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Opening of Proposals - Kennedy Park Rehabiliation CMc Proj No 125-037 - Garmong
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Opening of Proposals - Kennedy Park Rehabiliation CMc Proj No 125-037 - Garmong
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8/26/2025 12:44:38 PM
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8/26/2025 12:44:04 PM
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Board of Public Works
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Projects
Document Date
8/26/2025
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PROJECT COSTS <br />Cost Overruns, Delays, Incentives, and Contingencies <br />Garmong's CMc contract structure is designed to protect the Owner from cost overruns. Once the GMP is established (post - <br />competitive bidding), any costs exceeding the Guaranteed Maximum Price (GMP) are the responsibility of Garmong unless <br />due to Owner -directed changes or unforeseen conditions as defined by the contract. <br />Delays <br />We proactively manage schedule risks through detailed planning and weekly updates. If delays occur due to Garmong's <br />performance, we take full accountability and implement corrective actions immediately. <br />Incentives <br />We do not expect any incentives to be written into the contract, but we are open to discussing performance -based incentives <br />tied to schedule, budget savings, or quality benchmarks, if desired by the City. On other public projects, we have contract <br />clauses that designate a portion of GMP savings to be shared with Garmong when certain metrics are achieved around timely <br />punch list completion, XBE participation, safety, etc. <br />Construction Contingency <br />We would anticipate a construction contingency of 3% for a project of this size with a GMP execution after bidding. <br />h <br />GARMONG <br />Kennedy Park Renovation I C <br />Garmong Construction J <br />
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