Template revised April 12, 2018.
COMMISSION
AGENDA MEMORANDUM
Item No.
6c
ACTION ITEM
Date of Meeting
July 24, 2018
DATE: July 6, 2018
TO: Stephen P. Metruck, Executive Director
FROM: Ralph Graves, Senior Director, Capital Development
Janice Zahn, Assistant Engineering Director, Construction Services, Engineering
Garry Ensley, Manager Survey and Mapping Services, Engineering
Bruce Gamble, Manager Construction Safety, Engineering
SUBJECT: Contracts for Construction Management Services, Construction Safety Services and
Utility Locating Services
Amount of this request:
$0
Total estimated contract
cost:
$17,000,000
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute (1) up to six indefinite
delivery, indefinite quantity consulting agreements for services related to Construction
Management, with a cumulative total amount not to exceed $14 million; (2) up to two
indefinite delivery, indefinite quantity consulting agreements for Construction Safety Services
with a cumulative total amount not to exceed $2 million; and (3) up to two Utility Locating
contracts for a total amount not to exceed $1 million. Each contract will have a base contract
period of one year and four option years in which the services may be separately authorized.
No funding is associated with this request; funding to utilize these contracts will come
separately from individual project authorizations.
EXECUTIVE SUMMARY
Within the next five years, over 70 projects are identified as having construction costs over
$300,000 per project. This excludes the International Arrivals Facility (IAF) and NorthSTAR
Projects which have project specific Construction Management Services agreements for their
use. With the anticipated project workload and the fluctuating market, indefinite delivery,
indefinite quantity (IDIQ) contracts provide the Port with the flexibility to meet business
requirements as they arise by utilizing outside consultants through the Construction
Management (CM) Services and Construction Safety Services. The Utility Locating contract will
provide the Port with resources through an open order type contract to meet project needs.
The types, numbers, amounts, and durations of consultant services are established based on
COMMISSION AGENDA – Action Item No. 6c Page 2 of 4
Meeting Date: July 24, 2018
Template revised September 22, 2016; format updates October 19, 2016.
projected needs of the Port and the north harbor properties associated with the Northwest
Seaport Alliance.
This authorization will only authorize the execution of the contracts. A service directive will be
issued for each project authorizing the consultant to perform a specified scope of work only
after staff has received authorization for the project in accordance with Port policies and
procedures. Each agreement/contract will have a base contract period of one year and four
option years in which the services may be separately authorized.
The Port will not issue any service directives in excess of each contract’s value or after
expiration of the contract ordering period.
JUSTIFICATION
The Port of Seattle’s existing Construction Management Services IDIQ, Construction Safety
Services IDIQ, and the Utility Locator contract are nearly at the awarded contract value. When
originally executed, the contract values requested were estimated based on projected project
needs and were anticipated to have sufficient contract value to provide necessary consultant
services for three years. Actual project needs are consuming the available contract values
sooner than expected.
DETAILS
The Port anticipates issuing up to 10 contracts to provide three different types of consultant
services including Construction Management, Construction Safety, and Survey and Utility
Locating Services.
• Construction Management: three contracts valued at $4 million each, which will be
awarded to the highest-ranked firms and will include a 20 percent small business
participation requirement; two contracts, valued at $700,000 each, awarded to the 1
st
and 2
nd
highest-ranked small business enterprise firms; and one contract, valued at
$600,000 awarded to the 3
rd
highest-ranked small business firm.
• Construction Safety Services: two contracts; contract value will be $1 million each and
will include a small business requirement.
• Utility Locating: two contracts valued at $500k.
The actual agreement/contract duration may extend beyond five years in order to complete the
work identified in a particular service directive.
Scope of Work
The services required under these contracts may include Construction Management,
Construction Safety, and Utility Locating services in support of various Port projects, including
projects related to the north harbor for the Northwest Seaport Alliance. The scope of work
may support the planning, design, construction or closeout phases of the Port construction or
COMMISSION AGENDA – Action Item No. 6c Page 3 of 4
Meeting Date: July 24, 2018
Template revised September 22, 2016; format updates October 19, 2016.
tenant projects, including design-bid-build, design-build, progressive design-build, and general-
contractor/construction-management alternative delivery projects.
ALTERNATIVES AND IMPLICATIONS CONSIDERED
Alternative 1 – Procure individual project specific contracts - This alternative would require the
lengthy and costly process of selecting consultants for each task, thus requiring increased lead
time, additional management oversight, additional administrative preparation, and increased
advertising fees. This is not a viable alternative if the Port is committed to best practices for
capital project delivery and meeting our business sponsor needs.
Cost Implications: Potential impact to project schedules with a strong likelihood of additional
project costs due to individualized procurements.
Pros:
(1) Selecting the best consultant to meet the individual specific project expertise.
Cons:
(1) This alternative would require the lengthy and costly process of selecting consultants
for each project, thus requiring increased lead time, additional management
oversight, additional administrative preparation, and increased advertising fees.
(2) Consulting companies interested in this work would need to spend more money
preparing proposals as part of the selection process.
This is not the recommended alternative.
Alternative 2 – Advertise and execute multiple contracts for Construction Management,
Construction Safety, and Utility Locating to allow for the efficient and cost effective use of
consultants to provide the services required by Engineering.
Cost Implications: Procurement process costs
Pros:
(1) Efficient and effective use of Port staff procuring contracts that address multiple
projects.
(2) Efficient and cost effective use of consultant’s resources.
(3) Low risk associated with potential project schedule delay due to an inability support a
construction project.
Cons:
1) Consultants with the subject matter expertise may not be available when project work is
requested.
This is the recommended alternative.
COMMISSION AGENDA – Action Item No. 6c Page 4 of 4
Meeting Date: July 24, 2018
Template revised September 22, 2016; format updates October 19, 2016.
FINANCIAL IMPLICATIONS
There is no funding request directly associated with this authorization. No work is guaranteed
to the selected consultants and the Port is not obligated to pay a selected consultant until a
service directive is executed. The budget for work performed under each agreement will come
from individual directives authorizing the consultant to perform specific work on the contract
against approved project authorizations and within the total contract amount.
ATTACHMENTS TO THIS REQUEST
None
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
June 28, 2016 – Engineering Construction Management, Construction Scheduling, Estimating,
Auditing, Claims, Safety and Survey and Mapping Services IDIQ presented to commission in the
amount of $9.3 million, Item 4g, approved by commission.
