OCPW_JOC_Pre-Bid_2025-OCPW-Flood_and_Bridge-03.05.2025.pptx

Orange County Public Works Job Order Contract Flood Control and Bridge Maintenance Services Mandatory Pre-Bid March 6, 2025 10:00 a.m.

Pre-Bid Conference Agenda JOC Overview JOC Contract Documents JOC Process Solicitation Details Using the Construction Task Catalog® (CTC) Calculating the Bid Bid Considerations & Review Contractor Adjustment Factors Risk of Low Adjustment Factors Questions

Job Order Contracting Indefinite delivery/indefinite quantity process (IDIQ) Contract is awarded before individual projects are identified Enables contractor to complete a substantial number of individual projects with a single bid Tasks based on competitively-bid, preset prices

Saves time and money Provides transparency and auditability

Definition Value

Umbrella Contract

Why JOC Works For Contractors Good work is rewarded with more work Profit is a function of volume Volume is driven by performance JOC provides a steady flow of work Job Orders are assigned to the contractor without a competition Consistent process for project proposals Reduced Risk Fixed prices Payment for every element of work performed Ability to provide input during scope development Eliminates quibbling over change orders Build a partnership with Orange County Ability to leverage Subcontractor and Supplier relationships Ability to sell value, not just compete to be the lowest price

Why JOC Works For OCPW Facilities A Fixed Priced, Fast Track Procurement Process Job Orders are Lump Sum Can accomplish many individual projects with a single Competitively Bid Contract Contractor Has a Continuing Financial Incentive To Provide Responsive Services Accurate Proposals Quality Work on Time Timely Close Out Future Purchase Orders Tied to Contractor Performance No Obligation To Award Specific Projects Orange County has other Construction Procurement Options

The Process

Contract Documents Front End Documents Construction Task Catalog®(CTC) Technical Specifications

Front End Documents Special Provision for JOC 2025 Notice Inviting Bids Bid Documents Non-Collusion Affidavit Iran Contracting Act Payment and Performance Bonds Bid Bond Balance of the Special Provision

Construction Task Catalog® Catalog of Pre-Priced Construction Tasks Organized by Construction Specifications Institute (CSI) Based on Local Labor, Material & Equipment Costs The Tasks represent the “Scope of Work” for the Contract

Using the Construction Task Catalog® Contractor must review and understand “Using the Construction Task Catalog®” Defines What the Unit Prices Include Defines what The Adjustment Factor Includes Pages 00-1 to 00-6 of the CTC

CTC®

Non Pre-Priced Tasks An item required for the scope, but in not in the CTC Majority will use CTC item for labor and equipment, NPP quote for material cost Contractor must have permission from the County to use a Non Pre-priced Task prior to use in Proposal Three (3) quotes on letterhead, for vendor-supplied material or specialized subcontractor Justification for less than three (3) quotes Contractor is paid the amount in the following formula:

Contractor performed duties:

Total for a Non Pre-Priced Task performed with Contractor’s Own Forces = (A+B+C) x Factor of 1.05

Continued Next Slide

Non Pre-Priced Tasks Subcontractor Performed Tasks The Contractor must submit three (3) independent quotes for the Work.

D= Lowest of three (3) Subcontractor quotes.

Total cost of Non Pre-Priced Tasks performed by Subcontractors = D x Factor of 1.05

After being used on three separate Job Orders, the unit price for the Non Pre-Priced Task may become fixed as a permanent Pre-Priced item, which will no longer require price justification. The County’s determination as to whether a task is a Pre-Priced Task or a Non Pre-Priced Task shall be final, binding and conclusive.

Technical Specifications Specifies Quality of Materials and Workmanship Corresponds with Tasks in the CTC

Bidding Process Award is Based on Competitive Bid Contractor Bids Two Adjustment Factors:

Normal Working Hours, 7:00 am to 5:00 pm Monday through Friday, inclusive (80% Weighting) Other Than Normal Working Hours, 5:01 pm to 6:59 am Monday through Friday, and any time Saturday, Sunday and County Holidays (20% Weighting)

For Bidding Purposes, each Factor is Weighted:

Each Adjustment Factor is Weighted. The sum of the Weighted Factors is the Award Criteria Figure The Lowest Award Criteria Figure from a Responsive, Responsible Bidder is the Low Bidder Prior to Bidding, Orange County Cannot:

Identify or Commit to Specific Projects or Locations Identify or Commit to Specific CTC Tasks or Quantities

ADJUSTMENT FACTORS APPLY TO ALL CTC LINE ITEMS!!

Solicitation Details *The County reserves the right to award multiple Job Order Contracts under this IFB Contract License Requirement Minimum Contract Value Maximum Contract Value Per Individual Term Maximum Total Contract Term Bid Bond Payment & Performance Bonds (Each)

Changes to Scope, or Differing Site Conditions trigger a Supplemental Job Order The same process as Original Job Orders Priced from Construction Task Catalog® There are no Negotiated Change Orders Filings and Permits Fees paid for all Permits reimbursed 100% - No Markup Liquidated Damages On a Job Order - by - Job Order basis Sliding Scale Based on Job Order Value Bid Security: 10% of the Maximum Contract Value

Internet Based Gordian® Software Provided with Contract Supports collaborative scope development and refinement Instant access to OCPW’s customized CTC Expedites the Job Order Process Price Proposals Subcontractor Lists Tracking Dates Required Job Order Forms Ongoing technical support and training provided

1% Contractor License Fee Access to Gordian Cloud®, Construction Task Catalog®, other proprietary materials Most advanced technology and data in the marketplace.

