Title
Chief Administrative Office, Facilities Division, recommending the Board authorize the Chair to sign Amendment I to Agreement No. 355-C1899 with PRIDE Industries One, Inc., pertaining to Job Order Contracting (JOC), to increase compensation by $1,500,000 for an amended not-to-exceed of $3,000,000 with no change in the term.
FUNDING: Accumulated Capital Outlay Fund
Body
DISCUSSION / BACKGROUND
On November 7, 2017, the Board approved and authorized three construction bids (Bid No: 18-968-013, 18-968-014 and 18-968-015) pertaining to Job Order Contracting (Item No. 4, File 17-1124).
On January 9, 2018, the Board awarded three $1,500,000 Job Order Contracts to the following lowest responsive and responsible bidders (Item No. 8, File 17-1391):
Fregoso Builders, Inc. (Contract No. 336-C1899)
North Star Construction and Engineering, Inc. (Contract No. 334-C1899)
PRIDE Industries One, Inc. (Contract No. 335-C1899)
Job Order Contracting (JOC) is a procurement process that helps government entities complete a large number of repairs, maintenance, and renovation projects with a single competitively bid contract. Unlike traditional bidding, where each project is identified, designed and put out to bid, Job Order Contracting establishes competitively bid prices up front and eliminates the need to separately bid each project.
Contractors will competitively bid unit prices. The overall contract amount (the sum of the individual projects) is expressed in a wide dollar range, such as $10,000 to $1,000,000. The contract is then awarded to the bidder chosen as the lowest responsive and best value. Once the contract is in place, the Facilities Division may have the contractor perform a series of individual projects as separate job orders and the prices are never negotiated. The contractor is paid the pre-set unit prices multiplied by the competitively bid adjustment factor. This greatly reduces change orders and disputes.
With the construction industry reco...
Click here for full text