Local Government Public Works Contracting Study CPARB Update

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Local Government Public Works Contracting Study– CPARB Update September 10, 2020 1

Local Government Public Works Contracting Study– CPARB Update September 10, 2020 1

Participation Ask • Need: Committee to discuss important themes from the survey • Time

Participation Ask • Need: Committee to discuss important themes from the survey • Time commitment: Five two-hour meetings over the period from May 2020 to September 2020 May 28 th June 25 th July 23 rd August 6 th August 27 th RAISING THRESHOLDS CREATING UNIFORMITY FOR THRESHOLDS SMALL BUSINESS INCLUSION MINORITY AND WOMEN OWNED INCLUSION WRAP UP 2

Approval Timeline August 27 th: Final committee meeting September 10 th: Presentation to CPARB

Approval Timeline August 27 th: Final committee meeting September 10 th: Presentation to CPARB Board September 24 th: Interview Feedback webinar October CPARB Board Meeting: Approval of recommendations • December CPARB Board Meeting: Final report approval • • 3

Voting Members • Andrew Thompson – Granite Construction (General Contractors) • Chris Herman –

Voting Members • Andrew Thompson – Granite Construction (General Contractors) • Chris Herman – Washington Public Ports Association • Jane Wall – Washington State Association of Counties • Jolene Skinner – L&I • Karen Mooseker – Mukilteo School District • Keith Michael – Forma Construction (General Contractors) • Kristin Hall – Snohomish PUD • Michael Transue – Mechanical Contractors Association 4

Public Works Committee Purpose • To review the public works contracting processes for local

Public Works Committee Purpose • To review the public works contracting processes for local governments, including the small works roster and limited public works processes, and create recommendations for efficiency to be presented to the CPARB Board. • This review will include the following: • Most common contracting procedures • Current public works contracting thresholds • Analysis of applying an inflation-based indicator and other potential threshold adjustments • Recommendations to increase uniformity and efficiency for local government public works contracting • Rates of participation for small and minority-and-women owned businesses and barriers to improving the participation rate 5

Supporting information 6

Supporting information 6

Below Statute SWR Re ry Di st t ric t Di st ric ist

Below Statute SWR Re ry Di st t ric t Di st ric ist lic Pu b ric t t. A ut ho Fa rit cil iti y es Pu bl Di ic st ric Ut t ilit Re y. D cla ist m ric at t io n Di st Sc ric Se ho t lfo l. D in su ist ra ric nc Tr t e an r isk sp or po ta ol tio W n at D er ist /S ric ew t er Di st ric t m en rt Po n io at t ric t Di st t ric st Di l. D tro rk Pa Co n cr e el op ev d ito an lit po ra Lib cy ge n y rit ho t t ric st Di ric st t y ist ric Di ta n ga tio en em Irr i re t cy nt Co u ut g. A ta l pi al th in us Ho ag qu an ic D bl Pu ks Pa r os M ro ca l et rlo M te In Ho s He ge na ai e Fir irs ric t Di st s. D vic e er l. S n , f Ci ty ge n r. A Ai tio va er n ea g/ Dr kin /D i od Flo na io at uc Ed ns Co Cl Ci ty t ric 1 91 ist y. D er et m Ce Current Expedited Process Structure Expedited Process Allowance by Government Type $400, 000 $350, 000 $300, 000 $250, 000 $200, 000 $150, 000 $100, 000 $50, 000 $0 Established by Policy 7

Defining Thresholds • Two primary public works thresholds • Bid Threshold • SWR •

Defining Thresholds • Two primary public works thresholds • Bid Threshold • SWR • Take a variety of forms across agency types 8

CCI Inflation Adjustment Small Works Threshold adj. for Inflation (Seattle Metro CCI 10 Yr

CCI Inflation Adjustment Small Works Threshold adj. for Inflation (Seattle Metro CCI 10 Yr Avg) $600, 000 Small Works Roster Threshold $500, 000 $400, 000 $350 K $364 K $379 K $394 K $410 K $426 K $443 K $461 K $479 K $499 K $300, 000 $200, 000 $100, 000 $0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 9

Resources for ensuring bidding requirements 13 24 74 117 142 RESOURCES FOR ENSURING BIDDING

Resources for ensuring bidding requirements 13 24 74 117 142 RESOURCES FOR ENSURING BIDDING REQUIREMENTS MET Hire outside consultant/inspector In-house personnel Rely on contractor Outside counsel (L&I, MRSC, neighboring city, mentor) Other 10

Public Works Project Notification Source 13 18 35 39 42 58 PUBLIC WORKS PROJECT

Public Works Project Notification Source 13 18 35 39 42 58 PUBLIC WORKS PROJECT NOTIFICATION SOURCE Daily Journal of Commerce Small works roster Local newspaper Agency websites PTAC or other small agency support listserv/website Other 11