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WELCOME! SBE Boot Camp JOB ORDER CONTRACTING (JOC) CHRISTY GUZMAN Assistant Contract Administration Manager, JOC Program JOE DUTTER Supervising JOC Specialist, JOC Program March 31, 2015 1 Overview of the JOC Program What is Job Order Contracting (JOC)? It is a contract delivery used to accomplish a large number of individual projects under a single master contract awarded to the most qualified and prequalified bidder who is licensed, bonded and general liability insured. JOC is performance-based. JOC Contractors are experienced in handling multiple public works construction contracts, able to effectively handle and manage projects simultaneously at different stages District-Wide. Bidder agrees to a fixed period, fixed unit price (Bid Adjustment Factor), and indefinite quantity contract that provides for the use of job orders for public works or maintenance projects. PSA applies regardless of the value of the project. JOC Contractors are required, under the PSA, to notify the unions within 7 days prior to the commencement of work. JOC uses The Gordian Group’s Construction Task Catalog (CTC) which contains more than 180,000 construction line items from material, equipment, and labor to demolition to installation. It is priced for the area of work and customized for each program such as the WLAN Program as an example. It comes complete with technical specifications. Bidder bids an Adjustment Bid Factor (ABF) which is used as a multiplier against CTC (i.e. 1.000 ABF x quantity x unit cost) 2 Overview of the JOC Program The guaranteed minimum amount is $25,000 per Master Contract. The District awards JOC master contracts based on contractor performance and ability to increase bond capacity per the District’s work volume. The initial contract term is 1 year with two 1-year options for a maximum contract period of 3 years. The initial value of the contract may be adjusted, according to contractor’s performance, at any time up to a potential value of $5M covering the first term of the contract and up to a potential maximum value of $10M thereafter, as long as the prime contractor can bond for the additional contract amount. Benefits of JOC To the Owner: Benefits include the accelerated completion of projects, cost savings, and reduction of construction contracting complexity To the Contractor: Benefits include having the ability to receive projects based on performance and increase bond capacity through successful completion of projects. 3 JOC Contract and Job Orders Issue “Master” Contract • Job Order #4 cannot be issued until ($) capacity Issue Job Orders increased per Against “Master” Contract policy. JO #1 JO #2 JO #3 Extend/Increase $ “Master” Contract Issue Job Orders Against “Master” Contract JO #4 • Contract extensions must be approved by the District. JO #5 JO #6 7 FACTORS USED IN SELECTION PROCESS Bid Adjustment Factor Contractor’s Performance Score SBE Certification from the District Public works construction contract references (trade/specialty or program-specific) 5 SELECTION PROCESS SELECTION PROCESS 1. The selection and award is based on and evaluated in accordance with the minimum qualification requirements and criteria set forth per specific JOC RFP. 2. The District determines the most qualified prequalified proposer as follows: The Composite Adjustment Factor is the resultant factor derived from dividing the Adjustment Bid Factor by the Contractor Performance Score and SBE Points as shown below. Calculation of the Composite Adjustment Factor The Adjustment Bid Factor is divided by the total Contractor Performance Score and SBE Points calculated in percent format (i.e. 80 + 5 points = 85 or 85%) for evaluation, ranking, and selection purposes: Contractor Adjustment Bid Factor /(Performance Eval Score + SBE Points) A B C 1.0000 0.9000 1.0000 90% 93% 100% 0 0 5 = Composite Adjustment Factor 1.1111 (Rank 3) 0.9677 (Rank 2) 0.9523 (Rank 1) In the above example, Contractor C is determined to be the most qualified bidder, provided that all other requirements and criteria of the RFP are met. 6 Thank you! Q&A Please visit The Gordian Group’s website at egordian.com and click on Videos tab for an overview of the JOC delivery method in detail. Please contact the JOC Unit at [email protected] and reference SBE Boot Camp Question. LOS ANGELES UNIFIED SCHOOL DISTRICT Facilities Contracts JOC Contracts Unit 333 S. Beaudry Ave, 23rd Floor Los Angeles, CA 90017 (213) 241-2455 7