Lane County approves Pence Contractors as CMGC for behavioral health stabilization center after debate over local contractors

Lane County commissioners on July 14 approved a construction manager/general contractor (CMGC) contract with Pence Contractors LLC for the Lane Stabilization Center, a behavioral health stabilization facility the board has pursued for years.

Staff described a competitive request-for-proposal process that drew 10 proposals and recommended Pence based on experience, a lower fee proposal and a plan to comply with Lane County’s Community Benefits Bidding (CBB) requirements. The board’s motion delegated authority to the county administrator to sign the contract and to execute amendments that do not cause the contract to exceed $100,000.

"Pence Contractors brings a good balance of experience and project familiarity at a reasonable cost," staff said during the presentation. They explained the contract will be phased: a preconstruction phase (estimated $100,000) to develop a guaranteed maximum price (GMP), then a construction phase that would return to the board for approval of the GMP.

Public commenters and several local contractors urged the board to use a traditional design-bid-build approach, saying CMGC tends to favor contractors selected by proposal rather than by a competitive construction bid. Sean Hyland, who addressed the board during public comment, said CMGC "does not pick a contractor on skill or ability" and urged the county to put the project out to hard bid so local general contractors can compete.

Several commissioners acknowledged those concerns while emphasizing the project’s urgency. "Every day that we delay this project ... people are dying," Commissioner Trigger said, urging momentum toward construction. Commissioners Farr and others pressed staff for assurances that the county would monitor subcontractor outreach and hiring to keep work local.

Staff responded that Pence’s proposal included commitments to subcontractor outreach, pre-bid meetings, sealed bids for subcontract packages over $100,000 and documentation of award recommendations that the county will review. Staff also said the contracting team will include capital projects staff and county counsel in reviewing subcontractor packages.

The board approved the order 5-0. The motion record shows the vote as unanimous; the proceeding did not record roll-call names with each vote beyond the chair’s call of "aye." The contract award authorizes preconstruction services; staff said the board will see the GMP and the recommended construction contract for approval once preconstruction work establishes a GMP.

Next steps: staff will execute the CMGC preconstruction contract, work with Pence on preconstruction services and bring a GMP and associated documents back to the board for a construction-phase decision. Commissioners also asked staff to convene a local-contractor engagement session to explain CMGC criteria and subcontractor opportunities.

Ending: The board’s approval moves the Lane Stabilization Center project to preconstruction with staff oversight of subcontractor outreach and an expressed commitment from commissioners to maintain local hiring and CBB accountability.