Design 2147 Executive Ivan Moretha explains what a project closeout is, its role in the building development process, and tips for a successful closeout.
Q: What is an Alteration, previously ALT II, closeout?
A: A project closeout is pretty much what the name suggests, closing out an application or permit so that work, which was completed at a specific property, is officially signed off on, and secures the final piece of the puzzle. Per New York City Department of Building (DOB) regulations, this includes completed reports by a Special Inspections Agency, completion of all required DOB inspections, and securing final documents from the DOB.
Q: Why are closeouts necessary?
A: The closeout process is required by the DOB to ensure that the building is safe – both for occupant use and for the surrounding neighborhood – before it is allowed to operate. It’s also a final check that all the requirements along the way have been followed and that nothing was overlooked.
Q: What’s the timeframe for closeouts?
A: A building can’t operate as intended unless the closeout process has been completed, so it’s important to everyone that closeouts wrap up as soon as possible after a job finishes. Additionally, having the closeout completed is often a contractual requirement that needs to be met before final payments to architects and contractors can be made.
How long a closeout takes depends on a number of things: how quickly your team can assemble the paperwork and prepare the submission to the DOB, how soon the DOB can perform required licensed Inspections, and how many other projects are in line ahead of you.
Q: What can be done to ensure a smooth sign-off process?
A: The most important thing is to carefully coordinate with the third-party Special Inspection Agency (SIA) to ensure that construction work is being inspected at the required intervals. This makes it so that any issues can be addressed right then, instead of waiting until the end when remedying them will hold up your closeout and probably be more costly.
It’s also important to periodically review whether any changes were made on-site that require amended plans to be filed with the DOB. This avoids surprises and extra work.
Lastly, project owners or owners’ reps should coordinate with the applicants of record for their work to coordinate all required documents for that scope of work and submit them in a timely manner.
Based on working on closeouts for over three decades, I can say with certainty that the most successful closeouts are the ones that essentially confirm what has already been checked throughout the process. Any time someone says, “We’ll deal with that later in closeout,” that’s the wrong way to look at it. The closeout process takes a lot of coordination, and you don’t want to be adding in the element of surprise on top of that.
