House
Study
Bill
648
-
Introduced
HOUSE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
STATE
GOVERNMENT
BILL
BY
CHAIRPERSON
KAUFMANN)
A
BILL
FOR
An
Act
relating
to
public
construction
bidding.
1
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
2
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H.F.
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Section
1.
Section
26.2,
Code
2022,
is
amended
by
adding
the
1
following
new
subsection:
2
NEW
SUBSECTION
.
01.
“Construction
manager”
means
a
sole
3
proprietorship,
partnership,
corporation,
or
other
legal
4
entity
that
acts
as
a
consultant
to
a
governmental
entity
5
in
the
development,
design,
or
construction
phase
of
a
6
public
improvement
that
has
not
been
retained
as
a
design
7
professional.
8
Sec.
2.
Section
26.2,
subsection
2,
Code
2022,
is
amended
9
to
read
as
follows:
10
2.
“Governmental
entity”
means
the
state,
political
11
subdivisions
of
the
state,
public
school
corporations,
and
all
12
officers,
boards,
or
commissions
empowered
by
law
to
enter
13
into
contracts
for
the
construction
of
public
improvements,
14
excluding
the
state
board
of
regents
and
the
state
department
15
of
transportation.
16
Sec.
3.
Section
26.4,
Code
2022,
is
amended
to
read
as
17
follows:
18
26.4
Exemptions
from
competitive
Competitive
bids
and
19
quotations
——
applicability
.
20
1.
Architectural,
landscape
architectural,
or
engineering
21
design
services
procured
for
a
public
improvement
are
not
22
subject
to
sections
26.3
and
26.14
.
23
2.
A
construction
manager
is
subject
to
sections
26.3
24
and
26.14
and
services
provided
by
a
construction
manager
25
must
be
competitively
bid
as
part
of
a
contract
for
a
public
26
improvement.
27
Sec.
4.
Section
26.7,
Code
2022,
is
amended
by
adding
the
28
following
new
subsection:
29
NEW
SUBSECTION
.
4.
The
notice
to
bidders
may
require
the
30
bidder
to
file
with
the
governmental
entity
a
statement
showing
31
the
bidder’s
financial
standing,
equipment,
and
experience
in
32
the
execution
of
like
or
similar
work.
33
Sec.
5.
Section
26.9,
Code
2022,
is
amended
by
adding
the
34
following
new
subsection:
35
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NEW
SUBSECTION
.
3.
Notwithstanding
subsection
1,
a
1
governmental
entity
may
reject
a
bid
if
the
governmental
entity
2
determines
that
the
bidder
has
not
performed
in
accordance
with
3
the
terms
of
another
contract
for
a
public
improvement
awarded
4
by
a
governmental
entity
to
the
bidder.
Prior
to
rejecting
5
a
bid,
the
governmental
entity
must
make
a
specific
finding
6
on
the
bidder’s
nonperformance
and
provide
the
bidder
with
7
the
opportunity
to
respond
to
the
alleged
nonperformance
at
a
8
public
hearing.
9
Sec.
6.
NEW
SECTION
.
26.21
Alternative
project
delivery
10
contracts.
11
1.
As
used
in
this
section,
unless
the
context
otherwise
12
requires:
13
a.
“Alternative
project
delivery
contract”
means
a
14
design-build
contract
subject
to
the
requirements
of
this
15
section.
16
b.
“Best
value”
means
the
highest
overall
value
to
the
17
governmental
entity-based
factors
that
are
limited
to
price,
18
quality,
design,
technical
solutions,
past
performance,
and
19
workmanship.
20
c.
“Bridging
criteria
professional”
means
a
person,
21
corporation,
partnership,
or
other
legal
entity
that
is
22
employed
by
or
contracted
by
a
governmental
entity
to
assist
23
the
governmental
entity
in
the
development
of
project
design
24
criteria,
requests
for
proposals,
and
any
additional
services
25
requested
by
the
governmental
entity
to
represent
its
interests
26
in
relation
to
a
project
and
who
meets
either
of
the
following
27
requirements:
28
(1)
Is
duly
licensed
to
practice
architecture
within
the
29
state
and
can
demonstrate
specific
knowledge
of
the
project
30
type
where
alternative
project
delivery
services
are
being
31
sought.
