Louisiana Contractors License Practice Exam

Which contracting method involves the owner hiring an architect for project design while a contractor performs the work?

1. Design/Build

2. Construction Manager

3. Single Prime Contract

4. Multiple Prime Contracts

The correct answer is: Single Prime Contract

The Single Prime Contract method is characterized by the owner entering into a contractual agreement with one main contractor who is responsible for delivering the entire project. In this scenario, the owner hires an architect to handle the project design, while the contractor executes the construction work. This method simplifies project management for the owner, as there is a single point of contact for the entire scope of work. The contractor in a Single Prime Contract assumes full responsibility for the project, including coordinating with subcontractors and managing other aspects of construction as needed. This approach can be advantageous in terms of accountability, as the contractor's performance is directly tied to their contractual obligations. In contrast, the other methods involve different arrangements with varying degrees of owner involvement or contractor responsibility. For instance, Design/Build integrates design and construction under one contractor, which differs from the traditional separation seen in the Single Prime Contract. Construction Manager typically refers to a contractor that provides oversight or consulting services rather than direct construction, and Multiple Prime Contracts involve the owner contracting with several different contractors for various portions of work, which complicates management and coordination.