Construction Manager at Risk Agreement

120 Pages·2009·0.65 MB·English

by  Grecia F. Ameneiro

Construction Manager at Risk Agreement

By and Between

The City Of Miami

And

(TBD)

For

Construction Manager at Risk Services

For Stadium Site Parking

Capital Improvements Program
nd th
444 SW 2 Avenue, 8 Floor
Miami, Florida 33130
TABLE OF CONTENTS
Contents
Section 1 - General Terms and Conditions ................................................................................. 5
1. Overview/Recitals ................................................................................................................ 5
2. Intention of City ................................................................................................................... 5
3. Construction of the Agreement ............................................................................................ 6
4. Agreement Term .................................................................................................................. 6
5. Definitions............................................................................................................................ 6
6. Time is of the Essence ....................................................................................................... 12
7. Taxes .................................................................................................................................. 13
8. Contract Documents........................................................................................................... 13
9. Review of Contract Documents ......................................................................................... 14
10. Site Investigation and Representation ............................................................................ 14
11. Construction Manager’s Duties ...................................................................................... 15
12. Construction Key Personnel and Staffing ...................................................................... 16
13. Subcontractors ................................................................................................................ 17
14. Quality Management ...................................................................................................... 19
15. Progress Report .............................................................................................................. 20
16. Architect of Record ........................................................................................................ 20
17. Construction Inspection Services ................................................................................... 21
18. Primary Contact.............................................................................................................. 21
19. Partnering ....................................................................................................................... 21
20. Policies, Procedures and Reporting ................................................................................ 21
21. Ownership and Use of Documents ................................................................................. 21
22. Plans and Working Drawings ......................................................................................... 22
23. Supplementary Drawings ............................................................................................... 22
24. Supplemental Drawings and Instructions ....................................................................... 22
25. Continuing the Work ...................................................................................................... 22
26. Discretion of Director..................................................................................................... 23
27. Authority Of The City’s Project Manager...................................................................... 23
28. Lines and Grades ............................................................................................................ 24
29. Removal of Unsatisfactory Personnel ............................................................................ 24
30. Defective Work .............................................................................................................. 24
31. Correction Of Work ....................................................................................................... 25
32. Warranty of Materials and Equipment ........................................................................... 25
33. Material and Equipment Shipment, Handling, Storage and Protection ......................... 26
34. Manufacturer’s Instructions ........................................................................................... 27
35. Manufacturer’s Warranty ............................................................................................... 28
36. Reference Standards ....................................................................................................... 28
37. Changes in the Work or Terms of Contract Documents ................................................ 29
38. Construction Manager’s Damages for Delay ................................................................. 29
39. Occupational Health and Safety ..................................................................................... 29
40. Safety Precautions .......................................................................................................... 30
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41. Accidents ........................................................................................................................ 31
42. Loss & Damage to Property ........................................................................................... 32
43. Priority Of Provisions..................................................................................................... 32
44. Payments ........................................................................................................................ 33
45. Communication and Notices .......................................................................................... 33
46. Indemnification .............................................................................................................. 34
47. Owner Controlled Insurance Program & Construction Manager’s Insurance ............... 35
48. Modifications To Coverage ............................................................................................ 39
49. Payments Related to Guaranteed Obligations ................................................................ 40
50. Default/ Events of Default.............................................................................................. 40
51. Notice of Default-Opportunity to Cure .......................................................................... 41
52. Remedies for Construction Manager’s Default /Waiver of Claims for Consequential
Damages ......................................................................................................................... 41
53. Termination for Convenience......................................................................................... 42
54. Termination Due To Undisclosed Lobbyist Or Agent ................................................... 43
55. Materiality And Waiver Of Breach ................................................................................ 44
56. Force Majeure ................................................................................................................ 44
57. Resolution Of Agreement Disputes................................................................................ 44
58. Mediation - Waiver Of Jury Trial .................................................................................. 45
59. Applicable Law And Venue Of Litigation ..................................................................... 46
60. City May Avail Itself of All Remedies .......................................................................... 46
61. Permits, Licenses and Impact Fees ................................................................................ 46
62. Compliance With Applicable Laws ............................................................................... 47
63. Public Entity Crimes ...................................................................................................... 47
64. Audit Rights ................................................................................................................... 47
65. Nondiscrimination, Equal Employment Opportunity, and Americans with Disabilities
Act .................................................................................................................................. 48
66. Independent Contractor .................................................................................................. 48
67. Successors And Assigns ................................................................................................. 48
68. Third Party Beneficiaries ............................................................................................... 49
69. Contingency Clause........................................................................................................ 49
70. Performance Evaluation ................................................................................................. 49
71. Joint Preparation- Interpretation..................................................................................... 49
72. Confidentiality ................................................................................................................ 50
73. Agreement Limiting Time in Which to Bring Action Against the City ........................ 50
74. Defense of Claims .......................................................................................................... 50
75. Amendments................................................................................................................... 50
76. Severability..................................................................................................................... 50
77. Survival .......................................................................................................................... 51
78. Entire Agreement ........................................................................................................... 51
