2019-198-Order No. 2019-023 Recorded 6/10/2019MfVL/
LEGAL COUNSEL
Recorded in Deschutes County CJ2019 198
Nancy Blankenship, County Clerk
Commissioners, Journal 06/10/2019 12:02:49 PM
For Recordinq Stamp On
BEFORE THE BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY, OREGON
ORDER GRANTING EXEMPTION FROM
COMPETITIVE BIDDING, AUTHORIZING
THE CONSTRUCTION OF THE PAROLE
& PROBATION/SHERIFF'S OFFICE
WORK CENTER REMODEL/ADDITION BY
MEANS OF A CONSTRUCTION
MANAGER / GENERAL CONTRACTOR
AND AUTHORIZING SELECTION BY
REQUEST FOR PROPOSAL.
ORDER NO. 2019-023
WHEREAS, the Board of County Commissioners of Deschutes County is the Local
Contract Review Board for the County and in that capacity has authority to exempt certain
contracts from competitive bidding requirements of ORS 279C and associated county code
provision; and
WHEREAS, the Board of Commissioners has determined that the construction of the
Parole & Probation / Sheriff's Office Work Center Remodel /Addition should be constructed by
a CM/GC process; and
WHEREAS, the Board of Commissioners adopts the Findings of Fact and Conclusions of
Law attached hereto and marked Exhibit 1; and
WHEREAS, the Findings of Fact and Conclusions of Law demonstrate that an exemption -
from competitive bidding for the identified project complies with the requirements of ORS
279C.335 (2) and the Attorney General's Model Contract Rules, OAR 137-049-0630 (2) for
exemption of the project from competitive bidding; now therefore,
Page 1 of 2 — ORDER NO. 2019-023
THE BOARD OF COUNTY COMMISSIONERS FOR DESCHUTES COUNTY, OREGON
ORDERS as follows:
1. The contract for the construction of the Parole & Probation / Sheriff's Office Work Center
Remodel / Addition by a Construction Manager/General Contractor process is exempted from
traditional competitive bidding models.
2. The CM/GC shall be selected by the Request -for -Proposals (RFP) method in accordance
with the Attorney General's Model Contract Rules, applicable DCC and the process described
in the attached Exhibit 1.
DATED this day of June, 2019.
BOARD OF COUNTY COMMISSIONERS
OF DESCHUTES COUNTY, OREGON
Page 2 of 2 — ORDER NO. 2019-023
'age 11
FINDINGS OF FACT FOR THE USE OF
THE CONSTRUCTION MANAGER/GENERAL CONTRACTOR (CM/GC)
CONSTRUCTION OF THE PAROLE & PROBATION/SHERIFF'S
OFFICE WORK CENTER REMODEL & ADDITION
Before The Deschutes County Board of Commissioners
FINDING OF FACTS AND CONCLUSION OF LAW
The Oregon Revised Statutes generally require that public improvement contracts be based upon
competitive bids. Any exception to competitive bids must be justified by "Findings" as stated in
ORS 279C.330 and ORS 279C.335. The following is a list of those required "findings" and the
conditions and information regarding those "findings."
FINDINGS
WILL NOT SUBSTANTIALLY DIMINISH COMPETITION OR ENCOURAGE
FAVORITISM
I: Finding: The CM/GC will be selected through a competitive process in accordance with
a Request for Proposals authorized by the Board of Commissioners. Pursuant to ORS
279C.360, a CM/GC solicitation will be advertised in the Daily Journal of Commerce in
addition to The Bulletin in order to maximize exposure. The CM/GC proposals and
interviews will be rated based on a predetermined list of criteria as required by ORS
279C.337 and the Attorney General's Model Contract Rules. The County will enter into
contract negotiations with the highest-ranking firm. Should negotiations fail, the County
will have the right to negotiate with the second highest-ranking firm.
