Appendix III

Department of Public Works Agency Administered Projects Procedures

Department of Public Works Agency Administered Project Procedures

Before an agency may administer and/or award a contract for construction, renovations, repairs or alterations to any State facility, permission must be received from the Department of Public Works (DPW) in accordance with C.G.S. Sec. 4b-52. State Agencies may be granted permission by DPW to administer projects based on the following construction costs:

a) Constituent Units of Higher Education (except UConn) <= $2,000,000
b) Dept. of Environmental Protection >$500,000 but <=$1,000,000
c) All Other State Agencies <= $500,000

Permission of DPW is not needed to administer projects based on the following construction costs:
a) Constituent Units of Higher Education (except UConn) <=$100,000
b) Judicial Department <= $100,000.
c) Dept. of Environmental Protection <= $500,000
d) Legislative Management Any
e) University of Connecticut Any

Note: It is understood that all applicable State statutes, rules, regulations and codes will be adhered to in administering all projects. CT State University System procurement rules govern any procurement activities not governed by DPW Guidelines and Procedures for Agency Administered Projects under CGS 4b-52 or consultants selected under C.G.S. 4b-55 through 4b-59. Before DPW/Special Projects Unit gives permission for an Agency to administer their own construction projects, per the above noted construction cost limits, one of the following two procedures is required:
• A DPW Supplement to OPM B-100 form must be filled out and submitted by the Agency's Representative for all projects that exceed $50,000. In the case of CSUS, said original form must be signed by the University President or designee and submitted to the CSUS Director of Capitol Budgeting. The CSUS Director of Capitol Budgeting will review the request to determine the availability of funding and submit to DPW a formal request for the university to administer the project. The request will be submitted to the DPW's CSUS Team Supervising Project Manager or Administrator of Client Teams.
• Projects less than $50,000 only require a letter, signed by the University's representative and submitted to the CSUS Director of Capitol Budgeting, who will submit to DPW a formal request for approval for an agency administered project (See Appendix B)
• A copy of the B-100 form or the above noted project request letter shall be submitted to DPW's CSUS Supervising Project Manager.
• The DPW/Supplement OPM B-100 form must, at minimum, have the following blocks filled out in order to be considered for review and approval:

Section A:
Block No. 1 Project No.
Block No. 2 Project Title
Block No. 3 Date Initiated
Blocks No. 8 & 9 Bond Act & Section and Other Funding Sources
Block No. 10b. Agency Admin Project Budget Item
Section D:
Project Request/Approval
(If design services are required by DPW - Yes/No)
Agency Head's Signature and Date
• DPW will evaluate: a) The documentation; b) The project's complexity; and, c) The agency's abilities. If in agreement, DPW will sign the B-100 form or agency's Project Request letter and it will be returned to the CSUS Director of Capital Budgeting, granting permission to administer the project(s), with a copy to DPW's CSUS Team.
• When professional design services are requested, DPW's CSUS Team will provide the design selection via an appropriate process.
• DPW's CSUS team will authorize the design professional to initiate the design as soon as the requesting agency provides for the allotment of fees to DPW.
• Upon completion of the plans and specifications, the agency will obtain bids as outlined in the following "Bidding Procedures".

1. Bidding Procedures
• All bidders must receive the same information to assure that they are bidding on the same quantities and design documents.
• The date and time of bid opening must be clearly specified on the Invitation to Bid Form.
• Bids must be opened in a public setting, with at least one (1) witness present.
• A Bid Bond in the amount of 10% of the bid price must be submitted for projects in excess of $50,000.
• All bids received after the specified date and time shall be returned to the vendor unopened.
• The Invitation to Bid Form must state that the contractor is required to hold his bid price for sixty (60) days. In the event that the contract award is delayed beyond the sixty (60)-day period, the agency must obtain written confirmation from the contractor extending his bid.
• Minority & Small Business Set-Aside Program - All State Agencies that request to administer construction projects must comply with the following:
a. Apart from the exceptions shown below, construction contracts valued up to $500,000 shall be offered only to contractors that are registered with the Department of Administrative Services' Minority & Small Business Set-Aside Program.
b. At least two (2) bids must be received before a contract can be awarded. If, after a good faith effort to reach a sufficient number of potential set-aside bidders, only one bid is received, the agency may: (1) re-bid the project, including non-set-aside contractors, or (2) request a waiver of the re-bid from DPW. A waiver may be granted based on a demonstration of a good effort to reach a sufficient number of potential set-aside bidders and/or extraordinary circumstances relating to the project.
c. A minimum of 6.25 percent (6.25%) of each contract awarded to a Small Business Enterprise shall be reserved for Minority Business Enterprises (MBE). NOTE: Minority Business Enterprises include Women-Owned Business Enterprises.
Exceptions:
a. If a project involves a specialty trade, for which no registered certified set-aside contractor qualifies for submission of a bid, then the agency's contract compliance officer may approve the award of a contract to a non-set-aside contractor;
b. If a project involves a specialty trade, for which no certified set-aside contractor qualifies for subcontractor status, then the agency's contract compliance officer may approve the award of the contract without the 6.25% MBE requirement;
c. If the contractor performs more than ninety-three and three quarter's percent (93.75%) of the work then the agency's contact compliance officer may waive the 6.25% MBE requirement;
d. Other extraordinary conditions authorized by the agency's contract compliance officer or other authorized official, with justification provided to DPW will be considered on a case-by-case basis;
e. If a construction project is awarded to a DAS/On-Call service contractor,
• Formal Advertisement of Bid Notices in local newspapers - C.G.S. 4b-91 requires that any project estimated to cost more than $500,000, must be advertised in one or more newspapers with statewide circulation. Projects less than $500,000 do not require formal advertisement and each agency's commissioner has the authority to set the dollar limit for their formal bid ad requirements. The goal is to obtain a minimum of three (3) competitive bids.
o Standard Bid Documents - The following documents must be included in bid packages sent to all potential bidders, for projects less than $500,000:
a. Bid Form: Invitation to Bid Proposal Form (for projects less than $100,000, the STO-93 Standard Quote Form may be utilized)
b. Instructions to Bidders and Conditions of Bid (NOTE: MBE requirements should be part of Instructions to Bidders)
c. Standard General Conditions
d. Certificate of Insurance Form
e. Standard Bid Bond (For projects in excess of $50,000)
f. Specifications/Contract Drawings
g. Prevailing Wage Certifications Form (For projects in excess of $100,000)
h. Prevailing Wage Scale (For projects in excess of $100,000)
i. Contractor's Minority Business Enterprises Utilization Form (For projects in excess of $500,000)

