The School Board of Miami-Dade County
Bylaws & Policies
Unless a specific policy has been amended and the date the policy was revised is noted at the bottom of that policy, the Bylaws and Policies of the Miami-Dade County Public Schools were adopted on May 11, 2011 and were in effect beginning July 1, 2011.
 

6334 - PREQUALIFICATION OF CONTRACTORS FOR EDUCATIONAL FACILITIES CONSTRUCTION

 

A.

Introduction

     
   

F.S. 1013.46, Section 423 of the Florida Building Code, and State Requirements for Educational Facilities (SREF), requires school boards to prequalify contractors as eligible to bid on construction or capital improvement projects. This policy establishes procedures and criteria for prequalifying responsible contractors on school construction projects for the School Board. It does not restrict competition, or prevent the submission of a bid, or prohibit the consideration of a bid submitted by a prequalified contractor, nor does the rule supersede the Board's Minority/Women Business Development Program.

     
 

B.

Definitions

     
 

1.

District Administrator - Office of Economic Opportunity (OEO) Economic Development officer or designee.

   

2.

Affiliate - business concerns, organizations, or individuals that directly or indirectly, (a) is controlled by another entity or either controls or has the power to control the other, or (b) a third party controls or has the power to control both. Indicia of control include, but are not limited to, interlocking management or ownership, identity of interests among family members, shared facilities and equipment, common use of employees, or a business entity that has been organized by a delinquent entity, individual, or affiliate, following a contractor being declared delinquent that has the same or similar management, ownership, or principal employees as the delinquent contractor.

     

3.

Construction Contractor - the company that is qualified by a contractor, or the qualifier who holds a contractor's license.

 

4.

Contractor - the person, firm, or corporation that is authorized to do business in the State of Florida and that is properly licensed or registered for the work to be performed with whom a contract may be made for the performance of Board work.

   

5.

Contractor Disciplinary Review Committee (CDRC) – the committee established under Policy 6320.04, Contractor Discipline, that is responsible for making recommendations for contractor suspension, prequalification certificate suspension and revocation, debarment, and other disciplinary actions.

   

6.

Contractor Prequalification Appeals Committee (CPAC) - the committee established under this policy that is responsible for hearing all appeal requests from companies that are denied contractor prequalification.

   

7.

Contractor Prequalification Review Committee (CPRC) - the committee established under this policy that is responsible for reviewing and evaluating Contractor Prequalification Applications determining the eligibility, thereof, and recommending that contractors be prequalified or not, to bid on construction projects of a particular scope, type, and dollar value.

8.

Joint Venture - an association of two (2) or more business entities to carry out a single business enterprise for the purpose of combining their property, capital, efforts, skills, and knowledge into a single entity.

   

9.

Statement of Contractor's Qualification - the Contractor Prequalification Application.

     

10.

Surety Letter of Intent - a statement from a surety, certifying the surety will issue a bond to a contractor for projects that are valued up to the limits for which the company is seeking contractor prequalification.

     
 

C.

Responsibilities and Duties

     
   

The duties and responsibilities of District staff, organizations, and committees, as stated in the procedures manual which is incorporated by reference into this policy, as it relates to contractor prequalification are as follows:

     
 

1.

The Superintendent is authorized and directed to execute, and to establish such administrative procedures, as necessary to carry out the Board’s policies regarding contractor prequalification.

 

2.

The District Administrator is responsible for the overall implementation, reporting, and monitoring of contractor prequalification activities, as well as serving as staff to the CPAC and CPRC.

   

3.

The Contractor Prequalification Administrator is responsible for obtaining complete Contractor Prequalification Applications, and all other information that is deemed necessary to determine whether an applicant meets the criteria for eligibility as set forth in SREF Chapter 4.1 and relevant Board policy.

     

4.

