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2011-27760 Reso RESOLUTION NO. 2011 -27760 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) NO. 30- 10/11, FOR A CONSTRUCTABILITY, COST, AND VALUE ENGINEERING SERVICES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE FOUR TOP - RANKED FIRMS, ATKINS NORTH AMERICA, INC. (FORMERLY PBS &J), CONSTRUCTION MANAGEMENT SERVICES, INC., CRAVEN THOMPSON & ASSOCIATES, INC., AND U.S. COST, INC.; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AGREEMENTS UPON SUCCESSFUL COMPLETION OF NEGOTIATIONS BY THE ADMINISTRATION. WHEREAS, on July 1, 2011, the City issued Request for Qualifications No. 30 -10/11 for constructability, cost, and value engineering review services (the RFQ) with an opening date of August 3, 2011; and WHEREAS, a pre - qualification meeting to provide information to prospective proposers was held on July 14, 2011; and WHEREAS, Bidsync sent notices to 5,364 prospective proposers resulting in the receipt of twelve (12) proposals by Atkins North America, Inc. (formerly PBS &J), Azulejo, Inc., CMS — Construction Management Services, Inc., Craven Thompson & Associates, Inc., EAC Consulting, Inc., Grycon, LLC, The Melvin Group, LLC, Pillar Consultants, Inc., Bart Reines Construction, Inc., Ric -Man Construction Florida, Inc., U.S. Cost, Inc., and Willis Construction Consulting, Inc.; and WHEREAS, the City Manager, via a Letter to Commission (LTC) No. 251 -2011, appointed the following individuals as Evaluation Committee (the "Committee ") members: • Max Berney — Resident and Leadership Academy Graduate • Alfred DeSimone — Resident and Leadership Academy Graduate • Elizabeth Estevez — Engineering Assistant I, Public Works Department • Jeanette Fernandez - Arencibia — Capital Projects Coordinator, CIP Office • Jose Perez — Capital Projects Coordinator, CIP Office with Herman Fung, CIP Construction Manager, as a Committee alternate; and WHEREAS, the Committee convened on October 10, 2011, to evaluate, score, and rank the proposals based on the evaluation criteria stated in the RFQ; and WHEREAS, the Committee agreed to recommend a pool of vendors with ample right - of -way construction experience and the ability to evaluate actual market prices, identify potential increases or decreases in costs in order to make recommendations to the City regarding changes to project specifications to minimize potential change orders and /or recommend alternate products to reduce cost; and WHEREAS, based on the scores and rankings of the Committee members, the Committee recommended that the top four firms of Atkins North America, Inc. (formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., and U.S. Cost, Inc be considered for award; and WHEREAS, after considering the review and recommendation of the Committee, the City Manager has exercised his due diligence and carefully considered the specifics of this RFQ process; and WHEREAS, the City Manager recommends to the Mayor and City Commission to adopt the attached resolution authorizing the Administration to enter into negotiations with the four top- ranked firms, Atkins North America, Inc. (formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., and U.S. Cost, Inc.; and authorizing the Mayor and City Clerk to execute agreements upon successful completion of negotiations by the Administration. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City Commission hereby accept the recommendation of the City Manager, pursuant to Request for Qualifications (RFQ) No. 30- 10/11, for Constructability, Cost, and Value Engineering Services; and authorizing the Administration to enter into negotiations with the four top - ranked firms, Atkins North America, Inc. (formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., and U.S. Cost, Inc.; and authorizing the Mayor and City Clerk to execute agreements upon successful completion of negotiations by the Administration. PASSED AND ADOPTED THIS / '7 DAY OF OCIPer 2011. ATTEST: 1?-0 (Lik.a a e W\I 4114 CITY CLERK T" 'v R *; T: QRAT E D' i \AGENDA\2011 \10- 19- 11 \ROa ?0, -1 �„„�,��. , -host and VE Services - RESO.doc '(()- 1 \- �-�i APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION m = , Date COMMISSION ITEM SUMMARY Condensed Title: A Resolution Of The Mayor And City Commission Of The City Of Miami Beach, Florida, Accepting The Recommendation Of The City Manager, Pursuant to Request For Qualifications (RFQ) No. 30- 10/11, For Constructability, Cost, And Value Engineering Services; Authorizing The Administration To Enter Into Negotiations With The Four Top- Ranked Firms, Atkins North America, Inc. (Formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., And U.S. Cost, Inc.; And Further Authorizing The Mayor And City Clerk To Execute Agreements Upon Successful Completion Of Negotiations By The Administration. Key Intended Outcome Supported: Ensure well- maintained infrastructure Supporting Data (Surveys, Environmental Scan, etc.): The 2007 Community Satisfaction Survey noted 82% of North Beach residents rated recent capital projects completed as "excellent" or "good" compared to 89% of residents citywide. Issue: 1 Shall the Mayor and City Commission adopt the Resolution? Item