To: Members of the Public Works Commission
From: Aaron Monks, Engineering Manager
Title
Resolution Concurring with the Award of a Construction Contract by the Dawson Trails Metropolitan District No. 1 to Bemas Construction for the Dawson Trails Boulevard Project, and Approving All Contract Documents Associated Therewith [From Crystal Valley Interchange to South Border of Dawson Trails Development}
Body
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Executive Summary
Staff is seeking a favorable recommendation from the Public Works Commission for Town Council to approve a Resolution authorizing Dawson Trails Metropolitan District No. 1 to proceed with the award of a construction contract with Bemas Construction (Bemas).
The Town entered into an agreement with the District to oversee the construction of a portion of Dawson Trails Boulevard associated with the Crystal Valley Interchange (CVI). Resolution 2024-052 encumbered $455,000 for these services (Attachment A). The attached map (Attachment B) provides an overview of the project location.
As part of the construction management agreement with the District, the District is to bid the project from the plans and specification developed by the Town’s design team. Bids were opened on June 20, 2024. The District received 5 bids. The low bidder was Bemas with a bid of $10,092,607. The bids were reviewed by the District and Town staff for accuracy. Town staff concurs that the low bidder has the background and experience to successfully complete the construction scope of work. Construction is scheduled to start before the end of July, pending approval of the resolution authorizing the District to proceed with the award. $11,101,868 is being encumbered with this resolution as part of the Town’s obligation under the existing agreement with the District to cover 100% of the construction costs. This encumbrance includes $10,092,607 for construction, and a 10% Town managed construction contingency in the amount of $1,009,261 for a total of $11,101,868.
History of Past Town Council, Boards & Commissions, or Other Discussions
This project has been presented in association with CVI in various forms within the last two Transportation Master Plans (TMP), which includes the 2017 TMP. The relocation was originally conceptualized as part of CVI in the late 1980’s when the Dawson Ridge subdivisions were approved. Initial FHWA documents were completed in 2004 with the approval of an Environmental Assessment (EA) and the Finding of No Significant Impact (FONSI) recognized this project would be undertaken in association with CVI.
The design contract for Dawson Trails Blvd. with CORE Consultants was approved by Council in October of 2021. Town Council approved a construction contract for package 1 of CVI in June of 2023, and the Notice to Proceed was issued in February of 2024.
The construction management agreement with District for Dawson Trails Blvd was presented to the Public Works Commission on April 1, 2024 to receive formal recommendation for Town Council approval. The Public Works Commission voted four (4) to two (2) to recommend Town Council approval. Commissioners Fletcher and Willie were the two dissenting votes. The Commissioners expressed concerns that Metropolitan Districts apply a property tax to pay debt and have a history of mismanaging those funds. There was a voiced opinion that the Town should develop stringent regulation related to Metropolitan Districts tax authority and management of the resident’s funds. They did feel that this agreement makes sense to assist with saving public dollars.
The construction management agreement with Dawson Trails Metropolitan District No. 1 for Dawson Trails Blvd was presented to Town Council on May 21, 2024. Town Council voted unanimously to approve the agreement.
Discussion
The Dawson Trails Blvd. construction is the next step in the process to allow the full operation of CVI. This project was not included in the construction of CVI to ensure the design and construction would utilize Town criteria, and not be subjected to higher prices associated with federal requirements. This allows the Town to coordinate with the adjacent development projects to gain efficiencies during construction.
In a continued effort to refine the coordination of the development and Town projects, staff has been working closely with the developer through the design of Dawson Trails Blvd. and the interchange. With the coordinating effort, it was recognized the development had major earthwork activities that would bring in excess of one million yards of material across the boulevard for their grading needs. This was recognized as needing to be done prior to opening the interchange to lessen the impact to the traveling public at the time of the interchange opening.
The construction of Dawson Trails Blvd. will be managed by the District. With the District managing multiple projects in the general vicinity, efficiencies are gained on their side. This also translates to efficiencies gained in the bidding of the Town project and the adjacent development projects.
The District will acquire all permits needed to construct this project. This includes the construction permit issued by the Town’s Development Services Department. Through the issuance of the construction permit the Development Services Inspection staff will provide quality control inspections for the project. Additional effort may be required for pay item quantity tracking by the Development staff. Public Works and Development Services will develop a cost for this effort and submit a budget transfer request.
The agreement provides that the construction timeframe for Dawson Trails Blvd. will be between May 2024 and June of 2025. This falls within the timeframe that CVI will need to have this route open to complete aspects of the interchange. Douglas County is anticipating to bid and start construction of their portion of Dawson Trails Blvd. in the fall of 2024, and complete construction within the timeframe needed for the interchange.
Budget Impact
The funds necessary for the construction of Dawson Trails Blvd ($14.2M) have been budgeted in the CVI overall budget. The total encumbrance associated with this resolution is $11,101,868. This encumbrance and the construction management encumbrance total is $11,556,868.
The below charts summarize the total project expenditures and revenue. The “Under contract” expenditures consist of Design Services initiated in 2021, acquisition of Right-of-Way, Construction Management Services and Intergovernmental Agreements with CDOT. The County’s revenue number includes services in kind (construction of Dawson Tails Blvd within the County).
Staff Recommendation
Staff recommends Public Works Commission recommend Town Council approve the resolution as introduced by title.
Proposed Motion
“I move that the Public Works Commission recommend that Town Council approve the attached
Resolution as introduced by title.”
Alternative motions:
“I move to recommend that Town Council approve the attached Resolution as introduced by title,
with the following conditions: (list conditions)”
“I move to continue this item to the Public Works Commission meeting on (date) to allow additional
time to (list information needed)”
Attachments
Resolution
Attachment A: Dawson Trails Management Agreement
Attachment B: Map