Admin Order 44-23-01-F -- Final Public Contracting Rule 2022

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Exhibit A to Administrative Order No. 44-23-01-F City of Eugene Public Contracting Rules 2022 – Part 2 Page 127 delivery of an early budget or GMP, financing, historic preservation, difficult remodeling projects, and projects requiring complex phasing or highly coordinated scheduling. 2) Authority. Contracting Agencies shall use the CM/GC form of contracting only in accordance with the requirements of these division 49 Rules and ORS 279C.337, when a competitive bidding exemption is approved. See particularly Rules 137-049-0600 on “Purpose” and 137- 049-0620 on "Use of Alternative Contracting Methods". 3) Selection. CM/GC selection criteria may include those factors set forth above in Rule 137- 049-0640(2)(b). 4) Basis for Payment. The CM/GC process adds specified construction manager Personal Services to traditional design-bid-build general contractor Work, requiring full Contract performance within a negotiated GMP, fixed Contract Price or another maximum Contract Price. For a GMP pricing method, the basis for payment is reimbursable direct costs as defined under the Contract, plus a fee constituting full payment for construction Work and Personal Services rendered, which together shall not exceed the GMP. See GMP definition at Rule 137-049-0610 and Pricing Mechanisms at Rule 137-049-0660. 5) Contract Requirements. Contracting Agencies shall conform their CM/GC contracting practices to the following requirements: a) Nature of the Initial CM/GC Services Contract Document. A solicitation for CM/GC Services is a Procurement for a Public Improvement, since the scope of the Procurement includes not only pre-construction Personal Services to be performed by the CM/GC, but also construction Work that is expected to result in a completed Public Improvement. In the traditional CM/GC Services contracting approach, the text of the resulting CM/GC Services Contract will include comprehensive contract provisions that will not only fully govern the relationship between the Contracting Agency and the CM/GC for the pre-construction Personal Services, but will also include the general contract provisions that will control the CM/GC’s providing of the construction Work necessary to complete the project (with any remaining necessary construction-related contract provisions being added through Early Work amendments to the Contract, the GMP amendment to the Contract or, if necessary, a conventional amendment to the Contract). The traditional CM/GC Services contracting approach, however, also contemplates that the Contracting Agency will only authorize the CM/GC to perform the pre-construction Personal Services when the Contract is first executed unless construction Work is specifically included in the initial CM/GC Contract. Under this approach, the construction phase or phases of the CM/GC Services project are not yet authorized, and the Contract only becomes a Public Improvement Contract once the parties amend the Contract, through an Early Work or a GMP amendment, to authorize the construction of a portion of the project or the entire project. See also OAR 839-025- 0020, regarding the Bureau of Labor and Industries’ determination of when a Contract for CM/GC Services becomes a “public works” Contract for purposes of paying prevailing wage rates for construction Work under the CM/GC Contract. b) Setting the GMP, Fixed Contract Price, or Other Maximum Contract Price. The GMP, fixed Contract Price or other maximum Contract Price shall be set at an identified time consistent with industry practice and project conditions and after supporting information reasonably considered necessary to its use has been developed, which will normally take place by the end of the design development phase of the project. The supporting information for the GMP must define with particularity both what Personal Services and construction Work are included and excluded from the GMP, fixed Contract Price, or other maximum Contract Price. A set of project drawings and Specifications shall be