Summary /Recommendation: The City is in the process of implementing a capital improvement program with active projects representing approximately $700 million in total value. Quality improvement opportunities can be found by having the ability to identify constructability issues and minimize unforeseen conditions which will mitigate the attendant impact on project costs and schedules. The scope of services consists of the following, but not limited to providing: • Provide detailed quantity take off of materials required to complete various projects in accordance with Technical Specifications and design documents. • Provide detailed estimate of labor and material costs in an Excel spreadsheet format showing unit prices, based on past comparable unit costs specifically associated with the South Florida Market • Provide detailed constructability review with recommendations for alternate means and methods of construction activities, value engineering, scheduling and construction sequencing that will potentially reduce costs of the project. • Provide a cost comparison to a recognized construction cost estimating service adjusted for South Florida construction. (RS Means or equivalent) • The estimates will be contained in a single spreadsheet showing cost comparisons individually tabulated. • Identify any comparable projects, including completion dates that were used to develop the construction cost estimate. • Support City Staff and participate in the value engineering reviews with contractor. • Support City Staff in the bidding and award phase of projects. RFQ No. 30 -10/11 was issued on July 1, 2011, with an opening date of August 3, 2011. The pre - qualification conference was held on July 14, 2011. Bidsync issued bid notices to 5,364 prospective bidders with 52 having viewed the notice of which resulted in the receipt of twelve (12) bids. On October 10, 2011, the Committee discussed their individual perceptions of each firm's qualifications, experience, and competence in order to score and rank each accordingly to develop its recommendation to the City Manager. The Committee agreed to recommend a pool of vendors with ample right -of -way construction experience and the ability to evaluate actual market prices, identify potential increases or decreases in costs in order to make recommendations to the City regarding changes to project specifications to minimize potential change orders and /or recommend alternate products to reduce cost. As a result, the Committee recommended that the top four firms be considered for award. After considering the review and recommendation of the Evaluation Committee, the City Manager exercised his due diligence and recommends to the Mayor and City Commission to adopt the attached resolution authorizing the Administration to enter into negotiations with the four top - ranked firms, Atkins North America, Inc. (formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., and U.S. Cost, Inc.; and authorizing the Mayor and City Clerk to execute agreements upon successful completion of negotiations by the Administration. THE ADMINISTRATION RECOMENDS ADOPTING THE RESOLUTION Advisory Board Recommendation: Financial Information: Source of Amount Account Approved Funds: 1 N/A Total City Clerk's Office Legislative Tracking: Fernando Vasquez Ext. 6 6 9 Sign -Offs: Department Di • - cto Asst City M ger City Mana • er GL DB O JM c T:WGENDA\2011 • 19 111RFQ 30 - 10 - 11 - Constructability Cost and Services - SUMMARY.docx AGENDA ITEM ? C Mir M DATE /0-0—// (Si- MIAMI City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Matti Herrera Bower and Members of the City Commission FROM: Jorge M. Gonzalez, City Manager DATE: October 19, 2011 SUBJECT: A RESOLUTION OF THE MAYOR AN D CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO REQUEST FOR QUALIFICATIONS (RFQ) NO. 30- 10/11, FOR A CONSTRUCTABILITY, COST, AND VALUE ENGINEERING SERVICES; AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH THE FOUR TOP - RANKED FIRMS, ATKINS NORTH AMERICA, INC. (FORMERLY PBS &J), CONSTRUCTION MANAGEMENT SERVICES, INC., CRAVEN THOMPSON & ASSOCIATES, INC., AND U.S. COST, INC.; AND FURTHER AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AGREEMENTS UPON SUCCESSFUL COMPLETION OF NEGOTIATIONS BY THE ADMINISTRATION. ADMINISTRATION RECOMMENDATION Adopt the Resolution. KEY INTENDED OUTCOMES SUPPORTED Ensure well- maintained infrastructure. ANALYSIS The City is in the process of implementing a capital improvement program with active projects representing approximately $700 million in total value. Quality improvement opportunities can be found by having the ability to identify constructability issues and minimize unforeseen conditions which will mitigate the attendant impact on project costs and schedules. Staff recognizes the value of pursuing a two - pronged approach to implement more rigorous quality control initiatives utilizing dedicated in -house resources, as well as outside expertise from construction industry professionals that would be pre - selected as a result of the Request for Qualifications (RFQ) selection process. The ROW portion of the program has been subdivided into several neighborhood projects