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Community College Facilities & Procurement

Community College Facilities & Procurement: A Work–in-Progress

Situation:

Even when Community Colleges have funding for building smarter, more adaptive new facilities, the procurement process they have been forced to step through is one of the most antiquated in the country, delaying construction for a year or more at a time and unnecessarily increasing the costs of construction projects.

McCallum Group helped enact 4 or 5 different changes over the past several years that have modernized the procurement process and helped colleges put buildings in place much faster at less cost.

Challenges & Opportunities:

  • In the past, statewide bonds were the only way for Community Colleges to get funding for construction and required a 2/3’s vote to pass; and only a certain level of bonding per 100 dollars of assessed value was possible.
  • Gaining buy-in from outside influences such as building trade unions, architects, engineers and developers added to the challenges.
  • Proposed changes to the outdated and inappropriate standards were viscerally opposed by those in the building trade who faced lost income.

Strategic Approach:

  • Seek to ease the standards to be more adaptive and contemporary and aligned to those faced by other colleges and higher education facilities. Examples of these proposed, contemporized standards include:
    • Design-build—a District could hire a contractor do design and build a project all-in one.
    • Design-assist—using two contracts, the District can bring in general contractors to assist in the design earlier, resulting in a more integrative, effective outcome. Then when the college goes out to bid they have a more accurate scope of work and are equipped to more accurately estimate costs.
    • Best Value Procurement—Applies to equipment and materials only—this process allows the college to include other items in the Request for Proposal (RFP) such as life cycle costs and sustainability. This approach offers a smarter way to purchase sustainable products that last longer, and allows colleges to make larger purchases. This simplifies the process for the college and allows them to get better service by including a service component in the RFP, as well.
    • District gets to craft the deal considering all aspects based on their requirements and weigh the responses accordingly.
  • Engaged media involvement to stir public interest and support.
  • Worked to gain buy-in from those in the building trade who opposed the effort.

Outcome and Reflections:

Thanks to McCallum Group, the cap that required 2/3’s of a local vote for funding was lifted to pass with 55% of the vote. As a result, the college now receives a bond that is 4 times larger to start with for the same amount of effort.

Best Value and Change Order Clarification—McCallum Group successfully ushered through legislation that would have authorized community college districts to utilize best value in purchases of equipment and materials negotiating amendments that removed most opposition. The bill also would have clarified change order thresholds for construction projects. The bill, unfortunately, was ultimately vetoed by the Governor despite overwhelming support in the legislature.

Design-Assist—McCallum Group was involved in multiple meetings with building trades groups to generate support for this LACCD proposal which would streamline the delivery of facilities. The measure was not heard, however, due to opposition from the public engineers group, PECG. McCallum Group continues to work with the building trades on the proposal.

The foundation is being laid for a contemporized procurement process resulting in facilities that are more efficient, cost-effective and responsive to student needs, yet still aligned with safety standards.

Patrick reflects:

“This work is incredibly difficult, among the hardest stuff we do . . . and yet it’s worth it.

Design/assist and best value expand on options districts have to deliver on 21st century facilities and allow them to be able to more efficiently procure what they need with dwindling general fund resources.”

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