PP-100

1. PP-100, Procurement of Professional Consulting Services as Governed by F.S. 287.055 Why use the policy? How to use the policy? Negotiations

2. Why? • PP-100 was established in order to abide by Florida Statute 287.055. The policy requirements are based on the following sections: • (2) DEFINITIONS • (a) “Professional services” • (g) “Continuing contract” • (3) PUBLIC ANNOUNCEMENT AND QUALIFICATION PROCEDURES • (4) COMPETITIVE SELECTION • (5) COMPETITIVE NEGOTIATION

3. DEFINITIONS • "Professional services" means those services within the scope of the practice of architecture, professional engineering, landscape architecture, or registered surveying and mapping, as defined by the laws of the state, or those performed by any architect, professional engineer, landscape architect, or registered surveyor and mapper in connection with his or her professional employment or practice. • A "continuing contract" is a contract for professional services entered into in accordance with all the procedures of this act between an agency and a firm whereby the firm provides professional services to the agency for projects in which construction costs do not exceed $1 million, for study activity when the fee for such professional service does not exceed $50,000, or for work of a specified nature as outlined in the contract required by the agency, with no time limitation except that the contract must provide a termination clause.

4. DEFINITIONS CONT’D • (3) PUBLIC ANNOUNCEMENT AND QUALIFICATION PROCEDURES • (a)  Each agency shall publicly announce, in a uniform and consistent manner, each occasion when professional services must be purchased for a project the basic construction cost of which is estimated by the agency to exceed the threshold amount provided in s. 287.017 for CATEGORY FIVE ($250,000) or for a planning or study activity when the fee for professional services exceeds the threshold amount provided in s. 287.017 for CATEGORY TWO ($25,000), except in cases of valid public emergencies certified by the agency head. The public notice must include a general description of the project and must indicate how interested consultants may apply for consideration.

5. DEFINITIONS CONT’D(3) PUBLIC ANNOUNCEMENT AND QUALIFICATION PROCEDURES CONT’D • (b)  Each agency shall encourage firms engaged in the lawful practice of their professions that desire to provide professional services to the agency to submit annually statements of qualifications and performance data. • (c)  Any firm or individual desiring to provide professional services to the agency must first be certified by the agency as qualified pursuant to law and the regulations of the agency. The agency must find that the firm or individual to be employed is fully qualified to render the required service. Among the factors to be considered in making this finding are the capabilities, adequacy of personnel, past record, and experience of the firm or individual.

6. DEFINITIONS CONT’D(3) PUBLIC ANNOUNCEMENT AND QUALIFICATION PROCEDURES CONT’D • (d)  Each agency shall evaluate professional services, including capabilities, adequacy of personnel, past record, experience, whether the firm is a certified minority business enterprise as defined by the Florida Small and Minority Business Assistance Act of 1985, and other factors determined by the agency to be applicable to its particular requirements. When securing professional services, an agency must endeavor to meet the minority business enterprise procurement goals under s. 287.09451.

7. DEFINITIONS CONT’D • (4)  COMPETITIVE SELECTION.-- • (a)  For each proposed project, the agency shall evaluate current statements of qualifications and performance data on file with the agency, together with those that may be submitted by other firms regarding the proposed project, and shall conduct discussions with, and may require public presentations by, no fewer than three firms regarding their qualifications, approach to the project, and ability to furnish the required services.

8. DEFINITIONS CONT’D(4)  COMPETITIVE SELECTION CONT’D • (b)  The agency shall select in order of preference no fewer than three firms deemed to be the most highly qualified to perform the required services. In determining whether a firm is qualified, the agency shall consider such factors as the ability of professional personnel; whether a firm is a certified minority business enterprise; past performance; willingness to meet time and budget requirements; location; recent, current, and projected workloads of the firms; and the volume of work previously awarded to each firm by the agency, with the object of effecting an equitable distribution of contracts among qualified firms, provided such distribution does not violate the principle of selection of the most highly qualified firms.

