| 1 | A bill to be entitled |
| 2 | An act relating to public construction projects; amending |
| 3 | s. 255.20, F.S.; revising exceptions to the requirement |
| 4 | that certain public projects be competitively awarded; |
| 5 | defining the term "maintenance"; prohibiting an exception |
| 6 | if the local government contributed to a delay in funding |
| 7 | or awarding a project; requiring a local government to |
| 8 | support a decision to perform a project with its own |
| 9 | employees and to make a factual finding that the project |
| 10 | cost will be the same or less than the lowest bid; |
| 11 | providing additional exceptions for projects related to |
| 12 | public-use airports, certain ports, and certain public |
| 13 | transit systems; authorizing a project to be awarded to a |
| 14 | contractor that maintains a local presence under certain |
| 15 | circumstances; providing an effective date. |
| 16 |
|
| 17 | Be It Enacted by the Legislature of the State of Florida: |
| 18 |
|
| 19 | Section 1. Section 255.20, Florida Statutes, is amended to |
| 20 | read: |
| 21 | 255.20 Local bids and contracts for public construction |
| 22 | works; specification of state-produced lumber.-- |
| 23 | (1) A county, municipality, special district as defined in |
| 24 | chapter 189, or other political subdivision of the state seeking |
| 25 | to construct, or improve, or repair a public building, |
| 26 | structure, or other public construction works must competitively |
| 27 | award to an appropriately licensed contractor each project that |
| 28 | is estimated in accordance with generally accepted cost- |
| 29 | accounting principles to cost have total construction project |
| 30 | costs of more than $200,000. For electrical work, the local |
| 31 | government must competitively award to an appropriately licensed |
| 32 | contractor each project that is estimated in accordance with |
| 33 | generally accepted cost-accounting principles to have a cost of |
| 34 | more than $50,000. As used in this section, the term |
| 35 | "competitively award" means to award contracts based on the |
| 36 | submission of sealed bids, proposals submitted in response to a |
| 37 | request for proposal, proposals submitted in response to a |
| 38 | request for qualifications, or proposals submitted for |
| 39 | competitive negotiation. This subsection expressly allows |
| 40 | contracts for construction management services, design/build |
| 41 | contracts, continuation contracts based on unit prices, and any |
| 42 | other contract arrangement with a private sector contractor |
| 43 | permitted by any applicable municipal or county ordinance, by |
| 44 | district resolution, or by state law. For purposes of this |
| 45 | section, cost includes construction costs include the cost of |
| 46 | all labor, except inmate labor, and include the cost of |
| 47 | equipment and materials to be used in the construction of the |
| 48 | project. Subject to the provisions of subsection (3), the |
| 49 | county, municipality, special district, or other political |
| 50 | subdivision may establish, by municipal or county ordinance or |
| 51 | special district resolution, procedures for conducting the |
| 52 | bidding process. |
| 53 | (a) Notwithstanding any other law to the contrary, a |
| 54 | governmental entity a county, municipality, special district as |
| 55 | defined in chapter 189, or other political subdivision of the |
| 56 | state seeking to construct or improve bridges, roads, streets, |
| 57 | highways, or railroads, and services incidental thereto, at a |
| 58 | cost costs in excess of $250,000 may require that persons |
| 59 | interested in performing work under contract first be certified |
| 60 | or qualified to perform such work. A Any contractor may be |
| 61 | considered ineligible to bid by the governmental entity if the |
| 62 | contractor is behind by 10 percent or more on completing an |
| 63 | approved progress schedule for the governmental entity by 10 |
| 64 | percent or more at the time of advertising advertisement of the |
| 65 | work. A prequalified Any contractor prequalified and considered |
| 66 | eligible by the Department of Transportation to bid to perform |
| 67 | the type of work described under the contract is shall be |
| 68 | presumed to be qualified to perform the work described. The |
| 69 | governmental entity may provide an appeal process to overcome |
| 70 | that presumption with de novo review based on the record below |
| 71 | to the circuit court. |
| 72 | (b) For With respect to contractors who are not |
| 73 | prequalified by with the Department of Transportation, the |
| 74 | governmental entity shall publish prequalification criteria and |
| 75 | procedures prior to advertisement or notice of solicitation. |
| 76 | Such publications must shall include notice of a public hearing |
| 77 | for comment on such criteria and procedures prior to adoption. |
| 78 | The procedures must shall provide for an appeal process within |
| 79 | the authority for making objections to the prequalification |
| 80 | process with de novo review based on the record below to the |
| 81 | circuit court within 30 days. |
| 82 | (c) The provisions of this subsection do not apply: |
