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f. <br />?■* <br />i * <br />r <br />rfc-.v <br />k <br />/, <br />TO: <br />FROM: <br />DATS: <br />Mayor and City Council <br />Ron Moorse, City Administrator /\^ <br />October 23, 1991 <br />SUBJECT: Construction Manager Contract <br />Negotiations on the Construction Manager contract for the new <br />city facilities have now been completed. The contract will be <br />forwarded to the Council on Friday, October 25. The contract is <br />the standard construction manager contract with minor <br />modifications. The most significant contract items are; Sections <br />15, 16 and 17. <br />Section 15 is the fee for basic services. This fee is set at 3% <br />of the construction cost of the project. The contract provides <br />that the basic fee will not exceed $89,430, which is 3% of the <br />most up to date construction cost estimate. The contract also <br />provides that if the construction cost is reduced the basic fee <br />will be reduced proportionately. <br />Section 16, Reimbursable Costs, includes the cost of the Field <br />Superintendent and the actual cost of items needed on the site <br />during the construction process. The reimbursable costs are set <br />in an amount not to exceed $97,724. The amount of reimbursable <br />costs reflected in the initial proposal was $106,950. <br />Section 17 is a group of general expenses that have been added to <br />the Construction Manager's responsibilities. These expenses <br />late to normal construction items that are necessary as part of <br />any building project. Staff has <br />effective way to handle these is <br />Manager. <br />determined that the most <br />through the Construction <br />It is staff's recommendation that the contract be approved in its <br />current form.