Agreement - Quantum

City of Chandler — Regular Meeting (2021-09-23)

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ly © CHANDLER
WIS 2°20 na

Community of Innovation

CITY OF CHANDLER, ARIZONA

PECOS SURFACE WATER TREATMENT
PLANT SCADA UPGRADE

CITY PROJECT NO. WA2103.251

PRE-CONSTRUCTION SERVICES CONTRACT
(CONSTRUCTION MANAGER AT RISK)

Andrew Goh, P.E.
CIP City Engineer

Rev. 4/1/2021 Page i

CITY OF CHANDLER, ARIZONA

PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE
CITY PROJECT NO.: WA2103.251

TABLE OF CONTENTS
ARTICLE 1 - PARTICIPANTS AND PROJECT..............scccssscsssssssssescesessnseee sosseesee 1
ARTICLE 2 - CONTRACT DOCUMENTS....... sseeee secseseeeeee 2
ARTICLE 3 - PRE-CONSTRUCTION SERVICES ssscecessesseseecssessesseesereeses 2
ARTICLE 4 - CONSTRUCTION SERVICES...... 4
ARTICLE 5 - CITY FURNISHED INFORMATION.............ccsccsssssseree er)
ARTICLE 6 - CONTRACT TIME.............scccssecseeesreee oe)
ARTICLE 7 - CONTRACT PRICE.............ccccsscscssserscsersecesesccorecsereccnseseess 5
EXHIBIT A - PRE-CONSTRUCTION SCOPE OF WORK AND SCHEDULE ..............cccscsssssseres A-1
EXHIBIT B - COMPENSATION AND FEE SCHEDULE eececceee B-1
EXHIBIT C - INSURANCE REQUIREMENTS. eoeee evcceseeccecosccneseessese C-1
EXHIBIT D - SUBMITTAL REQUIREMENTS FOR GMP/PRICE PROPOSAL...............0ssesssesseee D-1
EXHIBIT E - GENERAL CONDITIONS AND GENERAL CONDITIONS APPENDICEG.............. E-1
City of Chandler Construction Manager at Risk Pre-construction Services Contract Page ii

Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE
Project No.: WA2103.251

Rev. 4/1/2021

CONSTRUCTION MANAGER AT RISK
PRE-CONSTRUCTION SERVICES CONTRACT
PROJECT NO.: WA2103.251

THIS CONTRACT is made and entered into on the day of , 2021, (“Effective
Date”) by and between City of Chandler, an Arizona municipal corporation, hereinafter called
“City” and the “Construction Manager at Risk” or “CM@Risk” designated below (City and
CM@Risk may individually be referred to as “Party” and collectively referred to as “Parties”).

City and CM@Risk agree as follows:

ARTICLE 1 - PARTICIPANTS AND PROJECT

CITY: CIP City Engineer:
Andrew Goh, P.E.
Public Works & Utilities Department
P.O. Box 4008, Mail Stop 407
Chandler, AZ 85244-4008
Phone: 480-782-3343
Email: andrew.goh@chandleraz.gov

CM@RISK: Quantum Integrated Solutions
Mailing Address: 2141 E. Broadway Rd, Ste. 217, Tempe, AZ 85282
Physical Address (if different than mailing address)
Arizona ROC No.: 220363
Federal Tax ID No.: 26-0009406
Business Organization: corporation
State Where Organized: Arizona
Statutory Agent Name: Thomas Reski
Statutory Agent Mailing Address: 2141 E. Broadway Rd, Ste. 217,
Tempe, AZ 85282
Statutory Agent Physical Address: (if different than mailing address)
CM@Risk’s Authorized Project Representative:
Name: Mark Reski
Title: Vice President, Electrical Engineer
Phone: 480-699-7124
Email: Mark.reski@quantumengr.com

PROJECT DESCRIPTION:

This project will upgrade hardware and software for control and data capture for the Pecos
Surface Water Treatment Plant as well as all remote water facilities.
PROJECT LOCATION:

Pecos Surface Water Treatment Plant, 1475 East Pecos Road, Chandler

City of Chandler Construction Manager at Risk Pre-Construction Services Contract 1
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

ARTICLE 2 - CONTRACT DOCUMENTS

2.1

2.2

CONTRACT DOCUMENTS

The Contract between City and CM@Risk will consist of the following Contract
Documents:

1. This Pre-Construction Services Contract and all of its Exhibits, incorporated by
reference;

Exhibit A - Pre-Construction Scope of Work and Schedule;

Exhibit B - Compensation and Fee Schedule;

Exhibit C - Insurance Requirements;

Exhibit D - Submittal Requirements for GMP/Price Proposal;

Exhibit E - General Conditions and General Conditions Appendices.

