Addendum #2 E&I RFP 683222 Building and Construction Management Services January 14, 2016 RFP #683222 - Building and Construction Management Services Pre-Proposal Meeting A non-mandatory pre-proposal Conference Call was held on January 05, 2016 at 2:00 PM ET. The following companies were sent the RFP documents and/or had representation on this call: Nouveau Construction Roy Kirby & Sons, Inc. Gilbane Building Company Bell & Associates Construction, LP Jamail & Smith Construction Southland Constructors, Inc. JE Dunn Construction Medco Construction L.L.C. Kiewit Building Group Simplex Construction Management, Inc. Gourley Contractors LLC The Patriot Group Garrett & Associates Kal Krishnan Consulting Services, Inc. Adolfson & Peterson Construction Colliers International HB Construction fs3 Hodges Hensel Phelps Construction Co. Faithful & Gould FCI Constructors, Inc. Kupcha Marketing Services Turner Construction VANIR Construction Management, Inc. Centennial Contractors Enterprises, Inc. O&G Industries Inc. Vaughn Construction AECOM MyCon The Concord Group McDonough, Bolyard and Peck Construction Mgt and Consulting PDS Engineering & Construction, Inc. The Neenan Co O'Connor Construction Management, Inc. Broaddus & Associates J.A. Watts, Inc. JHL Constructors Inc McKissack & McKissack, Inc. Merrick & Company Elite Construction of NY W.E. O'Neil Construction Skanska USA Building Inc MW Golden Constructors CORE Construction Services of Illinois, Inc. MWH Constructors Inc Livewire Construction, Inc. Emerald Construction Management Inc. Himes Associates, Ltd. Orion Building Corp. Page 1 of 7
The following Questions were asked during the Pre-proposal conference call on January 05, 2016: 1. Is E&I gathering a one size fits all proposal from CM firms and will this end up as a pool of CM firms that your Members can use or pull out as the one that fits their needs? Answer) The result of this RFP may create a pool of companies that can provide Construction Management Services as the owner s agent, on an as needed basis, but we know that it won t be one size fits all. The intention of this RFP is to award either a contract to a national company and/or a group of regional companies that will be able to fulfill the requirements and needs of the members as Building Construction Manager (owner agent) to Members of E&I for projects on their campus. Within the response, Suppliers will identify the Regions and areas in which they can provide the services. An awarded supplier may cross regions with other awarded suppliers and the Members would then have the option to contract with any suppliers that can perform the services at their location. One of the goals is to have options for Members who need a construction manager (owner agent) because they do not have one on staff. This RFP and subsequent award(s) will allow them not to have to bid this part of their construction job. 2. Will this contract only be for jobs awarded in 2016? Answer) No, the final contract term will be for five years with an E&I option for an additional five year term. So this could potentially be a ten year contract. The award winning Supplier or Suppliers could be managing construction projects (owner agent) on Member campuses for the entire term of this agreement. 3. How does E&I solicit the business of College campuses that are looking at doing a construction project? Answer) E&I has over 3,700 Members that are in higher education, community colleges, trade schools, K-12 and other non-profit education entities. This RFP idea was brought to us by the Members because they have an interest in E&I holding a contract that they can use for CM Services acting as the owner s agent. This is the group who would be looking to use the services of the award winning Supplier or Suppliers. Each member with the need for CM Services (owner agent) would contract directly with the company or companies selected as awarded contracts through E&I. 4. In the Scope of Services section, E&I talks about CM Services and Owner Agent. In the Construction world the CM would hire and manage the sub-contractors, and most of what would be in the bid for the job to be done. The Owner Agent would oversee the architect and CM, is that what E&I is looking for, a liaison between the construction company and the Member? Answer) The awarded supplier or suppliers are to supplement the owners staff to make sure that all aspects of the construction project run smoothly and on or under budget, to do what the owner requires for the construction project under contract. The Scope of Services outlines some of the duties to be performed by the award winning supplier or suppliers in section 2.2. We have defined that as the Construction Manager acting as the owner s agent based on what we learned from reading the white paper from APPA on construction management. 5. What is the breakdown of E&I Members? Answer) 70% is in Higher Education (Colleges, Universities, Community Colleges, and Trade Schools. 50% are public institutions and 50% are private institutions), the K-12 Members represent 28% of the Membership and the rest is made up of other non-profit institutions such as museums, and religious organizations. Page 2 of 7
