Pasadena_Winter_Shelter_Operator_(Addendum_#1_Revision).pdf

REQUEST FOR PROPOSALS

FURNISH AND DELIVER

PASADENA WINTER SHELTER OPERATOR

FOR THE

HOUSING DEPARTMENT

CITY OF PASADENA, CALIFORNIA

Request for Proposals - Pasadena Winter Shelter Operator Release Date: Friday, July 7, 2023

Attachments:

A - Master Services Contract B - Winter Shelter Operator RFP Narrative Questions

C - DISQUALIFICATION_DISCLOSURE (4)

D - CONFLICT_OF_INTEREST (5)

E - Pasadena_Taxpayer_Protection_Amendment_Disclosure (2) G - DESIGNATED REPRESENTATIVESdocx J - REQUIRED_FORMS_-_AAs_-_SIG-LEGAL-STATUS_-_DECLARATION_OF_NONCOLUSION (27) K - County Measure H Insurance Requirements

1. INTRODUCTION

1. Summary

The City of Pasadena’s winter shelter is a low-barrier-to-entry hypothermia prevention program which addresses the temporary shelter needs of people experiencing homelessness during the period in the winter season where the region usually experiences the most inclement weather.

The City expects the winter shelter to run from December 1 through March 31 of each program year.

2. Background

The City of Pasadena is an ethnically diverse community that is home to approximately 142,017 people. Pasadena is the ninth-largest city in Los Angeles County. It is one of the primary cultural centers of the San Gabriel Valley. The City covers approximately 22.5 square miles, with an average of ten residents per acre. The median age of its residents is approximately 36.9 years.

There are over 100,000 jobs in a wide variety of industries in the City of Pasadena.

The City of Pasadena had an annual winter shelter from 1986 through March 2020 to respond to the emergency needs of people experiencing homelessness. For over 30 years the congregate winter shelter operated out of a gymnasium in a local church, until the COVID-19 pandemic began and the shelter closed due to safety concerns, staffing and location challenges. Since December 2020, the City has funded non-congregate weather-activated motel vouchers for the purpose of hypothermia prevention among unsheltered residents.

Prior to the pandemic, the shelter was operated on a night-by-night basis and was activated when at least one of the following criteria were met:

• Overnight forecast of temperatures 40 degrees or below

• At least a 40% chance of rain

• Anticipated winds of 40 mph or higher

The City’s winter shelter only serves single adults (men and women). Families with minor children are assisted with motel vouchers and do not stay overnight on site. Attendance typically starts out low and gradually builds as the season goes on. The last season the shelter was in operation before COVID-19, 69 people were served on the busiest night, and a total of 253 people were served over four months. The 2019-2020 winter season had an unusually low participation, and a more typical year had closer to 100 overnight guests on the busiest night. Information on shelter activation is made available to unhoused residents online, through a toll-free hotline, and is distributed to local homeless services providers.

Volunteer groups typically prepare or cater meals for overnight guests and assist with setting up cots and tables on the nights the shelter is open.

3. Contact Information

Deadline for Questions

The deadline to submit questions related to this solicitation is Wednesday, July 19, 2023, prior to 3:00 pm.

Questions regarding this solicitation should be submitted directly through the City's eProcurement Portal Q&A function. Do not contact any City employee or official regarding this solicitation. Any questions submitted after the date and time specified may not be considered.

Diana Trejo Program Coordinator I Email: dtrejo@cityofpasadena.net Phone: (626) 744-8306 Department:

Housing Department

4. Timeline

Release Project Date July 7, 2023

Pre-Proposal Meeting (Mandatory) July 13, 2023, 1:00pm Zoom meeting:

https://bit.ly/2023paswintershelterrfp

Question Submission Deadline July 19, 2023, 3:00pm

Proposal Submission Deadline August 21, 2023, 3:00pm mailto:dtrejo@cityofpasadena.net tel:(626)744-8306 https://bit.ly/2023paswintershelterrfp

2. GENERAL INSTRUCTIONS

1. NOTICE REGARDING DISCLOSURE OF CONTENTS OF DOCUMENT

All responses to this Request for Proposal (RFP) accepted by the City of Pasadena (City) shall become the exclusive property of the City. At such time as the City Manager recommends a contractor to the City Council, and such recommendation, with any recommended contract appears on the Council agenda, all proposals accepted by the City shall become a matter of public record and shall be regarded as public, with the exception of those elements of each proposal which are defined by the contractor as business or trade secrets and plainly marked as "Trade Secret", "Confidential" or "Proprietary". Each element of a proposal which a contractor desires not to be considered a public record must be clearly marked as set forth above, and any blanket statement (i.e. regarding entire pages, documents or other non-specific designations) shall not be sufficient and shall not bind the City in any way whatsoever. If disclosure is required or permitted under the California Public Records Act or otherwise by law, the City shall not in any way be liable or responsible for the disclosure of any such records or part thereof.

