LTC 218-2005 CMB Job Ordering Contract (JOC) System Receives Top Honor For Best Practice in Public Procurement
CITY OF MIAMI BEACH
Office of the City Manager
Letter to Commission No. 218-2005
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From:
Mayor David Dermer and Date: August 11, 2005
Members of the City Commission
JorgeM.Gonzalez ~. ~
City Manager 0 .y 0
CITY OF MIAMI BEACH JOB ORDER CONTRACTING (JOC) SYSTEM RECEIVES TOP
HONOR FOR BEST PRACTICE IN PUBLIC PROCUREMENT.
To:
Subject:
The purpose of this LTC is to inform you that the National Institute of Governmental Purchasing
(NIGP), at its 60th Annual Forum and Products Exposition, announced that the City of Miami Beach's
Job Order Contracting (JOC) System received top honor for the best practices in pUblic
procurement.
Organized in 1944, NIGP is an international not-for-profit educational and technical organization of
public purchasing agencies. N IGP is composed of 70 affiliate chapters and more than 2,100 agency
members representing federal, state and local government levels throughout the United States and
Canada. These agencies represent over 12,000 individuals serving the public procurement
community.
NIGP's Presidential Citation for Excellence and Outstanding Achievement "Best Practices" Award
recognizes efficient, effective and economical ways to achieve current procurement activities. The
City of Miami Beach's JOC System was announced at NIGP's 60th Annual Forum and Products
Exposition as the top winning entry.
NIGP recognized the City's JOC system as a bold solution to a complex problem shared by most
governmental agencies -- achieving timely and cost effective construction services. The City's JOC
system was considered an innovative contracting system to enhance responsiveness while
providing a higher level of quality work at a lower cost.
The City's JOC system has issued 131 projects in a period of 24 months totaling $22,922,248.25.
The number of construction projects initiated and awarded via JOC in the aforementioned two-year
period (131 projects), is greater than the total number of construction projects awarded via
traditional bidding (78) in the past five years! Additionally, there have been no contractor-initiated
change orders or litigation on any JOC project.
Under JOe the contractor jointly scopes the work with the City and any misunderstanding or
confusion is openly discussed and resolved prior to the issuance of a Notice to Proceed. If a
question arises during the proposal development the contractor is free to contact the City's
representative and get the appropriate answers. This non-adversarial relationship eliminatEt; the
underlying cause of most claims and change order requests. ~ ::¡J
Since the structure of the JOC is a series of sequential work orders, the contractorS: haw arÇ:
on-going financial incentive to produce quality projects. If the contractor fails to maintain ~~ d~ire¢i~
level of quality, the City can elect to give future projects to other JOC contractors. :¡; ::;-,~ "
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Please advise if additional information is needed. ~ _ m
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