Job Order Contracting is a unique indefinite quantity type
of contract that enables facility owners to accomplish a large number of repair,
maintenance and construction projects with a single, competitively bid contract.
It eliminates the time and expense of completing the normal design-bid-construct
cycle for each project. It allows facility owners to decrease project duration and
cost, while increasing quality. Contractors competitively bid an adjustment factor
(e.g. 1.15) to be applied to a catalog of construction tasks with pre-set unit
prices. The overall contract amount (the sum of the individual projects that may
be performed) is expressed as a range in dollar volume for example from $50,000 to
$1,000,000. The contractor will be asked to perform a series of projects one after
the other. The price for each project will be the pre-set unit prices multiplied
by the quantity multiplied by the competitively bid adjustment factor. Prices are
never negotiated. The prospect of additional work keeps the contractor motivated
to provide timely, responsive, and high quality work.