Today's Law As Amended

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SB-1262 Construction Manager/General Contractor project delivery method: Department of Transportation.(2017-2018)



SECTION 1.
 (a) The Legislature finds and declares the following:
(1) The design-bid-build method of contracting is generally sufficient for the majority of the infrastructure projects of the Department of Transportation.
(2) The Construction Manager/General Contractor method is a unique contracting tool that allows the Department of Transportation to utilize a construction manager during the design process to provide valuable input on various considerations including, but not limited to, design, scheduling, pricing, and phasing. This input helps the Department of Transportation to design more constructible projects and achieve cost savings and efficiencies when used on projects that would benefit from a contractor’s input during design.
(b) It is the intent of the Legislature to enact legislation that would give the Department of Transportation the flexibility to use the Construction Manager/General Contractor procurement method for projects that would benefit from a contractor’s input during the design phase, including, but not limited to, projects that are complex, have difficult constructability, or have difficult staging.

SEC. 2.

 Section 6700 of the Public Contract Code is amended to read:

6700.
 (a) This chapter provides for an alternative procurement procedure for certain transportation projects performed by the Department of Transportation.
(b) The Construction Manager/General Contractor method allows the department to engage a construction manager during the design process to provide input on the design. During the design phase, the construction manager provides advice including, but not limited to, scheduling, pricing, and phasing to assist the department to design a more constructible project.
(c) The Legislature finds and declares that utilizing a Construction Manager/General Contractor method requires a clear understanding of the roles and responsibilities of each participant in the process. The Legislature also finds and declares that cost-effective benefits are achieved by shifting the liability and risk for cost containment and project schedule to the construction manager and by permitting the coherent phasing of projects into discrete contract increments.

SEC. 3.

 Section 6701 of the Public Contract Code is amended to read:

6701.
 (a) The Construction Manager/General Contractor method provided by this chapter may be used by the department, but is not limited to, when it is anticipated that the Construction Manager/General Contractor method will reduce project costs or expedite project completion in a manner that is not achievable through the design-bid-build method. Notwithstanding any other law, for projects utilizing the Construction Manager/General Contractor method provided by this chapter, the department shall advertise, award, and administer the Construction Manager/General Contractor contract. The department shall not delegate the contracting authority, except for the two projects reserved for projects in the County of Riverside as provided for in paragraph (2) of subdivision (b).
(b) (1) The department may use the Construction Manager/General Contractor method for projects that have construction costs greater than ten million dollars ($10,000,000).
(2) Consistent with Provision 2 of Item 2660-110-0042 of Section 2.00 of the Budget Act of 2016, as amended by Chapter 7 of the Statutes of 2017, two projects shall be authorized for projects in the County of Riverside and the Riverside County Transportation Commission may use the Construction Manager/General Contractor method for these projects, with the first priority for the projects listed in that budget item.
(c) On at least two-thirds of the projects delivered by the department utilizing the Construction Manager/General Contractor method provided by this chapter, the department shall use department employees or consultants under contract with the department to perform all project design and engineering services related to design required for Construction Manager/General Contractor project delivery consistent with Article XXII of the California Constitution. On all projects delivered by the department, the department shall use department employees or consultants under contract with the department to perform all construction inspection services required for Construction Manager/General Contractor project delivery consistent with Article XXII of the California Constitution. Department resources, including personnel requirements, necessary to perform all services described in this subdivision shall be included in the department’s capital outlay support program for workload purposes in the annual Budget Act.
(d) (1) The department shall prepare and submit to the Legislature an interim report no later than July 1, 2021, that describes each Construction Manager/General Contractor project approved under this chapter as of January 1, 2021, and that provides relevant data, including, but not limited to, district, cost, the stage of completion, and estimated time to completion. The department shall also prepare and submit to the Legislature a final report, no later than July 1, 2025, that provides the same relevant data for projects that were approved under this chapter as of January 1, 2025. Both the interim and final reports shall also provide a comprehensive assessment on the effectiveness of the Construction Manager/General Contractor project delivery method relative to project cost and time savings.
(2) A report to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.
SEC. 4.
 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.