3.02.140 Construction-related projects.
A. Bidding. All construction-related projects including building improvements, public works, road improvements, and special street requirements shall follow the formal bidding procedures unless stated otherwise in this chapter. The city may use informal bidding procedures with a prequalified vendor list as described in Section 3.02.090. Any expenditure of the city involving building improvements or public works projects shall comply with applicable provisions set forth at Section 11-39-101 et seq. of the Utah Code Annotated, as amended. Any expenditure of the city involving the construction, maintenance or improvement project of a Class B or C road or work excluded under Section 11-39-104 of the Utah Code Annotated, as amended, shall comply with applicable provisions of the State Transportation Code, including, but not limited to, Sections 72-6-108 and 72-6-109 of the Utah Code Annotated, as amended. No check or warrant to cover any claim against appropriations shall be drawn unless the claim has been processed according to the relevant provisions provided herein.
1. Construction and maintenance must be made pursuant to plans, specifications, and estimates that shall be created under the supervision of the procurement officer and/or contracted consultant.
2. Bid Security. Contracts for construction-related projects may provide for a bid security in the amount equal to at least five percent of the amount of the bid.
3. Bonds. Construction contractors must deliver performance and payment bonds for the full contract price. The procurement officer may waive this requirement after consultation with the city attorney’s office if bonds are unnecessary for the protection of the city.
4. Rejection. The city may reject any or all bids submitted. If, after twice advertising, no satisfactory bid is received, the city council may proceed to negotiate or make the improvement or acquisition or enter such other agreements as it deems necessary or desirable.
5. Exempt Expenditures. The formal bidding procedures do not apply to exempt expenditures or expenditures between seven thousand five hundred dollars and one cent and fifty thousand dollars for construction-related projects.
6. Withheld or Retained Payments. The city may withhold payments for poor performance or other work-related reasons. Special requirements apply to retainage, where sums are withheld as security under the contract. To implement retainage, first consult with the city attorney’s office.
B. Contractor Licensing and Requirements. When evaluating any construction-related bid, the following shall apply:
1. To receive a contract award, a contractor must be licensed in the state of Utah at the time of submitting a bid with an appropriate license to perform the work.
2. In accordance with Section 72-6-110 of the Utah Code Annotated, the work must be prepared and performed under the direct supervision of a registered professional engineer, who must certify to the city that the project conforms to the design and construction standards currently adopted by the American Association of State Highway and Transportation Officials.
3. The city may impose other licensing requirements, and, when appropriate, may regard a lack of subcontractor licensing at the time of the general contractor’s bid as a matter relating to the responsibility of the general contractor.
4. The contractor and subcontractor, if any, must demonstrate to the city’s satisfaction that the contractor has and will maintain a drug and alcohol testing policy during the period of the contract that applies to all covered individuals employed or hired by the contractor or subcontractor and subjects the covered individuals to random testing under the drug and alcohol testing policy.
5. The contractor and subcontractor, if any, must demonstrate to the city’s satisfaction that the contractor and subcontractor have and will maintain a program to actively recruit and/or employ veterans.
6. The contractor and subcontractors, if any, must demonstrate to the city’s satisfaction that the contractor and subcontractor have and will maintain a job training program, such as, by way of example and not limitation, a federal, state and/or city recognized job training program.
7. The contractor and subcontractors, if any, must demonstrate to the city’s satisfaction that the contractor and subcontractor have, and will maintain, a safety program.
C. Construction Management and Selection. The procurement officer shall select the type of construction management that will protect and be in the best interest of the city. Factors to be considered are:
1. The type of contract that is appropriate;
2. The need for and availability of outside consultants;
3. The experience, qualifications and availability of city personnel assigned to the project;
4. Requirements related to project financing;
5. The needs of the project; and
6. The administrative burden imposed by the method selected.
D. Types of Construction Management. The procurement officer may select any combination of the following construction management methods, or other methods, as appropriate:
1. Single Prime Contractor. A single general contractor is responsible to complete an entire project in accordance with the contract and may subcontract portions of the work.
2. Multiple Prime Contractors. A number of specialty contractors complete portions of the project pursuant to contracts with the city. The city or one of the contractors may have primary responsibility for completion or coordination of the entire project.
3. Design-Build or Turnkey. A single contractor or team is responsible to both design and construct the project to meet performance criteria specified by the city.
4. Construction Manager. A qualified person is responsible to coordinate the design and construction of the project and may oversee a variety of functions such as time, cost, quality and administration of change orders. The person may have some construction responsibilities as well.
5. Sequential Design and Construction. The project’s design is substantially completed before construction begins.
6. Phased Design and Construction or Fast Track Construction. The project’s construction begins after portions of the design are substantially complete, but design continues during the construction.
E. Notice. In addition to the requirements of this chapter, the following construction-related projects must meet the applicable notice requirements:
1. Notice for building improvements or public works projects, as defined under Utah Code Annotated Section 11-39-101, as amended, must comply with Utah Code Annotated Section 11-39-103(1), as amended.
2. Notice for highway improvement projects, as defined under Utah Code Annotated Section 72-6-109, as amended, must comply with Utah Code Annotated Section 72-6-108(3), as amended. (Ord. 2023-02 § 1 (Exh. A); Ord. 2018-12 § 1 (Exh. A (part)))