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Page Updated 1/25/12
 

This guide has been prepared to answer some of the most frequently asked questions about working with Mohave. We look forward to working with you and your organization.


CONTENTS   Arrow What Is Job Order Contracting?
Arrow Who Are the Contractors?
Arrow What Can the Contractors Do?
Arrow How Are Jobs Priced?
Arrow Are There Any Limits Under JOC?
Arrow How Do Members Use JOC?
Arrow Mohave Job Order Contracting Brochure


QUESTIONS?   Please contact a member of the Contracts Team with any contracting questions as follows:

Purchase order and invoicing questions should be directed as follows:
   

What Is Job Order Contracting? 3 Job Order Contracting (JOC) is a construction project delivery method in which…

  • The contract is a requirements contract for indefinite quantities of construction.
  • The contract to be performed as specified in delivery orders issued during the contract.
  • Finance services, maintenance services, operations services, preconstruction services, design services, and other related services may be included.
JOC is intended for minor new construction, renovations, repairs and additions, including but not limited to…
  • Any project that is operating under extreme pressure due to time constraints and lack of dependable resources
  • Minor construction projects (up to $1M)
  • HVAC and Electrical
  • Routine repairs
  • Renovations of all types
  • Upgrades to ADA standards
  • Emergency repairs
  • Site work and utilities
  • Parks and playgrounds
  • Upgrade landscaping
  • Classroom additions
  • Complete new buildings
  • Replace flooring

Mohave Job Order Contracting Brochure
A guide for a better understanding of
Mohave’s JOC contracts
(PDF, 556 KB)
 
   

Who Are the Contractors?   GENERAL CONTRACTORS SPECIALTY CONTRACTORS (HVAC, DIVISON 23) FENCING CONTRACTORS
   

What Can the Contractors Do?   General JOC contractors can perform all construction services, with the primary guide for allowable work being the current RS MEANS Facilities Construction Cost Data (MEANS). Each division in MEANS lists a number of construction tasks, services and commodities. With the exception of excluded division 1 items, the contractor can provide any item listed in MEANS. The general JOC contracts also contain provisions for items not listed in MEANS and for construction services based upon open book pricing.

Specialty JOC contractors may perform construction services in their specialty areas only. The primary guide for allowable work will be the awarded divisions in the current RS MEANS Facilities Construction Cost Data (MEANS). The specialty JOC contracts also contain provisions for items not listed in MEANS.

Fencing JOC contractors may provide all types of fencing, with the primary guide for allowable work being the Unit Price Book developed by Mohave. The fencing JOC contracts also contain provisions for items not listed in the Mohave Unit Price Book.

   

How Are Jobs Priced?   For the general JOC contracts, the specialty JOC contracts, and the fencing JOC contracts, job orders, or projects, are primarily priced from the applicable Unit Price Book (UPB). The general JOC contracts and the specialty JOC contracts use RS MEANS Facilities Construction Cost Data (MEANS) as the UPB. For these contracts, the UPB is supplemented by other MEANS cost indexes and the HVACR Trade Service price guide. The fencing JOC contracts use the Mohave Fencing UPB.

Under UPB pricing, the contractor and member determine the scope of the project. The contractor determines the UPB line items required for the project and the quantity of each line item. The quantity for each line item is multiplied by the applicable unit price. This is the base price for construction services.

For contracts using MEANS as the UPB, the applicable city cost index is applied to the base construction services amount. There is not a city cost index in the Mohave fencing UPB.

The adjusted construction services cost is the multiplied by the pricing coefficient (i.e., .82) to obtain the net construction services cost.

Some required construction services items might not be listed in UPB. The contract contains provisions for pricing and adding those items as non-prepriced items.

For the general JOC contracts only, an alternate open book pricing method is available. Under open book pricing, the member and the contractor agree on the scope of project. The contractor obtains firm price quotes from subcontractors for each project specialty. The contractor also determines the firm general conditions cost for the project. A general and administrative cost multiplier is applied to the direct project cost and general conditions cost. A profit multiplier is applied to the adjusted direct project cost and general conditions cost to provide the net construction services cost.

Applicable bond and sales tax are added to the construction services costs.

Professional services, if requested, are charged in addition to construction services cost.

   

Are There Any Limits Under JOC?   In general, no single job order, or project, may exceed $1M. The Arizona Revised Statutes specify that no project shall be artificially divided to avoid the single project limit. Members should carefully consider the scope of each project to ensure it does not exceed the project cost cap.

The law permits the governing bodies of some entities to formally raise the job order limit above $1M. Mohave will honor higher job order limits appropriately approved by the applicable governing bodies.

   

How Do Members Use JOC?   Contact the contractor and meet to determine the scope of the project.

Obtain a detailed quote from the contractor.

Obtain a detailed price quote from the vendor. UPB quotes will provide a list of UPB line items, line item quantities, line item unit prices, extended line item costs, total cost before coefficient, and total cost after application coefficient. Open book pricing quotes will include a completed open book pricing summary. Obtaining a detailed quote will help ensure the project was priced correctly.


Note: The Performance and Payment Bond requirements that are applicable to other construction purchasing also apply to JOC.

Prepare a purchase order made out to the contractor and attach the contractor’s detailed quote. Email of fax the purchase order to Mohave.
Mohave uses the quote to verify that the job was priced in accordance with the contract. Failure to attach the quote will delay the project.
Mohave forwards "MESC Reviewed" purchase order to the contractor.

Contractor performs the work after the "MESC Reviewed" purchase order is received. The member also receives a copy of that purchase order.

Starting the project before receipt of an "MESC Reviewed" purchase order is a violation of the contract and may result in termination of the contract.
Contractor invoices the member for completed work.
Larger projects may require progress payments. Decide on progress payments prior to issuing your purchase order. Make a note on the purchase order if progress payments will be used.
Member pays vendor’s invoice.
Pay promptly. Certain statutory timelines apply to payments made on construction projects. Mohave’s admin fee is included in the invoiced amount. The vendor will remit the admin fee to Mohave.
Contract Pricing