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PAG LIN
1 1 Section 1. NEW SECTION. 72.6 CONSTRUCTION MANAGEMENT
1 2 SERVICES.
1 3 1. DEFINITIONS. As used in this section, unless the
1 4 context otherwise provides:
1 5 a. "Construction management services" means all of the
1 6 following:
1 7 (1) Services provided in the planning and design phases of
1 8 a public works project including, but not limited to, the
1 9 following:
1 10 (a) Consulting with, advising, assisting, and making
1 11 recommendations to a public owner or architect, engineer, or
1 12 registered landscape architect employed by the public owner on
1 13 any aspect of planning for a public works project.
1 14 (b) Reviewing all plans and specifications for the public
1 15 works project as they are developed and making recommendations
1 16 concerning construction feasibility, availability of material
1 17 and labor, time requirements for procurement and construction,
1 18 and projected costs.
1 19 (c) Making, reviewing, and refining budget estimates for
1 20 the public works project based on the public owner's plans and
1 21 specifications and other available information.
1 22 (d) Making recommendations to the public owner or the
1 23 architect or engineer on the public works project regarding
1 24 the division of work in the plans and specifications to
1 25 facilitate bidding on and the award of contracts.
1 26 (e) Soliciting the interest of capable bidders and
1 27 assisting the public owner in taking bids on the public works
1 28 project.
1 29 (f) Analyzing the bids received from contractors and
1 30 awarding contracts for the public works project.
1 31 (g) Preparing and monitoring a progress schedule during
1 32 the design phase of the project.
1 33 (h) Preparing a proposed construction schedule for the
1 34 public works project.
1 35 (2) Services provided in the construction phase of the
2 1 public works project including, but not limited to, the
2 2 following:
2 3 (a) Maintaining competent supervisory staff to coordinate
2 4 and provide general direction of the work and progress of the
2 5 contractors on the public works project.
2 6 (b) Observing work on the public works project as it is
2 7 performed for general conformity with working drawings and
2 8 specifications.
2 9 (c) Establishing procedures for coordinating the work of
2 10 the public owner, architect, engineer, contractors, and the
2 11 construction manager on all aspects of the public works
2 12 project and implementing such procedures.
2 13 (d) Maintaining job site records and making appropriate
2 14 progress reports.
2 15 (e) Reviewing the safety programs of each contractor on
2 16 the public works project for conformity with the public
2 17 owner's safety policies and making recommendations regarding
2 18 such programs.
2 19 (f) Reviewing and processing all applications for payment
2 20 by contractors and material suppliers on the public works
2 21 project in accordance with the terms of the contract.
2 22 (g) Making recommendations for and processing requests for
2 23 changes in work on the public works project and maintaining
2 24 records of change orders.
2 25 (h) Scheduling and conducting job meetings to ensure
2 26 orderly progress of work on the public works project.
2 27 (i) Developing and monitoring a progress schedule for the
2 28 public works project, coordinating and expediting the work of
2 29 all contractors on the project, and providing periodic status
2 30 reports to the public owner and the architect or engineer.
2 31 (j) Establishing and maintaining a cost control system for
2 32 the public works project and conducting meetings to review
2 33 costs.
2 34 b. "Construction manager" means any person, firm, or
2 35 corporation that provides construction management services to
3 1 a public owner. For purposes of this section, a construction
3 2 manager is not a "contractor" as defined in section 91C.1.
3 3 c. "General conditions work" means work that is not
3 4 permanently incorporated into a public works project.
3 5 d. "Public owner" means a public body including the state
3 6 of Iowa, an officer, official, agency, authority, board, or
3 7 commission of the state or of a political subdivision or an
3 8 institution supported in whole or in part by public funds.
3 9 e. "Public works" means a permanent building or other
3 10 construction work constructed for public use or benefit and
3 11 paid for in whole or in part with public funds, including a
3 12 public improvement as defined in section 73A.1, 331.341,
3 13 384.37, or 384.95, and including any work performed directly
3 14 by a public utility as defined in section 368.1 when performed
3 15 by a public utility pursuant to an order of a public authority
3 16 or commission whether or not the work is performed under
3 17 public supervision or direction or paid for in whole or in
3 18 part with public funds. "Public works" does not include any
3 19 work done by or on behalf of a drainage or levee district.
3 20 f. "Public works project" or "project" means the
3 21 construction, maintenance, or repair of public works.
3 22 2. USE OF CONSTRUCTION MANAGER. A public owner may engage
3 23 a construction manager when planning, designing, or
3 24 constructing a public works, or when improving, altering, or
3 25 repairing a public works. A public owner may engage a
3 26 construction manager in the preconstruction phase of a public
3 27 works project or in both the preconstruction and construction
3 28 phases of the project.
3 29 3. SOLICITATION OF BIDS. When the estimated cost of
3 30 construction management services for a public works project
3 31 exceeds twenty-five thousand dollars, a public owner shall
3 32 solicit bids on the proposed construction management services
3 33 contract by publishing an advertisement in a print format.