PaPPown

DEFINITIONS

The definitions in Sections 2 and 15.1 of the General Conditions apply to all the
Contract Documents, including this Contract.

ARTICLE 3 - PRE-CONSTRUCTION SERVICES

3.1

3.2
3.2.1

3.2.2

3.2.3

3.2.4

SERVICES

CM@Risk must provide all of the services and perform in accordance with Section 17 of
the General Conditions. The major components of Pre-Construction Services and the
corresponding subsections of Section 17 of the General Conditions are set forth below.

GENERAL REQUIREMENTS

CM@Risk must perform the services required by, and in accordance with this Contract
and as outlines in the attached Exhibit A to the satisfaction of the Project Manager, in
full compliance with Section 17.2.1 of the General Conditions.

In performance of the Services under this Contract, the CM@Risk must fully comply with
all applicable Laws, Regulations, or Legal Requirements applicable to City, the Project,
and the Contract.

CM@Risk must perform the Services under this Contract using only those firms, team
members, and individuals designed by CM@Risk consistent with the Statement of
Qualifications or as otherwise approved by City in accordance with the General
Conditions. No other entities or individuals may be used without the prior written
approval of City.

CM@Risk will comply with all terms and conditions of the General Conditions.

City of Chandler Construction Manager at Risk Pre-Construction Services Contract 2
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

3.2.5

3.2.6

3.3

3.4

3.5
3.5.1

3.5.2

3.6

3.7

3.7.1

3.7.2

In the event of a conflict between this Contract and the General Conditions or any exhibit
hereto or appendix thereto, the terms of this Contract will control.

Ownership of Work Product. Notwithstanding anything to the contrary in this
Contract, all Work Product prepared or otherwise created in connection with the

performance of this Contract, including the Work, are to be and remain the property of
City, as set forth in Section 17.2.6 of the General Conditions.

DESIGN PROJECT SCHEDULE
CM@Risk must prepare and present to City a Detailed Project Schedule that is
acceptable to the City and in accordance with Section 17.3 of the General Conditions.

DESIGN DOCUMENT REVIEW

CM@Risk must conduct the evaluations, perform the design document reviews, make
the recommendations, and provide the other Services referenced in accordance with
Section 17.4 of the General Conditions.

BASELINE COST MODEL, DETAILED COST ESTIMATES, AND SCHEDULE OF VALUES
CM@Risk must prepare and submit the Baseline Cost Model, Detailed Cost Estimates,
and Schedule of Values in accordance with Section 17.5 of the General Conditions.

The submitted Baseline Cost Model, Detailed Cost Estimates, and Schedule of Values
must not exceed the City’s Construction Budget, which is $4,000,000 (“Construction
Budget”). If CM@Risk submits a Baseline Cost Model, Detailed Cost Estimates, and
Schedule of Values that exceeds the Construction Budget, negotiations could lead to
termination or suspension of the Contract.

SUBCONTRACTOR AND MAJOR SUPPLIER SELECTIONS
CM@Risk must select and obtain approval of Subcontractors and Suppliers in
accordance with Section 17.6 of the General Conditions.

GUARANTEED MAXIMUM PRICE (GMP) PROPOSAL

CM@Risk must submit a GMP Proposal for the entire Work, and for each phase (if
required) of the Work, at the times set forth in the Pre-Construction Schedule included
in attached. The GMP Proposal must be presented in a format acceptable to City based
upon the attached Exhibit D. City may change the schedule, format, and/or
requirements for the GMP Proposal as it deems necessary during Pre-Construction, and
may request resubmittal of the GMP Proposal to reflect such changes.

Preparation, submittal, review, and approval (or disapproval, if applicable) of the GMP
Proposal will be done in accordance with Section 17.7 of the General Conditions.

