CLOSEOUT
PROJECT CLOSING
PROJECT CLOSEOUT

COMMON ACRONYMS
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COMMON STANDARDS OF PRACTICE
The following are termed as the best or common practices

1. PMI - Project Management institute
2. Contract Documents by FIDIC
3. Contract Documents by AIA
4. Contract Documents by Royal Institute of British Architects (RIBA)
5. Contract Documents by Canadian Construction Documents Committee (CCDC)
6. Contract Documents by EJCDC - Engineers Joint Contract Documents Committee
7. Bespoke Contract Documents of the Organisation

DEFINITION
Project Closeout is the last significant phase of project delivery which has the following objectives

1. Assurance that the Work has completed as was agreed at the start or as per changes during the course of project execution
2. Assurance that all agreed upon project management processes have been executed
3. Formal recognition of the completion of a project by the client and all stakeholders, end users, operators etc.

Closeout stage can be divided in to 7 sub-stages as follows;

1. Project Closeout
2. Client Closeout
3. Organizational Closeout
4. Contractual Closeout
5. Risk Closeout
6. Reporting Closeout
7. Team Closeout

TYPES OF COMPLETION
Different industries use different names and types of completion to suit their requirements.

1. Beneficial Occupancy is the term used to describe the procedure when the End-User occupies or makes use of any part of the work prior to Substantial Completion.
2. Substantial completion OR Practical Completion is the stage when a construction project is deemed sufficiently completed to the point where the owner can use it for its intended purpose. Substantial completion occurs once the commissioning team has fully tested the equipment and it is ready to be placed in service.
3. Mechanical Completion happens mostly for infrastructure systems and not buildings. The Contractor perfroms pre-commissioning and acquires Mechanical Completion, whereas the Proponent/ End-User/ Client performs commmissioning in presence of the Contractor. For example, the mechanical completion of the electrical distribution system may be separate from mechanical completion of the mechanical piping system, so that commissioning can proceed for one system while other systems/ areas of the plant continue to be installed. A P&ID walkthrough is conducted at mechanical completion and it is important that the mechanical completion is conducted for a complete system and not an equipment. For example, it is not helpful to declare mechanical completion for a pump, since the pump can not be tested and commissioned without power, piping, flow meters, and automation. For safety reasons, it is important that O&M manuals and redline drawings/ as-built drawings are handed over before Mechancial Completion. Mechanical completion of a system is called Partial Mechanical Completion and the Mechancial Completion of all systems/ complete project is called Total Mechancial Completion.
4. Partial Completion or Partial Posession takes place when The Client/ End User/ Operator wishes to take possession of part of a building or site, even if works are ongoing. Unless specifically stipulated in the Contract, the contractor is not obliged to allow partial possession. Common problems with partial posession are such as, access routes are difficult to achieve, disruption may happen to ongoing remaining works, additional costs and time may be required
5. Sectional Completion happens when the Contract has separate completion milestones for different sections/ phases/ zones of the Scope/ Project. Separate liquidated damages are agreed for each section of the Scope. Sectional Completion could be Substantial or Total for a section of the Project
6. Final completion also known as final acceptance is defined by the date when the enduser/ owner determines the construction project to be 100% completed, and all major/ minor punch list work concluded

WHY
Projects are remembered not by how they start but how they finish. Project Closing serves an important purpose for the organization and helps it avoid unfavorable and adverse scenarios. The final days of a project have a huge impact on overall profitability and success. If something goes wrong at the end, it could turn that “perfect” project into a nightmare. A successful and timely closeout reduces costs being spent on insurances, temporary utilities, bonds etc,. and allows to receive final payments and also the final retainage, if contract conditions allow. An unsuccessful closing causes prolonged payment disputes. Furthermore, if a project is not closed successfully, the efforts, time and credibility of project management team members are negatively perceived.

The primary purpose of early and successful closeout is to handover the facility to the end user as soon as possible so that the end user may start operations and start generating revenues.

WHEN
Project Closeout Stage starts when the Project manager thinks that the Project Scope has been completed as per agreed deliverables, specifications, legal and organizational governance procedures. Projects which do not successfully close or are not handed over at completion are termed as "Never ending projects", or "Orphaned projects".

It is a known fact that many Project Managers declare the start of Closeout stage at 85-95% completion of the deliverables, with an intention to achieve substantial completion as soon as possible. Various industries perceive the start of closeout differently. The Energy Sector or Industrial Sector may even consider to start the closeout phase at 75-80% completion.

