Item Coversheet

CITY OF HOUSTON - CITY COUNCIL

Meeting Date: 2/9/2016
ALL
Item Creation Date: 11/24/2015

Q25536- Small Contractor Rotation Program - ORDINANCE

Agenda Item#: 17.


 
                               
Summary:

ORDINANCE awarding contract to ALLY GENERAL SOLUTIONS LLC, CASTEC CONSTRUCTION LLC, GCI SOLUTIONS LLC, KENALL, INC, OZ BUILDING CONTRACTORS, INC, POSEY’S CONSTRUCTION & DEVELOPMENT, INC, PRESTON BANKS CONSTRUCTION COMPANY LLC, PMG PROJECT MANAGEMENT GROUP LLC, SKE CONSTRUCTION LLC, and TEXAS PRIDE UTILITIES LLC as part of the Small Contractors Rotation Pilot Program - 2 Years - $3,294,000.00 - Enterprise and DDSRF Funds

Background:

Request for Qualifications for S63-Q25536: Approve an ordinance implementing a two-year Small Contractors Rotation Pilot Program and awarding ten (10) contracts to pre-qualified contractors for small construction categories of work for the Department of Public Works and Engineering.

 

Specific Explanation:
The Director of the Department of Public Works & Engineering and the City Purchasing Agent recommend that City Council approve an ordinance implementing a two-year Small Contractors Rotation Pilot Program and awarding  ten (10) contracts to pre-qualified contractors for small construction categories of work for the Department of  Public Works and Engineering. The pre-qualification will allow the participating construction contractors an opportunity to bid on work orders, each with a maximum value of $25,000.00.  The City Purchasing Agent and/or Director of the Department of Public Works & Engineering may terminate the contract at any time upon 30-days written notice to the contractor. 

   
The purpose of the Small Contractors Rotation Program is to:

1. Enable small contractors to compete for City business while strengthening its ability to obtain financing and bonding;

2. Build capacity of contractors that are already in the relevant trades and wish to gain experience in City Work and;

3. Qualify contractors that have an established business, and have the necessary experience to perform small jobs. Jobs to be performed will be located within the “Houston Metropolitan Area”.

The scope of work requires contractors to provide all labor, materials, equipment, supervision and transportation required to perform the category of work as awarded. The pre-qualified contractors in the rotation program will perform work in designated categories, which includes asphalt repair, concrete panel replacement, curb and gutter repair, wheelchair ramps, sidewalk repairs, point repairs, restorations, small diameter waterline repairs and other related work.

The City of Houston has established partner relationships with various financial institutions and bonding companies to assist with contractor development as follows:

• The financial institutions will provide financial training and coaching to the participating contractors at the onset of and throughout the rotation program. In addition to training and coaching, the financial institution will provide funds to the contractor within three days after receiving written proof of payment authorization from the City of Houston (COH). Each participating contractor will select a financial institution with whom to do business. Thereafter, the contractor will sign a “Notice of Assignment” authorizing the COH Controller’s Office to make payment directly to the corresponding financial institution.

• The bonding company will provide financial training and coaching to the participating contractors at the onset of and throughout the rotation program. The bonding company will vet the participating contractors for bonding upon successful completion of the program or at any other time deemed appropriate by the bonding company.

The required training for the pre-qualified contractors will include three (3) 4-hour sessions at the onset of the rotation program. These sessions will be conducted by partnering banks and the bonding company, as well as COH departments as appropriate. The ongoing coaching, while mandatory, will take place throughout the rotation program in a manner that will allow the contractors to continue working and enhancing their performance history.

