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§37-2-27.3  Procurement of construction manager at-risk services – Technical review committee. –


Published: 2015

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TITLE 37

Public Property and Works

CHAPTER 37-2

State Purchases

SECTION 37-2-27.3



   § 37-2-27.3  Procurement of construction

manager at-risk services – Technical review committee. –

(a) When procuring construction manager at-risk services for a using agency,

other than a public corporation or a public agency, a technical review

committee shall be appointed by the chief purchasing officer to evaluate the

statements of qualifications, performance data, and cost proposals submitted

and any other relevant information. The technical review committee shall be

comprised of five (5) members with one member from the division of legal

services at the department of administration; one member from the department of

administration with experience in the construction of capital projects; one

member from the division of purchases; and no more than two (2) members from

the using agency. The using agency's owner's program manager shall advise and

assist the technical review committee as necessary. The members of a technical

review committee of a public corporation or a public agency shall be determined

in accordance with their own policies and procedures.



   (b) Prior to opening the cost or pricing data, the technical

review committee shall prequalify at least two (2) firms as professionally and

technically qualified. If unable to prequalify two (2) firms, then the

technical review committee may either re-advertise the request for proposals or

may recommend to the chief purchasing officer that the general contractor

method of construction management be utilized on the project. If the technical

review committee is unable to prequalify at least two (2) firms after the

second advertising of the request for proposals for construction manager

at-risk services, then the chief purchasing officer shall require the using

agency to utilize the general contractor method of construction management for

the project.



   (c) The department of administration's division of capital

projects, in conjunction with the division of purchases, shall assist the using

agency in drafting the request for proposals used to procure the construction

manager at-risk services, provided that such assistance is not mandatory for a

public corporation or a public agency which may develop the request for

proposals without such assistance.



   (1) If federal restrictions do not prohibit the consideration

of cost in the selection process, then the request for proposals shall require

that the proposals submitted itemize the following:



   (i) The fee for pre-construction services;



   (ii) The fee for construction services with the profit and

overhead separately itemized; and



   (iii) The estimated cost of the general conditions.



   (2) The request for proposals shall include a standardized

contract for construction manager at-risk services in a form acceptable to the

chief purchasing officer. Firms responding to the request for proposals shall

submit proposed changes to the contract language in writing as part of their

proposal. The technical review committee shall consider the favorability to the

state of any proposed changes to the standardized contract as a criteria for

evaluating and ranking the firms.



   (3) The technical review subcommittee may conduct written or

oral negotiations concerning proposed changes to the standardized contract with

all offerors determined in writing to be reasonably susceptible to being

selected for award. Any negotiations conducted must be clearly memorialized

through the detailed documentation of the decisions made and the reasons for

those decisions.



   (4) The technical review committee shall submit its written

recommendations of eligible construction management at-risk firms to the chief

purchasing officer.



   (5) The chief purchasing officer shall issue a written

determination selecting a construction management at-risk firm for the project

that includes findings that all the terms of the proposed contract are fair and

reasonable to the state.



   (6) The construction management at-risk firm selected for the

project may not be reimbursed or paid for any services provided prior to the

execution of the contract by the chief purchasing officer, a representative of

the using agency, and a representative of the construction manager at-risk firm

and the issuance of a purchase order.



   (d) The chief purchasing officer shall negotiate the

guaranteed, maximum price as an amendment to the contract executed pursuant to

subsection (c) of this section when the design documents are no less than sixty

percent (60%) complete. The guaranteed, maximum price shall represent the

maximum amount to be paid by the using agency for the building project,

including the cost of the work, the general conditions, and the fee payable to

the construction management at-risk firm.



   (1) The guaranteed maximum price shall itemize:



   (i) The amount of any construction manager at-risk

contingency;



   (ii) The amount of the general conditions;



   (iii) Any fees, including fees incurred prior to the

guaranteed maximum price;



   (iv) Each allowance with a statement of its basis;



   (v) A breakdown of costs by trade;



   (vi) The dates for substantial and final completion upon

which the guaranteed, maximum price is based;



   (vii) A schedule of applicable alternates and the unit

prices; and



   (viii) The drawings, specifications, and other information on

which the price is based.



   (2) The chief purchasing officer shall issue a written

determination that all the terms of the guaranteed, maximum price amendment are

fair and reasonable to the state.



   (3) The project may not proceed to the construction phase

without the execution of the guaranteed, maximum-price amendment to the

contract by the chief purchasing officer, a representative of the using agency,

and a representative of the construction management at-risk firm and issuance

of an approved change order; provided, nevertheless, the chief purchasing

officer may authorize the commencement of preliminary investigatory, site, or

other construction if the chief purchasing officer issues a written

determination that such preliminary construction is advantageous to, and in the

best interest of, the state, public corporation, or public agency, and the

remaining requirements for the commencement of construction set forth above are

satisfied as it relates to the proposed preliminary construction.



   (4) If the chief purchasing officer is unable to obtain a

guaranteed, maximum-price amendment that is fair and reasonable to the state or

if the construction management at-risk firm is unable to provide all necessary

bonds within ten (10) days of the execution of the amendment, then the chief

purchasing officer may terminate the construction management at-risk contract

and:



   (i) Negotiate a new construction management at-risk contract

and guaranteed, maximum-price agreement with the next-most qualified

construction management at-risk firm as determined by the technical review

committee; or



   (ii) Order that the project shall be completed through the

utilization of the general contractor method of construction management.



   (e) No provision of this section is intended to require a

party to breach a contract disclosed to the using agency and executed prior to

the award of the construction management at-risk contract.



History of Section.

(P.L. 2011, ch. 336, § 2; P.L. 2011, ch. 385, § 2; P.L. 2014, ch.

357, § 1; P.L. 2014, ch. 400, § 1.)