Agenda

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Special BCC Meeting-New Jail RFP Presentations

Meeting Date:	08/08/2017
Issue: Utilitzation of Owner Direct Purchases
From:	Amy Lovoy
Department:	Asst County Administrator
CAO Approval:

Information

RECOMMENDATION:

Recommendation Concerning Utilization of Owner Direct Purchases - Amy Lovoy, Assistant County Administrator

That the Board authorize staff and the chosen design-build entity to utilize Owner Direct Purchases (ODP) for all purchases where utilization of same is to the cost-benefit of the County.

BACKGROUND:

Current policies allow the County to utilize Owner Direct Purchases (ODP) when it is cost beneficial to the County. This is a method whereby the County acts as the pass-through agency for a contractor on subcontracts or other agreements to purchase material . This allows the County to purchase these goods tax-free with the savings passed on to the project. Additional savings may be realized if the County negotiates a cost reduction for the associated reduced premium cost for the project price guarantee.

BUDGETARY IMPACT:

The current estimated savings are about $2,000,000.

LEGAL CONSIDERATIONS/SIGN-OFF:

N/A

PERSONNEL:

N/A

POLICY/REQUIREMENT FOR BOARD ACTION:

N/A

IMPLEMENTATION/COORDINATION:

This process is often accomplished through a series of purchase orders to the supplier with a simultaneous change order to the primary contractor.

Attachments
Owner Direct Purchases - Exhibit G