City of Chandler Construction Manager at Risk Pre-Construction Services Contract 3
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

3.7.3

3.7.4

3.8
3.8.1

3.8.2

3.8.3

For the purposes of the GMP Proposal, the Parties agree that:

a. The CM@Risk Fee will be equal to 8% (percent) of the Cost of Work;
b. General Conditions costs will be a fixed amount or percentage agreed to as part
of the Baseline Cost Model.

The GMP Proposal must not exceed the City’s Construction Budget.

ADDITIONAL PRE-CONSTRUCTION SERVICES

Additional services which are outside the scope of the services required under the
Contract Documents will not be performed by CM@Risk without prior written
authorization from City. Additional services, when authorized by an executed written
Change Order under Section 9 of the General Conditions, will be compensated for by a
fee mutually agreed upon in such written Change Order between City and CM@Risk.

No claim for additional services, extra work done or materials furnished by CM@Risk will
be allowed by City except as provided herein, nor will CM@Risk provide any additional
services, do any work, or furnish any materials(s) not covered by this Contract unless
such work or material is first authorized in writing by City. Work or material(s) furnished
by CM@Risk without such prior written authorization will be CM@Risk's sole jeopardy,
cost, and expense, and CM@Risk hereby agrees that without prior written authorization
no claim for compensation for such services, work or materials furnished will be made,
and City will not be responsible for such costs.

No Work (as defined by Section 1 of the General Conditions) may be performed under
this Pre-Construction Services Contract, without prior written approval by City. As an
example, all procurement of long lead time items that must be procured to support the
construction schedule or site investigative Work necessary to complete Pre-
Construction Services, if done by the CM@Risk, will be performed only after a GMP
Proposal for the Work has been approved and accepted in writing by City and all such
Work will be done only under an executed Contract for Construction Services, or
pursuant to a prior written direction from City to engage in such procurement.

ARTICLE 4 - CONSTRUCTION SERVICES

if City accepts CM@Risk's GMP Proposal, CM@Risk and City will enter a Construction
Services Contract for Construction of the Project based upon CM@Risk’s Pre-
Construction Services performed and GMP Proposal submitted pursuant to this
Contract. The terms of the Construction Services Contract are being negotiated
contemporaneously with this Contract and CM@Risk agrees to execute the
Construction Services Contract, without further modification, upon acceptance by City
of the GMP Proposal. All of CM@Risk’s obligations, duties and warranties in relation to
Pre-Construction Services and Deliverables (including specifically the GMP Proposal)
survive the completion of this Contract and will be incorporated into the Construction

City of Chandler Construction Manager at Risk Pre-Construction Services Contract 4
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

Services Contract.

ARTICLE 5 - CITY FU FORMATION

5.1 City, at no cost to CM@Risk, will furnish the following to CM@Risk:

5.1.1 One copy of data in City’s possession or control which City determines in its discretion
to be pertinent to the Work. However, CM@Risk will be responsible for searching the
records and requesting information it deems reasonably required for the Project.

5.1.2 Electronic copies of programs, reports, drawings, and specifications reasonably required
by CM@Risk, to the extent in possession of City.

ARTICLE 6 - CO TIME

Contract Duration is 430 Calendar Days. The Pre-Construction Services described in this
Contract must be performed by CM@Risk in accordance with the Pre-Construction
Schedule set forth in attached Exhibit A, as updated and expanded in the most current
updated/revised and approved Detailed Project Schedule. Failure on the part of
CM@Risk to adhere to the Pre-Construction Schedule requirements for activities for
which it is responsible and in control will be deemed a material breach and sufficient
ground for termination for cause of this Contract by City.

ARTICLE 7 - CONTRACT PRICE

7.1

7.2

In exchange for CM@Risk's full, timely, and acceptable performance of the Services
under this Contract, and subject to all of the terms of this Contract, City will pay CM@Risk
a fee of $568,524 (the “Contract Price”). The method of payment for this Contract is
Hourly, Not-to-Exceed. The amount paid will not exceed the Contract Price for actual
costs incurred, based on the negotiated hourly rates and reimbursement schedule as
defined in Exhibit B, Compensation and Fee Schedule.

The Contract Price is all-inclusive, and City will not pay any additional amounts, costs or

expense, except for only those specifically designated reimbursable costs, without
markup, as set forth in Exhibit B.

