SB 398 — Transportation Projects

However, construction activities may not begin on any portion of such projects for which the department has not yet obtained title to the necessary rights-of-way and easements for the construction of that portion of the project has vested in the state or a Page 4 of 11 CODING:

Florida Senate - 2022 CS for CS for SB 398 576-03554-22596-01437-22 2022398c22022398c1 localinterests governmentalof entitythe public, the department may combine the design and allconstruction railroadphases crossingof a project into a single contract and utilityselect agreementsthe havedesign-build beenfirm executed.in the early stages of a project to ensure that the design-build firm is part of the collaboration and development of the design as part of a step-by-step progression through construction.

Such contract is referred to as a progressive design-build contract.

For progressive design- build contracts, the selection and award processes must include a two-phase process.

For phase one, the department shall competitively award the contract to a design-build firm based upon qualifications.

For phase two, the design-build firm shall competitively bid construction trade subcontractor packages and, based upon these bids, negotiate with the department a fixed firm price or guaranteed maximum price that meets the project budget and scope as advertised in the request for qualifications.

(c) Design-build contracts and progressive design-build contracts may be advertised and awarded notwithstanding the requirements of paragraph (3)(c).

However, construction activities may not begin on any portion of such projects for which the department has not yet obtained title to the necessary rights-of-way and easements for the construction of that portion of the project has vested in the state or a local governmental entity and all railroad crossing and utility agreements have been executed.

Section(d)(b) 4.The department shall adopt by rule procedures for administering design-build contracts and progressive design- Page 4 of 7 CODING:

Subsection (1) of section 337.1101, Florida Statutes, is amended to read:

337.1101 Contracting and procurement authority of the department;

settlements;

notification required.— (1) When the department, or any entity or enterprise within the department, determines that it is in the best interest of the public to resolve a protest filed in accordance with s.

120.57(3) of the award of a contract being procured pursuant to s.

337.11 or related to the purchase of personal property or contractual services being procured pursuant to s.

287.057, through a settlement that requires the department to pay a nonselected responsive bidder a total sum of $1 million or more, including any amount paid pursuant to s.

334.049, any amount paid pursuant to s.

337.11(8) which is not included in the department’s work program approved by the Legislature as part of the General Appropriations Act, or any amount paid pursuant to any other law, the department must:

(a) Document in a written memorandum by the secretary the specific reasons that such settlement and payment to a nonselected responsive bidder is in the best interest of the state.

The written memorandum must be included and maintained in the department’s permanent files concerning the procurement and must include:

1.

A description of the property rights, patent rights, copyrights, trademarks, or the engineering design or other Page 5 of 11 CODING:

Florida Senate - 2022 CS for CS for SB 398 576-03554-22596-01437-22 2022398c22022398c1 designbuild workcontracts. that the department will acquire or retain as a result of such settlement;

andSuch 2.procedures shall include, but not be limited to:

The1. specific appropriation in the existing General Appropriations Act which the department intends to use to provide such payment.

(b)Prequalification Providerequirements. prior written notification to the President of the Senate, the Speaker of the House of Representatives, the Senate and House of Representatives minority leaders, the chair and vice chair of the Legislative Budget Commission, and the Attorney General at least 5 business days, or as soon thereafter as practicable, before the department makes the settlement agreement final.

Such2. written notification must include the written memorandum required pursuant to paragraph (a).

(c)Public Provide,announcement atprocedures. the time settlement discussions regarding any such payment have begun in earnest, written notification of such discussions to the President of the Senate, the Speaker of the House of Representatives, the Senate and House of Representatives minority leaders, the chair and vice chair of the Legislative Budget Commission, and the Attorney General.

Section3. 5.

SubsectionsScope (1), (4), and (7) of sectionservice 337.14,requirements. Florida Statutes, are amended to read:

4.

Letters of interest requirements.

5.

Short-listing criteria and procedures.

6.

Bid proposal requirements.

7.

Technical review committee.

8.

Selection and award processes.

9.

Stipend requirements.

(e)(c) The department must receive at least three letters of interest in order to proceed with a request for proposals.

The department shall request proposals from no fewer than three of the design-build firms submitting letters of interest.

If a design-build firm withdraws from consideration after the department requests proposals, the department may continue if at least two proposals are received.

Section 4.

Subsection (4) of section 337.14, Florida Statutes, is amended to read:

request for hearing.— (1)(4) AnyIf contractorthe desiringapplicant is found to bidpossess forthe prescribed qualifications, the performancedepartment ofshall anyissue constructionto contracthim inor excessher a certificate of $250,000qualification whichthat, unless thereafter revoked by the department proposesfor togood letcause, mustwill first be certifiedvalid byfor a period of 18 months after the departmentdate asof qualifiedthe pursuantapplicant’s tofinancial thisstatement sectionor andsuch rulesshorter ofperiod as the department.department prescribes.