Paperless Efficient Tasks and prices input directly... no fishing through old files and estimating books for costs JOC process training Gordian software training Software support Included in the Contractor’s Adjustment Factor Consider with the Bid as an Overhead cost 1% of Job Order Price, payable only after NTP Issuance

Example - How to Calculate an Adjustment Factor Use Historical Project Data Select a Completed Project You Know Scope and Direct Costs Price Project From CTC Add on Overhead and Profit Calculate the Adjustment Factor

Example Project: Detailed Scope of Work Interior Renovation Doors and Hardware Replace 12 interior doors, hinges and hardware Doors shall be 3x7, solid core wood doors Grade 2 locksets with knobs Replace 2 push bar exist devices and door closers on exit doors Interior Lighting Replace all lay-in troffer fixtures on first and second floors. 48 in total Replace 4 exit fixtures Replace 12 industrial fixtures in shop area Plumbing Fixtures Replace 8-bathroom sinks, 8 faucets, and 8 toilets in men’s and women’s bathroom in admin building and shop area Replace 4 water fountains Replace Boiler Demo existing boiler and as much piping and venting to accommodate new boiler. Install a new 1028 mbh oil-fired cast-iron boiler. No access for packaged boiler. Must field assemble sections. Provide new piping as required.

Gordian Cloud® Price Proposal

Example: CTC vs. Actual Direct Cost of Work from Subs or Self - Performed

TOTAL = $ 66,344.12

TOTAL = $ 65,000.00

CTC Price for Work

Example: Putting it All Together

Adjustment Factor (= E / F) = 1.1855

*Example Only. Contractor to determine O/H & Profit.

Prepare this calculation for more than one sample project.

Calculating a Bid Factor/Coefficient Considerations Best Practice

Calculate the factor/coefficient to perform as well as win the bid

Compare your costs to the costs in the unit price catalog

Know your OHP requirements and calculate your adjustment factor accordingly

Plan for cost escalation

Avoid

Calculating factor only to win the bid

Bidding according to other contractors past winning bids

Factors that don’t allow for OHP

Example:

Filling Out the Bid Form 1 2 0 3 4 one point two zero three four 1 2 2 3 4 one point two two three four

Example:

Filling Out the Bid Form 1 . 2 0 3 4 1 . 2 2 3 4

* Sample only 0 . 9 6 7 2 0 . 2 4 4 7 1 . 2 1 1 9

Contractor Adjustment Factor Importance of Adjustment Factors Determines Lowest Bidder AND Used to Price Individual Task Orders Price Proposal Total Becomes the Fixed Price Job Order Amount

Bid Considerations Contractors Should Expect:

Prepare Incidental Drawings or Sketches for Some Jobs Justify Quantity Calculations Explain Detail of Work Prepare Proposals for Some Jobs That Might be Canceled Varying Margins on CTC Tasks Some Projects are More Profitable than Others Must Maintain a Fully Functioning Local Office Must Supervise each Job Order – No Pass-Thru Job Orders Hold Required Licenses 1% of each Awarded Job Order is payable directly to Gordian, the Contractor License Fee for Gordian software access and support

Possible Risks of Low Adjustment Factor Leads to Arguments in Proposal Review Unsupportable Tasks Exaggerated Quantities Leads to Delays in Work Order Development Takes Longer to Review Proposals Creates an Adversarial Relationship Reduced Volume of Work May Shorten Contract Lost Profitability No Second Chance to Improve your Margin, Original and Supplemental Task Orders are Priced the Same Way

Review - Key Points Focus on Total Potential Value of Contract $5,000,000 Evaluate Construction Task Catalog® Analyze Unit Prices Know “Using the CTC” Contractor Performance Drives Volume Ability to Market Program and Services Responsive Service Accurate Proposals Safe and Clean Project Sites High Quality Construction On-Time Completion On Time Close Out

Bids Complete and Submit the Following with your Bid:

Bid Cover Page: Dated and signed by Contractor’s authorized representative (note special requirements for Corporations) Attachment B: Contractor’s Pricing (2 pages, individual scores & award formula) Exhibit 1: Company Profile and References Exhibit 2: Non-Collusion Affidavit Bid Bond in an amount not less than 10% Exhibit 5 Iran Contracting Act Certification Form

Attendance and Questions Make Sure You Confirm Your Attendance!

Attendance will be taken at the webinar meeting, in the beginning and the end of the meeting. Attendance during entire webinar is required.

All questions and inquiries for this Invitation for Bidders must be directed to the County Deputy Purchasing Agent (“DPA”), OC Public Works/Procurement Services, via OpenGov no later than 2:00 P.M on March 13, 2025

Bid Due Date Bids Due: Wednesday, March 19, 2025 at 2:00 PM, PDT

This is a fully electronic Invitation for Bid (IFB). Bidders must submit their bid on the County’s online bidding system to be considered responsive. All bid documents specified in Section II of the IFB shall be uploaded electronically and bidders shall utilize OpenGov to provide their overall factor. Only electronic bids will be accepted, no exceptions. Once the Bid Due Date and Time has lapsed, bidders, the public and County staff can immediately see the results on OpenGov.

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