2. Electronic Submission and Delivery Instructions

Parties interested in responding are required to submit proposals electronically through the City of Pasadena's eProcurement Portal no later than 3:00 pm on Monday, August 21, 2023. Please upload sufficiently early electronically through the city's eProcurement Portal before the time and day listed in the Notice Inviting Proposals. Proposals must be received in the system prior to the deadline.

The entire proposal must be formatted on standard-size 8½”x11” pages; 12 point font only. The "Technical Proposal," "Additional Data," and "Statement of Qualifications" can be no more than 50 grand total pages.

The Price Proposal must include all costs associated with the Technical Proposal as described in the Price Proposal instructions in the “#Proposer's Submittals/Checklist.”

The Technical Proposal should disclose your technical approach in as much detail as possible, including, but not limited to, the requirements of the technical proposal instructions. Along with all required forms and submittals (See #Attachments, and #Proposer's Submittals/Checklist. No Pricing shall be included in this part.

Proposals received after the Proposal Deadline may not be accepted by the City.

3. Separation of Technical, and Price Proposals

The proposal must be prepared in two parts: a "Technical Proposal" and a "Price Proposal." Each of the parts shall be separate and complete in itself so evaluation of one may be accomplished separate from the evaluation of the other.

1. The Price Proposal must include all costs associated with the Technical Proposal as described in the Price Proposal instructions in the “Submittals/Checklist.”

https://procurement.opengov.com/portal/pasadena https://procurement.opengov.com/portal/pasadena/projects/51806?section=436568 https://procurement.opengov.com/portal/pasadena/projects/51806?section=436573 https://procurement.opengov.com/portal/pasadena/projects/51806?section=436568

Parties interested in responding are required to submit their Price Proposal with their Technical proposal through the City's eProcurement Portal.

The pricing must include the total price proposed to accomplish all the performance and deliverables requested in this RFP, and offered by your firm. Each Proposer must submit a Price Proposal containing all costs associated with the technical proposal. The price proposal shall describe both the total and the detailed price for which the consultant will commit to complete the total scope of work and end products. The price proposal detail shall describe costs for each professional’s time, for the completion of each proposed task, and for all materials and supplies.

The fee information is relevant to a determination of whether the fee is fair and reasonable in light of the services to be provided. Costs shall include the proposed costs and, if necessary, the approximate number of hours to provide the services as described in your proposal. Any additional fees outside the scope of the agreement must be approved in writing before commencing services for said fees. Vendor’s RFP response must be inclusive of all costs and expenses associated with travel, lodging, and any other incidental costs. The City will not separately reimburse costs not included in the proposal.

2. The Technical Proposal should disclose your technical approach in as much detail as possible, including, but not limited to, the requirements of the technical proposal instructions. Along with all required forms and submittals (See #Attachments, and Submittals/Checklist. No Pricing shall be included in this part.

Reference SAMPLE PRICE PROPOSAL.

Reimbursable cost schedules shall depict only those expenditures that are exclusive to and in support of the scope of services. The proposed reimbursable cost schedule shall include a detailed list of reimbursables.

A contract will not be awarded to a consultant without an adequate financial management and accounting system as required by 48 CFR Part 31 and 2 CFR Part 200.

Each Proposer must submit a PRICE Proposal containing all costs associated with the technical proposal. Using the attached Price Proposal in this RFP, provide Proposer’s lump-sum price for performing all services and work called for in the SCOPE OF WORK. The Proposer’s lump-sum price shall include, without limitation:

• all designs, equipment, materials, labor, insurance and bond premiums, home office, jobsite, and other overhead, profit and services relating to the Proposer’s performance of its obligations under the Contract (including all work, equipment, materials, labor, and services provided by subcontractors and intellectual property rights necessary to perform the work);

performance of each and every portion of the work

• all costs of obtaining Government approvals other than Government approvals that are the responsibility of the City of Pasadena;

• all costs of compliance with Government rules, except to the extent such compliance is the responsibility of the City of Pasadena;

https://procurement.opengov.com/portal/pasadena/projects/51806?section=436573

• all taxes, duties, permits, and other fees or royalties incident to the performance of the

SCOPE OF WORK;

payment of all salaries, wages, benefits, and expenses of the Proposer’s employees;

compensation for all risks, liabilities, and contingencies assigned to the Proposer; and

• all other costs needed or incurred to complete the Project.

4. Pre-Proposal Meeting

See the "Timeline" in the Introduction section (#Introduction). If there is a Mandatory pre-proposal meeting, bidders/proposers are required to attend at the time, date, and location included in the Timeline. If there is a Non-Mandatory pre-proposal meeting, bidders/proposers are not required to attend.

Each bidder/proposer will have the opportunity to clarify and ask questions regarding the Specifications. The Pre-Proposal Meeting will be held at the time, date, and location in the Timeline of this solicitation.