TheSubmission rules of thean departmentapplication mustdoes addressand thesubsequent qualificationapproval ofdo contractorsnot toaffect bid on construction contracts in Page 65 of 117 CODING:

Florida Senate - 2022 CS for CS for SB 398 576-03554-22596-01437-22 2022398c22022398c1 excessexpiration of $250,000the andcertificate mustof includequalification, requirements with respect to the equipment,ability pastfactor record, experience, financial resources, and organizational personnel of the applyingapplicant, contractoror which are necessary to perform the specificmaximum classcapacity rating of work for which the contractorapplicant. seeks certification.

Any contractor who desires to bid on contracts in excess of $50 million and who is not qualified and in good standing with the department as of January 1, 2019, must first be certified by the department as qualified and must have satisfactorily completed two projects, each in excess of $15 million, for the department or for any other state department of transportation.

The department may limit the dollar amount of any contract upon which a contractor is qualified to bid or the aggregate total dollar volume of contracts such contractor is allowed to have under contract at any one time.

Each applying contractor seeking qualification to bid on construction contracts in excess of $250,000 shall furnish the department a statement under oath, on such forms as the department may prescribe, setting forth detailed information as required on the application.

Each application for certification must be accompanied by audited, certified financial statements prepared in accordance with generally accepted accounting principles and auditing standards by a certified public accountant licensed in this state or another state.

The audited, certified financial statements must be for the applying contractor and must have been prepared within the immediately preceding 12 months.

The department may not consider any financial information of the parent entity of the applying contractor, if any.

The department may not certify as qualified any applying contractor who fails to submit the audited, Page 7 of 11 CODING:

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words underlined are additions.

Florida Senate - 2022 CS for CS for SB 398 576-03554-22 2022398c2 certified financial statements required by this subsection.

If the application or the annual financial statement shows the financial condition of the applying contractor more than 4 months before the date on which the application is received by the department, the applicant must also submit interim audited, certified financial statements prepared in accordance with generally accepted accounting principles and auditing standards by a certified public accountant licensed in this state or another state.

The interim financial statements must cover the period from the end date of the annual statement and must show the financial condition of the applying contractor no more than 4 months before the date that the interim financial statements are received by the department.

However, upon the request of the applying contractor, an application and accompanying annual or interim financial statement received by the department within 15 days after either 4-month period under this subsection shall be considered timely.

An applying contractor desiring to bid exclusively for the performance of construction contracts with proposed budget estimates of less than $2 $1 million may submit reviewed annual or reviewed interim financial statements prepared by a certified public accountant.

The information required by this subsection is confidential and exempt from s.

119.07(1).

The department shall act upon the application for qualification within 30 days after the department determines that the application is complete.

The department may waive the requirements of this subsection for projects having a contract price of $500,000 or less if the department determines that the project is of a noncritical nature and the waiver will not endanger public health, safety, or property.

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words underlined are additions.

Florida Senate - 2022 CS for CS for SB 398 576-03554-22 2022398c2 (4) If the applicant is found to possess the prescribed qualifications, the department shall issue to him or her a certificate of qualification that, unless thereafter revoked by the department for good cause, will be valid for a period of 18 months after the date of the applicant’s financial statement or such shorter period as the department prescribes.

Submission of an application does and subsequent approval do not affect expiration of the certificate of qualification, the ability factor of the applicant, or the maximum capacity rating of the applicant.

(7)Section A5. “contractor” as defined in s.

337.165(1)(d) or his or her “affiliate” as defined in s.

337.165(1)(a) qualified with the department under this section may not also qualify under s.

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words underlined are additions.

Florida Senate - 2022 CS for CS for SB 398 576-03554-22 2022398c2 287.055 or s.

337.105 to provide testing services, construction, engineering, and inspection services to the department.

This limitation does not apply to any design-build, including progressive design-build, prequalification under s.

337.11(7) and does not apply when the department otherwise determines by written order entered at least 30 days before advertisement that the limitation is not in the best interests of the public with respect to a particular contract for testing services, construction, engineering, and inspection services.

This subsection does not authorize a contractor to provide testing services, or provide construction, engineering, and inspection services, to the department in connection with a construction contract under which the contractor is performing any work.

Notwithstanding any other provision of law to the contrary, for a project that is wholly or partially funded by the department and administered by a local governmental entity, except for a seaport listed in s.

311.09 or an airport as defined in s.

332.004, the entity performing design and construction engineering and inspection services may not be the same entity.

Section 6.

(2) A document that reveals the identity of a person who Page 106 of 117 CODING:

Florida Senate - 2022 CS for CS for SB 398 576-03554-22596-01437-22 2022398c22022398c1 has requested or obtained a bid package, plan, or specifications pertaining to any project to be let by the department is confidential and exempt from the provisions of s.

Section 7.6.

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