Staff recommends that the City Council approve Amendment 37 with Morrison-Maierle, Inc. for construction administration, architectural observation, civil and terminal observation, and project closeout services for the Terminal Ticket and Baggage Remodel Project in the amount of $1,602,455.00. 

Morrison-Maierle, Inc. (M-M) will provide construction administration and project closeout for the Airport Ticket and Baggage Remodel Project under Amendment 37 of the master agreement. The Project is moving into its next phase where construction begins and M-M can ensure quality and accuracy to the design standards of the project. 

On May 5, 2022, the City Council approved a 5-year master agreement with Morrison-Maierle, Inc. (M-M) to provide all pre-design and scope of work activities, survey, construction inspection and oversight, and project closeout for the Aviation and Transit Department for all civil engineering work required during the 5-year term. This base contract with M-M is amended each time a new project is undertaken. Amendment 37 for $1,602,455 will provide funding to M-M for construction administration, architectural observation, baggage construction administration, civil and terminal observation, and project closeout services for the Terminal Ticket and Baggage Remodel Project. This project includes electrical systems, mechanical, plumbing, IT/security, baggage handling, and fire protection. Collaborative Design Architects (CDA) and Swanson Rink are subconsultants on the project team, providing architecture and baggage handling services, respectively. Project closeout reports will be submitted to the Federal Aviation Administration (FAA). The remodel project at Billings Logan International Airport focuses on enhancing passenger processing, operational efficiency, and airline support functions with upgrades to ticketing, baggage handling, and back-of-house infrastructure. 

The scope of work and associated fees for these services have been reviewed by Rood & Associates of Arvada, CO and negotiated by staff for approval by the FAA. The FAA requires that all airport engineering fees be reviewed by a second contracted engineering firm to verify that these fees are reasonable, fair, and equitable. Rood & Associates was contracted to perform the secondary review, providing staff with an independent cost estimate to negotiate fees with M-M.

Amendment 37 will cost $1,602,455 and the project will be paid approximately 75% through Airport Infrastructure grants. The remaining 25% will be paid through airport revenues that are budgeted via the Capital Improvement Plan. For this amendment, it comes to $400,613.75. 

• Approve Amendment 37 with Morrison-Maierle for the construction administration of the airline ticket counters and installation of a new baggage inspection system in the amount of $1,602,455; or,
• Not approve Amendment 37 with Morrison-Maierle, and provide further direction to staff.