MINUTES OF A SPECIAL MEETING

OF THE

BOARD OF THE

REDEVELOPMENT AUTHORITY OF THE COUNTY OF LANCASTER

MONDAY, APRIL 14, 2003, 5:00 P.M.

AT THE OFFICES OF THE

LANCASTER COUNTY HOUSING AND REDEVELOPMENT AUTHORITIES

150 NORTH QUEEN STREET, SUITE 110

LANCASTER, PA 17603

The members of the Board of the Redevelopment Authority of the County of Lancaster met Monday April 14, 2003. The meeting was held at the offices of the Lancaster County Housing and Redevelopment Authority, 150 North Queen Street, Suite 110.

Members of the Board in attendance were Neil Kinsey, Vice Chairman, Ralph Murray, Treasurer, Ed Hollinger, Assistant Treasurer and Crystal Cooper. Absent was Cindy Stewart.

Staff members present were Randy S. Patterson, Executive Director, and Joyce E. Dietrich, Secretary. Also present were John Espenshade, Stevens & Lee, Ray Miller, HRG, Trish England, Tetra Tech, Richard Brown, B.M., Lititz, Timothy W. Peters, Warfel Construction Company, John Thorsen, Warfel Construction Company, Len Moser, Barton Malow, Robert Hayes, Barton Malow, N. Daniel Waltersdorff, Barton Associates.

In the absence of the Chairman, Cindy Stewart, Neil Kinsey, Vice Chairman called the meeting to order at 5:15 p.m. Mr. Kinsey then turned the meeting over to Randy S. Patterson, Executive Director.

Discussion of Proposal:

Mr. Patterson: The purpose of this special meeting is to consider hiring a project administrator and a construction manager. We knew when we agreed to this project that we really didn’t have the staff capacity to handle a $20 million project and at a point in time we would look to hire a project administrator and a construction manager to basically take some of the load off the staff, off of me. So with the project moving forward, and because we are still shooting to play baseball in 2004, we have made some contacts and tonight we have a proposal from Warfel Construction and Barton Malow to act as that project administrator and construction manager. We have invited the team here this evening and I will let these four gentlemen introduce themselves. Mr. Patterson then turned the meeting over to Timothy Peters with Warfel Construction.

Mr. Peters: To start off, we will begin by explaining our purpose today. I hope you have all received our tome of our actual proposal. What we hope to do today is give a briefing of what is in that proposal and keep it brief because we would like to have enough time for questions. To start, I would like to introduce myself; my name is Tim Peters, Chairman and CEO of Warfel Construction Company, Len Moser, Sr. Project Manager with Barton Malow, John Thorsen, Sr. Project Manager with Warfel Construction Company, and Robert Hayes, Vice President of Barton Malow in their Atlanta office. I have been a member of the Bring Baseball Back to Lancaster County committee since its inception 13 years ago, so this is a project that is near and dear to my heart. Also, now that it has been sited in downtown Lancaster on a site that happens to abut our property line at Warfel Construction Company it is very important to me that Warfel be involved with this project. We think that we’ve got the best credentials to do that. Warfel Construction Company has been involved in construction for 92 years. We have been the primary contractor in downtown Lancaster. We were the construction company for the Fulton Opera House, we have completed the Fulton Bank building on Lancaster Square, and the Lancaster City Police Station right across the street, which happens to by John’s project. So being aware of this project we wanted to be sure that we brought to the Authority the best credentials possible. We felt we had the strongest local connection that was possible of anybody. So with that we looked for a firm that could really supplement out talents and we found Barton Malow who is the premier baseball and sports facility constructor in the United States today. They have been building stadiums all across the country both at the professional level and the minor league level. PNC Park in Pittsburgh, which happens to have been financed, through a Redevelopment Assistance grant similar to the funding that we are expecting here. They have also been involved in many other stadiums. In fact, Len just finished the Jacksonville stadium which opened Friday evening, a 10,000 seat stadium in Jacksonville, Florida with 12,000 people in attendance. Len has been there for the last 12 months and now that he has finished that he is ready to move to Lancaster and start construction of the Lancaster stadium. He has also been involved in the construction at Camden Yard, Turner Field in Atlanta, and something near and dear to many hearts, Beaver Stadium. In addition to Barton Malow’s credentials for building stadiums all over the country, they have a very close affiliation with Tetra Tech and Trish England. They have several projects underway with her right now including the Greensboro stadium which is about three or four months ahead of us in planning. So we would benefit from them knowing Trish’s plans and that would certainly be an asset.

By selecting Warfel Construction Company and Barton Malow, which would be a joint venture, you have picked the best team possible. You have a strong local affiliation with local knowledge of the construction industry locally, and of course we have a team of experts that can relieve Randy of the day to day responsibilities of constructing a $20 million project. I think he has a few other things to do on his plate, and so we are in a position to take that entire load and make sure that this project is successful because there is absolutely nothing that we desire more than to make this stadium a success. With our headquarter building right next to it, you can be assured that we will not allow this project to fail. We also recognize that this project is key to the redevelopment of downtown Lancaster. I think the ball park, which is going to occur sooner than any other project, so it is key along with the convention center, the revitalization of the Pennsylvania Railroad Station at the end of Queen Street and of course many of the other projects that have been announced for downtown Lancaster including the Pennsylvania Academy of Music and some of the other private type projects that are underway. I can assure you that our team can virtually guarantee you that this ball park will be brought in within budget and on schedule; we have those kinds of credentials. But we are also aware of the need for quality and we can address aesthetics, functionality, the amenities, and we are also well aware that this has been presented to the community as a multi-purpose stadium. It has to be able to accommodate other venues other than baseball. And this is something again we can draw on our experience and are committed to.