COST SAVINGS
2. Finding: The CM/GC will participate in the design phase of the work and thereby be
able to obtain a complete understanding of the County's needs, the architect's design
intent, the scope of the project, and the operational needs of the PAROLE &
PROBATION/SHERIFF'S OFFICE WORK CENTER Staff & Stakeholders. This will
alleviate some of the financial risk to the County and reduced risk will likely result in
cost savings. In making this finding, ORS 279C.335 (2)(b) requires the following issues
be considered:
(A) How many persons are able to bid;
There are several contractors within Central Oregon that are able and qualified to bid the
planned project. However, the present climate within the Oregon & Washington
construction industry has the backlog of work in such an overloaded condition that it has
made attracting qualified contractors to bid very difficult if not impossible.
(B) The construction budget and the projected operating costs for the completed
public improvement;
Findings of Fact / Conclusions of Law
Pa g e 12
The difference in operating costs will not be significant whether the project is
competitively bid or the CM/GC process is used for contracting. However, the CM/GC
process will add the contractor to the design team and that will help ensure the budget
will be maintained.
Subcontractor bidding; We will encourage that the CM/GC receive a minimum of (3)
competitive bids for each discipline of construction.
Schedule: Increased efficiencies with final design documents and submission for
Permits will result in an overall schedule reduction, resulting in less project duration,
temporary structures, Contractor General Conditions and Architect Contract
Administration.
(C) Public Benefits that may result from granting the exemption;
Selection of the CM/GC allows for a more informed contractor. The CM/GC will be
part of the design team and will have a better understanding of the financial requirements
of the project. This should result in better decision making by the project construction
team, thereby saving time and money. Construction activities in close proximity to an
occupied building can result in safety concerns unless proper planning is undertaken prior
to work starting; early selection will provide better assurance that the planning will be
coordinated with other activities thereby making for a safer environment. Safety, cost
savings and the better assurance of completion on the desired date will be of Public
Benefit.
(D) Whether value engineering techniques may decrease the cost of the public
improvement;
The CM/GC will become a part of the total project team with the responsibility of leading
the "Value Engineering" process. The selected CM/GC should have considerable
experience in the construction of public buildings and the requirement for occupancy;
therefore, that experience will be of great importance in determining the best use of the
dollars available. When the contractor participates, the team can render the most
comprehensive evaluation of all factors that affect the cost, quality, and schedule of the
project.
(E) The cost and availability of specialized expertise that is necessary for the public
improvement;
It is very important that the contractor selected have experience in the construction of
public buildings, access control, security requirements and remodel/retrofit projects. This
experience will assist the project team in determining the best and safest process to
pursue. This process will allow the County to solicit local expertise to participate.
(F) Any likely increases in public safety;
It is understood that employees will be present within the adjacent building during much
of the construction process. The safety and security of all persons is a primary concern
and selection of a CM/GC to work with the entire team to develop the overall
construction plan that integrates the needs of the adjacent building and staff increases
Public Safety.
Findings of Fact / Conclusions of Law
mage 13
(G)Whether granting the exemption may reduce risks to the contracting agency or
the public that are related to the public improvement;
Including the Contractor in the planning process increases safety and thereby, reduces
risk. CM/GC contracts reduce risk by allowing for coordination and evaluation of
constructability ahead of final project design. Including the contractor in the design
process results in a Guaranteed Maximum Price (GMP) that is within the project budget,
which also reduces risk. This process is not necessarily present under the Design -Bid -
Build method of contracting.
(H) Whether granting the exemption will affect the sources of funding for the public
improvement;
The exemption will have no effect on the funding sources. With increased efficiencies in
overall project schedule, the Parole & Probation/Sheriff's Work Center will minimize
temporary facilities and increase overall efficiencies.
(I) Whether granting the exemption will better enable the contracting agency to
control the impact that market conditions may have on the cost of and time
necessary to complete the public improvement;
The County's ability to accurately estimate the cost of this project is complicated by the
multitude of construction market conditions that exist today in Oregon (e.g., competition
of other projects, environmental issues that limit construction materials, shortage of
qualified craftsman, etc.), as well as the difficulty in establishing the best work sequence.
Because the project has a limited budget, it is essential to reduce the risk of cost overruns.
