Bill Text: VA SB341 | 2020 | Regular Session | Comm Sub
Bill Title: Construction management contracts; use by local public bodies.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Passed) 2020-03-04 - Governor: Acts of Assembly Chapter text (CHAP0163) [SB341 Detail]
Download: Virginia-2020-SB341-Comm_Sub.html
Be it enacted by the General Assembly of Virginia:
1. That §2.2-4382 of the Code of Virginia is amended and reenacted as follows:
§2.2-4382. Design-build or construction management contracts for local public bodies authorized.
A. Any local public body may enter into a contract for construction on a fixed price or not-to-exceed price construction management or design-build basis, provided that the local public body (i) complies with the requirements of this article and (ii) has by ordinance or resolution implemented procedures consistent with the procedures adopted by the Secretary of Administration for utilizing construction management or design-build contracts.
B. Prior to making a determination as to the use of construction management or design-build for a specific construction project, a local public body shall have in its employ or under contract a licensed architect or engineer with professional competence appropriate to the project who shall (i) advise such public body regarding the use of construction management or design-build for that project and (ii) assist such public body with the preparation of the Request for Proposal and the evaluation of such proposals.
C. A written determination shall be made in advance by the local public body that competitive sealed bidding is not practicable or fiscally advantageous, and such writing shall document the basis for the determination to utilize construction management or design-build. The determination shall be included in the Request for Qualifications and be maintained in the procurement file.
D. Procedures adopted by a local public body for construction management pursuant to this article shall include the following requirements:
1. Construction management contracts may be utilized for
projects where the project cost is expected to be more than $10 million;
2. Construction management may be utilized on projects
where the project cost is expected to be less than $10 million the
project cost threshold established in the procedures adopted by the Secretary
of Administration for utilizing construction management or design-build
contracts, provided that (i) the project is a complex project and (ii) the
project procurement method is approved by the local governing body. The written
approval of the governing body shall be maintained in the procurement file;
3. 2. Public notice of the Request for
Qualifications is posted on the Department's central electronic procurement
website, known as eVA, at least 30 days prior to the date set for receipt of
qualification proposals;
4. 3. The construction management contract is
entered into no later than the completion of the schematic phase of design,
unless prohibited by authorization of funding restrictions;
5. 4. Prior construction management or
design-build experience or previous experience with the Department's Bureau of
Capital Outlay Management shall not be required as a prerequisite for award of
a contract. However, in the selection of a contractor, the local public body
may consider the experience of each contractor on comparable projects;
6. 5. Construction management contracts shall
require that (i) no more than 10 percent of the construction work, as measured
by the cost of the work, be performed by the construction manager with its own
forces and (ii) the remaining 90 percent of the construction work, as measured
by the cost of the work, be performed by subcontractors of the construction
manager, which the construction manager shall procure by publicly advertised,
competitive sealed bidding to the maximum extent practicable;
7. 6. The procedures allow for a two-step
competitive negotiation process; and
8. 7. Price is a critical basis for award of the
contract.
E. Procedures adopted by a local public body for design-build construction projects shall include a two-step competitive negotiation process consistent with the standards established by the Division of Engineering and Buildings of the Department for state public bodies.
