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G.7 - UPCCAA Presentation GTPublic Projects and Maintenance Work Procurement PRESENTED BY ADRIAN R. GUERRA, CITY ATTORNEY Default/Current Requirements for Public Projects The Public Contract Code strictly requires formal bidding for all public projects costing $5,000 or more. ◦“Public project” includes the erection, improvement, painting, or repair of public buildings and works; street or sewer work except maintenance or repair; and furnishing supplies or materials for any such project, including maintenance or repair of streets or sewers. Formal bidding includes a noticing inviting bids that must be published at least 10 days prior to bid opening. Maintenance Work Requirements “Maintenance Work” is included in the Public Contract Code’s default definition of “public project” except for “maintenance or repair” of streets or sewers. ◦This means that all maintenance work must be let by formal bidding unless it is (1) less than $5,000 or (2) “maintenance or repair” of streets or sewers. “Maintenance or repair” of streets of sewers would be governed by Chapter 3.24 of the Grand Terrace Municipal Code, which requires: ◦$10,000 or less: open market procedure by seeking 3 informal quotes ◦Greater than $10,000: formal notice inviting bids procedures (comparable to Public Contract Code requirements). Uniform Public Construction Cost Accounting Act The Uniform Public Construction Cost Accounting Act is an alternative method of public project procurement. Primary differences are as follows: ◦Changes the definition of “public project” so that “maintenance work” is not included. ◦Provides different cost thresholds for bidding. Uniform Public Construction Cost Accounting Act “Public project” is similarly defined as the general Public Contract Code definition; however, the Act excludes “maintenance work.” ◦This means that maintenance work need not go through Public Contract Code’s default bidding procedures. Maintenance work includes the following: ◦Routine, recurring, and usual work for the preservation or protection of any publicly owned or publicly operated facility for its intended purposes ◦Minor repainting. ◦Resurfacing of streets and highways at less than one inch. ◦Landscape maintenance, including mowing, watering, trimming, pruning, planting, replacement of plants, and servicing of irrigation and sprinkler systems. Uniform Public Construction Cost Accounting Act The Act also provides the following thresholds for bidding: ◦$60,000 or less may be performed by City employees by force account, by negotiated contract, or by purchase order. ◦Public projects greater than $60,000 but less than $200,000 may be contracted through informal bidding procedures set forth in the Act, which includes providing a notice inviting bid to a “contractor lists”. ◦Public projects of more than $200,000 must be contracted through traditional formal bidding procedures. Proposed Ordinance Consistent with the Act, the Proposed Ordinance would do the following: ◦Utilize the Act’s bidding thresholds. ◦Utilize the Act’s informal and formal bidding procedures for public projects. ◦This includes the use of contractor’s lists for informal bidding. ◦Generally require “maintenance work” to be performed pursuant to the Act’s requirements. ◦“Maintenance work” is normally not subject, but would benefit from the Act’s procedures. Recommendation 1.Adopt a Resolution of the City Council of the City of Grand Terrace electing to become subject to the Uniform Public Construction Cost Accounting Act. 2.Conduct first reading by title only and waive further reading of an Ordinance Adding Chapter 3.26 To Title 3 And Amending Section 3.24.060 of Chapter 3.24 of Title 3 of The Grand Terrace Municipal Code, which establish procurement procedures for Public Projects, pursuant to the Uniform Public Construction Cost Accounting Act, and for Maintenance Work.