SIGNATURE PAGE TO FOLLOW

City of Chandler Construction Manager at Risk Pre-Construction Services Contract 5
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

IN WITNESS WHEREOF, the parties hereto have executed this Contract through their duly
authorized representatives and bind their respective entitles as of the Effective Date.

“CITY”
CITY OF CHANDLER

MAYOR Date

Recommended By:

Andrew Goh, P.E.
CIP City Engineer

APPROVED AS TO FORM:

City Attorney 4

ATTEST:

City Clerk Seal

“CM@Risk”
Quantum

Uefa Me. 4/2/8021

Signature Date

Mane 2éSie
Print Name

ye Engine Sc ivity
Title

Marks CoV OD Guantwmenge, COM
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Signer Email Address

ATTEST: If Corporation

Secretary

City of Chandler Construction Manager at Risk Pre-Construction Services Contract 6
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

EXHIBIT A

PRE-CONSTRUCTION SERVICES
SCOPE OF WORK AND SCHEDULE

City of Chandler Construction Manager at Risk Pre-Construction Services Contract
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE
Project No.: WA2103.251

Rev. 4/1/2021

A-1

Chandler Pecos SCADA Upgrades Quantum

Exhibit A
CM@RISK PRE-CONSTRUCTION SERVICES
SCOPE OF WORK
Chandler Pecos Surface Water Treatment Plant SCADA Upgrades
WA2103.251
17.2 General
Project Kick-off Meeting

Attend and participate in Project Kick-off meeting. Quantum and Archer Western will provide drawings,
schedule diagrams, budget charts, and other materials describing the Project, if/when their use is
required for the meeting.

Project/Design Meetings

Quantum and Archer Western will participate in project/design meetings further defined in the
following scope document separated by specific project phases.

Project Workshops/Design Workshops

Participate in Project Workshops and Design Workshops and/or other miscellaneous meetings and
partnering sessions as required by City defined further in the following phased scope document.
Quantum and Archer Western will provide input consistent with sound and generally accepted
construction management and contracting practices related to the procurement, cost impact, schedule,
quality, and operations/maintenance.

Construction Document Rolling Reviews

Quantum and Archer Western will participate in Construction Document Rolling Review meetings.
Review of documents as received from Project Designer; feedback consistent with sound and generally
accepted construction management and contracting practices related to procurement, cost impact,
schedule, quality, and operation/maintenance.

- Value Engineering Review Meetings

Quantum and Archer Western will participate in Value Engineering Review meetings and workshops.
Using industry knowledge, experience, and best practices, the CMAR team will routinely assist to
identify and evaluate any alternate systems, approaches, and design changes that have the potential to
reduce Project costs while still delivering a quality and functional product that meets the design intent.

Utility Coordination Meetings

Quantum and Archer Western will attend, make presentations, and participate as may be appropriate,
in Utility Coordination meetings related to the Project. This will include providing drawings, schedule
diagrams, budget charts, and other materials describing the Project, when their use is required for the
meeting.

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Comment Resolution Meetings

Quantum and Archer Western will participate in meetings with the Consultants and City to review
constructability/bid-ability comments after design submission for both 60% and 90% design.

GMP Review/Negotiation Meetings

Participate in meetings with City to review the GMP after submission.

17.3 Detailed Project Schedule

Develop Design Phase Schedule

Quantum and Archer Western will present to City a detailed design phase project schedule with input
from City and Project Designer which utilizes the Critical Path method (CPM) technique. This schedule
will follow the existing project phases as defined by Jacobs.

Design Phase Schedule - Monthly Updates

During the design phase, Quantum and Archer Western will provide monthly updates to current
schedule with monthly progress reports; analysis of progress achieved to-date against baseline, including
any concerns regarding delays or potential delays and any recommendations regarding mitigating
actions.

Develop Preliminary Construction Schedule & Phasing Plans

Quantum and Archer Western will transition design phase schedule to overall project schedule with
consideration to the baseline cost model and proposed phasing plans for early equipment procurement
and/or construction activities and the remainder of the construction phase.

Long Lead Analysis and Recommendations

With the current state of the global supply chain and unprecedented delays, Quantum and Archer
Western will identify all long lead time materials, fabrications, equipment, or other items which may
impact the Project Schedule and may require early action on the part of the Project Team including
dates required for selecting and procuring such items.

