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| SPONSOR: | King | DATE TYPED: | 03/06/01 | HB | 945 | ||
| SHORT TITLE: | Minimum Allowable Construction Cost | SB | |||||
| ANALYST: | Taylor | ||||||
| Recurring
or Non-Rec |
Fund
Affected | ||||
| FY01 | FY02 | FY01 | FY02 | ||
| NFI | |||||
Duplicates/Relates to Appropriation in The General Appropriation Act None.
SOURCES OF INFORMATION
Labor Department
General Services Department (GSD)
SUMMARY
Synopsis of Bill
House Bill 945 strikes language that establishes a maximum allowable construction costs of $10 million for public works projects, other than road and highway construction or reconstruction projects, authorized as design and build projects. It adds a minimum project size requirement of $500,000.
FISCAL IMPLICATIONS
The fiscal implications of the bill are indirect and positive. Allowing more public construction projects to be authorized for design and build should save money necessary for such projects since a profit-maximizing business would only adopt design-build if it was financially beneficial to do so. The benefits of the change are not readily quantifiable, however.
ADMINISTRATIVE IMPLICATIONS
The Labor Department and General Services Department report that the bill would have no administrative implications for them.
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