32
(2)
Is
duly
licensed
as
a
professional
engineer
within
the
33
state
and
can
demonstrate
specific
knowledge
of
the
project
34
type
where
alternative
project
delivery
services
are
being
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sought.
1
d.
“Design-build”
means
a
project
delivery
method
subject
2
to
a
two-phase,
best-value,
or
low-bid
design-build
selection
3
process
for
which
the
design
and
construction
services
are
4
furnished
under
one
contract.
5
e.
“Design-build
contract”
means
a
contract
between
a
6
governmental
entity
and
a
design-builder
to
furnish
the
7
architecture
of
record,
engineering
of
record,
and
related
8
services
as
required
for
a
given
public
project,
and
to
9
furnish
the
labor,
materials,
and
other
construction
services
10
for
the
same
public
project.
A
design-build
contract
may
be
11
conditioned
upon
subsequent
refinements
in
scope
and
price,
and
12
may
permit
the
governmental
entity
to
make
changes
in
the
scope
13
of
the
project
without
invalidating
the
design-build
contract.
14
f.
“Design-build
project”
means
the
design,
construction,
15
alteration,
addition,
remodeling,
or
improvement
of
any
16
buildings,
infrastructure,
or
facilities
under
contract
with
a
17
governmental
entity.
“Design-build
project”
does
not
include
a
18
project
for
the
construction,
reconstruction,
or
improvement
of
19
a
highway,
bridge,
or
culvert.
20
g.
“Design-builder”
means
any
individual,
partnership,
joint
21
venture,
or
corporation
subject
to
a
two-phase,
best-value,
or
22
low-bid
design-build
selection
process
that
offers
to
provide
23
or
provides
design
services
and
general
contracting
services
24
through
a
design-build
contract
in
which
services
within
25
the
scope
of
the
practice
of
professional
architecture
or
26
engineering
are
performed
respectively
by
a
licensed
architect
27
or
licensed
engineer
and
in
which
services
within
the
scope
of
28
general
contracting
are
performed
by
a
general
contractor
or
29
other
legal
entity
that
furnishes
architecture
or
engineering
30
services
and
construction
services
either
directly
or
through
31
subcontracts
or
joint
ventures.
32
h.
“Design
bridging
criteria
package”
means
the
33
performance-oriented
program,
scope,
design,
and
performance
34
specifications
for
a
design-build
project
sufficient
to
permit
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a
design-builder
to
prepare
a
response
to
a
governmental
1
entity’s
request
for
proposals
for
a
design-build
project.
2
i.
“Low-bid
design-build
selection
process”
means
the
process
3
used
by
a
governmental
entity
seeking
to
enter
a
design-build
4
contract
as
outlined
in
subsection
8,
paragraph
“b”
.
5
j.
“Low-bid
design-build
threshold”
means
the
greater
of
6
five
million
dollars
or
the
adjusted
low-bid
cost
threshold
7
established
in
section
314.1B.
8
k.
“Proposal”
means
an
offer
by
a
design-builder
in
response
9
to
a
request
for
proposals
to
enter
into
a
design-build
10
contract.
11
l.
“Request
for
proposals”
means
the
document
by
which
12
a
governmental
entity
solicits
proposals
for
a
design-build
13
contract.
14
m.
“Stipend”
means
a
payment
to
a
design-builder
who
did
15
not
have
the
lowest
adjusted
score
at
the
conclusion
of
the
16
two-phase,
best-value
selection
process
to
defray
the
cost
of
17
participating
in
the
two-phase,
best-value
selection
process,
18
and
for
the
use
of
any
intellectual
properties
obtained.
19
n.
“Two-phase,
best-value
selection
process”
means
the
20
process
used
by
a
governmental
entity
seeking
to
enter
a
21
design-build
contract
as
outlined
in
subsection
8,
paragraph
22
“a”
.
23
o.
“Two-phase,
best-value
threshold”
means
the
greater
of
24
twenty-five
million
dollars
or
the
adjusted
best-value
cost
25
threshold
established
in
section
314.1B.
26
2.
Notwithstanding
any
other
law
to
the
contrary,
a
27
governmental
entity
shall
be
authorized
to
enter
into
an
28
alternative
project
delivery
contract
for
a
public
improvement
29
subject
to
the
requirements
of
this
section.
30
3.
