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HomeMy WebLinkAboutItem 9 PPP 04-04-18 Operations Committee - Ordinance Update �vio fob Xi ibm PURC A ORDINANCE UPD A mr ow^ —. _ wrai HIGHLIGHTS OF THE NEW ORDINANCE • Raises thresholds on master contracts to address the high volume and projected increases in repair and engineering projects • Further defines the roles and responsibilities for procurement processes and contract administration • Allows for smart contracting by extending the life of capital assets through smaller, faster repair projects instead of large capital projects BID/AWARD THRESHOLD CHANGE - GOODS AND SERVICES CURRENT • Less than $5,000 — one quote required • Greater than $5,000 — 3 quotes required PROPOSED • Less than $ 10,000 — one quote required • Greater than $ 10,000 — 3 quotes required BENEFITS TO BID/AWARD THRESHOLD CHANGE • Accelerates the procurement process for all departments. • Supports OCSD's planned maintenance environment by accelerating procurements for preventive and corrective maintenance work. • Aligns OCSD with other notable agencies. MASTER CONTRACTS AND TASK ORDERS • Request For Proposal ( RFP) competitive process is conducted for Master Contracts • Board of Directors approves the Master Contracts • Task Orders originating from the Master Contracts are competitively bid or proposed per policy • The General Manager approves the award of the low bid Task Orders up to the amount authorized t in the Purchasing Ordinance BID/AWARD THRESHOLD CHANGE - MAINTENANCE & REPAIR TASK ORDERS CURRENT • Task Order award maximum : $100,000 • Includes base award + any change orders PROPOSED • Task Order award maximum : $300,000 • Includes base award + any change orders • Requesting General Manager authority to approve and award task orders, including change orders up to $300,000 • All new Task Order procurements between $50,000 and $300,000 will be reported to the Board of Directors on a quarterly basis BENEFITS TO BID/AWARD THRESHOLD CHANGE • Assists OCSD's operating departments by accelerating the completion of planned and future projects, while maintaining competition . • Increases the amount of projects that can be completed using these Task Orders by over 40%. • Allows for bundling of small projects to reduce project costs and maximize staff resources. BID/AWARD THRESHOLD CHANGE - PROFESSIONAL DESIGN SERVICES CURRENT • Master Contract(s) maximum = $400,000 per year • Work < $200,000 = Accelerated Task Order Proposal Process • Work > $200,000 = Extensive Proposal Process PROPOSED • Master Contract(s) maximum = $600,000 per year • Work < $300,000 = Accelerated Task Order Proposal Process • Work > $300,000 = Extensive Proposal Process • General Manager authority to approve and award task orders up to $300,000 • Ability to select 1 firm for work < $25,000 BENEFITS TO BID/AWARD THRESHOLD CHANGE • Assists OCSD's Engineering department by accelerating the completion of current, planned, and future projects, while maintaining competition. • Will attract additional needed Engineering consultants. • Master Contract threshold increase ensures availability of qualified firms for the streamlined task order award process versus the extensive formal process. QUESTIONS