The Contractor Prequalification Review Committee (CPRC) is responsible for evaluating applications for contractor prequalification and then recommending acceptance or rejection. The CPRC shall review completed new applications, renewal application requests for single bid limit revisions, and adjustments to aggregate bid limits. The District Administrator will forward the committee's decision to the Superintendent who shall forward it to the Board for ratification. The Board shall act upon the recommendation to accept or reject a company’s application within sixty (60) days after a complete application is received by the District, and all deliberation will be captured in minutes or by audio recording and will be transmitted to the Board and Superintendent and made available to all other interested parties, as requested. The CPRC will recommend that companies be prequalified to bid projects of a particular type, dollar value, and scope. The committee shall be composed of individuals from District offices and outside organizations, and/or their designees. Voting members shall be rotated every two (2) calendar years, and resumes for organizational representatives will be collected as directed by the Superintendent. The CPRC shall select one (1) of its members to serve as chair for a period of two (2) years. The chair shall not serve more than two (2) consecutive years. When there is a tie vote among the voting members, the OEO representative shall cast a vote and break the tie. The CPRC shall be composed of the following or their designee:

   
 

a.

one (1) representative from the construction industry or an architectural/engineering organization that are not, currently or have not within the past five (5) years, contracted with the Board;

   

b.

one (1) representative from PTA/PTSA;

 

c.

one (1) representative from the community-at-large appointed by the Superintendent;

   

d.

one (1) representative from Facilities Operations, Maintenance;

   

e.

one (1) representative from School Operations;

   

f.

two (2) representatives from Office of School Facilities;

   

g.

one (1) representative from the Office of Management and Compliance Audits (non-voting); and

   

h.

one (1) representative from the Office of Procurement Management Services (non-voting).

     

5.

Contractor Prequalification Appeals Committee (CPAC) is responsible for hearing all appeals from contractors that are denied contractor prequalification certification by the CPRC. The CPAC is authorized to recommend that the Board uphold or overturn a decision to deny a company's prequalification, after a hearing and upon consideration of the applicant's application and any supporting documents. The CPAC shall be composed of individuals from the following District offices, and organizations as selected by the Superintendent, or their designees:

   
 

a.

one (1) representative from a construction or an architectural engineering organization that is not currently nor has within the past five (5) years contracted with the Board, and who is not currently serving as a member or designee on the CPRC;

   

b.

one (1) representative from the Office of Superintendent;

   

c.

Deputy Superintendent, School Operations;

     

d.

Chief Financial Officer, Financial Services;

 

e.

Inspections Officer, District Inspections, Operations and Emergency Management; and

   

f.

Chief Auditor, Office of Management and Compliance Audits (non-voting).

     
 

Voting members of the CPRC and CPAC must disclose any conflicts or potential conflicts of interest, and may not vote on the matter upon which there is a potential conflict. In addition, no individual may serve on the CPRC and the CPAC to review the request of a contractor to be prequalified and then hear the appeal of the same contractor.

Contractor Prequalification Criteria

 

A.

Prequalified contractors must be capable of fulfilling specific project requirements for bonding, insurance, staffing, and completion dates. No bid, proposal, or submittal for a school construction project shall be accepted from a contractor that does not have a valid contractor prequalification certificate nor shall any bid, proposal, or submittal be accepted from a contractor whose prequalification certificate has been revoked or suspended. The contractor prequalification criteria apply to all applicants, regardless of the size, scope, or type of projects for which they seek certification to bid.

     
 

B.

Each entity, whether a company, joint venture, or person that requests prequalification certification must submit a completed Contractor Prequalification Application. Pursuant to School Board policy on performance and payment security, declining a bid award, and bonding company qualifications, 100% performance, and payment security is required in accordance with Florida statute. The disciplines for contractor prequalification shall be provided by the District Administrator. All construction service contractors shall be prequalified by the Board on the basis of the following criteria:

     
 

1.

Proof that the contractor holds a valid Florida contractor’s license, as defined by the Florida Department of Business and Professional Regulation, that authorizes the contractor to supervise the work within the scope of a construction project. If a State license does not exist for a particular discipline, a local license may be considered depending on the discipline being considered.

 

2.

