City Council Meeting Date: November 12, 2024
To: Mayor and City Council
City Administrator
From: David E. Bennett, Public Works Director/City Engineer
Title
Consider Approval of Construction Manager Contract for New Ice Arena.
Body
Action Requested:
The Northfield City Council Approves a Construction Manager Contract for New Ice Arena with RJM Construction LLC.
Summary Report:
The City of Northfield sent out a request for qualification for a Construction Manager At Risk (CMAR) for the construction of the New Ice Arena. The City received seven responses from construction firms. The City reviewed the qualifications and solicited proposals from three of the seven firms based on their qualifications.
The City reviewed the proposals and determined RJM Construction LLC. has most experience in constructing Ice Arenas and had the lowest cost proposal at $1,287,687.00. The cost of the proposals ranged from $1,287,687.00 to $2,272,622.00.
With RJM on board early in the project as we move into final design, they will be assisting with estimating the project construction cost and providing guidance on cost saving ideas.
The City has prepared the CMAR contract with RJM Construction. There are two steps with the CMAR contract.
Step 1 - Council approves the contract with the CMAR that outlines contract terms and RJM’s cost for CMAR services. This is tonight’s action.
Step 2 - After all bids are received from the contract trades, amendment to the contract will be approved by Council that establishes the Guaranteed Max Price of the project.
The City’s current project estimate for the Ice Arena is $20.9 Million. The contract with RJM sets the framework for the Guaranteed Max Price (GMP) for construction of the project at $19.4 Million, again this will be amended after all bids are received.
Alternative Options:
Staff is recommending approving the contract.
Financial Impacts:
RJM Construction $1,287,687.00
Below are the other Construction Manager’s costs:
Jorgenson Construction $1,316,989.00
Donlar Construction $1,318,540.00
Apex Facility Solution $1,519,332.00
Loeffler Construction $1,573,888.00
Knudtson Construction $2,120,849.00
Market & Johnson $2,272,622.00
Tentative Timelines:
Construction will begin in the Spring of 2025 and construction will be complete later summer 2026.