A PEPS OVERVIEW OF THE PROCUREMENT PROCESS & WHO IS ELIGIBLE TO - - PowerPoint PPT Presentation

A PEPS OVERVIEW OF THE PROCUREMENT PROCESS & WHO IS ELIGIBLE TO PERFORM WORK?

Gail Eileen Morea, P.E.

April 19, 2018

Pr Prof

• fessional En

essional Engineering Pr gineering Procurement Ser

• curement Services

ices represents the consolidated procurement

• rganization supporting engineering, architectural

and surveying contracts Mission Mission Work with our TxDOT customers and external partners to procure the most qualified consultants to deliver effective solutions for Texas Goals Goals Deliver the right projects; Focus

• n the Customer; Foster

Stewardship; Optimize System Performance; Preserve our Assets; Promote Safety, and Value our Employees Va Values People, Accountability, Trust, Honesty

2

Mission

3

4

Prof Professional Engineering essional Engineering Procurement Ser Procurement Services (PEPS) ices (PEPS)

Engineering Contract Types

5

Ar Archit chitecture ecture Pr Procurement Engineering (PcE)

• curement Engineering (PcE)

Bridge I Bridge Inspection spection Schematic Schematic Bridge On/Of Bridge On/Off R Replacement placement Schemati Schematic / c / En Envir vironm

• nment

ental Construction, En nstruction, Engineerin gineering, I g, Inspection (C spection (CEI) EI) Schematic/En Schematic/Envir vironmental/PS&E nmental/PS&E Critical itical Path Method Scheduling (C Path Method Scheduling (CPM) PM) Sur Survey Engi Engineeri ering Traf raffic Engi ic Engineeri ering Genera neral Engine ineering C ring Consultant (

• nsultant (GEC)

Traffic S ic Signa gnal T Timing ming Geot

• technical

echnical Utility En ility Engineering gineering Hydraulic Hydraulic Mat aterials Engi erials Engineeri neering Planni Planning Facilit cilities es Engi Engineeri ering Plans, Specifi Plans, Specificati ations

• ns and Estim

and Estimates (PS&E) (PS&E) Independent Engineer (IE) Independent Engineer (IE) Traf affic & fic & Revenue (T&R) nue (T&R)

Disci Discipli lines with most demand nes with most demand

Contracting Goals for FY 18

6

Architecture $6,000,000 Bridge Inspection $52,000,000 Bridge On/Off Replacement $9,000,000 Construction, Engineering, Inspection (CEI) $300,000,000 Critical Path Method Scheduling (CPM) $6,000,000 Engineering $1,000,000 General Engineering Consultant (GEC) $40,000,000 Geotechnical $19,000,000 Hydraulic $18,000,000 Other (describe in Comments) $16,000,000 Planning $17,000,000 Plans, Specifications and Estimates (PS&E) $400,000,000 Procurement Engineering (PcE) $20,000,000 Schematic $25,000,000 Schematic / Environmental $200,000,000 Schematic/Environmental/PS&E $45,000,000 Survey $60,000,000 Traffic Engineering $16,000,000 Traffic Signal Timing $5,000,000 Utility Engineering $12,000,000 Materials Engineering $12,000,000 Facilities Engineering $6,500,000 Independent Engineer (IE) $20,000,000 Traffic & Revenue (T&R) $5,000,000 Gr Grand T Total $1, 1,310,500,000 0,500,000

Three categories make up 70% of the annual procurement. $900 Million annually

• CEI
• PS&E
• Schematic/ENV

So what is driving this……..TxDOT’s Annual Letting

7

• 1

2 3 4 5 6 7 8 12 13 14 15 16 17 18 19 20 21 22 23 24 25

Billions Billions

Baseline Additional MAP-21 Proposition 7

Prop 7 significantly increases TxDOT Letting Volume

$4.3 Billion A $4.3 Billion Average Let erage Letting ( ing (FY 20 Y 2012 – 12 – 2016) ) $6.5 Billion A $6.5 Billion Average Letting (FY 20 erage Letting (FY 2017 – – 2025) 2025)

FY 2018 Procurement Plan

8

FY 2019 Procurement Plan

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Procurement Processes

10

• Accelerat

ccelerated d

• Streamlined w

Streamlined wo/int /inter ervie view

• Streamlined w/int

Streamlined w/inter ervie view

• Com

Comprehensiv rehensive e

• Fe

Federal

• Fe

Federal M Management

• Urgent and Critical

Urgent and Critical

• Emergency

Emergency TxDO TxDOT’s T’s core

• re

pr provider selection ider selection pr processes

• cesses

Federal Process

11

• Texas A

xas Administrativ ministrative Cod Code R Rule Change -E le Change -Effective ve F Fiscal Y Year 2 2018, Wave ve 3 3 which begins on Ma begins on May 3 y 3rd

rd with the CS

with the CST Kick T Kick-of

• off.

