HB5593 EngrossedLRB100 19685 AXK 34959 b

1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Design-Build for Public Schools Act.
 
6    Section 5. Legislative intent. It is the intent of the
7General Assembly to authorize up to 5 design-build
8demonstration projects statewide where it is shown to be in a
9school district's best interest, as determined by the State
10Board of Education. All projects procured using this delivery
11system shall comply with Section 2-3.12 of the School Code and
12shall be subject to review and approval by the State Board of
13Education.
 
14    Section 10. Scope. This Act shall not apply to entities
15subject to the Public Building Commission Act.
 
16    Section 15. Definitions. In this Act:
17    "Delivery system" means the design and construction
18approach used to develop and construct a project.
19    "Design-bid-build" means the traditional delivery system
20used on public projects in this State that incorporates the
21Architectural, Engineering, and Land Surveying Qualifications

 

 

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1Based Selection Act and the principles of competitive selection
2in the Illinois Procurement Code.
3    "Design-build" means a delivery system that is responsible
4within a single contract for the furnishing of architecture,
5engineering, land surveying, and related services, as
6required, and the labor, materials, equipment, and other
7construction services for the project.
8    "Design-build contract" means a contract for a project
9between a school district and a design-build entity to furnish
10architecture, engineering, land surveying, and related
11services, as required, and to furnish the labor, materials,
12equipment, and other construction services for the project.
13    "Design-build entity" means any individual, sole
14proprietorship, firm, partnership, joint venture, corporation,
15professional corporation, or other entity that proposes to
16design and construct any public project under this Act. A
17design-build entity and any associated design-build
18professionals shall conduct themselves in accordance with the
19laws of this State and the related provisions of the Illinois
20Administrative Code, as referenced by the licensed design
21professionals Acts of this State.
22    "Design professional" means any individual, sole
23proprietorship, firm, partnership, joint venture, corporation,
24professional corporation, or other entity that offers services
25under the Illinois Architecture Practice Act of 1989,
26Professional Engineering Practice Act of 1989, Structural

 

 

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1Engineering Practice Act of 1989, or Illinois Professional Land
2Surveyor Act of 1989.
3    "Evaluation criteria" means the requirements for the
4separate phases of the selection process and may include
5specialized experience, technical qualifications and
6competence, capacity to perform, past performance, experience
7with similar projects, assignment of personnel to the project,
8and other appropriate factors. Price may not be used as a
9factor in the evaluation of Phase I proposals.
10    "Proposal" means the offer to enter into a design-build
11contract as submitted by a design-build entity in accordance
12with this Act.
13    "Request for proposals" means the document used by a school
14district to solicit proposals for a design-build contract.
15    "School district" means a public school district that
16operates under the authority of the School Code, except for a
17school district organized under Article 34 of that Code.
18    "Scope and performance criteria" means the requirements
19for the project, including, but not limited to, the intended
20usage, capacity, size, scope, quality and performance
21standards, life-cycle costs, and other programmatic criteria
22that are expressed in performance-oriented and quantifiable
23specifications and drawings that can be reasonably inferred and
24are suited to allow a design-build entity to develop a
25proposal.
 

 

 

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1    Section 20. Procedures.
2    (a) It shall be the policy of a school district in the
3procurement of design-build services to publicly announce all
4requirements for design-build services and to procure these
5services on the basis of demonstrated competence and
6qualifications, with due regard for the principles of
7competitive selection. A school district shall, prior to
8issuing a request for proposals, promulgate and publish
9procedures for the solicitation and award of contracts pursuant
10to this Act.
11    (b) A school district shall, for each project or projects
12permitted under this Act, make a written determination,
13including a description as to the particular advantages of the
14design-build procurement method, that it is in the best
15interests of the school district to enter into a design-build
16contract for the project or projects. In making that
17determination, a school district shall consider all of the
18following factors:
19        (1) The probability that the design-build procurement
20    method will be in the best interests of the school district
21    by providing a material savings of time or cost over the
22    design-bid-build or other delivery system.
23        (2) The type and size of the project and its
24    suitability to the design-build procurement method.
25        (3) The ability of the design-build entity to define
26    and provide comprehensive scope and performance criteria

 

 

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1    for the project.
 