The Request for Qualifications (RFQ) was advertised in accordance with the requirements of the State of Texas bid laws, and as a result, responses were received from eighteen (18) firms: Ally General Solutions LLC, PMG Project Management Group LLC, Texas Pride Utilities LLC, SKE Construction LLC, MBN Enterprises LLS, Westco Ventures LLC, Posey's Construction & Development, Inc., Kenall, Inc., OZ Building Contractors, Inc., GCI Solutions LLC, Castec Construction LLC, Preston Banks Construction Company LLC , Agape Grace LLC, McCrory Engineering, Thompson Construction Structure, My Pressure Wash Guy LLC, As Sparkle Mobile Detail–Lawn, and Convenience Innovations. The Evaluation Committee consisted of representatives from the Department of Public Works and Engineering and the Office of Business Opportunity. The responses were evaluated based on the following criteria:

A. Responsiveness
     Firm’s compliance with all submissions requirements and commitment to comply with all contract requirements if awarded a contract.

B. Technical Competence


1. Demonstrate SBE, MBE or WBE certification(s), and is listed in the City of Houston Office of Business Opportunity directory of certified companies.

2. Qualifications of Firm and construction experience necessary for the satisfactory performance of City projects as evidence by relevant projects and past performance.

3. Demonstrate the firm’s possession of the technical equipment necessary to perform the relevant category of work or have the ability to obtain the equipment.

4. Quality of proposed management plan to manage quality and timely completion of work orders.

5. Qualifications of key personnel and their experience performing maintenance type construction work including but not limited to asphalt repair, concrete panel replacement, curb, and gutter repair, ADA wheelchair ramps, sidewalk repairs, point repairs, restoration, small diameter waterline repairs, and similar work on other successfully completed projects.

6. Demonstrate a minimum of (two) 2 years of relevant experience with the public sector or at least five (5) years of experience in private sector work. Relevant experience is maintenance type construction work including but not limited to asphalt repair, concrete panel replacement, curb and gutter repair, ADA wheelchair ramps, sidewalk repairs, point repairs, restorations, small diameter waterline repairs and similar work on other successfully completed projects.

7. Financial Capacity - Past performance as contractor on other projects as it relates to the firm's ability to successfully administer, manage, schedule, and coordinate projects in order to control cost, quality, and comply with work order requirements.

Ally General Solutions LLC, Castec Construction LLC, GCI Solutions LLC, Kenall Inc., OZ Building Contractors, Inc., Posey's Construction & Development, Inc., Preston Banks Construction Company LLC, PMG Project Management Group LLC, SKE Construction LLC, Texas Pride Utilities LLC received the highest ratings and were deemed the best qualified to meet the requirements of the RFQ.

Hire Houston First:
The proposed contracts require compliance with the City's 'Hire Houston First' (HHF) ordinance that promotes economic opportunity for Houston businesses and supports job creation.  In this case Ally General Solutions LLC, Castec Construction LLC, GCI Solutions LLC, Kenall, Inc., OZ Building Contractors, Inc., Posey's Construction & Development, Inc., Preston Banks Construction Company LLC, PMG Project Management Group LLC, SKE Construction LLC, and Texas Pride Utilities LLC are designated HHF companies, but they were the successful awardees without the application of the HHF preference.

 

Attachment:  M/WBE zero-percentage goal document approved by the Office of Business Opportunity.

 

 

                                                           Estimated Spending Authority

Department

FY 16

Out Years

Total

Public Works & Engineering

1,129,000.00

2,165,000.00

$3,294,000.00

 

 

 

__________________________________                ___________________________________

Calvin D. Wells, City Purchasing Agent                     Department Approval Authority Signature

Finance/Strategic Procurement Division

 

Amount of Funding:

$3,000,000.00  Dedicated Drainage & Street Renewal Fund (2310)

$   294,000.00  Water & Sewer System Operating Fund (8300)

___________

$3,294,000.00  Total

Contact Information:

NAME:

DEPARTMENT/DIVISION

PHONE

David Guernsey, Assistant Director

PWE

(832) 395-3640

Angela Aaron, Manager

PWE/SBDG

(832) 395-2493

Brenda Chagoya, Division Manager

FIN/SPD

(832) 393-8723

     
ATTACHMENTS:
DescriptionType
RCA#Q25536- Various supplliesSigned Cover sheet
M/WBE Wavier Backup Material