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Council questions large increase to project-management contract; manager and general services defend consultant model
Summary
Council members pressed staff about a roughly $2 million increase to a project-management services contract, asking about procurement, staffing, turnover and long-term capacity; general services staff and the manager said the contract scales project delivery capacity and is consistent with past practice.
Council members probed staff about a substantial increase in the second amendment to a project management consulting services agreement with Turner and Townsend Heery LLC during the work session after pulling the item for discussion.
Gina Probst of the general services department said the amendment covers program- and project-management services across many capital projects and that the consulting team charges a fee that equates to “about a 3.7% charge to the project to provide project management services.” Probst said the vendor allows the city to “scale up quickly when we have new projects that are added” and to provide specialized staff for complex projects.
Council members pressed on procurement practices, asking how the contractor was selected and how frequently the city retenders such services. Staff said the consultant was selected via an existing cooperative purchasing agreement that is available across the state, and that this model has precedent in the city dating back to earlier bond programs.
Members also asked whether the city plans to grow internal staff instead of contracting, and about turnover and competition for project managers in the regional labor market. The city manager and department staff said the administration prefers a core team of in-house project managers but relies on contract capacity to flex up during peak years to deliver a large number of active projects quickly. The manager said the city tracks project load and will use a 10-year capital plan to inform future staffing decisions.
Council members asked for more transparency about the decision to use consultants and for a deeper briefing on procurement choices and how staff determine when to augment with contract resources. Staff offered to provide a more detailed presentation at a later date.
The item was ultimately returned to the consent agenda and included in the manager’s motion to settle the agenda; the council approved the consent package later in the meeting.