We also know the permitting process having built in downtown Lancaster on many occasions. We have developed a great rapport with the City officials and the building process and of course this is going to have to be fast tracked. The only way you are going to get this stadium ready by May of next year is to get as much accommodation from the City as we can and to work with them in smoothing out the approval process.

And, of course, this is going to have a positive impact on the community. As I said, this is a key part of the redevelopment of downtown Lancaster but is also a key part of the revitalization of that area of Lancaster and of course Warfel Construction Company has been located in that location for the last 22 years. We would love to see a rejuvenation of that entire northwest triangle so it is a key element to the whole community.

At this point Mr. Peters turned the meeting over to Len Moser of Barton Malow and John Thorsen of Warfel Construction.

Mr. Moser/Mr. Thoreon – A summary of Mr. Moser and Mr. Thorsen’s presentation “Professional Services for Program – Construction Management Services”. A copy of this presentation summary is attached hereto, made a part hereof, and marked as Exhibit “A”).

Question by Mr. Espenshade: Mr. Espenshade asked Mr. Moser & Mr. Thorson to explain the difference between a construction manager and a general contractor.

Mr. Moser & Mr. Thorsen explained that the difference between a construction manager and general contractor is that a general contractor has no control over the preconstruction aspect of the project. The architect designs the project, delivers the bid package and the general contractor bids on that and we build what ever is on the drawing. The advantage of construction management is we get in early in the process and go through the design process with the architect. We develop the documents and we look at multiple systems. For instance, cast in place or pre-cast concrete, what kind of HVAC system, what kind of long lead items do we have. All of these things the construction manager can help address way ahead of time, before that bid package comes out. The real advantage is to have that coordination that takes place early on in the entire process.

Randy Patterson to the Board: Last month you authorized me to enter into an agreement with Tetra Tech for design services. Although we have not yet signed that agreement because we are waiting for the letter from the Governor, the intention would be that we would sign that agreement and then that agreement would be assigned over to the construction management team. We are still contracting with Tetra Tech and following through on that commitment.

In order to contract a construction management firm under normal circumstances we would go through a request for qualifications process and then a request for proposals, and for a contract such as this it is really the only way to do it. It would take a minimum of four months to go through that type of process. However, due to the fact that we intend to fast track this project to play baseball in 2004, we cannot afford the time delay to proceed through that process. We are permitted to negotiate for professional services rather than go through an RFP process. What we have put together here for you is a proven local construction manager, Warfel Construction, and someone with experience building stadium facilities, Barton Malow. We need assurance that the costs we incur for this project will be reimbursable through the State grant. That requires experience with state funding sources used on similar facilities. Barton Malow and Warfel Construction provides that experience.

You have a proposal before you. What we are asking you to do tonight is to authorize me to negotiate a final contract based on the proposal. The one thing we have added to a normal role of construction manager is this project manager side. It is key for us though. As I said at the beginning, we do not have enough staff on hand to manage this project. We are at that point in the project where some of the octopus tentacles are actually increasing and multiplying. We are at a critical juncture here. I need someone with experience to assist us in managing this project.

You have a proposal before you indicating how this would function. We have not signed Trish’s because we don’t have the letter from the Governor. All of these firms are completing work at risk. I have had discussions with financial institutions for interim financing. The other contracts that we have are considered project feasibility services, including the market study and the traffic study.

This proposal is different from a design-build process, or a turnkey process. The contracts to bid will actually be done in our name. The contracts are turned over to Warfel- Barton Malow to manage. The State would not accept a design build concept or a complete turnkey process. A hybrid of that is where we want to have the team offer that guaranteed maximum price. The earlier you ask for that the more contingencies are built in.

We are still involved in the decision making process. As I say, from the State’s perspective we cannot sign-off the project to a design build team. We are ultimately, to the State, responsible for this project. At times there may be decisions that the board will have to make as we get to the issue of financing. We are not washing our hands of our responsibility to the project by selecting Warfel Construction-Barton Malow.

Vice Chair Kinsey opened the floor to public comment on the construction management proposal. There was no Public Comment

The Board adopted a Resolution agreeing to enter into a Contract with Warfel Construction – Barton Malow to provide Project Administration and Construction Management Services for the Proposed Multi-Use Stadium on a motion by Mr. Hollinger, second by Mr. Murray and unanimously carried.

NOW, THEREFORE, BE IT RESOLVED by the Board of the Redevelopment Authority of the County of Lancaster that the Executive Director is authorized to negotiate a final agreement with Warfel Construction-Barton Malow to provide project administration and construction management services for the proposed multi-purpose stadium using the terms and conditions outlined in their proposal dated April 9, 2003 as the basis for final negotiations. (A copy of said Resolution [04-23-03] is attached hereto, made a part hereof, and marked as Exhibit “B”).

The meeting was adjourned at 6:17.

Joyce E. Dietrich, Secretary