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CONTRACT K-2021-97: A CONTRACT BY AND BETWEEN THE NORMAN MUNICIPAL AUTHORITY AND GE JOHNSON CONSTRUCTION COMPANY IN THE AMOUNT OF $85,000 TO PROVIDE CONSTRUCTION MANAGEMENT AT RISK SERVICES FOR THE NORMAN FORWARD MULTI-SPORT AND AQUATICS CENTER PROJECT.
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BACKGROUND: On 13 October 2015, Norman citizens passed the Norman Forward Initiative, funding a variety of projects through a ½% sales tax increase over 15 years. Included in the Norman Forward Initiative was a project to construct a new Multi-Sport Complex and Indoor Aquatic Facility.
The Multi-Sport Complex and Indoor Aquatic Facility were initially proposed as two separate projects. These projects were combined into one more extensive project in 2018, to be located at the southeast corner of 24th Avenue NW and Rock Creek Road. This new sports and aquatic complex will include eight full-sized basketball or 16 volleyball courts; a 25-yard, 8-lane lap pool; and a 25-yard, 4-lane warm-up pool; concession stands; retail space; administration offices and, through a partnership with Norman Regional Health System (NRHS), a health and wellness clinic to be placed between the multi-sports and aquatic complexes. Oklahoma City firm Frankfurt, Short, Bruza (FSB) was selected as the architectural and engineering consultant for this project in March 2018. FSB has completed the schematic design phase of the project and is now ready to proceed with design development, construction documents and assist with construction administration through the project completion.
DISCUSSION: In December, we advertised and received CMaR service proposals from seven management service companies. Three companies were selected for interviews, which were conducted on January 22, 2021. Based on their experience with other similar projects, GE Johnson Construction Company was chosen as the company with the best proposal to manage the construction work for the Multi-Sport and Aquatic Center.
Construction Manager at Risk is a process where the Norman Municipal Authority (“Owner”) will hire the Construction Manager to handle bidding of different sections of the work and all the subsequent construction activity for the project for a Guaranteed Maximum Price (GMP). The GMP is subsequently considered as an amendment to the CMaR contract after the most responsible bids are secured through the proper bidding procedures governing public projects. Project bids are sealed and opened consistent with the City’s bidding policies. The GMP will also include all of the CMaR’s profit on the project, which will be itemized in the amendment.
This project delivery method allows the CMaR to work for the Owner while gathering bids from their best pre-qualified vendors and subcontractors, who have a history of working with the CMaR. Also, the CMaR process often maximizes opportunities to get participation from local, smaller sub-contractors.
For this project, since the design development stage has not begun, the pre-construction services provided by GE Johnson throughout the rest of the design process will help the design team identify ways to keep overall pricing down on the project.
The construction will be fully bonded at the time when the construction bids are awarded for the GMP. At that stage, the CMaR contract includes all of the necessary professional liability and insurance and affidavits that come with all professional services contracts.
The amount being awarded to GE Johnson in this first contract will cover the monthly expenses associated with doing the business of the CMaR for the anticipated duration of the project. NRHS has agreed to be responsible for the portion of these fees that are associated with the clinic space, in addition to all other design and construction fees required for that portion of the project.
Adequate funds are available for this contract in the Multi-Sport and Aquatics Complex projects, Construction (account 51796601- 46101; project NFB003; and account 51795546 - 46101; project NFB002).
RECOMMENDATION: It is recommended that The Norman Municipal Authority approve Contract K-2021-97 with GE Johnson Construction, in the amount of $85,000 for Construction Management at Risk Services for the Indoor Multi-Sport and Aquatics Project for the Parks and Recreation Department.