Tag Archives: Justin Kelton

PHOTO CAP: Lake Pleasant Water Treatment Plant, the city’s first design-build project.

Op-Ed: Alternative project delivery methods gain popularity

Justin Kelton is Vice President of McCarthy Building Companies leading the firm’s education, health care, hospitality, parking, and renewable energy teams. Reach him at jkelton@mccarthy.com.

Justin Kelton is Vice President of McCarthy Building Companies leading the firm’s education, health care, hospitality, parking, and renewable energy teams. Reach him at jkelton@mccarthy.com.

As a general contractor, one of the most critical roles we play is that of educator. Construction delivery methods are constantly evolving and expanding, and it’s our responsibility to stay abreast of the latest evolutions to inform our project owners so they understand all options available when planning for the design and construction of new projects.
This is especially true when it comes to public projects like schools, water and waste water treatment plants, aviation projects, roads and highways and prisons. These owners haven’t had as much experience with alternative delivery as private owners because legislation enabling this in the public sector is relatively new.
While owners’ needs haven’t changed during the downturn – they are still serving an ever-growing population but doing so on at-times drastically reduced budgets – what has changed is their ability to finance construction projects. Today, we have two construction delivery methods available to public owners that are well suited to help: design-build-finance and public-private partnerships (P3).
Design-Build-Finance: This is the most preferred mode of project delivery for an owner who acts as a third party responsible for providing the service, which is a common case with municipal institutions that operate water and wastewater treatment plants as an example, because it gives them a viable financing alternative without the huge capital investment typically associated with plant construction. Variations of this delivery method also include design-build-operate and design-build. The latter is the basis of these integrated models, which overlaps design and construction by hiring one design-build team to deliver the project requirements versus hiring an architect/engineer and contractor separately. This contracting approach solicits creativity from industry by providing integrated design and construction solutions and provides price certainty early in the life cycle of the project.
Public-Private Partnership: A public-private partnership involves a contract between a public-sector authority and a private party, in which the private party provides a public project and assumes substantial financial, technical and operational risk in the project. In some types of P3, the cost of using the facility is borne exclusively by the users and not by the taxpayers. Of all the delivery methods available today, P3 has the most potential to solve more problems and deal with the challenges associated with complex projects. As states continue to develop legislation to enable and support these types of partnerships, it will become a more viable and attractive option for owners. P3 enables the public sector to harness the expertise and efficiencies that the private sector can bring to the delivery of certain facilities that have been traditionally procured and delivered by the public sector. P3 is structured so that the public-sector owner seeking to make a capital investment does not incur any borrowing. Rather, the P3 borrowing is incurred by the private-sector vehicle implementing the project and therefore, from the public sector’s perspective, a P3 is an “off-balance sheet” method of financing the delivery of new or refurbished public-sector assets.
Today, the construction industry is doing a much better job allowing owners the flexibility of delivery methods. Of course, design-build-finance and P3 are just two of several alternative delivery methods available today.
Unfortunately, there is no “one size fits all” prescription when it comes to construction delivery. Each project is unique and often has a complex set of circumstances to consider before selecting a delivery method. It takes a lot of training, insight and experience to get it right. Owners should not be averse to opening up a dialogue with contractors and learning from their varied experiences – good and bad – with an array of owners.
For additional resources on construction delivery methods, visit the Alliance for Construction Excellence housed within the Ira A. Fulton Schools of Engineering at Arizona State University or the Construction Industry Institute.

Justin Kelton

Justin Kelton to Lead McCarthy's Education Services Team

McCarthy Building Companies promoted Justin Kelton to head of the Education Services business unit for its Southwest division.

In this new position, Kelton will oversee all aspects of K-12 education projects in Arizona and New Mexico, as well as work closely with the business development team to target new pursuits. Prior to this promotion, he served as vice president of operations at McCarthy.

Over the course of his 12-year career with McCarthy, he has led the construction of more than $450M in K-12 school construction projects in Arizona and New Mexico. TheEducation Services team is one of the most active teams within the Southwest division.

“Justin’s business development savvy and drive has helped McCarthy forge numerous new client relationships in the education sector,” said Bo Calbert, president of McCarthy Building Companies’ Southwest division. “His strong operational background and his commitment to delivering projects that meet our stringent safety, quality and budget management expectations make him a good fit for this role.”

Kelton’s career in construction began as a laborer. He joined McCarthy in 2001 after serving as a U.S. Marine, and he has received several promotions over the past decade. He earned a Civil and Environmental Certificate from Vermont Technical College. He is a member of the American Society of Civil Engineers and the Western Maricopa Coalition (WESTMARC). He also participates with McCarthy Heart Hats, the volunteer-based community outreach arm of McCarthy Building Companies that includes McCarthy employees and their family members who support the communities in which they live, work and play by volunteering for communityprojects and fundraising efforts.

 

McCarthy Building Companies - Greenway High School

McCarthy Building Companies Begins Work On 2 High School Replacement Projects

McCarthy Building Companies recently began construction on a phase I project to replace classroom buildings at Greenway and Thunderbird high schools in the Glendale Union High School District (GUHSD). The $14.6M contract funds demolition and new construction on both campuses.

 These projects were the result of an $80M bond election that was passed by voters in 2011. Funds from the bond are being used for renovations and repair of existing school buildings, new construction and supplying school buildings with furniture, equipment and technology.

McCarthy Building Companies began work on both campuses in March and demolished old buildings prior to starting construction on the new, 2-story classroom buildings, which are being built using concrete tilt-wall construction. This construction method enables both projects to be fast-tracked for completion.

“Our Education Services team really shines when we’re able to put our unique scheduling expertise to the test,” said Justin Kelton, vice president of operations for the Education Services at McCarthy Building Companies. “Our crews will be working two eight-hour shifts all summer long in order to complete these buildings prior to the start of school in August.”

Neil Rogers, administrator of facilities for GUHSD, added, “McCarthy is changing the way schools are built in Arizona. Their ability to self-perform and complete projects in half the time utilizing two shifts without sacrificing safety, quality or budget gives our District a tremendous amount of flexibility that allows us to concentrate on the students, staff and the community.”

The Greenway High School building (above), 3930 W. Greenway Rd. in Phoenix, represents 42,000 SF of general classroom space. The Thunderbird High School building, 1750 W. Thunderbird Rd. in Phoenix, totals 60,000 SF of general classroom space as well as science labs and rooms for special education programs.

“In order to promote healthier, safer campuses, older buildings at Greenway High and Thunderbird High have been torn down to make way for modern classrooms, which will be open to our students this fall,” said Kim Mesquita, administrator of community relations for GUHSD.

“The bulk of the construction is occurring over the summer when class is not in session. The safety and education of our students are our top priorities.”

Orcutt | Winslow is the architect on both projects. Major subcontractors include JFK Electric, Baker Concrete and Schuff Steel. McCarthy Mechanical is working on the Greenway High project and Midstate Mechanical is working on the Thunderbird High project.

For more information on McCarthy Building Companies, visit their website at www.mccarthy.com.