Resolution authorizing the selection of the Airport Tower Construction Manager at Risk (CMaR).

Adoption of the attached resolution.

Staff and Design Team met and confirmed the value of using a Construction Manager at Risk (CMaR) at this point in the design phase, versus the traditional design-bid-build method for construction of the Airport Control Tower. The FAA approved the release of the Request for Proposals on January 6, 2026. The recommended Selection Committee included:

• Construction and Facilities Director (Construction Experience)
• Associate Director Transportation Planning Services
• EXP (Professional Architectural and Engineering Services)

Minnesota Statute 471.463 authorizes municipalities to select a Construction Manager to manage the construction process, including but not limited to responsibility for the price, schedule, and workmanship of the construction performed. 

The CMaR is selected using a two-step competitive proposal.

Step One: Review Request for Qualifications (RFQ) with preliminary project information and use qualifications-based criteria to rank and shortlist the top firms. Three firms were shortlisted based upon satisfactory qualifications, they are as follows:

• H+U Construction
• Knutson Construction
• Kraus-Anderson Construction
   

Step Two: More detailed design information is provided to the short-listed firms who reply with price information for various items such as profit/contractor fee, insurance, bonding, and general conditions. 
 
Knutson Construction Services Mankato, Inc., is the recommended firm. Knutson Construction, founded in 1911, is a Minnesota-based company providing preconstruction, general contracting, construction management, and design-build services.

• Star Tribune Top 200 Workplaces (2025)
• Minnesota Construction Association’s General Contractor of the Year (2025)
• Latino Chamber’s Inclusive Employer of the Year (2025)

Knutson’s Mankato office will serve as the City’s dedicated executive sponsor and day-to-day partner throughout the project. Partnership with Bolton & Menk strengthens the team’s collective ability to manage FAA requirements, funding alignment, Airport District Office (ADO) coordination, and grant compliance requirements.

Preconstruction costs will be covered by the approximately $37,000 in contingency funds included in the Design and Engineering Agreement with EXP because the proposal was developed using the traditional design-bid-build method. All preconstruction costs are grant eligible and will be included in the request for construction funding.

Upon Council approval of the resolution, the next step is to negotiate a contract with Knutson Construction. Contract terms will be based on AIA Document A133 2019, Standard Form of Agreement between the Owner and Construction Manager as Constructor where the basis of payment is the Cost of Work Plus a Fee with a Guaranteed Maximum Price (GMP) and Compliance with Airport Construction Standard (AC 150/5370-10H).