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2023 CalAPA Spring Conference presentation by CIFAC on public agency contract law compliance

  1. CalAPA Spring Asphalt Pavement Conference & Expo Ontario, CA - March 23 – 24, 2023 Presentation by: Tony Morelli Southwestern Regional Compliance Manager
  2. Who is CIFAC? CIFAC is a non-profit organization supported by various contractors, contractors’ organizations and labor unions Created in 1977 to prevent force account violations We are supported by and represent the public works construction industry as a whole; not individual contractors
  3. What is CIFAC’s mission? CIFAC 1 To prevent force account violations To create and increase job opportunities for the public works construction industry through competitive bidding To create a level playing field for contractors 2 3 To educate the industry, the public and public agencies 4 5 To enforce the California Public Contract Code
  4. What does CIFAC do? CIFAC ▪ Monitors public agencies ▪ Investigates potential violations ▪ Works with agencies to bring them into compliance with the law ▪ Educates on PCC requirements ▪ Initiates complaints with the California Uniform Construction Cost Accounting Commission ▪ Litigates serious violations of the law ▪ Legislates to clarify the PCC ▪ Acts as a resource for PCC questions
  5. ▪ Force account work ▪ Work misclassified as maintenance ▪ Emergency work not meeting criteria allowed by law ▪ Lack of proper advertising ▪ Bid splitting to avoid competitive bidding requirements ▪ Public construction bid openings done in private ▪ Change orders not within the original scope of work What type of violations does CIFAC investigate? CIFAC
  6. What is force account? CIFAC Force account is the use of an agencies own labor force or day labor to complete work The dollar value of labor, material and equipment is calculated to determine if a project meets/exceeds the force account limit or bid threshold amount listed in PCC This amount determines if the project must be competitively bid
  7. What are some force account limits? There are over 100 different agencies and force account limits listed in PCC General law cities: $5,000 Counties, depends on population: $4,500-$6,500, excluding roads and bridges School districts: $15,000 CUCCAA signatory agencies: $60,000
  8. Clarity To clarify the law with respect to competitive bidding requirements. Compliance To ensure full compliance with competitive bidding statutes as a means of protecting the public from misuse of public funds. Opportunity To eliminate favoritism, fraud, and corruption in the awarding of public contracts. Integrity To provide all qualified bidders with a fair opportunity to enter the bidding process, thereby stimulating competition in a manner conducive to sound fiscal practices. What is the purpose of the PCC?
  9. What agencies are covered by the PCC? Cities (PCC may not apply to charter cities) Counties School Districts California State Universities Community college districts Special districts Caltrans Parks and Recreation districts Most local and some state public agencies including:
  10. CIFAC How can you help? Watch Watch for violations and be ready to report Note the scope of work, location, agency: the more details the better Contact your CIFAC Representative with concerns or questions Record Contact 1 2 3
  11. How do I get more information? For more information, helpful links or the latest news and reports use the following contact options: (800) 755.3354