9. DEFINITIONS CONT’D(4)  COMPETITIVE SELECTION CONT’D • The agency may request, accept, and consider proposals for the compensation to be paid under the contract only during competitive negotiations under subsection (5). • (c)  This subsection does not apply to a professional service contract for a project the basic construction cost of which is estimated by the agency to be not in excess of the threshold amount provided in s. 287.017 for CATEGORY FIVE ($250,000) or for a planning or study activity when the fee for professional services is not in excess of the threshold amount provided in s. 287.017 for CATEGORY TWO ($25,000).

10. DEFINITIONS CONT’D • (5)  COMPETITIVE NEGOTIATION.-- • (a)  The agency shall negotiate a contract with the most qualified firm for professional services at compensation which the agency determines is fair, competitive, and reasonable. In making such determination, the agency shall conduct a detailed analysis of the cost of the professional services required in addition to considering their scope and complexity. For any lump-sum or cost-plus-a-fixed-fee professional service contract over the threshold amount provided in s. 287.017 for CATEGORY FOUR ($150,000), the agency shall require the firm receiving the award to execute a truth-in-negotiation certificate stating that wage rates and other factual unit costs supporting the compensation are accurate, complete, and current at the time of contracting.

11. DEFINITIONS CONT’D(5)  COMPETITIVE NEGOTIATION CONT’D • Any professional service contract under which such a certificate is required must contain a provision that the original contract price and any additions thereto will be adjusted to exclude any significant sums by which the agency determines the contract price was increased due to inaccurate, incomplete, or noncurrent wage rates and other factual unit costs. All such contract adjustments must be made within 1 year following the end of the contract. • (b)  Should the agency be unable to negotiate a satisfactory contract with the firm considered to be the most qualified at a price the agency determines to be fair, competitive, and reasonable, negotiations with that firm must be formally terminated. The agency shall then undertake negotiations with the second most qualified firm.

12. DEFINITIONS CONT’D(5)  COMPETITIVE NEGOTIATION CONT’D • Failing accord with the second most qualified firm, the agency must terminate negotiations. The agency shall then undertake negotiations with the third most qualified firm. • (c)  Should the agency be unable to negotiate a satisfactory contract with any of the selected firms, the agency shall select additional firms in the order of their competence and qualification and continue negotiations in accordance with this subsection until an agreement is reached.

13. How? • Determine if this is a Study or Construction • Study Activity – Professional Services not resulting in any construction • Construction – Professional Services resulting in construction • What about surveying and mapping? • Unless either of these directly result in construction they are to be considered “study activity”

14. Keep in Mind When Determining the Proper Procedure • “Construction Costs” are based on budgeted amount, best prepared estimate, etc. and are for the construction costs not the A&E (professional services) costs • “Study Costs” as above are based on budgeted amount, best prepared estimate, etc. , but are for the cost of the professional services.

15. Primary Dollar Value Milestones: • Under $250,000 for A&E Services / Construction • (slide 16) • $250,000 to $1,000,000 for A&E Services / Construction • (slide 18) • Under $25,000 for A&E Services / Studies • (slide 19) • $25,000 to $50,000 for A&E Services / Studies • (slide 21) • $50,000 to $1,000,000 for A&E Services / Studies • (slide 22)

16. Under $250,000for A&E Services / Construction • Firms may be chosen by the user department from the list of firms on the “continuing contract’ without public advertising. Departments shall establish a ranking of firms. • Negotiations with the chosen firm shall be publicly noticed per the attached checklist for public meetings and records (Sunshine Law) Form #F0175 and documented in the form of a “task order”. Any meetings shall be noticed two business days before the meeting.

17. Under $250,000 for A&E Services / Construction cont’d • c) Documentation regarding the manner of selection and negotiations shall be maintained by the user department and copies provided to the Office of Purchasing per the attached checklist for Public Meetings and records (Sunshine Law) Form #F0175. • d) “Task Orders” shall be awarded and signed in accordance with County Code of Ordinances, Sec. 46-64, Award Approval and Threshold Authority. Task Orders shall be prepared by the client department, including signature of the firm then submitted to Purchasing, together with a requisition to encumber funds, to the Purchasing Manager.

