Title
a. Receive the quarterly report from Resource Management Agency-Public Works (RMA-PW) on Job Order Contracting (JOC) for the quarter ending June 30, 2015;
b. Review and consider issuance of three Job Orders, each estimated to exceed $1Million: (1) East/West Wing Renovation Interior Demolition; (2) 1441 Schilling Place Reroof of North and South Buildings; and (3) Fiscal Year 2015/16 Pavement Management Overlay/Rehabilitation Project-Overlay of three County roadways near City of Carmel; and
c. Support approval of 2014 JOC Contractors Payment and Performance Bonds Increase for SeaPac Engineering, Inc., GraniteRock Company, and Pueblo Construction, Inc. to allow the contractors to access their respective $4,550,000 Job Order 2014 Contract agreement caps.
Report
RECOMMENDATION:
It is recommended that the Capital Improvement Committee:
a. Receive the quarterly report from Resource Management Agency-Public Works (RMA-PW) on Job Order Contracting (JOC) for the quarter ending June 30, 2015;
b. Review and consider issuance of three Job Orders, each estimated to exceed $1Million: (1) East/West Wing Renovation Interior Demolition; (2) 1441 Schilling Place Reroof of North and South Buildings; and (3) Fiscal Year 2015/16 Pavement Management Overlay/Rehabilitation Project-Overlay of three County roadways near City of Carmel; and
c. Support approval of 2014 JOC Contractors Payment and Performance Bonds Increase for SeaPac Engineering, Inc., GraniteRock Company, and Pueblo Construction, Inc. to allow the contractors to access their respective $4,550,000 Job Order 2014 Contract agreement caps.
SUMMARY/DISCUSSION:
The Capital Improvement Committee (CIC) is asked to receive the JOC Quarterly Report for April 1 to June 30, 2015. RMA-PW reports quarterly on the status of job order projects. This report includes projects continuing under the 2013 Job Order Contracts (2013 JOC) and 2014 Job Order Contracts (2014 JOC). Attachment A: 2013 JOC Quarterly Report identifies two projects under construction, with five projects completed during this reporting period. Additionally, on January 27, 2015, the Board of Supervisors awarded the 2014 JOC. Attachment B: 2014 JOC Quarterly Report identifies six projects under construction and seven projects completed during the reporting period.
Attachments A and B include the Job Order Value, which is the value a Contractor is paid for the work to be constructed under the JOC program. They also provide other required reporting data, such as listing of subcontractors, number of contractor evaluations completed, and 50% Local Employment compliance information for the projects. Attachment C provides the contractor evaluations completed for the finished projects.
In addition, the CIC is being asked to review and consider issuance of three Job Orders each exceeding $1 Million:
1) East/West Wing Renovation ($2.79 Million),
2) 1441 Schilling Renovation ($1 Million), and
3) Fiscal Year 2015-16 Pavement Management Overlay/Rehabilitation Project Overlay of three County roadways near City of Carmel ($1.2 Million).
On August 26, 2013, the Board of Supervisors approved the JOC Policy Guidelines for Monterey County. Public Works Contract Code Section 20128.5 provides that counties may award annual contracts for repair, remodeling, or other repetitive work to be done according to unit prices, commonly referred to as job order contracting. This contracting system uses an extensive catalog of construction tasks and associated technical specifications containing over 260,000 individual items specifically designed for Monterey County, which improves the economy and efficiency in completing public works projects, including urgent and time sensitive projects.
The JOC guidelines state, “Prior CIC review and consideration is required for Job Orders with a project value greater than $1 Million per job order per contract.” With adoption of the Fiscal Year 2015-16 (FY 2015-16) Budget, funding for two Facilities capital projects and one Roads & Bridges capital project was approved. Each project has components of work planned to be accomplished utilizing JOC, either all or in part, to expeditiously complete work to meet tight scheduling deadlines and stay within approved budgets. These projects are large in scope with individual job orders estimated to exceed $1 Million. Issuance of the two Facilities and one Roads & Bridges job orders, detailed in Attachment D, will not cause any of the approved JOC contracts to exceed their maximum contract value (MCV). Pricing for each task of every job order consists of a detailed Scope of Work and firm fixed price based on Construction Task Catalogs approved by the Board of Supervisors. Unit prices are based on experienced labor and high quality materials, specifically considering local labor, material, and equipment prices, including the current prevailing wages. All project work has been authorized in the FY 2015-16 Approved Project Listing and Adopted Budget.
Lastly, RMA-PW requests CIC support of a recommendation to the Board of Supervisors to approve the increased payment and performance bonds to allow the contractors to access their respective $4,550,000 Job Order 2014 Contract agreement caps.
Adopted JOC Policy guidelines set the initial bonding level for each contract at $2 Million and requires that at such time that job orders issued are predicted to exceed the $2 Million level, the Contractor is required to secure additional bonding for the MCV. RMA-PW forecasts that SeaPac Engineering, Inc., GraniteRock Company, and Pueblo Construction, Inc., will each have accumulated job orders nearing or exceeding the initial $2 Million bonding level by September 2015.
OTHER AGENCY INVOLVEMENT:
RMA-PW coordinates the preparation of Job Orders with RMA Finance and the Office of the Auditor-Controller.
FINANCING:
There is no additional impact to the General Fund. Sufficient funds have been allocated in the Fiscal Year 2015-16 Adopted Budget. Funding for the three (3) JOC projects anticipated to exceed $1 Million is as follows:
1) East/West Wing Renovation - Fund 404 Facilities Master Plan Implementation, with funding source from the issuance of Certificates of Participation (COPs);
2) 1441 Schilling Renovation - Fund 404, with funding source from issuance of COPs; and
3) Fiscal Year 2015-16 Pavement Overlay/Rehabilitation Project-Overlay of three County roadways near the City of Carmel - Fund 002, Unit 8195, with funding source from the Fiscal Year 2015-16 Transient Occupancy Tax Allocation.
Prepared by: Dave Pratt, Project Manager II, (831)796-6091
Approved by: Robert K. Murdoch, P.E., Director of Public Works
Approved by: Carl P. Holm, AICP, Acting RMA Director
Dated: August 07, 2015
Attachments: Att. A: 2013 JOC Quarterly Report; Att. B: 2013 JOC Quarterly Report; Att. C Contractor Evaluations, Attachment D: Planned Job Orders Projected to Exceed $1 Million