HB0279

HOUSE BILL 279

50th legislature - STATE OF NEW MEXICO - second session, 2012

INTRODUCED BY

Larry A. Larrañaga

AN ACT

RELATING TO PROCUREMENT; ALLOWING THE PROPERTY CONTROL DIVISION OF THE GENERAL SERVICES DEPARTMENT TO USE A CONSTRUCTION MANAGER AT RISK PROCUREMENT PROCESS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

SECTION 1. Section 13-1-124.1 NMSA 1978 (being Laws 2007, Chapter 141, Section 3) is amended to read:

"13-1-124.1. SHORT TITLE.--Sections 13-1-124.1 through 13-1-124.5 NMSA 1978 may be cited as the "[Educational Facility] Construction Manager At Risk Act"."

SECTION 2. Section 13-1-124.2 NMSA 1978 (being Laws 2007, Chapter 141, Section 4) is amended to read:

"13-1-124.2. APPLICABILITY.--The provisions of the [Educational Facility] Construction Manager At Risk Act apply to contracts for the construction of educational facilities and property control division facilities if the governing body chooses, pursuant to the provisions of that act, to use the services of a construction manager at risk."

SECTION 3. Section 13-1-124.3 NMSA 1978 (being Laws 2007, Chapter 141, Section 5) is amended to read:

"13-1-124.3. DEFINITIONS.--As used in the [Educational Facility] Construction Manager At Risk Act:

A. "construction manager at risk" means a person who, pursuant to a contract with a governing body, provides the preconstruction services and construction management required in a construction manager at risk delivery method;

B. "construction manager at risk delivery method" means a construction method for an educational facility or property control division facility wherein a construction manager at risk provides a range of preconstruction services and construction management, including cost estimation and consultation regarding the design of the building project, preparation and coordination of bid packages, scheduling, cost control, value engineering and, while acting as the general contractor during construction, detailing the trade contractor scope of work, holding the trade contracts and other subcontracts, prequalifying and evaluating trade contractors and subcontractors and providing management and construction services, all at a guaranteed maximum price for which the construction manager at risk is financially responsible;

C. "educational facility" means a public school, including a locally chartered or state-chartered charter school or a facility of a state educational institution listed in Section 6-17-1.1 NMSA 1978;

D. "governing body" means:

(1) the public school facilities authority if the authority is the using agency that requires the construction of an educational facility;

(2) a local school board if the board is the using agency that requires the construction of an educational facility;

(3) the governing body of a charter school if the governing body is the using agency that requires the construction of an educational facility; [or]

(4) the governing body of a state educational institution if the governing body is the using agency that requires the construction of an educational facility; [and] or

(5) the property control division of the general services department if the division is the using agency that requires the construction of a property control division facility;

E. "guaranteed maximum price" means the maximum amount to be paid by the governing body for the construction of the educational facility or property control division facility, including the cost of the work, the general conditions and the fees charged by the construction manager at risk; and

F. "property control division facility" means a facility under the control of the property control division of the general services department pursuant to the Property Control Act."

SECTION 4. Section 13-1-124.4 NMSA 1978 (being Laws 2007, Chapter 141, Section 6) is amended to read:

"13-1-124.4. CONSTRUCTION MANAGER AT RISK DELIVERY METHOD AUTHORIZED--MULTIPHASE SELECTION PROCEDURE.--

A. A construction manager at risk delivery method may be used when a governing body determines that it is in its interest to use that method on a specific educational facility or property control division facility construction project, provided that the construction manager at risk shall be selected pursuant to the provisions of this section.

B. The governing body shall form a selection committee of at least three members with at least one member being an architect or engineer. The selection committee shall develop an evaluation process, including a multiphase procedure consisting of two or three steps. A two-step procedure may be used when the total amount of money available for the project is less than five hundred thousand dollars ($500,000) and shall include a request for qualifications and an interview. A three-step procedure shall consist of a request for qualifications, a request for proposals and an interview.

