Board Agenda - June 06, 2006

11. #3731, CM at Risk, new elementary school

Presenter: Richard Matkin

Purpose: A - Request decision - closure required

Time: No time limit

Description:

Cadence McShane Corporation was selected as the Construction Manager at Risk at the May 2, 2006 Board Meeting. Since that time, PBK Architects and Cadence McShane have reviewed available information from Hunt and McCall Elementary Schools completed last year. Cadence has solicited updated estimates from the subcontractors on those buildings to account for the change in market conditions over the last 26 months and prepared a preliminary estimate. Cadence then used the most current documents for this project to solicit subcontract bids for approximately 51% of the value of work and has updated their estimates on the balance of the work by reviewing with additional potential subcontractors. PBK Architects has provided scope and detail information to clarify the estimated areas, and has reviewed the bid and estimate pricing. Preliminary verbal information from the geotechnical investigation confirms the structural foundation assumptions are appropriate. Using all of the above information Cadence has submitted their Guaranteed Maximum Price of $11,950,471.00 for this work.

This Guaranteed Maximum Price submitted includes the fees for Construction Period Services that were previously approved by the Board on May 2, 2006. By the contractual definition, the Construction Manager's Fee for Construction Period Services is a part of the Guaranteed Maximum Price. The summary below represents the allocation as will be shown in the contract.

Summary of Bid:
Pre- Construction Services Fee (previously approved): $0.00
Guaranteed Maximum Price (includes previously approved Construction Services Fee at 2.85%): $11,950,471.00
Total Contract Amount: $11,950,471.00

Recommendation:

The Administration recommends that the contract for Construction Manager at Risk for the New Elementary School at Renner Road with Cadence McShane Corporation be amended to provide the Guaranteed Maximum Price of $11,950,471.00.

Business Impact:

Estimated Value: $11,950,471.00 .
Budget/Financial Implication: 2004 Bond Funds.

Summary:

Appendix:

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