79. Small Business/Local Workforce Participation ............................................................. 51
80. First Source Hiring Agreements ..................................................................................... 51
81. Special City Provisions: ................................................................................................. 52
Section 2 - Pre-Construction Phase ........................................................................................... 53
1. Agreement Time ................................................................................................................ 53
2. Fixed Construction Budget ................................................................................................ 53
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3. Pre-Construction Phase Services ....................................................................................... 53
4. Value Engineering & Constructability............................................................................... 54
5. IGMP.................................................................................................................................. 55
6. Pre-Construction Phase Additional Services ..................................................................... 55
7. Compensation for Preconstruction Phase Services ............................................................ 56
8. Pre-Construction Phase Performance and Delegation ....................................................... 56
9. Pre-Construction Fee Application for Payment Submittal ................................................ 57
10. Pre-Construction Phase Meetings .................................................................................. 57
11. Guaranteed Maximum Price........................................................................................... 57
12. Cost Control ................................................................................................................... 59
13. Market Analysis and Stimulation of Bidder Interest ...................................................... 59
14. Bid and Award of Subcontracts ..................................................................................... 59
15. Responsibility ................................................................................................................. 61
16. Project Schedule ............................................................................................................. 61
Section 3 - Construction Phase .................................................................................................. 63
1. Construction Phase Services .............................................................................................. 63
2. Construction Phase Time for Completion.......................................................................... 63
3. Liquidated Damages .......................................................................................................... 63
4. Hours Of Operation............................................................................................................ 64
5. Construction Manager’s Supervision ................................................................................. 64
6. Construction Coordination/Adjacent Development Work................................................. 64
7. Acceleration ....................................................................................................................... 65
8. Construction Work Meetings ............................................................................................. 66
9. Progress Payments ............................................................................................................. 66
10. Acceptance and Final Payment ...................................................................................... 67
11. Subcontracts: .................................................................................................................. 68
12. Interfacing of Subcontracts ............................................................................................ 68
13. Performance Bond and Payment Bond .......................................................................... 68
14. Qualification of Surety: .................................................................................................. 69
15. Warranty of Construction ............................................................................................... 70
16. Methods Of Performing The Work ................................................................................ 70
17. Construction Manager’s Use Of Project Site ................................................................. 71
18. Work Staging And Phasing ............................................................................................ 71
19. Existing Utilities and Trees ............................................................................................ 71
20. Construction Manager’s Responsibility for Utility Properties and Service ................... 72
21. Differing Site Conditions ............................................................................................... 73
22. Product and Material Testing ......................................................................................... 73
23. Project Site Facilities ...................................................................................................... 74
24. Safety and Security......................................................................................................... 74
25. Worker’s Identification .................................................................................................. 75
26. Royalties and Patents: .................................................................................................... 76
27. Labor and Materials ....................................................................................................... 76
28. Substitutions ................................................................................................................... 76
29. Maintenance of Traffic and Public Streets ..................................................................... 77
30. NDPES Requirements .................................................................................................... 79
31. Construction Signage ..................................................................................................... 79
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32. Inspection of Work ......................................................................................................... 79
33. Mounting Heights ........................................................................................................... 80
34. Submittals ....................................................................................................................... 80
35. Shop Drawings ............................................................................................................... 81
36. Product Data ................................................................................................................... 83
37. Samples .......................................................................................................................... 83
38. Record Set ...................................................................................................................... 83
39. As-Built Drawings.......................................................................................................... 83
40. Requests For Information (RFI) ..................................................................................... 84
41. Field Directives .............................................................................................................. 85
42. Work Logs ...................................................................................................................... 85
43. Change Orders ................................................................................................................ 85
44. Value of Change Order Work ........................................................................................ 86
45. Substantial Completion, Punch List & Final Completion .............................................. 89
46. Training .......................................................................................................................... 90
47. Post Occupancy Inspection ............................................................................................ 90
48. Excusable Delay ............................................................................................................. 90
49. Notification and Claim for Change of Construction Work Time for Completion or GMP
91
50. Hurricane Preparedness .................................................................................................. 91
51. Stop Work Order ............................................................................................................ 92
52. Cleaning Up; City's Right to Clean Up .......................................................................... 92
53. Removal of Equipment................................................................................................... 93
54. Warranty Phase .............................................................................................................. 93
ATTACHMENT A ....................................................................................................................... 94
ATTACHMENT B ..................................................................................................................... 101
ATTACHMENT D ..................................................................................................................... 105
ATTACHMENT E...................................................................................................................... 107
FORM OF PERFORMANCE BOND (Page 1of 3) ................................................................... 108
FORM OF PAYMENT BOND (Page 1of 3) .............................................................................. 111
PERFORMANCE AND PAYMENT GUARANTY FORM ..................................................... 114
GMP AMENDMENT TO AGREEMENT ................................................................................. 117
MATERIALS PURCHASED AND STORED AT PROJECT SITE ......................................... 119

