CS/CS/HB 611

1
A bill to be entitled
2An act relating to public construction projects; amending
3s. 255.20, F.S.; increasing the threshold amount for which
4certain public projects must be competitively awarded;
5revising exceptions to the requirement that certain public
6projects be competitively awarded; defining the terms
7"repair" and "maintenance"; requiring local governments to
8provide notice for certain public projects; providing
9notice requirements; extending the notice period for
10specified public meetings; requiring a local government to
11support a decision to perform a project with its own
12employees and to make a factual finding that the project
13cost will be the same or less than the lowest bid;
14providing additional exceptions for projects related to
15public-use airports, certain ports, and certain public
16transit or transportation systems; authorizing
17governmental entities to consider certain contractors
18ineligible to bid; revising the index and year on which
19the required adjustment of the threshold amounts is based;
20revising provisions for certain contractors and vendors to
21challenge a local government's actions; providing an
22effective date.
23
24Be It Enacted by the Legislature of the State of Florida:
25
26     Section 1.  Section 255.20, Florida Statutes, is amended to
27read:
28     255.20  Local bids and contracts for public construction
29works; specification of state-produced lumber.--
30     (1)  A county, municipality, special district as defined in
31chapter 189, or other political subdivision of the state seeking
32to construct or improve a public building, structure, or other
33public construction works must competitively award to an
34appropriately licensed contractor each project that is estimated
35in accordance with generally accepted cost-accounting principles
36to cost have total construction project costs of more than
37$300,000 $200,000. For electrical work, the local government
38must competitively award to an appropriately licensed contractor
39each project that is estimated in accordance with generally
40accepted cost-accounting principles to have a cost of more than
41$75,000 $50,000. As used in this section, the term
42"competitively award" means to award contracts based on the
43submission of sealed bids, proposals submitted in response to a
44request for proposal, proposals submitted in response to a
45request for qualifications, or proposals submitted for
46competitive negotiation. This subsection expressly allows
47contracts for construction management services, design/build
48contracts, continuation contracts based on unit prices, and any
49other contract arrangement with a private sector contractor
50permitted by any applicable municipal or county ordinance, by
51district resolution, or by state law. For purposes of this
52section, cost includes construction costs include the cost of
53all labor, except inmate labor, and include the cost of
54equipment and materials to be used in the construction of the
55project. Subject to the provisions of subsection (3), the
56county, municipality, special district, or other political
57subdivision may establish, by municipal or county ordinance or
58special district resolution, procedures for conducting the
59bidding process.
60     (a)  Notwithstanding any other law to the contrary, a
61governmental entity a county, municipality, special district as
62defined in chapter 189, or other political subdivision of the
63state seeking to construct or improve bridges, roads, streets,
64highways, or railroads, and services incidental thereto, at a
65cost costs in excess of $250,000 may require that persons
66interested in performing work under contract first be certified
67or qualified to perform such work. A Any contractor may be
68considered ineligible to bid by the governmental entity if the
69contractor is behind by 10 percent or more on completing an
70approved progress schedule for the governmental entity by 10
71percent or more at the time of advertising advertisement of the
72work. A prequalified Any contractor prequalified and considered
73eligible by the Department of Transportation to bid to perform
74the type of work described under the contract is shall be
75presumed to be qualified to perform the work described. The
76governmental entity may provide an appeal process to overcome
77that presumption with de novo review based on the record below
78to the circuit court.
79     (b)  For With respect to contractors who are not
80prequalified by with the Department of Transportation, the
81governmental entity shall publish prequalification criteria and
82procedures prior to advertisement or notice of solicitation.
83Such publications must shall include notice of a public hearing
84for comment on such criteria and procedures prior to adoption.
85The procedures must shall provide for an appeal process within
86the authority for making objections to the prequalification
87process with de novo review based on the record below to the
88circuit court within 30 days.
89     (c)  The provisions of this subsection do not apply:
90     1.  If When the project is undertaken to replace,
91reconstruct, or repair an existing public building, structure,
92or other public construction works facility damaged or destroyed
93by a sudden unexpected turn of events, such as an act of God,
94riot, fire, flood, accident, or other urgent circumstances, and
95such damage or destruction creates:
96     a.  An immediate danger to the public health or safety;
97     b.  Other loss to public or private property which requires
98emergency government action; or
99     c.  An interruption of an essential governmental service.
100     2.  If When, after notice by publication in accordance with
101the applicable ordinance or resolution, the governmental entity
102does not receive any responsive bids or proposals responses.
103     3.  To construction, remodeling, repair, or improvement to
104a public electric or gas utility system if when such work on the
105public utility system is performed by personnel of the system.
106     4.  To construction, remodeling, repair, or improvement by
107a utility commission whose major contracts are to construct and
108operate a public electric utility system.
109     5.  If When the project is undertaken as repair or
110maintenance of an existing public facility. For the purposes of
111this paragraph, the term "repair" means a corrective action to
112restore an existing public facility to a safe and functional
113condition and the term "maintenance" means a preventive or
114corrective action to maintain an existing public facility in an
115operational state or to preserve the facility from failure or
116decline. Repair or maintenance includes activities that are
117necessarily incidental to repairing or maintaining the facility.
