presented by mike coppa architect / engineer procurement process chapter 3 construction and...

Presented byMike Coppa

Architect / Engineer Procurement Process

Chapter 3

Construction and Professional Services Manual

September 15, 2012

General Policy on Procuring A/E Services

Virginia Public Procurement Act, §2.2-4300 to 2.2-4377

State policy is to contract with a single firm:◦ Firm may have full ”in-house” capability, or

◦ Firm may subcontract for other disciplines

Person having overall responsibility:◦ Must be a licensed Architect or Professional Engineer

◦ Shall be registered/licensed by the Virginia Department of Professional and Occupational Regulation (DPOR)

Procurement of Related Services

• Professional Services:– Architects, Engineers– Surveyors– Geotechnical engineers

• Nonprofessional Services:– Cost Consultants– Testing services– Project administrators– Inspectors/clerk of the works– Value Engineering Services

Project Scope of Work

Identify:

◦Services required

◦Criteria/limitations/parameters

◦Describe the product(s) expectedReference applicable standards:

◦Construction & Professional Services Manual (September 15, 2012)

◦Applicable VUSBC edition, now 2009 Edition

◦Applicable accessibility standards, now 2010 ADA Standards for Accessible Design, published September 15, 2010

◦NCAA, JCAHO, & others

Advertisements for Professional Services

• Agency Procurement Office Notice Bulletin Board

• Legal Notice, Statewide Newspaper

• Electronically via eVA

– eVA website is: http://eva.virginia.gov

– What is eVA? – Electronic Procurement– How do I Register? – See eVA Website

Find solicitationsand awards

ADDRESS: http://eva.virginia.gov

Registeras a newVendor

Seecurrent

TransactionFee

Schedule

eVA Supplier Transaction Fees (as of 05/01/2012)

eVA Registered, DMBE-Certified Small Businesses    

0.75%, Capped At $500 Per Order

eVA Registered Businesses That Are NOT DMBE Certified Small Businesses

  0.75%, Capped At $1,500 Per Order

Businesses That Are Not eVA Registered But Agree To Pay The Transaction Fee

  0.75%, Capped At $1,500 Per Order

Registration

• Architect/Engineers desiring to provide services to the Commonwealth must:

• sign up with eVA to be awarded contracts

• pay the appropriate transaction fees

Benefits

Benefits

Single Vendor Registration - register one time

Push Technology - notification of business opportunities

Single Source - one place to access business

opportunities and procurement information

Electronic Ordering- standardization to do business with

electronic commerce efficiencies

Requests for Proposal (RFP)

Identify:

◦General nature of the project

◦Architectural and engineering services sought

◦Factors which will be used for evaluation

◦Unique capabilities/qualifications demanded

◦Method for negotiation of fees

◦SWaM criteria consistent with the Agency SWaM plan

RFP will NOT ask proposers to furnish cost or manhour estimates with their “qualification” proposals

Small Businesses and Businesses Owned By Women and Minorities (SWaM)

• Proposals with Fee > $100,000:– RFP response should describe past efforts to

utilize services from these types of firms– Failure to do so will be non-responsive– See formats on Forms Center

• Contracts with Fee > $100,000– Periodic involvement reports are required– Final actual involvement report is required

• Executive Order # 33 (2006)– Agencies should refer to this Order for policy

directives on SWaM participation

Standard Formats for Responses to RFPs

A/E Firm Data Forms:◦Standard formats for responding to RFPs

reduce effort/expense by A/E to respond to RFP provide uniform format for Owner’s evaluation

◦Use of these standard formats is REQUIRED◦Electronic versions are available from the

DGS Forms Center◦Firms interested in Emergency and Small

Purchase Procurements should file generic copies with targeted agencies

A/E Firm Data Forms:

• AE-1 Synopsis of Responding Firm• AE-1a Continuation Page for Form AE-1• AE 2 Consultants/Other Office Data• AE-3 Project Staffing Plan• AE-4 Personnel Qualifications• AE-5 Representative Project Data• AE-6 Supplemental Information

