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Council approves $15.36M amendment for Group G headworks; staff says design and management costs reflect complexity
Summary
Council authorized a Phase 2 early-works procurement price amendment with EIMCO for the wastewater treatment plant Group G headworks replacement for $15,355,404.17. Staff described the project as complex and noted design/inspection/CM costs represent roughly 17% of construction costs.
The Nampa City Council authorized the mayor to sign a Phase 2 early-works procurement price amendment and construction manager/general contractor (CM/GC) contract with EIMCO Construction for the replacement of the wastewater treatment plant Group G headworks. The amendment amount is $15,355,404.17; staff said the overall project estimate is about $44 million.
Jeff Barnes, the city’s director of water resources, addressed council questions about the apparent magnitude of design and engineering fees. Barnes said the combined costs for inspection, design and collaboration with the construction manager constitute roughly 17% of the total construction cost — a figure he said is consistent with other complex projects delivered under the CM/GC model.
Barnes summarized: "When we went to council with the engineering contracts, we were very cognizant of the price ... it is a very complex project. It's the lion's share of the most difficult work at the plant, and construction itself will be a couple years." He added that some comparable projects have design and CM percentages of up to 20%.
Council members asked whether the engineering fees represent a cap or if future amendments were likely. Staff responded that the current contract covers design through construction with inspection and construction-management support, and that the percentage is within the range professionals expect for complex water-plant projects.
The motion to approve the Phase 2 CM/GC amendment carried on roll call.
Ending — next steps EIMCO and city staff were introduced at the meeting; staff said they will proceed with finalized contract execution and schedule updates. City project managers will continue to brief council on budget, schedule and construction oversight as the project advances to the construction phase.