| 83 | 1. If When the project is undertaken to replace, |
| 84 | reconstruct, or repair an existing public building, structure, |
| 85 | or other public construction works facility damaged or destroyed |
| 86 | by a sudden unexpected turn of events, such as an act of God, |
| 87 | riot, fire, flood, accident, or other urgent circumstances, and |
| 88 | such damage or destruction creates: |
| 89 | a. An immediate danger to the public health or safety; |
| 90 | b. Other loss to public or private property which requires |
| 91 | emergency government action; or |
| 92 | c. An interruption of an essential governmental service. |
| 93 | 2. If When, after notice by publication in accordance with |
| 94 | the applicable ordinance or resolution, the governmental entity |
| 95 | does not receive any responsive bids or proposals responses. |
| 96 | 3. To construction, remodeling, repair, or improvement to |
| 97 | a public electric or gas utility system if when such work on the |
| 98 | public utility system is performed by personnel of the system. |
| 99 | 4. To construction, remodeling, repair, or improvement by |
| 100 | a utility commission whose major contracts are to construct and |
| 101 | operate a public electric utility system. |
| 102 | 5. If When the project consists exclusively of is |
| 103 | undertaken as repair or maintenance to a public building, |
| 104 | structure, or other public construction works of an existing |
| 105 | public facility. For the purposes of this section, the term |
| 106 | "maintenance" means those minor repairs and associated tasks |
| 107 | necessary to prevent the failure or decline of such facility |
| 108 | without having to undertake any new construction, additions, or |
| 109 | extensions. |
| 110 | 6. If When the project is undertaken exclusively as part |
| 111 | of a public educational program. |
| 112 | 7. If When the funding source of the project will be |
| 113 | diminished or lost because the time required to competitively |
| 114 | award the project after the funds become available exceeds the |
| 115 | time within which the funding source must be spent, and the |
| 116 | governmental entity undertaking the project has not materially |
| 117 | contributed to a delay in funding or in competitively awarding |
| 118 | the project. |
| 119 | 8. If When the local government has competitively awarded |
| 120 | a project to a private sector contractor and the contractor has |
| 121 | abandoned the project before completion or the local government |
| 122 | has terminated the contract. |
| 123 | 9. If the local government, after receiving competitive |
| 124 | bids or proposals, decides to perform the project using its own |
| 125 | services, employees, and equipment and complies with the |
| 126 | provisions of this subparagraph. If the local government |
| 127 | receives bids or proposals that are responsive but are all at |
| 128 | least 10 percent greater than the local government's estimated |
| 129 | cost of the project, When the governing board of the local |
| 130 | government, after public notice, shall conduct conducts a public |
| 131 | meeting under s. 286.011 and may decide finds by a majority vote |
| 132 | of the governing board that it is in the public's best interest |
| 133 | to perform the project using its own services, employees, and |
| 134 | equipment. The public notice must be published at least 14 days |
| 135 | before prior to the date of the public meeting at which the |
| 136 | governing board takes final action to apply this subparagraph. |
| 137 | The notice must identify the project and, the estimated cost of |
| 138 | the project, and specify that the purpose for the public meeting |
| 139 | is to consider whether it is in the public's best interest to |
| 140 | perform the project using the local government's own services, |
| 141 | employees, and equipment. The local government's decision In |
| 142 | deciding whether it is in the public's best interest for local |
| 143 | government to perform a project using its own services, |
| 144 | employees, and equipment must be supported by a factual finding, |
| 145 | subject to challenge under subsection (5), that the local |
| 146 | government can perform the project at a cost equal to or less |
| 147 | than the lowest cost-responsive bid or proposal received, using |
| 148 | generally accepted cost-accounting principles that fully account |
| 149 | for all local government costs associated with performing the |
| 150 | project, including employee compensation and benefits, |
| 151 | equipment, and materials, the governing board may consider the |
| 152 | cost of the project, whether the project requires an increase in |
| 153 | the number of government employees, an increase in capital |
| 154 | expenditures for public facilities, equipment or other capital |
| 155 | assets, the impact on local economic development, the impact on |
| 156 | small and minority business owners, the impact on state and |
| 157 | local tax revenues, whether the private sector contractors |
| 158 | provide health insurance and other benefits equivalent to those |
| 159 | provided by the local government, and any other factor relevant |
| 160 | to what is in the public's best interest. |
