ContractorPastPerformanceReport-FloridaDepartmentof.ppt

Rev 07/2004 Contractor Past Performance Rating Ananth Prasad Why the New System? More objective process Communicate performance issues proactively Tied to outcomes that are important to Customers “Raise the bar” on Contractor’s performance Factor in past performance as part of Low-Bid system (e.g. Design-Build) History(for contracts awarded from July 2000 thru’ December 2001) History(for contracts awarded from July 2000 thru’ December 2001) Comparison – Old vs. New Impacts of Past Performance Grades Rule 14-22 Florida Administrative Code Impacts to pre-qualification and bidding capacity. The higher the average score, the higher the bidding capacity. Impacts of Past Performance Grades Contractor past performance score is used to determine bidding capacity. Typically, we use the last years scores to average but under certain circumstances, we can average up to last five years of scores. Year starts from the date of Contractor’s pre-qualification (in most cases, it is April). In any case, a score once used in an average cannot be used again. TAKE IT SERIOUSLY! WE NEED TO BE FAIR AND REASONABLE, BUT STILL, A “GOOD” IS A “GOOD” AND A “BAD” IS A “BAD Bidding Capacity Impacts MCR = AF x CRF x ANW Where, MCR = Maximum Capacity Rating AF = Ability Factor (ranges from 1 to 15) CRF = Current Ratio Factor (ratio of adjusted current assets and adjusted current liabilities) ANW = Adjusted Net Worth (as described in FAC) Ability Factor(revised as part of the new grading system) Ability Factor If a Contractor receives an ability score of 76 or less on two or more past performance reports for projects completed during the 12-month period, the AF will be limited to a maximum of 4 and the use of Surety Letter prohibited, unless the applicant’s average ability score (inclusive of all score received during the period) is 87 or greater. Effect of Past Performance on Maximum Contract Rating The Good and the Bad PROS “pay as you go” approach More objective Escalation process b