 Mo Move fr from a

• m a three st

three step pr ep process t

• cess to a tw

a two st

• step pr

ep process

• cess

 Subjec Subject t t to §9.35 §9.35 (an engineering or (an engineering or desi design relat gn related ser d service contract vice contract directly directly relat related t d to a highw a highway cons y construction ion pr proje

• ject and reim

and reimbursed with F with Federal- deral- Aid Aid Highw Highway Pr y Program

• gram funds

funds  Subject t Subject to the DBE goal as publis the DBE goal as published in the R hed in the Request f est for Pr r Proposal.

• posal.
• Basic One st

Basic One step Pr ep Process:

• cess:

− Publish a Publish a Request f est for Pr r Proposal

• posal (RFP)

(RFP) − Pr Provider iders select s selected based on the Pr d based on the Proposal scores

• posal scores
• Two Basic St
• Basic Steps :

eps :  Publish a Publish a RFP RFP  Shor Short-list the most q t-list the most qualified pr alified provid ider ers based on the Pr s based on the Proposal and P

• posal and Past

st Performanc

• rmance scores

e scores  Int Intervie iew shor w short-list t-listed pr ed providers iders  Pr Provider iders select s selected based on int d based on intervie iew scores w scores

• For SD or ID contrac

r SD or ID contracts the pr s the process is the same

• cess is the same
• SD contract req

SD contract requires nego ires negotiation of th tiation of the rat e rates, d es, detailed tailed scope scope & le & level of l of ef effort

State-Funded Accelerated Process –No Interview

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• Applicability

Applicability

− For contracts no r contracts not t subject t subject to the o the other pr her processes

• cesses

− By By def default this will be ault this will be for the majori r the majority of ty of the indef the indefinit inite deliv e deliverable (ID) erable (ID) contracts contracts − An An SD contract less than $1M is SD contract less than $1M is rare, but possible rare, but possible

• Basic St

Basic Steps (1) eps (1)

− Publish an Publish an RFQ RFQ − Pr Provider iders sel s select cted based on ed based on the S the SOQ scores OQ scores Designed Designed f for less r less com comple lex and x and lo lower-ris risk ser service ices (Sur (Surveying & ying & Geo Geotech) ech) Standar Standardized core ID ized core ID contracts, typically $2M contracts, typically $2M or less

• r less

ID ID contract req contract requires nego ires negotiation of tiation of rat rates only s only Im Implication – plication – it will go f it will go fast ster than the o er than the other pr her processes

• cesses

State-Funded Streamlined Process

13

• Applicability

Applicability

− ID contracts for higher-risk services based on project costs, number of contracts, or type of services

• With int

With intervie iews (2 st ws (2 steps) eps)

− Publish RFQ − Short-list and conduct interviews − Providers selected based on interview scores

• Without int

Without intervie iews (1 ws (1 st step) ep)

− Providers selected based on SOQ scores

• Sta

Standa dard or non-

• r non-standa

dard ID cont ID contracts

• Dollar

Dollar-value, num e, number of cont er of contrac racts, or ser

• r services ma

es may be y be out

• ut of the or
• f the ordi

dinary

• Pr

Provides ides f for int r intervie iews ws if additi if addition

• nal rigor is w

al rigor is warran rranted, but q d, but questi estion

• ns with

without

• ut a

a presen presentation tion ma may be y be adeq adequat uate

• ID cont

ID contract req requires es nego negotiation of rat

• f rates only

s only

• Im

Implicati plication – – it will go t will go fast ster than er than the com the comprehens hensive, but no e, but not as f t as fast st as the accelerat as the accelerated d

State-Funded Comprehensive Process

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• Applicability

Applicability − Must be used f Must be used for an r any specifi y specific de delive verable ( (SD) c contract t that i is $1M or more $1M or more

• Basic St

Basic Steps (2) eps (2) −Publish an RFQ Publish an RFQ −Shor Short-list the most q t-list the most qualified p alified provider iders based on the SOQ scores s based on the SOQ scores −Int Intervie iew shor w short-list t-listed pr ed providers iders −Pr Provider iders select s selected based on int d based on intervie iew scores w scores

Designed f Designed for higher r higher-dollar v

• dollar value pr

lue projects

• jects
• Each SD pr

Each SD project

• ject is uniq

is unique ue SD SD contract req contract requires nego ires negotiation of de tiation of detailed scope and tailed scope and budge budget with with rat rates f s for e r execution ecution Im Implication – plication – it will tak it will take longer than the o longer than the other pr her processes

• cesses

PEPS Division – Getting Started and Who is Eligible to Perform Work?

