## [[Risk Action Plan]] ### [[Risk Description|Description]] Due to advances in HDPE pipe technology and favorable market pricing, there is an opportunity that substitution of ductile iron pipe with HDPE in select non-pressure runs may be approved by [[EPIC Water Authority]], which may lead to estimated material cost savings of $180,000 and 15% faster installation rates. > [!abstract]- Risk Analysis — Key Assumptions & Current Controls (click to expand) > > **Key Assumptions:** > - HDPE substitution is limited to non-pressure gravity and low-pressure runs where the specification allows or-equal substitutions. > - [[EPIC Water Authority]] has authority to approve material substitutions under the contract's value engineering provisions. > - Current market pricing for HDPE is favorable relative to ductile iron; pricing has been validated by [[Yoshi]] with at least two suppliers. > - Installation rate improvement estimate of 15% is based on comparable projects in similar soil conditions. > > **Current Controls:** > - [[Mario]] reviewing applicable specification sections for substitution eligibility. > - Formal value engineering submittal process outlined in [[EXHIBIT C - General Conditions]]. > - No substitution will proceed without written approval from [[EPIC Water Authority]]. > [!abstract]- Sources of Information & References (click to expand) > > **Sources:** > - [[EXHIBIT C - General Conditions]] — Value engineering and material substitution procedures > - [[Executed Contract]] — VE sharing provisions and approval authority > - [[Section 01 32 16.20 Construction Progress Schedule]] — Installation sequence and schedule impacts > > **Attachments:** > - None at this time. VE submittal package in preparation. ### [[Risk Mitigation Strategy]] EXPLOIT — Prepare and submit a formal value engineering proposal to [[EPIC Water Authority]] for approval. Accelerate the review and approval process by pre-coordinating with Owner's engineer to address technical questions before formal submittal. Engage [[Mario]] to prepare cost backup and installation schedule analysis supporting the substitution. 1. [[Yoshi]] to identify all pipe runs eligible for HDPE substitution in coordination with [[Mario]]. 2. Obtain firm supplier pricing for HDPE material to validate the $180,000 savings estimate. 3. Prepare formal VE submittal per [[EXHIBIT C - General Conditions]] procedures, including cost comparison, technical equivalency documentation, and installation schedule benefit analysis. 4. Pre-coordinate with [[EPIC Water Authority]] engineer to address technical questions and reduce review time. 5. Track submittal through Owner's approval process; escalate if review exceeds contract response time. ### Possible Additional Actions | Response | Effectiveness | Cost | | ---- | ---- | ---- | | Pre-coordinate with Owner's engineer before formal submittal | High | Low | | Obtain firm pricing from multiple HDPE suppliers to validate savings | High | Low | | Prepare installation productivity data from comparable projects | Medium | Low | | Identify additional pipe runs for potential substitution beyond initial scope | Medium | Low | ### Comments & Recommendations The $180,000 savings estimate is significant and warrants a formal value engineering effort. The key to exploiting this opportunity is speed — favorable HDPE pricing may not persist, and the installation benefit is only realized if substitution is approved before procurement is locked in. [[Yoshi]] should coordinate directly with [[EPIC Water Authority]] early in the process to understand any Owner preferences or concerns before formal submittal. A pre-submittal meeting often reduces review time and improves approval probability. If approved, the VE savings should be split per the contract's value engineering sharing provisions. Confirm the applicable sharing formula with [[Mario]] before finalizing the submittal. ### Status - [ ] [[2026-02-26]] [[Yoshi]] completed preliminary pipe run analysis — 12 eligible runs identified totaling approximately 1,800 LF. Supplier pricing obtained from two vendors; HDPE pricing confirmed favorable. VE submittal package drafting in progress. Target submittal date: [[2026-03-15]]. ^status-2026-02-26 - [ ] [[2025-12-10]] Opportunity identified during constructability review. [[Yoshi]] directed to evaluate HDPE substitution feasibility for non-pressure pipe runs and prepare preliminary cost analysis. ^status-2025-12-10 > [!abstract]- Status History (click to expand) > > No closed entries at this time.