CHC CHC Cost Management & Contract Administration 2

Question 1

In a Design-Build project delivery method, who is responsible for both design and construction?

Accepted Answer

A single entity contracted to the owner

Answer

In Design-Build delivery, a single entity holds one contract with the owner and is responsible for both design and construction services.

Question 2

The primary advantage of the Construction Manager at Risk (CMAR) delivery method for healthcare projects is:

Accepted Answer

The CM provides a GMP and preconstruction services while managing subcontractors

Answer

CMAR provides early contractor involvement through preconstruction services including cost, schedule, and constructability review, ultimately delivering under a Guaranteed Maximum Price.

Question 3

In competitive bidding for public healthcare construction, projects are typically awarded to:

Accepted Answer

The lowest responsive, responsible bidder

Answer

Public projects require award to the lowest responsive, responsible bidder to ensure fair and transparent use of public funds.

Question 4

A subcontractor default insurance (SDI) policy in healthcare construction protects:

Accepted Answer

The general contractor from financial losses due to subcontractor defaults

Answer

SDI protects the general contractor from financial losses when a subcontractor fails to complete their scope, serving as an alternative to traditional performance bonds.

Question 5

A bid bond in healthcare construction ensures that:

Accepted Answer

The winning bidder will enter into the contract at the submitted bid price

Answer

A bid bond guarantees that if a bidder is awarded the project, they will execute the contract and provide the required performance and payment bonds.

(CHC) Certified Health Care Constructor Practice Test

(CHC) Certified Health Care Constructor Practice Test

CHC CHC Cost Management & Contract Administration 2