In
soliciting
proposals
for
a
design-build
contract,
31
a
governmental
entity
shall
determine
the
scope
and
level
of
32
detail
required
to
permit
design-builders
to
submit
proposals
33
in
accordance
with
the
request
for
proposals
given
the
nature
34
of
the
project.
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4.
a.
A
bridging
criteria
professional
may
be
retained
1
by
the
governmental
entity
as
the
governmental
entity’s
2
representative
to
advise
the
governmental
entity
on
3
design-build
matters.
The
retention
of
the
bridging
criteria
4
professional
shall
be
exclusively
to
guide
and
administer
5
the
governmental
entity’s
interests
through
the
process.
6
The
bridging
criteria
professional
shall
have
demonstrated
7
sufficient
previous
experience
in
rules
and
procedures
8
specific
to
the
design-build
process.
The
bridging
criteria
9
professional
shall,
along
with
the
governmental
entity,
be
10
authorized
to
make
recommendations
or
influence
the
acceptance
11
of
any
material,
process,
or
procedure
used
during
the
design
12
and
construction
processes
in
accordance
with
the
criteria
13
established
for
the
project
for
the
purpose
of
evaluating
14
compliance
of
the
work.
The
bridging
criteria
professional
15
may
be
employed
or
contracted
by
the
governmental
entity
to
16
act
on
behalf
of
the
governmental
entity
for
the
sole
purpose
17
of
administrative
procedures
and
shall
not
be
connected
in
18
any
means
to
a
design-build
team
responding
to
the
request
19
for
proposal.
The
duration
of
bridging
criteria
professional
20
services,
prior
to
the
issuance
of
a
design-build
contract,
21
may
begin
when
establishing
the
governmental
entity’s
program
22
requirements
through
design
development
if
the
complexity
of
23
the
project
with
the
governmental
entity
merits
this
level
of
24
bridging
information.
25
b.
(1)
The
design
bridging
criteria
package
shall
include
26
preliminary
designs
for
the
project.
27
(2)
Longevity
of
materials
and
system
performance
28
requirements
shall
be
identified
in
the
design
bridging
29
criteria
package
to
identify
materials
and
systems
that
have
30
the
potential
to
exceed
the
length
of
time
the
project
is
31
funded.
32
(3)
The
design
bridging
criteria
package
shall
also
include
33
preliminary
civil
and
landscape
drawings
including
outline
34
specification
showing
technical
site
engineering
and
storm
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water
detention,
topographic
survey
and
existing
conditions
1
information,
and
preliminary
geotechnical
and
environmental
2
reports;
tabular
and
architectural
drawings
of
program
elements
3
indicating
the
room
types,
sizes,
and
typical
furnishings
4
to
include
desired
building
room
adjacencies
and
functional
5
organizational
requirements;
any
electrical,
mechanical,
6
structural,
plumbing,
heating,
ventilating,
air
conditioning,
7
fire
protection,
life
safety,
or
security
systems
serving
8
the
building,
to
include
outline
specifications
with
project
9
description
including
general
description
of
systems
and
10
finishes;
schematic
level
code
review
summary;
and
local
11
permitting
requirements.
12
(4)
The
design
bridging
criteria
package
may
extend
13
to
the
schematic
design
level
of
detail,
including
design
14
expectations,
capacity,
durability,
standards,
ingress
15
and
egress
requirements,
international
building
code
16
considerations,
performance
requirements,
the
governmental
17
entity’s
operational
expectations,
requirements
for
interior
18
and
exterior
spaces,
material
and
building
system
quality
19
standards,
and
design
and
construction
schedule
timelines.
20
However,
if
the
low-bid
design-build
selection
process
is
used,
21
the
design
bridging
criteria
package
shall
be
extended
to
22
include
the
provisions
described
in
this
subparagraph.
23
5.
A
governmental
entity
shall
publicly
disclose
its
intent
24
to
solicit
proposals
for
a
design-build
contract
and
its
25
project
design
bridging
criteria
package
in
the
same
manner
26
that
it
would
post
notice
for
the
competitive
bidding
process
27
in
section
26.3.
28
6.
In
soliciting
proposals
for
a
design-build
contract,
29
a
governmental
entity
shall
establish
in
the
request
for
30
proposals
a
time,
place,
and
other
specific
instructions
for
31
the
receipt
of
proposals.
