Key Biscayne Master Plan 043944000.18w_Key_Biscayne_MP(forJooMag) | Page 72
VILLAGE OF KEY BISCAYNE UNDERGROUNDING OF UTILITIES — MASTER PLAN
issues quickly and cost effectively, and maintain a positive working
relationship so they can continue working with the Village on future
projects. In this manner, risk is better managed and claims/lawsuits
are often fewer.
The CMAR process offers the Village “open book” transparency on
how the construction price is developed. All of the subcontractor
bid proposals, CMAR overhead, project management, profit, and
contingencies are clearly identified, shared with the Village, and
agreed upon before the work begins. This also allows the Village
to know the full budget for the project, unlike the DBB method
where budget issues may not be discovered until well into the
construction process.
Because the CMAR is ultimately responsible for the schedule and
budget, they generally will bid the work to qualified, bondable
subcontractors who the CMAR has confidence will construct their
scopes of work successfully.
Our experience with this delivery method has been positive, with
projects being completed on-time or ahead of schedule and under
the negotiated GMP. When the cost of the project is less than the
GMP, the contingency funds, which can be held outside of the
GMP contract, are returned to the Village.
Disadvantages:
7.2.2.1 – CMAR Contracting and Procurement Methods
CMAR is a two-step procurement process: 1) pre-construction services
and then 2) construction services. A Request for Qualifications (RFQ) to
select the CMAR is the first part of the two-step process. The RFQ process
follows the same rules as the Consultants Competitive Negotiations
Act (CCNA) process in the state of Florida. Based on the qualifications
submitted, the Village narrows the pool of potential contractors to a short
list. The Village can then either select from the short list or invite the short
listed CMAR’s to make a presentation. The Village can then select the
contractor based on who made the best presentation.
Once the CMAR is selected, an initial agreement on a fixed fee for pre-
construction services is negotiated. Pre-construction services can include
the following:
Performance of quantity surveys
Suggestions regarding constructability and methods
Value engineering
Suggestions regarding cost reductions
Development of a detailed construction schedule
To provide the best value to the Village, the proper selection of the
CMAR is critical. This is a “people” business and getting the right
combination of skills and expertise is essential for project success. Development of the final GMP after completion of the 90%
construction documents that includes the subcontractor bidding
process.
Because the CMAR provides a GMP for the project, the CMAR
is in an “at-risk” position during construction. Depending on what
challenges are faced during construction, the contingencies
developed during the GMP negotiation may not be sufficient to
cover the costs of dealing with those challenges. Because the
CMAR provided a GMP, they are responsible for overcoming
the challenge regardless of the cost. This can put them in an
adversarial role with the Village if this situation develops. Participation in public outreach
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due to changed conditions (increase in scope) or adverse weather
impacts.
Despite the CMAR finding it very difficult to pursue change orders
from plan ambiguities because they were involved in the design
process, they may become very aggressive on change orders
The GMP for the project will consist of the following elements:
Public advertisement for the subcontractor bids
Prequalification of the subcontractors
Analysis of all subcontractor bids to eliminate gaps and incomplete
bids
A detailed construction schedule