Prequalification
in 2014
Cate Boskoff
cboskoff@ohslegal.com
Nancy Taylor
ntaylor@ohslegal.com
Orbach Huff Suarez & Henderson LLP
The New Law
PCC § 20111.6 per AB 1565
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Some Basics on the New Law:
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Mandatory: (b) .. [D]istrict shall require … each prospective
bidder … submit …a standardized questionnaire and financial
statement [“[Prequal Forms]”… must be verified under oath
and shall not be public records.
$1m State-Funded Projects: (a) [P]ublic projects, [using state
funds] … that involves a projected expenditure … $1,000,000
or more …
After Jan. 1, 2014: (m) This section shall apply to contracts
awarded on or after January 1, 2014.
2019 Sunset: (o) … inoperative on January 1, 2019, and, as of
July 1, 2019, is repealed.
The New Law
PCC § 20111.6 per AB 1565
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More on the New Law (Emphases added):
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Uniform: (c) … uniform system of rating bidders on
the basis of the completed [Prequal Forms]…
Ten Days: (f) [Bids can only be accepted from entity
that has submitted its Prequal Forms “at least ten
business days prior to the date fixed for the public
opening of sealed bids” and has been prequalified for
at least five business days prior to that date.”
Quarterly or Annual Process: (g) [D]istrict may
prequalify[ ] prospective bidders … on a quarterly or
annual basis and may …be considered valid for up to
one calendar year …
The New Law
PCC § 20111.6 per AB 1565
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And Yet More on the New Law (Emphases
added):
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DIR form’s Issues: (d) The [Prequal Forms]… and the
uniform system … shall cover, at a minimum, the issues
covered by the standardized questionnaire and model
guidelines … developed by the Department of Industrial
Relations...
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DIR Report in 2018: (n) [DIR shall report on evaluation
of violations of the Labor Code pre and post enactment
on or before January 1, 2018].
The New Law
PCC § 20111.6 per AB 1565
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Subcontractors Under the New Law:
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GC and MEP Subs: (i) … “bidders” shall include the general
contractor and, if utilized, all electrical, mechanical, and
plumbing [“[MEP]”] subcontractors.
Prequal List: (j) If … project … includes [MEP] components
that will be performed by [MEP] contractors, a list of
prequalified general contractors and [MEP] subcontractors
shall be made available by the … district to all bidders at least
five business days prior to … opening of sealed bids.
“MEP” Defined: (k) MEP subcontractors are subcontractors
holding the following license classifications: C-4, C-7, C-10, C16, C-20, C-34, C-36, C-38, C-42, C-43, and/or C-46.
Subcontractor Prequalification: MEP or All?
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PCC § 20111.6 states that all electrical,
mechanical and plumbing subcontractors
must be prequalified.
Some Districts prequalify all subcontractors
on large projects .
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WCCUSD proposes prequalification of subs
holding contracts in excess of $500,000.
WCCUSD Prequalification
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Trade Contractors and Subcontractors required to be
prequalified before submitting a bid for a Major Project.
(Major Project: project in excess of ten million dollars,
$10,000,000.)
Bidding to perform any subcontract work in excess of
$500,000 on a Major Project.
Trade Contractors and Subcontractors not required to be
prequalified if bidding to perform subcontract work on
District projects less than $500,000.
Trade Contractors/Subcontractors Prequalification:
Evaluation Process - Major Essential Criteria
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Minimum of two (2) DSA approved Public School Construction within
past five (5) years with a contract value of more than $350,000.
Previous project experience similar in work and scope for the past five
(5) years.
No Default, Bankruptcies or Receivership within the past five (5) years.
No Disqualifications, Disbarments, Non-Responsibility Determinations
within past five (5) years.
Claims against firm or filed by subcontractor against public agency (case
by case basis).
Audited or reviewed Financial Statements for the past three (3) years.
Submit a complete packet.