Proposals
not
submitted
in
strict
32
accordance
with
the
instructions
may
be
subject
to
rejection.
33
Minor
irregularities
may
be
waived
by
the
governmental
entity.
34
7.
A
request
for
proposals
shall
be
prepared
for
each
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design-build
contract
and
shall
contain,
at
minimum,
the
1
following
elements:
2
a.
The
procedures
to
be
followed
for
submitting
proposals,
3
the
criteria
for
evaluating
proposals
and
their
relative
4
weight,
and
the
procedure
for
making
awards.
5
b.
The
proposed
terms
and
conditions
for
the
design-build
6
contract,
if
available.
7
c.
The
design
bridging
criteria
package.
8
d.
A
description
of
the
drawings,
specifications,
or
other
9
information
to
be
submitted
with
the
proposal,
with
guidance
10
as
to
the
form
and
level
of
completeness
of
the
drawings,
11
specifications,
or
other
information
that
will
be
acceptable.
12
e.
A
schedule
for
planned
commencement
and
completion
of
the
13
design-build
contract,
if
available.
14
f.
Budget
limits
for
the
design-build
contract,
if
any.
15
g.
Requirements
including
any
available
ratings
for
16
performance
bonds,
payment
bonds,
and
insurance,
if
any.
17
h.
If
using
a
two-phase,
best-value
selection
process,
18
the
amount
of
the
stipend
that
will
be
available
and
that
19
responsive
bidders
shall
submit
a
technical
proposal
and
a
20
sealed
price
proposal.
21
i.
If
using
a
low-bid
design-build
selection
process,
scope
22
of
work,
plans,
and
specifications,
the
required
bid
form,
the
23
contract
completion
date
or
construction
days,
a
design-build
24
evaluation
plan
identifying
the
evaluation
criteria
along
with
25
corresponding
standards,
a
description
of
what
constitutes
a
26
nonresponsive
proposal,
and
a
provision
that
responsive
bidders
27
must
submit
their
design-build
technical
and
sealed
price
28
proposals
simultaneously.
29
j.
Any
other
information
that
the
governmental
entity
30
chooses
to
request
limited
to
surveys,
soil
reports,
drawings
31
of
existing
structures,
environmental
studies,
photographs,
a
32
firm’s
experience
as
a
contractor
inclusive
of
projects
in
all
33
delivery
methods,
references
to
public
records,
or
affirmative
34
action
and
minority
business
enterprise
requirements
consistent
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with
state
and
federal
law.
1
8.
A
governmental
entity
seeking
to
enter
into
a
2
design-build
contract
shall
solicit
design-build
proposals
3
either
by
using
a
two-phase,
best-value,
or
a
low-bid
4
design-build
selection
process
subject
to
the
requirements
5
of
this
chapter.
A
two-phase,
best-value
selection
process
6
may
be
used
only
if
the
estimated
total
cost
of
the
public
7
improvement
exceeds
the
two-phase,
best-value
threshold.
The
8
low-bid
design-build
selection
process
may
be
used
only
if
the
9
estimated
total
cost
of
the
public
improvement
exceeds
the
10
low-bid
design-build
threshold.
11
a.
When
solicitations
require
a
two-phase,
best-value
12
selection
process,
the
selection
process
shall
be
conducted
and
13
a
design-build
contract
awarded
as
follows:
14
(1)
In
phase
one,
the
governmental
entity
or
bridging
15
criteria
professional
on
behalf
of
the
governmental
entity
16
shall
score
the
technical
proposals
using
the
selection
17
criteria
in
the
request
for
proposals.
The
governmental
entity
18
or
bridging
criteria
professional
shall
then
submit
a
technical
19
proposal
score
for
each
design-builder.
The
governmental
20
entity
or
bridging
criteria
professional
shall
reject
any
21
proposal
it
deems
nonresponsive.
22
(2)
In
phase
two,
the
governmental
entity
shall
announce
23
the
technical
proposal
score
for
each
design-builder
and
24
shall
publicly
open
the
sealed
price
proposals
for
each
25
design-builder
and
shall
determine
an
adjusted
score
for
each
26
proposal
as
follows:
27
(a)
If
a
time
factor
is
not
included
with
the
selection
28
criteria
in
the
requests
for
proposals,
the
governmental
29
entity
shall
obtain
the
adjusted
score
by
dividing
each
30
design-builder’s
price
by
the
technical
score
that
the
31
governmental
entity
or
bridging
criteria
professional
has
given
32
to
that
design-builder.