15

How do I get started? / Requirements and Certifications

16

 Be regist Be registered as a ered as a business with the Stat business with the State of T e of Texas xas

http://comptroller.texas.gov

 Be regist Be registered as engineering ered as engineering f firm with the T rm with the Texas PE Boar xas PE Board

http://engineers.texas.gov

 Obtain precer Obtain precertification with TxDO tification with TxDOT T

http://www.txdot.gov/business/consultants/architectural-engineering-surveying/getting- started/precertification.html

 Become administrativ Become administratively q ly qualif alified with TxDO ied with TxDOT T

http://www.txdot.gov/business/consultants/architectural-engineering-surveying/getting- started/administrative-qualification.html

 Check the TxDO Check the TxDOT w T webpage f bpage for listing of pr r listing of project

• jected

d contracts and pre-RFQ mee contracts and pre-RFQ meetings ings

http://ftp.dot.state.tx.us/pub/txdot-info/des/cco/professional_services/projected_contracts.pdf

 Submit y Submit your q ur qualif alifications ications

Ge Getting Star tting Started

Administrative Qualifications (AQ)

• The pr

The process b

• cess by which the depar

which the departmen ment v verifies that rifies that y your f ur firm has an rm has an indirect cost rat indirect cost rate (o (overhead) th ead) that meets depar at meets department req ment requirements. irements.

• Must be

Must be in com in compliance with AASHT liance with AASHTO’s U O’s Unif iform A

• rm Audi

dit & A t & Accounting ccounting Guide and the F Guide and the Federal Acq deral Acquisition R isition Regulation (F gulation (FAR). AR).

• Ma

May be y be demonstrat demonstrated b ed by an audi an audit or self-cer t or self-certi tificati fication of its

• n of its

incor incorporat

• rated entity or

ed entity or business segment. business segment.

• The req

The requiremen ements are f ts are found in the T und in the Texas A xas Admin ministrat strative Code Title 43, Code Title 43, Pa Part 1, 1, C Chapter 9 9, S Subchapter C C, R Rule 9 9.34(b) a and 9 9.35(b).

• Maintain Administrativ

intain Administrative Q Qualif alificatio ication Status: n Status: Each y Each year and no ar and no lat later r than sixty (60) calendar da than sixty (60) calendar days prior t ys prior to June 30 June 30th

th you need t

u need to submit submit a a ne new CP w CPA audit or A audit or self-cer self-certi tifica ficati tion f

• n for

r re-a re-analysis. lysis.

• Maint

Maintain the correct the correct insura insurance req e requiremen ements ! ts !

Updates on AQ Processing

• PEPS AQ Group is no longer

no longer accepting reports for 2016!

• Get ahead of the queue! Don’t w

Don’t wait till it till the w the week bef ek before June re June 30 30th

th to

to s send i in your 20 ur 2017 repor report or

• r self-cer

self-certification! tification!

• Remember the TAC rules stipulates AQ report reviews are guaranteed to be

processed by PEPS AQ Group within 60 calendar 60 calendar da days ys of receipt.

• The AQ list is updated twice daily.
• AQ reports are processed on a first come first serve basis! No exceptions!
• Note:

: Federal Saf ederal Safe Harbor Rat Harbor Rate Pr Program e

• gram expired 12/3

pired 12/31/20 /2017. Impact? Those firms that were approved on or before 12/31/2017 to use the 110% rate were grandfathered in and good for three years from date of issuance. PTC Form automatically will populate the AQ field based on the firm sequence number. IF NA appears, contact the Procurement Engineer posting the RFQ/RFP for instructions on what to do.

12

Exemptions to Administrative Qualifications for Contracts

• Bo

Both F th Federal and ederal and Stat State-F e-Funded nded: A non-engineering firm is exempt from the administrative qualification requirement.

• Federal Only:

ederal Only: No e No exem emptions ptions for engineering f r engineering firms . rms . Any firm providing engineering or design relat engineering or design related services must be administratively qualified by the closing date of the proposal to compete unless they are eligible to utilize the “Safe Harbor” indirect cost rate. Remember: Eligibility must be approved by the PEPS AQ Group PRIOR PRIOR to closing date of the proposal to compete.

• Stat

ate-F e-Funded onl nded only: : A provider performing a service under standard work category 18.2.1, subsurface utilities engineering, or any of the following work groups, as listed on the department's precertification website, is exempted from administrative qualification, to the extent of the service being performed:

• Group 6, bridge inspection;
• Group 12, materials inspection and testing;
• Group 14, geotechnical services;
• Group 15, surveying and mapping; and
• Group 16, architecture.

12

Timing of Administrative Qualifications (AQ)

• Depends on whether pr

Depends on whether procurement is a stat

• curement is a state-funded

e-funded or f

• r federal

deral pr process.

• cess.