located throughout the City that are in various stages of the design, bid, and award process. The probable cost estimates and construction drawings are developed by the design consultants during the design phase of the work and reviewed by the stakeholder City Departments prior to the issuance of the Invitation to Bid, (ITB). In the past, the Special Assistant to the City Manager successfully focused on construction and change order price negotiations. This proposed new initiative will bring forth a more expansive approach to determining cost adjustments during the design process, as well as through the bidding and value engineering stages of a project. Commission Memorandum — RFQ 30 -10/11 — Constructability, Cost, and Value Engineering Review Services October 19, 2011 Page 2 of 6 Currently, the review of the design documents for constructability, equipment add /alternates, construction means and methods, level of service or value engineering are done post award of the contract. This after - the -fact review has led to delays in the issuance of the first notices to proceed to the selected contractors. The value engineering proposals are left in the hands of the contractor and are provided after award of contract. Contractually, the City then may have to share these identified savings with the contractor. If this review is done prior to issuance of the ITB, without incurring contractor's driven cost, the City would therefore be able to capture potential value engineering opportunities pre -award and therefore maximize the value of the savings beforehand. Moreover, concerns over the level of service, constructability, and construction costs of these neighborhood projects have been expressed by the residents, members of the Capital Improvement Projects Oversight Committee (CIPOC) and at the Commission Meetings at the time of the award of these projects. These concerns have resulted in requests for extensive value engineering discussions and design reviews post award of the contracts. These reviews have resulted in additional time for the re- permitting of several identified design changes which has negatively impacted the projected construction start dates for several of the projects. The current system can be vastly improved by performing these comprehensive constructability and value engineering reviews prior to the issuance of any Invitation to Bid (ITB). The proposed quality control enhancements would utilize construction industry professionals, as needed, during various phases of a project to include, but not be limited to the following: • Provide construction cost estimates; • Perform Constructability reviews; • Identify value engineering alternatives; • Review pricing on bid submittals and provide overall input on construction quality control issues. The involvement of independent industry professionals during the design process would properly address: • The residents' needs; • Review alternate construction means and methods; • Establish quality assurance /quality control procedures; • Provide comprehensive peer review of construction documents to identify design deficiencies; • Identify potential value engineering alternatives and establish accurate project timelines, which will allow the City to more precisely identify capital budget requirements; • Accurately identify the monetary requirements for construction which would allow the City to forecast the monies required prior to issuance of any necessary construction bonds and /or capital budget requirements. To accomplish this comprehensive peer review, this RFQ will need to be issued for the purpose of soliciting qualified firms to assist the City by providing constructability reviews, value engineering analysis to identify potential cost savings, technical specification reviews, identifying alternate construction means and methods, establishing accurate project scheduling, and establishing quality assurance /quality control guidelines. This goal will be met by the selected firm(s) meeting with the design team and City during the development of the project prior to the issuance of the ITB and participating in the review of bids after award of the contract. These Commission Memorandum — RFQ 30 -10/11 — Constructability, Cost, and Value Engineering Review Services October 19, 2011 Page 3 of 6 review services will be for the various current and up- coming underground utility and facilities projects under development by the City's Capital Improvements Projects Office. SCOPE OF SERVICES The scope of services consists of the following, but not limited to: • Provide detailed quantity take off of materials required to complete various projects in accordance with Technical Specifications and design documents. • Provide detailed estimate of labor and material costs in an Excel spreadsheet format showing unit prices, based on past comparable unit costs specifically associated with the South Florida Market • Provide detailed constructability review with recommendations for alternate means and methods of construction activities, value engineering, scheduling and construction sequencing that will potentially reduce costs of the project. • Provide a cost comparison to a