2    Section 25. Solicitation of proposals.
3    (a) If a school district elects to use the design-build
4delivery method under this Act, it must issue a notice of
5intent to receive proposals for the project no less than 14
6days before issuing the request for proposals. A school
7district must publish the advance notice in a daily newspaper
8of general circulation in the area where the school district is
9located. A school district may publish the notice in related
10construction-industry service publications. A brief
11description of the proposed procurement must be included in the
12notice. A school district must provide a copy of the request
13for proposals to any party requesting a copy.
14    (b) A request for proposals under subsection (a) of this
15Section shall be prepared for each project and must include,
16but is not limited to, all of the following:
17        (1) The name of the school district.
18        (2) A preliminary schedule for the completion of the
19    contract.
20        (3) The proposed budget for the project, the source of
21    the required funds, and the currently available funds at
22    the time the request for proposals is submitted.
23        (4) Prequalification criteria for the design-build
24    entities that submit proposals. A school district shall
25    include, at a minimum, its normal prequalification,

 

 

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1    licensing, and registration requirements. Nothing
2    contained in this paragraph (4) shall preclude the use of
3    additional prequalification criteria by a school district.
4        (5) Material requirements of the contract, including,
5    but not limited to, the proposed terms and conditions,
6    required performance and payment bonds, insurance, and the
7    design-build entity's plan to comply with the utilization
8    goals established by the corporate authorities of the
9    school district for minority-owned and women-owned
10    business enterprises and to comply with Section 2-105 of
11    the Illinois Human Rights Act.
12        (6) The performance criteria.
13        (7) The evaluation criteria for each phase of the
14    solicitation. Price may not be used as a factor in the
15    evaluation of Phase I proposals.
16        (8) The number of entities that shall be considered for
17    the technical and cost evaluation phase.
18    (c) A school district may include any other relevant
19information in the request for proposals. The design-build
20entity shall be entitled to rely upon the accuracy of this
21documentation in the development of its proposal.
22    (d) The date that proposals are due must be no less than 21
23calendar days after the date of the issuance of the request for
24proposals. If the cost of the project is estimated to exceed
25$10,000,000, then the proposal's due date must be no less than
2628 calendar days after the date of the issuance of the request

 

 

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1for proposals. A school district shall include in the request
2for proposals a minimum of 30 days to develop the Phase II
3submissions after the selection of entities from the Phase I
4evaluation is completed.
 
5    Section 30. Development of scope and performance criteria.
6    (a) A request for proposals under this Act shall be
7developed with the assistance of a licensed design professional
8and shall include scope and performance criteria. The scope and
9performance criteria must be in sufficient detail and contain
10adequate information to reasonably apprise the qualified
11design-build entities of the school district's overall
12programmatic needs and goals, including criteria and
13preliminary design plans, general budget parameters, schedule,
14and delivery requirements. Each request for proposals shall
15also include a description of the level of design to be
16provided in the proposals. This description must include the
17scope and type of renderings, drawings, and specifications
18that, at a minimum, shall be required by the school district to
19be produced by the design-build entities.
20    (b) The scope and performance criteria shall be prepared by
21a design professional who is an employee of the school district
22or by an independent design professional selected under the
23Architectural, Engineering, and Land Surveying Qualifications
24Based Selection Act contracted by the school district to
25provide these services.

 

 

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1    (c) The design professional that prepares the scope and
2performance criteria is prohibited from participating in any
3design-build entity proposal for the project.
4    (d) The design-build contract may be conditioned upon
5subsequent refinements in scope and price and may allow the
6school district to make modifications in the project scope
7without invalidating the design-build contract.
 
8    Section 35. Selection committee.
9    (a) A school district that elects to use the design-build
10delivery method under this Act shall establish a committee to
11evaluate and select the design-build entity. The committee,
12under the discretion of the school district, shall consist of
13no less than 5 members and no more than 7 members and shall
14include no less than one licensed design professional.
15    (b) Each member of the selection committee must certify for
16each request for proposals that no conflict of interest exists
17between the member and the design-build entities submitting
18proposals. If a conflict is discovered before proposals are
19reviewed, the member must be replaced before any review of
20proposals. If a conflict is discovered after proposals are
21reviewed, the member with the conflict shall be removed and, if
22no less than 5 members remain, the remaining committee members
23may complete the selection process.
 
