The document discusses the Request for Competitive Sealed Proposals (RFCSP) process for construction contracts. It notes that RFCSPs allow for selection criteria other than price and cannot be used with federal or state funding. Selection criteria must be published in proposals, which must be advertised for two weeks. Best and final offers can be requested, contracts may be negotiated starting with the highest ranked respondent. Examples of selection criteria weighting schemes are provided, and analysis shows giving preference to local contractors increased costs 22% on average. A sliding scale local preference policy is recommended.

1. City Council
October 15, 2013

2. Request For Competitive Sealed Proposals
• RFCSP’s allow for selection criteria other than price for
construction contracts
• May not be used with Federal/State funding
• Selection Criteria must be published in the proposal.
• Must be advertised for 2 consecutive weeks
• Best and Final Offers can be requested
• Contract may be negotiated
• Negotiations begin with the highest rank respondent

3. RFCSP Documents
• RFCSP documents must reflect:
• Construction Documents
• Weighted Selection Criteria to be used
• Estimated Budget
• Estimated Completion Date
• Other information in order to respond to the request

4. Selection Criteria
• Texas Local Government Code criteria
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Price
Quality of Respondents Service
Safety Records
Proposed Personnel
Financial Capability
Any other relevant factor
• Local Preference
Research indicates that criteria varies depending on the city
and project requirements

5. Examples
• Example 1
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35 Points = Price
30 Points = Past Performance
20 Points = Project Management
10 Points = Subcontractors
06 Points = Litigation
05 Points = Relevant Experience
04 Points = Financial Stability
120 Total Points

6. Examples
• Example 2
• 70 Points = Price
• 15 Points = Local Presence/Experience
• 15 Points = Local Area Experience

7. Bid Analysis
Non-local
Airport Hangar $
348,574 $
1,132,000
Civic Events-Barn
WU-Red Bluff
2,306,430
WU-East Draw
2,296,201
WU-Water Line
1,344,648
Total $
7,427,853 $
Local
409,700 $
1,227,500
2,734,440
3,304,868
1,399,276
9,075,784 $
Increase cost to City $1.6M or 22%
Increase cost to City $1.6M or 22%
Diff
61,126
95,500
428,010
1,008,667
54,628
1,647,931

8. Recommendations
• Staff ‘s preferred approach is to use a balanced
methodology that will increase consideration for
awarding to local contractors, promote fair/open
competition and maximizing budget funds.
• Recommendation – Sliding Point Scale
Projected Contract Amount
%
<$500,000
5%
<$1.5 Million
4%
+$1.5 Million
3%

9. City Council
October 15, 2013