Local Government Public Works Contracting Study
This study provides recommendations for ongoing maintenance and considerations relating to public works contracting in local government, including adjustments to statutes, removal of retainage requirements, and the creation of centralized lists and programs for disadvantaged businesses.
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Presentation Transcript
Local Local Government Government Public Works Public Works Contracting Contracting Study Study Update Update 1
Recommendations Unanimous / Policy # Recommendation Vote Status Ongoing maintenance Considerations 1 Adjust Port District and Irrigation District Small Works Roster Statutes to refer to RCW 39.04.155 Unanimously in favor No Someone appointed to review statute language for Port and Irrigation districts 5 Remove retainage and bond requirements for projects under $5,000 Unanimously in favor No Someone appointed to review which statute to update. 8 Define small business in the public works contracting statute Unanimously in favor No Identify which statute to update and develop language definition 2
Recommendations Unanimous / Maint. # Recommendation Vote Status Ongoing maintenance Considerations 6 Create a centralized list of rosters Unanimously in favor Yes How will this be implemented? Who will maintain this? Commitment from agencies to keep updated Determine if set in statute or other mechanism 7 Create list of certification/registration programs for disadvantaged businesses Unanimously in favor Yes How will this be implemented? Who will maintain this? Commitment from issuing agencies to keep updated 10 Coordinated schedule for significant outreach events between public agencies and other stakeholders Unanimously in favor Yes How will this be implemented? Who will maintain this? Commitment from agencies to keep updated 3
Recommendations Not Unanimous / Policy # Recommendation Vote Status Ongoing maintenance Considerations 3 Expand the no-bid response process to all agencies Yes: 6 No: 1 No Define process to avoid misuse Revisit current authorization to align with this implementation 4 Give unit price contracting authority to all public agencies Yes: 5 Abstain: 1 No: 1 No Define process to avoid misuse Revisit current authorization to align with this implementation 4
Recommendations Not Unanimous / Maint. # Recommendation Vote Status Ongoing maintenance Considerations 2 Tie Small Works Roster threshold increases to state-wide inflation factor based on CCI Yes: 4 Abstain: 1 No: 2 Yes Expansion of SWR a concern for some business entities Define process for five-year inflation increase 9 CPARB update to supplemental bidder responsibility guidelines Yes: 3 No: 4 Yes Is funding required for this effort? Define scope of update 11 Provide professional assistance to local government for contracting guidance and marketing and outreach to contractors Yes: 3 No: 4 Yes Define scope of support Two lines of support (agency and business) Concern about creating new resources to implement this Identify current available resources 5
Review thresholds below statutory designation Review structure of current types of local government Impact of a master statute Review consolidation of county thresholds Increase base SWR threshold amount Evaluate advertisement requirements for formal competitive bids (i.e. Newspapers vs. other forms) Review impact of centralized state-wide roster Determine potential program for sub-contractors to express interest in projects Evaluate possibilities for electronic solicitations for all competitive bidding (only available for SWR) Expand data collection efforts by L&I (contract types) and OMWBE (participation rates) through a sustained funding model Identify how State and OMWBE studies relate to local government Potential Future Studies
Current Expedited Process Structure Expedited Process Allowance by Government Type $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 $0 Below Statute SWR Established by Policy 8
Defining Thresholds Two primary public works thresholds Bid Threshold SWR Take a variety of forms across agency types 9
CCI Inflation Adjustment Small Works Threshold adj. for Inflation (Seattle Metro CCI 10 Yr Avg) $600,000 $499K $479K $500,000 $461K $443K $426K Small Works Roster Threshold $410K $394K $379K $400,000 $364K $350K $300,000 $200,000 $100,000 $0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 10
Resources for ensuring bidding requirements RESOURCES FOR ENSURING BIDDING REQUIREMENTS MET 142 117 74 24 13 HIRE OUTSIDE CONSULTANT/INSPECTOR IN-HOUSE PERSONNEL RELY ON CONTRACTOR OUTSIDE COUNSEL (L&I, MRSC, NEIGHBORING CITY, MENTOR) OTHER 11
Public Works Project Notification Source PUBLIC WORKS PROJECT NOTIFICATION SOURCE 58 42 39 35 18 13 DAILY JOURNAL OF COMMERCE SMALL WORKS ROSTER LOCAL NEWSPAPER AGENCY WEBSITES PTAC OR OTHER SMALL AGENCY SUPPORT LISTSERV/WEBSITE OTHER 12
