Temporary_Employment_Staffing_Agency.pdf

REQUEST FOR PROPOSALS

FURNISH AND DELIVER

TEMPORARY EMPLOYMENT STAFFING AGENCY

FOR THE

ROSE BOWL

CITY OF PASADENA, CALIFORNIA

Request for Proposals - Temporary Employment Staffing Agency Release Date: Monday, March 20, 2023

Attachments:

A - Master Services Contract B - REQUIRED_FORMS_-_AAs_-_SIG-LEGAL-STATUS_-_DECLARATION_OF_NONCOLUSION (27)

C - DISQUALIFICATION_DISCLOSURE (4)

D - CONFLICT_OF_INTEREST (5)

E - Pasadena_Taxpayer_Protection_Amendment_Disclosure (2) G - DESIGNATED REPRESENTATIVESdocx J - 2023 Rose Bowl Stadium Events Calendar (002) K - 2023-24 RFP Stadium Investment Deck (003)

1. INTRODUCTION

1. Summary

The Rose Bowl Operating Company (RBOC) is seeking to secure the services of a qualified Temporary Staffing (Employment) Agency to fulfill temporary staffing needs for the Rose Bowl Stadium and adjacent Brookside Golf Courses. The Rose Bowl Stadium is an 89,766-seat outdoor stadium and is the venue for UCLA home football games, the annual Rose Bowl Game®, international soccer games, large concerts and multi-day music festivals.

The initial term of the contract is for three (3) years, commencing on July 1, 2023 with two (2) one-year options to renew, at the sole discretion of the RBOC Chief Executive Officer / General Manager with all terms and conditions of the initial term of the contract applying to any such extensions. Additional information regarding contract scope, terms and other conditions are contained in this RFP.

2. Contact Information

Nancy Silver Chief Compliance Officer Email: nsilver@rosebowlstadium.com Phone: (626) 577-3100 Ext: 224 Department:

Rose Bowl

3. Timeline

Release Project Date March 20, 2023

Question Submission Deadline April 4, 2023, 5:30pm

Proposal Submission Deadline April 13, 2023, 12:00pm mailto:nsilver@rosebowlstadium.com tel:(626)577-3100;ext=224

2. GENERAL INSTRUCTIONS

1. NOTICE REGARDING DISCLOSURE OF CONTENTS OF DOCUMENT

All responses to this Request for Proposal (RFP) accepted by the Rose Bowl Operating Company (RBOC) shall become the exclusive property of the RBOC/City. At such time as the RBOC Chief Executive Officer / General Manager recommends a contractor to the RBOC Board of Directors, and such recommendation, with any recommended contract appears on the RBOC agenda, all proposals accepted by the RBOC/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 RBOC/City in any way whatsoever. If disclosure is required or permitted under the California Public Records Act or otherwise by law, the RBOC/City shall not in any way be liable or responsible for the disclosure of any such records or part thereof.

2. Funding Source

This procurement is funded by City of Pasadena. Vendors must submit all required document with their proposal.

3. 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 12:00 pm on Thursday, April 13, 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 RBOC/City.

4. Separation of Technical, and Price Proposals https://procurement.opengov.com/portal/pasadena https://procurement.opengov.com/portal/pasadena/projects/39318?section=321022 https://procurement.opengov.com/portal/pasadena/projects/39318?section=321024 https://procurement.opengov.com/portal/pasadena/projects/39318?section=321022

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 “#Proposer's Submittals/Checklist.”

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 #Proposer's Submittals/Checklist. No Pricing shall be included in this part.

5. PRICE PROPOSAL: PRICE Proposal Submittal

Parties interested in responding are required to submit their Price Proposal separate from their Technical proposal through the City's eProcurement Portal as a "Cost File."

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. Price 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.

6. PRICE PROPOSAL: Price Proposal Submittal

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.

https://procurement.opengov.com/portal/pasadena/projects/39318?section=321022 https://procurement.opengov.com/portal/pasadena/projects/39318?section=321024 https://procurement.opengov.com/portal/pasadena/projects/39318?section=321022 https://procurement.opengov.com/portal/pasadena

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.

7. 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.

There is no Pre-Proposal Meeting for this RFP. Each bidder/proposer will have the opportunity to clarify and ask questions regarding the Specifications via email to the Project Contact. Please see Project Timeline for important deadlines.

8. 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.

