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Chief Administrative Office, Facilities Division, recommending the Board consider the following:
1) Make findings pursuant to Article II, Section 210b(6) of the El Dorado County Charter that the ongoing aggregate of the work to be performed is not sufficient to warrant the addition of permanent staff; and
2) Authorize the Purchasing Agent to sign Agreement for Services 4495 with AMG Management Group LLC, pending Risk Management approval, for a not-to-exceed amount of $169,000 and a one year term to provide ongoing facility project management and real estate due diligence services regarding Senate Bill 844 Adult Local Criminal Justice Facility Financing Placerville Jail Expansion Project and Senate Bill 81 Local Youthful Offender Rehabilitative Financing Program New Placerville Juvenile Hall Facility Project.
FUNDING: Senate Bills 844 and 81 grant funding.
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DISCUSSION / BACKGROUND
On April 6, 2018 the Division released a Request for Qualification (RFQ) for Project Management services in an effort to ensure best value. The scope of work for these services included consultation on real property due diligence, overall project delivery strategy, structure and organization of prime contracts with designers, contractors and vendors; assistance with the preparation of documents for procurement of design-builders, and participate in identifying and selecting those firms. AMG provided a proposal and was deemed qualified and placed on a short list.
The County maintained an on-call contract with AMG that expired December 4, 2019. Since that agreement’s inception, AMG has provided significant preconstruction services entailing strategies for project administration and delivery, working as a liaison and point of contact with County departments and other internal and external project stakeholders, communicating with Architects and Engineers as well as the granting authorities of the State. AMG has assisted the County on numerous projects including the Senate Bill 844 Placerville Jail Expansion Project and Senate Bill 81 New Placerville Juvenile Hall Facility projects. AMG has been instrumental with getting our Projects Established and obtaining approvals through all of the governmental agencies involved. They have also played a significant role in the development, design and construction of the Sandy Way project which has been completed and turned over to HHSA in October.
With the SB 844 Placerville Jail Expansion Project and SB 81 New Placerville Juvenile Hall Facility underway there is still considerable work needed to obtain final approval from all governing authorities to move into the next phase of both projects. This includes continued real estate due diligence, managing the development of the bridging documents, issuance and management of requests for qualification and requests for proposals, management of the design build process and related project management. These are the critical next steps in the process that must be finalized and approved before the SB 844 and SB 81 projects can move into the next phase.
The Division recommends approval of this new agreement for a not-to-exceed amount of $169,000 and a term of one year. The Consultant has agreed to hold his hourly rate of $140 per hour from the previous agreement. The breakout of the compensation is approximately $89,000 for work concerning SB 844 Placerville Jail Expansion and $60,000 for work concerning SB 81 Juvenile Hall Replacement with a $20,000 contingency component to allow for unforeseen project issues.
The Department is requesting that the Board make the finding that the ongoing aggregate of the work to be performed is not sufficient to warrant the addition of permanent staff. The work related to these specific projects is limited term in nature and will cease once the projects are completed.
In accordance with Procurement Policy C-17, Section 7.11, the Facilities Division and one representative from outside the department reviewed the scope of services and the consultant’s professional qualifications prior to Board approval of the agreement.
County Counsel has reviewed and approved this item. The execution of the contract is pending Risk Management approval because the required insurance has not yet been purchased by AMG Management Group, LLC. The insurance is not needed if the Board does not authorize the approval of the agreement, so staff has agreed to allow AMG to purchase the insurance following Board approval, but prior to full execution of the contract. If this item is approved, AMG will be required to submit proof of insurance for review and approval by Risk Management.
ALTERNATIVES
The Board could choose to not approve the agreement, or could choose another consultant from the short list of qualified Project Managers for a negotiated contract, or could issue a Request for Proposal to select a consultant that meets the needs for a specific project. However, the hourly rates for consultants ranged as high as $250 per hour. The Division could try to recruit in-house staff to cover this specialty work. The work is for a limited term. Given the current employment options available to these highly skilled real estate development, design, and construction specialists the Division has not been successful in the past of recruiting for part-time, limited term work. This alternative could result in an increase in project costs and delays with no guarantee of completing a successful recruitment. Delays in either project could also jeopardize the funding.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION / COMMENTS
It is recommended that the Board approve this item.
FINANCIAL IMPACT
Funding is included in the FY 2019-20 Accumulative Capital Outlay fund as part of the budgets for the jail expansion and juvenile hall replacement projects and will be included in the subsequent Fiscal Year.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT
Infrastructure
CONTACT
Russ Fackrell
Facilities Division Manager