HOW
It is advisable that the Project Manager educates the stakeholders in the closeout process and also with the technical knowledge required to understand the deliverables.

It is also advisable that the Project Manager carries out an internal walk-through to fix any deficiencies before declaring the start of closeout stage to stakeholders.

In general, the Closeout phase involves the following steps, many of which can happen in parallel as per site requirements and circumstances.

1. Prepare a closeout time schedule showing the list of proposed sections for takeover, if needed, and showing the total completion date, and submit to the Client for approval.
2. Preapre a list of planned testing, pre-commissioning and commissioning requests including manufacturers and third parties involved
3. Develop all checklists for inspections, testing, pre-commissioning and commissioning of systems and equipment
4. Preapre a list critical/ special tests requiring End-Users/ Proponent presence
5. Intimation to Stakeholders (internal and external) of start of Closeout Phase, Stage-gate phase (if applicable), Formation of the closeout committee with necessary stakeholders, and Appointment of a chairman of the closeout committee.
6. Invitation to Stakeholders for a Closeout Presentation/ Demonstration/ Walk-through
7. Distribution of Scope, Specifications, Design Basis, Employers requirements, Changes, Red-line Drawings, Testing results, notable client instructions, and Quality Assurance etc. documents to stakeholders to help understand the deliverables. These documents shall form a reference for the stakeholders to establish the state of completion
8. Provide formats/ templates/ applications to be used by stakeholders to enlist punch-list items. The template should be designed in such a way that it is easy to filter punch-lists for disciplines and for complexity.
9. Agree with stakeholders on definition of major and minor punch-list items
10. Provide a deadline to stakeholders for providing punch-list items
11. Receive and scrutinize the punch-list items.
12. Delegate punch-list items or open Non-Conformance reports (NCR) to Project team members according to disciplines to close the major items before the minor items.
13. Declare Partial or Substantial completion as soon as major punch-list items are closed/ signed off by the item initiators/ stakeholders.
14. Prepare binders/ folders/ with Project Documentation, as-built, manuals, data sheets, warranties, commissioning reports, asset lists and tags, training reports/ manuals, LEED documents etc or upload to shared servers/ applications
15. Close minor items and declare total completion
16. Arrange final interior and exterior cleanup/ trash removal/ removal of temporary utilities/ facilities, and changeover of utilities from temporary to permanent to ensure continuity of services
17. Arrange final inspection and fulfill occupancy requirements such as certificates from Fire Inspectors/ Civil Defense Authorities/ AHJs etc.
18. Risk Assessments
19. Close contracts and subcontracts
20. Reconcile financials
21. Develop a list of Lessons Learnt
22. Archive the Project
23. Disband the Project team to their functional locations/ origins

PHASED CLOSEOUT
In case the closeout is for a phase, or a stage, and the completion/ closeout of which will start or trigger the next phase/ stage, the following aspects have to be considered.

1. Assure that the project is aligned with its objectives and strategies
2. Assure that the project is aligned with its business model
3. Baseline the deliverables of the previous phase/ stage and plan future work accordingly considering any deficiencies, if any
4. Learn from lessons learnt in the previous closeout process, especially in quality and safety etc., and plan accordingly to reduce punchlist items
5. Propose changes to existing procedures if improvement is needed
6. Make strategies to avoid scope creep, schedule delays, cost over-runs etc.

EXAMPLES
Some templates and examples are given below for commonly used documents

1. Sample of Internal/ Stakeholder Handover Certificate from PM team to End User team
2. Punch-list Template
3. Examples of Punch-list Items
4. Sample of Substantial Completion and Partial Takeover Certificate to the Contractor.
5. Sample of Total Completion and Final Takeover Certificate to the Contractor
6. Sample Closeout Procedure

Internal/ Stakeholder Handover Certificate
Initiated By	Project Management Team	Handover To	End User Team
Date Initiated		Completion Type	Total/ Partial/ Sectional/ Mechanical/ Beneficial
WO/ JO/ Contract No		Budget Code
Title of Project
Brief Description of Scope

PROJECT MANAGEMENT CONSULTANT

It is hereby certified that the whole of the Works or a Part of the Works thereof as described above performed under this Contract have been reviewed and found to be complete on the date of Taking Over stated above except for minor outstanding work and defects which will not affect the use or safety of the Works or Section described. It is also certified that all Tests on Completion have been successfully performed and all other documents and information specified in the Contract are delivered to the Engineer and understands that all documents required for the use, operation and maintenance of the Works or Section described above have been provided to the Employer. A list of minor outstanding items of work and/or rectification is attached. The failure to include any items on such list does not alter the responsibility of the Contractor to complete all work in accordance with the Contract.

