Proposed Rule - for 19A NCAC 02E .0702 Solicitation and Award of Contract and - 19A NCAC 02E .0703 Prequalifying to Award – Professional Services Firms

Link to the North Carolina Register on the Office of Administrative Hearings Web site.

The text of the proposed rules:

See attached PDF’s of the proposed rules.

An explanation of the proposed rules and the reason for the proposed rules:

The proposed rule revisions are necessary to comply with state requirements, clarify existing rule requirements, reorganize existing rules to improve usability, and codify existing policies. New administration code is being developed to codify an existing NCDOT program. The professional or specialized services have been expanded and amended to meet the requirements and to improve the usability of the rules.

The proposed rule revisions will enable Department staff to ensure contractors are properly qualified to perform the work and save project time and resources. Based on the current policy, the Department prequalifies Professional Services firms on an annual basis. Every year after the first approval, firms must renew their status by undergoing a shortened review process to verify that the key personnel of their firms have not changed. If the key personnel have not changed, the firm is renewed for one additional year, barring any professional or performance issues. Every three years after the first approval, the firm must go through a full review of their qualifications to determine whether the key personnel are still qualified to perform the services the firm wishes to perform on Department contracts.

The prequalification policy that the Department proposes to adopt through rule .0703 results in additional savings during the selection process of professional services contracts. The Department currently receives approximately 600 Letters of Interest (LOI) from teams of Professional Services firms for advertised contacts each year. The prequalification process for Professional Services firms allows the Department to verify whether a firm is qualified when these LOI’s are received. The savings come by only reviewing a firm’s qualifications every three years while verifying key staff of the firm annually versus reviewing a firm’s qualifications every time the firm submits a LOI or responds to Request for Proposals (RFP). This also results in cost savings for Professional Services firms in time and materials. Without the prequalification process, the Department would have to review every firm’s qualifications for every LOI or response to RFP submitted. Many Professional Services Firms submit multiple LOI’s in a year for different items of work (referred to as disciplines). This would result in a greater number of man-hours spent by both the Department reviewing the qualifications for every contract advertised, and for the Professional Services Firms preparing their qualifications on each contract advertised, increasing the labor cost for both. Furthermore, review and preparation of documents for each LOI or response to RFP would suspend each contract until the qualification reviews are completed that could in turn cause delays to the project schedule and ultimately delays to the traveling public.

Instructions on how and where to submit oral or written comments on the proposed rules:

Public Comment period ends June 30, 2014.

Written comments may be submitted as follows:
Online: Contact Us
By fax: 919-733-9150
By mail: APA Coordinator, 1501 Mail Service Center, Raleigh, NC 27699-1501

Oral comments may be submitted by calling 919-707-2800 and asking for the APA Coordinator.

A public hearing is scheduled for:
Tuesday, May 20, 2014 at 6:30 p.m. – 8 p.m.
Chavis Park Community Center
505 Martin Luther King Jr. Blvd
Raleigh NC

Not applicable to this package of proposed rules:

  • Federal Certification