Construction & Service Procurement Strategy Low Bid vs. Best - PowerPoint PPT Presentation

CITY OF MINNEAPOLIS Construction & Service Procurement Strategy Low Bid vs. Best Value Presented to W&M Committee by: Pam Fernandez Bob Friddle Tim P. Norton July 9, 2019 1

Proposed Construction & Service Procurement & Delivery Methods 1. *Low Bid Design, Bid, Build, etc. 2. *RFP Service Contract 3. **Best Value Contracting Value Added/Complex Projects 4. **Construction Manager as Advisor (CMa) Advisor/Multiple Prime Options 5. **Construction Manager-At-Risk (CMAR) Early Cost/Refinement Ongoing dard procurement and delivery method sider adding to procurement strategies as necessary

Best Value Legal Requirements: Owners must : • Issue a Request for Proposals (RFP) versus an Invitation for Bids • Assign a weight (as a relative percentage) for cost and the non-cost factors • Identify each non-cost factor in the RFP along with its relative weight Owners may : • Require written submittals addressing specific Non-cost factors • Require interviews of each proposer’s key personnel (including key subcontractors) 3

RFP for Impound Facility Improvements – Evaluation Criteria and Weights Score Based on 1,000 Available Points · 500 points available from Cost · 500 points available from 4 Non-Cost Factors Criteria Weight (Points) Total Base Cost 500 Company/Key Personnel Experience 125 SUBP Participation/Good Faith Efforts 125 Project Planning, Delivery & Safety 125 Risk Plan 125 Total Points 1,000 4

Hennepin County Best Value Program Outcomes Best Value Contract Awards to the Lowest Price Proposer: YEAR % 2011 100% 2012 71% 2013 67% 2014 57% 2015 77% 2016 53% 2017 90% Purchasing & Contract Services