TITLE
Recommendation to adopt resolution authorizing City Manager, or designee, to execute a sole source contract with Gordian Group, Inc., of Greenville, SC, to provide Job Order Contracting program and software support, for a total contract amount not to exceed $800,000, for a period of two years, with the option to renew for two additional one-year periods, at the discretion of the City Manager. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with the Gordian Group, Inc. (Gordian), to provide Job Order Contracting (JOC) program and software support. Gordian is an established vendor with the City and has had multiple contracts with the City since 2003. The contract with Gordian includes licensing for use of their proprietary system. The JOC system, which utilizes a competitively bid firm-price master contract, is a comprehensive procurement system designed to help public agencies provide routine construction services in a more timely and cost-efficient manner than the traditional design/bid/build method of contracting. The proposed Gordian scope of work is consistent with Ordinance Number ORD-16-0008 adopted by the City Council on May 24, 2016.
Gordian provides these services to numerous public agencies throughout Southern California for their JOC programs, including Orange, Riverside, and San Bernardino Counties, the City of Irvine, and the Los Angeles Unified School District.
The Gordian JOC program is a highly specialized and proprietary solution consisting of:
• e-Gordian - web-based JOC applications configured to meet the City’s specific needs.
• Construction Task Catalog customized to include the construction tasks required, with task prices based on the local cost of labor, materials and equipment.
• Implementation services and support materials to train City and construction contractor staff to properly utilize the system.
• Ongoing technical maintenance and support services during the term of the contract, including 24/7 toll-free software support.
Gordian is the only company that provides JOC program support that is both comprehensive and highly integrated, and has an established track record. No comparable level of service exists in the market. Therefore, no useful purpose would be served by advertising for bids, and to do so would be deemed an unnecessary use of staff time and resources. The counties of Contra Costa, Fresno, Merced, Sacramento, Santa Barbara, and San Luis Obispo either issued a sole source contract, or only received proposals from Gordian for JOC program and software support services. City Charter Section 1801 requires that contracts for City purchases be awarded to the lowest responsible bidder after a competitive bid process, but allows for awards without a competitive bid process when authorized by a Resolution of the City Council.
This matter was reviewed by Deputy City Attorney Linda T. Vu on September 23, 2016 and by Budget Operations Administrator Grace Yoon on September 30, 2016.
TIMING CONSIDERATIONS
City Council action to adopt the attached Resolution and award a contract concurrently is requested on October 18, 2016, to ensure that the contract is in place expeditiously, allowing for the timely delivery of City Capital Improvement Projects that are appropriate for the JOC program.
FISCAL IMPACT
The total contract cost will not exceed $800,000 for a period of two years. The cost for work orders to be completed under each JOC contract, and the associated Gordian fees, will be paid by various projects utilizing the JOC contracts. No appropriation increase is necessary at this time. The local job impact will not be known until each individual JOC project has commenced.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
CRAIG A. BECK
DIRECTOR OF PUBLIC WORKS
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER