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CONTRACT NO. K-1314-103: A CONTRACT BY AND BETWEEN THE CITY OF NORMAN, OKLAHOMA, AND PINNACLE CONSULTING MANAGEMENT GROUP, INC. TO PROVIDE ON-CALL RIGHT-OF-WAY ACQUISITION AND UTILITY RELOCATION SERVICES FOR CAPITAL PROJECTS.
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BACKGROUND: On August 24, 2010 City Council approved two (2) separate annual contracts with Pinnacle Consulting Management Group, Inc. and Smith Roberts Land Services, Inc. for right-of-way acquisition and utility coordination services on capital improvement projects. Language in these contracts only allows them to be automatically renewed up to three years and the current annual contracts have expired. Over the last three years, Public Works and the Utilities Departments have utilized the two contracts with excellent results. These annual, pre-position contracts provide cost and time savings to the City of Norman, which enhances capital project delivery.
DISCUSSION: The Public Works Department prepared a request for proposal to solicit new annual contracts for right-of-way acquisition and utility coordination services to be utilized as needed for capital improvement and utility coordination projects. The City received 6 proposals for these services. The selection committee included three (3) staff members consisting of John Clink, Capital Projects Manager; Josh Malwick, Capital Projects Engineer; Mark Daniels, Utilities Engineer and two (2) private citizens including Evan Nixon, Don Cies Companies and Don Carter, University of Oklahoma, who independently scored each proposal on a point scale as defined in the request for proposal. Upon review of the proposals by the selection committee, three (3) of the six firms submitting proposals, Smith Roberts Land Services, Pinnacle Consulting Management Group and Lemke Land Surveying were selected to provide the necessary services.
Contracts have been negotiated with the three (3) firms which identify the hourly rates for a variety of tasks associated with right-of-way acquisition and utility coordination. Each firm has signed the same contract which allows the City of Norman to utilize their services on an as-needed basis, pending availability of funds within each project at the rates identified in each contract for a period of one (1) year. Each contract includes language that will automatically renew itself up to five years if both parties agree and performance has been satisfactory. Work is sufficient for each firm to anticipate a workload which allows them to be competitive with their hourly rates, thus saving the City money. Over the last three years, the City has spent $343,876 for services from Smith Roberts Land Services and $60,438.29 for services from Pinnacle Consulting Management Group, Inc. The City has previously utilized Lemke Land Surveying for their surveying services, but this is the first time that the City will have contracted with Lemke for their right-of-way and utility coordination services.
These contracts allow the City's capital project managers the flexibility to utilize these services in a more efficient manner, and better manage their projects based on the consultants' capabilities and expertise as well as their availability to complete the project needs in a timely manner.
The services provided through these contracts include appraisals of land, negotiations with property owners, extensive documentation, relocation services when needed and utility coordination. The work of each firm is closely monitored by City staff. All legal services are provided by the City Legal Department. The final acquisition of property and the associated compensation must be approved by the City Council for every parcel.
If approved, funding for these services will be available in the respective project accounts and charged at the hourly rates identified in each contract on an as needed basis.
RECOMMENDATION: Staff recommends approval of Contract K-1314-103 with Pinnacle Consulting Management Group, Inc. for right-of-way acquisition and utility relocation services.