5. Definitions

The words (A) "City", (B) "Department", (C) "Director", or (D) "Contractor", as used in this RFP, shall be understood to refer respectively to (A) the City of Pasadena, California; (B) the several departments therein; (C) the directors of the several City departments; or any of their properly authorized assistants; and ( D) the person, firm or corporation with whom the contract is made by said City or the agent or legal representative who may be appointed to represent such person, firm or corporation in the signing and performance of said contract.

6. Addenda

If any person contemplating submitting a proposal of the items or services listed herein is in doubt as to the true meaning of any part of this RFP, he/she may submit a question through the City's eProcurement Portal Q&A section for an interpretation or correction thereof.

Any interpretation or correction of City specifications will be made only by addendum, duly issued by the City representative(s) identified in Section 3, above. Addenda (if any) shall be made available to each Proposer. A proposer’s failure to address the requirements of any and all addenda may result in the proposal not being considered. If the City determines that a time extension is required for the proposal, the City will issue an addendum that will give the new submission date. The Proposer is responsible to register on the City's eProcurement Portal and follow the project ,Pasadena Winter Shelter Operator, to insure they receive all RFP documents including addendums which are available as a download.

The City reserves the right to change any part of these Instructions to PROPOSERS and Specifications any time prior to Deadline for Submissions. Any changes shall be in the form of addenda and will become a part of the Proposal documents and of the contract.

https://procurement.opengov.com/portal/pasadena/projects/51806?section=436566 https://procurement.opengov.com/portal/pasadena

3. SCOPE OF WORK

1. OBJECTIVE

The City of Pasadena Department of Housing invites proposals from qualified non-profit entities to operate an overnight (12 hour) and 24-hour winter shelter program. The primary objective of this RFP is to select a program operator that will be responsible for administering a low-barrier winter shelter program for people experiencing homelessness.

2. SCOPE OF WORK

The winter shelter operator will be required to provide low-barrier, safe and supportive congregate emergency shelter to single adults experiencing homelessness to protect them from inclement weather.

All services will be provided to program participants free of charge. The description outlined above in the Background section identifies the key program elements and services the selected operator should provide at a minimum. In addition, prospective operators should indicate the type of program they are proposing (12 / 24 hours) and describe the level of service that will be provided accordingly. Proposals for 12-hour programs are required to provide at least one meal (dinner) for overnight guests, and 24-hour programs are required to provide three meals. The selected shelter operator must operate throughout the entire cold weather season as specified by the City and at a minimum must be available all nights during which the weather activation criteria are met. The winter shelter will also be required to be open on the night of the annual Pasadena Homeless Count, which is typically a Tuesday during the last ten days of January, regardless of weather conditions.

Prospective operators may not require participation in religious activities as a condition of receiving services, and the participant's stay in the shelter must not be contingent upon participation in services, case management, treatment, or progress on a permanent housing plan. Supportive services may be available to participants but must be voluntary, client-driven, individualized and flexible. The selected winter shelter operator must incorporate as part of the program a set of program rules that serve as protocols or guidelines for program operations and ensuring the safety and security of participants, as well as program staff. Policies and procedures should also be in place for injury and disease prevention, grievances and participant termination. All program rules will be subject to review and approval by the City and must be client-centered to minimize barriers to accessing shelter. The selected shelter operator must ensure the program is ADA accessible and can accommodate service and/or companion animals.

The selected shelter operator will be expected to operate a clean, safe and well-maintained winter shelter program at a site that will be specified by the City at a later date. The selected shelter operator will be required to establish a cleaning schedule that ensures the property is cleaned regularly on days the shelter is open. The operator will be expected to consult with the property owner and/or City staff to ensure the site is maintained in good condition with regards to paint, flooring, plumbing, electricity, and other basic up-keep to the property. Similarly, the selected operator and property owner will be required to ensure that all local health and safety requirements are met.

Hours of operation

At a minimum, overnight shelter (12 hours) is required. The City will accept proposals for both 12-hour and 24-hour programs.

A 24-hour shelter would still be weather activated but may potentially be open for multiple consecutive 24-hour periods for extended weather events, whereas a 12-hour shelter would only be open on consecutive nights. The City will work with the selected winter shelter operator to confirm additional hours of operation details as needed.

Weather activation

At a minimum, the shelter will be activated when at least one of the following criteria is met:

• Overnight forecast of 40 degrees or below

• At least a 40% chance of rain

• Anticipated winds of 40 mph or higher

These criteria are subject to change based on the City’s determination.

Services provided

The agency selected to operate the winter shelter program must, at a minimum, provide the following services:

• Bed availability for designated hours (i.e. 12, 24 hours) on days the shelter is weather activated and at least one designated day every week;

• On-site staff during designated hours of program operation to provide supervision, conduct intakes and enforce rules.

