Job Order Contracting (JOC) ITB 16-14204-JE

Overview August 2016

Job Order Contracting (JOC)

• What is JOC?

• Using general and specialty trade contractors to perform a series of projects on an as-needed basis.

• What is JOC typically used for? • Small to medium repair and renovation projects

• Who does JOC apply to?

• Qualified general, electrical, mechanical, roofing, and painting contractors.

JOC at Jackson Health System

• In use at JHS since May 2009

• More than $59.4 million in work ordered through the program

• Over 663 Individual job orders

• To accomplish work, individual Job Orders are issued to contractors against an awarded contract.

• Average job order: $89,622

JOC Program

• A Job Order Contract (JOC) is a competitively bid, firm fixed priced, indefinite quantity contract.

• The JOC Program expedites the solicitation process to accomplish a substantial number of individual projects with a single contract.

• Participation in the JOC Program ensures minimum payment but not a minimum amount of projects.

JOC Program - Efficiency • Time Savings – Speed to Market

• Faster Procurement – Weeks Instead of Months

• Based on Owner-Contractor Partnership

JOC Program Small Business Opportunities

• Increases use of local, small and underutilized businesses

• Approved Miami Dade County small business participation measures will require primes to use multiple local subcontractors.

• Faster payment, and less red tape

• SBE-CONS goals on JOC Program – There are 12 opportunities

• 8 SBE-CONS Set-Asides • 4 Open Market

JOC Program – ITB 16-14204-JE Contract Identifier Contract Type Market

Patient Care/ Clinical Area

Experience Required

Minimum Guaranteed

Contract Value

Estimated Annual Contract Volume

Max. Contract Duration (Years)

Payment & Performance

Bonding (Each)

GC-01 General Construction Open Market (30% SBE-CONS Subcontracting Goal) Yes $20,000 $4,000,000 5 $2,000,000

GC-02 General Construction SBE-CONS Level 2 Set-Aside Yes $20,000 $3,000,000 5 $1,500,000

GC-03 General Construction SBE-CONS Level 2 Set-Aside No $20,000 $2,000,000 5 $1,000,000

EC-04 Electrical Construction Open Market Yes $20,000 $2,000,000 5 $1,000,000

EC-05 Electrical Construction SBE-CONS Level 2 Set-Aside Yes $20,000 $1,000,000 5 $500,000

EC-06 Electrical Construction SBE-CONS Level 1 Set-Aside No $20,000 $1,000,000 5 $500,000

MC-07 Mechanical Construction Open Market Yes $20,000 $2,000,000 5 $1,000,000

MC-08 Mechanical Construction SBE-CONS Level 2 Set-Aside Yes $20,000 $1,000,000 5 $500,000

MC-09 Mechanical Construction SBE-CONS Level 1 Set-Aside No $20,000 $1,000,000 5 $500,000

RC-10 Roofing Construction Open Market No $20,000 $1,000,000 5 $500,000

RC-11 Roofing Construction SBE-CONS Level 2 Set-Aside No $20,000 $1,000,000 5 $500,000

PC-12 Painting Construction SBE-CONS Level 1 Set-Aside No $20,000 $1,000,000 5 $500,000

JOC – Contract Identifiers

• Each Contract Identifier has a unique

• Contract Type

• Market

• Patient Care/Clinical Area Experience Requirement

• Maximum Estimated Annual Contract Volume

• Payment & Performance Bonding

• Contractors may bid on one or more Contract Identifiers

• It is the intent of JHS to award a minimum of one contract for each Contract Identifier

How Does JOC Work?

Contractor bids on specific Contract Identifier

Contract Identifier GC-02

GC-02 Contract Identifier awarded to lowest responsive,

responsible bidder(s)

Contractor is awarded Job Orders on an as-

needed basis

Job Order Process

• Joint Scope Meeting with owner, contractor, and others to

define the detailed scope of work

• Owner issues JOC Request for Proposal (RFP) for the agreed upon detailed scope of work

• Proposal Development - Typical proposal will be due 2 weeks from JOC RFP

• Proposal Review

• Issuance of Work Order

Total time goal: Average 3-5 weeks

• Accelerated procurement phase – “speed to market”

• Lump sum fixed pricing

• Non-adversarial owner-contractor joint scope development process

• Contractor performance drives volume

• Responsible Wage Rates apply to all job orders

Key Points

• Register on Jackson Supplier Portal to receive, review, and respond to JHS solicitations

http://www.jacksonhealth.org/vendors-supplier-portal.asp

• The JOC Solicitation will be advertised on the Jackson Supplier Portal.

Supplier Portal

1 . 1 921 0. 8345 1. 2878 0.2576 1. 1800 0. 1180 1. 2106

1 2 1 0 6

Bid - Forms

One Point Two One Zero Six

Determines winning bidder(s) AND

Used to price individual Job Orders

Price proposal total becomes the lump sum Job Order amount

X X =Unit Price Quantity Adjustment Factor

Total Job Order Price

Total for Task

X X =Unit Price Quantity Adjustment Factor Total for Task

X X =Unit Price Quantity Adjustment Factor Total for Task

$$$$

Bid - Adjustment Factor

• Must bid 3 Adjustment Factors:

• 2 Adjustment Factors must address the Construction Task Catalog (CTC)

• 1 Non Pre-Priced Task (Not in the CTC)

• Each Adjustment Factor is weighted

• Award will be made to the lowest weighted Adjustment Factor(s) from a responsive, responsible bidder(s)

Bid - Adjustment Factor

• Construction Task Catalog (CTC) • Catalog of pre-priced construction tasks • Based on local labor, material and equipment costs • The tasks represent the “Scope of Work” for the contract • Typical task (CSI Specifications Division Format)

Bid - Contract Documents

Bid Submittal Forms

In addition to the Bid Form, bidders must also submit:

- Invitation to Bid Submittal Form

- Acknowledgement of Amendments and signed copies of all formal Amendments.

- Florida Trench Safety Act Compliance Statement

- Bid Bond (or other form of Bid Security acceptable to the Trust) in the amount of $20,000.

- Small Business Enterprise-Construction (SBE-CONS) Status, if applicable

- Contractor’s Qualification Statement and all required attachments

Bid Submittal • Complete “Bid Package” enclosed in sealed packaging with the

following clearly marked on the outside: – Bidder’s name and return address – Contract Identifier – Bid title – Bid opening date

• For each Contract Identifier bid, submit in a separate envelope:

– One (1) Original Bid Package – One (1) duplicate copy – Bid Security

Bid Submittal • If more than one Contract Identifier is bid, a separate and

distinct bid package is required for each Contractor Identifier.

• Submit the complete bid package for all Contract Identifiers via Supplier Portal http://www.jacksonhealth.org/vendors-supplier-portal.asp

• The original $20,000 Bid Bond will need to be delivered to

1500 NW 12th Avenue Suite 814 Miami, FL 33136 Attention: John Ellis, III

John Ellis III Senior Procurement Contracting Officer Jackson Health System Procurement Construction Department 1500 NW 12 Ave, Suite 814 Miami, FL 33136 Phone: (305) 585-2243 Fax: (305) 355-6719 Email: john.ellisiii@jhsmiami.org

Contracting Officer