9. 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 ,Temporary Employment Staffing Agency, 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/39318?section=321025

3. SCOPE OF WORK

1. Scope of Work

The Rose Bowl Operating Company (RBOC) is seeking to secure the services of a qualified Temporary Staffing (Employment) Agency to fulfill temporary staffing needs for the Rose Bowl Stadium and adjacent Brookside Golf Courses. Temporary staffing, for the purpose of this RFP, shall mean flexible, temporary staff support provided by an agency to meet specific business needs for seasonal, short-term or long-term assignments. Preference will be given to those firms who are able to provide staffing for a wide range of positions from general clerical to light maintenance.

2. General Requirements

1. The Proposer shall be required to provide the following services:

A. Payroll (All wages for employees and all related workers compensation insurance, federal and state wage taxes, including FICA and unemployment compensation taxes, CalPERS contributions, and all payroll matters including, without limitation, wage withholdings, garnishments and other IRS or governmental means and requests.)

B. Timekeeping (Ability to provide automated timekeeping and reporting which is integrated with Proposer’s payroll system. Monitoring/reporting of associate total hours, on demand.)

C. Training/Certification/Orientation

D. Order Processing

E. Hiring Processing

F. Quality Management

G. Service Guarantee

2. Description of Temporary Positions:

When the need arises, the RBOC would like to select from a pre-approved Vendor List to provide the candidates. Proposers should describe in detail the level and types of support and experience they can provide, including specific technologies and skills. Proposers should also include a schedule of various comparable employment and associated hourly rates. The following positions are anticipated to be needed:

A. Maintenance (General)

Under direct supervision, the employee performs routine maintenance of grounds and facilities.

Essential job functions include:

• Inspect site for damage, safety hazards, broken fixtures, etc.

• Repair broken and damaged fixtures using hand tools and machinery

• Paint

• Clean interior and exterior facilities

• Load and unload equipment and supplies

• Prepare site for events including loading, unloading and setting up tables, booths, tents, etc.

• Install and maintain landscape materials

• Perform routine grounds keeping including tree trimming and mowing

• Other related duties as assigned

2. Administrative Assistant (Receptionist)

Under direct supervision of the Executive Assistant/Office Manager, the employee greets the public at the administrative offices and performs a variety of routine office tasks. Essential job functions include:

• Greet the public at the RBOC administrative offices

• Answer calls

• Refer callers and visitors to appropriate RBOC staff

• Make appointments

• Respond to client, tenant, press box suite holders, and public inquiries requests for service

• Hear complaints and service problems and identify the appropriate personnel to handle the situation

• Maintain event room supplies and kitchen

• Perform clerical tasks such as data entry, filing, typing, mail processing, scheduling, timekeeping, records management, post meeting notices, prepare and deliver meeting packets, and schedule conference rooms

• Compile information and data for reports

• Receive, sort and distribute checks, mail, faxes, packages, etc.

• Process work orders and purchase requisitions

• Maintain finance books including requisitions, work orders, purchase orders

• Process and file account payable invoices

• Distribute, gather and process timekeeping records

• Maintain visitor log-in sheets

• Give tours

• Operate a variety of office machines

3. Guest Services

Under direct supervision of the Director of Event Management, the employee serves as an extension of the stadium, dealing directly with the public in most cases, communicating stadium policies, operations and other specific details pertaining to events. Essential job functions include, but are not limited to:

• Provide excellent customer service to all stadium guests, maintaining a friendly and outgoing demeanor for the duration of an event

• Ability to assist pre-week with various operational event related tasks and attend coordination meetings prior to the event, essential to being fully informed for an event

• Proactively engage with guests throughout the stadium, demonstrating a welcoming environment and offering assistance when needed

• Resolve guest issues as they arise, calmly and respectfully

• Assist guests with any stadium-related inquires in person or via phone, text messaging system, and online chat

• Speak loud and clear in front of crowds and groups of people, using a microphone and speaker system

• Keep detailed records of any questions, incidents, text message complaints and concerns, or feedback from stadium guests via 24/7 Software

• Maintain direct communication with stadium, janitorial and premium seating staff via radio communications

• Possess a high level of knowledge of the facility, familiarizing oneself with all activations, vendors and operations occurring within the stadium

• Provide a willingness to assist as needed in a variety of areas in the stadium, including office, parking lots, pavilion, gates, etc.