Evidence that the applicant has financial resources to start up and follow through on projects and to respond to damages in case of default. Evidence must be provided in the form of written verification of bonding capacity that equals or exceeds the amount of any project for which the contractor seeks prequalification. The written verification must be submitted by a licensed surety company that is rated excellent "A-" or better in the current A.M. Best Guide, or as may be amended by Florida statute and/or SREF. The surety must be qualified to do business within the State of Florida and the A.M. Best rating must be included on the Surety Letter of Intent. In the absence of such written verification, the Board may require any applicant to submit audited financial statements, for a reporting period that ended not more than twelve (12) months prior to the date of the company’s application date, to validate its (applicant’s) financial ability to perform a project(s) and to respond to damages in the event of default.

     

3.

Evidence of experience with construction techniques, trade standards, quality workmanship, project scheduling, cost control, management of projects, and building codes for similar projects as shown by the successful completion of at least two (2) projects, within the past five (5) years, that are similar to the size or scope of the largest project that the company is requesting prequalification to bid. For the purpose of determining experience for an applicant company, the experience of the company or that of the applicant company’s primary or secondary qualifier, may be considered, so long as the applicant presents evidence of successful completion of two (2) projects as described herein.

   

4.

Evidence of satisfactory resolution of claims and litigation that was initiated by or against the contractor which was asserted on a project of the same or similar size within the five (5) years preceding the submission of the application. Any claim against a contractor shall be deemed to have been satisfactorily resolved if final judgment is rendered in favor of the contractor or any final judgment rendered against the contractor is satisfied within ninety (90) days of the date the judgment becomes final.

 

5.

Type of work for which the contractor is licensed.

   

6.

The contractor’s application for prequalification shall in all respects meet the requirements set forth in Subsection 4.1(a) of SREF, and as may be amended.

   

7.

A contractor that has been denied Contractor Prequalification Certification may not re-apply for a period of six (6) months after the written notice of denial.

Application Requirements

 

A.

Each entity that requests prequalification certification must do so by submitting a complete Contractor Prequalification Application ("Statement of Contractor’s Qualifications").

     
 

B.

When two (2) or more prequalified contractors wish to combine their assets for a specific project, they each must be prequalified and must file an Affidavit of Joint Venture on a Board-prescribed form and meet any and all other requirements, pursuant to Florida statutes for joint ventures. Prequalification certificates will be issued to joint ventures for a specific project once they have complied with all requirements for prequalification. The District administrator may consider teaming agreements as referenced in the procedure manual.

     
 

C.

The following information shall be included in Contractor Prequalification Applications:

     
 

1.

Information that demonstrates the applicant's competence, past performance, experience, financial resources, and capability, including a Public Entity Crime Statement and references.

   

2.

Evidence that the contractor has the financial ability to successfully complete Board construction work of a particular scope and complexity. In order to demonstrate that the company is financially capable of successfully completing Board work, applicants shall provide either:

   
 

a.

audited financial statements on the company that includes an income statement, balance sheet, statement of cash flows, and all schedules and notes, for a reporting period that ended not more than twelve (12) months prior to the date of the company's application date; or

 

b.

a Surety Letter of Intent to verify that in the event the contractor successfully bids Board work the surety will issue the contractor a performance and payment bond for the work.

     
 

The maximum bid limits for a prequalified contractor will be determined by the contractor’s bonding capacity or ten (10) times the contractor’s net quick assets as determined from the contractor's audited financial statements.

   

3.

Information about the organization, ownership, and management of the applicant company.

   

4.

Information regarding all state and local licenses that are held by the applicant company.

   

5.

Information related to projects that the applicant company has completed within the past five (5) years. The information shall include, but not limited to, project dates, delivery methods, locations, construction costs, scope, contract and actual completion dates as well as whether there were delays and whether liquidated damages were assessed against the applicant.

   

6.

Information that demonstrates that the applicant company has the insurance that is required to perform Board work, including current worker's compensation as well as public liability and property damage insurance.

   

7.

Information regarding all claims and/or litigation to which the company has been a party for the past five (5) years, including an explanation of each. Claims or litigation that were or have been initiated by the contractor to protect the contractor's legal rights shall not be used as a basis for rejecting the contractor’s application, unless the contractor was not the prevailing party.

   

8.

A notarized affidavit that attests to the completeness and accuracy of the information that is included in a Contractor Prequalification Application. The affidavit shall be attested to and signed by an authorized officer, owner, or agent of the company, as appropriate, and shall be notarized.

 

9.

