AB 956

Modifications to building program project budgets

Under current law, the Building Commission has the authority to authorize

limited changes in the program or budget of a building program project if the

commission determines that unanticipated program conditions or bidding

conditions require the change to effectively and economically construct the project.

Under this bill, the commission may not increase the budget of a project enumerated

in the state building program by more than 10 percent without submitting the

proposed project budget increase for approval by the Joint Committee on Finance

under passive review.

The bill also requires that the Department of Administration submit a

quarterly report to JCF and each voting member of the Building Commission that

identifies each project for which the Building Commission has approved a budget

increase and identifies each project enumerated in the state building program for

which DOA estimates a budget increase will be necessary for project completion,

including a description of the reasons for the project budget shortfall.

Selection of project architects and engineers

Under current law, the secretary of administration is required to establish a

committee for each construction project under DOA's supervision, except certain

emergency projects, for the purpose of selecting an architect or engineer for the

project. If the estimated cost of a construction project is $7,400,000 or more, the

selection committee must use a request-for-proposal process established by DOA to

select an architect or engineer for the project based on qualifications. The bill raises

that threshold to $15,000,000.

Additionally, the bill prohibits such a committee from refusing to select an

architect or engineer who operates an architect or engineering firm with only one

responsible architect or engineer for a construction project that has an estimated cost

of less than $2,000,000. The bill also allows DOA to increase this threshold up to

$15,000,000.

Single prime contracting

The bill creates a new exception to single prime contracting for high-dollar

building projects. Single prime contracting is a process in which the state contracts

only with a general prime contractor who then must contract with subcontractors.

Under current law, whenever the Building Commission determines that the use of

innovative types of design and construction processes will make better use of the

resources and technology available in the building industry, the commission may

waive certain requirements related to single prime contracting, if the action is in the

best interest of the state and is approved by the commission.

Under the bill, for any project costing $200,000,000 or more, at the request of

the agency for which the project is constructed, the Building Commission is required

to waive certain single prime contracting requirements for the project, as requested