At ESD meeting tomorrow, owner's rep contract for STV will be extended two years

At the monthly meeting at 9:30 a.m. tomorrow of the board of Empire State Development, at 633 Third Avenue in Manhattan, the state agency is expected to reauthorize the work of consultant STV, which serves as owner's representative, monitoring the work of developer Forest City Ratner. 

(This is separate from the work of HDR, the environmental monitor.)

The agenda states:

C. New York (Kings County) – Atlantic Yards Land Use Improvement and Civic Project (the “Project”) – Authorization to Amend the Contract for Owner’s Representative Technical Services for the Project

What that means, according to board materials, is that the existing contract, which began in March 2010 and renewed for two years in 2012, will be extended for two more years, for another $1.25 million:

STV would continue to review design and construction documents, observe construction activity, monitor site safety, attend progress meetings with developer staff, and coordinate with and report to ESD on a regular basis. Reimbursement would continue to be on an hourly basis for time spent by STV staff.

Forest City Ratner will continue to pay the contract, via ESD. And given STV’s expertise and familiarity with the project, ESD agrees it need not advertise these additional services in the Contract Reporter. Such authorizations are essentially formalities.

The history

According to the board materials:

The contract opportunity was publicly bid in the Contract Reporter. A rigorous evaluation of the qualifications of the ten respondents was made, and five were selected to present to ESD staff. After presentations, EarthTech was considered the best suited team for this assignment, and STV was deemed the second most qualified consultant.

EarthTech was retained in 2008 and its work was satisfactory. However, in 2008, EarthTech was acquired by the much larger AECOM, Inc., and in November 2009 AECOM also acquired Ellerbe Becket, the architect of record for the Arena. This acquisition created an irreconcilable conflict (EarthTech could not be overseeing the work of its now-affiliate Ellerbe Beckett), and therefore EarthTech withdrew.

Based on the prior public solicitation process: (a) staff recommended, and in March 2010 the ESD Directors authorized, retention of STV to replace EarthTech as ESD’s Owner’s Representative at the Project for a two-year period; and (b) an exemption from further advertising was granted. STV’s work as Owner’s Representative has been satisfactory, and thus staff recommended, and in January 2012, ESD Directors authorized, a two-year extension of the STV contract, to March 2014. An exemption from advertising in the Contract Reporter was granted in connection with such extension in light of STV’s ongoing experience and performance.

Since March 2010, STV, on behalf of ESD, has: (a) reviewed design and construction documents; (b) monitored all aspects of Project construction, including but not limited to construction of the Arena, MTA transit work, and LIRR train yard work, including for conformity to the Project’s General Project Plan, Design Guidelines, and other Project documents; (c) reviewed and monitored implementation of FCRC’s Site Safety Plan for protection of the public and of Project site workers, including but not limited to provisions to: protect streets and sidewalks (including sidewalk bridges and construction fencing); protect adjacent properties; safeguard site ingress and egress and material storage; and monitor activities such as truck marshalling, use of cranes, and waste disposal; (d) attended regular progress meeting with FCRC, Turner, and various contractors as necessary; (e) reviewed contractor requisitions; and (f) prepared regular reports to, and met regularly with, ESD concerning Project site conditions, conformity with Project documents, construction schedule, and anticipated activities and issues.

Commencement of construction of the first residential building began in 2012 and is currently in progress. Improvements to the LIRR train yard are continuing. Commencement of construction of the next building is required by May 2015.