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5.4 ERMUSR 02-09-2021______________________________________________________________________________ Page 1 of 2 UTILITIES COMMISSION MEETING TO: ERMU Commission FROM: Chris Kerzman – Engineering Manager MEETING DATE: February 9, 2021 AGENDA ITEM NUMBER: 5.4 SUBJECT: Field Services Facility Expansion Project – Plans, Project Estimate, and Construction Management Contract ACTION REQUESTED: Authorize staff to solicit for public bids on the Field Services Expansion Project contingent upon staff review and approval of bid documents. Approve the A133 contract with RJM for construction management services BACKGROUND: Staff is continuing to work with Kodet Architectural Group, Ltd. and RJM Construction on plans for the Field Services Facility. The design is currently in the construction documents (CD) phase, with staff receiving 50% CD drawings and specifications during the week of February 1 for review. DISCUSSION: Staff has been negotiating a contract with RJM. Due to updated versions of the American Institute of Architects documents since the last project RJM has completed in Elk River, Kennedy & Graven, Chartered and RJM needed to review the bidding process and the A133 contract. The proposed A133 contract for construction management services is attached for commission approval. Kodet and RJM have put together a project estimate based on previous projects, contractor walkthroughs, and input from subcontractors in the area. Current drawings and the project estimate are attached, staff will receive an updated estimate based off construction documents near the end of February. The current bond market and construction bids are favorable but costs of both are expected to increase as we move forward. We are currently targeting the end of February to solicit for public bids, with a bid opening near the end of March, and award of bids at the April commission meeting. FINANCIAL IMPACT: Staff had been planning for a project budget of $12.5 million during budget preparation at the end of last year. Current estimates that include RJM input have the project at approximately $13.5 million. Staff has worked with bond council to review options and the plan is to issue 72 ______________________________________________________________________________ Page 2 of 2 bonds for the project costs, using construction bids received at the end of March to finalize the bond amount. As these costs are a significant portion of our upcoming capital budgets, staff also reached out to Dave Berg Consulting, LLC. They did not note any concern with the increased bonding and projections of long-term financial outlook. ATTACHMENTS: • Plans for the Field Services Facility • Project Estimate • RJM Construction Management Contract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