Title
Resolution Approving the Selection of HDR Constructors, Inc. as the Construction Manager for the Townsend Water Treatment Facility Basin and Gravity Filter Improvements Project and Authorizing the City Manager to Negotiate and Execute a Preconstruction Phase Services Contract Not To Exceed $393,396 with the Selected Construction Manager
Body
Department: Water Resources
Council District: 2
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Steven Drew, 373-7893
Contact 2 and Phone: Mike Borchers, 373-2494
PURPOSE:
In order to utilize the Construction Manager at Risk (CMAR) project delivery method for the Townsend Water Treatment Facility Basin and Gravity Filter Improvements Project, City Council approval of the selected Construction Manager is requested. Authorization for the City Manager to negotiate and execute a preconstruction phase services contract with the Construction Manager for the purpose of developing a Guaranteed Maximum Price (GMP) is requested as well.
BACKGROUND:
The Townsend Water Treatment Facility Basin and Gravity Filter Improvements Project provides for the design of gravity filter improvements and basin rehabilitation / improvements at the Townsend Water Treatment Plant.
On June 30, 2014, the Water Resources Department issued a Request for Qualification (RFQ) for Construction Manager at Risk Services for the Townsend Water Treatment Facility Basin and Gravity Filter Improvements Project. The benefits of utilizing the CMAR project delivery method are detailed in the attached memo. This best value contracting program element provides the opportunity to engage the construction contractor during the design phase, who in turn, can provide value engineering and construction insight on complex portions of the proposed work. It also provides for a much more collaborative and open project delivery process with GMP development earlier in the project schedule as compared to Design-Bid-Build. This added benefit allows the opportunity if necessary to adjust the project scope prior to completion of design to meet budget constraints.
Five firms submitted a Statement of Qualification (SOQ) by the August 12, 2014 submission deadline. The firms who submitted a SOQ were CDM Smith, Crowder, Garney, HDR, and State Utility. A selection committee comprised of internal and external representatives was chosen to evaluate and score the SOQ submitted by each firm. The committee evaluated the submissions based on experience, qualifications, project approach, project team members, proposed M/WBE utilization plan, and safety record. The SOQ submitted by HDR received the highest score followed by Garney, CDM Smith, Crowder and State Utility.
With the selection and approval of a Construction Manager, negotiations to finalize a preconstruction services contract can proceed. Preconstruction services to be provided by HDR include design phase constructability reviews and value analysis, operations focused reviews, plant start-up and commissioning planning during design, collaborative workshops during preconstruction, project execution planning, and procurement (buy-out) planning.
The current schedule calls for the completion of the design phase and development of a GMP by July of 2015. Development of the GMP proposal for construction of the work will be performed in an open-book environment allowing the City to review all pricing information used to establish the GMP. As the Construction Manager, HDR has proposed a lump sum fee of $393,396 to provide Phase 1 - Preconstruction Services and Phase 2 - Development of the Guaranteed Maximum Price services. These services will be invoiced monthly based on percent completion.
BUDGET IMPACT:
Funding in the amount of $393,396 is budgeted in the Water Resources Capital Improvements Fund account 515-7025-01.5410.
RECOMMENDATION / ACTION REQUESTED:
The Water Resources Department recommends approval of the selection of HDR Constructors, Inc. as the Construction Manager for the Townsend Water Treatment Facility Basin and Gravity Filter Improvements Project, and authorizing the City Manager to negotiate and execute a preconstruction phase (1 and 2) services contract in the amount not to exceed $393,396 with HDR Constructors, Inc.