18. $250,000 to $1,000,000for A&E Services / Construction • a) Departments may follow the process outlined in section VI, A, 1 outlined above with the added provision. The meeting to select the firms to be ranked shall be publicly noticed to all firms on the Continuing Contract. This notice shall be provided to the Office of Purchasing as in section VI, A, 1 above.

19. Under $25,000 for A&E Services / Studies • Firms may be chosen by the user department from the list of firms on the “continuing contract’ without public advertising. Departments shall establish a ranking of firms. • Negotiations with the chosen firm shall be publicly noticed per the attached checklist for public meetings and records (Sunshine Law) Form #F0175 and documented in the form of a “task order”. Any meetings shall be noticed two business days before the meeting.

20. Under $25,000 for A&E Services / Studies Cont’d • c) Documentation regarding the manner of selection and negotiations shall be maintained by the user department and copies provided to the Office of Purchasing per the attached checklist for Public Meetings and records (Sunshine Law) Form #F0175. • d) “Task Orders” shall be awarded and signed in accordance with County Code of Ordinances, Sec. 46-64, Award Approval and Threshold Authority. Task Orders shall be prepared by the client department, including signature of the firm then submitted to Purchasing, together with a requisition to encumber funds, to the Purchasing Manager.

21. $25,000 to $50,000 for A&E Services / Studies • a) Departments may follow the process outlined in section VI, A, 1 outlined above with the added provision. The meeting to select the firms to be ranked shall be publicly noticed to all firms on the Continuing Contract. This notice shall be provided to the Office of Purchasing as in section VI, A, 1 above.

22. $50,000 to $1,000,000 for A&E Services / Studies/Scope Specific Continuing Contract • Requires establishment of the initial contract. • Department prepares “scope of work” • Preparation of RLI (Request for Letters of Interest) • Public announce via formal advertisement in local paper • Single or Multiple Source Providers • Single – discussions/interviews with “no less than three” firms to be held, ranking, successful negotiations with number one firm & recommendation to the Board • Multiple – confirmation of minimum requirements, establishment of “fee schedule” for contract award & recommendation to the Board

23. Public Announcement • Fax or Email all firms on the prescribed list • Notification shall include: • Date • Time • Location • Department Name • Intent Statement • Post notice in “Public” location within building • Notice shall be faxed or emailed and noticed two business days prior to the actual meeting

24. Meeting • Use F0175 as the agenda for your meeting. In doing so you will be assured of meeting all of the requirements of PP-100. Specific items to remember are: • Keep a copy of your public notice • Committee member list • Firms Reviewed • Ranking of firms • Rational for number one firm

25. F0175 Sample Form

26. Negotiations and Task Order • All of these “Professional Services” contracts have been established based on a “Maximum Ceiling” basis for Overhead, Profit and Facilities Cost of Capital Monies. • Overhead – 168% • Profit – 12% • FCCM – 1.5% • When you are negotiating with the firm remember that these are the maximum amount allowed and not an established amount you are required to accept.

27. Task Orders • Task Orders shall be prepared for each negotiation. • Task Orders are to be prepared by the department not the firm providing the services. • The firm’s fee proposal is to be included as an attachment to the Task Order. • A sample Task Order is available on the Office of Purchasing Web Site (P&P Form F0180)

28. Finalize the Process • Transmit the following to Purchasing • Requisition • Task Order • Firm’s Fee Proposal • P&P Form F0175 • Copy of Public Notice • Copy of Board action, if applicable

29. Suggestions • Seek the help of the Office of Purchasing. We can send out the public notice, provide assistance at the meeting (Preparing F0175, taping the meeting, etc.), assist with negotiations, etc. • Establish “Continuing Contracts” for reoccurring needs (Drainage Basin Studies, Construction Administration Services (Civil Engineering), etc.) • Combine meeting times, plan several meetings for one morning or afternoon event.