By Najera H.B. No. 3428 76R7215 CAG-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the authority of a municipality to use a design-build 1-3 contract for public improvement projects and facilities. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter C, Chapter 252, Local Government Code, 1-6 is amended by adding Section 252.051 to read as follows: 1-7 Sec. 252.051. DESIGN-BUILD CONTRACTS FOR MUNICIPAL PUBLIC 1-8 IMPROVEMENT PROJECTS OR FACILITIES. (a) In this section: 1-9 (1) "Design-build contract" means a single contract 1-10 with a design-build firm for the design and construction of a 1-11 public improvement project or facility. 1-12 (2) "Design-build firm" means a partnership, 1-13 corporation, or other legal entity or team that includes an 1-14 engineer or architect and builder qualified to engage in building 1-15 construction in this state. 1-16 (3) "Design criteria package" means a set of documents 1-17 that provides sufficient information to permit a design-build firm 1-18 to prepare a response to a municipality's request for proposals. 1-19 The design criteria package must specify criteria the municipality 1-20 considers necessary to describe the project or facility and may 1-21 include, as appropriate, the legal description of the site, survey 1-22 information concerning the site, interior space requirements, 1-23 special material requirements, material quality standards, 1-24 conceptual criteria for the project or facility, special equipment 2-1 requirements, cost or budget estimates, time schedules, quality 2-2 assurance and quality control requirements, site development 2-3 requirements, applicable codes and ordinances, provisions for 2-4 utilities, parking requirements, or any other requirement, as 2-5 applicable. 2-6 (b) A municipality may use the design-build method for the 2-7 construction, rehabilitation, alteration, or repair of a public 2-8 improvement project or facility. In using that method and in 2-9 entering into a contract for the services of a design-build firm, 2-10 the contracting municipality and the design-build firm shall follow 2-11 the procedures provided by this section. 2-12 (c) The municipality may designate an engineer or architect 2-13 to act as its representative. If the municipality's engineer or 2-14 architect is not a full-time employee of the municipality, any 2-15 engineer or architect designated shall be selected on the basis of 2-16 demonstrated competence and qualifications in accordance with 2-17 Subchapter A, Chapter 2254, Government Code. 2-18 (d) The municipality shall prepare a request for 2-19 qualifications that includes general information on the project 2-20 site, project scope, budget, special systems, selection criteria, 2-21 and other information that may assist potential design-build firms 2-22 in submitting proposals for the project or facility. The 2-23 municipality shall also prepare the design criteria package that 2-24 includes more detailed information on the project or facility. If 2-25 the preparation of the design criteria package requires engineering 2-26 or architectural services that constitute the practice of 2-27 engineering within the meaning of The Texas Engineering Practice 3-1 Act (Article 3271a, Vernon's Texas Civil Statutes) or the practice 3-2 of architecture within the meaning of Chapter 478, Acts of the 45th 3-3 Legislature, Regular Session, 1937 (Article 249a, Vernon's Texas 3-4 Civil Statutes), those services shall be provided in accordance 3-5 with the applicable law. 3-6 (e) The municipality shall evaluate proposals and select a 3-7 design-build firm in two phases: 3-8 (1) In phase one, the municipality shall evaluate each 3-9 offeror's experience, technical competence, and capability to 3-10 perform, the past performance of the offeror's team and members of 3-11 the team, and other appropriate factors submitted by the team or 3-12 firm in response to the request for qualifications, except that 3-13 cost-related or price-related evaluation factors are not permitted. 3-14 Each offeror must certify to the municipality that each engineer or 3-15 architect that is a member of its team was selected based on 3-16 demonstrated competence and qualifications. The municipality shall 3-17 qualify a maximum of five potential offerors to submit additional 3-18 information regarding technical proposals, implementation, and 3-19 costing methodologies in response to a formal request for proposals 3-20 based on the design criteria package. 3-21 (2) In phase two, the municipality shall evaluate 3-22 offerors on the basis of demonstrated competence and 3-23 qualifications, considerations of the safety and long-term 3-24 durability of the project, the feasibility of implementing the 3-25 project or facility as proposed, the ability of the offeror to meet 3-26 schedules, costing methodology, or other factors as appropriate. 3-27 The municipality may not require offerors to submit detailed 4-1 engineering or architectural design as part of the proposal. The 4-2 municipality shall select the design-build firm that submits the 4-3 proposal offering the best value for the municipality. 4-4 (f) Following selection of a design-build firm under 4-5 Subsection (e), that firm's engineers or architects shall complete 4-6 the design, submitting all design elements for review and 4-7 determination of scope compliance by the municipality's engineer or 4-8 architect before or concurrently with construction. 4-9 (g) An engineer shall have responsibility for compliance 4-10 with the engineering design requirements and all other applicable 4-11 requirements of The Texas Engineering Practice Act (Article 3271a, 4-12 Vernon's Texas Civil Statutes). An architect shall have 4-13 responsibility for compliance with the requirements of Chapter 478, 4-14 Acts of the 45th Legislature, Regular Session, 1937 (Article 249a, 4-15 Vernon's Texas Civil Statutes). 4-16 (h) The municipality shall provide or contract for, 4-17 independent of the design-build firm, the inspection services, the 4-18 testing of construction materials engineering, and the verification 4-19 testing services necessary for acceptance of the project or 4-20 facility by the municipality. The municipality shall select those 4-21 services for which it contracts in accordance with Section 4-22 2254.004, Government Code. 4-23 (i) The design-build firm shall supply a signed and sealed 4-24 set of construction documents for the project or facility to the 4-25 municipality at the conclusion of construction. 4-26 (j) A payment or performance bond is not required for, and 4-27 may not provide coverage for, the portion of a design-build 5-1 contract under this section that includes design services only. 5-2 SECTION 2. This Act takes effect September 1, 1999. The 5-3 changes in law made by this Act apply only to a contract for which 5-4 requests for qualifications are distributed or published on or 5-5 after that date. 5-6 SECTION 3. The importance of this legislation and the 5-7 crowded condition of the calendars in both houses create an 5-8 emergency and an imperative public necessity that the 5-9 constitutional rule requiring bills to be read on three several 5-10 days in each house be suspended, and this rule is hereby suspended.