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Contractors challenge SFPUC audit findings on JOC oversight, cite high LBE participation
Summary
Several contractors and the Gordian Group responded to a Comptroller audit of the PUC's Job Order Contracting program, arguing the audit overstated problems and noting strong LBE prime participation and a high success rate for task orders.
At public comment the commission heard several contractors respond to a recent Comptroller's audit of the Job Order Contracting (JOC) program, disputing some of the audit's emphasis and highlighting local business participation.
James Gardner of Southwest Construction said his firm had performed roughly 70 task orders under JOC with about 95% success and praised prompt JOC manager responses on dispute resolution. Miguel (who identified himself on the record as owner of Yerba Buen Engineering and Construction) criticized the audit for focusing on four task orders that exceeded the $400,000 threshold, saying that represented a very small fraction of total task orders and that the JOC program's performance‑based structure allows contractors to build capacity.
"When you look at their highlights of 4 task orders that they found to have exceeded the $400,000…I might point out that's out of 59 task orders," Miguel said, arguing the item was a small percentage of total activity. He also told commissioners that about 45% of roughly $100 million of procurement through the JOC program had been placed with prime LBE contractors, which he said was an exceptional result for local participation.
Rob Garner of the Gordian Group, the program consultant, summarized program metrics (about $102 million cumulative construction placed, roughly 190 active job orders and roughly 700 closed task orders historically) and cautioned that audit language understated the program’s volume and context. Garner also acknowledged several of the auditor's recommendations as constructive.
Staff told the commission it routinely responds to audit findings in writing to correct factual inaccuracies and welcomed any contractor material for inclusion in formal responses.
The exchange did not produce a formal commission action to alter the audit record; staff said they would compile contractor comments for written responses to the Comptroller.