Equipment Plan

Quantum’s CMAR team will prepare and present to City an Equipment Plan that addresses all rental and
owned equipment that is necessary to construct the Project as outlined in General Conditions Section
17.3.6.

17.4 Design Document Reviews

Value Analysis/Efficiency Analysis

Throughout the project design phase, Quantum and Archer Western will periodically evaluate the
availability of labor, materials/equipment, cost-sensitive aspects of the design, and other factors that

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Chandler Pecos SCADA Upgrades Quantum

may create a variance to the baseline cost model and/or baseline project schedule. Quantum’s CMAR
team will use established value analysis principles in recommending cost effective alternatives.

Utility Design Review and Comment

Perform reviews and provide written comments on the utility relocation and design submittals and for
coordination with the design development for construction of the Project.

Constructability and Bid-ability Reviews

Quantum and Archer Western will perform reviews and provide written comments on the project design
submittals and for construction drawings, construction documents, various analyses, and studies and
investigations conducted for the design of the Project. Includes, but is not limited to, review and
evaluate Design Development documents for clarity, consistency, completeness, and ease of
construction to achieve the overall objective of the Project. Review prior project as-built plans.
Evaluate construction safety issues and proposals of construction safety improvements, as may be
applicable. Quantum’s CMAR team will evaluate whether: (a) the Drawings and Specifications are
configured to enable efficient construction; (b) design elements are standardized; (c) construction
efficiency is properly considered in the Drawings and Specifications; (d) the design promotes
accessibility of personnel, material and equipment, and facilitates construction under adverse weather
conditions; (e) sequences of Work required by or inferable from the Drawings and Specifications are
practicable; and (f) the design has taken into consideration, efficiency issues concerning access and
entrance to the site, lay down and storage of materials, staging of site facilities, construction parking,
and other similar pertinent issues. Review comments will be compiled at the 80-90% and 100% design
milestones proposed by Jacobs.

Document Complementary Review and Cross Checks

Quantum’s CMAR team will check cross-references and complementary Drawings and sections within
the Specifications, and in general evaluate whether (a) the Drawings and Specifications are sufficiently
clear and detailed to minimize ambiguity and to reduce scope interpretation discrepancies; (b) named
materials and equipment are commercially available and are performing well or otherwise in similar
installations; (c) Specifications include alternatives in the event a requirement cannot be met in the
field; and (d) in its professional opinion, the Project is likely to be subject to differing site conditions.
Review comments will be complied at each of the following design phase milestones: 60% and 90%.

Maintenance of Plant Operations (MOPOs)

Quantum and Archer Western will evaluate scope and design for tasks that have the potential to affect
plant operations. This includes leading development of planning to minimize or eliminate disruption to
Owner's facilities. The CMAR team is keenly aware of the challenges associated with a controls platform
migration of this scope and scale. Detailed coordination discussions with the design engineer, bi-weekly
meetings and workshops will contribute to the MOPO development effort. MOPOs will account for
critical factors such as process modifications/improvements, distributed controls, interlocks,
communications and alarms as well as City and facility constraints.

Utility/Site Investigations
The CMAR team will participate in site investigation and utility potholing as deemed necessary to
pothole, identify, and record existing utilities to avoid conflicts during design planning.

Chandler Pecos SCADA Upgrades Scope 7-2021

Chandler Pecos SCADA Upgrades Quantum
17.5 BASELINE COSTS MODEL, DETAIL COST ESTIMATE, SCHEDULE OF VALUES

60% Cost Model (Baseline Cost Model)

At approximately the 60% design level, if required, the CMAR team will review all available information
regarding design and scope of the Project using our experience in performing similar work, knowledge of
similar projects, and current and projected construction costs and develop a Baseline Cost Model for
review by the project team and approval by City.

80-90% Cost Model

Upon receipt of acceptable 80-90% drawings and specifications, Quantum and Archer Western will
review all available information regarding the design and scope of the Project using our experience in
performing similar work, knowledge of similar projects and current and projected construction costs and
update the cost model for review by the project team and approval by City.

Continuous Cost Model/Estimate Updates (Design Evolution Log)

Quantum’s CMAR team will track, estimate/price, and address the Project Team’s overall project cost
issues that arise outside of the baseline cost model and the latest approved detailed cost estimate such
as: City generated changes, project team proposed changes, alternate system analysis, constructability
items and value engineering analysis.