6. What is the fee to the CM firm for having an E&I Contract? Answer) In the RFP is says 3% of the net total invoice amounts (excluding taxes, returns, and credits) on all Management services orders placed in person or by any other means pursuant to this Agreement in each month during the term of the Contract. Addendum #1 reduced the fee to 1.50%. This fee is to be included in the amount charged to the Member and must not be added as a separate line item on any invoice or listed in the contract between the Member and the supplier. The fee must be included in the amount that you charge to the Member for your services. 7. Once a project is awarded, would the primary point of contact be with the school or E&I? Answer) The primary point of contact for the E&I Agreement is with E&I. Once a project for a Member Organization (school) is awarded, the primary point of contact for a contract with the school that would include scope, requirements, contract/purchase order would be with the school. The school would identify someone who is on the staff of the campus where the work is being performed as your point of contact. E&I supports the members by offering contracts and answering questions regarding the awarded contracts. E&I supports the Supplier and will be in regular contact with the Supplier or Suppliers to discuss contract compliance, the marketing, sales and any contract enhancements or issue resolutions. 8. What is to be included in the three-ring binder? Answer) The three-ring binder must contain your tabbed response as outlined in part 5, section 5.2 on page 14 of the RFP document. 9. Is the Suppliers responsibility for Marketing to create and share with E&I their plan to reach the Members as well as attend conferences, trade shows and meetings? Are the conferences, trade shows and meetings required? Answer) E&I will work with the supplier to identify a marketing plan to reach our members. Attendance at conferences, trade shows, and meetings is encouraged as it will get you in front of the Members who may be using your services. These conferences, trade shows and meeting usually have one entry fee and are not mandatory, but highly recommended. It is expected by our members, and members of association s that hold the conferences that our contract suppliers are going to support and participate in meetings such as the NAEP, APPA, and ACUHO-I, meetings and exhibits. 10. How does the CM firm s existing relationship with an E&I Member affect a potential contract with E&I? Is there a conflict? Answer) Existing relationships are a good thing for both parties. The Member knows your capabilities and can help promote the potential agreement to other Members of E&I. It is our intention to convert those existing Member relationships over to the new E&I Contract and we will work with each award winning company to convert those Members to the E&I agreement. 11. Is a list of E&I Clients (Members) available? Answer) - Yes, but the list is only given to the suppliers that win a contract award with E&I. 12. Where in the response do the exceptions to Attachment A (part 6, section 6.1 on page 15) go? Answer) Exceptions or responses to Attachment A from part 6, section 6.1 on page 15 goes under Tab 4 in your response. 13. Is there a minority business requirement in this RFP? Answer) There are several areas in the RFP which we state the importance of doing business with a Minority or Woman owned business (see the list below). Many states have legal requirements in which the public institutions would have to make a good faith effort in using a diverse supplier. In your technical proposal, the response should include how you intend to meet these requirements. Page 3 of 7
This is an area as stated that is important to our members and we need a response as to whether you are proposing a solution to assist the members. If you have a minority designation it should be included in your response and a copy of your certificate can be included under Tab 8. Members who sign a contract with one of the award winning Suppliers may need to reach a minority business goal and you would work out those details in the agreement to manage the project for the Member. Attachment C has to be signed agreeing that you will work with the agency if a HUB Plan is required for the performance of the work in the State of Texas. Section 1.2, page 3 - Purpose and Intent of the Request for Proposal (RFP) Paragraph 3 Award of E&I Agreements and/or recommendation for awards may include utilization and consideration of Historically Underutilized Businesses (HUB S) and Small Business Enterprises as defined by the Small Business Administration (SBA). Section 1.5, page 4 - General Requirements, Bullet #5 Supplier Diversity including Historically Underutilized Businesses (HUB s) such as Minority and Women-owned businesses Section 1.7, page 5 Definitions, Bullets #11 and12 HUBS: Historically Underutilized Businesses e.g. minority, women-owned businesses (for the State of Texas, Certified HUBS within the State of Texas) MWBE: Minority, Woman-owned Business Enterprises Section 2.3, page 8 - Quality Assurance, Bullet #16 Compliance with all federal, state and local regulations regarding building construction/renovations. Section 3.2, page 9 - Evaluation Criteria, Bullet s #8 and 11 Bullet #8 Adherence to RFP Requirements which closely align with Members institutional policies, federal, state, and local legal and regulatory requirements and policies Bullet #11 Supplier Diversity, including Historically Underutilized Businesses (HUBs), Woman and Minority Business Enterprises (WMBEs) and Small Business Enterprises as defined by the Small Business Administration (SBA) Attachment C HUB State of Texas form 14. What area of the country does this RFP encompass? Answer) - The intention of this RFP is to award either a contract to a national company and/or regional companies that will be able to perform the services as owner s agent to Members for projects on their