( these forms are in Excel format )Open AE Data Forms

Standard Formats for Responses to RFPs

Qualifications Based Selection of A/E’s

Post Public NoticeIssue RFPReceive & Evaluate ResponsesSelect A/E’s Fully Qualified and Suited for

the ProjectInterview and determine “Best Suited” A/E Request Fee proposal and negotiate scope

of work and associated feePost Notice and Award Contract

Agency Building Committee

• VCCO• Owner - Facilities Management• Owner - Operations and Maintenance• End User• OAG and BCOM participate only when

requested by the Agency, but:– BCOM representative participates on

Design Build and Construction Management panels

– OAG representative provides guidance to Building Committee.

Notice of Intent to Award

• Once fee negotiations are complete, the Agency shall post a Notice of Intent to Award (or Notice of Award, if award has been approved.

• Notice must be provided a minimum of 10 days prior to award of the contract at the place the Agency normally posts notices.

• Agency must also post Notice on their website and on DGS’s central procurement website - eVA

General Procedures for A/E Selection

Category A, Emergency Selection Procedures◦ for bona fide emergencies

Category B, Small Purchase Procurement◦ for services with total fee < $50,000

Category C, Standard Professional Procedures◦ for services with total fee > $50,000◦ may be used for smaller fee contracts

Term Contracts◦ for multiple small projects◦ one year period

Category A - Emergency Selection

Agency head provides written determination of emergency and designates selection committee

If services are not available from an A/E under a Term Contract, contact one or more capable firms

Negotiate with selected firm to provide work on a LUMP SUM or UNIT COST (hourly rate) basis with a “NOT TO EXCEED” amount

File signed CO-3.2 with BCOM, noting that work is being awarded on an emergency basis

Open CO-3.2

Category B - Small Purchase (fees < $50,000)

• Agency shall advertise/post notice at least once a year requesting qualifications from interested A/Es

• RFQ format should be similar to an RFP• Require A/Es to provide forms AE-1 to AE-6• Agency should allow A/Es to update forms

and accept them on a continuing basis• Sort forms by qualifications/capabilities• May consider “Set Asides”• Identify firms which are “fully qualified”• Select not less than 3 firms to interview

Category B - Small Purchase (cont’d)

• Conduct telephone or personal interviews• Consider qualifications, workload, location,

capabilities, past performance, SWAM certification, and other factors

• Consider number and value of prior contracts

• Rank order A/Es relative to the above factors• Negotiate fee using COMPETITIVE

NEGOTIATION procedures• Award contract and post notice of same• File signed Form CO-3.2 with BCOM

Category B - Small Purchase( fees < $5,000 )

• If total fee will be less than $5,000, VCCO is allowed under the “small purchase” process to contact only one firm from the list of fully qualified A/Es who have expressed an interest

• Repeated selection of the same A/E firm under the “small purchase” process is not allowed

• Consider SWAM Certification & qualifications

Category C - Standard Procedures (fees > $50,000)

• Draft an RFP using the content described earlier

• Advertise/post using the media described earlier

• Receive, evaluate, and rank the proposals

• Look up the A/E’s on the DPOR website to verify proper registration and license

• Look up the A/E’s on the DPS website to assure that they are not enjoined or debarred

Category C - Standard Procedures (fees > $50,000)

• Assure top ranked firms are “fully qualified”

• Select not less than 3 of the top ranked firms for interviews

• Conduct the interviews, avoiding discussion of fees, rates, design costs, etc.

• After the interviews, re-rank the firms based upon interview responses, prior data submitted, references, past performance, and suitability

Category C - Standard Procedures (cont’d)

Negotiate fee using COMPETITIVE NEGOTIATION procedures◦ Compliance with CPSM requirements is not negotiable◦ Hourly rates must be provided for additional services

If an agreement cannot be reached with the A/E, negotiations must be terminated in writing prior to moving on to negotiations with the next firm

Award contract and post notice of sameFile signed Form CO-3 and the associated MOU

with BCOM

Open CO-3

A/E Interviews

• Schedule interviews• Agenda: 5 - 25 - 15 -

5 • Hear from:

– Project Manager– Key Designer

• Focus on approach to THIS PROJECT

• Questions / clarifications

• Why should we select you?

