Public Works

Public Works contracts are defined as work which involves the erection, construction, alteration, painting, repair or improvement of any state (CSU) structure, building or road.

TERMS AND CONDITIONS

Bidders should familiarize themselves with the Trustees' General Provisions which apply to all public works bids. Failure to adhere to the standard terms and conditions may result in a non-compliant bid. Modifications to the General Provisions based on individual project needs; will be included in the Supplemental Conditions.

FINANCIAL PREQUALIFICATION

Required on all public works bid with an estimated value of $300,000. The University may require financial prequalification on projects estimated less than $300,000. The Financial prequalification is performed by the Office of the Chancellor.

PUBLIC WORKS BENCHMARK

$ 5,000+ require Payment & Performance Bonds
$ 10,000 Project designation
$ 25,000 Bid Bonds are required
$ 610,000 or less Minor Capital Outlay
$ 610,000+ requires full advertisement
$ 610,000+ Major Capital Outlay
$ 610,000 requires Financial Pre-Qualification
$ 610,000 max. on project and/or all related JOC POs

ADVERTISING

The University advertises for all public works projects with an estimated value of $250,000 or more in the following publications:

California State Contracts Register (CSCR) which may be reached via the web at http://www.dgs.ca.gov/dgs
Compliance News
Daily Journal

BONDS - BIDDER'S SECURITY

A bid deposit is required on all bids which exceed $25,000. The bid security must be in an amount equal to at least 10% of the base bid and all additive alternates. The bid security may be a cashier's check or a certified check made payable to the Trustees, or a bidder's bond. Personal checks will not be accepted and will render the bid non-responsive. Bid proposals received without a bid security enclosed in the sealed enveloped will not be considered.

If the bid security is a bond, it shall be executed by a surety insurer authorized to issue surety bonds in the State of California, and shall be executed on the Trustees form.

RETURN OF BIDDER'S SECURITY

The bidder's security of the second and third lowest bidders may be withheld from such bidder until the contract has been finally executed. The bidder security submitted by all other unsuccessful bidder shall be returned to them within 10 days after the contract has been awarded, and their bidder's bonds shall be of no further effect. (Public Contract Code, Section 10784).

PAYMENT AND PERFORMANCE BOND

Prior to the execution of a contract, with a total monetary amount in excess of $5,000, the successful bidder shall furnish a payment bond and performance bond in an amount equal to at least 100% of the original contract price. Such bonds shall be on an approved Trustees Bond Form and shall be executed by an admitted corporate surety insurer licensed in the State of California.

FAILURE TO EXECUTE CONTRACT

Failure to execute the contract within the time set forth in the General Conditions shall be sufficient cause for voiding the award and for forfeiture of the bidder's security. A bidder who forfeits its bid security shall be prohibited from participating in further bidding on the project (Public Contract Code, Section 5105).

Failure to file acceptable bonds or certificates of proper insurance or to comply with other requirements within the time set in these conditions shall constitute failure to execute the contract.

If the successful bidder refuses or fails to execute the contract, the University may award the contract to the next lowest bidder.

CONTRACT AMENDMENTS / CHANGE ORDER

Because the University has obtained payment and performance bonds in the amount of 100% of the original contract price, the University shall not be responsible for any additional bond costs.

References

CSU System-wide office of Physical Planning & Design: http://www.calstate.edu/cpdc/
Public Contract Code: http://california.findlaw.com
State License Board: http://www.cslb.ca.gov/

COMPETITIVE METHODS FOR PUBLIC WORKS PROJECT COMPLETION

1. SB/DVBE OPTION (Up to $250,000) - utilizing prequalified contractors

2. JOC

3. MINOR BID Up to 634,000)

4. FULL ADVERTISED BID (Over $634,000)

SB / DVBE OPTION - PROJECTS FROM $5K-$250k UTILIZING PREQUALIFIED CONTRACTORS

In order to utilize this method, all bidding participants must be certified small businesses or certified DVBE with the State of California. In addition, DVBE participation (minimum 3%) is required of the small businesses.

(ICSUAM 5215.0) "For construction contracts, campuses may award a contract that has an estimated value of greater than $5,000, but less than $250,000, the cost limit as identified in Public Contract Code Section 10105, notwithstanding advertising or bidding requirements, to a certified small business, including a micro-business, or to a disabled veteran business enterprise, as long as written bids are obtained from two or more certified small businesses, including microbusinesses, or from two or more disabled veteran business enterprises. In implementing this provision, the Trustees shall consider a responsive offer timely received from a responsible certified small business, including a micro-business, or from a disabled veteran business enterprise as referenced in Government Code Section 14838.7"

JOC

1. Facilities shall identify project and submit JOC paperwork to Procurement

2. Procurement will submit JOA, NTP, and PO to JOC contractor