• On-site security during hours of operation to ensure the safety of all program participants and staff;

• Meals for program participants, including at least one meal for overnight programs and three meals for 24-hour programs; and

• Janitorial services to clean areas utilized by program participants and hygiene (i.e. bathroom and shower) facilities.

Program staffing

Prospective operators should provide an adequate staffing structure that best aligns with the proposal and maintains a staff-to-resident ratio that ensures the safety and security of both personnel and clients.

All program staff should be trained in, and actively employ, evidence-based practices for client engagement, including but not limited to trauma-informed care and harm reduction.

Eligibility for services

Participants must be determined to be homeless according to HUD’s definition of homeless provided in 24.CFR 91.5. The selected program operator will be responsible for documenting all participant’s homeless status in HMIS and program files (i.e. sign-in sheets).

Low-barrier program

The winter shelter operator shall not deny entry based on suspicion of substance use, a mental health disorder, or criminal background, unless a client poses an imminent threat to themselves, staff, or other clients. Further, the winter shelter operator is prohibited from conducting drug or alcohol testing, criminal background checks or making inquiries to verify that a client is free from alcohol or drug use.

Nondiscrimination

Prospective operators may not discriminate on the basis of actual or perceived sexual orientation, gender identity, marital status, race, color, religion, national origin, age, or disability status. For people with disabilities, it is unlawful to: (1) fail to make reasonable accommodation in rules, policies, and services to give a person with a disability equal opportunity to occupy and enjoy the full use of the program and (2) fail to allow reasonable modification to the premises if the modification is necessary to allow full use of the premises. In accordance with Equal Access final Rule (24 CFR 5), all contracted shelter programs, regardless of funding source, must ensure equal access to an individual in accordance with gender identity.

Health and Safety

The selected program operator must utilize a centralized and organized system of documenting Incident Reports and an Incident Report log to track, monitor, and resolve crises, conflicts, accidents, injuries, illnesses, trauma, etc. that occur within any and all of operator’s facilities and/or programs.

The operator’s policies and procedures regarding disease prevention must include standardized Tuberculosis (TB) guidelines, which must address TB screening of staff and volunteers, TB screening of participants as part of program intake, and a Cough Alert Protocol for ongoing monitoring of TB symptoms of staff and/or participants. Staff must be trained in early detection of potential symptoms of

TB.

Intake and Date Entry

All participants must be enrolled in the winter shelter program in HMIS. Overnight stays must be recorded in HMIS within 72 hours from when the participant visits the shelter. All participants must be exited from the program within 10 days of the final day of operation. The winter shelter operator will be responsible for recording nightly guest data and reporting monthly data for shelter attendance to the City, or more frequently as requested.

Other

Unaccompanied minors and families with minor children are not eligible for enrollment or services in programs that serve single adults and must be referred to a program that specifically serves them. Participants who identify as actively fleeing a domestic violence situation must be offered an immediate connection to a domestic violence shelter at a confidential location, when requested by the participant, to ensure the safety and well-being of the participant. Similarly, the selected shelter operator will be required to abide by participant confidentiality requirements as set forth in the Violence Against Women Act (VAWA) Confidentiality Provision (34 U.S.C. 12291(b)(2)).

The shelter operator recommended for funding will be required to comply with the Pasadena Continuum of Care’s Emergency Shelter Written Standards: https://pasadenapartnership.org/emergency-shelter/.

3. WINTER SHELTER SITE

https://pasadenapartnership.org/emergency-shelter/

The City is in the process of identifying a site that is willing and able to host the winter shelter program, which will be revealed at a later date. The site will not be taken into consideration when scoring proposals. The site is expected to have the capacity to serve 50-70 guests each evening the shelter is open.

4. SERVICE DATES

The start date of the program is expected to begin on December 1, 2023, depending on the availability of the site identified by the city.

5. FUNDING

Funding for the winter shelter program may be made available through Los Angeles County Measure H and General Funds (GF) from the City.

6. ELIGIBLE APPLICANTS

This funding opportunity is open to non-profit organizations and homeless service providers that are experienced in providing congregate emergency shelter services to people experiencing homelessness.

7. ELIGIBLE ACTIVITIES

The funds available under this RFP may be used for costs of providing essential services to homeless individuals in emergency shelters and operating emergency shelters. Proposers are able to allocate 10% of the total funding amount available for administrative costs.

Eligible costs include the following:

1. Essential Services o Case management and program staff o Transportation o Addressing urgent physical needs, such as providing meals, blankets, clothes, or toiletries

2. Shelter Operations o Eligible costs are the costs of maintenance (including minor or routine repairs), rent, staff, security, fuel, equipment, insurance, utilities, food, furnishings, and supplies necessary for the operation of the emergency shelter.