In the event the OEO finds an application is incomplete or that it contains inaccurate or inadequate information, the office shall request in writing that the company provide the information within ten (10) working days and the company must comply with the request or the company’s application will be denied.

   

10.

Pursuant to F.S. 287.133(2)(a), a person or affiliate who has been placed on the convicted vendor list, following a conviction for a public entity crime may not submit a bid, proposal, or reply on a contract to provide any goods and services to a public entity; may not submit a bid, proposal, or reply on a contract with a public entity for the construction or repair of a public building or public work; may not submit bids, proposals, or replies on leases of real property to a public entity; may not be awarded or perform work as a contractor, supplier, subcontractor, or consultant under a contract with any public entity; and may not transact business with any public entity in excess of the threshold amount provided in F.S. 287.017, for Category Two for a period of thirty-six (36) months following from the date of being placed on the convicted vendor list.

   

11.

Prequalified Contractors shall notify the Contractor Prequalification Administrator within fifteen (15) days and provide a notarized statement whenever a change occurs in ownership, management or the financial conditions of the company. Failure to comply or any misrepresentation(s) shall be grounds for revoking the company’s prequalification certificate or subject the company to any other penalties that are provided for in Board policies.

Application Review Process

Specific details (dates, print screens, etc.) regarding information that is collected through the application review verification process will be noted in/or attached to each applicant’s file. In addition, reports, memoranda, and other documentation (including, but not limited to litigation/claims reports and project evaluations) will also be maintained in each applicant’s file.

Certificates

The Board shall issue contractors that are granted contractor prequalification certification and renewal certificates that are valid for one (1) year or that are project specific. Contractor Prequalification Certificates shall include:

 

A.

A statement that a contractor is authorized to bid for projects during a specific time period.

     
 

B.

A statement establishing the maximum dollar values (single and aggregate) of work that a contractor will be permitted to have under contract with the Board at any one time.

     
 

C.

A statement establishing the maximum dollar value of each individual project that a contractor will be permitted to have under contract with the Board at any one time. The District single bid limit may be up to twice the value of the largest project that was previously completed or written verification of bonding capacity equal to the single limit. This shall not exceed the contractor's aggregate bonding capacity or ten (10) times the net quick assets.

     
 

D.

A statement establishing the type of work that a contractor will be permitted to provide.

     
 

E.

The expiration date of the contractor's prequalification certificate.

Contractor Prequalification Certification Renewal

 

A.

Application of the Renewal Process

     
 

1.

The contractor prequalification renewal process is to substantiate whether a prequalified contractor remains eligible to bid on Board construction projects. A prequalified contractor may apply to renew its certification if its certification is current, and no significant changes have occurred in the control, management, or ownership of the company. A contractor, whose certificate has expired, must re-apply, (as if the contractor had not been prequalified by the Board). The contractor prequalification renewal process does not apply to certificates that are issued for a specific project.

 

2.

The Superintendent may renew prequalified contractor’s certifications. Eligible contractors will be issued a renewal certificate valid for one (1) year.

     
 

B.

Prequalification Renewal Notice

     
 

1.

At least forty-five (45) days before prequalification certificates expire the Contractor Prequalification Administrator will notify contractors of imminent expirations and of the need to renew their certification. As provided for in F.S. 120.60(4) Licensing, when a prequalified contractor makes timely and sufficient application for the renewal of a prequalification certificate, the existing certificate shall not expire until the contractor’s application for renewal has been finally acted upon. If a renewal application is submitted after the expiration date, the applicant must submit a new application.

   

2.

A contractor, who has been declared delinquent and its certification has been suspended or revoked, shall not apply for renewal during the suspension or the revocation period.

     
 

C.

Renewal Form and Documentation

     
   

In order for contractors to renew their prequalification certificates, contractors shall submit the following:

     
 

1.

A Contractor Prequalification Renewal Application.

   

2.

Financial statements or written verification of bonding capacity shall be updated, annually. Failure to submit a current audited financial statement or verification of bonding capacity, after at least thirty (30) days written notice by the District administrator shall automatically revoke a contractor’s prequalification certificate.

 

D.