Schedule of Values
Prepare and submit Schedule of Values for review by the Project Team and approval by City.

Cash Flow Projections
Not included.

17.6 — SUBCONTRACTOR AND MAJOR SUPPLIER SELECTIONS

Procurement Prequalifications & Subcontractor Prequalification

Quantum and Archer Western will evaluate potential suppliers and subcontractors with respect to
safety, financial capacity, ability to meet/exceed schedule, and past performance/experience with the
City and their standards.

Subcontractor Selection Plan
Quantum’s CMAR team will develop and submit written subcontractor selection plan per general
conditions section 17.6 with justification for any qualifications-based selections proposed.

Subcontractor Bid Evaluation/Reports

Prepare and submit detailed list of recommended subcontractors and summary report of the entire
selection process.

Pre-bid Conference
Plan, communicate, and conduct pre-bid conference with prospective subcontractors and suppliers.

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Chandler Pecos SCADA Upgrades Quantum

17.7 -GMP PROPOSAL

Early Equipment/Early GMP Preparation

Quantum and Archer Western will consult with applicable vendors and subcontractors to identify long-
lead equipment that will greatly improve schedule if procured in an early GMP; work with Owner and
Project Designer in developing required Contract Documents to facilitate this procurement.

GMP Preparation and Submission

Quantum’s CMAR team will prepare and submit the GMP Proposal in accordance with City’s request for
GMP proposal requirements based on the most current completed drawings and specifications at that
time, which unless otherwise directed by City in writing, will be at 100% Construction Drawings.
Preparation and submission of phased GMP Proposals submitted for the Project (such as a separate
GMP for long lead equipment or phased construction) are also included in this item.

17.8 — PAYMENT PROCEDURE FOR PRE-CONSTRUCTION SERVICES

Monthly Progress Reports/Request for Payment

Prepare and submit monthly request for payment accompanied by a progress report, detailed invoices,
and receipts, if applicable.

ALLOWANCE ITEMS

Wireless Communications Assessments — Allowance

An allowance to be used for assessments of current and future City remote site communications
networks. Scope includes, but is not limited to, radio path studies at up to 66 existing remote sites as
well as coordination with the design team to recommend communications infrastructure improvements
utilizing industry best practices and available future-resistant technologies. Work is expected to be self-
executed by Quantum.

Site Utility Investigations (Potholing) — Allowance

An allowance to supply a potholing subcontractor to continue investigating unknown utilities and
locations (if required or not performed by the Project Designer).

Reprographic — Allowance

An allowance to be used to print, prepare, and/or reproduce plans, specifications, exhibits, etc.

Owner’s Allowance

An allowance to be used as directed by City.

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Chandler Pecos SCADA Upgrades Quantum

Subcontractor Consulting Allowance

An allowance to be used for consulting subcontractors for specific trades such as electrical installation,
RTU panel fabrication/modification, fiber optic communication or other specialized trades. Any

consulting subcontractors would be qualified pursuant to Section 17.6 with proposals provided prior to
utilization of this allowance.

Chandler Pecos SCADA Upgrades Scope 7-2021

EXHIBIT B
COMPENSATION AND FEE SCHEDULE

City of Chandler Construction Manager at Risk Pre-Construction Services Contract
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE
Project No.: WA2103,251

Rev. 4/1/2021

EXHIBIT B
CMG@RISK PRE-CONSTRUCTION SERVICES
FEE PROPOSAL
Pecos Surface Water Treatment Plant SCADA Upgrade
'WA2103.251
8/17/2021

Project Kick-off Meeting

Stakeholders and Public Agencies Meetings

Partnering Sessions

Project/Design Meetings (32 meetings, 2 engineers) 156
Project Workshops/Design Workshops (10 workshops) 128
Construction Document Rolling Reviews 88
Value Engineering Review Meetings 12

Utility Coordination Meetings
Comment Resolution Meetings
GMP. Review/Negotiation Meetings

$3,956.00]
not included
not included
$24,124.00
$19,812.00
$13,724.00
$1,848.00)

i Design Phase chedule

$9,848.00
$7,204.00
$5,736.00
$3,944.00

Design Phase Schedule - Monthly Updates 62
Develop Preliminary Construction Schedule & Phasing Plans 46
Long Lead Analysis and Recommendations 36
Equipment Plan 26
“Value ‘Analysis/Efficiency Analysis 128
Utility Design Review and Comment 6

