HomeMy WebLinkAbout2010-05-24 10-201 ORDERCOUNCIL ACTION
Item No. 10 J2 01
Date: 5/24/2010
Item/Subject: ORDER, Awarding Contract for Preconstruction Manager - Arena
Responsible Department: Finance
Commentary:
In February 2010, the Council accepted the recommendations of the Special Committee on Arena
Implementation. At that time staff was directed to seek qualifications for preconstruction manger
services to assist in defining the overall potential scope and accurately estimate the cost associated
of a potential Phase I project at the schematic design level.
On April 23, 2010, the City received responses from the following firms: Barr & Barr, Cianbro, Consigli,
Gilbane, and Hunt Group. A six member committee conducted in-depth interviews of the respondents. The
following specific areas were deemed of greatest importance: qualifications and experience,
anticipated process, pre -construction phase work, proposal quality and fee, as well as a number of
other considerations. The final scoring indicated that two of the respondents were virtually equal,
Cianbro and Hunt Group.
Based on the City's familiarity and confidence in the qualifications of the proposed team members,
our first-hand knowledge of Cianbro's team members, as well as their proven ability to satisfactorily
resolve construction and financial challenges of extremely diverse projects, the panel's
recommendation was to award the contract to Cianbro. Cianbro offered to waive the pre -
construction manager fee of $175,000, if the City were to move forward with a construction project
with Cianrbo as construction manager within a prescribed timeframe. „
DeMftment Head
Manager's Comments:
This was reviewed and recommended for approval by the Finance Committee on 5/17/2010.
Staff will work with Cianbro to extend the timeframe under which the fee will b i ed b gond
24 months as originally proposed.
Interim City Manager
Associated Information:
MemoIOrl
Budget Approval:
Legal Approval:
Introduced for
X Passage
First Reading
Referral
Finbnce Director
ity Solicitor
Page _ of _
(TITLE.) Order,
vo
10 11201
Assigned to Councilor - Bronson May 24, 2010
CI`T'Y OF BANGOR
Awarding Contract for Preconstruction Manager Services - Arena
By the City Council ofe City of Bangor:
ORDERED,
THAT, Deborah Cyr, Finance Director, is hereby authorized, on behalf of the City
of Bangor, to execute a contract with Cianbro Corporation for preconstruction
manager services for the Bass Park arena consistent with the terms and conditions
contained in the City of Bangor RFQ and Cianbro Corporation response to the RFQ
and in a final form and as approved by the City Solicitor or Assistant City Solicitor.
IN CITY COUNCIL
May 24, 2010
Motion Made and Seconded for Passage
Resident Steve Sleeper of Silver
Road expressed his concern about
the new arena proposal. Chair
Stone asked that he be invited to
attend some upcoming informational
meet' s.
Passe
CITY CLERK
(TITLE,) "n Contract for
Premn_truction Manager Services — Arena
Assigned to Councilor
G
10 201
To: Finance Committee
From: Debbie Cyr
Date: May 11, 2009
RE: Construction Manager at Risk Services — Preconstruction of
Multi Purpose Arena
Background
On February 25, 2010, the City Council accepted the recommendations from the
Special Committee on Arena Implementation. At that meeting staff was directed
to issue a Request for Qualifications (RFQ) for Construction Manager (CM) at
Risk Services. The proposal was to be for a pre -construction manager through
schematic design phase only, with the provision to continue on through the
remaining project phases, if both parties were mutually agreeable.
On March 31, 2010, the City invited interested Construction Manager at Risk
contractors to submit written qualifications to perform a full range of
construction management service for the pre -construction phase. The CM is
expected to provide the services necessary to manage, coordinate and monitor
all aspects of the pre -construction phase such as: general administration, design
review, scheduling, cost control, constructability analysis, and value engineering.
On April 23, 2010, the City received responses from the following firms: Barr & Barr,
Cianbro, Consigli, Gilbane, and Hunt Group. We were very pleased to have received
so many quality responses to our RFQ.
Review Process
Due to the overall quality of the proposals received, the limited number of
responses and the significance of this project to the City, all of the respondents
were invited to participate in an in-depth interview. Interviews were conducted
by a six member panel made up of Council Chair Stone, Councilor Hawes, myself,
Mike Dyer, Jim Ring, and John Simpson, a member of the public with an
extensive background and in-depth knowledge of the contracting business. In
addition, to interviewee specific questions that arose from their proposals, staff
determined that the following specific areas were of greatest importance:
qualifications and experience, anticipated process, pre -construction phase work,
proposal quality and fee, as well as a number of other considerations. Each
proposer was independently scored by each member of the review team and the
results were compiled. The final scoring indicated that two of the respondents
were virtually equal, Cianbro and Hunt Group. It was evident to all that both
firms had the personnel, background, experience, relationships, and desire to
complete this project. A summary of Cianbro's and Hunt Group's proposals
follows.
