093_HB3630

 
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 1        AN ACT concerning construction management.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  the Illinois Procurement Code is  amended  by
 5    adding Article 33 as follows:

 6        (30 ILCS 500/Art. 33 heading new)

 7            ARTICLE 33. CONSTRUCTION MANAGEMENT SERVICES

 8        (30 ILCS 500/33-5 new)
 9        Sec. 33-5.  Definitions. In this Article:
10        "Construction management services" includes:
11             (1)  services  provided  in  the planning and design
12        phases of  a  construction  project  including,  but  not
13        limited  to,  consulting  with,  advising, assisting, and
14        making recommendations to the State agency and architect,
15        engineer,  or  registered  landscape  architect  on   all
16        aspects  of  planning for project construction; reviewing
17        all plans and specifications as they are being  developed
18        and  making  recommendations with respect to construction
19        feasibility, availability of  material  and  labor,  time
20        requirements   for   procurement  and  construction,  and
21        projected costs; making, reviewing, and  refining  budget
22        estimates  based  on the State agency's program and other
23        available  information;  making  recommendations  to  the
24        State agency and the architect or engineer regarding  the
25        division  of  work  in  the  plans  and specifications to
26        facilitate  the  bidding  and  awarding   of   contracts;
27        soliciting the interest of capable contractors and taking
28        bids  on  the  project;  analyzing the bids received; and
29        preparing and maintaining a progress schedule during  the
30        design phase of the project and preparation of a proposed
 
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 1        construction schedule; and
 2             (2)  services  provided in the construction phase of
 3        the project including, but not  limited  to,  maintaining
 4        competent  supervisory  staff  to  coordinate and provide
 5        general  direction  of  the  work  and  progress  of  the
 6        contractors on the project; directing the work as  it  is
 7        being  performed  for  general  conformance  with working
 8        drawings and specifications; establishing procedures  for
 9        coordinating   among   the  State  agency,  architect  or
10        engineer,  contractors,  and  construction  manager  with
11        respect to all aspects of the  project  and  implementing
12        those procedures; maintaining job site records and making
13        appropriate  progress  reports; implementing labor policy
14        in conformance with the requirements of the public owner;
15        reviewing the safety and equal  opportunity  programs  of
16        each  contractor  for conformance with the public owner's
17        policy  and   making   recommendations;   reviewing   and
18        processing  all  applications  for  payment  by  involved
19        contractors and material suppliers in accordance with the
20        terms   of   the  contract;  making  recommendations  and
21        processing  requests  for  changes  in   the   work   and
22        maintaining  records  of  change  orders;  scheduling and
23        conducting job meetings to ensure orderly progress of the
24        work;  developing  and  monitoring  a  project   progress
25        schedule,  coordinating  and  expediting  the work of all
26        contractors and providing periodic status reports to  the
27        owner and the architect or engineer; and establishing and
28        maintaining a cost control system and conducting meetings
29        to review costs.
30        "Construction   manager"   means   any  individual,  sole
31    proprietorship,  firm,  partnership,  corporation,  or  other
32    legal entity providing construction management services for a
33    State agency and prequalified by the  State  of  Illinois  in
34    accordance with 30 ILCS 500/33-10.
 
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 1        (30 ILCS 500/33-10 new)
 2        Sec.   33-10.  Prequalification.  A  State  agency  shall
 3    establish procedures to prequalify firms seeking  to  provide
 4    construction  management services or may use prequalification
 5    lists from other State agencies to meet the  requirements  of
 6    this Section.

 7        (30 ILCS 500/33-15 new)
 8        Sec.  33-15.  Public notice. Whenever a project requiring
 9    construction management services  is  proposed  for  a  State
10    agency,  the State agency shall provide no less than a 14-day
11    advance notice published in a request for  proposals  setting
12    forth  the  projects and services to be procured. The request
13    for  proposals  shall  be  mailed  to  each  firm   that   is
14    prequalified  under  Section 33-10. The request for proposals
15    shall include a description of each project and  shall  state
16    the time and place for interested firms to submit a letter of
17    interest  and,  if  required  by the request for proposals, a
18    statement of qualifications.

19        (30 ILCS 500/33-20 new)
20        Sec. 33-20.  Evaluation procedure. A State  agency  shall
21    evaluate  the  construction  managers  submitting  letters of
22    interest and other prequalified construction managers, taking
23    into  account  qualifications;  and  the  State  agency   may
24    consider, but shall not be limited to considering, ability of
25    personnel,  past  record  and experience, performance data on
26    file,  willingness  to  meet  time  requirements,   location,
27    workload   of   the   construction  manager,  and  any  other
28    qualifications-based  factors  as  the   State   agency   may
29    determine  in  writing  are  applicable. The State agency may
30    conduct discussions with and require public presentations  by
31    construction   managers  deemed  to  be  the  most  qualified
32    regarding their qualifications, approach to the project,  and
 
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 1    ability to furnish the required services.
 2        A  State  agency  shall  establish  a committee to select
 3    construction  managers  to  provide  construction  management
 4    services. A selection committee  may  include  at  least  one
 5    public  member.  The  public  member  may  not be employed or
 6    associated with any firm holding a contract  with  the  State
 7    agency  nor  may the public member's firm be considered for a
 8    contract with that State agency while he or she is serving as
 9    a public member of the committee.
10        In no case shall a State agency,  prior  to  selecting  a
11    construction  manager  for  negotiation  under Section 33-30,
12    seek formal or  informal  submission  of  verbal  or  written
13    estimates  of  costs  or proposals in terms of dollars, hours
14    required, percentage  of  construction  cost,  or  any  other
15    measure of compensation.

