1. Update on CUPCCAA and Conversation with a Commissioner
California General Services Association
2017 General Services Conference XIV
Sacramento, CA

2. What is CUPCCAA?
The California Uniform Public Construction Cost Accounting Act (Act) was established in under PCC §22000 et seq.
The California Uniform Construction Cost Accounting Commission (CUCCAC) was created by PCC §22010 to govern the Act.

3. Any local agency may opt into the Act
Who May Participate?
Any local agency may opt into the Act
Cities
Counties
Community College Districts
School Districts
Special Districts
Participation is voluntary

4. Participating Agencies
Total Participating Member Agencies – 1,032
School Districts
426

5. Allows participating agencies to:
Benefits of the Act
Allows participating agencies to:
Raise bidding thresholds for informal & formal processes
Simplify bidding process for small projects or do with agency employees
Perform projects with agency employees up to set limits

6. No Bids Required Projects below $45,000 may be performed by:
Benefits of the Act
No Bids Required
Projects below $45,000 may be performed by:
Agency’s own workforce, by force account
Negotiated Contract
Purchase Order

7. Informal Bids Project value $45,000 - $175,000
Benefits of the Act
Informal Bids
Project value $45,000 - $175,000
Competitive bids using informal bidding procedures
Bidders list
Trade journals and exchanges
Award bids at staff level

8. Formal Bids Public projects greater than $175,000
Benefits of the Act
Formal Bids
Public projects greater than $175,000
Competitive bids following specific notice provisions, unless otherwise allowed using bidding lists and trade journals/exchanges

9. Informal Bidding Notification
Recent Updates
Informal Bidding Notification
Maintain a list of qualified contractors according to categories of work and notify them of bid.
AND/OR
Notify trade journals specified in Section

10. Ensures compliance with the Act
What Does CUCCAC Do?
Ensures compliance with the Act
Conducts cost accounting reviews when needed
Recommends changes in force account limits and bidding thresholds to SCO for legislative changes
Works with the SCO & legislature to update PCC as appropriate

11. Who are the Commissioners?
CUCCAC is comprised of 14 commissioners:
Thirteen appointed by the State Controller
7 represent public agencies
Includes 1 County Auditor-Controller or his/her designee
6 represent trades and contractors
One Commissioner appointed by the Contractor’s State License Board

12. Who are the Commissioners?
Public Agency Representatives
George R. Hicks, Past Chair
Director of Public Works, City of Fairfield
Cities
Guiselle Carreon, Secretary
Commercial Warrants and Accounts Payable Manager, San Diego County Office of Education
School Districts (ADA <25,000)
Robert Campbell
Auditor-Controller, County of Contra Costa
County Auditor or Designee
Will Clemens – Vice Chair
Central Services Director, County of San Luis Obispo
Counties
Paavo Ogren
Oceano Community Services District
Special Districts
Steven L. Hartwig
Deputy Director of Public Works, City of American Canyon
Nathaniel Holt
Director of Purchasing and Contracts, Pomona Unified School District
School Districts (ADA >25,000)

13. Who are the Commissioners?
Trades and Contractor Representatives Contractor’s State License Board Appointee
Jeff Armstrong
Apprenticeship Director,
Northern California Laborers’ Union
Labor
Eddie Bernacchi
President, Politico Group
Subcontractors
Cesar Diaz
Legislative Director, State Building and Construction Trades Council
Ken Kayser
Independent Consultant, Prior Teichert Construction manager
General Contractors
David Cruce
Papich Construction
Mike Hester
McGuire & Hester
Linda Clifford, Current Chair
CSLB Appointed

14. How to Become a Participating Agency
Governing Board passes a resolution or uses formal decision making process (school districts)
District adopts a policy outlining informal bidding procedures (as outlined in PCC)
Notify the State Controller’s Office in writing.
Follow the Cost Accounting Policies and Procedures Manual (recently updated with both legislative and non-legislative changes)

15. Practical Advice
Work cooperatively with the Construction Industry Force Account Council (CIFAC)

16. Practical Advice – Avoid these three deadly sins
PCC 22042
”The commission shall review the accounting procedures of any participating public agency where an interested party presents evidence that the work undertaken by the public agency falls within any of the following categories:
(a) Is to be performed by a public agency after rejection of all bids, claiming work can be done less expensively by the public agency.
(b) Exceeded the force account limits.
(c) Has been improperly classified as maintenance”.

17. Practical Advice – What is “maintenance”?
PCC 22002(d) “(1) Routine, recurring, and usual work for the preservation or protection of any publicly owned or publicly operated facility for its intended purposes. (2) Minor repainting. (3) Resurfacing of streets and highways at less than one inch. (4) Landscape maintenance, including mowing, watering, trimming, pruning, planting, replacement of plants, and servicing of irrigation and sprinkler systems. (5) Work performed to keep, operate, and maintain publicly owned water, power, or waste disposal systems, including, but not limited to, dams, reservoirs, powerplants, and electrical transmission lines of 230,000 volts and higher”.

18. Practical Advice – Avoid “bid splitting”
PCC ”It shall be unlawful to split or separate into smaller work orders or projects any project for the purpose of evading the provisions of this article requiring work to be done by contract after competitive bidding”.

19. Practical Advice – Publicly declare road commissioner work
PCC 22031(g)
 ”Any county board of supervisors or county road commissioner acting pursuant to the authority granted in paragraph (2) of subdivision (b) shall publicly declare its intention to use this authority prior to commencing work. The public declaration may be on a project-by-project basis, via a list of anticipated projects for the fiscal year, or via a list that may be included in the county’s annual budget”.

20. Practical Advice – What is the complaint process
PCC “(a) In those circumstances set forth in subdivision (a) of Section 22042, a request for commission review shall be in writing, sent by certified or registered mail received by the commission postmarked not later than eight business days from the date the public agency has rejected all bids. (b) In those circumstances set forth in subdivision (b) or (c) of Section 22042, a request for commission review shall be by letter received by the commission not later than eight days from the date an interested party formally complains to the public agency. (c) The commission review shall commence immediately and conclude within the following number of days from the receipt of the request for commission review: (1) Forty-five days for a review that falls within subdivision (a) of Section (2) Ninety days for a review that falls within subdivision (b) or (c) of Section (d) During the review of a project that falls within subdivision (a) of Section 22042, the agency shall not proceed on the project until a final decision is received by the commission. (e) A request for commission review pursuant to Section shall be in writing, sent by certified or registered mail, and received by the commission no later than eight days from the day an interested party formally complains to the public agency. The commission review shall commence immediately and conclude within 90 days from the receipt of the request for commission review.”

21. QUESTIONS? For future reference please refer to: CUCCAC web page:
Cost Accounting Policies and Procedures Manual
FAQs
References and resources
Past meeting minutes and reports
Contact Commissioners and SCO