• Communicate Stadium safety protocols and guidance

• Assist in managing stadium ADA operations, including shuttles and wheelchair escorts

• Perform other related tasks as assigned

3. Special Contracting Terms & Conditions

Special terms and conditions to be considered for contracting services as a result of this RFP will include at a minimum, but not be limited to the following:

a. RBOC reserves the right to waive the use of the pre-approved Vendor List where, in its sole judgment, the RBOC’s best interests are served through more appropriate means.

b. All persons providing services under a contract must be employees of Contractor, except that subcontract employees may be used with the express written approval of RBOC.

c. Prior to any specific work assignment under a contract, RBOC must receive a resume for each employee proposed for a specific task.

d. Contractor personnel furnished under this solicitation must be capable of operating in RBOC environment as specified at time of contract negotiation.

e. All work completed by Contractor personnel will comply with published RBOC standards of procedure for the particular position at the time services are engaged.

f. No overtime (or other pay in excess of the stated hourly rate) will be allowed by the RBOC without prior written permission of RBOC.

g. Personnel may be released by the RBOC without notice at any time for any reason, including, but not limited to breach of security or unusual business conduct. The Contractor shall withdraw personnel released by the RBOC upon notification by the RBOC.

h. If a Contractor's employee who is assigned to a specific work assignment, requiring "start-up" training and/or learning curve prior to becoming fully effective, terminates before the work assignment is completed, the Contractor shall:

i. whenever possible assign a new employee to work with the terminating employee for a period of at least one (1) week; and

ii. not charge RBOC for the first two (2) full weeks of Contractor’s new employee's time. This condition does not apply if RBOC requested that Contractor’s employee be relieved of RBOC work assignments.

i. Contractor must screen available candidates in order to match technical skills and work experience with requirements of the RBOC job assignments, confirm candidate qualifications including: technical skills, experience, work habits, interpersonal skills, quality of work performed, etc., provide RBOC with resumes of screened qualified candidates (identifying skills, work experience, and education) and their charge rates.

j. Contractor will be responsible for the conduct of any temporary staff person placed with the RBOC. The RBOC, in its sole discretion, may request a drug screening of Contractor’s employee(s), at any time during their work assignment, the cost of which will be borne solely by the Contractor. If, at the sole discretion of the RBOC, a temporary staff person is determined to be unsatisfactory for any reason, the RBOC will not be charged for the period of unsatisfactory service.

4. Content & Format of Proposals

Consideration of a proposal by the RBOC is contingent upon the submission of the specified information. Failure to include any information item or to complete any form listed or referenced in this RFP may result in the disqualification of the proposal from consideration by the RBOC. Additional and supplement information may be submitted insofar as it pertains to and clarifies the data sought by this RFP.

Proposals, in order to be considered, must contain the following information and must be organized in the following manner:

A) Cover letter

This section is to include the name and address of the proposing firm and the name, address, telephone number and, if available, FAX number of the person(s) authorized to represent the firm.

B) Proposal Overview

This section should summarize the firm’s understanding of the RBOC’s proposal.

C) Firm‘s Attributes & Qualifications

This section shall describe the ownership, size, organization, expertise, resources and history of the proposing firm. Specifically, it shall include the name of the sole proprietor, or if a partnership or joint venture, the names of all individuals and firms that constitute the partnership or joint venture. It shall include a summary of the firm’s familiarity of and experience with temporary employment agency staffing, personnel management and local venue, stadium and arena operations or government contracts. Experience of three (3) years at a comparable organization to the Rose Bowl Stadium is required. This section shall include information detailing the financial ability of the firm to complete the contract. To this end, a financial statement, preferably audited, is desired. The financial statement should be submitted in a separate envelope, marked “confidential”. Additionally, this section shall include a list of all pending litigation against the firm or its owners and all final judgments which has been entered within the last five (5) years, information on the relevant circumstances, jurisdiction, case number and current status of said legal action; a list of any defaults or terminations for cause by the firm by a client over the last five (5)-years and information on the terms and conditions and reasons for these defaults or terminations.

D) Work Program and Management

This section shall include a detailed description of the type and level of services offered by the proposing firm. It shall include specific information on staffing levels, response to emergency requests, personnel selection, training and monitoring, task assignments and responsibilities, report types and schedules, uniforms and equipment. This section shall identify and provide background information (e.g. education, expertise and experience) on the personnel who will be involved with the administration of the RBOC’s contract.

5. Compensation

Fees and rates negotiated and made part of the contract document are to remain firm for the original performance period. For any renewal year, fees and rates may be adjusted to reflect changes in the Consumer Price Index (Urban Consumers Index for the Los Angeles — Anaheim;

Riverside Area or any successor index issued by the Federal Government) for the six (6) months immediately preceding the renewal year, in comparison to the previous year, but shall not exceed 3% annually.