8. MINIMUM PERFORMANCE OUTCOMES

The shelter operator selected for funding under this RFP will be expected to achieve the following outcome during the winter season:

• Provide connections to the Coordinated Entry System (CES) as appropriate and requested by clients.

https://www.law.cornell.edu/definitions/index.php?width=840&height=800&iframe=true&def_id=8a2903afec40afebcdb6176134d13480&term_occur=999&term_src=Title:24:Subtitle:B:Chapter:V:Subchapter:C:Part:576:Subpart:B:576.102 https://www.law.cornell.edu/definitions/index.php?width=840&height=800&iframe=true&def_id=20178e7fe943704fce821ca932530fa8&term_occur=999&term_src=Title:24:Subtitle:B:Chapter:V:Subchapter:C:Part:576:Subpart:B:576.102

9. REQUIREMENTS

At a minimum, the proposer must address the following requirements:

• System for Award Management (SAM) Clearance: Proposer must have System for Award Management (SAM) clearance, meaning the applicant is not suspended or debarred from doing business with the federal government and/or receiving federal funds.

• HMIS Database Implementation: Projects are required to participate and enter data in the regional Homeless Management Information System (HMIS).

10. COST PROPOSAL ATTACHMENT

In addition to providing a lump sum cost in the price proposal section of this RFP, proposers are expected to submit a detailed budget with a description of all line items included as a separate attachment. This document will be shared with evaluators and used as a basis for scoring the Budget and Resource Plan evaluation criteria.

11. NARRATIVE RESPONSES

All proposers are required to respond to the narrative questions provided by the City for each evaluation factor. Proposers should respond to each narrative question separately and each response should not exceed 5,000 characters. All narrative questions can be found within the Attachment section of this RFP.

Responses will be reviewed by the evaluation panel and used to inform the score for each evaluation factor.

4. SAMPLE PRICE PROPOSAL

Each Proposer must submit a Price Proposal containing all costs associated with the technical proposal. The cost proposal shall describe both the total and the detailed price for which the consultant will commit to complete the total scope of work and end products. The table(s) below is intended to be a sample. Proposers may add necessary line items provided they are in compliance with instructions in this RFP for "Cost Proposals." The cost proposal detail shall describe costs for each professional’s time, for the completion of each proposed task, and for materials and supplies.

INSTRUCTIONS:

Each Proposer must submit a Price Proposal containing all costs associated with the technical proposal. Using the attached Price Proposal in this RFP, provide Proposer’s lump-sum price and/or unit price for performing all services and work called for in the SCOPE OF WORK. The Proposer’s price shall include, without limitation:

A. all designs, equipment, materials, labor, insurance and bond premiums, home office, jobsite, and other overhead, profit and services relating to the Proposer’s performance of its obligations under the Contract (including all work, equipment, materials, labor, and services provided by subcontractors and intellectual property rights necessary to perform the work);

B. performance of each and every portion of the work

C. all costs of obtaining Government approvals other than Government approvals that are the responsibility of the City of Pasadena;

D. all costs of compliance with Government rules, except to the extent such compliance is the responsibility of the City of Pasadena;

E. all taxes, duties, permits, and other fees or royalties incident to the performance of the

SCOPE OF WORK;

F. payment of all salaries, wages, benefits, and expenses of the Proposer’s employees;

G. compensation for all risks, liabilities, and contingencies assigned to the Proposer; and

H. all other costs needed or incurred to complete the Project.

Line Item Description Unit of Measure Unit Cost

1. Winter Shelter Price Proposal Lump Sum

5. REVIEW AND AWARD RECOMMENDATION PROCESS

1. Review and Award

A screening committee will determine which proposals are responsive to City requirements and needs. The technical portions of responsive proposals will be evaluated by a selection panel consisting of personnel from the City. The selection may be based solely on the written proposals submitted.

PROPOSERS may be invited to a meeting to provide additional clarification of the content of their proposal. The City reserves the right to invite all of the PROPOSERS for an oral clarification OR only the top three (3) ranked firms based on the initial written proposal review. The meeting will not alter the selection criteria but will be used to clarify content of the proposal. The final scoring and ranking will be made after the meetings. Proposals shall consist of the sections named in the “Contents of Proposal” outlined below.

The weighted scoring in the Evaluation Criteria prioritizes the factors most important for this solicitation. A winner will be chosen based on the Total Average points of all evaluators across all scoring factors.

Once an agreement is reached with a Proposer, staff will recommend award of a contract. The City reserves the right to select the firm which, in its sole judgment, best meets the needs of the City.

For City Departments: Any contract resulting from this RFP, if $25,000 or more, shall not be effective until approved by the City Manager. Any contract resulting from this RFP, if $75,000 or more, shall not be effective until approved by the City Council.

For Operating Companies (such as the Rose Bowl): Any contract resulting from this RFP, if less than $75,000, shall not be effective until approved by the top executive official of the Operating Company. Any contract resulting from this RFP, if $75,000 or more, shall not be effective until approved by the Board of the Operating Company.