Term Contracts(Code of Virginia, §2.2-4301,

Competitive Negotiations)

Term Contracts

Effective/useful tool for:◦Planning and scoping for projects◦Maintenance projects◦Small renovations◦Emergency situations◦Multiple small projects

Limitations:◦one-year term, plus 4 one year renewal options◦do not use for any project exceeding

$2,000,000 in total project cost

Term Contracts (cont’d)

RFPs:◦ An agency may issue separate RFPs for similar work◦ An agency may have several term contracts,

however, only one term contract may be awarded to any one firm

◦ An A/E under term contract with an Agency is not prohibited from responding to single project RFPs issued by the Agency

◦ Agency must treat each RFP separately --- responses, evaluations, Selection Panel interviews

◦ Multiple contract awards from a single RFP are allowed if stated in the RFP.

Project Order/Contract Award:– 1st Project Order shall be issued at contract

execution

– There is no guarantee that additional orders will be issued during the contract term

Project Order Fees:◦ lump sum basis◦ if lump sum not feasible, hourly basis with a “not-to-

exceed” amount◦ fee for any single Project Order shall not exceed

$200,000◦ aggregate total of fees for all Project Orders shall not

exceed $1,000,000 in a Term.

Term Contracts (cont’d)

Contract Term:◦ Relates to the period in which new Project Orders may

be issued◦ Calculated as the earlier of:

one year from the date of the A/E Term Contract, or when the cumulative total of fees for all Project

Orders reaches the maximum fee amount, or when the Contract is terminated in writing by the

owner◦ When the “term” has concluded, no new Project

Orders may be issued by the Owner or accepted by the A/E, however, all existing Project Orders shall survive beyond the term until the work is completed

Term Contracts (cont’d)

Renewals:◦ are allowed only if option to renew was indicated in RFP◦ are at the sole discretion of the Owner◦ are allowed for 4 additional one year terms ◦ the Renewal Contract Term begins on the earlier of:

when Agency exercises option at end of term year or

when Agency exercises option to renew because dollar limit is approached

◦ a new aggregate limit of $1,000,000 applies, regardless of the amount of Project Orders issued during previous term

◦ any unused amounts from previous term are forfeited and do not carry over into the next term

Term Contracts (cont’d)

• Draft an RFP using the content described earlier

• Advertise/post using the media described earlier

• Receive, evaluate, and rank the proposals

• Look up the A/E’s on the DPOR website to verify proper registration and license

• Look up the A/E’s on the DPS website to assure that they are not enjoined or debarred

Term Contracts Selection Procedure

• Select not less than 3 of the top ranked firms for interviews

Conduct the interviews, avoiding discussion of fees, rates, design costs, etc.

After the interviews, re-rank the firms based upon interview responses, prior data submitted, references, past performance, and suitability

Negotiate with the selected A/E:◦ special terms and conditions

◦ hourly rates

◦ offer first Project Order for fee proposal

Term Contracts Selection Procedure (cont’d)

• After receipt of fee proposal for first Project Order, negotiate fee and, if successful, award Contract

• If an agreement cannot be reached with the A/E, negotiations must be terminated in writing prior to moving on to negotiations with the next firm

• Award contract• File signed contract (Form CO-3.1), the

associated MOU, and the initial Project Order (Form CO-3.1A) with BCOM

Open CO-3.1 Open CO-3.1A

Term Contracts Selection Procedure (cont’d)

Miscellaneous

• BCOM is available to provide assistance to agencies

during the A/E procurement process

• Copies of the standard forms (CO-3, 3.1, 3.1A, and

CO-3.2) are available on the DGS “Forms Center”.

• The Terms and Conditions of the AE Contract (CO-3a)

shall be made a part of all contracts for professional

services.

• Neither the Forms nor the Terms and Conditions may

be modified without the approval of Agency’s legal

council and the Director of DEB.

Presented byMike Coppa

Architect / Engineer Procurement Process

Chapter 3

Construction and Professional Services Manual

September 15, 2012