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10-06-2020 Cost Analysis of PAECCost Analysis of Architecture and Engineering for the PAEC City Council October 6, 2020 1 Policy Question ▪Should City Council approve a Professional Services Agreement with Baker Tilly US, LLP, to conduct a cost analysis of the architecture and engineering for the previously completed construction of the Performing Arts and Event Center (PAEC)? 2 Design Process for the PAEC ▪The City initially used a Design-Build process: •One entity completes the facility from design through construction. •The City followed State procurement requirements to select the firm. ▪Mid-design, the City changed to a Design-Bid-Build process: •The City liked the design. •Staff conducted an analysis and determined it would be more expensive to start the design over. •The analysis led to retaining some of the firms for architecture and engineering. 3 Section 108 Funding ▪The City used a number of funding sources to build the PAEC. ▪One funding source was a Section 108 loan. •U.S. Department of Housing and Urban Development (HUD) funding. •In 2015, the City’s application for a Section 108 loan was for the PAEC in the amount of $3,030,000 was approved. 4 Cost Analysis ▪The City is completing a cost analysis to determine that the architecture and engineering costs were reasonable. ▪The cost analysis will resolve a State Auditor and HUD finding on procurement. •Procurement was completed in accordance with state law, but not federal regulations as federal funding was not included in the project at the time. ▪The City used a competitive Request for Proposal to select a consultant to complete a cost analysis. 5 Proposed Professional Services Agreement ▪Baker Tilly US, LLP is the most responsive proposer. ▪The proposed professional services agreement with compensation in the amount of $33,850.00 includes: •Scoping of project. •Data collection and review of background information. •Data analysis including comparable projects. •Presentation and review of the report. ▪Baker Tilly US, LLP is the most responsive proposer. 6 Questions? Cost Analysis of Architecture and Engineering for the PAEC October 6, 2020 Staff Contact: Sarah Bridgeford, Community Services Manager 7