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Contract Administration Skills

A verbal contract isn't worth the paper it's printed on.

-Samuel Goldwyn

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Welcome

Name?

Where do you work?

How are you connected to Contracts?

What is your favorite ice cream?

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Reference Packet

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Consultant Services Web Site

www.dot.state.mn.us/consult

THE GREAT WEB TREASURE HUNT

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Scope of Services

First things first:

Every good contract begins with a good Scope of Services.

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Scope of Services

What are some characteristics of a good Scope of Services?

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Scope Hints

• KISS• State the obvious• Eliminate “gray” areas• Use “will” or “must”

instead of “shall”• Declarative sentences• Avoid lists• Use outline format• No legalese• Just say no to added risk

and responsibility

• No technical jargon• Avoid ambiguity• Avoid judgmental terms• Focus on the WWWWH• 20-30 word sentences• Eliminate prepositions• Say it once• Use active voice• Use 4 eyes!

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Scope Exercise

Read scenario/submittal from the Project Manager

With a partner, write down what additional information you might need from the Project Manager to write a good Scope of Services.

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Scope Exercise

Ask the Project Manager questions. Record your answers to help you write your scope.

Armed with the information from the Project Manager, write a Scope of Services for this project.

Use outline format, and no more than 2 pages long.

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Scope Exercise

Be sure to check for the 4 Cs:

Clear

Concise

Complete

Correct

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Scope Exercise

The eyes have it!

Switch scopes with at least two people. Be prepared to present an idea or opinion about what you have read!

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Contract Process Choices

So many options…which one will I

choose?

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Process Choices

Direct Select Annual Plan Informal RFP < $25K Informal RFP > $25K <

$100K Formal RFP Certified List Direct

Select Certified List RFP T-Contract Work Order

Single Source Joint Powers Interagency DOA Master Roster &

Master Contract Pre-qualified Direct

Select < $100K Pre-qualified >$100K &

< $800K Pre-qualified > $800K

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Direct Select - < $5K

Key points to remember:

• No Certification Form

• Do not write multiple contracts for the same Contractor under $5K

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Annual Plan - $5K per year per Contractor

Key points to remember:

• No Certification Form

• Check with Contract Management (Jim Cownie) before writing

• Usually used for training, seminars, and workshops

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Informal RFP - $5K to $25K

Key points to remember:

• Certification Form

• No Public Notice Required

• 10 affirmative responses required if no Public Notice (recommend Public Notice)

• Best Value Selection

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Informal RFP - $25K - $100K

Key points to remember:

• Certification Form

• Public Notice (10 business days)

• Sealed Proposal NOT required

• Best Value Selection

• Over $50K – need pre-award

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Formal RFP - > $100K

Key points to remember:

• Certification Form

• Public Notice (15 business days)

• Sealed proposals REQUIRED

• Best Value Selection

• Over $50K – need pre-award

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Certified List – Direct Select

Key points to remember:

• Only used for Market Research and Asbestos/Regulated Waste

• Standing Certification Form

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Certified List - RFP

Key points to remember:

• Only used for Market Research and Asbestos/Regulated Waste

• Best Value Selection

• Standing Certification Form

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T-Contract Work Order

Key points to remember:

• NO more T-CONTRACTS!

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Single Source

Key points to remember:

• Good idea to run it by Consultant Services before the Contractor is contacted

• Certification Form

• Single Source Justification Form

• Over $50K – need pre-award

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Joint Powers

Key points to remember:• Contract with city, county, school district, U of M,

other states, or governmental entities• One party may exercise common power on behalf

of other party• Certification Form• Single Source Justification Form• Over $50K need pre-award

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Interagency

Key points to remember:

• Contract with another State agency

• NO Certification Form

• Two signatures (each agency)

• NOT Met Council or University of Minnesota

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DOA Master Roster & Master Contract

Key points to remember:• For information technology projects up to $2

million• Uses special forms (on contract management

web site)• Direct selection up to $25K• Limited to vendors on the list

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Pre-qualified < $100K

Key points to remember:

• Certification Form

• Spread the work around

• All subcontractors must be pre-qualified

• Must obtain approval of selection

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Pre-qualified > $100K & < $800K

