2006 Accomplishments at a Glance
Investigations: $428,085,800 |
Governor Signs Two CIFAC Bills to Enforce Bidding
Two CIFAC sponsored bills became law that will benefit the public works construction industry. The first was AB 2372 (Pavley) that authorizes the California Uniform Construction Cost Accounting Commission (CUCCAC) to remove a signatory public agency that, on three separate occasions within a 10-year period, violates the bidding procedures specified in the Public Contract Code. When local agencies sign up, their bidding thresholds increase from $5,000 to $125,000 for formal bids. Violating agencies' thresholds would drop back to $5,000 for 5 years. The second bill was AB 1986 (De La Torre). It requires any auxiliary or foundation of the California State University (CSU) system to comply with California State University contract laws when performing construction work paid for in whole or in part by public funds. CIFAC's complaint was that CSU had used their foundations to make, what in actuality were public works projects, into "privately funded" projects in order to avoid competitive bidding. This will no longer happen. |
Mendocino Coast District Hospital Settles
CIFAC's position was that the District used an unlicensed contractor as construction manager, bid shopped to get the prices they wanted, negotiated contracts rather than bid them and generally thumbed their noses at the law. After a three–year battle, the District settled with CIFAC, agreed to use licensed contractors and to follow the code. The CEO and the Board of Trustees rejected a $4.85 million bid as too high, and brought the project in at more than $8.3 million. Good work |
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CIFAC Convinces City of Oroville to Bid
In response to a complaint from a local contractor, CIFAC's Field Rep. found that Oroville city employees were demolishing a parking garage in preparation for a City Hall expansion, which would also be done by city employees. CIFAC's argument was that this was a "public project" as defined in the Public Contract Code. By having city workers do the site work, including pouring a foundation, the City was in violation of the code. On September 5th, CIFAC's Field Rep. reiterated his opinion to the Oroville City Council, who approved putting the rest of the $750,000 City Hall Expansion Project out to competitive bid. |
City of Fresno Puts Neighborhood Projects Out to Bid — At Last!
Persistence pays off. CIFAC and AGC Fresno, after a 6–year battle, won new bidding opportunities for contractors and unions. In 2005, the Council adopted a resolution to spend $45 million in 6 years to repair neighborhoods. The streets and roads director wanted to hire 54 new maintenance workers, and use $5.6 million to buy equipment to do all the construction. But CIFAC and the Contractors said "no way," and the Mayor intervened, holding a "pave–off" between contractors and city crews. The results — two neighborhood contracts were competitively bid and awarded to American Paving and Granite Construction, more are expected. Fresno has had 6 Public Works Directors in six years and the streets and roads director was dismissed. |
CIAF/FCIA Trusts Grants Give CIFAC Entrance into Southern California
The grants allowed CIFAC staff, working half–time, to investigate 22 projects. Contractors and labor union representatives alike enthusiastically worked with CIFAC to provide solid leads and good information that kept Field Reps. from wasting time on inconsequential problems. Many jurisdictions violate the force account and bidding codes because they've never been challenged. Some rely on bad advice from their attorneys who are not experts in the public contract code. This was especially true with school districts. Others are willing to rethink their methods — the City of Fontana comes to mind. In December, a second grant was awarded that made CIFAC a statewide organization. |
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City of Fontana Does the Right Thing
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The City of Fontana was doing indefinite quantity contracting for, what staff had defined, as maintenance. It included grading, sidewalks, curbs and gutters, electrical and painting work, all done without formal bidding or the payment of prevailing wages. After several meetings with CIFAC's Field Rep., the purchasing director made a major effort to correct these practices, including pulling contracts awarded earlier in the year and putting the $12 million worth of projects out to competitive bid. |




