(a) It is the intent of the Legislature to enable the use of job order contracting as an option for constructing transportation and public works projects when it is anticipated that the use of this method will reduce procurement costs or expedite project completion in a manner that is not achievable through the design-bid-build method. It is the intent of the Legislature that this contracting method will improve the efficiency and efficacy of contracted work and not supplant work completed by the department’s field maintenance employees.

(b) (1) The department may use the procurement method outlined in this article for job order contracts.

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Terms Used In California Streets and Highways Code 217.1

  • Construction: includes :

    California Streets and Highways Code 29

  • Contract: A legal written agreement that becomes binding when signed.
  • Department: means the Department of Transportation of this state. See California Streets and Highways Code 20
  • highway: includes bridges, culverts, curbs, drains, and all works incidental to highway construction, improvement, and maintenance. See California Streets and Highways Code 23
  • Job order: means a firm, fixed-priced, lump-sum order issued by the department to a job order contractor for a definite project scope or work as compiled from the unit price catalog to be performed pursuant to a job order contract. See California Streets and Highways Code 217
  • maintenance: includes any of the following:

    California Streets and Highways Code 27

  • Project: means the specific requirements and work to be accomplished by the job order contractor in connection with an individual job order. See California Streets and Highways Code 217
  • Unit price catalog: means a book containing specific construction tasks and the unit prices to install or demolish that construction. See California Streets and Highways Code 217

(2) A job order contract of the department shall be competitively bid and awarded to the lowest bidder providing a qualified responsive bid.

(c) (1) The department may use job order contracting, consistent with this article, when undertaking the following projects:

(A) Highway maintenance or safety projects, including, but not limited to, bridge deck sealing, bridge and asphalt pavement overlays, concrete pavement slab work, repair and replacement of active transportation and complete streets facilities, joint seals, installation of new traffic safety devices, rumble strips, and traffic control devices, and other safety, bridge repair, or highway repair projects that are basic and repetitive.

(B) Traffic management and detection system installation, replacement, and repair.

(C) Tree removal.

(D) Clearing and grubbing.

(E) Culvert installation and repairs.

(F) Improvements to, removal of, and installation of facilities, systems, and traffic control devices needed to comply with the federal Americans with Disabilities Act of 1990 (Public Law 101-336).

(G) Facility repairs, including, but not limited to, building maintenance.

(H) Installation of stormwater pollution control devices.

(I) Safety barriers.

(2) No job order contract may be awarded for adding vehicular travel lanes.

(3) The department shall, when undertaking job order contracting for the projects specified in paragraph (1), establish a procedure to prequalify job order contractors for projects and shall prepare a set of documents for each job order contract. The documents shall include all of the following:

(A) A unit price catalog of construction tasks with preestablished unit prices.

(B) Job order contract specifications.

(C) Any other information deemed necessary to adequately describe the department’s needs.

(4) Based on the documents prepared under paragraph (3), the department shall develop a system for evaluating job order contract bids for the award of job order contracts. The award of a job order contract shall progress as follows:

(A) The department shall prepare a request for bids for job order contracts based on the documents prepared under paragraph (3) that invites prospective contractors to submit sealed bids in the manner prescribed by the department.

(B) Each bidding contractor shall include in its bid one or more adjustment factors to the established unit prices provided in the request for bids based on the advertised technical specifications.

(C) Each bidding job order contractor shall identify any subcontractors to be used for the job orders performed pursuant to the awarded job order contract pursuant to Chapter 4 (commencing with Section 4100) of Part 1 of Division 2 of the Public Contract Code.

(D) The award of job order contracts, if any, shall be made to one or more job order contractors that the department determines to be qualified and responsive based upon preestablished criteria to be determined by the department.

(5) Any job order contractor that is selected for a project pursuant to this article shall possess or obtain sufficient bonding to cover the contract amount for construction services and risk and liability insurance as the department may require.

(6) Nothing in this article is intended to affect, expand, alter, or limit any rights or remedies otherwise available at law.

(d) Notwithstanding paragraph (3) of subdivision (c) and subparagraph (B) of paragraph (4) of subdivision (c), the department may, in accordance with the requirements of § 14838.7 of the Government Code, award a job order contract pursuant to this article with an estimated value of greater than five thousand dollars ($5,000) but less than the cost limit, as specified in subdivision (b) of § 10105 of the Public Contract Code, after obtaining written bid submittals from two or more certified small businesses, including microbusinesses, or from two or more disabled veteran business enterprises.

(e) Job order contracts may be executed for an initial contract term of no more than 12 months with the option of extending or renewing the job order contract for two 12-month periods. All extensions or renewals shall be priced as provided in the request for bids. An extension or renewal shall be mutually agreed to by the department and the job order contractor.

(f) On or before July 1 of each year, until July 1, 2033, the department shall publish on its internet website regarding the status of all active job order contracts and those job order contracts that expired in the previous year. The report shall include, but is not limited to, all of the following information:

(1) A listing of all projects completed under each job order contract.

(2) The name of each job order contractor awarded a contract.

(3) The estimated and actual project costs.

(4) The estimated procurement time savings.

(5) A description of any written protests concerning any aspect of the solicitation, bid, proposal, or award of the job order contract, including, but not limited to, the resolution of the protests.

(6) A summary of small business usage.

(7) A summary of Labor Code violations, including, but not limited to, prevailing wage, apprenticeship, and health and safety statutes to the extent information is readily available.

(8) The percentage of the project completed by subcontractors certified by the Department of General Services as small business and disabled veteran business enterprise.

(9) Recommendations regarding the most appropriate uses for the job order contract process.

(g) Job order contracts shall be monitored by the department’s labor compliance program for compliance with federal and state labor laws.

(Added by Stats. 2023, Ch. 58, Sec. 4. (SB 146) Effective July 10, 2023. Repealed as of December 31, 2033, pursuant to Section 217.2.)