2. Separate Review of Technical, and Price Proposals

The Technical Proposal and the Price Proposal will be evaluated separately. First will be all non-price qualifications including but not limited approach, experience, all Required Forms, litigation history, responsiveness, and all elements related to the non-price evaluation factors in the Evaluation Criteria (#Evaluation Criteria). The City may utilize separate evaluation committees to review the Technical and Price elements.

https://procurement.opengov.com/portal/pasadena/projects/51806?section=undefined

6. PUBLIC CONTRACT CLAIMS PROCEDURE

PUBLIC CONTRACT CODE SEC. 9204 PUBLIC WORKS CLAIMS PROCEDURE

AB 626, approved by the Governor on September 29, 2016, created a new Public Contract Code Section 9204, which specifies new procedural requirements for claims submitted by a contractor on any public works project. These new requirements contain burdens for both private contractors and public entities and are specifically made applicable to charter cities.

For this legislation, a “public works project” is defined as “the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind.” This definition is not as broad as in the Prevailing Wage Law.

A “claim” is defined as “a separate demand by a contractor sent by registered mail or certified mail with return receipt requested…” and is limited to three types of contract disputes:

1. “A time extension…for relief from damages or penalties for delay assessed by a public entity….”

2. “Payment by the public entity of money or damages arising from work done by, or on behalf of, the contractor pursuant to the contract for a public works project and payment for which is not otherwise expressly provided or to which the claimant is not otherwise entitled”, and/or

3. “Payment of an amount that is disputed by the public entity.”

Upon receipt of a claim, a public entity must "conduct a reasonable review" and provide a written statement to the contractor within 45 days of receipt of the claim. Failure of a public entity to respond to a claim within the time periods described in Section 9204 "shall result in the claim being deemed rejected in its entirety."

For any undisputed portion of a claim, a public entity must make payment within 60 days of the public entity's issuance of the written statement.

If the contractor disputes the public entity's written statement, or if the public entity fails to respond, the contractor may demand "an informal conference to meet and confer for settlement of the issues in dispute." The public entity must schedule the meet and confer conference within 30 days of the demand.

Within 10 business days following the meet and confer conference, the public entity must provide a written statement identifying the portion of the claim that remains in dispute.

Any payment due on an undisputed portion of the claim must be made within 60 days of the meet and confer conference. Amounts not paid in a timely manner shall bear interest at 7 percent per year.

After the meet and confer conference, any disputed portion of the claim "shall be submitted to non-binding mediation." If mediation fails to resolve the dispute, the parts of the claim that remain in dispute shall be subject to applicable procedures outside Section 9204 (statutory and contractual).

The full text of this new legislation is set forth below:

THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

SECTION 1.

Section 9204 is added to the Public Contract Code, to read:

9204.

(a) The Legislature finds and declares that it is in the best interests of the state and its citizens to ensure that all construction business performed on a public works project in the state that is complete and not in dispute is paid in full and in a timely manner.

(b) Notwithstanding any other law, including, but not limited to, Article 7.1 (commencing with Section 10240) of Chapter 1 of Part 2, Chapter 10 (commencing with Section 19100) of Part 2, and Article 1.5 (commencing with Section 20104) of Chapter 1 of Part 3, this section shall apply to any claim by a contractor in connection with a public works project.

(c) For purposes of this section:

(1) “Claim” means a separate demand by a contractor sent by registered mail or certified mail with return receipt requested, for one or more of the following:

(A) A time extension, including, without limitation, for relief from damages or penalties for delay assessed by a public entity under a contract for a public works project.

(B) Payment by the public entity of money or damages arising from work done by, or on behalf of, the contractor pursuant to the contract for a public works project and payment for which is not otherwise expressly provided or to which the claimant is not otherwise entitled.

(C) Payment of an amount that is disputed by the public entity.

(2) “Contractor” means any type of contractor within the meaning of Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code who has entered into a direct contract with a public entity for a public works project.

(3) (A) “Public entity” means, without limitation, except as provided in subparagraph (B), a state agency, department, office, division, bureau, board, or commission, the California State University, the University of California, a city, including a charter city, county, including a charter county, city and county, including a charter city and county, district, special district, public authority, political subdivision, public corporation, or nonprofit transit corporation wholly owned by a public agency and formed to carry out the purposes of the public agency.

(B) “Public entity” shall not include the following:

The Department of Water Resources as to any project under the jurisdiction of that department.

The Department of Transportation as to any project under the jurisdiction of that department.

The Department of Parks and Recreation as to any project under the jurisdiction of that department.

The Department of Corrections and Rehabilitation with respect to any project under its jurisdiction pursuant to Chapter 11 (commencing with Section 7000) of Title 7 of Part 3 of the Penal Code.

The Military Department as to any project under the jurisdiction of that department.

The Department of General Services as to all other projects.

The High-Speed Rail Authority.

(4) “Public works project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind.