24    Section 40. Procedures for selection.

 

 

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1    (a) A school district electing to use the design-build
2delivery method must use a 2-phase procedure for the selection
3of the successful design-build entity. Phase I of the procedure
4shall evaluate and shortlist the design-build entities based on
5qualifications and Phase II of the procedure shall evaluate the
6technical and cost proposals.
7    (b) A school district shall include in the request for
8proposal the evaluating factors to be used in Phase I. These
9factors are in addition to any prequalification requirements of
10design-build entities that the school district has set forth.
11Each request for proposals shall establish the relative
12importance assigned to each evaluation factor and subfactor,
13including any weighing of criteria to be employed by the school
14district. A school district must maintain a record of the
15evaluation scoring to be disclosed in event of a protest
16regarding the solicitation.
17    (c) A school district shall include the following criteria
18in every Phase I evaluation of design-build entities: (i)
19experience of personnel; (ii) successful experience with
20similar project types; (iii) financial capability; (iv)
21timeliness of past performance; (v) experience with
22similarly-sized projects; (vi) successful reference checks of
23the entity; (vii) commitment to assign personnel for the
24duration of the project and qualifications of the entity's
25consultants; and (viii) ability or past performance in meeting
26or exhausting good faith efforts to meet the utilization goals

 

 

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1for minority-owned and women-owned business enterprises
2established by the corporate authorities of the school district
3and in complying with Section 2-105 of the Illinois Human
4Rights Act. A school district may include any additional
5relevant criteria in Phase I that it deems necessary for a
6proper qualification review. The school district may not
7consider any design-build entity for evaluation or award if the
8entity has any pecuniary interest in the project or has other
9relationships or circumstances, including, but not limited to,
10a long-term leasehold, mutual performance, or development
11contracts with the school district that may give the
12design-build entity a financial or tangible advantage over
13other design-build entities in the preparation, evaluation, or
14performance of the design-build contract or that create the
15appearance of impropriety. No design-build proposal shall be
16considered that does not include a design-build entity's plan
17to comply with the utilization goals established by the
18corporate authorities of the school district for
19minority-owned and women-owned business enterprises and with
20Section 2-105 of the Illinois Human Rights Act.
21    (d) Upon completion of the qualifications evaluation, a
22school district shall create a shortlist of the most highly
23qualified design-build entities. A school district is not
24required to shortlist the maximum number of entities as
25identified for Phase II evaluation, provided that no less than
262 and no more than 6 design-build entities are selected to

 

 

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1submit Phase II proposals. A school district shall provide
2written notification to the entities selected for the
3shortlist. This notification shall commence the period for the
4preparation of the Phase II technical and cost evaluations. A
5school district must allow sufficient time for the shortlist
6entities to prepare their Phase II submittals considering the
7scope and detail requested by the school district.
8    (e) A school district shall include in the request for
9proposals the evaluating factors to be used in the technical
10and cost submission components of Phase II. Each request for
11proposals shall establish, for both the technical and cost
12submission components of Phase II, the relative importance
13assigned to each evaluation factor and subfactor, including any
14weighing of criteria to be employed by the school district. The
15school district must maintain a record of the evaluation
16scoring, to be disclosed in the event of a protest regarding
17the solicitation.
18    (f) A school district shall include the following criteria
19in every Phase II technical evaluation of design-build
20entities: (i) compliance with objectives of the project; (ii)
21compliance of proposed services to the request for proposals
22requirements; (iii) quality of products or materials proposed;
23(iv) quality of design parameters; (v) design concepts; (vi)
24innovation in meeting the scope and performance criteria; and
25(vii) constructability of the proposed project. A school
26district may include any additional relevant technical

 

 

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1evaluation factors it deems necessary for proper selection. A
2school district shall include the following criteria in every
3Phase II cost evaluation: (I) the total project cost; (II) the
4construction costs; and (III) the time of completion. A school
5district may include any additional relevant evaluation
6factors it deems necessary for proper selection. The total
7project cost criteria weighing factor shall not exceed 30%.
8    (g) A school district shall directly employ or retain a
9licensed design professional to evaluate the technical and cost
10submissions to determine if the technical submissions are in
11accordance with generally accepted industry standards. Upon
12completion of the technical submissions and cost submissions
13evaluation, a school district may award the design-build
14contract to the highest overall ranked entity.
 
