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Kalispell council directs staff to pursue GCCM delivery for biosolids dewatering project

2383608 · February 25, 2025
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Summary

City staff recommended using Montana'authorized general contractor/construction manager (GCCM) procurement for a Kalispell wastewater plant biosolids dewatering and reconfiguration project so the city can secure contractors and meet a timeline tied to Glacier Gold'handled biosolids capacity.

City of Kalispell staff told the council during a work session that they will pursue Montana'authorized alternative project delivery (general contractor/construction manager, or GCCM) for a biosolids dewatering and room reconfiguration project at the wastewater treatment plant, and the council indicated agreement for staff to return with a formal resolution.

The matter matters because Glacier Gold'the plant that has accepted Kalispell's biosolids since 1993'is approaching a contractual throughput limit and is expected to close, creating a firm schedule for the city to complete dewatering improvements so the county landfill will accept the material. Assistant Director of Public Works Keith Haskins summarized the project purpose and timeline and said staff recommends the GCCM procurement model to avoid further bid failures and schedule delays.

"Glacier Gold has been accepting the biosolids from the wastewater treatment plant since 1993," Haskins said, and he outlined the city's need to change delivery method after multiple unsuccessful bidding efforts for previous wastewater projects. Consultant Scott Buecher of AE2S described the GCCM approach and contrasted it with the traditional design-bid-build model, saying GCCM brings a contractor into the design process earlier and gives the city more ability to control cost and schedule. "The guaranteed maximum price is a contractual cost ceiling agreed upon between the owner and the GCCM, establishing the highest amount the owner will pay for the project," Buecher said.

Staff recounted that a recent firm-inter rehabilitation project required three separate bid attempts before securing a contract, which pushed the schedule about a year. City staff also noted a separate analytical history: HDR completed a 2018 biosolids management plan that evaluated 13 alternatives and recommended composting (with landfill disposal as a close second), and later analysis narrowed recommended work to dewatering improvements plus landfilling while preserving the option to add drying if landfill requirements mandate it.

Under the proposed GCCM workflow, staff would issue a two-step procurement: an initial request for qualifications (RFQ) to screen contractors for experience and fit with the GCCM process, then a request for proposals (RFP) that would include a preliminary guaranteed maximum price (GMP) at roughly 50%–60% design. If the GMP is acceptable, the council would approve a construction contract; if not, staff can "off-ramp" to the second-ranked GCCM or rebid under design-bid-build.

Buecher and staff identified the project's primary drivers for using GCCM: (1) a hard schedule tied to Glacier Gold's capacity and potential shutdown; (2) technical complexity inside the dewatering room where demolition and reconfiguration must occur while plant operations continue; and (3) prior difficulty attracting bidders under the design-bid-build model. Buecher estimated that preconstruction services from a GCCM might add roughly $40,000 to $50,000 of cost on what he described as a roughly $4,000,000 project (figures presented as approximate).

Council members asked about safeguards against a contractor inflating scope while involved in design. Buecher and Haskins said the city and its engineer would retain control of the final design, that the GMP process creates incentives for the contractor not to add unnecessary work, and that the RFQ/RFP can require transparency on contingency and overhead so selection can account for those items. Haskins also noted the city has been in communication with the Montana Department of Environmental Quality (DEQ) about using the alternative delivery model for the biosolids work.

Staff said Kalispell would follow Montana Code Annotated Title 18, chapter 2, part 5 (Alternative Project Delivery Contracts) and would include MCA-mandated selection criteria and process protections in a resolution for council approval. The council voiced support for proceeding; several members spoke in favor of bringing a resolution and moving forward with procurement preparations. There was no formal roll-call vote recorded in the transcript; staff said they will present a resolution at the next council meeting that implements the MCA requirements and authorizes the procurement steps.

Next steps identified by staff include preparing a resolution that ties the GCCM selection process to the MCA selection criteria, forming a selection committee, issuing the RFQ, inviting selected contractors into preconstruction services, and returning to council with a proposed GMP and construction contract approval. Staff emphasized that the GCCM path is intended to reduce the risk of further bid failures and to help the city maintain plant operations while performing demolition and reconfiguration work.