Name/ Designation/ Date/ Sign

PROJECT MANAGEMENT DEPARTMENT
It is certified that the subject scope or portion thereof has been completed as per agreed scope and specifications, except as noted/ attached.	Name/ Designation/ Date/ Sign

LOSS PREVENTION DEPARTMENT
It is certified that the facility has been inspected and found in compliance with applicable requirements, except as noted/ attached.	Name/ Designation/ Date/ Sign

FIRE PREVENTION/ PROTECTION DEPARTMENT
It is certified that the facility has been inspected and found in compliance with applicable requirements, except as noted/ attached.	Name/ Designation/ Date/ Sign

SUSTAINABILITY AND ENVORONMENT DEPARTMENT
It is certified that the facility has been inspected and found in compliance with applicable requirements, except as noted/ attached.	Name/ Designation/ Date/ Sign

QUALITY DEPARTMENT
It is certified that the facility has been inspected and all works found in compliance with pertinent design, engineering specifications, applicable quality requirements, codes and standards, except as noted/ attached.	Name/ Designation/ Date/ Sign

STAKEHOLDER 1
It is certified that the facility has been inspected and found in compliance with applicable requirements, except as noted/ attached.	Name/ Designation/ Date/ Sign

STAKEHOLDER 2
It is certified that the facility has been inspected and found in compliance with applicable requirements, except as noted/ attached.	Name/ Designation/ Date/ Sign

STAKEHOLDER 3
It is certified that the facility has been inspected and found in compliance with applicable requirements, except as noted/ attached.	Name/ Designation/ Date/ Sign

OPERATIONS DEPARTMENT/ OPERATING AGENCY
It is certified that the subject scope or portion thereof has been completed as per agreed scope and specifications, except as noted/ attached.	Name/ Designation/ Date/ Sign

PROPONENT COMMISSIONING REPRESENTATIVE
It is certified that tests have been conducted and witnessed demonstrating that the subject scope is complete, and ready for commissioning/ startup, and that adequate operating instructions have been received, and the subject scope or portion thereof has been completed as per agreed scope and specifications, except as noted/ attached.	Name/ Designation/ Date/ Sign

PROPONENT
It is certified that the subject scope or portion thereof has been completed as per agreed scope and specifications, except as noted/ attached.	Name/ Designation/ Date/ Sign

EXCEPTIONS (Attach extra sheets if required)

Copies of completed certificate to be sent to all signatories and also to:
1.....
2.....
3.....



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PUNCH-LIST

Punch List is a to-do-list compiled by the Engineer using an appropriate software, after receiving observations made by stakeholders during the walkthrough. All pending/ open NCRs related to Quality, Health, Safety and Environment automatically become a part of the Punch List. The items/ observations in the punch list shall meet the following criteria.

1. Must be specific to a project location, discipline, drawing, specification, scope of work, a standard and not a general statement asking to verify or check.
2. Must not propose additions to the approved “project scope of work”
3. Must be categorised as MAJOR or MINOR based on beneficial occupancy

MAJOR Punch List Items/ Observations/ Defects are listed because;

1. Proponent/ End User cannot beneficially occupy the completed area/ section of the project due to hazards to Health, Safety and Environment
2. Proponent/ End User cannot beneficially occupy the completed area/ section of the project for its intended purpose
3. Proponent/ End User cannot safely operate the facility
4. Operations will adversely impact the property or personnel
5. Proponent/ End User cannot beneficially occupy the completed area/ section of the project because a certian part of the scope is missing

MINOR Punch List Items/ Observations/ Defects are listed because;

1. Proponent can beneficially occupy and operate the completed area/ section, but a certain item/ activity is not 100% complete
2. Proponent can beneficially occupy and operate the completed area/ section, but the quality of a certain item/ activity needs a specific improvement
3. Despite minor observations, Proponent can beneficially occupy and operate with no hazards to Health, Safety and Environment
4. Despite minor observations, Proponent can beneficially occupy and operate with no impact on property or personnel
5. Proponent can beneficially occupy and operate the completed area/ section but a certain item from the approved scope of work is missing.