15    Section 45. Small projects. In any case where the total
16overall cost of the project is estimated to be less than
17$10,000,000, a school district may combine the 2-phase
18procedure for selection under Section 40 of this Act into one
19combined step; provided that all the requirements of evaluation
20are performed in accordance with Section 40 of this Act.
 
21    Section 50. Submission of proposals.
22    (a) Proposals under this Act must be properly identified
23and sealed. Proposals may not be reviewed until after the
24deadline for submission has passed as set forth in the request

 

 

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1for proposals. All design-build entities submitting proposals
2shall be disclosed after the deadline for submission, and all
3design-build entities who are selected for Phase II evaluation
4shall be disclosed at the time of that determination.
5    (b) Proposals shall include a bid bond in the form and
6security as designated in the request for proposals. Proposals
7shall also contain a separate sealed envelope with the cost
8information within the overall proposal submission. Proposals
9shall include a list of all design professionals and other
10entities, in accordance with Section 30-30 of the Illinois
11Procurement Code, to which any work may be subcontracted during
12the performance of the contract.
13    (c) Proposals must meet all material requirements of the
14request for proposals, or they may be rejected as
15non-responsive. A school district shall have the right to
16reject any and all proposals. The drawings and specifications
17of the proposal shall remain the property of the design-build
18entity. A school district shall review the proposals for
19compliance with the performance criteria and evaluation
20factors. Proposals may be withdrawn prior to evaluation for any
21cause. After evaluation begins by a school district, clear and
22convincing evidence of error is required for withdrawal.
23    (d) After a proposal has been submitted in accordance with
24this Act, a design-build entity may not replace, remove, or
25otherwise modify any firm identified as a member of the
26design-build team unless one of the following criteria is met:

 

 

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1        (1) The firm is no longer in business.
2        (2) The firm is unable to fulfill its legal, financial,
3    or business obligations.
4        (3) The firm no longer meets the terms of the agreement
5    with the design-build entity.
6        (4) The firm voluntarily removes itself from the
7    design-build entity.
8        (5) The firm fails to provide a sufficient number of
9    qualified personnel to fulfill the duties identified in the
10    proposal.
11        (6) The firm fails to negotiate in good faith and in a
12    timely manner in accordance with the provisions
13    established in the agreement with the design-build entity.
14    If the design-build entity modifies the team, any cost
15savings shall accrue to the school district and not to the
16design-build entity. If a design-build entity is modified at
17any time during the term of a design-build contract, the
18design-build entity shall notify the State Board of Education
19and the school district in writing within 15 calendar days of
20making the change.
 
21    Section 55. Award. A school district may award the contract
22to the highest overall ranked entity. A school district shall
23provide a written notification to the awarded entity and all
24unsuccessful entities of its decision. A school district may
25not request a best and final offer after the receipt of

 

 

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1proposals. A school district may negotiate with the selected
2design-build entity after the award, but prior to contract
3execution, for the purpose of securing better terms than
4originally proposed; provided that the salient features of the
5request for proposal are not diminished.
 
6    Section 60. Reports. The design-build entity, regional
7superintendent of schools, and State Board of Education shall
8annually submit a detailed report to the General Assembly on
9the status of projects procured under this Act, including
10estimated and actual project costs, estimated and actual
11project delivery schedules, estimated cost differences
12resulting from the design-build delivery system over the
13traditional design-bid-build delivery system, and any other
14impacts resulting from the use of the design-build delivery
15system. The report shall also document the design-build
16entity's success in complying with the utilization goals
17established by the corporate authorities of the school district
18for minority-owned and women-owned business enterprises and
19Section 2-105 of the Illinois Human Rights Act. The report
20shall be filed with the Clerk of the House of Representatives
21and the Secretary of the Senate in electronic form only, in the
22manner that the Clerk and the Secretary shall direct.
 
23    Section 65. Compliance. All projects procured under this
24Act using the design-build delivery method shall comply with

 

 

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1Section 2-3.12 of the School Code and shall be subject to
2review and approval by the State Board of Education.
 
3    Section 90. Repeal. This Act is repealed on July 1, 2023.
 
4    Section 97. Severability. The provisions of this Act are
5severable under Section 1.31 of the Statute on Statutes.
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.