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HOA Management Blog

At The Hignell Companies we have been providing professional management services for California Homeowner Association Boards for nearly 30 years. We love sharing our knowledge and perspective. Give us a call at 530-419-6032 if you have any questions.

Five Guidelines for Dealing with Contractors in California

February 12, 2013 at 12:20 PM / by HOA Expert

Is your California Homeowners Association thinking of embarking on a maintenance or construction project that will require the services of a contractor? If the project needs association approval, the first thing before you get to the place of interviewing Contractors in California is to make sure you follow the steps of your design review process.

Once the design review process has been completed and the association is ready to begin the steps to move the project forward, make sure your project is nailed down using the following five simple guidelines:

1. Reconcile your contractors' objectives with the associations.You want your project to be completed on time and on budget. Contractors want to maximize their compensation. Design a compensation plan that, at each stage of the project, maximizes your contractors' profits when they achieve your objectives; one example of this would be partial payments based on clearly outlined milestones.

2. Nothing drives down prices like competition. Any price you obtain without competition will be higher than a price you obtain with competition. Select several contractors by doing research, asking other California Homeowners Associations for their word of mouth recommendations or go through a reputable organization in your area that works with several contractors in California and knows who you can trust.

3. Write down everything you expect. Effective competition requires a complete, accurate, and final definition of the goods and services involved in the project. This is where an RFP (Request for Proposal) comes into play.Prepare an RFP that will be sent to each contractor you want to bid the project. By doing so you will be able to compare all bids equally. You have no doubt heard the term, comparing apples to apples, and this is exactly what the RFP process allows you to do. The more specific your requirements are, the better the comparison will be when you receive the bid responses.

4. Use standard forms for your contracts. The American Institute of Architects offers a variety of sample documents at www.aia.org/docs_default. These provide a great starting place for you so you don't have to reinvent the wheel, but it is important to realize that there is no such thing as a "standard" project so you will need to customize your contracts accordingly.

5. There is no substitute for professionalism. An architect, contractor, or other participant in your project who has a track record of character and professionalism will likely demonstrate those qualities on your project. A participant with the opposite track record will probably remain true to form.Always, always ask each contractor for at least three references and make sure you call those references before choosing a contractor. It is important to have five or six standardized questions prepared to ask each reference so again you are comparing apples to apples. This will be time well spent.

There are a lot of contractors in California to choose from, especially in the larger city areas. Choose carefully using the guidelines outlined above, and you will have a better experience and end up with a great project.

Topics: HOA Contractors, Property Maintenance, HOA Maintenance