(5) “Subcontractor” means any type of contractor within the meaning of Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code who either is in direct contract with a contractor or is a lower tier subcontractor.

(d) (1) (A) Upon receipt of a claim pursuant to this section, the public entity to which the claim applies shall conduct a reasonable review of the claim and, within a period not to exceed 45 days, shall provide the claimant a written statement identifying what portion of the claim is disputed and what portion is undisputed. Upon receipt of a claim, a public entity and a contractor may, by mutual agreement, extend the time period provided in this subdivision.

(B) The claimant shall furnish reasonable documentation to support the claim.

(C) If the public entity needs approval from its governing body to provide the claimant a written statement identifying the disputed portion and the undisputed portion of the claim, and the governing body does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the public entity shall have up to three days following the next duly publicly noticed meeting of the governing body after the 45-day period, or extension, expires to provide the claimant a written statement identifying the disputed portion and the undisputed portion.

(D) Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. If the public entity fails to issue a written statement, paragraph (3) shall apply.

(2) (A) If the claimant disputes the public entity’s written response, or if the public entity fails to respond to a claim issued pursuant to this section within the time prescribed, the claimant may demand in writing an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand in writing sent by registered mail or certified mail, return receipt requested, the public entity shall schedule a meet and confer conference within 30 days for settlement of the dispute.

(B) Within 10 business days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the public entity shall provide the claimant a written statement identifying the portion of the claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. Any disputed portion of the claim, as identified by the contractor in writing, shall be submitted to nonbinding mediation, with the public entity and the claimant sharing the associated costs equally. The public entity and claimant shall mutually agree to a mediator within 10 business days after the disputed portion of the claim has been identified in writing. If the parties cannot agree upon a mediator, each party shall select a mediator and those mediators shall select a qualified neutral third party to mediate with regard to the disputed portion of the claim. Each party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator. If mediation is unsuccessful, the parts of the claim remaining in dispute shall be subject to applicable procedures outside this section.

(C) For purposes of this section, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this section.

(D) Unless otherwise agreed to by the public entity and the contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation under Section 20104.4 to mediate after litigation has been commenced.

(E) This section does not preclude a public entity from requiring arbitration of disputes under private arbitration or the Public Works Contract Arbitration Program, if mediation under this section does not resolve the parties’ dispute.

(3) Failure by the public entity to respond to a claim from a contractor within the time periods described in this subdivision or to otherwise meet the time requirements of this section shall result in the claim being deemed rejected in its entirety. A claim that is denied by reason of the public entity’s failure to have responded to a claim, or its failure to otherwise meet the time requirements of this section, shall not constitute an adverse finding with regard to the merits of the claim or the responsibility or qualifications of the claimant.

(4) Amounts not paid in a timely manner as required by this section shall bear interest at 7 percent per annum.

(5) If a subcontractor or a lower tier subcontractor lacks legal standing to assert a claim against a public entity because privity of contract does not exist, the contractor may present to the public entity a claim on behalf of a subcontractor or lower tier subcontractor. A subcontractor may request in writing, either on his or her own behalf or on behalf of a lower tier subcontractor, that the contractor present a claim for work which was performed by the subcontractor or by a lower tier subcontractor on behalf of the subcontractor. The subcontractor requesting that the claim be presented to the public entity shall furnish reasonable documentation to support the claim.

Within 45 days of receipt of this written request, the contractor shall notify the subcontractor in writing as to whether the contractor presented the claim to the public entity and, if the original contractor did not present the claim, provide the subcontractor with a statement of the reasons for not having done so.

(e) The text of this section or a summary of it shall be set forth in the plans or specifications for any public works project that may give rise to a claim under this section.

(f) A waiver of the rights granted by this section is void and contrary to public policy, provided, however, that (1) upon receipt of a claim, the parties may mutually agree to waive, in writing, mediation and proceed directly to the commencement of a civil action or binding arbitration, as applicable; and (2) a public entity may prescribe reasonable change order, claim, and dispute resolution procedures and requirements in addition to the provisions of this section, so long as the contractual provisions do not conflict with or otherwise impair the timeframes and procedures set forth in this section.

(g) This section applies to contracts entered into on or after January 1, 2017.

(h) Nothing in this section shall impose liability upon a public entity that makes loans or grants available through a competitive application process, for the failure of an awardee to meet its contractual obligations.

(i) This section shall remain in effect only until January 1, 2027, and as of that date is repealed, unless a later enacted statute that is enacted before January 1, 2027, deletes or extends that date.

(Amended by Stats. 2019, Ch. 489, Sec. 1. (AB 456) Effective January 1, 2020. Repealed as of January 1, 2027, by its own provisions.)

SEC. 2.

The Legislature finds and declares that it is of statewide concern to require a charter city, charter county, or charter city and county to follow a prescribed claims resolution process to ensure there are uniform and equitable procurement practices.

SEC. 3.

