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HomeMy WebLinkAboutAgenda Report - April 7, 2021 C-22AGENDA ITEM COS22 CITY OF LODI COUNCIL COMMUNICATION TM AGENDA TITLE: Adopt Resolution that Subjects City of Lodi to California Uniform Public Construction Cost Accounting Act MEETING DATE: April 7, 2021 PREPARED BY: Public Works Director RECOMMENDED ACTION: Adopt resolution that subjects City of Lodi to California Uniform Public Construction Cost Accounting Act. BACKGROUND INFORMATION: When constructing public projects, the City must follow the State Public Contract Code. The City's Municipal Code requires that any public project in excess of $20,000 must be publicly bid, follow the formal contract procedures, and be awarded to the lowest responsible bidder. Public works projects in excess of $5,000 must also be publicly bid pursuant to Public Contracts Code. Most often the cost of engineering and staff time that is required to develop plans, specifications, and related documents to advertise and award a publicly bid project will exceed the $5,000 threshold for a public works project. The adoption of California Uniform Public Construction Cost Accounting Act (CUPCCAA) would greatly reduce these costs, especially for smaller scale Public Works projects. The CUPCCAA was created in 1983 as an alternative bidding procedure designed to reduce costs, expedite the award process, and simplify the administration of smaller public projects. CUPCCAA provides for the following alternative bidding procedures for a public work project: • Public projects of $60,000 or less may be performed by a negotiated contract or by purchase order; • Public projects of $200,000 or less may be awarded by the informal bidding procedures set forth in the CUPCCAA; and • Public projects of more than $200,000 must be awarded by formal bidding procedures. The contracting limits in CUPCCAA are modified from time to time by the California Uniform Construction Cost Accounting Commission. Should the Council adopt the resolution, Staff, at a subsequent meeting, will introduce an ordinance amending Chapter 3.60 Purchasing" of the Lodi Municipal Code, as may be necessary to implement the CUCCAA. FISCAL IMPACT: Adopting the CUPCCAA is expected to reduce project costs and expedite project award. FUNDING AVAILABLE: Not applicable. a 9 YIQ Charles E. Swimley, Jr. Public Works Director CES/RAY/tc APPROVED: t —Stephen Schwabatrbr, City Manager Ilc�diiv02Viu6wksbIWPIC011�ICIL12pT,ilGC GUPCCF�f+.tls�c 3/24/2021 RESOLUTION NO. 2021-89 A RESOLUTION OF THE LODI CITY COUNCIL SUBJECTING THE CITY OF LODI TO THE CALIFORNIA UNIFORM PUBLIC CONSTRUCTION COST ACCOUNTING ACT WHEREAS, when constructing public projects, the City must follow the State Public Contract Code. The City's Municipal Code requires that any public project in excess of $20,000 must be publicly bid, follow the formal contract procedures, and be awarded to the lowest responsible bidder. Public works projects in excess of $5,000 must also be publicly bid pursuant to Public Contracts Code; and WHEREAS, most often the cost of engineering and staff time that is required to develop plans, specifications, and related documents to advertise and award a publicly -bid project will exceed the $5,000 threshold for a public works project; and WHEREAS, the adoption of California Uniform Public Construction Cost Accounting Act (CUPCCAA) would greatly reduce these costs, especially for smaller scale public works projects; and WHEREAS, the CUPCCAA was created in 1983 as an alternative bidding procedure designed to reduce costs, expedite the award process, and simplify the administration of smaller public projects. CUPCCAA provides for the following alternative bidding procedures for a public work project: • Public projects of $60,000 or less may be performed by a negotiated contract or by purchase order; • Public projects of $200,000 or less may be awarded by the informal bidding procedures set forth in the CUPCCAA; and • Public projects of more than $200,000 must be awarded by formal bidding procedures. WHEREAS, staff recommends adopting a resolution that subjects City of Lodi to the California Uniform Public Construction Cost Accounting Act. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby approve subjecting the City of Lodi to the California Uniform Public Construction Cost Accounting Act; and BE IT FURTHER RESOLVED, pursuant to Section 6.3q of the City Council Protocol Manual (adopted 11/6/19, Resolution No. 2019-223), the City Attorney is hereby authorized to make minor revisions to the above -referenced document(s) that do not alter the compensation or term, and to make clerical corrections as necessary. Dated: April 7, 2021 I hereby certify that Resolution No. 2021-89 was passed and adopted by the City Council of the City of Lodi in a regular meeting held April 7, 2021, by the following vote: AYES: COUNCIL MEMBERS — Chandler, Hothi, Khan, Kuehne, and Mayor Nakanishi NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None ENNIFER USMIR City Clerk 2021-89