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THIS AGREEMENT, made and entered into this ______ day of _____, 2009 by and between
the City of Miami, Florida, a municipal corporation, hereinafter called the City, and (Name of
Contractor), a Florida Corporation, hereinafter called Construction Manager.

WITNESSETH:

WHEREAS, the City, Miami-Dade County (the “County”) and Marlins Ballpark Developer LLC
(“Stadium Developer”) entered into a Construction Administration Agreement (“CAA”) that
provides for the design, development and construction of a baseball stadium, public
infrastructure and related improvements (the “Baseball Stadium”) on the site depicted and
described in Attachment A as the “Baseball Stadium Site,” which Exhibit is incorporated into and
made a part of this Agreement (the “Adjacent Site”); and
WHEREAS, the City, the County and Marlins Stadium Operator LLC entered into a City Parking
Agreement (the “Parking Agreement”) that provides for the construction, operation and use of
certain parking facilities on the site located within the vicinity of 1501 NW 3rd Street, Miami, Fl,
and depicted and described in Attachment C as the “Parking Site”, which Exhibit is incorporated
into and made a part of this Agreement (the “Project Site”); and
WHEREAS, on ___________, 2009, the City issued a Request for Proposal for Construction
Management-at-Risk Services for Stadium Site Parking (RFP) for the construction of the
Stadium Site Parking on the Project Site (the “Stadium Site Parking”); and
WHEREAS, the Construction Manager submitted the Response to the RFP (the “Response”)
that was deemed the most qualified for the performance of the services described in the RFP,
which Response and RFP are incorporated into and made a part of this Agreement; and
WHEREAS, Construction Manager represents that it possesses the requisite expertise and
desires to enter into an agreement to act as the Construction Manager at Risk to the City to
provide the services as set forth herein; and
WHEREAS, the City Commission has authorized the City Manager to execute and enter into
this Agreement by Resolution No. (xx-xxxx) adopted (date);
NOW THEREFORE, in consideration of the foregoing and of the mutual covenants and
compensation set forth herein the City and Construction Manager agree as foIlows:
Section 1 - General Terms and Conditions
1. Overview/Recitals
This Agreement sets forth the terms and conditions pursuant to which Construction
Manager will provide Construction Manager at Risk Services for the construction of the
Stadium Site Parking, as further detailed in the Agreement. The Recitals are
incorporated into and made a part of this Agreement.
2. Intention of City
It is the intent of City to describe in the Contract Documents a functionally complete
Project to be constructed in accordance with the Contract Documents and in accordance
with all codes and regulations governing construction of the Project. Any work, materials
or equipment that may reasonably be inferred from the Contract Documents as being
required to produce the intended result shall be supplied by Construction Manager
whether or not specifically called for. Where words, which have a well-known technical
or trade meaning, are used to describe work, materials or equipment, such words shall
Stadium Site Parking, B-30648 Page 5
be interpreted in accordance with that meaning. Reference to standard specifications,
manuals, or codes of any technical society, organization or association, or to the laws or
regulations of any governmental authority, whether such reference be specific or by
implication, shall mean the latest standard specification, manual, code or laws or
regulations in effect at the time of opening of bids and Construction Manager shall
comply therewith. City shall have no duties other than those duties and obligations
expressly set forth within the Contract Documents.
3. Construction of the Agreement
This Agreement is comprised of three sections, which are applicable in the following
manner:
• Section 1 – General Terms and Conditions: This Section applies to both the
Pre-Construction and Construction Phase Services, if awarded, except where
it is stated that the requirements apply to only a specific Phase.
• Section 2 – Pre-Construction Phase: The provisions of this Section apply
only to the Pre-Construction Phase Services.
• Section 3 – Construction Phase: The provisions of this Section are only
applicable to the Construction Phase Services and shall only become
effective upon the City’s execution of the GMP Amendment.
4. Agreement Term
The Agreement shall commence upon issuance of the Notice of Award, which shall be
issued subsequent to the execution of the Agreement by the City. The Agreement shall
terminate upon notice by the City that the Agreement has been closed-out after final
completion or otherwise terminated by the City pursuant to the terms and conditions
herein set forth.
5. Definitions
Adjacent Property shall have the meaning ascribed to it in the Recitals.
Agreement means this Agreement, together with all documents incorporated herein by
reference and the Contract Documents.
Adjacent Development Work means work contemplated for the development and
construction of the Baseball Stadium.
Agreement Time means the time period defined in this Agreement for the Construction
Manager to complete the Pre-Construction Phase Services and submit the GMP
Proposal, which shall be amended to reflect the Construction Phase should the City
accept the GMP Proposal.
Baseball Stadium shall have the meaning ascribed to it in the Recitals.
Basis of Design means a specific manufacturer’s product that is named, including the
make or model number or other designation, establishing the significant qualities related
to type, function, dimension, in-service performance, physical properties, appearance,
and other characteristics for purposes of evaluating comparable products of other
manufacturers.
CAA shall have the meaning ascribed to it in the Recitals.
Change Order means a written document ordering a change in the Agreement Price or
Agreement Time or a material change in the Work. A change order must comply with
the Contract Documents.
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City means the City of Miami, Florida, a Florida municipal corporation. In all respects
hereunder, City’s performance is pursuant to the City’s capacity as Owner of the Project.
In the event the City exercises its regulatory authority as a governmental body, the
exercise of such regulatory authority and the enforcement of any rules, regulations,
codes, laws and ordinances shall be deemed to have occurred pursuant to City’s
authority as a governmental body and shall not be attributable in any manner to the City
as a party to this Agreement. For the purposes of this Agreement, “City” without
modification shall mean the City Manager or Director, as applicable.
City Commission means the legislative body of the City of Miami.
City Manager means the duly appointed chief administrative officer of the City of Miami.
City’s Project Manager means an employee or representative of the City assigned by
the Director to manage and monitor the Work to be performed under this Agreement and
the construction of the Project.
Construction Manager’s Project Manager or CM’s Project Manager means the
person designated by Construction Manager as its lead representative to the City. The
Construction Manager Project Manager shall have the authority to obligate and bind
Construction Manager and to act on all matters on behalf of Construction Manager
except for revisions to the Contract Documents and Change Orders. CM Project
Manager’s responsibilities include creating clear and attainable project objectives,
building the project requirements, and managing cost, time, and scope.
Constructability: means the creative, organized process of analyzing a project’s
drawings, specifications and other project documentation with a goal of minimizing
design, detailing, and specification problems which might render the construction
contract documents unbuildable or requiring addenda or change orders to make them
buildable.
Construction Change Directive means a written directive to effect changes to the
Work, prepared by the Consultant and executed by the City
Construction Estimate means a cost estimate for the completion of the Work, which
estimate shall include all components of the cost of the Work, as well as the
Construction Manager’s Fee for the Project.
Contract Documents means the documents described in Section 1, Article 8 of this
Agreement.
Construction Change Directive means a written directive to effect changes to the
Work, issued by the Consultant or the City’s Project Manager that may affect the
Agreement Price or Time.
Construction Manager means that (name of Firm), shall provide services including, but
not limited to preparation of cost estimates, constructability reviews, value engineering
and assist in systems life cycle cost analysis, estimating, scheduling, bidding and
submission of a GMP, as defined below, for construction, and construction management.
Upon execution of the GMP Amendment, the Construction Manager shall serve, from
that point forward, as the General Contractor under this Agreement.
Construction Manager’s Fee means the Construction Phase Fee to be negotiated with
the Construction Manager for general conditions, overhead and profit compensation
portion of the GMP, as defined below.
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Construction Manager’s General Conditions Costs means the necessary and
reasonable costs incurred by the Construction Manager directly attributable to the GMP
exclusive of the Construction Manager’s overhead and profit. The Construction
Manager’s General Conditions Costs shall be a component of the Construction
Manager’s fee, and shall be a fixed amount during the entire Construction Phase for the
Project, as set forth in the GMP.
Construction Manager’s Project Schedule or Project Schedule means the schedule
that the Construction Manager prepares and maintains for the Project. The Project
Schedule includes all aspects of the Project, including but not limited to: design, pre-
construction services, construction, construction engineering and observation services,
testing, project closeout, and warranty.
Construction Superintendent means the CM’s representative who is responsible for
continuous field supervision, coordination, and completion of the Work. The Construction
Superintendent is responsible for management of the Project Site and tasks including,
but not limited to, organization and coordination of the Work of trade craft employees,
keeping cost records on Work performed and materials, controlling of costs in materials
and wages; exercising control over rate of construction progress to assure complete
