Carrie Murphy, Contracts Specialist Advanced DTSD/Bureau of Project Development Consultant Services Section September 30, 2015

New WisDOT Internet Solicitations Work Orders Amendments Subconsultants Common Issues, Quick Review, News, Questions & Resources 2

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4 See main link to new consultant Real Estate pages Real Estate The Engineers and Consultants / Structure and roadway page includes quick links to applications (CARS, Esubmit, READS, etc.); communication resources; consultant contract management (contract documents, submittal instructions, etc.) and more...

5 Remember to watch for RE news! RE news

6 Solicitations occur every eight (8) weeks

WisDOT’s current solicitation page... consultants/solicitations/default.aspx Notice note in “red” stating... “No late submittals accepted” 7

 Consultants should add WisDOT’s bimonthly solicitation page as a “favorite/bookmark.” Staff can also go here to view what’s posted and what might be coming up; see: consultants/solicitations/default.aspx consultants/solicitations/default.aspx  WisDOT’s main solicitations page includes quick links to: schedule, general solicitation instructions, ESubmit application, 12 month rolling (projected) solicitation info, and more!  Each current posting includes a detailed Scope of Services w/project description.  Postings are organized and sorted first by regions, then statewide.  Solicitation Schedule  Solicitations occur every eight (8) weeks.  Shows key dates, including projected (possible upcoming) solicitation projects. 8 * Bimonthly solicitations and the resulting contract process is the focus of this presentation, but it’s possible staff and consultants for WisDOT may also experience with one or more other contract types.

 Consultants need to know solicitation schedule.  WisDOT does not do reminders of upcoming dates or upcoming opportunities.  Consultants must take it upon themselves to look for opportunity, review scope of services carefully, follow all instructions, and submit their notice of interest (NOI) accordingly. Watch deadlines.  No late submittals accepted! 9

10 consultants/cnslt-rsrces/rdwy/fdm.aspx

 All notice of interest’s (NOI’s) submitted electronically before deadline and according to instructions will be reviewed.  Using a qualifications based evaluation process and ranking system, selections are recommended by an internal review committee, but must be approved by WisDOT’s Administrator’s Office.  After selections are published to the web, notification is sent to consultants, regional staff and key bureau contacts. 11 WisDOT Consultant Section processes

 Primes are responsible for quality control of subconsultant documents and for all work performed by their subconsultant.  Subconsultants are required to submit a CFR, if their portion of the contract is for actual cost or their portion of the contract is $75,000 or above regardless of payment type.  Subconsultant work totaling less than $75,000 [except for actual cost] do not need an approved CFR for overhead rate on file and do not need fee comp sheets, but they must provide detailed cost estimates on their firm’s letterhead. The WisDOT project manager will review and approve reasonable costs.  Subconsultants cannot be listed as a direct expense if they provide labor to the contract.  All subconsultants must be added through the original contract or amendment. Any staff new to a consultant firm may require special approval through Real Estate Capability Statement process.  Refer to WisDOT’s Facilities Development Manual (FDM) / Chapter 8 – Consultant Services. 12

13 Before the Work Order When WisDOT has services they would like performed by a consultant, before a Work Order is drafted, there’s scoping, estimating, scheduling considerations, and more... Some of the steps that go into planning before a Work Order is developed is to determine the scope of work needed; develop a project description; the deliverables and schedule; estimate time needed; review timelines; estimate costs for services; and, determine the schedule of when we need services completed. Then, we can start developing a Work Order.

 Project manager in conjunction and cooperation with consultant will prepare a draft of Work Order consisting of: Work Order Cover Signature Page Scope of Services Fee comp sheets Work Order Submittal Checklist (DT1520)DT1520 See WisDOT’s ‘building a contract’ information at: rsrces/contracts/default.aspx rsrces/contracts/default.aspx 14