recognized construction cost estimating service adjusted for South Florida construction. (RS Means or equivalent) • The estimates will be contained in a single spreadsheet showing cost comparisons individually tabulated. • Identify any comparable projects, including completion dates that were used to develop the construction cost estimate. • Support City Staff and participate in the value engineering reviews with contractor. • Support City Staff in the bidding and award phase of projects. RFQ PROCESS RFQ No. 30 -10/11 was issued on July 1, 2011, with an opening date of August 3, 2011. The pre - qualification conference was held on July 14, 2011. During the pre - qualification conference, prospective bidders were instructed on the procurement process and the information their respective proposals should contain. Bidsync issued bid notices to 5,364 prospective bidders with 52 having viewed the notice of which resulted in the receipt of the following twelve (12) bids: • Atkins North America, Inc. (formerly PBS &J) • Azulejo, Inc. • CMS — Construction Management Services, Inc. • Craven Thompson & Associates, Inc. • EAC Consulting, Inc. • Grycon, LLC • The Melvin Group, LLC ' • Pillar Consultants, Inc. • Bart Reines Construction, Inc. • Ric -Man Construction Florida, Inc. • U.S. Cost, Inc. • Willis Construction Consulting, Inc. Commission Memorandum — RFQ 30 -10/11 — Constructability, Cost, and Value Engineering Review Services October 19, 2011 Page 4 of 6 The City Manager, via a Letter to Commission (LTC) No. 251 -2011, appointed an Evaluation Committee (Committee) consisting of the following individuals: • Max Berney Resident and Leadership Academy Graduate Y p Y • Alfred DeSimone — Resident and Leadership Academy Graduate • Elizabeth Estevez — Engineering Assistant I, Public Works Department • Jeanette Fernandez - Arencibia — Capital Projects Coordinator, CIP Office • Jose Perez — Capital Projects Coordinator, CIP Office Herman Fung, CIP Construction Manager, was also appointed as a Committee alternate. EVALUATION PROCESS On October 10, 2011, the Committee convened to score and rank the proposals received and nominated Elizabeth Estevez as Committee Chair. In determining the most qualified firms, the Committee discussed each firm's proposal based on the criteria noted in the RFQ below: Total Points Criteria 40 The experience, qualifications and portfolio of the Project Manager, as well as his /her familiarity with this project and a thorough understanding of the methodology and design approach to be used in this assignment. 10 The experience, qualifications and portfolio of the Principal Firm 10 The experience and qualifications of the professional personnel assigned to the Project Team as well as their familiarity with this project and a thorough understanding of the methodology and design approach to be used in this assignment. 10 Past performance based on quality of the Performance Evaluation Surveys and the Administration's due dilligence based upon reference checks performed of the Firm(s) clients. 5 Willingness to meet time and budget requirements as demonstrated by past performance, methodology and approach 5 Risk Assessment Plan that reflects a clear understanding of project objectives; a thorough review of existing conditions; familiarity with the project site; a thorough understanding of all permitting and regulatory requirements and impacts; and other considerations that may impact the design and construction of the proposed improvements. 5 Certified minority business enterprise participation. Either the Prime Consultant or the sub - Consultant team may qualify for proof of certification for minority business enterprise participation. Accepted minority business enterprise certifications include the Small Business Administration (SBA), State of Florida, or Miami -Dade County. 5 Location 5 Recent, current and projected workloads of the firms 5 The volume of work previously awarded to each firm by the City, with the object of effecting an equitable distribution of contracts among qualified firms, provided such distribution does not violate the principle of selection of the most highly qualified firm. Commission Memorandum — RFQ 30 -10/11 — Constructability, Cost, and Value Engineering Review Services October 19, 2011 Page 5 of 6 The Committee discussed their individual perceptions of each firm's qualifications, experience, and competence in order to score and rank each accordingly to develop its recommendation to the City Manager. During the meeting, The Committee agreed to recommend a pool of vendors with ample right -of -way construction experience and the ability to evaluate actual market prices, identify potential increases or decreases in costs in order to make recommendations to the City regarding changes to project specifications to minimize potential change orders and /or recommend alternate products to reduce cost. As a result, the Committee recommended that the top four firms be considered for award as noted below: i 'Q 30 011 Evaluation it in s 1 Teel TO 3 ,DeSim e . Perez Vow ; • Scoff Craven Thompson & Assoc. 