construction Project within scheduled time; inspecting Construction Work to enforce
conformity to the Contract Documents and supervising trades, subcontractors, clerical
staff, and other personnel employed in the construction.
Construction Phase Services means the services to be performed through the
Construction Manager during the construction phase of the Project, including without
limitation, the Construction Work and such other services as required by this Agreement
or reasonably inferred herein.
Construction Work means all Work required by this Agreement for the Construction
Phase of the Project.
Consultant means a firm that has entered into a separate agreement with the City for
the provision of design/engineering services for the Project. Wherever the word
"Architect" or “Engineer” appears in the Contract Documents, it shall be deemed to
include Architect's or Engineer’s consultants, including architects, engineers, landscape
architects and others engaged by Architect. All communications, directives, instructions,
interpretations and actions required of Architect shall be issued or taken only by or
through the individual identified as Architect in the Agreement or Architect's authorized
representative. For the purposes of this Agreement, the Consultant means Leo A. Daly.
Construction Manager’s Contingency means the sum included in the GMP to cover
unforeseen costs during construction. The City retains exclusive use and control of said
Contingency, and all expenditures must be approved in writing by the City’s Project
Manager.
Cure means the action taken by the Construction Manager promptly after receipt of
written notice from the City of a breach of the Agreement for the Work, which shall be
performed at no cost to the City, to repair, replace, correct, or remedy all material,
equipment, or other elements of the Work or the Agreement affected by such breach, or
to otherwise make good and eliminate such breach, including, without limitation,
repairing, replacing or correcting any portion of the Work or the Project site disturbed in
performing such cure.
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Cure Period means the period of time in which the Contractor is required to remedy
deficiencies in the Work or compliance with the Contract Documents after receipt of
written notice to Cure from the City identifying the deficiencies and the time to Cure.
Design Development means the requirements established in the Consultant’s
Agreement with the City establishing the requirements for Design Development.
Design Documents means the construction plans and specification prepared by the
Consultant for this Project.
Director means the Director of the Capital Improvements Program and or designee,
who has the authority and responsibility for managing the Project under this Agreement.
Drawings means the graphic and pictorial portions of the Work, which serve to show the
design, location and dimensions of the Construction Work to be performed, including,
without limitation, all notes, schedules and legends on such Drawings.
Field Directive means a written approval for the Construction Manager to proceed with
Work requested by the City or the Consultant, which is minor in nature and should not
involve additional cost.
Final Completion means the date subsequent to the date of Substantial Completion at
which time the Construction Manager has completed all the Work in accordance with the
Agreement as certified by the Consultant and the City and submitted all documentation
required by the Agreement
Fixed Construction Budget means the cost of construction provided by the City for
purposes of design development, which has been established at $84,600,000, inclusive
of the Construction Manager’s Contingency.
Guaranteed Maximum Price (GMP) means the sum agreed to between the
Construction Manager and the City and set forth in the GMP Amendment as the
maximum total Project price that the Construction Manager guarantees not to exceed for
the construction of the Project and for all services under this Agreement, excluding only
the Pre-Construction Fee. The Construction Manager’s Fee plus the sum of the
accepted subcontract bids and the Construction Manager’s Contingency shall comprise
the GMP. The City reserves the right to request the submission of the GMP proposal to
reflect one or more stages of construction.
GMP Amendment means the GMP Proposal, as may be amended and accepted by the
City, at its sole discretion, which amendment shall automatically become incorporated
herein upon the City and the Construction Manager’s execution of same, and shall
establish, among other things, the GMP, the names of the Construction Manager’s on-
site management and supervisory personnel for the Project, and the Agreement Time for
the Construction Work.
GMP Proposal means a proposal for completing the Construction Work, which will be
submitted at 95% completion of Construction Documents. Such proposal shall include
the GMP for the construction of the Project once it has been accepted by the City based
upon the Drawings and Specifications, the Contract Documents and the Memorandum of
Changes. However, the City has no obligation to accept the GMP Proposal.
IGMP means the Interim GMP Proposal which shall be due at 50% completion of Design
Development and 50% completion of Construction Documents.
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