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    City Mgt. Asks Council To Approve $3 Million More -- Double Original Amt. -- For Three Current Public Works "Construction Management" Consultant Contracts

    (December 7, 2004) -- LB city management is asking the LB City Council to increase by a total of $3 million dollars -- double the amount sought by management and approved by Councilmembers in June 2003 -- three contracts to three construction management firms already totaling $3 million that city management said 18 months ago would suffice until 2006.

    In a memo agendized for the Dec. 7 City Council meeting, Public Works Director Christine Andersen, with the approval of City Manager Jerry Miller, seeks Council approval to amend contracts with 3D/International, Concept Marine Associates and CBM Consulting, Inc.

    The memo tells Councilmembers that construction management services "are used to assist City staff to ensure efficient and cost effective service delivery for meeting tenant facility and capital improvement needs throughout the City of Long Beach. These services have greatly helped to alleviate the backlog of capital projects for facilities identified in the City's Capital Improvement Program (CIP) as well as improve overall project delivery."

    The management memo continues:

    The City has successfully utilized CM services on various projects throughout the City such as the Emergency Communications and Operations Center, the Public Safety Building, the Family Health Education Center and the City Hall Elevator Modernization effort. Because of the increasing number of CIPs, and the demonstrated usefulness of the services provided by these firms, the City has already expended 75 percent of the contract amounts for 3D/I and CBM and 54 percent for CMA. It is anticipated that the need for CM services will continue to increase but, at the current rate of expenditure, the contract amounts will be exhausted prior to the termination of the agreements in June 2006.

    It is therefore recommended that each contract be increased by $1,000,000 to cover anticipated CM service needs over the remainder of each agreement's term. As individual project needs are identified out of the Administration and Planning Bureau's workload, the Bureau will issue a "project specific" scope of work. Each scope of work will be funded with CIP funds allocated to the project requiring those services.


    City Council action on this matter is requested on December 7,2004 in order to continue moving CIP projects forward.


    Sufficient funds to support the CM services will be budgeted in various capital improvement projects within the Department of Public Works (PW). All work will be contingent upon annual appropriations by the City Council.

    In June 2003, Councilmembers approved contracts totaling $3 million with the three firms to (in the words of a 2003 management memo) "help alleviate the workload of our Capital Project Coordinators who act as the overall project managers for facilities identified in the City's Capital Improvement Program (CIP). Due to the changing volume of CIPs, use of CFM's [construction management firms] will help ensure that important projects are not delayed to due the lack of administrative resources."

    In its June 2003 memo seeking the original $3 million in spending, management cited its 2003 "Three Year Financial Plan" Guiding Principles to ensure efficient and cost effective service delivery.

    [For editorial comment on this item, click City Management's $3 Million Christmas Package.]

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