3 34 The advertisement shall appear in two publications in a
3 35 newspaper with circulation throughout the state. The first
4 1 advertisement for bids appearing in a newspaper shall be not
4 2 less than fifteen days prior to the date set for receiving
4 3 bids. The public owner may publish an advertisement in an
4 4 electronic format as an additional method of soliciting bids
4 5 under this subsection.
4 6 4. EVALUATION AND SELECTION OF BIDDERS.
4 7 a. SELECTION PROCESS. A public owner shall evaluate a bid
4 8 for provision of construction management services and select a
4 9 construction manager by using a selection process as follows:
4 10 (1) Send requests for proposals to not less than three
4 11 construction managers and solicit bids as required by
4 12 subsection 3.
4 13 (2) Score the proposals received from construction
4 14 managers using the selection criteria contained in paragraph
4 15 "b".
4 16 (3) Conduct interviews of construction managers with the
4 17 highest preliminary scores based on the selection criteria as
4 18 set forth in paragraph "c".
4 19 (4) Rescore each proposal of a construction manager
4 20 interviewed based on the construction manager's proposal and
4 21 the interview of the construction manager using the selection
4 22 criteria contained in paragraph "b".
4 23 (5) Require each construction manager that is interviewed
4 24 to submit the construction manager's fee requirements to the
4 25 public owner in a separate sealed envelope following the
4 26 interview of the construction manager.
4 27 (6) Review the separate fee proposals submitted by the
4 28 construction managers interviewed and rescore each proposal of
4 29 a construction manager as set forth in paragraph "c".
4 30 (7) Award a contract for construction management services
4 31 as set forth in paragraph "d". After the contract for
4 32 construction management services is awarded, all results of
4 33 the scoring process shall be made public by the public owner.
4 34 b. SELECTION CRITERIA. A public owner shall include a
4 35 description of the scope of construction management services
5 1 desired and the selection criteria contained in this paragraph
5 2 "b" in a request for proposals for construction management
5 3 services and in a solicitation of bids required under
5 4 subsection 3. A public owner shall disclose the scoring
5 5 ranges for each of the selection criteria in the request for
5 6 proposals, but a public owner may, in its discretion, vary the
5 7 point ranges and include additional subcategories from those
5 8 set forth in this paragraph "b" for the required selection
5 9 criteria. The required criteria for selecting a construction
5 10 manager are as follows:
5 11 (1) History (ten to twenty maximum point range) including
5 12 all of the following:
5 13 (a) Name, address, telephone number, and federal
5 14 identification number.
5 15 (b) Qualifications.
5 16 (c) Efficiency and financial condition.
5 17 (d) Familiarity with the local market where the public
5 18 works project will be constructed.
5 19 (2) Composition of the construction manager's proposed
5 20 project team (twenty to thirty maximum point range) including
5 21 a description of the project team including resumes and
5 22 references of each project team member and an organizational
5 23 chart of the construction manager.
5 24 (3) Information describing the experience of the
5 25 construction manager (twenty-five to thirty-five maximum point
5 26 range) including the following:
5 27 (a) Description of previous experience.
5 28 (b) References.
5 29 (c) Performance of previous construction management of
5 30 public works projects comparable in design, scope, and
5 31 complexity to the public works project being bid on.
5 32 (d) Evidence of ability to meet established construction
5 33 schedules.
5 34 (e) Previous projects managed.
5 35 (f) Demonstration of successful management systems for
6 1 estimating, project management, scheduling, and cost controls.
6 2 (4) Construction management approach utilized (ten to
6 3 fifteen maximum point range) including a narrative of the
6 4 construction manager's philosophy of construction management.
6 5 (5) Fee proposal (fifteen to twenty maximum point range)
6 6 including all of the following:
6 7 (a) Overhead and profit.
6 8 (b) Description of services.
6 9 (c) Policy concerning costs of change work orders.
6 10 (d) Reimbursement costs for reimbursable items as defined
6 11 in the request for proposals.
6 12 c. INTERVIEW OF BIDDERS. A public owner shall interview
6 13 at least three construction managers who receive the highest
6 14 preliminary scores for the proposals submitted in response to
6 15 the public owner's request for proposals and solicitation of
6 16 bids based on the selection criteria required in paragraph
6 17 "b", or less if fewer than three proposals are submitted.
6 18 During each interview, the public owner shall assess the
6 19 qualifications of the construction manager's proposed project
6 20 team, obtain additional information concerning the proposal,
6 21 and assess the construction manager's competence to provide
6 22 construction management services for the public works project.
6 23 Following the interviews, the public owner shall reevaluate
6 24 and rescore each proposal submitted based on the selection
6 25 criteria set forth in paragraph "b" including the scores of
6 26 the written proposal and the interview. A public owner shall
6 27 then open and evaluate each separate fee proposal submitted by
6 28 a construction manager interviewed using the selection
6 29 criteria contained in paragraph "b" and again rescore each
6 30 proposal submitted based on the scores of the proposal,
6 31 interview, and fee proposal.
