BILL NUMBER: AB 294	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 27, 2011

INTRODUCED BY   Assembly Member Portantino

                        FEBRUARY 9, 2011

   An act to add and repeal Article 6.3 (commencing with Section 217)
of Chapter 1 of Division 1 of the Streets and Highways Code,
relating to transportation.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 294, as amended, Portantino. Design-sequencing contracts.
   Until January 1, 2010, the Department of Transportation was
authorized to conduct a pilot project to let design-sequencing
contracts, as defined, for design and construction of not more than
12 transportation projects. These provisions are now repealed.
   This bill would  reenact similar   enact new
 provisions, authorizing the department to let 
design-sequencing  contracts for  the design and
 construction of not more than 5 transportation projects
 utilizing the design-sequencing method  , to be effective
until January 1, 2015.  The bill would require the department to
use department employees or consultants under contract with the
department for these design services.  The bill would require
the department to compile data on the transportation projects
 pursuant to the design-sequencing contracts 
awarded under these provisions and to include that  material
  information  in a report to the Legislature each
year during which the projects are underway, as specified.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) The design-sequencing pilot program was established by
previous state legislation and administered by the Department of
Transportation. The first and second phases of the program authorized
a total of 24 design-sequencing projects and had a sunset date of
January 1, 2010. A report will be submitted to the Legislature that
will describe and evaluate the outcome of the completed projects.
Current design-sequencing indicators have provided generally good
assessments of the program.
   (b) State and federal funds for transportation often require
projects to be awarded under time constraints.
   (c) It is the intent of the Legislature, therefore, to provide the
Department of Transportation with a project delivery tool that has
the potential to increase efficiency, reduce costs incurred by the
state, and help California take advantage of available state and
federal funds.
   (d) It is the intent of the Legislature that the Department of
Transportation be provided with interim authority to establish
design-sequencing contracts. Because current evaluations of the pilot
program show positive outcomes in time savings, the interim
authority will allow design-sequencing to be used as a valuable tool
on appropriately selected projects. This will help the state utilize
state and federal funds as they become available pending conclusions
of the pilot program's final report scheduled for completion in 2015.

  SEC. 2.  Article 6.3 (commencing with Section 217) is added to
Chapter 1 of Division 1 of the Streets and Highways Code, to read:

      Article 6.3.  Design-Sequencing Program


   217.  The following definitions apply for the purposes of this
article: 
   (a) "Design" is a plan completed to a level of 30 percent.
 
   (b) 
    (a)  "Design-sequencing" is a method of contracting that
enables the sequencing of design activities to permit each
construction phase to commence when design for that phase is
complete, instead of requiring design for the entire project to be
completed before commencing construction. 
   (c) 
    (b)  A "design-sequencing contract" is a contract
between the department and a  construction  contractor in
which the department is the responsible agency for  the
performance of design and   , and performs the design
of, a project  that permits construction of  a 
 the  project to commence upon completion of design for a
construction phase.
   217.1.  (a) Notwithstanding Section 10120 of the Public Contract
Code, the department, at the director's discretion, may let 
design-sequencing  contracts for  the design and
 construction of not more than five transportation projects,
to be selected based on criteria established by the director  ,
utilizing the design-sequencing method  . For the purpose of
this article, these projects shall be deemed public works.
   (b) The department  may use   shall use
department  employees or consultants  under contract with
the department to perform all design services related to the design
of plans  for contracts authorized in this article, consistent
with Article XXII of the California Constitution. Department
resources, including personnel requirements, necessary for the
performance of those services shall be included in the department's
capital outlay support program for workload purposes in the annual
Budget Act.
   (c) To the extent available, the department shall seek to
incorporate existing knowledge and experience on design-sequencing
contracts in carrying out its responsibilities under subdivision (a).

   (d) Not later than July 1 of each year during which projects
pursuant to design-sequencing contracts awarded under this article
are underway, the department shall, for each of those projects
 awarded prior to January 1, 2012  , compile data,
including the stage of completion, district, cost, description,
status, estimated time to complete the project, and, as appropriate,
actual time to complete the project  , to be included as an
attachment to any annual status reporting performed by the department
pursuant to Section 3 of Chapter 795 of the Statutes of 2004, on
design-sequencing projects awarded prior to January 1, 2011  .
 A report containing the material   The reports
and attachments  described in this subdivision shall be
submitted to the Legislature pursuant to Section 9795 of the
Government Code.
   217.2.  Design-sequencing contracts under the program, as
described in Section 217.1, shall be awarded in accordance with both
of the following:
   (a) The department shall advertise design-sequencing projects by
special public notice to contractors.
   (b) Contractors shall be required to provide prequalification
information establishing appropriate licensure and successful past
experience with the proposed work.
   217.3.  The department may utilize design-sequencing authority
only on projects that are deemed to have a high probability of
success as determined by the "Design-Sequencing Project Selection
Criteria" contained in the "Design-Sequencing Nomination Fact Sheet"
developed by the department. For the purposes of this section, "high
probability" means there is a likelihood that a time savings will be
realized, construction costs will be reduced, or available state or
federal funds will be captured by utilizing design-sequencing.
   217.4.  This article shall remain in effect only until January 1,
2015, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2015, deletes or extends
that date.