortlist to submit concepts and price, which preserves design competition without paying stipends to many firms. Stipends are typically offered to shortlisted proposers to offset concept development cost. Open low-bid award and sole-source negotiation both sacrifice the competitive design comparison the owner wants.

Question 33Project Delivery Methods

Which statement correctly describes how the owner's change-order exposure typically differs between design-bid-build and design-build?

  1. Design-bid-build usually shifts more design-error risk to the contractor than design-build.
  2. Change-order exposure is identical because both methods use fixed-price contracts.
  3. Design-build usually reduces owner change orders because design and construction risk sit with one entity. Correct answer.
  4. Design-build usually produces more owner-initiated change orders because design is incomplete at award.

Explanation

Because one entity holds both design and construction responsibility in design-build, internally generated design conflicts and coordination gaps are the builder's problem rather than a source of owner change orders. Design-bid-build tends to generate more changes from design errors and gaps discovered during construction. Owner-directed scope changes remain chargeable in either method.

Question 34Project Delivery Methods

A public owner must select a construction manager on the basis of qualifications rather than price. Which delivery arrangement is most consistent with that constraint?

  1. CM at risk procured by sealed low bid
  2. Design-build awarded to the lowest responsive bidder
  3. Agency CM procured through a qualifications-based selection process Correct answer.
  4. Design-bid-build awarded to the lowest responsible bidder

Explanation

Agency CM is a professional services engagement, so qualifications-based selection is both permissible and customary, with fee negotiated after ranking. Low-bid award of construction or design-build contracts is a different procurement category governed by competitive bidding rules. Choosing agency CM keeps the selection method aligned with the qualifications-based requirement.

Question 35Project Delivery Methods

What distinguishes a multiple-prime contracting arrangement from a single-prime design-bid-build arrangement?

  1. The designer holds the trade contracts and administers them directly.
  2. The owner contracts with one builder who then subcontracts all trade work.
  3. The owner holds separate contracts with several trade contractors rather than one general contractor. Correct answer.
  4. A construction manager holds all trade contracts and guarantees their performance.

Explanation

In multiple-prime contracting the owner awards and holds separate contracts with individual trade contractors, taking on the coordination burden that a general contractor would otherwise carry. A single-prime arrangement places one contract between the owner and a general contractor who then subcontracts. The owner's added coordination exposure is the central trade-off of multiple primes.

Question 36Project Delivery Methods

An owner is comparing design-build and CM at risk for a project with a highly detailed, owner-controlled program and strict aesthetic requirements. Which consideration most favors CM at risk?

  1. CM at risk transfers all design liability to a single entity.
  2. CM at risk preserves the owner's direct contractual control over the design professional. Correct answer.
  3. CM at risk eliminates the need for a guaranteed maximum price.
  4. CM at risk removes the owner from construction administration entirely.

Explanation

When the owner wants tight control over design intent and aesthetics, retaining a direct contract with the design professional under CM at risk preserves that influence. Design-build shifts design responsibility to the design-builder, which can dilute the owner's ability to direct design details. CM at risk therefore suits projects where the owner will not surrender design control.

Question 37Project Delivery Methods

Which delivery approach allows an owner to start construction on early packages while the design of later packages is still being developed, without shifting design responsibility to the builder?

  1. Turnkey delivery
  2. CM at risk with phased early work packages Correct answer.
  3. Design-bid-build with a single lump-sum award
  4. Design-build

Explanation

CM at risk supports phased or fast-track packaging, letting early trade scopes be bought and built while later design packages continue, with the designer still contracted to the owner. Design-build also allows overlap but transfers design responsibility to the builder. Design-bid-build and turnkey both require a fuller design before the relevant award.

Question 38Project Delivery Methods

An owner wants to compare a design-build proposal against a CM at risk proposal on a like-for-like basis. Which factor most complicates a direct price comparison?

  1. Both methods transfer identical risk to the builder.
  2. The design-build price includes design services while the CM at risk price covers only construction. Correct answer.
  3. Both methods require a completed design before pricing.
  4. Both methods use the same standard contract form and fee structure.

Explanation

A design-build price bundles design and construction, whereas a CM at risk GMP covers construction with design fees contracted separately, so the headline numbers are not directly comparable. A valid comparison must add the owner's separate design and CM preconstruction fees to the CM at risk figure. Ignoring that difference systematically overstates the apparent cost of CM at risk.

Question 39Project Delivery Methods

A design-build RFP allows the owner to interview proposers but prohibits substantive changes to the RFP requirements after proposals are received. What is the primary purpose of that restriction?

  1. To reduce the number of proposers eligible for a stipend
  2. To shift design liability from the design-builder to the owner
  3. To preserve fairness and a common basis of evaluation among competing proposers Correct answer.
  4. To guarantee award to the lowest-priced proposal

Explanation

Once proposals are submitted, changing requirements would give some proposers an advantage or force unequal adjustments, undermining the integrity of the competition. Keeping the requirements fixed ensures every proposal is judged against the same criteria. Fairness and a common evaluation basis, not price outcome or liability shifting, are the objectives.

Question 40Project Delivery Methods

An owner using CM at risk discovers after GMP execution that a trade scope was omitted from the GMP basis documents. Who generally bears the cost of that omitted scope?

  1. The designer, because the omission originated in the drawings
  2. The trade contractor, because it should have identified the missing work at bid
  3. The owner, because the GMP covers only the scope expressly described in its basis documents Correct answer.
  4. The CM, because the GMP is a ceiling the CM must honor

Explanation

A GMP is defined by its stated basis and assumptions, so scope outside those documents is generally a owner cost even though the CM manages the work. The CM's cost risk attaches to the defined scope, not to work never included in the GMP. Owners therefore scrutinize GMP basis documents closely, because gaps become owner-funded changes.

