Here are a few items for review when organizations are considering a job order contract or hoping to improve one.
1. Assure JOC program processes and structure mutually benefit your organization and awarded JOC contractors and can be implemented without the need for paid on-site “JOC consultant”.
2. Prequalify potential JOC contractors. Prequalification should consider past performance working, experience, as well as being licensed and registered.
3. Contracts and individual Projects/Work Orders within JOC should have established dollar limits.
4. During the selection of JOC contractors through a RFQ (Request for Qualifications) process, establish an evaluation committee to evaluate qualifications based only on criteria specified in the RFQ and assign qualifications scores to each contractor.
5. Develop written policies and procedures to prevent conflicts of interest for evaluation committee members, as well as any JOC Program participants and stakeholders.
6. All prequalified contractors invited to bid should submit sealed bids based on one or more adjustment factors / coefficients to the unit prices listed in the approved JOC unit price book (UPB).
7. The approved JOC unit price book should be locally researched and organized using CSI Masterformat. Factors should NOT be used for localization or annual updating of the unit price book (i.e. no use of economic cost factors).
8. Contract terms for prequalified contractors should not exceed 12 months, with the option of extending or renewing for two more 12-month periods, up to a maximum of five years.
8. Require awarded JOC contractors to perform work themselves and allow subcontractors only on a preapproved/per project/work order basis.
9. Establish a process to prequalify all subcontractors, requiring them at a minimum to be licensed, insured, and have sufficient relevant experience. All subcontractors used by the primary contractor must be prequalified and approved.
10. Any JOC consulting firms hired should not be associated with approving construction projects/work orders if they can benefit from the activity, i.e. the consultant is being paid a percentage of total construction value.
11. Assure all the organizations JOC project managers work directly for the organization, and or are working solely in the interests of the ogranization.
12. When JOC contractors bid on a JOC project, utilize a set of documents including a unit price catalog and pre-established unit prices, designated forms, and any other information necessary to describe the scope of work for the project/work order in detail. Any architect, engineer or consultant retained by the organization to assist in these areas should not be eligible to participate in the bid, or as noted, in the approval process.
13. Obtain an independent estimate for each JOC project, of for each project over an established dollar value and compare that to the contractor’s to ensure proposed prices are not unreasonable or undesirable. At the very least assure every project/work order is reviewed by an independent party for JOC Program compliance.
14. Before initiating a project through the JOC program, determine if it will result in savings over traditional/other procurement methods.
15. Non-catalog items should not exceed 10% of the total project cost estimate. Require the contractor to provide three written quotes for all non-catalog items.
16. Certify that each project/work order is completed to the organization’s expectations and track all related key performance indicators. Develop a formalized reporting process (project status, timeline, budgets, issues, etc.) that will provide JOC program management and with a critical status of program operations. This includes proper reporting controls to monitor spending authority. This will create a level of oversight and accountability at all levels of the program.