6 32 d. AWARD OF CONTRACT. A public owner shall award a
6 33 contract for construction management services on a public
6 34 works project to the construction manager with the highest
6 35 score based on the required selection criteria unless the
7 1 public owner is unable to establish an agreement with that
7 2 construction manager for the type of construction management
7 3 services desired by the public owner. In that event, the
7 4 public owner shall award the contract for construction
7 5 management services to the construction manager with the next
7 6 highest score on the required selection criteria that can
7 7 reach an agreement with the public owner for the type of
7 8 construction management services desired by the public owner.
7 9 5. CONSTRUCTION MANAGEMENT CONTRACT. A construction
7 10 management services contract for a public works project shall
7 11 provide that the construction manager shall do all of the
7 12 following:
7 13 a. Furnish skill and judgment in cooperation with, and in
7 14 reliance on, the services of the public works project
7 15 architect or engineer.
7 16 b. Furnish business administration, management of the
7 17 construction process, and other specified services in an
7 18 economical and expeditious manner consistent with the
7 19 interests of the public owner.
7 20 c. Provide or perform general conditions work at the
7 21 request of the public owner if the provision of such work is
7 22 in the best interest of the public owner.
7 23 d. Not bid on or perform actual construction on a public
7 24 works project on which the construction manager is performing
7 25 construction management services.
7 26 e. Obtain a performance bond as required in chapter 573
7 27 for services performed.
7 28 f. At the public owner's request, obtain professional
7 29 liability insurance.
7 30 6. CONFLICTS PROHIBITED. A construction management
7 31 services contract for a public works project shall not be
7 32 awarded by a public owner to a construction manager that
7 33 controls, is controlled by, or shares common ownership or
7 34 control with another contractor on the public works project;
7 35 that assumes financial responsibility for the work of others
8 1 on the project; that guarantees a maximum price for the work
8 2 of others on the project; or that furnishes or guarantees a
8 3 performance or payment bond for another contractor on the
8 4 project.
8 5 A public owner shall not accept a bid from or award a
8 6 contract on a public works project to a contractor that
8 7 controls, is controlled by, or shares common ownership with or
8 8 control of the construction manager on the public works
8 9 project.
8 10 7. APPLICABILITY. This section does not apply to the
8 11 planning, design, construction, maintenance, repair, or other
8 12 work done for or on behalf of a public owner by employees of a
8 13 public owner.
8 14 Sec. 2. IMPLEMENTATION OF ACT. Section 25B.2, subsection
8 15 3, shall not apply to this Act.
8 16 EXPLANATION
8 17 This bill regulates contracts for construction management
8 18 services for public works projects. "Construction management
8 19 services" includes consulting, advising, and making
8 20 recommendations to a public owner during the planning and
8 21 design phases of a public works project as well as in the
8 22 construction phase of the project. A "public owner" is any
8 23 public body including the state, an officer, agency,
8 24 authority, board, or commission of the state or of a political
8 25 subdivision, or any institution supported in whole or in part
8 26 by public funds. A "public works project" is a permanent
8 27 building or other construction work constructed for public use
8 28 or benefit and paid for in whole or in part with public funds
8 29 with the exception of work done by or for a drainage or levee
8 30 district.
8 31 The bill provides that a public owner shall solicit bids
8 32 when the provision of construction management services is
8 33 estimated to exceed $25,000, by publishing an advertisement in
8 34 two publications of a newspaper with statewide circulation not
8 35 less than 15 days before the date the bids are due.
9 1 The bill sets forth an evaluation and selection process for
9 2 a public owner to select a construction manager that includes
9 3 preparing requests for proposals containing specific required
9 4 selection criteria and the weight given to each of the
9 5 criteria, conducting interviews of construction managers who
9 6 submit proposals with the highest preliminary scores based on
9 7 the selection criteria, scoring the written proposals,
9 8 interviews, and fee proposals of each construction manager
9 9 interviewed, and awarding a contract for construction
9 10 management services on a public works project to the
9 11 construction manager with the highest score based on the
9 12 selection criteria. However, if the public owner is unable to
9 13 establish an agreement with the construction manager with the
9 14 highest score for the type of construction management services
9 15 desired by the public owner, the public owner shall award the
9 16 contract to the construction manager with the next highest
9 17 score that can reach an agreement with the public owner for
9 18 the type of construction management services desired.
9 19 The bill prohibits a construction manager on a public works
9 20 project from bidding on or performing actual construction on a
9 21 public works project. A construction management services
9 22 contract cannot be awarded to a construction manager that
9 23 controls, or is controlled by, or otherwise has financial
9 24 responsibility or makes guarantees for other participants on
9 25 the public works project.
9 26 The bill may include a state mandate as defined in Code
9 27 section 25B.3. The bill makes inapplicable Code section
9 28 25B.2, subsection 3, which would relieve a political
9 29 subdivision from complying with a state mandate if funding for
9 30 the cost of the state mandate is not provided or specified.
9 31 Therefore, political subdivisions are required to comply with
9 32 any state mandate included in the bill.
9 33 LSB 6686SV 79
9 34 av/sh/8
Text: SF02291 Text: SF02293 Text: SF02200 - SF02299 Text: SF Index Bills and Amendments: General Index Bill History: General Index
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