campus anywhere in the country. The following Questions were submitted in writing by January 12, 2016: 1. It is stated that Attachment A General Terms and Conditions will govern any agreement issued as a result of this solicitation. To clarify, the agreement you refer to is between E&I and the selected CM/GC, correct? Are we to assume that any project-related agreement that results between one of your member organizations and the selected CM/GC would be a separate agreement and utilize a standard AIA contract, or similar vehicle, and be negotiated directly with that member organization? Answer) - Attachment A is referring to the E&I agreement with any Supplier or Suppliers that receive a contract award through RFP 683222. The member will utilize our resulting agreement and issue a contract or order to the Supplier (this is based on our award) and any additions to the terms and conditions will be spelled out between the Member and the Contractor/Supplier. 2. Do you have a project name and location associated with this RFP? Answer) - No. As stated in part 2, section 2.1 E&I intends to establish a contract(s) for Building and Construction Management Services (Owner Agent) to be utilized by our members on an as needed basis. E&I is establishing the contract with a supplier or a pool of suppliers to provide the CM Services (owner agent) to our members that do not have the staff that handles this task for them. Page 4 of 7
3. In general, where should we submit our qualification of our people (if allowed, where would we submit our resumes)? Answer) - In part 2 of the RFP document, section 2.3 Quality Assurance, page 8, the first bullet point addresses the qualifications and experience of those who will be working with the E&I Members. Please include any resumes that you wish to include as part of your response to this section. In your three ring binder response this goes after the Executive Summary under Tab 2. 4. Would missing the pre-proposal conference call preclude a company from being able to respond to RFP 683222? Answer) - Missing the pre-proposal conference call will not preclude a company from being able to respond to this RFP, the call was not mandatory. 5. Would it be possible to gain a copy of the notes and discussion that arose from the call? Answer) - See questions 1 through 14 and the corresponding responses by E&I on pages 2, 3 and 4 of this addendum. 6. In part 5.2. Tab 2, the item asks for a concise summary outlining our commitment and approach to the RFP. Should this response include an itemized listing of scope of services outlined in part 2, and our commitment to addressing these requirements individually? Conversely, could a Supplier provide a broad commitment to the needs of the scope of services along with a listing of their supporting Best Practices and/or project approach? Answer) - The Executive Summary portion of your response should be a high level overview of how your company can meet or exceed the requirements in this RFP. No other information from part 2 is required in the Executive Summary. After your Executive Summary and still under Tab 2, each company submitting a proposal needs to provide their input and response to each section in Part 2 of the RFP document, the Scope of Services. Address each section/paragraph showing the capabilities of your company. Your response can be as detailed as you wish, it is your choice. Our intention is to be sure that your company can provide our Members the best possible service for their construction project. 7. In Attachment B, Tab 1, Corporate Information, Item A8, State Contracts, does this include state universities? Answer) - In this part of the questionnaire we are only looking for contracts that you have signed directly with a specific State (i.e. the State of California, the State of North Dakota, etc.). State Universities may be able to access these contracts but we are only looking for a list of your State Contracts with the qualifier as listed in the question. 8. In Attachment B, Tab 1, Section D1, Respondent Experience & Background, is it acceptable to respond to this requirement with attached project sheets that accurately represent our experience (rather than trying to fit all of the information into one cell)? Answer) - Yes, but please be sure to make a reference to the sheet or sheets that you attach to your response so that we can accurately find the information that pertains to this question. 9. Please clarify who will serve as the contracting entity, E&I or individual member organizations? If E&I please provide sample contract vendor(s) will be expected to sign. Answer) E&I and the Supplier will sign an agreement to outline the relationship between both parties that will prove that the contract was solicited using a competitive process. The Members will then sign their own agreement with one of the award winning suppliers that will detail what is expected of the CM firm acting as the owner s agent. Page 5 of 7
