16.1
Generally. Construction-related procurement shall comply with state and
federal law and this chapter in addition to the other provisions of the
Procurement Code and Rules.
16.2 State Law Requirements
for Construction. Procurement shall comply with the state laws referenced
below, and all construction-related procurement and contracts shall comply with
the following:
A. Bidding Laws - When Applicable.
Construction contracts must be bid under state law when they constitute the
following: (UCA §
11-39-101)
1. Building Improvements. Contracts in
excess of $49,975.00, or an adjusted sum allowed by state law, for the
construction or repair of a public building or structure (not including
construction or repair at an international airport).
2. Public Works. Contracts in excess
of $156,180.00, or an adjusted sum allowed by state law, for the construction of
a park or recreational facility; or a pipeline, culvert, dam, canal, or other
system for water, sewage, storm water or flood control (but not including the
replacement or repair of existing infrastructure on private property, or
construction or repair at an international airport).
3. Special Street Requirements. Any class (B) or class (C) road construction with a cost exceeding $156,180.00 (adjusted as allowed by state law) for labor, equipment and materials must meet the requirements stated in 16.2E. 1, 2, 3 and 4. These requirements do not apply to contracts for crack sealing, patching, or work incidental to work for curbs, gutters and subsurface structures.
B. Bidding Laws - Minimum
Requirements. At a minimum, bid processes must include the
following.
1. For building improvements or for public
works as defined above, the City must create plans, specifications and a cost
estimate.
2. If the cost estimate exceeds the bid
limits stated in section 16.2(A) above, then the City must publish notice at
least twice, and at least five days before bid opening.
3. The City must enter a contract with the
lowest responsive and responsible bidder, which means a prime contractor who has
submitted a bid in compliance with the City's invitation, plans and
specifications; is the lowest bidder that satisfies the City's criteria relating
to financial strength, past performance, integrity, reliability and other
factors used by the City to assess the contractor's ability to perform fully and
in good faith; has furnished a bid bond or equivalent in money; and furnishes a
payment and performance bond as required by
law.
4. The City may reject any or all bids
submitted. Procurement shall not be manipulated to avoid these
requirements. If the City solicits twice and receives no satisfactory bid
under these requirements, the City may proceed as
appropriate.
5. These requirements do not apply to
emergency repairs (as defined by state law), projects with costs estimated to be
below the bid limits stated in section 16.2(A), or the conduct of the City's
departments. Special requirements apply for Class B and C road
construction (See Section 16.2(E) below and UCA § 72-6-108,
109).
C. Contractor Licensing.
When evaluating any construction-related bid, the following shall
apply:
1. To receive a contract award, a contractor
must be licensed in the State of Utah at the time of submitting a bid with an
appropriate license to perform the work. See also: UCA §
58-55-13.
2. The City may impose other licensing
requirements, and when appropriate, may regard a lack of subcontractor licensing
at the time of the general contractor's bid as a matter relating to the
responsibility of the general
contractor.
D. Contracts. The following shall
apply to any construction
contract:
1. Bonds. Construction contractors
must deliver performance and payment bonds for the full contract price. A
Procurement Official may waive this requirement after consultation with
the City Attorney's Office if bonds are unnecessary for the protection of the
City. See also: UCA §§ 63-56-38, 14-1-18 to
20.
2. Withheld or Retained Payments. The
City may withhold payments for poor performance or other work-related
reasons. Special requirements apply to retainage, where sums are withheld
as security under the contract. To implement retainage, first consult with
the Attorney's Office.
E. Special Streets Requirements. Any
class B or C road construction with a cost exceeding $125,000 (adjusted as
allowed by state law) for labor, equipment and materials must meet the
requirements stated below. These requirements do not apply to contracts
for crack sealing, patching, or work incidental to work for curbs, gutters and
subsurface structures.
1. Construction and maintenance must be made
pursuant to plans, specifications, and
estimates.
2. Notice of a bid must be published in a
newspaper of general circulation in the county where the work is located at
least once a week for three consecutive weeks. The City has the right to
reject any and all
bids.
3. The City will make an award to the lowest
responsive and responsible bidder. The person to whom the contract is
awarded is subject to all the provisions of the state procurement code, Title
63, Chapter
56.
4. The work must be prepared and performed
under the direct supervision of a registered professional engineer, who must
certify to the City that the project conforms to the design and construction
standards currently adopted by the American Association of State Highway and
Transportation Officials. UCA §§ 72-6-108,
109.
16.3 Construction Management. The City shall have
flexibility to address the City's needs when procuring and managing
construction.
A. Selection of Management Type. A
Procurement Official shall select the type of construction management that will
protect and benefit the City in light of the City's needs and resources.
Factors to consider may
include:
1. The type of contract that is
appropriate. Factors relating to contract selection are stated in
Procurement Rules §
9.2.
2. The need for and availability of outside
consultants.
3. The experience, qualifications and
availability of City personnel assigned to the
project.
4. Requirements related to project
financing.
5. The needs of the
project.
6. The administrative burden imposed by the
method selected.
B. Types of Construction Management.
The Procurement Official may select any combination of the following
construction management methods, or other methods, as
appropriate.
1. Single Prime Contractor. A single
general contractor is responsible to complete an entire project in accordance
with the contract, and may subcontract portions of the
work.
2. Multiple Prime Contractors. A
number of specialty contractors complete portions of the project pursuant to
contracts with the City. The City or one of the contractors may have
primary responsibility for completion or coordination of the entire
project.
3. Design-Build or Turnkey. A single
contractor or team is responsible to both design and construct the project to
meet performance criteria specified by the
City.
4. Construction Manager. A qualified
person is responsible to coordinate the design and construction of the project,
and may oversee a variety of functions such as time, cost, quality and
administration of change orders. The person may have some construction
responsibilities as
well.
5. Sequential Design and Construction.
The project's design is substantially completed before construction
begins.
6. Phased Design and Construction or Fast
Track Construction. The project's construction begins after portions of
the design are substantially complete, but design continues during the
construction.
CURRENT REFERENCES: Salt Lake City Code §§
3.24.190, 200
PRE-1996 REFERENCES: Salt Lake City Procurement
Policy 3.09.002, Part 5, Part 6, 3.09.002(7), Salt Lake City Procurement
Procedure 3.09.004(1)
AMENDED EFFECTIVE DATE:
December 19, 2004