The CM/GC allows for more control over these market forces because the CM/GC can
assist in developing design documents and a work plan that best accommodates both the
County and contractor/subcontractors; identifying the best grouping of bid packages that
will help ensure better trade coverage; designing the most efficient construction staging
area on the campus; charting the most cost effective route through the site for the various
utilities; and adjusting the work plan when needs change along the way.
(.n Whether granting the exemption will better enable the contracting agency to
address the size and technical complexity of the public improvement;
The nature of this project will require remodel of existing space adjacent to occupied
space or relocation of operations to a temporary facilities during construction. The
CM/GC method allows the contractor to be a part of the planning team in developing a
construction plan that coordinates the needs of the existing operation of the Parole &
Probation Center with the construction and temporary facilities setup. Having the CM/GC
involved in the construction plan will better enable the County to control the complexity
and uncertainties of the project.
(K)Whether the public improvement involves new construction or renovates or
remodels an existing structure;
The public improvement for the Parole & Probation/Sheriff's Office Work Center is both
new construction (addition) and remodel of an existing structure.
Findings of Fact / Conclusions of Law
Page (4
(L) Whether the public improvement will be occupied or unoccupied during
construction;
The remodel and addition to the Parole & Probation/Sheriff s Office Work Center will
occur in an occupied building.
(M) Whether the public improvement will require a single phase of construction
work or multiple phases of construction work to address specific project
conditions;
The present plan calls for all work to be phased construction, with the Parole & Probation
completed by end of year 2020.
(N) Whether the contracting agency has retained under contract, and will use
contracting agency or state agency personnel, consultants and legal counsel that
have necessary expertise and substantial experience in alternative contracting
methods to assist in developing the alternative contracting method that the
contracting agency will use to award the public improvement contract and to
help negotiate, administer and enforce the terms of the public improvement
contract.
The County has legal counsel that is very familiar with Oregon construction and Public
Contracting law as well as employees on staff that have many years of experience
administrating alternative contracting method contracts.
CONCLUSIONS OF LAW
The above "Findings" show that the CM/GC process for the Construction of the Parole &
Probation/Sheriffs Office Work Center Remodel/Addition complies with the requirements of
ORS 279C.335(2) for exemption of the project from competitive bidding.
Findings of Fact / Conclusions of Law
E S
cc) A..
Deschutes County Board of Commissioners
- 1300 NW Wall St, Bend, OR 97703
(541) 388-6570 - Fax (541) 385-3202 - https://www.deschutes.org/
AGENDA REQUEST & STAFF REPORT
For Board of Commissioners BOCC Monday Meeting of June 3, 2019
DATE: May 29, 2019
FROM: Lee Randall, Facilities, 541-617-4711
TITLE OF AGENDA ITEM:
Consideration of Board Signature of Order No. 2019-023, Findings of Fact for the Use of
the Construction Manager/General Contractor (CM/GC) for the Adult Parole &
Probation/Sheriff's Office Work Center Remodel and Expansion
RECOMMENDATION & ACTION REQUESTED:
Move Approval of Order No. 2019-023, Findings of Fact For The Use Of The Construction
Manager/General Contractor (CM/GC) For The Adult Parole & Probation/Sheriff's Office
Work Center Remodel and Expansion
BACKGROUND AND POLICY IMPLICATIONS:
As presented in the Public Safety Campus Master Plan, the Adult Parole & Probation/ Work
Center Remodel and Expansion would address immediate space needs for both departments
and additionally provide space for staff currently operating in the Programs building, slated to
be remodeled for the future Stabilization Center.
Staff recommend that work be constructed and overseen by a Construction Manager/General
Contractor which will allow the contractor to be selected on the basis of both pricing and
qualifications, be part of the project planning and design team, and help select the best work
sequence for an occupied building. The Findings of Fact under consideration by the Board
provide the basis required under ORS 279C for use of the CM/GC method.
FISCAL IMPLICATIONS:
None at this time. Through the request -for -proposals process, the County will enter into
contract negotiations with the highest-ranking firm. Once negotiations are complete, the Board
will have opportunity to review and approve the contract for pre -construction services, and at a
later date approve the Guaranteed Maximum Price (GMP) established as part of the
competitive solicitation of subcontractors.
ATTENDANCE: Lee Randall