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The Health Department Building will be bid in January and award is
<br />scheduled for March. Scheduled completions range from October, 1990 to
<br />June, 1991. To effectively manage these projects during construction, a
<br />construction manager/owner representative is necessary. The function of the
<br />construction ` manager will be to work with the contractors and architects, on
<br />the County's behalf, to insure the projects are completed on schedule, within
<br />budget, and with a minimum of problems. Attached is a copy of a portion of
<br />the RFP that delineates the scope of services.
<br />In order to meet these needs and on the most cost effective basis, staff has
<br />simultaneously evaluated retaining a firm or an individual.
<br />In considering an individual, advertisements were placed for an experienced
<br />person to be retained as a permanent county employee or contractual employee
<br />for duration of the projects. A number of applications were received and
<br />three individuals were interviewed. As the evaluation process progressed, it
<br />became clear that one individual could not properly manage the job without
<br />additional support. For example, with construction beginning immediately on
<br />three projects, the time required for contract and plan -review, among other
<br />things, will be extensive at a critical time of construction when the manager
<br />should be on site. Additionally, at various points there will be scheduling
<br />conflicts such as concrete pours, which should be observed by the
<br />construction manager. At a minimum, supplemental inspection services will be
<br />required. Considering the continuing expense required in addition to salary
<br />and benefits, it would appear to be premature to establish a permanent
<br />in-house construction management function that would continue beyond the
<br />time element of -the four current projects. Additionally, 'there would be
<br />nothing to prevent the individual from leaving during the current project time
<br />frame or some personal problem resulting in time away from the projects.
<br />A qualified person was,. interviewed who expressed an interest in contracting
<br />for,the 18 month period. The base salary and benefit.expense for that time
<br />frame would be approximately $112,500. -Additionally-,---he would require
<br />reimbursement for . transportation expense and any work consistently required
<br />in excess of 40 hours per week. The total of this is estimated to be in the
<br />range of $5,000 to $10,000. Additionally, availability of a,personal computer
<br />would be needed. He emphasized that support inspection : services would be
<br />required. The estimated range for this service is $20,000 to $30,000. The
<br />total estimated expense of this alternative is approximately $152,000.
<br />However, it should be pointed out that if significant problems occur, severe
<br />scheduling conflicts arise, or other unanticipated circumstances develop, the
<br />cost would increase.
<br />Four firms were interviewed and the final ranking .approved by the
<br />Commission for authorization to negotiate a fee and contract.
<br />Sverdrup Corporation, the top ranked firm, proposed a fee of $529,000 to
<br />provide the services required in the RFP. In negotiations, that amount was
<br />reduced to $248,000. However, the scope of services was also significantly
<br />reduced. As a result, negotiations were terminated and in accordance with
<br />the Consultants Competitive Negotiations Act, negotiations were initiated with
<br />the second ranked firm, Rooney Enterprises, Inc.
<br />Rooney initially proposed a minimum fee of $356,000. A final offer of $338,000
<br />was presented which would meet the requirements of the RFP. The offer was
<br />rejected on a cost -benefit basis and negotiations initiated with the next firm,
<br />Proctor Construction Company.
<br />Proctor initially proposed a minimum fee of $345,000. As a result of
<br />negotiations, that amount was reduced to $280,000 to provide the total scope
<br />of services required in the RFP. I believe that is a reasonable fee for the
<br />services of a firm to meet the required scope of services for the 18 month
<br />period.
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<br />1990BOOK i ll c
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