By: Madla S.B. No. 1335
(In the Senate - Filed March 10, 2005; March 21, 2005, read
first time and referred to Committee on Intergovernmental
Relations; April 12, 2005, reported adversely, with favorable
Committee Substitute by the following vote: Yeas 4, Nays 1;
April 12, 2005, sent to printer.)
COMMITTEE SUBSTITUTE FOR S.B. No. 1335 By: Madla
A BILL TO BE ENTITLED
AN ACT
relating to authorizing certain municipally owned water utilities
to use the design-build method of construction to construct a water
desalination plant.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter H, Chapter 271, Local Government
Code, is amended by adding Section 271.1195 to read as follows:
Sec. 271.1195. USE OF DESIGN-BUILD CONTRACT TO DESIGN AND
CONSTRUCT WATER DESALINATION PLANT. (a) In this section:
(1) "Board" means the governing body of a water
system.
(2) "Water system" means a municipally owned water
utility with a board appointed by the governing body of the
municipality.
(b) A water system may use the design-build method as
provided by this section for the design, construction,
rehabilitation, alteration, or repair of a water desalination plant
if the board determines that the method will provide the best value
to the water system. In using the design-build method and entering
into a design-build contract, the water system shall follow the
procedures and award the design-build contract as provided by this
section, and Sections 271.112, 271.113, and 271.114 do not apply
except as provided by this section. If the water system uses the
design-build method under this section, this section prevails over
any other law relating to a contract for the design and construction
of a water desalination plant by a water system to the extent of any
conflict.
(c) In procuring professional or construction services for
the design and construction of a water desalination plant using the
design-build method, the water system shall use a two-step
evaluation and selection process. The board may delegate as it
considers appropriate its authority regarding an action authorized
or required by this section to a person, representative, or
committee designated by the board.
(d) In the first step of the evaluation and selection
process, the water system shall issue a request for qualifications
from design-build firms for the design-build contract for the water
desalination plant and publish notice of the request in the same
manner as provided for a municipality under Section 271.112(d).
The request for qualifications may include general information on
the project site, project scope, proposed budget, any known special
systems, and any other information that may assist design-build
firms in responding to the request. The request for qualifications
must also include the maximum number of design-build firms that may
be invited to participate in the second step of the evaluation and
selection process.
(e) During the first step of the evaluation and selection
process, the water system shall evaluate the experience, technical
competence, capability to perform, past performance, and other
appropriate factors submitted by each design-build firm that
responds to the request for qualifications but may not evaluate
cost-related or price-related evaluation factors. The water system
may interview representatives of any design-build firm that
responds to the request for qualifications. The water system may
select not more than six design-build firms that the system
determines to be the most qualified based on demonstrated
competence and qualifications. A design-build firm chosen under
this subsection shall be invited to participate in the second step
of the evaluation and selection process.
(f) In the second step of the evaluation and selection
process, the water system shall issue a request for proposals to the
design-build firms selected under Subsection (e). The request for
proposals must include the selection criteria that the water system
will use in analyzing the request for proposals and may request
additional information regarding:
(1) demonstrated competence and qualifications;
(2) considerations of safety and long-term durability
of the water desalination plant;
(3) the feasibility of implementing the project as
proposed;
(4) the ability of a design-build firm to meet
schedules;
(5) the overall capital cost of the water desalination
plant and the anticipated operations and maintenance budget at
various production levels; and
(6) any other information that may assist the water
system in selecting the design-build firm that will provide the
best value to the water system.
(g) The proposals of a design-build firm that responds to a
request under Subsection (f) must also include preliminary design
drawings, a project schedule, and a lump-sum contract price for the
design-build contract. All information included in a proposal
submitted under this section becomes the property of the water
system.
(h) To assure full understanding of and responsiveness to
the requirements in the request for proposals, including provisions
that will be included in the design-build contract, and budgetary
and schedule constraints, the water system may further interview
and negotiate with any of the design-build firms intending to
respond to the request for proposals both before and after the
submission of the response to the request. The water system shall
provide to a design-build firm intending to submit a response fair
treatment with respect to any opportunity for discussion and for
clarification made available by the water system. In conducting
any discussions regarding price, the water system may not disclose
to a design-build firm information regarding price submitted by a
competing firm.
(i) A design-build firm may revise a proposal after
submission of its initial response to the request for proposals and
before award of the contract to allow the firm to submit a best and
final proposal. The water system shall select the design-build
firm that submits the best and final proposal offering the best
value to the water system on the basis of the selection criteria
published in the request for proposals.
(j) Until an award and execution of a design-build contract
by the water system:
(1) only the name of each design-build firm selected
under Subsection (e) may be made available to the public; and
(2) all other information received by the water system
in response to a request for qualifications or the request for
proposals and all information contained in the proposals is
confidential to avoid disclosure of the contents that may be
prejudicial to competing firms during the selection process.
(k) All proposals shall be open to public inspection not
later than the seventh day after the date the water system has
executed a contract awarded under this section. To the extent that
a design-build firm making a proposal under this section
designates, trade secrets and other proprietary data contained in
the proposal shall remain confidential to the extent allowed by
law.
(l) The water system may:
(1) cancel a request for qualifications or a request
for proposals; and
(2) reject any and all proposals wholly or partly.
(m) Following selection of a design-build firm under
Subsection (i), that firm's engineers or architects shall complete
the design, submitting all design elements for review and
determination of scope compliance to the water system's engineer or
architect before or concurrently with construction.
(n) The water system shall provide or contract for,
independently of the design-build firm, the inspection services,
the testing of construction materials, and the verification testing
services necessary for acceptance of the water desalination plant
by the water system. The water system shall select those services
for which it contracts in accordance with Section 2254.004,
Government Code.
(o) The design-build firm shall supply a signed and sealed
set of as-built construction documents for the project to the water
system at the conclusion of construction.
(p) The water system may use a design-build firm to obtain
or assist the water system in obtaining any permit necessary for the
water desalination plant.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2005.
* * * * *