| 161 | 10. If When the governing board of the local government |
| 162 | determines upon consideration of specific substantive criteria |
| 163 | and administrative procedures that it is in the best interest of |
| 164 | the local government to award the project to an appropriately |
| 165 | licensed private sector contractor pursuant according to |
| 166 | administrative procedures established by and expressly set forth |
| 167 | in a charter, ordinance, or resolution of the local government |
| 168 | adopted before prior to July 1, 1994. The criteria and |
| 169 | procedures must be set out in the charter, ordinance, or |
| 170 | resolution and must be applied uniformly by the local government |
| 171 | to avoid awarding a award of any project in an arbitrary or |
| 172 | capricious manner. This exception applies only if shall apply |
| 173 | when all of the following occur: |
| 174 | a. When The governing board of the local government, after |
| 175 | public notice, conducts a public meeting under s. 286.011 and |
| 176 | finds by a two-thirds vote of the governing board that it is in |
| 177 | the public's best interest to award the project according to the |
| 178 | criteria and procedures established by charter, ordinance, or |
| 179 | resolution. The public notice must be published at least 14 days |
| 180 | before prior to the date of the public meeting at which the |
| 181 | governing board takes final action to apply this subparagraph. |
| 182 | The notice must identify the project, the estimated cost of the |
| 183 | project, and specify that the purpose for the public meeting is |
| 184 | to consider whether it is in the public's best interest to award |
| 185 | the project using the criteria and procedures permitted by the |
| 186 | preexisting charter, ordinance, or resolution. |
| 187 | b. In the event The project is to be awarded by any method |
| 188 | other than a competitive selection process, and the governing |
| 189 | board finds must find evidence that: |
| 190 | (I) There is one appropriately licensed contractor who is |
| 191 | uniquely qualified to undertake the project because that |
| 192 | contractor is currently under contract to perform work that is |
| 193 | affiliated with the project; or |
| 194 | (II) The time to competitively award the project will |
| 195 | jeopardize the funding for the project, or will materially |
| 196 | increase the cost of the project, or will create an undue |
| 197 | hardship on the public health, safety, or welfare. |
| 198 | c. In the event The project is to be awarded by any method |
| 199 | other than a competitive selection process, and the published |
| 200 | notice must clearly specifies specify the ordinance or |
| 201 | resolution by which the private sector contractor will be |
| 202 | selected and the criteria to be considered. |
| 203 | d. In the event The project is to be awarded by a method |
| 204 | other than a competitive selection process, and the architect or |
| 205 | engineer of record has provided a written recommendation that |
| 206 | the project be awarded to the private sector contractor without |
| 207 | competitive selection,; and the consideration by, and the |
| 208 | justification of, the government body are documented, in |
| 209 | writing, in the project file and are presented to the governing |
| 210 | board prior to the approval required in this paragraph. |
| 211 | 11. To projects subject to chapter 336. |
| 212 | (d)1. If the project: |
| 213 | 1. Is to be awarded based on price, the contract must be |
| 214 | awarded to the lowest qualified and responsive bidder in |
| 215 | accordance with the applicable county or municipal ordinance or |
| 216 | district resolution and in accordance with the applicable |
| 217 | contract documents. The county, municipality, or special |
| 218 | district may reserve the right to reject all bids and to rebid |
| 219 | the project, or elect not to proceed with the project. This |
| 220 | subsection is not intended to restrict the rights of any local |
| 221 | government to reject the low bid of a nonqualified or |
| 222 | nonresponsive bidder and to award the contract to any other |
| 223 | qualified and responsive bidder in accordance with the standards |
| 224 | and procedures of any applicable county or municipal ordinance |
| 225 | or any resolution of a special district. |
| 226 | 2. If the project Uses a request for proposal or a request |
| 227 | for qualifications, the request must be publicly advertised and |
| 228 | the contract must be awarded in accordance with the applicable |
| 229 | local ordinances. |
| 230 | 3. If the project Is subject to competitive negotiations, |
| 231 | the contract must be awarded in accordance with s. 287.055. |
| 232 | (e) If a construction project greater than $200,000, or |
| 233 | $50,000 for electrical work, is started after October 1, 1999, |
| 234 | and is to be performed by a local government using its own |
| 235 | employees in a county or municipality that issues registered |
| 236 | contractor licenses, and requires a the project would require a |
| 237 | licensed contractor licensed under chapter 489 if performed by a |
| 238 | private sector contractor, the local government must use a |
| 239 | person appropriately registered or certified under chapter 489 |