33
(b)
If
a
time
factor
is
included
with
the
selection
criteria
34
in
the
requests
for
proposals,
the
governmental
entity
may
35
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_____
adjust
the
design-builder’s
price
using
a
value
of
the
time
1
factor
established
by
the
governmental
entity.
The
value
of
2
the
time
factor
must
be
expressed
as
a
value
per
day.
The
3
adjustment
must
be
based
on
the
total
time
value
which
is
the
4
design-builder’s
total
number
of
days
to
complete
the
project
5
multiplied
by
the
time
factor.
The
time-adjusted
price
is
the
6
total
time
value
plus
the
bid
amount.
This
adjustment
shall
7
only
be
used
for
selection
purposes
and
must
not
affect
the
8
governmental
entity’s
liquidated
damages
schedule
or
incentive
9
or
disincentive
program.
An
adjusted
score
will
then
be
10
obtained
by
dividing
each
design-builder’s
time-adjusted
price
11
by
the
technical
score
that
the
governmental
entity
or
bridging
12
criteria
professional
has
given
the
design-builder.
13
(3)
Unless
all
proposals
are
rejected,
the
governmental
14
entity
shall
award
the
contract
to
the
responsive
and
15
responsible
design-builder
with
the
lowest
adjusted
score
as
16
determined
pursuant
to
this
paragraph.
The
governmental
entity
17
shall
reserve
the
right
to
reject
all
proposals.
18
(4)
As
an
inducement
to
qualified
design-builders,
the
19
governmental
entity
shall
pay
a
stipend,
the
amount
of
which
20
shall
be
established
in
the
request
for
proposals,
to
each
21
design-builder
who
submitted
a
proposal
but
was
not
accepted.
22
Such
stipend
shall
be
no
less
than
one-half
of
one
percent
23
of
the
total
project
budget.
Upon
payment
of
the
stipend
to
24
such
a
design-builder,
the
governmental
entity
shall
acquire
25
a
nonexclusive
right
to
use
the
design
submitted
by
the
26
design-builder,
and
the
design-builder
shall
have
no
further
27
liability
for
the
use
of
the
design
by
the
governmental
entity
28
in
any
manner.
If
the
design-builder
desires
to
retain
all
29
rights
and
interests
in
the
design
proposed,
the
design-builder
30
shall
forfeit
the
stipend.
31
b.
When
solicitations
require
a
low-bid
design-build
32
selection
process,
the
selection
process
shall
be
conducted
and
33
a
design-build
contract
awarded
as
follows:
34
(1)
The
governmental
entity
shall
develop
evaluation
35
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criteria
based
on
the
goals
and
risks
identified
for
the
1
project.
The
criteria
shall
be
evaluated
on
either
a
scored
2
or
a
pass
or
fail
basis.
To
the
extent
possible,
evaluation
3
criteria
should
have
a
measurable
standard
against
which
4
responsiveness
will
be
measured
on
a
pass
or
fail
basis.
5
(2)
The
governmental
entity
shall
first
review
technical
6
proposals
to
determine
which
proposals
are
responsive
to
7
the
evaluation
criteria
in
the
request
for
proposals.
All
8
responsive
proposals
meeting
the
minimum
standards
shall
9
advance
to
opening
the
price
proposals.
Design-build
bidders
10
not
meeting
the
minimum
standards
shall
have
their
sealed
price
11
proposals
returned.
12
(3)
Following
review
and
evaluation
of
the
technical
13
proposal,
the
governmental
entity
shall
then
open
and
14
review
the
price
proposals
from
the
responsive
bidders.
The
15
governmental
entity
shall
award
the
contract
to
the
bidder
that
16
submits
a
responsive
proposal
with
the
lowest
price,
if
the
17
proposal
meets
or
exceeds
all
material
request
for
proposals
18
requirements
as
determined
by
the
governmental
entity.
To
be
19
responsive,
the
technical
proposal
must
meet
or
exceed
the
20
requirements
specified
in
the
request
for
proposals.
