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Harney County Court approves design-build agreement to build new jail
Summary
Harney County Court voted to approve a standard form design-build agreement for a new jail and reviewed funding sources including county reserves, a $3,000,000 OJD award and a small administrative fee; the contract will proceed pending final insurance and plan approvals.
An unnamed county official moved and the court approved a standard form agreement for a design-build contract to design and construct a new Harney County jail.
The official who moved the action said, "I move to approve the standard form of agreement between owner and design builder for a traditional design build between Harnett County and Nagel Howe construction company for the jail project." A second speaker recorded concurrence. The motion was adopted by voice vote.
County staff presented the project's funding breakdown before the vote. Staff stated the county holds $5,267,088 in the jail reserve and that the project will use $300,000 from the 911 fund (Fund 223). Staff also reported a $3,000,000 award from the Oregon Judicial Department (OJD) that will be applied to court-related portions of the work after an intergovernmental agreement (IGA) and OJD approval of which spaces and systems qualify as "court-related services." Staff described an administrative fee of about $24,500 that will be deducted from awarded funds in administrative processing. The staff-reported total purchase-order/contract figure was $8,557,468.
Staff cautioned that the OJD funds are governed by an IGA that requires the county to itemize and justify court-related portions of building work (for example, remote interview rooms or attorney-client rooms and their associated HVAC, power and security). County counsel and outside counsel reviewed the contract; county risk/insurance (CIS) was still reviewing mandatory coverages and could require minor edits before final execution. The staff presentation also noted contractual protections that could assign penalties to a contractor if the contractor's actions caused the county to lose OJD funding.
Next steps: the court's action authorizes the standard master contract; the design-build amendment and final plan-based scope will be executed later after architectural plans, final insurance review, and any required adjustments for OJD sign-off. The administrative record will be supplemented with affidavit(s) of publication if still outstanding.