| 240 | to supervise the work. |
| 241 | (f) If a construction project greater than $200,000, or |
| 242 | $50,000 for electrical work, is started after October 1, 1999, |
| 243 | and is to be performed by a local government using its own |
| 244 | employees in a county that does not issue registered contractor |
| 245 | licenses, and requires a the project would require a licensed |
| 246 | contractor licensed under chapter 489 if performed by a private |
| 247 | sector contractor, the local government must use a person |
| 248 | appropriately registered or certified under chapter 489 or a |
| 249 | person appropriately licensed under chapter 471 to supervise the |
| 250 | work. |
| 251 | (g) Projects performed by a local government using its own |
| 252 | services and employees must be inspected in the same manner as |
| 253 | inspections required for work performed by private sector |
| 254 | contractors. |
| 255 | (h) A construction project provided for in this subsection |
| 256 | may not be divided into more than one project for the purpose of |
| 257 | evading this subsection. |
| 258 | (i) This subsection does not preempt the requirements of |
| 259 | any small-business or disadvantaged-business enterprise program |
| 260 | or any local-preference ordinance. |
| 261 | (j) A local government that owns or operates a public-use |
| 262 | airport as defined in s. 332.004 is exempt from this section |
| 263 | when performing repairs or maintenance on the airport's |
| 264 | buildings, structures, or public construction works using the |
| 265 | local government's own services, employees, and equipment. |
| 266 | (k) A local government that owns or operates a port |
| 267 | identified in s. 403.021(9)(b) is exempt from this section when |
| 268 | performing repairs or maintenance on the port's buildings, |
| 269 | structures, or public construction works using the local |
| 270 | government's own services, employees, and equipment. |
| 271 | (l) A local government that owns or operates a public |
| 272 | transit system as defined in s. 343.52, a public transportation |
| 273 | system as defined in s. 343.62, or a mass transit system |
| 274 | described in s. 349.04(1)(b), is exempt from this section when |
| 275 | performing repairs or maintenance on the buildings, structures, |
| 276 | or public construction works of the public transit system, |
| 277 | public transportation system, or mass transit system using the |
| 278 | local government's own services, employees, and equipment. |
| 279 | (2) The threshold amount of $200,000 for construction or |
| 280 | $50,000 for electrical work must be adjusted by the percentage |
| 281 | change in the Consumer Price Index from January 1, 1994, to |
| 282 | January 1 of the year in which the project is scheduled to |
| 283 | begin. |
| 284 | (3) All county officials, boards of county commissioners, |
| 285 | school boards, city councils, city commissioners, and all other |
| 286 | public officers of state boards or commissions that are charged |
| 287 | with the letting of contracts for public work, for the |
| 288 | construction of public bridges, buildings, and other structures |
| 289 | must always specify lumber, timber, and other forest products |
| 290 | produced and manufactured in this state if whenever such |
| 291 | products are available and their price, fitness, and quality are |
| 292 | equal. This subsection does not apply to when plywood specified |
| 293 | for monolithic concrete forms, if when the structural or service |
| 294 | requirements for timber for a particular job cannot be supplied |
| 295 | by native species, or if when the construction is financed in |
| 296 | whole or in part from federal funds with the requirement |
| 297 | requirements that there be no restrictions as to species or |
| 298 | place of manufacture. |
| 299 | (4) If two or more responsive bids or proposals for a |
| 300 | project to be competitively awarded under this section are |
| 301 | otherwise equal with respect to price, quality, and service, the |
| 302 | local government may give preference to the contractor who |
| 303 | maintains the greatest local presence within the local |
| 304 | government's jurisdiction when awarding the project. For |
| 305 | purposes of this subsection, "local presence" includes |
| 306 | maintaining an office within the jurisdiction and employing |
| 307 | individuals or hiring subcontractors within the jurisdiction. |
| 308 | Except as provided in this subsection, a local government may |
| 309 | not give any consideration to a contractor's local presence or |
| 310 | similar criteria when evaluating bids or proposals or awarding a |
| 311 | project. |
| 312 | (5)(4) Any qualified contractor or vendor who could have |
| 313 | been awarded the project had the project been competitively bid |
| 314 | has shall have standing to challenge the propriety of a the |
| 315 | local government's actions taken pursuant to when the local |
| 316 | government seeks to invoke the provisions of this section. The |
| 317 | prevailing party in such action is shall be entitled to recover |
| 318 | its reasonable attorney's fees. |
| 319 | Section 2. This act shall take effect July 1, 2009. |