Arizona Laws 34-607. Multiterm contracts for job-order-contracting construction services
A. A contract for construction services using the job-order-contracting method may be entered into for a period of up to five years, as deemed to be in the best interest of the agent, if the term of the contract and conditions of renewal or extension, if any, are included in the solicitation and monies are available for the first fiscal period at the time of contracting. Payment and performance obligations for succeeding fiscal periods are subject to the availability and appropriation of monies.
Terms Used In Arizona Laws 34-607
- Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
- Construction services: means either of the following for construction-manager-at-risk, design-build and job-order-contracting project delivery methods:
(a) Construction, excluding services, through the construction-manager-at-risk or job-order-contracting project delivery methods. See Arizona Laws 34-101
- Contract: means all types of agent agreements, regardless of what they are called, for the procurement of assayer services, construction services, design services, geologist services or land surveying services. See Arizona Laws 34-601
- Contract: A legal written agreement that becomes binding when signed.
- Contractor: means any person who has a contract with an agent for assayer services, construction services, design services, geologist services or land surveying services. See Arizona Laws 34-601
- Job-order-contracting: means a project delivery method in which:
(a) The contract is a requirements contract for indefinite quantities of construction. See Arizona Laws 34-101
- Writing: includes printing. See Arizona Laws 1-215
B. Before the use of a multiterm contract, the agent shall determine in writing that:
1. Estimated requirements cover the period of the contract and are reasonable and continuing.
2. Such a contract will serve the best interests of the agent by encouraging effective competition or otherwise promoting economies in the agent’s procurement.
C. If monies are not appropriated or otherwise made available to support the continuation of performance in a subsequent fiscal period, the contract shall be cancelled and the contractor may only be reimbursed for the reasonable value of any nonrecurring costs that are incurred but not amortized in the price of the construction services delivered under the contract or that are otherwise not recoverable. The cost of cancellation may be paid from any appropriations available for these purposes.