94 (2) 89 (2) 95 (1) 89 (1) 89 (1) 7 456 U.S. Cost 95 (1) 94 (1) 93 (2) 85 (3) 80 (4) 11 447 Const. Mgmt. Svcs. — CMS 92 (3) 89 (3) 77 (6) 87 (2) 86 (3) 17 431 Atkins formerly PBS &J 90 (5) 88 (4) 91 (3) 77 (8) 87 (2) 22 433 EAC Consulting, Inc. 84 (7) 85 (5) 78 (5) 78 (7) 71 (5) 29 396 The Melvin Group 84 (8) 76 (10) 81 (4) 82 (4) 67 (6) 32 390 Pillar Consultants 91 (4) 82 (7) _ 67 (9) 80 (5) 65 (8) 33 385 Grycon, LLC 87 (6) 84 (6) 70 (8) 71 (10) 67 (6) 36 379 Azulejo, Inc. 78 (12) 82 (7) _ 67 (9) 79 (6) 62 (10) 44 368 Bart Reines Construction 83 (9) 76 (10) 59 (12) 72 (9) 56 (11) 51 346 Ric -Man Construction 82 (10) 76 (10) 72 (7) 67 (12) 52 (12) 51 349 Willis Const. Consulting 80 (11) 80 (9) 66 (11) 70 (11) 62 (9) 51 358 Atkins North America, Inc. (formerly PBS &J) Atkins North America, Inc. (formerly PBS &J) has been providing estimating and construction management services to South Florida municipalities for almost 15 years. Notable projects include providing estimating services for the renovation of the Scott Rakow Youth Center and value engineering JOC projects for the City of Miami. Their Project Manager, Juan Alfonso, has over 14 years of planning, design, and construction administration experience which includes constructability reviews, cost estimating, and value engineering reviews. Notable projects include various constructability reviews for Miami -Dade Public Schools and the Port of Miami, cost estimating for the new Florida Marlins parking garage, and construction management of the Bentley Bay Condominiums in Miami Beach. Construction Management Services, Inc. Construction Management Services, Inc. has been providing estimating and construction management services to South Florida municipalities for almost 35 years. Notable projects include cost estimating services for Fort Lauderdale - Hollywood International Airport, Normandy Shores Golf Clubhouse, and constructability reviews for the School Board of Broward County. Their Project Manager, Keith Emery, has over 40 years of experience. Notable projects include providing construction management services for several facilities for the City of Tamarac and providing cost services for the City of Miami Beach at South Pointe Park, 10 Street Auditorium, Miami Beach Patrol Headquarters, and right -of -way projects on Indian Creek Drive. Commission Memorandum — RFQ 30 -10/11 — Constructability, Cost, and Value Engineering Review Services October 19, 2011 Page 6 of 6 Craven Thompson & Associates, Inc. Craven Thompson & Associates, Inc. has been providing estimating and construction management services to South Florida municipalities for almost 50 years. Notable projects include quality control on various Miami Beach CIP projects including Biscayne Pointe, South Pointe Phases 2, 3, 4, and 5, and Bayshore Neighborhoods 8A, 8B, 8C, and 8D. Their Project Manager, Adolfo A. Gonzalez, P.E., LEED AP, has over 25 years of civil engineering and construction management experience. Notable projects include being the engineer g p p J g e g eer of record for the Spangler Boulevard By -Pass Road Phase I Improvements Project in Port Everglades, Project 9 Stranahan High School in Fort Lauderdale, and the expansion of Calder Casino & Race Course in Miami Gardens. U.S. Cost, Inc.; U.S. Cost, Inc. has been providing estimating and construction management services worldwide for 28 years. Notable projects include cost estimating and value engineering several projects for the New York City Office of Management and Budget and cost management at Reagan National Airport and Dulles International Airport in Virginia. Their Project Manager, Augusto Lizarazo, has over 16 years of constructability, cost estimating, and value engineering reviewing experience. Notable projects include constructability reviews for the Miami Intermodal Center Orange Line Phase I and North Terminal Development at Miami International Airport. CITY MANAGER'S REVIEW After considering the review and recommendation of the Evaluation Committee, the City Manager exercised his due diligence and carefully considered the specifics of this RFQ process. As a result, the City Manager recommends to the Mayor and City Commission to adopt the attached resolution authorizing the Administration to enter into negotiations with the four top - ranked firms, Atkins North America, Inc. (formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., and U.S. Cost, Inc.; and authorizing the Mayor and City Clerk to execute agreements upon successful completion of negotiations by the Administration. CONCLUSION The Administration recommends that the Mayor and City Commission adopt the attached Resolution accepting the recommendation of the City Manager pursuant to Request for Qualifications (RFQ) No. 30- 10/11, for constructability, cost, and value engineering review services; and authorizing the Administration to enter into negotiations with the four top- ranked firms, Atkins North America, Inc. (formerly PBS &J), Construction Management Services, Inc., Craven Thompson & Associates, Inc., and U.S. Cost, Inc.; and authorizing the Mayor and City Clerk to execute agreements upon successful completion of negotiations by the Administration. T:\AGENDA\2011 \10 -19 -11 \RFQ 30 -10 -11 - Constructability Cost and VE Services - MEMO.docx