• Prevailing Wage Rates - Section 32-53 of the C.G.S. requires contractors to pay prevailing wages as published by the State Labor Commissioner for projects with the following construction costs:
a. New Construction - greater than $400,000
b. Renovation projects - greater than $100,000
Projects costing less than the above amounts are not subject to the provisions of this statute. It is the responsibility of the agency administering the project to obtain prevailing wage rates from the State Department of Labor. Agencies can request wage rates through the Labor Department's web site (http://www.ctdol.state.ct.us).
• Certificate of Insurance/Bonds
Contractors for all projects involving labor and material must submit to the administering agency a certificate of insurance form covering Public Liability and Workers' Compensation, as well as surety bonds covering performance, labor and materials prior to the commencement of work. Surety bonds for labor and materials are not required for projects costing less than $50,000.
The administering agency is responsible for keeping a record of the bonds and for contacting the surety company to release the bonds upon 100% completion of the project.

2. Construction Phase
• Approvals/Certificates: Section 29-252a of the C.G.S. requires all State agencies to comply with the State Building Code. DPW can perform code reviews on drawings if an agency does not have adequate staff to perform them. Agencies are responsible for obtaining all applicable permits and approvals from the State Building Inspector, Fire Marshal (where required), Department of Health Services and Department of Environmental Protection.
• Contractors Invoices: Agencies are responsible for the review and approval of contractors' monthly invoices.
• Change Orders: In cases where additional work must be initiated, the agency must forward the following to the DPW/Special Projects Unit (only if the Change Order exceeds $10,000):
a. One (1) copy of the Change Order Request
b. One (1) copy of the contractor's proposal
All funding requests for change orders will be dealt with on a case-by-case basis and will require the above information. Funds for the individual change order will be transferred in accordance with Transfer Invoice Procedures.
• Project Completion
Upon completion of projects in excess of $50,000, the administering agency shall submit to DPW/Special Projects Unit a "Certificate of Compliance" form, signed by the agency's authorized representative, with a copy to the State Building Inspector's office (see attached sample). The agency should contact the contractor's surety company to authorize the release of the performance, labor and material bonds.The Department of Public Works reserves the right to inspect the project and to audit all project records relating to design, bidding, construction or payments.

3. Emergency Projects: Section 4b-52(c) of the Connecticut General Statutes authorizes the Commissioner of the Department of Public Works to declare that an emergency exists to restore or repair a State facility when the public safety or the proper conduct of essential State government operations are adversely affected by fire or other disaster and the estimated cost of repairs is less than $500,000. If the estimated cost of repairs is greater than $500,000 the written consent of the Governor must be obtained to declare that an emergency condition exists. NOTE The Agency's Authorized Representative is authorized by DPW to perform emergency building repairs (e.g., repair a steam line, roof leak) up to $7,500 without DPW's approval. The DPW/Special Projects Unit requires a quarterly report on all emergency repairs performed by an agency that were under the $7,500 limit, with a copy of the report to be given to DPW Client Team's Supervising Project Manager). In the event of an emergency in excess of the $7,500 limit, the agency must contact the DPW/Special Projects Unit immediately.