Constructability and Bid-ability Reviews 86
Document Complementary Review and Cross Checks 172
Maintenance of Plant Operations (MOPOs) 360
Utility/Site Investigations 116

HE

$19,492.00)

$924.00
$13,304.00)
$25,608.00)
$55,500.00}
$17,844.00} 844.00

“60% Cost Model (Baseline Cost Model

80-90% Cost Model 216 $33,584.00)
Continuous Cost Model/Estimate Updates (Design Evolution Log) 72 $11,148.00)
Schedule of Values 4 $616.00)
Cash Flow Projections not included’
1:6; SUBCONTRE PI :
Procurement Prequalifications & Subcontractor Prequalification 16 $2,480.00
Subcontractor Selection Plan 20 $3,100.00]
Subcontractor Bid Evaluation/Reports 60 $9,300.00)
Pre-bid Conference 24 $3,768.00}
Early ‘EquipmentEarly GMP Preparation 62 $9,604.00)

GMP Preparation and Submission 188

$29,132.00]

Wireless ‘Communications “Assessments
Site Utility Investigations (Potholing)
Reprographics

Owner's Allowance

Subcontractor Consulting

A

1.1

1.2

1.3

1.4

1.5

1.6

2.1

EXHIBIT C

INSURANCE REQUIREMENTS
General.

At the same time as execution of this Agreement, CM@Risk must furnish City a
certificate of insurance on a standard insurance industry ACORD form. The ACORD
form must be issued by an insurance company authorized to transact business in the
State of Arizona possessing a current A.M. Best, Inc. rating of A-7, or better and legally
authorized to do business in the State of Arizona with policies and forms satisfactory
to City. Provided, however, the A.M. Best rating requirement will not be deemed to
apply to required Workers’ Compensation coverage.

CM@Risk and any of its subconsultants must procure and maintain, until all of their
obligations have been discharged, including any warranty periods under this
Agreement are satisfied, the insurances set forth below.

The insurance requirements set forth below are minimum requirements for this
Agreement and in no way limit the indemnity covenants contained in this Agreement.

City in no way warrants that the minimum insurance limits contained in this
Agreement are sufficient to protect CM@Risk from liabilities that might arise out of
the performance of the Agreement services under this Agreement by CM@Risk, its
agents, representatives, employees, subconsultants, and CM@Risk is free to purchase
any additional insurance as may be determined necessary.

Failure to demand evidence of full compliance with the insurance requirements in
this Agreement or failure to identify any insurance deficiency will not relieve CM@Risk
from, nor will it be considered a waiver of its obligation to maintain the required
insurance at all times during the performance of this Agreement.

Use of subconsultants: If any work is subcontracted in any way, CM@Risk must
execute a written contract with subconsultant containing the same Indemnification
Clause and Insurance Requirements as City requires of CM@Risk in this Agreement.
CM@Risk is responsible for executing the Agreement with the subconsultant and
obtaining Certificates of Insurance and verifying the insurance requirements.

Minimum Scope and Limits of Insurance. CM@Risk must provide coverage with limits
of liability not less than those stated below.

Commercial General Liability-Occurrence Form. CM@Risk must maintain “occurrence”
form Commercial General Liability insurance with a limit of not less than $2,000,000
for each occurrence, $4,000,000 aggregate. Said insurance must also include

City of Chandler Construction Manager at Risk Pre-Construction Services Contract C1
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

2.2

2.3

2.4

2.6

EXHIBIT C

coverage for products and completed operations, independent contractors, personal
injury and advertising injury. If any Excess insurance is utilized to fulfill the
requirements of this paragraph, the Excess insurance must be “follow form” equal or
broader in coverage scope than underlying insurance.

Automobile Liability-Any Auto or Owned, Hired and Non-Owned Vehicles

Vehicle Liability. CM@Risk must maintain Business/Automobile Liability insurance
with a limit of $1,000,000 each accident on CM@Risk owned, hired, and non-owned
vehicles assigned to or used in the performance of CM@Risk's work or services under
this Agreement. If any Excess or Umbrella insurance is utilized to fulfill the
requirements of this paragraph, the Excess or Umbrella insurance must be “follow
form” equal or broader in coverage scope than underlying insurance.

