The Bidding, Procurement &
Selection Process
Board Study Session
Monday, June 25, 2007
Eric Hall
4/13/2015
Capo USD, Bidding, Procurement &
Selection Process
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Key Questions
1.
2.
3.
4.
5.
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What are the requirements for competitive
bidding?
What are the stages in the bidding process?
What are the various bid structures available
to the district?
What are the requirements/practices for the
selection of Contracts for Special Services?
What is the district’s philosophy?
Capo USD, Bidding, Procurement &
Selection Process
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Bid Limits
Formal bids are required in all cases
where supplies, equipment, and services
exceed the State mandate under Public
Contract Code. Bids required for:
 Public
work projects that meet or
exceed $15,000 involving labor; and
 Projects where materials and/or
equipment exceed $69,000.
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Recent Bid Approvals

Provide/install book lockers at Aliso Niguel
HS, Aliso Viejo MS, Newhart MS
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Example: Bid # 06-07-21, May 7, 2007
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Bid price = $301,350
Artificial turf at San Juan Hills HS
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Example, Bid # 06-07-12, April 2, 2007
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Bid price = $2.095 million
Newhart Middle - 2 story modular classroom
grading and site work
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Example Bid # 06-07– 26, June 4, 2007
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Bid price = $1.93M
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Bid Process: Pre-Bid Stage
Preparation is Critical !
1.
Identify need for materials or services;
2.
Identify that a Budget has been developed
and approved and that funds are available;
Determine scope of work;
3.
4.
Develop specifications to meet scope of
work;
5.
Request Board approval to go out for bid;
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Bid Process: Bid Stage
6. When appropriate Utilize OCDE
general bid documents;
7. Include specifications;
8. Establish bid opening date and time;
9. Advertise for two weeks in a journal of
general publication.
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Specifications – Finding the Balance
Require high caliber contractors

Proven ability to perform public works or specific to school work?

Ability to respond to district’s needs

Equipment and labor force sufficient for size of job
But……encourage and Include all capable contractors

Keep contact information on all contractors that have expressed interest

Encourage contractors to bid

Answer Request For Information (RFI) expediently and clearly
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Bid Stage: Pre Selection
1.
Open bids at the place, time, and date
advertised (open to the public);
2.
Review documents to determine bidder
is qualified, see below;
3.
Tabulate bid prices submitted;
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Bid Stage: Pre Selection
4.
5.
Confirm contractor licenses
Board Approval

6.
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Example, HVAC equipment Del Obispo Elem
& RH Dana ENF Bid #06-07-23, June 4 board,
$587k)
Agreement signed, notice to proceed
and purchase order issued.
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Bid Stage: Pre Selection

Bids submitted must be sealed

Bids must be received at the designated
place and time

Bid openings are open to all interested
parties

Bids must meet definition of “responsive”
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Bid Stage: Selection Criteria
Items submitted by bidders (with bid)
 Bid bond
 Bid form
 Designation of subcontractors
 Information required of bidder
 Certification of participation of Disabled Veteran
Business Enterprise (DVBE)
 Non-collusion affidavit, notarized
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Bid Structures
General Contractor Bid
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Typically used for construction projects
Architectural plan and specification issued
to bidders
Mandatory pre-bid conference and/or job
walk conducted
Sub-contractors listed
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Bid Structures
Unit Price Bids



Used when the volume of work or
materials required is not known
Bidders provide a per-hour rate for
specific trade, apprentice, and laborer
Bidders provide prices based on a
specific unit of measure
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Bid Structures
Unit Price Bids
 Possible work that may occur during the
year-used to secure price in advance
 Used for –
Emergency repairs – Montano Plumbing
 Supplement labor force – PRB Construction
 Specialized work – Hardy & Harper Paving
 Materials – California Electrical Distributors

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Bid Structures
Extensions of Bids
 Allowed by Education Code 17596

Labor bids may total five years; One year
contract may be extended for 4 additional
years.

Material and supplies bids may total four
years; One year contract maybe be extended
for 3 additional years.
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Bid Structures
Extension of Bids
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May be in the best interest of the district
Contractor knowledge and experience
Prices are secured, 10% cap on increases
Extensions may be good business decision
Efficient use of staff time
District must consider the need to ‘pass the
work around’.
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Bid Structures
Extension of Bids

Is Competition restricted?

Is there a potential for better price?

Does an extension limit the district?
 New and different processes
 New and better contractors
 A fresh approach to services
 New contractors moved into the field

Speaks to the need to balance extensions with new bids
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Bid Structures
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Piggyback Bids
Allowed by PCC 20118 and 20652
Equipment and materials only
Contract items are identical to
CUSD specifications
Saves time and money
Economies of scale
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Selection Process
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Bid Structures
Common Types of Piggyback Bids

General Services Agency (GSA) - Federal

California Multiple Awards Schedule
(CMAS) - State

Other public agencies, such as county,
state, and other school districts
Co-ops, used in Food Services

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Bid Structures: Piggyback Bids

Bids generated by CUSD, others have used:

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Musical instruments
Audio visual equipment
Flooring
Shade Structures
Bids generated by others CUSD has used:
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Classroom furniture
Computers
Gasoline
Buses
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Selection Process
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Special Services Contracts:
Guidelines and Procedures
1.
2.
3.
4.
5.
6.
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Government Code section 53060 creates an
exception to competitive bidding laws
Special services and advice:
financial
economic
accounting
engineering
legal
textbooks, library books, etc.
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Selection Process
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Special Services Contracts:
Guidelines and Procedures
The district can solicit under a Requests
for Proposals (RFP) format,
 Or, The district can solicit under a
Request for Qualification (RFQ) format.
 RFP’s include pricing, schedule and
terms, RFQ’s ask for only qualifications
 Or, The district can look for providers of
services by asking for simple quotes.

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Special Services Contracts:
RFP’s & RFQ’s
The RFP or RFQ Process

District solicits for goods or services

District spells out desired outcome

Proposals provide solutions to desired outcome

Award based on criteria that best meets desired
outcome
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Selection Process
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Special Services Contracts:
Recent Approvals
Recently approved RFP/RFQ’s include:

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Architectural services
Copier improvement program
Parent notification system
Planning/relocation mgmt services
Superintendent search firm
Capo USD, Bidding, Procurement &
Selection Process
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Special Services Contracts:
What’s included?
Proposals often include:
A Not to Exceed (NTE) price
Terms, monthly, annual, renewals
Insurance coverage
Names of reps working with us
All Agreements approved by Board
Purchase orders issued
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May encumber the entire amount
Budgetary Cash flow may suggest incremental p.o.’s
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Selection Process
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Summary:
What have we covered?




Limits
Stages
Bid Specs
Structures





General Contract
Unit Rate/Price
Piggy Back
Extensions
Contracts for Special Services and Advise

RFP’s, RFQ’s or simple quotes
And now two questions for consideration…….
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Discussion
Each District must determine its bidding
philosophy based upon the board’s policy….
and the recommendations of staff.
Two Discussion Questions for consideration:
1.
2.
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What is our bidding philosophy?
How can we improve the selection process?
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Thank You !!
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