4. Transfer Invoice Procedures
As bids are received for each of the listed projects, the agency shall submit the bids and all supporting documents to the DPW/Special Projects Unit for review. Projects in excess of $50,000 must be submitted on an individual basis. Projects less than $50,000 should be submitted in groups. No work can begin until the PO is issued through the Office of the State Comptroller and all bonds and certificates of insurance are in place. For general obligation bond funded capital projects, upon Bond Commission approval, DPW Project Accounting will request allotment of funds. Upon approval and posting of bond funds, the DPW/Special Projects Unit will give the agency permission to award and administer the project or group of projects. The client agency shall accept DPW's Transfer Invoice and process such invoice through the appropriate client agency account established to accept funds transferred for agency administered projects. DPW's Transfer Invoices shall be in the amount of the construction bid only. Funds for change orders will be provided on a case-by case basis from an agency's "as needed" bond funds. The agency is responsible for the processing of all payments on the project through the agency's business and payment processing procedures. All agencies requesting Transfer Invoices for project funds from DPW are required to submit to DPW a bid tab form showing the names of all contractors invited to bid and all responses received from those contractors. The agency's contract compliance officer shall include any waiver authorizations to the bid tab memo.

5. Compliance with P.A. 01-7
• Completion/Status Reports
Sec. 18 of Public Act 01-7 requires that the Chief Administrative Officer of each agency that manages agency-administered construction projects in excess of $10,000 must file a report with the Secretary of the State Bond Commission no later than ninety (90) days following completion of the project. Completion is defined as the receipt of a Certificate of Occupancy or upon final payment to the contractor. This report must include the final cost of the project, the amount and reason for any funds to be held in retainage and the amount of unexpended bond funds, if any. All agencies receiving transfer invoices and permission to administer bond fund projects from DPW must provide the following to the DPW/Special Projects Unit by the end of each quarter of the fiscal year:
a. A Transfer Invoice listing all balances of any unexpended bond funds that remain from completed projects. The transfer invoice must reference the Project Number, Title, and the DPW-PR-1 # from the description field on the original Transfer Invoice.
b. A status report on each project for which funds were transferred. This report must include the percentage of project completion, an estimated date by which the project will be completed, and the final cost and final payment date of any projects completed during the quarter.
To facilitate reporting, DPW will provide an electronic spreadsheet listing all open projects for which funds were transferred and for which permission to administer was granted.
DPW will report all unexpended bond fund balances to the Secretary of the State Bond Commission for possible reuse or referral to the General Assembly as determined by the Secretary.

• Annual Reports
Each Chief Administrative Officer must file electronically an annual report summarizing the projects completed and the status of the bond funds allotted for each project. This report must be filed with the Co-chairs of the Finance, Revenue and Bonding Committee on or before January 1st of each year. A copy of this report must be provided to the Secretary of the State Bond Commission and the Commissioner of the Department of Public Works.

6. DAS On-Call Trade Contractor Services
Contract Award No. 07PSX0357 (Expires March 31, 2013)
When utilizing DAS/On-Call Trade Contractor Services, the Department of Public Works shall require the following:
a. For projects in excess of $10,000, agencies must submit the same request letter to DPW, as for projects less than $50,000.
b. Projects that are awarded and less than $10,000 shall be documented on a spreadsheet and submitted to DPW with the agency's construction status report by January 30th and June 30th of each year.
c. If a project involves the use of multiple contractors, the total value of the POs cannot exceed $95,000.
d. Attached list for DAS/On-Call Trade Contractors includes 20 separate trades contract services (Exhibit AA).
e. If a Trade Service is not included in said contract, upon request to DAS, a supplement to the existing contract may be added to include a new Trade Service.
f. If an agency is administering multiple renovation projects within the same building or buildings (campus-type facility), and the required renovations are within the same time frame, an agency shall not issue construction POs to DAS/On-Call trade contractors that exceed a total amount of $95,000. If initial construction estimates are in excess of $95,000, the projects(s) shall be bid out through the informal bid process.
(NOTE: DPW can assist agencies in developing plans and specifications. DPW will require a fee for said services.)
g. POs that are awarded to DAS/On-Call trade contractors shall be on a "Not to Exceed" dollar amount vs. a lump sum price. Hourly rates and material mark-ups shall be paid in accordance with the DAS/On-Call Trade Services contract.
h. Per said DAS contract, the use of sub-contractors is prohibited unless authorized in writing by the DAS/Procurement Services Unit. Agencies shall use discretion to ensure that no single vendor(s) is/are continually awarded Purchase Orders from either the DAS/On-Call Trade Services Contract or through the Informal Bidding process. All efforts shall be made by an agency's facility managers to identify and notify qualified contractors and sub-contractors for performing agency-administered projects.

7. Prequalification of Contractors: The DAS Contractor Prequalification Program (C.G.S. 4a-100) requires all contractors to prequalify
before they may bid on any construction, alteration, remodeling, repair or demolition of any public building, for work by the State or a municipality, estimated to cost more than $500,000 and which is funded in whole or in part with State funds.