Board Agenda - August 07, 2007

1. #2007-005 Construction Manager at Risk New Meadows Elementary Guaranteed Maximum Price (GMP)

Presenter: Richard Matkin

Purpose: 

Time: No time limit

Description:

The Construction Manager at Risk (CMR) was approved by the Board on March 20, 2007. An early release package (Bid Package 1) for $4,806,032.00 was approved on June 5, 2007. At that time, the Construction Manager presented an Initial GMP estimate of $14,652,000.00.

The CMR has taken bids for the remaining work (Bid Package 2) and is presenting a total GMP for the entire project. Approval of the BP-2 amount of $9,722,464.00 is being requested at this time. Adding this amount to the previously approved amount brings the total GMP for the entire project to $14,528,496.00. By the contractual definition, the Construction Manager's Fee for Construction Period Services is a part of the Guaranteed Maximum Price, and the Pre-Construction Period Services are outside the GMP. The summary below represents the allocation as will be shown in the contract.

Summary:
Pre- Construction Services Fee (previously approved) $ 10,000.00
Bid Package 1 (previously approved): $ 4,806,032.00
Bid Package 2 (this request for approval): $ 9,722,464.00
Guaranteed Maximum Price (includes previously Approved Construction Services Fee at 3.35%):               $ 14,528,496.00

Previous GMP Estimate: $ 14,652,000.00 Total Contract Amount (including Pre-Construction Services) $ 14,538,496.00

Recommendation:

The Administration recommends that the Contract for Construction Manager at Risk with Cadence McShane Corporation be amended by an additional $9,722,464.00 to provide the Guaranteed Maximum Price of $14,528,496.00.

Business Impact:

Estimated Value: $14,528,496.00
Budget/Financial Implication: 2000 and 2004 Bond Funds

Summary:

Appendix:

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