Invoices and Payment:

A. Invoices are to be submitted no later than 30 days after services have been rendered.

B. All charges are to be identified by assignment, areas, hours, and reimbursable expenses itemized and listed separately.

C. Payment for the RBOC approved invoice will be paid within 30 days of receipt.

6. Stadium Investment

The successful proposer will be required to make an annual investment in premium seating inventory, stadium sponsorship or Legacy donor pledge consisting of a minimum annual cost of $6,250 (equal to the purchase of two (2) club seats for the UCLA Home Football season and Tournament of Roses, Rose Bowl Game).

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.

For each line item, the Unit Price is multiplied by the corresponding Quantity, and again by the corresponding Percentage to determine the Item Price. Vendors must provide a Percentage

Markup beginning with a Minus(-) in the Discount(%) Column. FOR EXAMPLE: if the hourly rate is $40.25 per hour, and the markup is 3%, the vendor should enter "-3" in the Discount(%) Column.

Line Item Description Quantity (Hours)

Unit of Measure

Unit Cost (rate per hour)

Discount (%) Total

1 Dispatched Associates Mark up

1,040 Percentage $25.00

2 Overtime Mark Up 1,040 Percentage $25.00

3 Doubletime Mark Up 1,040 Percentage $25.00

4 Meal Violation 520 Percentage $25.00

5 Sick Pay 520 Percentage $25.00

TOTAL

5. EVALUATION CRITERIA

Evaluation of the proposals will be based on a competitive selection process, in which the evaluation of proposals will not be limited to price alone. The capability of the proposer to satisfy the City requirements identified in the Scope of Services, and the experience of the proposer in providing services of this type, size and scope will also be considered in the selection. A minimum of five (5) years of experience providing similar services is required.

This RFP has been structured to provide specific requirements which function as a standardized framework for the evaluation of a prospective consultant’s qualifications.

The City, in consultation with the selection panel, reserves the right to reject any and all proposals. The selection panel will grade and score responsive proposals with the following criteria and weights: The competitive selection evaluation criteria are as follows:

No. Evaluation Criteria Scoring Method Weight (Points)

1. Experience Points will be assigned for “Experience with Projects of this Size and Scope in an Agency of Similar Size” based on a vendor’s previous experience with municipal agencies, as delineated in the SCOPE OF WORK, and CLIENT REFERENCES. Relevant experience, and technical expertise of the Consultant and sub- Consultants (if allowed) to perform the work.

Points Based 15 (21.4% of Total)

2. Quality of Proposed Product or Service Points will be assigned based on the Quality of Proposed Product or Service and on it's ability to met or exceed the Scope of Work. Nature and quality of completed work for other governmental agencies.

Points Based 15 (21.4% of Total)

3. Cost Proposal Points will be assigned based on a “Ratio Method.” The proposer’s cost must include the delivery of the proposed solutions, as well as any recurring costs (if any) as delineated in the Scope of Work and the PRICE PROPOSAL.

With this method, the proposal with the lowest cost receives the maximum points allowed. All other proposals receive a percentage of the points available based on their cost relationship to the lowest price. This is determined by applying the following formula:

Lowest Price / Evaluated Price X maximum points available = Awarded Points

Example: The cost for the lowest proposal is $100,000. The next lowest proposal has a cost of $125,000. The total points available for cost = 30 points.

( $100,000 / $125,000 ) X 30 = 24 points

Reward Low Cost 30 (42.9% of Total)

4. Local Pasadena Business To be awarded a 5 point preference for this category, the proposer must have an official business address within the City of Pasadena at the time that this RFP is posted on the City’s Website.

Pass / Fail 5 (7.1% of Total)

5. Small or Micro-Business To be awarded a 5 point preference for this category, the proposer must be certified by the State of California as a small or micro-business.

Refer to the State of California Department of General Services Division for further information.

https://caleprocure.ca.gov/pages/sbdvbe-index.aspx

Pass / Fail 5 (7.1% of Total) https://caleprocure.ca.gov/pages/sbdvbe-index.aspx

6. REVIEW AND AWARD RECOMMENDATION PROCESS

1. Review and Award

A screening committee will determine which proposals are responsive to RBOC/City requirements and needs. The technical portions of responsive proposals will be evaluated by a selection panel consisting of personnel from the RBOC. 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 RBOC 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.

