CONDUCTED FOR CONTRACTORS
BY
ANGELA Y. WORSHIM-MCCLOUD
DEFINITION
• Obtains the agreed rate for the time and materials to be charged, a maximum
amount not to be exceeded prior to starting work.
"A" LETTERS
TIME AND
MATERIAL
• “A” LETTER – NOT TO EXCEED
• Establishes a total price for work to be performed.
FIXED PRICE "B" • “B” LETTER – SUBCONTRACTORS PROHIBITED (if applicable)
LETTERS WITH
PREDETERMINED
SCOPES OF WORK
A/B LETTERS ARE…
PUBLIC PROJECT
CONSTRUCTION
SERVICES
• Under $15,000 maximum
• Painting and repainting,
alteration, improvement,
demolition, renovation,
erection, construction,
reconstruction and repair
MAINTENANCE AND
EQUIPMENT REPAIR
• $83,400 maximum –
adjusted annually by the
State Superintendent of
Public Instruction
• Routine, recurring and
usual work
 Environmental (Asbestos and/or Lead)
 Advertising
 Bid & Award
 Verification of Lowest Responsive Biddder’s
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Documentation
Subcontractor Verification (if applicable)
Contract/Award
Documents for Director’s Approval
Construction Documents
Contract Closeout
Angela Y.
Worshim-McCloud
Best Flooring Around Company
(310) 555-5555
(310) 555-5557
aworshim@bfac.com
None
 Informal contracts over $15,000 require a performance bond; those under
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$15,000 do not require bonding.
Prevailing Wage applies to ALL CONTRACTS $15,000 and over, applied to the
contract price, which means that subcontractors also pay prevailing wage,
regardless of their portion of the contract amount.
Usually a specialty license is required depending on the type of project.
The District's Informal projects require $1,000,000 in comprehensive General
Liability insurance and auto insurance through a California-admitted
Insurance Company with an A-VII or higher rating, according to the A.M. Best
Company standards. OCIP is NOT provided on Informal Contracts.
The minimum State Worker's Compensation Insurance.
All specialty contracts that exceed $20,000, and are funded in whole or in part
by monies from local bonds, are subject to the Project Stabilization Agreement.
All contractors are required to be safety pre-qualified prior to bid award
and they must comply with the safety standards. For additional
information and/or a Safety Pre-Qualification Questionnaire, contact LAUSD
Safety Pre-Qualification section at (562) 654-9007/(562) 654-9311 or at
http://www.laschools.org/contractor/cc/pq/.
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A/B COVER LETTER
SCOPE OF WORK, PLOT PLAN AND SPECIFICATIONS (if applicable)
BID ENVELOPE 
BID FORM 
 Telephone /Fax  Bid Form (bids under $15,000)
 Sealed Bid Form (bids $15,000 and over)
NOTICE TO BIDDERS RE: INSURANCE & BOND REQUIREMENTS
NOTICE TO BIDDERS RE: SAFETY PREQUALIFICATIONS
CERTIFICATION OF INSURANCE FORM
PREVAILING WAGE CERTIFICATE (bids $15,000 and over)
CODE OF ETHICS POLICY
LEAD RESULTS (if applicable)
ASBESTOS RESULTS (if applicable)
PERFORMANCE BOND FORM (bids $15,000 and over)
PROJECT STABILIZATION AGREEMENT/LETTER OF ASSENT (if applicable)
SUBCONTRACTORS LIST (if applicable)
SAMPLE A/B LETTER
SAMPLE NOTICE OF COMPLETION
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a. Introduction and Background
Attendees Sign Meeting Attendance Sheet.
b. Introductions (OAR, DR, CPM, Labor Compliance, Contractor)
c. Define Roles And Responsibilities of OAR, DISTRICT REPRESENTATIVE and CONTRACTOR
Safety and Health
a. Review Roles and Responsibilities for Site Safety.
b. Review Workplace Conduct
c. Alcoholic Beverages Are Not Permitted on the Project Site.
d. Contractor to Ensure Employees Are Dressed Properly and Not Use Profane Language.
e. No Tobacco Use is Allowed on OWNER Property.
f. Restrict Operations Areas and Traffic Control
g. Contractor Shall Provide Proper Flagmen when Impacting Street Traffic and Crossing Sidewalks, and Whenever Driving
on Site.
h. Construction Debris Shall Not Accumulate and Shall be Removed Offsite Daily by Contractor.
i. Barricades to be Installed as Required to Insure the Safety of Pedestrian.
j. Contractor to Control and Mitigate Dust Caused by Construction Activity as Required by Contract Documents.
Environmental
a. Review CONTRACTOR’S Proposed Usage Of Hazardous Materials.
b. General Hazardous Material Handling.
c. Asbestos and Lead Reports; Coordination with Environmental Consultant (If applicable)
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Construction
a. Review Contract Scope of Work.
b. Temporary Facilities
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i. Lay Down Area and Storage Areas
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ii. Trash Removal (offsite)
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iii. Site Access (including deliveries)
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iv. Parking Availability (On & Off-site, Restrictions, Etc.)
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v. Housekeeping
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vi. Security
 vii. Contractor’s Normal Working Days
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c. Coordinating Work Areas with Others
 i. Coordination of Project Work with School Administrator
 ii. Coordination of Project Work with Other School Site Projects/Contractors
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d. Telephones – DO NOT USE SCHOOL DISTRICT PHONES!!!!
e. Permits – Offsite Improvement Permit (BC Permit) & Inspection/Approval Requirements (if applicable)
f. Quality Control and Inspection
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PSA Agreement (Contract > $20,000 and Bond Funded)
a. DISTRICT REPRESENTATIVE shall review PSA Agreement regarding:
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Construction Schedule and Progress Reporting
a. Critical Work Sequencing
b. DISTRICT REPRESENTATIVE proposed date for Construction start is
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Testing and Inspection
a. Calling for Inspection by DISTRICT REPRESENTATIVE.
Contractor Payments (If progress payments apply)
a. Review of Applications for Payment Process
b. Progress Payment Schedule and Progress Measurement
Contract Management
a. Correspondence
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i. Contractor Shall Send All Correspondence to the DISTRICT REPRESENTATIVE
b. Contract Compliance
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i. Contractor/Subcontractors (if applicable) to Review Contract Documents Prior to Starting Work.
c. Claims Process
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i. Contractor Must Submit Claims To:
Los Angeles Unified School District
Executive Officer of the Board
333 S. Beaudry Avenue, 24th Floor
Los Angeles, CA 90017
VERIFICATION OF LOWEST
RESPONSIVE BIDDER’S
DOCUMENTATION
 California State License Board
 http://www.cslb.ca.gov/
 Click on “check status”
 Safety Pre-Qualification
 http://www.laschools.org/contractor/cc/pq/
 Click on “Safety Prequalification Log”
 Contractor’s Insurance
 http://www.ambest.com/
 Register, sign-on
http://www.ambest.com/
Prevailing Wage Certificate
Is
Contract
$15,000 or
More?
Notice to Public Entity
Yes
Weekly Certified Payroll
Performance Bond
Is Contract
BondFunded &
$20,000 or
More?
Yes
Is
Contract
$30,000 or
More?
Yes
OAR electronically files the
PWC100 with the Division
of Apprenticeship
Standards, which is a
Division of Labor
Standards Enforcement
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A/B LETTER DRAFT
B LETTER CHECKLIST
BID TAB
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