Agenda - Council Work Session - 07/22/2014

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be presented to the City Council (for timing purposes). This work does have a shelf life of five years. This is work will need to be completed in order to construct a new Fire Station #2. Unless the Council was not interested in pursing a new Fire Station #2 in the next 1-5 years altogether, Staff would recommend this step be completed. The purpose of this case is to authorize this step to be completed by BKV Group. Please see staff recommendation for details. 5. Bidding & Bid Award ($9,000) The purpose of this stage is to bid and potentially award the proposed construction project to a general contractor. Staff would recommend the City Council have a detailed/formal policy discussion regarding this project before this step is completed. This would entail a detailed review of the project budget and the proposed funding source (bonding). The outcome of said discussion would be consensus support for construction of a new Fire Station #2, or not. Bidding and bid award could be completed ASAP (which would allow occupancy in the fall of 2015) or it could be done at a later date (for example, when a purchase agreement is signed for the old municipal center site). 6. Administration & Construction (about $4M total project cost, less costs above) The purpose of this stage is to physically construct a new Fire Station #2 and provide construction administration services. This step would be authorized when a bid is awarded. STAFF RECOMMENDATION: Currently, the City has completed the first three steps of the process identified above. The purpose of this case is to consider step 4--authorize Final Design & Specifications. Staffs recommendation is to authorize BKV Group to complete said work. This step will provide the following benefits: • Provide final site plan and architectural documents. • Provide construction documents and bid documents. • Provide a finalized project budget for policy discussions. • Put the City in position to 'pull -the -trigger' on a new Fire Station #2 if/when desired. • All plans and specs will be available for use for the next five years. BKV Group is very familiar with this project and the City of Ramsey. BKV Group provided design services in step 1 and 3 of this process. Additionally, BKV Group has worked with the City in the past (Ramsey Municipal Center). In summary, Staff believes BKV Group has provided quality service to -date. BKV submitted a proposal to the City of Ramsey for step 4, 5 and 6 of the process outlined above; below are highlights; attached is a detailed proposal. • Price: $171,000 total cost. Step 4 $128,000 (this step), Step 5 $9,000, Step 6 $34,000. • BKV did discount their original proposal by $19,000 to compensate for work previously completed. • Additionally, due to BKV Groups' familiarity with this project, they reduced the proposal price to just below 6% of construction costs (which is a competitive rate by industry standards). Staff did not conduct a formal RFP process for this project for the following reasons: • BKV Group has effectively provided professional services for steps 1 and 3 of this process. • BKV Group is very familiar with this project. • BKV Group discounted their price to compensate for previous work; and has dropped their total asking price due to their familiarity with the project (below 6%). NOTE: staff will have informal proposals from other companies available at the Council meeting. • A formal RFP process is not required in this situation (by Statute). A formal RFP process is a lengthy and staff intensive process. Timeframe: 15-30 minutes.