AB 286

This bill requires the Department of Transportation to conduct a pilot program

under which DOT awards six contracts for design-build projects to be completed by

2025.

Under current law, the design and construction of projects are generally two

distinct phases. Under this method, often referred to as “design-bid-build,” DOT has

broad authority to accomplish the design of a project. The construction of a project

must be executed by contract based on bids, with DOT awarding the contract to the

lowest responsible bidder.

The bill authorizes a design-build method under which design, engineering,

construction, and related services are procured through a single contract with a

single entity capable of providing the services. The bill creates requirements for

designating design-build projects, soliciting and evaluating requests for

qualifications and requests for proposals, and awarding design-build contracts.

The bill requires DOT to designate design-build projects and award the

following contracts:

1. One low bid design-build contract, which is awarded to the lowest

responsible bidder, for a project with an estimated value of $10,000,000 to

$50,000,000.

2. One best value design-build contract, which is awarded following a

calculation of value as provided in the project's request for proposals, for a project

with an estimated value of $50,000,000 to $150,000,000.

3. One fixed price variable scope design-build contract, which is awarded to the

lowest qualified responsible bidder able to provide the best qualitative scope of work

at a fixed price, with an estimated value of $50,000,000 to $150,000,000.

4. Three contracts, to be determined by DOT, with a total estimated value of

not more than $200,000,000.

The bill creates in DOT an office of innovative program delivery that is

responsible for conducting the design-build pilot program. The office is supervised

by a director appointed by the DOT secretary. The office is required to prepare a

report establishing the program structure and to develop a design-build

procurement manual. At the end of the pilot program term, the office must prepare

a report for the legislature evaluating the success of the program and joint committee

on finance must make a recommendation as to whether the pilot program should be

made permanent.