21
9.
A
governmental
entity
or
the
state
department
of
22
transportation
shall
not
be
authorized
to
enter
into
an
23
alternative
project
delivery
contract
for
projects
relating
to
24
highway,
bridge,
or
culvert
construction.
25
Sec.
7.
Section
262.56,
Code
2022,
is
amended
to
read
as
26
follows:
27
262.56
Authorization
——
contracts
——
title.
28
Subject
to
and
in
accordance
with
the
provisions
of
this
29
subchapter
the
state
board
of
regents
is
hereby
authorized
30
to
undertake
and
carry
out
any
project
as
defined
in
section
31
262.55
at
the
state
university
of
Iowa,
Iowa
state
university
32
of
science
and
technology,
and
the
university
of
northern
33
Iowa
and
to
operate,
control,
maintain
and
manage
student
34
residence
halls
and
dormitories,
including
dining
and
other
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incidental
facilities,
and
additions
to
such
buildings
at
each
1
of
said
institutions.
All
contracts
for
the
construction,
2
reconstruction,
completion,
equipment,
improvement,
repair
or
3
remodeling
of
any
buildings,
additions
or
facilities
shall
be
4
let
in
accordance
with
the
provisions
of
section
262.34
26.3
.
5
The
title
to
all
real
estate
acquired
under
the
provisions
of
6
this
subchapter
and
the
improvements
erected
thereon
shall
be
7
taken
and
held
in
the
name
of
the
state
of
Iowa.
The
board
8
is
authorized
to
rent
the
rooms
in
such
residence
halls
and
9
dormitories
to
the
students,
officers,
guests
and
employees
10
of
said
institutions
at
such
rates,
fees
or
rentals
as
will
11
provide
a
reasonable
return
upon
the
investment,
but
which
will
12
in
any
event
produce
net
rents,
profits
and
income
sufficient
13
to
insure
the
payment
of
the
principal
of
and
interest
on
all
14
bonds
or
notes
issued
to
pay
any
part
of
the
cost
of
any
project
15
and
refunding
bonds
or
notes
issued
pursuant
to
the
provisions
16
of
this
subchapter
.
17
Sec.
8.
Section
262A.4,
Code
2022,
is
amended
to
read
as
18
follows:
19
262A.4
Authorization
of
general
assembly
and
governor.
20
Subject
to
and
in
accordance
with
the
provisions
of
this
21
chapter
,
the
state
board
of
regents
after
authorization
by
a
22
constitutional
majority
of
each
house
of
the
general
assembly
23
and
approval
by
the
governor
may
undertake
and
carry
out
any
24
project
as
defined
in
this
chapter
at
the
institutions
now
or
25
hereafter
under
the
jurisdiction
of
the
board.
The
state
board
26
of
regents
is
authorized
to
operate,
control,
maintain,
and
27
manage
buildings
and
facilities
and
additions
to
such
buildings
28
and
facilities
at
each
of
said
institutions.
All
contracts
29
for
the
construction,
reconstruction,
completion,
equipment,
30
improvement,
repair
or
remodeling
of
any
buildings,
additions,
31
or
facilities
shall
be
let
in
accordance
with
the
provisions
32
of
section
262.34
26.3
.
The
title
to
all
real
estate
acquired
33
under
the
provisions
of
this
chapter
and
the
improvements
34
erected
thereon
shall
be
taken
and
held
in
the
name
of
the
35
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state
of
Iowa.
1
Sec.
9.
Section
263A.2,
Code
2022,
is
amended
to
read
as
2
follows:
3
263A.2
Authorization
of
general
assembly
and
governor.
4
Subject
to
and
in
accordance
with
the
provisions
of
this
5
chapter
,
the
state
board
of
regents
may
undertake
and
carry
out
6
any
project
as
defined
in
this
chapter
at
the
state
university
7
of
Iowa.
The
state
board
of
regents
is
authorized
to
operate,
8
control,
maintain,
and
manage
buildings
and
facilities
and
9
additions
to
such
buildings
and
facilities
at
said
institution.
10
All
contracts
for
the
construction,
reconstruction,
completion,
11
equipment,
improvement,
repair,
or
remodeling
of
any
buildings,
12
additions,
or
facilities
shall
be
let
in
accordance
with
the
13
provisions
of
section
262.34
26.3
.