Workers Compensation and Employers Liability Insurance: CM@Risk must maintain
Workers Compensation insurance to cover obligations imposed by federal and state
statutes having jurisdiction of CM@Risk employees engaged in the performance of
work or services under this Agreement and must also maintain Employers’ Liability
insurance of not less than $1,000,000 for each accident and $1,000,000 disease for
each employee.

Professional Liability. \f the Agreement is the subject of any professional services or
work performed by CM@Risk, or if CM@Risk engages in any professional services or
work adjunct or residual to performing the work under this Agreement, CM@Risk
must maintain Professional Liability insurance covering errors and omissions arising
out of the work or services performed by CM@Risk, or anyone employed by CM@Risk,
or anyone whose acts, mistakes, errors and omissions CM@Risk is legally liable, with
a liability limit of $1,000,000 each claim and $2,000,000 all claims. In the event the
Professional Liability insurance policy is written on a “claims made” basis, coverage
must extend for 3 years past completion and acceptance of the work or services, and
CM@Risk, or its selected Design Professional will submit Certificates of Insurance as
evidence the required coverage is in effect. The Design Professional must annually
submit Certificates of Insurance citing that the applicable coverage is in force and
contains the required provisions for a 3 year period.

Cyber Technology Errors and Omissions, Network Security, and Privacy Liability Insurance.
The policy must cover professional misconduct or lack of ordinary skill for those
positions defined in the Scope of Services of this Agreement with a limit of not less
than $3,000,000 for each occurrence, $3,000,000 aggregate. [Note: If Agreement is
over $500,000, each occurrence AND aggregate are both raised to $6,000,000]. In the
event that the professional liability insurance required by this Agreement is written
on a claims-made basis, CM@Risk warrants that any retroactive date under the policy
must precede the effective date of this Agreement; and that either continuous
coverage will be maintained or an extended discovery period will be exercised for a

City of Chandler Construction Manager at Risk Pre-Construction Services Contract C2
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021

EXHIBIT C

period of two (2) years beginning at the time work under this Agreement is completed.
If such insurance is maintained on an occurrence form basis, CM@Risk must maintain
such insurance for an additional period of one (1) year following termination of
Agreement. If such insurance is maintained on a claims-made basis, CM@Risk must
maintain such insurance for an additional period of three (3) years following
termination of the Agreement. If CM@Risk contends that any of the insurance it
maintains pursuant to other sections of this Exhibit C satisfies this requirement (or
otherwise insures the risks described in this section), then CM@Risk must provide
proof of same.

2.6.1. The insurance must provide coverage for the following risks:

2.6.1.1 Liability arising from theft, dissemination, or use of confidential information (a
defined term including but not limited to bank account, credit card account, personal
information such as name, address, social security numbers, etc. information) stored
or transmitted in electronic form.

2.6.1.2 Network Security Liability arising from the unauthorized access to, use of, or
tampering with computer systems including hacker attacks, inability of an authorized
third party, to gain access to your services including denial of service, unless caused
by a mechanical or electrical failure.

2.6.1.3 Liability arising from the introduction of a computer virus into, or otherwise causing
damage to, a customer's or third person’s computer, computer system, network, or
similar computer related property and the data, software, and programs thereon.

2.6.2. The policy must provide a waiver of subrogation.
3. Additio olicy Provisions Required.

3.1 Self-Insured Retentions or Deductibles. Any self-insured retentions and deductibles
must be declared and approved by City. If not approved, City may require that the
insurer reduce or eliminate any deductible or self-insured retentions with respect to
City, its officers, officials, agents, employees, and volunteers.

3.1.1. CM@Risk’s insurance must contain broad form contractual liability coverage.

3.1.2. CM@Risk’s insurance coverage must be primary insurance with respect to City, its
officers, officials, agents, and employees. Any insurance or self-insurance maintained
by City, its officers, officials, agents, and employees will be in excess of the coverage
provided by CM@Risk and must not contribute to it.

City of Chandler Construction Manager at Risk Pre-Construction Services Contract C3
Public Works & Utilities Department, Capital Projects Division

Project Name: PECOS SURFACE WATER TREATMENT PLANT SCADA UPGRADE

Project No.: WA2103.251

Rev. 4/1/2021