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2 <br />Construction Phase: these activities would include coordination of all subcontractors, vendors <br />and suppliers, prepare project schedule, lead change order review and dispute resolution in <br />coordination with staff and Oertel Architects, enforcing and maintaining quality of control <br />standards and review of contractor labor, materials and other costs. <br />Closeout: Management and coordination of final start-up, testing and occupancy, facilitate <br />commissioning process and compile all project documentation. <br />Four firms where selected for consideration and interviewed by City staff. The firms included <br />ICS, Knutson Construction, Kraus-Anderson and RJM Construction. <br />Each of the firms were highly qualified and experienced in providing construction services. Staff <br />review included multiple factors including experience, experience specific to municipal public <br />works projects, experience working with our selected architects, costs and strategies for <br />expediting project schedule. Each of the firms were asked to provide a cost proposal based on <br />an estimated construction cost of $14,500,000 and an 18-month project schedule. Proposals <br />ranged from $1,042,171 to $1,502,854. For professional service agreements the City is not <br />required to award the lowest bid price. <br />Based on the information received through the proposals and interview process staff is <br />recommending selection of RJM Construction. RJM had the second lowest proposal cost, <br />strong background in public works building construction, and a very qualified team proposed <br />for the Lino Lakes project. <br />Staff has worked with the City Attorney and RJM to negotiate the project fee. The fee is <br />comprised of multiple components including a fixed CM fee, Construction Phase Site Services <br />based on hourly rates and monthly reimbursables based on unit costs. <br />Summary total for Construction Management Fees <br />Unit Unit Cost <br />Preconstruction Services Lump Sum $18,000.00 $18,000.00 <br />Construction Phase Site Services1 Months $41,428.42 $755,378.00 <br />Reimbursables1 Months $3,523.37 $ 64,243.00 <br />CM Fee2 Lump Sum $232,000.00 $232,000.00 <br />Total Fee $1,069,621.00 <br />1 Not to exceed fee based on 18 month schedule and Cost of Work $17,225,000 <br />2 Fixed Fee up to Cost of Work of $17,225.00. <br />Construction phase services and reimbursables are billed on actual hours/units. A shorter <br />construction period will result in a reduction in overall cost. <br />Page 346 of 353