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Agenda - 12-02-2024; 8-e - Authorization to Utilize Construction Manager at Risk for the Orange County Crisis Diversion Facility Project
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Agenda - 12-02-2024; 8-e - Authorization to Utilize Construction Manager at Risk for the Orange County Crisis Diversion Facility Project
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11/26/2024 9:47:19 AM
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BOCC
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12/2/2024
Meeting Type
Business
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Agenda
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8-e
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3 <br /> The following information about the Construction Manager at Risk process for <br /> procurement and building construction was compiled from Campbell County, <br /> Wyoming, and Procore, a leading project management software company. <br /> Construction Manager at Risk(CMAR)Delivery Method <br /> Background <br /> The Construction Manager at Risk(CMAR) is a delivery method which entails a commitment by <br /> the Construction Manager(CM) to deliver the project within a Guaranteed Maximum Price <br /> (GMP)which is based on the construction documents and specifications at the time of the GMP <br /> plus any reasonably inferred items or tasks. The CMAR provides professional services and acts <br /> as a consultant to the owner in the design development and construction phases. Often times, the <br /> CMAR also provides some of the actual construction of the project depending on the availability <br /> of bidders and the expertise the company has. In addition to acting in the owner's interest, the <br /> CMAR must manage and control construction costs to not exceed the GMP because <br /> contractually any costs exceeding the GMP that are not change orders are the financial liability <br /> of the CMAR. <br /> Generally, the CMAR will give the Owner a GMP after bidding the project. Included in this GMP <br /> is a contingency line item to take care of bid overages, reasonably inferred items and other project <br /> related items that may arise during construction. <br /> Owner Benefits <br /> This delivery method has several unique benefits to the Owner,including: <br /> • A higher level of cost control from the start. A successful CMAR project would involve <br /> hiring the CMAR prior to the architect and having the CMAR help select the architect. <br /> During the design process,the CMAR provides cost estimates at contractually established <br /> points. If these cost estimates are in line with the established budget, the architect then <br /> moves on to the next phase of design. If not, the CMAR, Owner and Architect assess the <br /> cost estimate and make design changes to bring the design back into budget alignment. <br /> This process ensures budget success. <br /> • The CMAR is an Owner advocate and manages the project with the Owner's best interest <br /> in mind at all times. <br /> • The CMAR takes burden off of the Owner in managing and coordinating the project. <br /> • The Owner's risk is limited by the CMAR process providing the construction documents <br /> are complete and proper allowances and contingencies are built into the GMP. <br /> • Constructability and value to the Owner are afforded by the Value Engineering expertise <br /> brought to the process by the CMAR. <br /> • CMAR services are professional services like architectural, engineering, surveying, etc. <br /> The CMAR's main purpose is not to construct the project,but to manage the construction <br />
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