The Table headings (fields) suggested for the Punch-List Table are as follows;

1. Contract No
2. Contract Title
3. Contractor Name
4. Project Start Date
5. Project Completion Date
6. Completion Type (Total/ Partial/ Sectional/ Mechanical/ Beneficial)
7. Walkthrough Date

The Column headings (fields) suggested for the Punch-List Table are as follows;

1. Item ID
2. Date Created
3. Author's Name
4. Author's Email/ Phone
5. Author's Org
6. Author's Dept
7. Reference Doc Name
8. Reference Doc Para/ Clause/ Page
9. Reference Standard
10. Root Cause/ Concern (Missing Scope/ Unsafe/ Quality Issues/ Operatebility issues / Maintanability issues/ Other deficiencies)
11. Item Description
12. Discipline
13. Physical Location
14. Section/ Zone
15. Stage/ Phase
16. Item Type (Minor/ Major)
17. Plan Closure Date
18. Actual Closure Date
19. Item Status (Open/ Closed)

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EXAMPLES OF PUNCH-LIST ITEMS

EARTHWORKS

Complete backfilling and grading around the visitor parking areas to ensure stormwater drainage away from parking

Provide ditch/ swale on north side and east side for storm water at the utility area

ROADWORKS

Cut excessive asphalt on acceleration lane

Complete basecourse fill placement and compaction for shoulder near station 1800

Complete access road to utility area

Rectify Water ponding on the asphalt at the roundabout, main entrance side

Remove all the debris/detritus contained with the two culvert pipes laid under the road

Install speed sign for traffic merging onto the Highway

Replace section of finished asphalt which have been damaged by fuel leaks

Provide Accessible car parking signage

Provide more road studs on merging lanes

Fill the island near U turn with earth and provide grass

SUB-STRUCTURE

Rectify surface irregularities, cracks, and provide champers on water tank foundation

Rectify surface irregulairties, cracks, unevenness and provide chamfers on chiller foundation

SUPER-STRCUTURE

Provide shop drawings for the steel frame erected to the outside of the building

Provide thickness test conducted for the epoxy coating on Steel members

ARCHITECTURAL

Rectify Damaged vinyl floor near Toilet door

Rectify Sagged false ceiling above the sink

Glazing/ Curtain Wall panels are not aligned at different 5m level above rear door

Fix Visible joints in dry wall/ cement boards

Paint marks on bath room tiles to be removed

Skirting is not installed properly at corners and at 90 degree rather 45 degree in Men and women toilets

Fix door lock for Wooden door in meeting room

Rectify scratches on wooden door towards Storage

Fix Carpet level which is higher than the Board room marble at door to Board room

Rectify improper sealant application on curtain wall at west side

Rectify finishing of sealant between curtain wall and galaxy granite at main entrance

Safety railing at entrance stairs at utility area is not sturdy

Provide Marking/Identfication/strip on glass wall to avoid collision with clear glass wall. (Meeting room, Cafeteria and Gift shop)

Provide master key for the building

Fix threshold obstructing the door on east side

Check/ Ensure that all seals/brushes to doors are installed correctly, damaged seals should be replaced. Esp Door No D12B. Appropriate fixings should be used to hold door frames in position, fixings should not damage frame or door

Doors/hinges to kitchen cabinets appear loose to touch

Review condition of carpentry work installed in this room, skirting is not fixed tightly to the wall, joints are clearly visible, etc

Plastering incomplete behind the door in the store, scrim cloth visible through the plaster

Location of the door makes it impossible to fix an architrave to all three sides, the side without the architrave is poorly finished and needs attention

Mechanical Room door scratched in several places, sand down and repair

Unsightly joint between base of columns and floor

Magnetic look of the security room is unbalanced.

Fix Blinds fixed inside of transoms with no cover detail. Light leak at sides not acceptable for vuideo projection.

Fix noisy sliding door/ gear mechanism/ automation

Provide skirting to cover carpet edges in room 3

ELECTRICAL

Un-diked fuel sources- electrical generators area. Protect cables from accidental fuel spillage and fire.

Dressing and tagging required of both ends and on cable trays

Fix Improper conduiting of EMT (electrical metal tubing) and flexible supports above false celling

Paint marks cleanup required on sockets

Confirm if light poles are to be grouted to the foundation

All electrical and data outlets should be identified with unique ID numbers, similarly for all FD&P devices -This applies to all outlets within the project

FIRE SYSTEMS

Provide acceptance / commissioning certificates for all water base fire protection systems

Provide commissioning/ acceptance certificates FOR fire detection systems

Provide commissioning/ acceptance certificates for fire pumps

Provide list of installed fire hose cabinets & fire extinguishers

Provide testing / commissioning/ acceptance documents for gaseous fire protection system

Require Smoke detector and wiring devices tagging

Seal All cable trays and conduits penetrating walls with fire rated duct seal or foam (as appropriate)

Close Any openings in walls, floor or ceiling, So the FM 200 system works efficiently in Elec Room

Fix plastering finish around the Fire Alarm Call Point

FD&P equipment should be installed as per appropriate codes and standards (500 mm between the unit and other services)

Complete Fire Stopping to all protrusions through the ceiling, walls, etc. fire-stopping should be completed by appropriately trained persons and in line with manufacturers instructions

Fix MEP Services Void - Fire Alarm Detection Installation

HVAC

Rectify Water condensate leakage from one connection not insulated properly in first chiller.