Requesting Changes to Prequalification Status

     
   

The Board may allow prequalified contractors to request the revision of their prequalification status at any time that they believe the dollar volume of work under contract, or the size and complexity of projects should be increased if experience, staff size, staff qualifications, and other pertinent data justify the action. All single bid limit increases require Board approval. When there are changes to the aggregate bid limit (increase or decrease), this change shall be disclosed to the Board.

Delinquency

 

A.

A District administrator, project manager, architect, his/her supervisor, or the project architect/engineer, with the approval of at least the Chief Facilities Officer (or his/her designee) may, for cause, recommend initiating delinquency proceedings against a contractor, that may result in the suspension or revocation of the contractor’s prequalification certificate. The request may be made at anytime and must be in writing to the District administrator. Upon receipt of a recommendation, the District administrator will forward the request and supporting information to the CPRC. Should the committee determine that there is sufficient evidence to support declaring a contractor delinquent, it will recommend that the Superintendent declare the contractor delinquent pursuant to F.S. Chapter 1013.

     
 

B.

Information indicating that a contractor who has been prequalified is delinquent as described below may be presented at a hearing before the CPRC. Once information on the issue of delinquency is presented by District administrator, the contractor will have an opportunity to respond. Upon conclusion of the hearing, the CPRC will render a decision on the issue of delinquency by finding one of the following:

     
 

1.

that a preponderance of the evidence supports a finding of delinquency;

   

2.

that the evidence is insufficient to declare the contractor delinquent; or

   

3.

that the contractor was not delinquent.

 

C.

The decision to declare a contractor delinquent may only be made by the Superintendent and must be ratified by the Board at its next regular meeting following such decision by the Superintendent. Should a contractor be determined to be delinquent, after notice and an opportunity to a fair (due process) hearing, the Contractor Prequalification Administrator shall notify the contractor and the contractor's surety, in writing, that the contractor is disqualified from bidding work with the Board as long as the delinquent status exists. A delinquent condition may be determined to be in effect when one (1) or more of the following conditions occur without justifiable cause:

     
 

1.

Substantial or repeated failure to comply with contract documents after written notice of such non-compliance.

   

2.

Substantial or repeated failure to provide qualified supervision and coordination of subcontractors’ work after written notice of such failure.

   

3.

Substantial deviation from project time schedules after written notice of non-compliance.

   

4.

Substantial or repeated failure to pay subcontractors after the Board has paid the contractor for the work performed by the subcontractors and in accordance with approved requisitions for payment.

   

5.

Substantial or repeated failure to provide quality workmanship that is compatible with trade standards for the community (industry), after written notice of such failure.

   

6.

Substantial or repeated failure to comply with warranty requirements of previous contracts after written notice of such failure.

   

7.

Failure to maintain the required insurance coverage after written notice of such failure.

 

D.

In order to support a decision to recommend that a contractor be declared delinquent or that the CPRC recommend suspending or revoking a contractor's prequalification certification due to delinquency, the CPRC will be provided information regarding the contractor's performance. The information will be collected by School Facilities from various departments, and may include, but not be limited to, the following:

     
 

1.

Any pertinent inspection and plan reviews that were performed either internally and/or externally.

   

2.

Any pertinent punch list.

   

3.

Information related to a contractor's failure to meet schedules.

   

4.

Information related to a contractor's failure to meet quality standards, as determined by the District’s system for evaluating construction quality.

   

5.

Information related to a contractor's failure to comply with contractual requirements, including warranty issues.

   

6.

Fully executed and completed evaluations.

Suspension or Revocation

The Board may, for good cause, suspend a contractor for a specified period of time or revoke the contractor's prequalification certificate in accordance with Policy 6320.04. Suspension or revocation of a contractor’s prequalification certificate will render a contractor ineligible to bid future work.

F.S. 120.569, 120.57, 287.017, 287.133(2)(a), 489.105(3)(4)(5)(6)(7)(11)
F.S. 489.113, 489.522, 715.12, 1001.41(1)(2), 1001.42(25), 1001.43(10)
F.S. 1013.46
F.A.C. Chapter 6-2
Section 4.1(5) and 4.1, SREF (2007)

Revised 3/9/16

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