C. A request for qualifications shall be published in accordance with Section 13-1-104 NMSA 1978 and shall include at a minimum the following:

(1) a statement of the minimum qualifications for the construction manager at risk, including the requirements for:

(a) a contractor's license for the type of work to be performed, issued pursuant to the Construction Industries Licensing Act;

(b) registration pursuant to Section

13-4-13.1 NMSA 1978; and

(2) a statement of the scope of work to be performed, including:

(a) the location of the project and the total amount of money available for the project;

(b) a proposed schedule, including a deadline for submission of the statements of qualification;

(d) the composition of the selection committee;

(e) a description of the process the selection committee shall use to evaluate qualifications;

(f) a proposed contract; and

(g) a detailed statement of the relationships and obligations of all parties, including the construction manager at risk, agents of the governing body, such as an architect or engineer, and the governing body;

(3) a verification of the maximum allowable construction cost; and

(4) a request for a proposal bond as required by Section 13-1-146 NMSA 1978.

D. The selection committee shall evaluate the statements of qualifications submitted and determine the offerors that qualify for the construction manager at risk. If the selection committee has chosen a three-step procedure, the committee shall issue a request for proposals to the offerors that qualify.

E. If the selection committee has chosen a two-step procedure, the committee shall rank the persons that qualify based upon the statements of qualification and interview up to three of the highest-ranked offerors.

F. In a three-step procedure, the selection committee shall issue a request for proposals and evaluate the proposals pursuant to Sections 13-1-112 through 13-1-117 NMSA 1978 except that:

(1) the request for proposals shall be sent only to those determined to be qualified pursuant to Subsection D of this section;

(2) the selection committee shall evaluate the proposals and conduct interviews with up to three of the highest-ranked offerors instead of negotiating with responsible offerors found to be reasonably likely to be selected; and

(3) pursuant to Subsection G of this section, the contract award may be made after the interviews.

G. After conducting interviews with the highest-ranked offerors and after considering the factors listed in Subsection H of this section, the selection committee shall recommend to the governing body the offeror that will be most advantageous to the governing body. Should the governing body or its designee be unable to negotiate a satisfactory contract with the offeror considered to be the most qualified at a price determined to be fair and reasonable, negotiations with that offeror shall be formally terminated. The governing body or its designee shall then undertake negotiations with the second most qualified offeror. Failing accord with the second most qualified offeror, the governing body or its designee shall formally terminate negotiations with the offeror. The governing body or its designee shall then undertake negotiations with the third most qualified offeror. Should the governing body or its designee be unable to negotiate a contract with any of the offerors selected by the committee, additional offerors shall be ranked in order of their qualifications and the governing body or its designee shall continue negotiations in accordance with this section until a contract is signed with a qualified offeror or the procurement process is terminated and a new request for proposals is initiated.

H. In evaluating and ranking statements of qualifications, proposals and results of interviews, and in the final recommendation of a construction manager at risk, the selection committee shall consider:

(1) the offeror‛s experience with construction of similar types of projects;

(2) the qualifications and experience of the offeror's personnel and consultants and the role of each in the project;

(3) the plan for management actions to be undertaken on the project, including services to be rendered in connection with safety and the safety plan for the project;

(4) the offeror‛s experience with the construction manager at risk method; and

(5) all other selection criteria, as stated in the request for qualifications and the request for proposals.

I. Nothing in this section precludes the selection committee from recommending the termination of the selection procedure pursuant to Section 13-1-131 NMSA 1978 and repeating the selection process pursuant to this section. Any material received by the selection committee in response to a solicitation that is terminated shall not be disclosed so as to be available to competing offerors.

J. After a contract is awarded, the selection committee shall make the names of all offerors and the names of all offerors selected for interview available for public inspection along with the selection committee's final ranking and evaluation scores. Offerors who were interviewed but not selected for contract award shall be notified in writing within fifteen days of the award."

SECTION 5. EFFECTIVE DATE.--The effective date of the provisions of this act is July 1, 2012.

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