If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

7. GENERAL REQUIREMENTS

1. Standard terms and conditions

Prior to the award of any work hereunder, City and contractor shall enter into a written contract in substantially the form attached hereto with such revisions thereto as the City may determine necessary and appropriate. PROPOSERS responding to this RFP are strongly advised to review all the terms and conditions of the contract, and shall be deemed to have accepted them.

2. Firm commitment of availability of service

Once a proposal is opened, a PROPOSER is expected to maintain an availability of service as set forth in its proposal for at least four months after date for opening proposals.

3. Reservations

The City reserves the right to reject any or all bids or proposals and any item or items therein, and to waive any non conformity of proposals with this RFP, whether of a technical or substantive nature, as the interest of the City may require.

4. Documents to be construed together

The Request for Proposals, the Proposal, the Non Collusion Affidavit, and all documents referred to in the complete specifications and the Contract to be entered into between the Contractor and the City, and all modifications of said documents, shall be construed together as one document.

5. RFP not contractual

Nothing contained in this Request for Proposals shall create any contractual relationship between the PROPOSER and the City. The City accepts no financial responsibility for costs incurred by any PROPOSER regarding this RFP.

6. Patent fees; patent, copyright, trade secret and trademark fees

Each PROPOSER shall include in the price bid any patent fees, royalties and charges on any patented article or process to be furnished or used in the prosecution of the Work.

7. PUBLIC CONTRACT CODE SEC. 9204 NEW PUBLIC WORKS CLAIMS PROCEDURE

Observe attached details regarding Public Contract Code Section 9204. AB 626, approved by the Governor on September 29, 2016, created a new Public Contract Code Section 9204, which specifies new procedural requirements for claims submitted by a contractor on any public works project. These new requirements contain burdens for both private contractors and public entities and are specifically made applicable to charter cities.

8. Request for Proposal (RFP) quantities:

The quantities contained in the RFP documents are approximate only and are for the sole purpose of comparing proposals. The City may, in accordance with the specifications, request additional services as necessary at the City's sole discretion, as increased by the unit price noted and payment will be made for the amount of services actually provided as determined by the City and accepted at the unit prices noted in the proposal.

9. CHANGE ORDER MANAGEMENT

CHANGE ORDER MANAGEMENT

Any additional work identified during the course of the project that is deemed necessary, but outside the original Scope of Services, must be recorded as a Change Order and approved by the City Project Manager in writing before work is started.

10. Taxpayer Protection Act

Under the provisions of the City of Pasadena Taxpayer Protection Act ("TPA"), the Contractor/Organization will be considered a "recipient of a public benefit." The full provisions of the TPA are set forth in Pasadena City Charter, Article XVII. Under the TPA, City public officials who approve this Contract are prohibited from receiving specified gifts, campaign contributions or employment from Contractor for a specified time. As well, if this Contract is to be approved by the City Council, Councilmembers or candidates for Council are prohibited from receiving campaign contributions during the time this Contract is being negotiated (from the due date for an RFP response until award of a contract; this restriction does not apply to competitive and noticed low bid contracts). This prohibition extends to individuals and entities that are specified in the TPA and includes Contractor/Organization and its trustees, directors, partners, corporate officers and those with more than a 10% equity, participation, or revenue interest in Contractor/Organization. Contractor/Organization understands and agrees that: (A) Contractor/Organization is aware of the TPA; (B) Contractor/Organization will complete the forms provided by the City to identify all of the recipients of a public benefit specified in the TPA;

and (C) Contractor/Organization will not make any prohibited gift, campaign contribution or offer of employment to any public official who negotiated and/or approved this Contract, and will not make any prohibited campaign contribution during the time this contract is being negotiated.

The Contractor shall submit a copy of the completed TPA formto the City Clerk’s Office if the contract is to be awarded by the City Council via e-mail: OfficialRecords- CityClerk@Cityofpasadena.net or by fax: (626) 744-3921, and submit a copy with the response package.

For more information please go to: https://www.cityofpasadena.net/city-clerk/disclosure-reportsax-payer-protection-act-tpa/

11. CONFLICT OF INTEREST STATEMENT ** REVIEW

https://www.cityofpasadena.net/city-clerk/wp-content/uploads/sites/21/TPA-Disclosure-Form-Non-Land-Use-contracts-and-all-others.pdf?v=1657730649410 mailto:OfficialRecords-CityClerk@Cityofpasadena.net mailto:OfficialRecords-CityClerk@Cityofpasadena.net https://www.cityofpasadena.net/city-clerk/disclosure-reportsax-payer-protection-act-tpa/ https://www.cityofpasadena.net/city-clerk/disclosure-reportsax-payer-protection-act-tpa/

The proposing Consultant shall disclose any financial, business or other relationship with the City of Pasadena that may have an impact upon the outcome of the contract or any construction project. The Consultant shall also list current clients who may have a financial interest in the outcome of this contract or the construction project that will follow.