Provide access/ opening in catwalks for maintenance of HVAC systems (opening in side rail and steps going down)

Install Dehumidifier in FAHU fresh air handling units

Clean AC filter for all before handing over

Condensate drain pipe shall be install with P trap and insulated for all FAHUs

Maintenance access cover is not properly installed. Suggest providing a handle

Ceiling grill in Foyer appears to be missing louvre and needs to be cleaned down

Remove Pencil marks

All a/c ducting shall be as per SMACNA standard: 1. All a/c duct machine connection shall have a minimum maximum degree angle of 45 degree. 2. Turning vanes should be provided for all duct elbows to ensures uniformity of air flow and greatly reducing turbulence result in very low pressure drop. See attached photos for rectification.

The environment in meeting room is noisy. Provide appropriate acoustical insulation

PLUMBING AND SANITARY

Provide P trap for sink at Pantry room

Fix and Confirm that the hand dryer is installed at the right height

Remove protective plastic from the flush tanks

Fix Slope in the shower stall in Bathroom 3

Fix First restroom flushing sensor not working.

PIPING INFRASTRUCTURE

Non metallic fire water pipe shall not be installed above ground due to risk of mechanical damage. Check installed pipe UL listing and NFPA 24 requirements.

Install flow switch on the fire pipe branch serving parking area

Install the name tagging for all mechanical services

Flow switch not installed in main line at pump set.

Install Water meter with daily pump,make up, booster and irrigation pumps

Provide and place directional flow label and identification tags for all mechanical piping network and control valves (e.g. Chilled water, Fire water, Potable water, etc.)

Necessary pipe support, protection and appropriate spacing of hangers should be identified for all plastic pipes to prevent from sagging.

Re-locate the pressure gauges of alarm check valve outside the pipe chase on a suitable location. All piping instrumentation (e.g. pressure gauge, temperature gauge, etc.) shall be provided with isolation valve. See attached actual photo and sample photo.

Isolation valve for pressure gauge to be provided. See attached photo.

SIGNAGE

Place exit signs at gates/ doors as per drawings

Rectify the exposed Cable for Exit sign above external door

INFORMATION TECHNOLOGY

Close gaps in raised floor and sealing around equipment

Unorganized IT rack with improper configuration, separation between different system should be made as follow: - Security CCTV cameras, access control, and its workstation on the first data switch. - BMS data points, workstation, and data outlets on the second data switch. - WIFI access points on last data switch

LANDSCAPING

Rectify uneven level, big gap, damages to basalt stone east side of main enterance

Rectify uneven level Jordanian stone marble in parking side walk, north side

Provide control joints on concrete sidewalk

Kerbing to Roundabout appear to be resting on timber support, kerbs should be installed as per the appropriate construction details

Replace dead or withered section of grass, ensure that irrigation system is working, maintain grass areas

All pop-up irrigation sprinkler shall be leveled/ flushed on the grass. See attached photo.

ENVIRONMENT

Significant amount of construction waste is present in the improvised laydown area next to the offices. Contractor to remove from site all construction material that is no longer of use on site

Provide documented proof (transfer notes/collection notes) for all waste transport and disposal been provided. It is unknown where all the waste has been transported to. Contractor to request from waste collection company copies of all transfer notes and disposal location

Hydrocarbon spills were evident in the parking area without been removed, cleaned up and all contaminated soil appropriately disposed of. Contractor to identify all hydrocarbon spills around the building, clean them up and dispose the contaminated soil appropriately as hazardous waste, and provide documentation.

There is a significant sized borrow pit on the northern section of the building. It is unknown what will happen to it. It is located on a water flowing path. Contractor is to conduct backfilling earthworks to restore original ground level of area.

Utility area with permanent generators and diesel tanks is not bunded and inefficiently containing any diesel spill. There is a storm water drain next to it that will mobilise any diesel in case of rainfall events. Contractor is to finalise utility area, calculate bunding requirements, place walls to achieve this and apply a layer of epoxy paint to reinforce concrete bund