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There were a number of similarities between both Cianbro and Hunt Group's
proposals. Both firms highlighted the importance of all parties (CM, Architect
and Owner) working together as a team and establishing clear parameters and
levels of authority early on. All of the respondents cited a strong working
relationship among parties as the key to successful projects. While each
respondent identified programming, unique structural and finish issues, and input
from food and beverage provider industry as critical to the overall project, the
anticipated approach varied by proposer. Both firms indicated that during the
pre-construction/value engineering process, the City would be presented options
based not only on first cost but life cost, which includes operating costs. Direct
LEED experienced varied by proposer, yet each cited similar opportunities to
implement LEED building techniques including waste stream management, use of
local materials and the impact of the mechanical/electrical and plumbing (MEP)
choices. Through the interview process, it was clear that the proposed project
delivery methodology of the CM and Architect each working for the City as
members of the project team, was the typical model employed for a project such
as this. In addition, all of the respondents were committed to using local sub-
contractors should the project move forward, which is representative of current
industry practice. As part of the responses, each firm was asked to provide a
fixed fee for preconstruction manager services. The proposed fixed fee varied
widely among the respondents ($41,000 - $175,000). This fluctuation is
indicative of a respondent's business philosophy (i.e. a loss leader). Also, most
firms indicating a willingness to deduct some or the entire proposed fee should
the City move forward with a construction project and both parties are in
agreement to continue the relationship.
While Cianbro's proposed pre -construction team includes employees with limited
direct arena/sports facility experience, they made provisions to augment this
knowledge through the use of a Special Advisory Council. The Council would
serve as a resource upon which to draw and includes a structural engineering
firm, food and beverage provider, and a general contractor with more extensive
arena type experience. Direct staff experience includes construction and
oversight of long span steel projects, smaller scale sports facilities and officer-in-
charge/program manager for the 1996 Olympics. As with most firms, CM's can
serve/assist/fulfill other necessary roles for their clients. Cianbro emphasized
their ability to provide assistance in engaging the business community as well as
participate in fundraising if needed.
The Hunt Group, by far, has the greatest overall direct experience with arenas.
Several recent projects were very similar to the current proposal in Bangor (most
of which Sink Combs and Dethlefs served as architect of record on). Their in-
house team has substantially all of the specialized knowledge related to
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programming, structural engineering and MEP. Hunt also noted the importance
of including other third parties (food and beverage, private operator) as early on
in the pre -construction process as possible. In addition, due to the large number
of arena projects they perform, they have well established relationships with
specialty vendors (i.e. seating systems, ice floor, security system, scoreboard/av
packages) that would play an integral role in the outfitting of a facility should
construction move forward. While the company is headquartered in
Indianapolis, their workload routinely `takes them on the road". They have
developed a methodology of reaching out to local subcontractors directly and
through the various trade associations to introduce themselves and form
relationships that foster success of the local workforce during a construction
project. They do so through a variety of methods including; establishment of
mentor/protege relationships or joint ventures where necessary. In addition,
their vast experience includes numerous facilities in similar climates where snow
loads and ice build-up issues have been addressed.
Recommendation
This process has proven that the City attracts a number of highly qualified
vendors when bidding work. We have a great deal of comfort that any number
of the firms that responded would do an outstanding job for the City. As the City
shifts into different project delivery methodologies, we recognize the need to
choose the right partner(s) to work with us. This point was underscored by all
the respondents.
As the panel scored the two respondents virtual equal, the focus shifted to what
we do and don't need for services. We don't need a designer for this project,
assuming we engage Sink Combs and Dethlefs. This project and the City needs
a firm that will work harmoniously and closely with other team members,
carefully assess constructability, identify potential challenges or issues with the
proposed design, have the ability to develop effective alternative
approaches/solutions to challenges, develop the most efficient construction
approach and economical pricing for the project, and understand the importance
of this project to the community and the region. Therefore, it is the interview
panel's recommendation that the contract for Construction Manager at Risk —
Preconstruction Services of a multi-purpose arena up to the schematic design
phase be awarded to Cianbro.
This recommendation is based on the City's familiarity and confidence in the
qualifications of the proposed team members, our first-hand knowledge of
Cianbro's team members, as well as their proven ability to satisfactorily resolve
construction and financial challenges of extremely diverse projects. Cianbro's
offer to the City is that the pre -construction manager fee of $175,000 will be
turned back to the project, if the City were to move forward with a construction
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project within twenty four months. While not an integral part of the RFQ, the
overall financial implications associated with construction services should a
project move forward was also reviewed with each firm and Cianbro's fees were
generally lower than Hunt's. Lastly, as we are all aware, this project has
significant local and regional implications and has the potential to be the largest
project the City may ever consider. Cianbro is most likely to understand the high
profile nature of the project as well as the related implications. The end result of
this process will inextricably link Cianbro with the outcome, thereby elevating the
level of commitment they must have to ensure the overall success of the project.