15 Once WisDOT’s project manager and consultant agree Work Order is complete and accurate, a draft must be sent to WisDOT’s CSS contract specialist for review prior to starting any work on project. No work may begin on any project without a fully executed (signed) contract. Basis of payment needs to be stated correctly. Ensure proposal letters are signed and on company letterhead. Contract dollar amount on cover pages must match what’s depicted on Fee Comp Sheets. Direct expense items and overhead rate types need to match current Consultant Financial Report (CFR) descriptions. CFR’s are not required for appraisal firms using low bid/cost per unit procedure Basis of payment language, consultant, project manager, and completion date all get entered on signature page (see ‘sample’ below). Contract documents are available at consultants/cnslt-rsrces/contracts/con-docs.aspx. consultants/cnslt-rsrces/contracts/con-docs.aspx ‘Sample’ basis of payment language area

16 Each page contains varying forms and instructions as may be needed for consultant contract management

Required for any modification in the terms of the original contract.  If services should have been performed under original contract terms, do not initiate an amendment.  Amendments may not be used for additional work on projects not included in original contract.  Amendments are negotiated and processed in the same manner as original contract regardless of their value.  Justification and approval is needed when cost exceed 50% of original contract and each subsequent amendment. See Amendment Submittal Checklist (DT1521)DT

 Activity codes and tasks don’t match consultant activity task list  Amendments materials not being submitted in a timely or complete manner  Contract dollar amounts on cover pages don’t match fee comp sheets  Contracts end date missing  Copy and paste functions must have been from another base template (wrong info)  DBE (DT1029), if needed, wasn’t signed and dated by prime consultant (except, DBE is not typically applicable to Real Estate contracts)  Direct expense items and overhead rate types aren’t matching current consultant financial report (CFR) descriptions  Direct labor X % fixed fee X 2.5 = fixed fee/profit figures reflect 1/1/2013 update  Expired CFRs (not applicable to appraisal/appraisal review master contracts)  Fee comp sheets should depict ‘fixed fee’ instead of ‘profit’ (use correct formula)  Incomplete and inaccurate project descriptions on fee comp sheets  Inconsistent fixed fee amounts and completion dates in various parts of contract  Missing required supporting documents or documentation  Old forms used  Outdated allowable costs (federal mileage rates, wage escalation, etc.)  Primes not taking responsibility for quality control of subconsultant paperwork  Reports of work being started prior to a formally executed contract (a BIG “no, no, no!”)  Special Provisions are missing or outdated draft was included  Unsigned proposal letters and missing company letterhead  Use of multiple tasks under one activity code without showing summary of hours for that code 18

 WisDOT project manager and consultant determine that work is complete.  Consultant submits invoice marked ‘FINAL’ through CARS.  WisDOT project manager completes appropriate evaluation.  Evals are required on all contracts and full service work orders over $10,000 and for specialty master contracts, but evals are not required on individual work orders. Real Estate best practices, however, is to do evals after each completed work order agreement.  Real Estate no longer uses our paper eval forms, and instead has a full- service and an appraisal version now available in CARS; evaluation required within three months of contract completion. 19

$Lump Sum – A specific total dollar amount for all services is paid, regardless of the actual costs incurred. $Actual cost plus fixed fee – Reimbursement of allowable costs incurred up to a set maximum amount, plus a set fixed fee; consultant must have a current CFR in order to use this method of payment. $Cost per unit of work – A specific dollar amount is paid per completed unit of work (this is type for appraisal/review appraisal work). $Specific rate of compensation – A specific hourly/daily rate is paid for each class of employee or type of equipment; rate includes employee pay, overhead, and profit. 20

21  Bimonthly solicitations (FDM )*  Sole Source (FDM 8-5-5)  Small Purchase (FDM )  RFP (FDM ) * Bimonthly solicitations is main focus of this presentation, but it’s possible that as staff or as a consultant for WisDOT, you may have already been involved with one or more of these other contract methods or may be in the future.

Sole Source Awards Used when competition is limited due to uniqueness; emergencies; and/or inadequate response. WisDOT must obtain approval prior to negotiations. Small Purchase Contracts $120,000 max original contract amount ($150,000 max including amendments. Special requirements: standard questions and criteria are developed to rank firms. WisDOT identifies a min of three qualified firms. Evaluates proposals. Upon selection approval, negotiations begin. Can’t be used to complete a project in chunks. Request for Proposal Used when additional information is required. Ensure information cannot be obtained in regular NOI If using QBS, cost cannot be a factor. If QBS does not apply, firms may be scored on cost. 22 Quick explanation of our most common contract methods

23 Separate handout available!

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25 Thank you!