16        (30 ILCS 500/33-25 new)
17        Sec.   33-25.  Selection   Procedure.  On  the  basis  of
18    evaluations, discussions, and any  presentations,  the  State
19    agency  shall select no less than 3 firms it determines to be
20    qualified to provide services for the project and  rank  them
21    in  order of qualifications to provide services regarding the
22    specific project. The State agency shall then contract  at  a
23    fair  and  reasonable  compensation.  If  fewer  than 3 firms
24    submit letters of interest and the  State  agency  determines
25    that  one  or both of those firms are so qualified, the State
26    agency may proceed to  negotiate  a  contract  under  Section
27    33-30.  The  decision  of the State agency shall be final and
28    binding.

29        (30 ILCS 500/33-30 new)
30        Sec. 33-30.  Contract Negotiation.
31        (a)  The State agency shall prepare a written description
32    of the scope of the proposed services to be used as  a  basis
 
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 1    for  negotiations  and  shall  negotiate  a contract with the
 2    highest ranked construction management firm  at  compensation
 3    that  the  State  agency determines in writing to be fair and
 4    reasonable. In making this decision, the State  agency  shall
 5    take into account the estimated value, scope, complexity, and
 6    nature of the services to be rendered. In no case may a State
 7    agency  establish  a  payment  formula  designed to eliminate
 8    firms from contention or restrict competition or  negotiation
 9    of fees.
10        (b)  If  the  State  agency  is  unable  to  negotiate  a
11    satisfactory  contract  with the firm that is highest ranked,
12    negotiations with that firm shall be  terminated.  The  State
13    agency  shall  then  begin negotiations with the firm that is
14    next highest  ranked.  If  the  State  agency  is  unable  to
15    negotiate   a   satisfactory   contract   with   that   firm,
16    negotiations  with  that  firm shall be terminated. The State
17    agency shall then begin negotiations with the  firm  that  is
18    next highest ranked.
19        (c)  If  the  State  agency  is  unable  to  negotiate  a
20    satisfactory  contract  with  any  of the selected firms, the
21    State agency shall re-evaluate  the  construction  management
22    services  requested,  including  the  estimated value, scope,
23    complexity, and fee requirements. The State agency shall then
24    compile a list of not less  than  3  prequalified  firms  and
25    proceed in accordance with the provisions of this Act.

26        (30 ILCS 500/33-35 new)
27        Sec.  33-35.  Small Contracts. The provisions of Sections
28    33-20,  33-25,  and  33-30  do  not  apply  to   construction
29    management contracts of less than $25,000.

30        (30 ILCS 500/33-40 new)
31        Sec.  33-40.  Emergency  services. Sections 33-20, 33-25,
32    and 33-30 do not apply in  the  procurement  of  construction
 
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 1    management  services  by  State  agencies  (i) when an agency
 2    determines in writing that it is in the best interest of  the
 3    State  to  proceed  with the immediate selection of a firm or
 4    (ii) in emergencies when immediate services are necessary  to
 5    protect  the  public  health  and  safety, including, but not
 6    limited  to,  earthquake,  tornado,  storm,  or  natural   or
 7    man-made disaster.

 8        (30 ILCS 500/33-45 new)
 9        Sec.  33-45.  Firm  performance  evaluation.  Each  State
10    agency  shall  evaluate  the  performance  of  each firm upon
11    completion of a  contract.  That  evaluation  shall  be  made
12    available  to  the  firm  and  the  firm may submit a written
13    response, with the evaluation and response retained solely by
14    the agency. The evaluation and response  shall  not  be  made
15    available  to  any  other  person  or firm and is exempt from
16    disclosure  under  the  Freedom  of  Information   Act.   The
17    evaluation  shall  be  based  on  the terms identified in the
18    construction manager's contract.

19        (30 ILCS 500/33-50 new)
20        Sec. 33-50.  Duties of construction  manager;  additional
21    requirements for persons performing construction work.
22        (a)  Upon the award of a construction management services
23    contract, a construction manager must contract with the State
24    agency   to   furnish  his  or  her  skill  and  judgment  in
25    cooperation with, and reliance  upon,  the  services  of  the
26    project  architect or engineer. The construction manager must
27    furnish   business   administration,   management   of    the
28    construction  process,  and  other  specified services to the
29    State agency and must perform his or her  obligations  in  an
30    expeditious   and   economical  manner  consistent  with  the
31    interest of the State agency. If it is in  the  State's  best
32    interest,  the  construction  manager  may provide or perform
 
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 1    basic services for which reimbursement  is  provided  in  the
 2    general  conditions  to  the construction management services
 3    contract.
 4        (b)  The actual construction work on the project must  be
 5    awarded   to  contractors  by  an  open  competitive  bidding
 6    process.  This  subsection  is  subject  to  the   applicable
 7    provisions of the following Acts:
 8             (1)  the Prevailing Wage Act;
 9             (2)  the Public Construction Bond Act;
10             (3)  the Public Works Employment Discrimination Act;
11             (4)  the Public Works Preference Act;
12             (5)  the  Employment  of  Illinois Workers on Public
13        Works Act;
14             (6)  the Public Contract Fraud Act; and
15             (7)  the Illinois Construction Evaluation Act.

16        Section 99. Effective date. This Act  takes  effect  upon
17    becoming law.