All pr All procurements o

• curements other than

her than F Federal req deral require appr e approved A ed AQ in place in place at the time of at the time of selection selection; WHEREAS WHEREAS, Currently Currently, the F he Federal pr deral process req

• cess requires an appr

ires an approved A ed AQ t to be be in in place at the time y place at the time your SOQ is submitt ur SOQ is submitted. d. Beginni Beginning with FY ng with FY 20 2018, W , Wave 3 3 inst instead of ead of a a three st three step pr ep process:

• cess:

SOQ, Pr SOQ, Proposal and Int

• posal and Interview the

w the Federal pr deral process will reduce a tw

• cess will reduce a two
• st

step pr ep process, the Pr

• cess, the Proposal
• posal and Int

and Intervie iew. The reduct The reduction do n down t wn to a tw a two st

• step pr

ep process

• cess will mean

will mean that that your A ur AQ will need t will need to appr approved and in place at the time the Pr ed and in place at the time the Proposal is

• posal is

submi submitted t d to PEPS. PEPS.

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Pre-Certification Process….

• Establishes the minimum technical qualifications to perform work under

standardized work categories

• Sargon Youhannazad, P.E., my assistant will present the Pre-Certification

Process and the Summary of Changes to Work Categories that are now in effect.

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Wrap-Up: Some Procurement Tips:

• Check that all

Check that all mandat mandator

• ry f

y forms are in y rms are in your pack ur package age

• Keep aler

eep alert t t to amen amendment dments . .

• Ask q

Ask questi estions when y

• ns when you ha

u have the oppor the opportun unit ity.

• Sho

Showca case y se your PM and task leaders. ur PM and task leaders.

• Focus on pr

cus on providing challenges, solutions and lessons learned. g challenges, solutions and lessons learned.

• Present inno

Present innovati tive ideas or alt ideas or alternativ rnatives . es .

• Be clear

Be clear, concise and t concise and techn chnical. cal.

• Use

Use space wisely space wisely, it is no , it is not f t for mar r marketing. g.

• QA/QC the SOQ b

QA/QC the SOQ by ref referring directly t rring directly to the RFQ Co the RFQ Cover Page r Page

• Use

Use your best e ur best exam amples and giv ples and give credi credit t t to the f the firm that rm that did the w did the work.

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Additional Procurement Tips

• Re

Read H HUB o

• r D

DBE l language i in the solicitation carefully the solicitation carefully

• Use

Use the HSP Quick Checklist t the HSP Quick Checklist to iden identify which Me fy which Method y thod you will use t u will use to com comple lete the HSP the HSP

• No

Not sure ho t sure how t w to f fill out HSP? ll out HSP? HSP HSP T Traini aining is a is avai ailable on the TxDO lable on the TxDOT we website. Automati matic Disq c Disqualificati ualifications R

• ns Regar

garding the HSP ing the HSP

• No

Not using t using lat latest v st version of the HSP ion of the HSP (Cu (Current v rrent version at the moment 2/20 ion at the moment 2/2017). ).

• For each pr

r each procurement fr

• curement from:
• m:

Com Comptr troller

• ller.Tex.g

x.gov w v websit bsite/pur e/purchasing hasing/v /vendor/hub/f endor/hub/forms, rms,

• Failure t

ilure to sign sign Section 4 Section 4 of the HS

• f the HSP –No

P –No oppor

• pportunity t

unity to resubmit ! resubmit !

• TBA or TBD used

TBA or TBD used in lieu of in lieu of a % a %

12

Networking with TxDOT

24

• Recommend visiting the

commend visiting the 8 8 PEPS PEPS Ser Service Cent ice Center ers stat s state-wide e-wide for ne r netw tworking oppor

• rking opportunities:

unities:

• PEPS

PEPS Houst Houston Ser n Service Cent ice Center er Contact: Contact:  Direct Director: r: Gail Gail Eileen Morea, P Eileen Morea, P.E. @

• E. @ 713-802-5

3-802-5795 795

 Assistant:

Assistant: Sargon Y Sargon Youhannazad, P uhannazad, P.E.

• E. @

@ 713-802-589 3-802-5891

• Study

Study the Pr the Project

• jected Contracts list post

ed Contracts list posted on TxDO ed on TxDOT’s T’s int nterne ernet t sit site

• Visit with the

Visit with the District’s District’s Direct Director of r of Transpor ansportation Planning tation Planning & & De Development: lopment: Mr Mr. . William William R.

• R. Brudnick
• Brudnick. P.E. 7
• E. 713-802-503

3-802-5031

• Visit with

Visit with the the District’s Direct District’s Director of r of Construction at Construction at the the district: district: L Lucio cio F

• F. Or

Ortiz, tiz, P.E.

• E. @

@ 713-802-548 3-802-5481

Q & A