Question 41Pre-Project Planning and Programming

During pre-project planning, the owner's construction manager prepares a program document. What is the primary purpose of this document?

  1. To define the owner's functional needs, space requirements, and performance criteria for the project Correct answer.
  2. To serve as the contractual schedule baseline for all trade contractors
  3. To establish the guaranteed maximum price that contractors must bid against
  4. To record the final as-built conditions after construction is complete

Explanation

Programming translates the owner's mission and operational needs into documented space, function, and performance requirements that guide design. It is developed before design and does not set contract prices or record completed work. The program becomes the benchmark against which design solutions are later evaluated.

Question 42Pre-Project Planning and Programming

An owner's construction manager is assembling the project team during pre-project planning. Which participant is typically responsible for establishing the overall budget and approving the program?

  1. The structural engineer of record
  2. The general contractor
  3. The owner Correct answer.
  4. The commissioning agent

Explanation

The owner holds the business case and funds the project, so the owner establishes the overall budget and formally approves the program. Consultants and contractors provide input and estimates but do not control the owner's budget authority. This distinction shapes how the construction manager reports and advises during planning.

Question 43Pre-Project Planning and Programming

Which statement best describes a feasibility study performed during pre-project planning?

  1. It selects the lowest responsible bidder for the main construction contract
  2. It finalizes construction documents for permit submission
  3. It evaluates whether the project is technically and financially viable before major commitments Correct answer.
  4. It documents the punch list and closeout requirements

Explanation

A feasibility study tests technical, financial, regulatory, and schedule viability so the owner can decide whether to proceed. It precedes design commitments and procurement. Its output informs the go/no-go decision and shapes the program and budget.

Question 44Pre-Project Planning and Programming

The owner's construction manager is developing a project schedule during pre-project planning. Which activity should logically occur first?

  1. Completion of construction documents
  2. Award of the construction contract
  3. Definition of the project scope and program Correct answer.
  4. Installation of temporary utilities

Explanation

Scope and program definition must precede design, procurement, and construction because every later activity depends on what is being built. Scheduling logic flows from scope definition forward. Awarding contracts or producing documents before scope is fixed invites rework and change orders.

Question 45Pre-Project Planning and Programming

What does a space program typically quantify for each room or functional area?

  1. The liquidated damages rate for delay
  2. The required net area, occupancy, and functional relationships Correct answer.
  3. The contractor's labor rates and crew sizes
  4. The warranty period for installed equipment

Explanation

A space program documents required areas, occupancy loads, and adjacency or functional relationships for each space. These data drive design and later area verification. Labor rates, warranties, and damages are commercial terms unrelated to space programming.

Question 46Pre-Project Planning and Programming

During pre-project planning, the owner's construction manager is asked to prepare a conceptual estimate. What level of design information does a conceptual estimate typically rely on?

  1. As-built drawings from a prior facility
  2. Program-level scope with unit costs or parametric ratios Correct answer.
  3. Detailed shop drawings
  4. Completed specifications and schedules

Explanation

Conceptual estimating uses program-level scope, historical unit costs, and parametric ratios because design detail is not yet available. Accuracy improves as design progresses through later phases. Shop drawings and specifications do not exist at this early stage.

Question 47Pre-Project Planning and Programming

Which document most directly communicates the owner's functional and operational requirements to the design team at the start of a project?

  1. The architectural program Correct answer.
  2. The general conditions of the contract
  3. The certificate of substantial completion
  4. The schedule of values

Explanation

The architectural program captures the owner's functional and operational needs and hands them to the design team as design criteria. General conditions govern contract administration, while the schedule of values and substantial completion certificate are construction-phase instruments.

Question 48Pre-Project Planning and Programming

An owner's construction manager is identifying project stakeholders during pre-project planning. Which group is most important to consult about operational workflow requirements?

  1. The construction lender's appraiser
  2. The building department plan reviewer
  3. The end users who will occupy and operate the facility Correct answer.
  4. The surety bonding company

Explanation

End users understand the operational workflows the facility must support, making them essential programming stakeholders. Sureties, plan reviewers, and appraisers serve financial or regulatory roles and cannot describe operational needs. Early user involvement reduces late changes.

Question 49Pre-Project Planning and Programming

The owner's construction manager recommends a design-bid-build delivery method for a project with a fully defined scope and a desire for competitive pricing. Which sequence correctly describes this method?

  1. The owner contracts separately with a designer, then awards construction to the low bidder Correct answer.
  2. Design and construction proceed concurrently under one contract
  3. Construction begins before design is complete under multiple prime contracts
  4. The owner contracts with a single entity that provides both design and construction

Explanation

Design-bid-build separates design and construction into sequential contracts, with construction awarded competitively after documents are complete. Concurrent design and construction describes fast-track or design-build arrangements. A single design-and-construction entity is design-build.

Question 50Pre-Project Planning and Programming

A construction manager is comparing delivery methods and notes that the owner wants a single point of responsibility for both design and construction. Which method best satisfies this objective?

  1. Design-build Correct answer.
  2. Multiple prime contracting
  3. Construction management at risk
  4. Design-bid-build

Explanation

Design-build places design and construction responsibility with one entity, giving the owner a single point of accountability. CM at risk and multiple prime contracting keep design separate from construction. Design-bid-build also separates the two functions.