PARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT: Job Order Contract for Federally Funded Projects
SUMMARY:
An ordinance authorizing the execution of a Job Order Contract (JOC) with Alpha Building Corporation in an amount not to exceed $2,000,000.00 through March 31, 2021. This contract has the option to be renewed for three, one-year extensions in the amount of $2,000,000.00 annually for a total amount not to exceed $8,000,000.00. Job Order Contracting (JOC) is an alternative project delivery method for incidental demolition, construction, repair, rehabilitation, alteration, and deferred maintenance on City-owned or leased buildings, or other facilities of interest to the City. This purchase meets the requirements under the terms of the Texas Local Government Purchasing Cooperative (a.k.a. the “Buyboard”) agreement adopted by the City of San Antonio by Ordinance No. 97097 on January 30, 2003.
When federal funds are expended there are specific requirements that the City must adhere to when conducting procurements. The Finance Department monitors City procurements to ensure compliance when federal funds are being used as a source of payment. The Buyboard solicited the contract with Alpha Building Corporation to be in compliance with the latest federal requirements. This contract will be utilized exclusively when federal funds are being expended.
BACKGROUND INFORMATION:
This ordinance authorizes a contract with Alpha Building Corporation through Buyboard Cooperative Contract 581-19 for City departments to utilize when federal funds are expended. The current Job Order Contracts awarded by the Public Works Department do not include additional requirements required by the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards, 2 CFR Part 200, applicable to expenditure of federal funds.
Job Order Contracting (JOC) is an alternative project delivery method for construction, renovation, rehabilitation and maintenance projects and provides project services based upon an agreed upon standard price utilizing the RSMeans, the most recognized source of construction cost data in the United States. JOC is recognized as an ideal project delivery method to complete multiple small-to-medium size repair and renovation projects quickly and efficiently.
ISSUE:
The Public Works and Aviation Departments have existing Job Order Contracts but do not contain terms and conditions required for the expenditure of federal funds. This ordinance authorizes the execution of a Job Order Contract with Alpha Building Construction utilizing Buyboard cooperative contract in an amount not to exceed $2,000,000.00 annually. Job Order Contracting is an alternative project delivery method for construction, renovation, rehabilitation and maintenance projects in City facilities. City Council approval is required for projects utilizing Job Order Contracting over $100,000.00.
The Small Business Economic Development Advocacy (SBEDA) Ordinance requirements were waived due to the lack of small, minority, and/or women businesses available to provide these goods and services.
The initial term of this contract begins upon award through March 31, 2021. Three additional one-year renewals at the City’s option will also be authorized by this ordinance.
ALTERNATIVES:
Should this contract not be approved, federally funded construction and renovation projects would have to be individually bid adversely affecting the timely completion of projects.
FISCAL IMPACT:
Funds are not encumbered by this ordinance. All expenditures will be in accordance with each department’s adopted budget. The total cost of this contract cannot exceed $2,000,000.00 annually. Use of this contract will be limited to federal grant funded projects.
RECOMMENDATION:
Staff recommends approval of the contract with Alpha Building Corporation utilizing Buyboard Cooperative contract number 581-19 for federally funded projects in an amount not to exceed $2,000,000.00 annually.
This contract was procured through cooperative purchasing and a Contract Disclosure Form is not required.