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Legislation #: 150463 Introduction Date: 6/11/2015
Type: Resolution Effective Date: none
Sponsor: COUNCILMEMBER CIRCO
Title: Reaffirming the City Council’s commitment to the proper allocation of direct and indirect project costs associated with the City’s capital improvement construction processes; re-defining project management costs for the City; and withdrawing the requirement of City Council approval of all project management costs in excess $271,000.00 per project.

Legislation History
DateMinutesDescription
6/10/2015 Filed by the Clerk's office
6/11/2015 Referred to Transportation & Infrastructure Committee
6/18/2015 Immediate Adoption as a Committee Substitute
6/18/2015 Adopted as Substituted

View Attachments
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150463.pdf Authenticated 141K Authenticated
150463 Fact Sheet.pdf Fact Sheet 41K 150463 Fact Sheet

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COMMITTEE SUBSTITUTE FOR RESOLUTION NO. 150463

 

Reaffirming the City Council’s commitment to the proper allocation of direct and indirect project costs associated with the City’s capital improvement construction processes; re-defining project management costs for the City; and withdrawing the requirement of City Council approval of all project management costs in excess $271,000.00 per project.

 

WHEREAS, the City adopted a standard for the allocation of direct and indirect project management costs associated with the City’s capital improvement projects via Committee Substitute for Resolution No. 061047 passed on October 12, 2006; and

 

WHEREAS, in adopting Second Committee Substitute for Resolution No. 070633 on June 7, 2007, the City Council reaffirmed its commitment to the proper allocation of direct and indirect project costs associated with the City’s capital improvement construction processes, defined project management costs, and required City Council approval of all project management costs in excess of $271,000.00; and

 

WHEREAS, there is no requirement for Council approval of project management costs $271,000.00 or less; and

 

WHEREAS, due to the increased volume and changing scope of capital improvement projects required to replace or rehabilitate aging public infrastructure, the definition of project management costs associated with the City’s capital improvement projects is inaccurate and in need of revision; and

 

WHEREAS, the requirement to incorporate into all future capital design and construction contract ordinances the amount of estimated direct and indirect project management costs if the amount to be spent on project management exceeds $271,000.00 has not aided in the efficient and cost-effective delivery of capital improvement projects to address aging infrastructure; and

 

WHEREAS, the City Council is committed to supporting the most timely, efficient, and cost effective processes to implement the City’s capital improvement program; NOW, THEREFORE,

 

BE IT RESOLVED BY THE CITY COUNCIL OF KANSAS CITY

 

Section 1. That the policy outlining the allocation of direct and indirect costs associated with the delivery of capital improvement projects as approved by Second Committee Substitute for Resolution No. 070633 be amended.

 

Section 2. Project Management costs associated with the City’s capital improvement projects are hereby defined as the direct staff or consultant time charged against the project for managing the project, direct and/or indirect administrative support associated with proper management of the project.

 

Section 3. That the City Council hereby withdraws its direction to the City Manager to incorporate into all capital design and construction contract ordinances the amount of the estimated direct and indirect project management costs if the amount to be spent on project management costs exceeds $271,000.00 for the entire project.

 

Section 4. To the extent a conflict arises between this resolution and any prior resolution on this subject matter, the terms and conditions of this resolution shall control.

 

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