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South Elementary building project advances; land swap, CMAR selection aim to control cost and schedule
Summary
Project team reported a land‑swap securing Fano Drive access, a move expected to cut costs by about $2 million and avoid a state environmental review; the school building committee voted to pursue a construction‑manager‑at‑risk delivery and is negotiating with W.T. Rich for a guaranteed maximum price.
The South Elementary School replacement project advanced on multiple fronts, presenters told the school committee: the town and a private property owner signed a memorandum of understanding for a land swap to develop Fano Drive as an access road, the project delivery method was set to construction manager at risk (CMAR), and the school building committee recommended W.T. Rich as construction manager and moved to begin GMP negotiations.
Project presenters said the Fano Drive land swap reduces the project’s wetland impacts and lowers construction costs by approximately $2,000,000. They said the change also drops the project below the Massachusetts Environmental Policy Act (MEPA) review threshold, avoiding a state permitting process the presenters estimated could add six to eight months and additional cost. The presenters said the land swap and revised site access also remove the need for new bridges and reduce traffic through neighborhoods by routing emergency access from the South end of Fano at Sumner rather than Haines Road.
The building committee voted to pursue CMAR rather than a design‑bid‑build model, citing the project’s site complexity and the value of early contractor involvement to control cost and schedule. Presenters described CMAR’s guaranteed maximum price (GMP) model as one means to transfer some cost risk to the construction manager. Three firms were shortlisted; the selection subcommittee heard presentations and recommended W.T. Rich. Negotiations were described as nearly complete.
The project team also said it is pursuing rebates and incentives, including MassSave and federal Inflation Reduction Act programs, and that the MSBA is reviewing the revised design with the Fano Drive access. The town’s finance committee reviewed borrowing scenarios and recommended an initial 20‑year bond as the most affordable balance given current interest rate scenarios (presenters presented illustrative scenarios of a 20‑year bond at 4.0%, a 25‑year at 4.25% and a 30‑year at 4.5%). Presenters said if interest rates fall the town may refinance later.
Committee members asked about contingency planning for supply‑chain volatility; project staff said early CMAR procurement packages are intended to lock in pricing and secure materials ahead of tariffs or long lead times.