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

Any contract resulting from this RFP, if $75,000 or more, shall not be effective until approved by the RBOC Board of Directors.

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 RBOC/City may utilize separate evaluation committees to review the Technical and Price elements.

https://procurement.opengov.com/portal/pasadena/projects/39318?section=321018

7. 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.

8. CITY REQUIREMENTS

There are of forms included in the section named Submittal/Checklist of these specifications which a bidder must complete to establish compliance with a number of City Requirements, including, but not limited to, equal employment opportunity and affidavit of non-collusion. These forms and their instructions should be considered an integral part of the specifications and failure to complete them may be grounds, in the sole discretion of the city, for rejection of any bidder.

1. Equal Employment Opportunity in Contracting

Policy - The City of Pasadena is committed to a policy of Equal Employment:

• Contracting. Contractors expressly agree to comply with the City’s ordinances and regulations regarding Equal Opportunity Employment as well as regulations that may be mandated by the source of the funds supporting this contract.

Compliance – To the extent permitted by law, Contractor expressly agrees to establish compliance with the Equal Employment Opportunity Practices Provisions of Chapter 4.08 of the Pasadena Municipal Code, and the Rules and Regulations adopted pursuant to said ordinance.

The successful bidder may be required to submit documentation during the term of the contract to evidence on going compliance with the City’s Equal Opportunity Practices Provisions. Such documentation may include, but not be limited to certified payroll records and Current Permanent Workforce Utilization reports.

Required Forms – Each bidder must submit a completed Form AA-1. Failure to submit this form will result in automatic disqualification with no exceptions unless bidder has an approved Form on file with the City.

Questions regarding Chapter 4.08 of the Pasadena Municipal Code and regulations adopted pursuant thereto should be directed to the Department of Finance, Purchasing Division 626.744.6755.

2. Declaration of Non-Collusion by Contractor

The City requires that each bidder executes and submits to the City with the Bid, the attached Declaration of Non Collusion in the #Bidder's Submittals/Checklist.

3. System for Award Management (SAM.Gov) https://procurement.opengov.com/portal/pasadena/projects/39318?section=undefined

Prior to contract award, the winning contractor must provide an active registration with "Sam.Gov." Vendors seeking to register can register for free at the following link:

https://sam.gov/content/entity-registration

4. CHANGE ORDER MANAGEMENTCHANGE 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 in writing before work is started.

5. Local Preferences

The City of Pasadena is committed to promoting the economic health and well being of its residents. To this end, contractor agrees to recruit Pasadena residents initially and to give them preference, if all other factors are equal, for any new positions that result from the performance of this contract and which are performed within the City.

6. Protest Procedure

This procedure specifies the process to be utilized by the City of Pasadena in resolving protests regarding this solicitation. In order for a protest to be considered by the City of Pasadena, it must be submitted in accordance with the procedures outlined in the FORMAL SOLICATION PROTEST PROCURE found at the following link: (https://ww5.cityofpasadena.net/finance/doing-business-with-the-city/). A protest submitted that is not in accordance with this procedure, may be returned to the submitting party without any further action by the City of Pasadena.

7. Pasadena Business License

Awarded bidder(s) may be required to obtain and pay for any required business license under Title 5 of the Pasadena Municipal Code.

• If the business will not come into the City for the purpose of providing services for this contract they are not required to obtain a business license.

• If the business will only be coming into the city no more than 10 times to work on projects, they are charged 33% of the annual tax (5.04.130C)

• If they come into the City more than 10 times they are required to pay the annual fee.

• Any subcontractors used by the awarded bidder will be required to obtain a license if they will be coming into the City to perform services.

For further information contact Municipal Services Department at (626) 744-4166, Monday- Friday between 7:15 am and 5:15 pm. Additional Information regarding business license fees can be found here: https://www.cityofpasadena.net/finance/licenses/business-licenses/

8. Invoice Submission Portal

Invoice Submission Portal https://sam.gov/content/entity-registration https://ww5.cityofpasadena.net/finance/doing-business-with-the-city/ https://ww5.cityofpasadena.net/finance/doing-business-with-the-city/ https://www.cityofpasadena.net/finance/licenses/business-licenses/

The invoice submission process is activated when an invoice is submitted through the Vendor Invoice Portal. Invoices submitted are automatically sent to the department being invoiced for review. Once the city department verifies its accuracy, the department will submit the invoice to Accounts Payable for payment processing. One final review and approval by the department who was invoiced is needed in order for a check to be issued.