The
title
to
all
real
14
estate
acquired
under
the
provisions
of
this
chapter
and
the
15
improvements
erected
thereon
shall
be
taken
and
held
in
the
16
name
of
the
state
of
Iowa.
17
Sec.
10.
Section
314.1,
subsection
2,
Code
2022,
is
amended
18
to
read
as
follows:
19
2.
Notwithstanding
any
other
provision
of
law
to
the
20
contrary,
a
public
improvement
that
involves
the
construction,
21
reconstruction,
or
improvement
of
a
highway,
bridge,
or
culvert
22
and
that
has
a
cost
in
excess
of
the
applicable
threshold
23
in
section
73A.18
,
262.34
,
297.7
,
309.40
,
310.14
,
or
313.10
,
24
as
modified
by
the
bid
threshold
subcommittee
pursuant
to
25
section
314.1B
,
shall
be
advertised
and
let
for
bid,
except
26
such
public
improvements
that
involve
emergency
work
pursuant
27
to
section
309.40A
,
313.10
,
or
384.103,
subsection
2
.
For
a
28
city
having
a
population
of
fifty
thousand
or
less,
a
public
29
improvement
that
involves
the
construction,
reconstruction,
or
30
improvement
of
a
highway,
bridge,
or
culvert
that
has
a
cost
31
in
excess
of
twenty-five
thousand
dollars,
as
modified
by
the
32
bid
threshold
subcommittee
pursuant
to
section
314.1B
,
shall
be
33
advertised
and
let
for
bid,
excluding
emergency
work.
However,
34
a
public
improvement
that
has
an
estimated
total
cost
to
a
35
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city
in
excess
of
a
threshold
of
fifty
thousand
dollars,
as
1
modified
by
the
bid
threshold
subcommittee
pursuant
to
section
2
314.1B
,
and
that
involves
the
construction,
reconstruction,
or
3
improvement
of
a
highway,
bridge,
or
culvert
that
is
under
the
4
jurisdiction
of
a
city
with
a
population
of
more
than
fifty
5
thousand,
shall
be
advertised
and
let
for
bid.
Cities
required
6
to
competitively
bid
highway,
bridge,
or
culvert
work
shall
7
do
so
in
compliance
with
the
contract
letting
procedures
of
8
sections
26.3
through
26.12
.
9
Sec.
11.
Section
314.1B,
subsection
2,
Code
2022,
is
amended
10
by
adding
the
following
new
paragraph:
11
NEW
PARAGRAPH
.
f.
Beginning
July
1,
2023,
the
subcommittee
12
shall
make
adjustments
to
the
low-bid
design-build
threshold
13
as
defined
in
section
26.21
and
the
two-phase,
best-value
14
threshold
as
defined
in
section
26.21
for
vertical
15
infrastructure
in
accordance
with
the
methodology
of
paragraph
16
“b”
.
17
Sec.
12.
REPEAL.
Section
262.34,
Code
2022,
is
repealed.
18
EXPLANATION
19
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
20
the
explanation’s
substance
by
the
members
of
the
general
assembly.
21
This
bill
concerns
public
construction
bidding
procedures
22
for
public
improvements.
23
The
bill
provides
that
services
provided
by
a
construction
24
manager,
defined
as
a
legal
entity
that
is
not
a
design
25
professional
but
acts
as
a
consultant
to
a
governmental
entity
26
for
a
public
improvement,
is
subject
to
the
competitive
bid
27
requirements
of
Code
chapter
26.
28
The
bill
amends
the
definition
of
governmental
entity
for
29
purposes
of
the
provisions
of
Code
chapter
26
governing
public
30
construction
bidding
to
include
the
state
board
of
regents.
31
Code
section
262.34,
providing
alternative
bidding
procedures
32
for
state
board
of
regents
public
improvements,
is
repealed.
33
Code
section
26.7,
regarding
notice
to
bidders,
is
amended
34
to
provide
that
the
notice
may
require
bidders
to
file
a
35
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statement
with
the
governmental
entity
showing
the
bidder’s
1
financial
standing,
equipment,
and
experience
in
similar
work.
2
Code
section
26.9,
regarding
award
of
contract,
is
amended
3
to
allow
a
governmental
entity
to
reject
a
bid
if
the
bidder
4
has
not
performed
in
accordance
with
the
terms
of
another
5
contract
for
a
public
improvement.