Key points to remember:• Certification Form• Public Notice soliciting Letters of Interest

(10 business days)• Selection Committee• Must obtain approval of selection• All subcontractors must be pre-qualified

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Pre-qualified > $800K

Key points to remember:• Certification Form• Public Notice soliciting Letters of Interest (10

business days)• Selection Committee short lists 3-5 firms• RFP to short-listed firms• Best Value Selection – same committee• Must obtain approval of selection• All subcontractors must be pre-qualified

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Federal Posting Times

Please check your reference packet for required posting times for Federal funded

contracts!

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Flow Chartswww.dot.state.mn.us/consult

Flow charts are on the web!

Call the HELP DESK if you need guidance: 651-297-7505

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Process Exercise

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Process Exercise

It’s the old “Pass the Envelope” exercise!

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Hands-On Training

Work with Consultant Services to establish correct Work Types!

Call John Kellerman at (651) 296-6519 to obtain Mn/DOT Contract Number

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Hands-On Training

CPS Form

Encumbrance Form

Certification form (with Scope)

Pre-Qualification Announcement (Over $100K)

Fill out and forward to Consultant Services with Consultant Coordinator signature.

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Consultant Services will:

Update Consultant Agreement Reporting and Tracking) CART

Return CPS to Administrator Route Certification Form for signatures Return signed Certification Form to

Administrator

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Hands-On Training

Contract Administrator will: Solidify dates in announcement Email announcement to Melissa McGinnis

so she can post it on the Web – be sure to include Mn/DOT Contract number!

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Hand-On Training

Selection Committee-Approval of CommitteeSelection Committee - Conflict Of InterestSelection Committee – Rating Form

During 10 day LOI period, CA will: Organize Technical Selection Committee Obtain approval of Committee from Dick Stehr Accept Letters of Interest Schedule Selection Committee meeting

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Hands-On Training

Contract Administrator will: Compile a list of firms that submitted a LOI Review the list to verify Pre-qualified status Forward the list via email to Brad Hamilton Request any documentation needed from

Consultant Services

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Hand-On Training

Selection Committee – Ranking Form

Selection Approval Memo

Selection Committee –Successful Respondent Letter

Selection Committee –Unsuccessful Respondent Letter

Contract Administrator will: Conduct Selection Committee meeting Email Brad Hamilton the name of selected Consultant Send out letters to selected and non-selected firms Obtain approval of selection from Dick Stehr

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Hand-On Training

Negotiations Finalize scope $$$ Schedule Team Deliverables

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Hand-On Training

Project Authorization Form

“TC08”

Fill out and send to Artemis Coordinator

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Write the Contract

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Hands-On Training

Contract – High Risk

Contract Administrator will fill out the Special Terms

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Hands-On Training

General Terms

Attach the General Terms to the Special Terms. Make sure that you add a header!

The Signature Page goes after the General Terms and before the Exhibits.

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Hands-On Training

Exhibits

Scope

Budget

Invoice

Progress Report

Key Personnel

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Hands-On Training

Contract Review

Locate the Contract Check List from the web site and check it against your contract.

Send the Contract to Consultant Services for review.

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Hands-On Training

Contract RoutingSignature Letter - ContractorContract Administrator will:-Make changes/corrections to the contract-Make 5 copies – front page YELLOW – -Send with cover letter to the Contractor for signature

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Hands-On Training

Contract RoutingWhen the contract comes back signed, the Contract Administrator will:- Check to make sure that signatures are correct (see hand-out)- Send all 5 copies with a copy of the Certification Form, Announcement, fully filled out Encumbrance Form, and TC08 to Dalia Jorge in Consultant Services.

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Signature Routing

Consultant Services will route for signatures. Once fully signed, CS will send back to the Contract Administrator.

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Hands-On Training

Notice to ProceedContract Administrator will send fully executed contract to the Contractor with the Notice to Proceed Letter.Other copies:-2 to Project Accounting MS 215-1 to Project Manager

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FILE DOCUMENTATION

See Reference Packet

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Questions & Discussion

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Class Evaluations