CITY OF COOS BAY CITY COUNCILAgenda Staff Report

MEETING DATE

June 4, 2013AGENDA ITEM NUMBER

TO: Mayor Shoji and City Council

FROM: Jim Hossley, Public Works and Development DirectorQj-Through: Rodger Craddock, City Manager f

ISSUE: Presentation on an Exemption from the Invitation to Bid Requirements and Useof the Contract Manager/General Contractor (CM/GC) Method of Procurementfor constructing the Wastewater Treatment Plant #2 Project

BACKGROUND:

Since the early 1980's, the Construction Manager/General Contractor (CM/GC) project deliverymethod has been utilized to successfully deliver construction projects in the State of Oregon.Public agencies that have traditionally employed the design-bid-build method, (DBB) of projectdelivery increasingly select CM/GC. CM/GC offers opportunities for success that are notnecessarily available through traditional contracting methods, (DBB). Because of thecomplexity, limited funds, public impact and a strict timeline to complete the proposedWastewater Treatment Plant 2 project, city staff recommends using a ConstructionManager/General Contractor (CM/GC) approach to the project. Staff will give a shortPowerPoint presentation on the method.

ADVANTAGES:

Utilization of the CM/GC contract delivery process will allow the City to deliver the mostcomprehensive project for the allotted funding. Another public benefit is more expeditiouscompletion of the project. The CM/GC process provides for better collaboration to ensure theProject will be completed on time, on budget and at or above the quality described in theconstruction documents. It provides better opportunities for reducing construction time by fasttracking construction where beneficial.

DISADVANTAGES:

None

BUDGET:

Staff is currently working with the design team of SHN and CH2M HILL. It is anticipated thatpre-design efforts will be complete in August 2013. Upon completion of pre-design efforts Staffis planning to conduct a Value Engineering review. At that time, if the project is going to uses aCM/GC delivery method, staff will select a CM/GC contractor based on qualifications through aproposal process similar to how engineering services are procured. The CM/GC contractor willwork collaboratively with the engineer and the City under a professional services contract duringthe Value Engineering phase and the beginning of the final design period. Once the final designprogresses far enough to negotiate a cost of construction, the CMGC contract converts to aconstruction contract (which can be reimbursable instead of Lump Sum). Staff is currentlyworking with Oregon Infrastructure Finance Authority to fund the professional services contract

Agenda Item #8

for the CM/GC contractor. Ultimately staff is working on an application for a loan administeredby DEQ's State Revolving Fund to fund the construction of the plant including the CM/GCservices.

RECOMMENDATION:

No action is required at this time. Should Council agree to move forward with the CM/GCcontracting method, staff has scheduled a public hearing on the proposed use of the CM/GCproject delivery method for the July 2, 2013 Council meeting.

ATTACHMENTS:

Presentation Slides

Agenda Item #8

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arly

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4

Agenda Item #8

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Agenda Item #8

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Agenda Item #8

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un

din

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ou

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10

Agenda Item #8

CM

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Ben

efi

tsto

WW

TP

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Agenda Item #8

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eth

od

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san

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ased

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t

12

Agenda Item #8

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13

Agenda Item #8

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er

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ates

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lete

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14

Agenda Item #8

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er

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15

Agenda Item #8

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al

Req

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16

Agenda Item #8

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17

Agenda Item #8

Pro

cess

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he

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ract

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lect

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enan

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City

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oo

sB

ayR

eso

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on

08

-02

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he

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lect

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ng

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ased

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