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Contract Administration Core Curriculum Participant’s Manual and Reference Guide 2006

Contract Administration Core Curriculum Participant’s Manual and Reference Guide 2006

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Published by Larry Lyon

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Published by: Larry Lyon on Jul 02, 2011
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05/12/2014

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Contract AdministrationCore CurriculumParticipant’s ManualandReference Guide2006
 
FHWAOffice of Infrastructure Office of Program Administration Contract Administration Group (HIPA-30)400 7 
th 
Street SW Washington, D.C. 20590 http://www.fhwa.dot.gov/programadmin/contracts/index.htm 
 
 i
Table of ContentsI.
 
GENERAL 1
 
 A.
 
Course Objectives 1
 
B.
 
FHWA Structure 2
 
C.
 
The Federal-aid Highway Program 3
 
D.
 
System Management 3
 
E.
 
Program Administration 4
 
F.
 
Legislation 6
 
G.
 
Project funding 10
 
H.
 
Standards and Program Oversight 11
 
I.
 
The Planning Process 13
 
J.
 
Project Authorization / Project Agreement 15
 
K.
 
Federal Funding for Construction Applicability of Requirements 16
 
L.
 
Office of the Inspector General 18
 
M.
 
Development of Directives 19
 
N.
 
The Rulemaking Process 21
 
O.
 
Information Resources 26
 
II.
 
FEDERAL STATUTE OR REGULATION 28
 
 A.
 
Required Contract Provisions (Form FHWA-1273) 28
 
1.
 
General 29
 
2.
 
Nondiscrimination 32
 
3.
 
Nonsegregated Facilities 35
 
4.
 
Payment of Predetermined Minimum Wage 36
 
5.
 
Statements and Payrolls 44
 
6.
 
Record of Materials, Supplies, and Labor 46
 
7.
 
Subletting or Assigning the Contract 47
 
8.
 
Safety: Accident Prevention (Compliance with OSHA Regulations)50
 
9.
 
False Statements Concerning Highway Projects 51
 
10.
 
Implementation of the Clean Air Act & Federal Water PollutionControl Act 52
 
11.
 
Certification Regarding Debarment, Suspension, Ineligibility, andVoluntary Exclusion 53
 
12.
 
Certification Regarding the Use of Contract Funds for Lobbying 54
 
13.
 
Employment Preference for Appalachian Development HighwayContracts (Attachment A) 55
 
B.
 
Other Contract Provisions 57
 
1.
 
Buy America 57
 
2.
 
Disadvantaged Business Enterprise 61
 
3.
 
Indian Preference on Federal-aid Projects 65
 
4.
 
Noncollusion Statement 68
 
5.
 
On-the-Job Training 69
 
6.
 
Standardized Changed Conditions Contract Clauses 74
 
C.
 
Other Program Requirements 79
 
 
 ii1.
 
Drug-Free Workplace 79
 
2.
 
Public Agencies in Competition with the Private Sector 80
 
3.
 
Public Interest / Cost Effectiveness Findings 81
 
4.
 
Equipment 82
 
a.
 
Publicly Owned Equipment 82
 
b.
 
Contractor Purchased Equipment for State Ownership 83
 
c.
 
Equipment Rental Rates 84
 
5.
 
Materials 87
 
a.
 
Convict Produced Materials 87
 
b.
 
Patented/Proprietary Products 88
 
c.
 
State Preference 91
 
d.
 
State Owned/Furnished/Designated Materials 92
 
6.
 
Salvage Credits 93
 
7.
 
Foreign Contractor and Supplier Restriction 94
 
III.
 
STATE PROCEDURES 95
 
 A.
 
Pre-Award Procedures 95
 
1.
 
Standard Specifications and Standard Plans 95
 
2.
 
Engineer's Estimate 96
 
3.
 
Method of Construction 99
 
4.
 
Value Engineering 101
 
5. Life-Cycle Cost Analysis 103
 
6.
 
Contract Time 104
 
7.
 
Road User Cost 105
 
8.
 
Time-Related Incentive/Disincentive (I/D) Provisions 107
 
9.
 
Quality - Price Adjustment Clauses 112
 
10.
 
Commodity Price Adjustment Clauses 117
 
11.
 
Bonding and Prequalification 120
 
12.
 
 Advertising for Bids 124
 
13.
 
Bid Opening and Tabulation 126
 
14.
 
Bid Analysis and Award of Contract 133
 
B.
 
Post-Award Procedures 137
 
1.
 
Bid Rigging and Post Award Reviews 137
 
2.
 
Project Supervision and Staffing 139
 
3.
 
Highway Construction Funding Source Signs 142
 
4.
 
Progress Payments 143
 
5.
 
Change Orders (Extra Work and Time Extensions) 146
 
6
 
Claims 150
 
7
 
Liquidated Damages 157
 
8
 
Suspension and Debarment 159
 
9.
 
Termination of Contracts 162
 
IV.
 
Other Issues 165
 
 A.
 
Non-traditional Contracting Practices 165
 
1.
 
Experimental methods 166
 
2.
 
Non-experimental methods 168
 
a.
 
Cost-Plus-Time Bidding: 168
 

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