10. Please provide a complete list of current approved contract holders provided to member organization by E&I? Answer) A complete list of E&I Contracts can be found on the cover page of our web site at www.eandi.org. We do not hold any contracts for CM services. This will be the first time that we are looking to add CM Suppliers (owner agent) to our contract portfolio. We do have two JOC contracts that have been in place since 2007. 11. Please explain how E&I would address potential conflicts of interests if multiple divisions of the same parent organization were to offer services outside the services procured via this RFP; e.g. division representing GC, CM at Risk, Design Build or Competitive Sealed proposal not covered by this solicitation. Answer) E&I is only soliciting owner agent services at this time. We intend to solicit for other construction services in the future. Our members can and will continue to issue solicitations for the various services and this is not a conflict of interest. Our contract with awarded suppliers should be the best offer a Supplier can make based on the possible aggregation of volume of our membership. After a Member secures the services of the CM owner agent through this process, they are free to solicit any other services not covered by the resulting contract or contracts from this RFP. 12. Please provide additional detail regarding how E&I will provide assistance in marketing services offered by the approved vendor(s). Answer) Suppliers would have a micro-site on the E&I web page that would give Members details about the E&I Contract. We also have two monthly electronic newsletters where suppliers can have news articles, success stories and other information distributed to our Members about their company or the contract. You would be responsible to submit this information to the E&I writer. E&I is also the only Cooperative that has people in the field called Member Relations Executives and a telesales group to keep contact with our Members about our Contract portfolio. This group also has a person called a Portfolio Support Executive that will work with your Marketing people to promote the contract. 13. Please provide potential fee ranges and anticipated sizes of individual projects to be offered to vendor(s) for consideration and execution. Answer) A fee structure should be proposed by your company to E&I for consideration, see attachment E on page 36 of the RFP document for our template. Feel free to customize your response if you have a better way for us to receive your information concerning fees. Size of the project and scope will be determined on a case by case basis. 14. Please clarify how vendor would handle contracting relationships with clients they have currently or previously worked with; i.e. would vendor be allowed to maintain and/or seek assignments with member clients outside this procurement. Answer) See the answer to question 10 on page 3 of this addendum. 15. Will our cost information be shared with your members, or does E&I keep this information confidential for negotiations? Answer) E&I will share the fee structure for your services with our Members, but not outside of our Membership. 16. Is this the first solicitation E&I has issued relative to requesting proposals for Building and Construction Management Services? Answer) Yes. At-Risk and Design Build RFP s will be issued in the future. 17. Is there an MWBE requirement for participation local to the region for the firms selected? Answer) - See the answer to question 13 on pages 3 & 4 of this addendum. Page 6 of 7
18. Will a selected supplier s construction arm be precluded from bidding on the projects if selected as an E&I Supplier on this RFP? Answer) The decision to include or preclude a company based on a potential conflict of interest is up to the Member using the services of the company that they select. 19. Is E&I currently providing construction management services? If so, what is the annual dollar volume of the services provided? Answer) No, we do not have any construction management service contracts in our portfolio. We do have two JOC contracts that have been in place since 2007. These will be resolicited in 20162017. Our sales expectations for CM Services (owner agent) in 2016 are very conservative and will be discussed with the award winning supplier or suppliers. 20. Is a potential supplier precluded from proposing construction management services directly to E&I member colleges and universities should the opportunities arrive independently? Answer) No, but understand that we are looking for a partner in this contract category. If you win a contract through E&I, the first response to a member should be offering the E&I contract. Going direct undercuts the E&I agreement. Our members are very loyal and will want to use the contract and this is a big advantage for a company to have a contract with E&I. By going direct to a Member school, you damage the E&I contract relationship, and send messages to the membership that they can do better if they go direct. This increases the Member work load and yours in responding to many requests. The increased work could end up costing the Member as well as your company more money than just responding with the E&I Contract. 21. How does E&I adjust for price differences for each specific location in which we would provide services? Answer) Other Suppliers in our portfolio have regional or specific pricing that they proposed in their original RFP response. You are encouraged to submit your proposal base on the different locations and services that you are proposing. E&I must have all pricing on file in order to be approved for use with the Members under any contract awarded by E&I. Please sign below to acknowledge receipt of this addendum and return with your submittal of the RFP under Tab 8. We sincerely look forward to receiving your proposals. Thank you for your time and interest in doing business with our Members through E&I Cooperative. If you have any questions in regards to the addendum, please contact me by email at bsolak@eandi.org. Sincerely, Bob Solak Senior Contract Specialist Addendum 2 Acknowledged: Company Name Date Authorized Signature Page 7 of 7