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FC/CC# AUTHORIZE REQUEST FOR PROPOSALS FOR ARCHITECTURAL AND CONSTRUCTION MANAGEMENT SERVICES FOR BUILD -OUT OF LEASE SPACE IN MUNICIPAL CENTER By: Heidi A. Nelson, Deputy City Administrator/Director of Community Development Background: As Council will recall, Anoka County's current lease for the license center operations at their location on Highway #10 will expire on June 30, 2010. Staff has been meeting with County representatives over the past six months to explore the opportunity to offer County services in the Ramsey Municipal Center and define the terms of the lease. Staff recently met with Anoka County representatives regarding the finalization of the Letter of Intent (LOI) for the lease of office space. The County is ready to sign the Letter of Intent following receiving response to two items discussed during this recent meeting. They include: Lease term: In response to the draft LOI, the County proposed that the initial lease term be five years, with three, five-year renewals. The City's term was a ten-year initial lease term, with two, five-year renewals. Lease rate escalator: The County proposed that the base rent escalator be 1.5 percent in recognition of the funding Anoka County will have to contribute to the leasehold improvements. The City had a 2.5 percent escalator. CAM escalator. The County proposed that the CAM escalatory be tied to the CPI. The City had proposed that the CAM adjust, based upon a review of maintenance and utility costs. To accommodate the lease of the office space, beginning in July 2010, it will be necessary to relocate staff that is currently located on the west end of the first floor to the east end of first floor and second floor of the Municipal Center and begin the build -out of the leased office space by early 2010. To that end, staff has solicited a proposal from Intereum for furniture design services for the relocation of staff and furniture to second floor. (In the case that follows, staff will ask the Committee to recommend that Council consider the design services for staff relocations for lease of space.) With regard to the build -out of the leased office space and potential mid -sized conference room (see Block Plan Exhibits); staff has prepared a Request for Proposals (RFP) for Architectural and Construction Management Services. The RFP is attached for Committee and Council review. With Council authorization, staff would distribute the RFP on Wednesday, October 28. The due date for the proposals would be Friday, November 13, with anticipation of a contract being approved at the November 24 City Council meeting. It is anticipated design would begin in early December, bidding for the project would occur in early 2010, with construction commencing shortly thereafter to allow the Anoka County License Center to provide services from the space as of July 1, 2010.