Staff Analysis of the Legislation
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SB 147 (Senator McKoon-R-29th) Requires that all contracts for professional services exceeding $50,000 over a 12 month period be awarded based on competitive sealed bidding, unless the local board of education deems, by majority vote, that the professional services to be procured are unique and can only be obtained from a single source. Defines the term "construction manager at risk" as a construction delivery method whereby the owner - Hires a construction manager during the project predesign phase, who works with the architect and engineer ro develop and estimate costs for the design. The construction manager provides a guaranteed maximum price and then receives proposals and awards contracts to subcontractors.
- Hires a general contractor after completion of the design phase.
Local boards of education that select a construction manager at risk pursuant to the competitive bidding process shall require that teh guaranteed maximum price provided by the construction manager at risk not be subject to change after the contract between the board of education and construction manager at risk is executed. This bill effectively eliminates "Change Orders" which cause a project to exceed the bid price when using the Construction Manager at Risk construction delivery method. |