6
New
Code
section
26.21
allows
a
governmental
entity
to
use
7
an
alternative
project
delivery
contract
in
circumstances
that
8
normally
require
the
governmental
entity
to
use
competitive
9
bidding
procedures.
Currently,
most
governmental
entities
must
10
use
a
competitive
bidding
process
as
outlined
in
Code
chapter
11
26
for
a
public
improvement
construction
project.
12
The
bill
defines
an
alternative
project
delivery
contract
13
as
a
design-build
contract
and
allows
for
the
selection
and
14
awarding
of
a
design-build
contract
under
either
a
two-phase,
15
best-value,
or
low-bid
design-build
selection
process.
The
16
bill
defines
a
design-build
contract
as
a
contract
between
17
a
governmental
entity
and
a
design-builder
to
furnish
the
18
architecture
of
record,
engineering
of
record,
and
related
19
services
as
required
for
a
given
public
project,
and
to
furnish
20
the
labor,
materials,
and
other
construction
services
for
the
21
same
public
project.
The
bill
specifies
that
the
two-phase,
22
best-value
selection
process
may
be
used
only
for
public
23
improvements
with
an
estimated
total
cost
greater
than
$25
24
million
or
the
adjusted
threshold
amount
as
provided
in
Code
25
section
314.1B.
The
bill
provides
that
the
low-bid
selection
26
process
may
be
used
for
public
improvements
with
an
estimated
27
total
cost
greater
than
$5
million
or
the
adjusted
threshold
28
amount
as
provided
in
Code
section
314.1B.
Code
section
29
314.1B
is
amended
to
provide
the
mechanism
for
adjusting
these
30
threshold
amounts.
31
Under
both
design-build
contract
processes,
a
governmental
32
entity
may
retain
a
bridging
criteria
professional
to
advise
33
the
governmental
entity
on
design-build
matters.
The
bill
34
specifies
what
information
shall
be
included
in
a
request
for
35
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proposals
for
a
design-build
contract,
to
include
a
design
1
bridging
criteria
package
detailing
necessary
elements
for
the
2
public
improvement.
3
If
the
two-phase,
best-value
process
is
used,
the
4
governmental
entity
shall
first
score
the
technical
proposals
5
submitted
by
design-builders.
Then,
the
governmental
6
entity
shall
examine
the
sealed
price
proposals
for
each
7
design-builder
and
calculate
an
adjusted
score
by
dividing
8
each
design-builder’s
price
by
that
design-builder’s
technical
9
score.
The
bill
provides
a
mechanism
to
adjust
the
sealed
10
price
submitted
by
a
design-builder
if
a
time
factor
is
11
included
in
the
selection
criteria.
The
bill
then
provides
12
that
unless
all
proposals
are
rejected,
the
governmental
entity
13
shall
award
the
contract
to
the
responsive
and
responsible
14
design-builder
with
the
lowest
adjusted
score.
The
bill
15
allows
the
governmental
entity
to
provide
a
stipend
to
each
16
design-builder
who
submitted
a
proposal
but
was
not
awarded
the
17
contract.
18
If
the
low-bid
design-build
selection
process
is
used,
19
design-builders
shall
simultaneously
submit
their
technical
20
and
sealed
price
proposals.
The
bill
provides
that
the
21
governmental
entity
shall
establish
measurable
evaluation
22
criteria
for
the
project.
The
governmental
entity
shall
first
23
review
the
technical
proposal
to
determine
whether
the
proposal
24
meets
the
minimum
standards
established
through
the
evaluation
25
criteria.
Following
review
and
evaluation
of
the
technical
26
proposal,
the
governmental
entity
shall
only
review
the
price
27
proposals
from
bidders
that
meet
the
minimum
requirements
for
28
the
project
and
award
the
contract
to
the
bidder
that
submits
a
29
proposal
that
meets
or
exceeds
the
evaluation
criteria
with
the
30
lowest
price.
31
The
bill
provides
that
an
alternative
project
delivery
32
contract
shall
not
be
authorized
for
projects
relating
to
33
highway,
bridge,
or
culvert
construction.
34
-15-
LSB
5493YC
(4)
89
ec/rn
15/
15