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MMCDA
102-211 Columbia Street
Vancouver, B.C. V6A 2R5
Phone: 604-681-0295
Fax: 604-681-4545
Philosophies of the MMCD
  • MMCD Philosophies and Benefits
  • The Master Municipal Construction Documents (MMCD) provide a framework and foundation for municipal infrastructure projects. The MMCD have become very successful – this one day course gives new Owner, Contractor, and Consulting users of the MMCD a necessary background to set them on the path to success with the MMCD.
  • Founding Principles
  • The MMCD has been built on three primary principles:
    • The language was developed only through consensus of representatives of the 3 parties involved.(Owner, Contractor, and Consultant)
    • The documents were created under a mandate for fairness.
    • The documents are easy to understand and to use.
  • These have ramifications to many areas of a municipal infrastructure project’s contracting and contract management. Follow this link for a more detailed explanation of these philosophies and operating principles of working with the MMCD.. We attribute much of this success to these foundation principles of the Documents.
  • When Should I use the MMCD?
  • The MMCD have been specifically designed for use in projects which have the following characteristics:
    • Municipal Works (underground to street level)
    • The laws of British Columbia apply
    • Unit prices form the majority of tender items.
  • When Should I NOT use the MMCD?
  • The MMCD is generally not applied to projects when:
    • A lump sum / fixed price contract is needed
    • Structural work
    • Hazardous material cleanup is involved.
  • MMCD Contract Documents Philosophies
    • Be fair to all parties
    • Provide a fair way to resolve Disputes
    • Provide a fair way to address Changes
    • Minimize risk taking by Contractor
    • Be written in plain English
    • Avoid Repetition (“say it once”)
  • Corollaries to the Philosophies
  • These philosophies are readily translated into phrases which easily guide the daily operations of a project established with the MMCD.
    • “No Surprises”
    • C/A’s Signature is “Good as Gold”
    • Provide incentives to do it right and penalties if it is done wrong “Carrot and Stick”
    • Use Consistent Terminology
    • Avoid “Something for Nothing”
    • Contractor is Competent
    • Appropriate Administration and Communication
    • Promote Prompt Dispute Resolution
  • Consequences of the Philosophies
  • Projects established with the MMCD operate with a set of principles to which all parties agree by entering into MMCD agreements.
    • Acceptance of the fairness principle - Fairness may have short term costs but will have long term benefits.
    • Requirement for competency
    • Need to follow the rules
    • Ability to resolve Disputes early
    • Be cautious when editing
  • Risk Management
  • The Fairness Principle of MMCD relationships manage risk in a manner generally different than other relationships. Risk Management under the MMCD follows these guidelines:
    • It is not in the Owner’s best interest to attempt to sell all the risk all the time.
    • All risks known or suspected at time of tender must be disclosed.
    • Any risk transferred above the baseline level should be obvious in the tender documents.
  • Why is the MMCD a Unit Price Contract?
  • The MMCD is appropriate for less defined working conditions that municipalities encounter in some infrastructure works.
    • Quantity determinations difficult
    • Unknown conditions
    • Often site decisions required
    • Reduces bid risk at little cost
  • It is common to have some fixed price or lump sum items in the Schedule of Quantities & Prices
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