CCDC Releases 2026 Documents For Design-build And Progressive Design-build Contracting

Key takeaways

• Updates to the CCDC’s design-build standard form contracts include the new “ready-for-takeover” project milestone and alignment with prompt payment legislation.
• The first editions of the CCDC’s progressive design-build contracts allow for greater flexibility and owner engagement, accommodating ongoing input and collaboration throughout the project.
• Contracting parties should consider project nature and counterparty relationships when selecting between different delivery models and if any amendments should be made to the standard form document.

The Canadian Construction Documents Committee (CCDC) has released its new 2026 standard form contracts, which include the following new or updated documents:

• an updated edition of the CCDC 14 (Design-Build Stipulated Price Contract)
• an updated edition of the CCDC 15 (Service Contract Between Design-Builder and Consultant)
• the first edition of the CCDC 32 (Progressive Design-Build Contract)
• the first edition of the CCDC 33 (Progressive Design-Build Service Contract Between Design-Builder and Consultant)

These represent the first updates to the design-build documents since 2013, as well as the debut of CCDC’s documents dealing with the progressive design-build model.

Design-build contracts

CCDC 14 and CCDC 15 operate jointly under the design-build model. CCDC 14 is the prime contract under which an owner contracts with a design-builder, who completes both the design services and the construction work based on the owner’s requirements, all for a fixed price. CCDC 15 is a downstream contract that enables the design-builder to contract with a consultant to help fulfil its upstream obligations under CCDC 14.

The 2026 editions of these two documents respond to over a decade of industry developments, including the enactment of prompt payment and adjudication legislation in various Canadian provinces, increases to the expected amounts of insurance coverage and the implementation of concepts like ready-for-takeover and early occupancy by the owner across various CCDC contracts. While the 2013 documents continue to be available for use, parties now also have the option to use the 2026 editions instead.

Notably, and in line with updates to other CCDC contracts in recent years — including CCDC 2 (Stipulated Price Contract), CCDC 5A (Construction Management Contract – for Services) and CCDC 5B (Construction Management Contract – for Services and Construction) — the 2026 CCDC 14 and 15 documents have added the concept of “ready-for-takeover,” a milestone that largely replaces “substantial performance of the work” from the previous editions.

Ready-for-takeover is achieved upon the completion of a checklist of requirements including, among other items, substantial performance of the work as certified by the payment certifier, final cleaning and waste removal, and delivery of operations and maintenance documents to the owner. Although the payment of lien holdback remains tied to substantial performance of the work, the timing of other events, such as the start of the warranty period and the cutoff time for the waiver of claims, will instead be tied to ready-for-takeover.

Progressive design-build contracts

With the broadening uptake of the progressive design-build model, CCDC has now released its first editions of the CCDC 32 and CCDC 33 contracts. The progressive design-build model uses contracts split into two distinct phases:

• Project development phase: The design-builder works with the owner to progressively design the project on the basis of the owner’s statement of requirements. The owner reviews and refines the scope against its statement of requirements, and the design-builder’s design is developed to greater maturity at different project gates.
• Design/construction phase: Once the owner accepts the final project proposal, the design-builder delivers the project accordingly.

CCDC 32 is the prime contract under which the owner contracts with the design-builder for the completion of both phases. CCDC 33, meanwhile, is the downstream contract under which the design-builder contracts with a consultant in support of its deliverables under CCDC 32.

At each project gate, the design-builder submits an updated project proposal that includes design completed to a prescribed level of detail, a cost estimate and an estimated schedule, as well as proposed amendments to the owner’s statement of requirements. The owner may accept the submissions, require changes or terminate the agreement.

The design-builder’s fee for the duration of the project development phase may be a choice of a stipulated fee, a fee based on time-based rates, some other type of fee agreed upon by the parties or any combination of these. The final project proposal delivered at the end of the project development phase includes a stipulated price for the design/construction phase, including any allowances. If the final project proposal is accepted by the owner, the design-builder constructs the project on a stipulated price basis. Since the total project cost is not available until this later stage of the contract, owners may wish to include a guaranteed maximum price mechanism when developing supplementary conditions to a CCDC 32 contract.

Conclusion

The updated CCDC 14 and CCDC 15 documents are modernized forms of contract for parties who wish to use the popular design-build stipulated price contracting model. The new CCDC 32 and CCDC 33 documents, on the other hand, reflect growing interest in the progressive design-build contracting model. This model demands greater engagement and oversight on the part of the owner than a classic design-build model would, but it also provides more flexibility and opportunity for ongoing input and collaboration.

When choosing a delivery model and using standard form documents, a contracting party should consider factors such as the nature of the project being constructed, the nature of its relationship with its counterparty and the need to amend the CCDC contract documents.

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