CONSTRUCTION PROCUREMENT REQUIREMENTS

Transcription

1 CONSTRUCTION PROCUREMENT REQUIREMENTS OCTOBER 12, 2017

2 HRS 103D-203 CHIEF PROCUREMENT OFFICERS This section of the procurement code designates chief procurement officers for State entities and counties. The state entities that have their own chief procurement officers are: 1) Judiciary 2) Senate 3) House of Representatives 4) Office of Hawaiian Affairs 5) University of Hawaii 6) Department of Education 7) Hawaii Health Systems Corporation The administrator of the State Procurement Office (SPO) is the chief procurement officer for all remaining departments of the executive branch of the State.

3 HRS 103D-205 AUTHORITY AND DUTIES OF THE CHIEF PROCUREMENT OFFICERS For their respective jurisdictions, each chief procurement officer shall serve as the central procurement officer for their jurisdictions which includes, but is not limited to, the procurement and supervision of the procurement of all goods, services and construction.

4 ACT 87, SLH 2013 (HB114 HD3 SD2 CD1) During the 2013 Legislative session, a bill relating to University construction was introduced and passed and subsequently became Act 87, Session Laws of Hawaii (SLH) 2013.

5 ACT 87, SLH 2013 Amended HRS 103D-203 and provided that the chief procurement officer for the University is the President provided that the Administrator of the State Procurement Office (SPO) shall serve as the Chief Procurement Officer of the University (in place of the UH President) for construction and constructionrelated professional services furnished by licensees under chapter 464 (professional engineers, architects, surveyors and landscape architects).

6 ACT 87, SLH 2013 Pursuant to Act 87, the Administrator of the SPO issued: 1) Procurement Delegation Memorandum No delegating procurement authority back to the UH President, with limitations, for construction and HRS 464 professional services (architects, engineers, etc.), but SPO has retained approval authority for Requests for Sole Source and Emergency Procurements for construction.

7 ACT 87, SLH ) In addition, UH and SPO entered into a Memorandum of Agreement (MOA) which set forth further requirements on UH when procuring construction and construction design-related professional services.

8 REVISIONS TO UH ADMINISTRATIVE PROCEDURES FOR PROCUREMENT To implement the new requirements imposed by the memoranda with respect to construction, a new section was created within the University s Administrative Procurement Procedures (A8.200 A8.295) addressing exclusively the procurement of professional services for licensees under HRS Chapter 464 (e.g. architects, engineers, etc.) and the procurement of construction services. This section is Administrative Procedure Construction and Professional Services in Support of Construction.

9 METHODS OF SOURCE SELECTION FOR CONSTRUCTION 1. Competitive Sealed Bidding 2. Competitive Sealed Proposals 3. Professional Services 4. Small Purchases Procurement Authority for these methods of source selection for construction were delegated back to UH.

10 METHODS OF SOURCE SELECTION FOR CONSTRUCTION 5. Sole Source 6. Emergency Procurements These methods of source selection were not delegated back to UH and SPO approval is required for all sole source and emergency procurements for construction.

11 SOLE SOURCE CONSTRUCTION Requesting Sole Source Approval When requesting a sole source purchase in any dollar amount, the requisitioner must complete and submit the Notice & Request For Sole Source, Form SPO-001.

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15 EMERGENCY PROCUREMENT CONSTRUCTION Requesting Emergency Approval Emergency expenditures regardless of dollar amount shall be submitted to the SPO for review and approval. Form SPO-002, Emergency Procurement shall be used for this purpose. Fiscal administrators are authorized to approve all emergency expenditures which must be made after normal working hours. For such purchases, Form SPO-002 should be completed and provided to the SPO as soon thereafter as reasonably possible.

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18 METHODS OF SOURCE SELECTION FOR CONSTRUCTION Exempt Procurements for Construction Exempt procurements are not allowed for any construction services. Therefore, you may not use any of the exemptions listed in AP or request an Exemption from Chapter 103D, HRS for construction services.

19 ADDITIONAL REQUIREMENTS FOR CONSTRUCTION PROCUREMENTS 1) Delegation of Procurement Authority Procurement authority may be further delegated by the President to personnal, as designated procurement officers or authorized to conduct and participate in construction procurement activities. Procurement activities includes small purchases, developing/drafting a solicitation, reviewing, approving, conducting, managing, and administering the procurement/contract. UH Personnel that has not been provided this delegation of procurement authority may not conduct or participate in construction procurements/contracts.

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21 ADDITIONAL REQUIREMENTS FOR CONSTRUCTION PROCUREMENTS 2) Education and Training All procurement officers and personnel with written delegated procurement authority to conduct and or participate in the procurement process for construction are required to attend applicable SPO training workshops. Training requirements as well as ondemand training can be found at:

22 SPO TRAINING WEBSITE

23 PROCUREMENT TRAINING REQUIREMENTS

24 ON DEMAND TRAINING

25 ADDITIONAL REQUIREMENTS FOR CONSTRUCTION PROCUREMENTS 3) Posting of Awards Construction awards of $2,500 and greater shall be reported on the SPO Awards Reporting System. For Small Purchase Procurements, Fiscal administrators are required to complete OPRPM Form 155 (Attachment 281.5) and submit to OPRPM within TWO (2) days of issuing a purchase order within their delegated purchasing authority over $2,500.

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27 WHAT IS CONSTRUCTION? Construction means the process of building, altering, repairing, improving, or demolishing any public structure or building, or other public improvements of any kind to any public real property. The term includes the routine operation, routine repair, or routine maintenance of existing structures, buildings, or real property.

28 CHAPTER 104, HRS WAGES AND HOURS OF EMPLOYEES ON PUBLIC WORKS Section 104-2, HRS: Applicability; wages, hours, and other requirements provides in pertinent part as follows: This chapter shall apply to every contract in excess of $2,000 for construction of a public work project to which a governmental contracting agency is a party. "Contract" includes but is not limited to any agreement, purchase order, or voucher in excess of $2,000 for construction of a public work project.

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30 CHAPTER 444, HRS CONTRACTORS Section 444-9, HRS, Licenses required provides: No person within the purview of this chapter shall act, or assume to act, or advertise, as general engineering contractor, general building contractor, or specialty contractor without a license previously obtained under and in compliance with this chapter and the rules and regulations of the contractors license board. If a specialty contractor s license is required for your project, then it is considered construction.

31 HAWAII ADMINISTRATIVE RULES, TITLE 16, CHAPTER 77 CONTRACTORS This section of the Hawaii Administrative Rules provides guidance on the specific types of licenses required for construction projects. Click on HAR Chapter 77 Contractors

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36 QUESTIONS?