118Repair or maintenance does not include the construction of any
119new building, structure, or other public construction works or
120any substantial addition, extension, or upgrade to an existing
121public facility. Such additions, extensions, or upgrades shall
122be considered substantial if the estimated cost of the
123additions, extensions, or upgrades included as part of the
124repair or maintenance project exceeds the threshold amount in
125subsection (1) and exceeds 20 percent of the estimated total
126cost of the repair or maintenance project using generally
127accepted cost-accounting principles that fully account for all
128costs associated with performing and completing the work,
129including employee compensation and benefits, equipment cost and
130maintenance, insurance costs, and materials. An addition,
131extension, or upgrade shall not be considered substantial if it
132is undertaken pursuant to the conditions specified in
133subparagraph 1. Repair and maintenance projects and any related
134additions, extensions, or upgrades may not be divided into
135multiple projects for the purpose of evading the requirements of
136this subparagraph.
137     6.  If When the project is undertaken exclusively as part
138of a public educational program.
139     7.  If When the funding source of the project will be
140diminished or lost because the time required to competitively
141award the project after the funds become available exceeds the
142time within which the funding source must be spent.
143     8.  If When the local government has competitively awarded
144a project to a private sector contractor and the contractor has
145abandoned the project before completion or the local government
146has terminated the contract.
147     9.  If When the governing board of the local government
148complies with all of the requirements of this subparagraph,
149after public notice, conducts a public meeting under s. 286.011
150after public notice, and finds by a majority vote of the
151governing board that it is in the public's best interest to
152perform the project using its own services, employees, and
153equipment. The public notice must be published at least 21 14
154days before prior to the date of the public meeting at which the
155governing board takes final action to apply this subparagraph.
156The notice must identify the project, the components and scope
157of the work, and the estimated cost of the project using
158generally accepted cost-accounting principles that fully account
159for all costs associated with performing and completing the
160work, including employee compensation and benefits, equipment
161cost and maintenance, insurance costs, and materials. The notice
162must specify that the purpose for the public meeting is to
163consider whether it is in the public's best interest to perform
164the project using the local government's own services,
165employees, and equipment. Upon publication of the public notice
166and for 21 days thereafter, the local government shall make
167available for public inspection, during normal business hours
168and at a location specified in the public notice, a detailed
169itemization of each component of the estimated cost of the
170project and documentation explaining the methodology used to
171arrive at the estimated cost. At the public meeting, any
172qualified contractor or vendor who could have been awarded the
173project had the project been competitively bid shall be provided
174with a reasonable opportunity to present evidence to the
175governing board regarding the project and the accuracy of the
176local government's estimated cost of the project. In deciding
177whether it is in the public's best interest for the local
178government to perform a project using its own services,
179employees, and equipment, the governing board must may consider
180the estimated cost of the project, and the accuracy of the
181estimated cost in light of any other information that may be
182presented at the public meeting and whether the project requires
183an increase in the number of government employees, or an
184increase in capital expenditures for public facilities,
185equipment, or other capital assets. The local government may
186further consider, the impact on local economic development, the
187impact on small and minority business owners, the impact on
188state and local tax revenues, whether the private sector
189contractors provide health insurance and other benefits
190equivalent to those provided by the local government, and any
191other factor relevant to what is in the public's best interest.
192     10.  If When the governing board of the local government
193determines upon consideration of specific substantive criteria
194and administrative procedures that it is in the best interest of
195the local government to award the project to an appropriately
196licensed private sector contractor pursuant according to
197administrative procedures established by and expressly set forth
198in a charter, ordinance, or resolution of the local government
199adopted before prior to July 1, 1994. The criteria and
200procedures must be set out in the charter, ordinance, or
201resolution and must be applied uniformly by the local government
202to avoid awarding a award of any project in an arbitrary or
203capricious manner. This exception applies only if shall apply
204when all of the following occur:
205     a.  When The governing board of the local government, after
206public notice, conducts a public meeting under s. 286.011 and
207finds by a two-thirds vote of the governing board that it is in
208the public's best interest to award the project according to the
209criteria and procedures established by charter, ordinance, or
210resolution. The public notice must be published at least 14 days
211before prior to the date of the public meeting at which the
212governing board takes final action to apply this subparagraph.
213The notice must identify the project, the estimated cost of the
214project, and specify that the purpose for the public meeting is
215to consider whether it is in the public's best interest to award
216the project using the criteria and procedures permitted by the
217preexisting charter, ordinance, or resolution.
218     b.  In the event The project is to be awarded by any method
219other than a competitive selection process, and the governing
220board finds must find evidence that:
221     (I)  There is one appropriately licensed contractor who is
222uniquely qualified to undertake the project because that
223contractor is currently under contract to perform work that is
224affiliated with the project; or
225     (II)  The time to competitively award the project will
226jeopardize the funding for the project, or will materially
227increase the cost of the project, or will create an undue
228hardship on the public health, safety, or welfare.
229     c.  In the event The project is to be awarded by any method
230other than a competitive selection process, and the published
231notice must clearly specifies specify the ordinance or
232resolution by which the private sector contractor will be
233selected and the criteria to be considered.
234     d.  In the event The project is to be awarded by a method
235other than a competitive selection process, and the architect or
236engineer of record has provided a written recommendation that
237the project be awarded to the private sector contractor without
238competitive selection,; and the consideration by, and the
239justification of, the government body are documented, in
240writing, in the project file and are presented to the governing
241board prior to the approval required in this paragraph.
242     11.  To projects subject to chapter 336.
243     (d)1.  If the project:
244     1.  Is to be awarded based on price, the contract must be
245awarded to the lowest qualified and responsive bidder in
246accordance with the applicable county or municipal ordinance or
247district resolution and in accordance with the applicable
248contract documents. The county, municipality, or special
249district may reserve the right to reject all bids and to rebid
250the project, or elect not to proceed with the project. This
251subsection is not intended to restrict the rights of any local
252government to reject the low bid of a nonqualified or
253nonresponsive bidder and to award the contract to any other
254qualified and responsive bidder in accordance with the standards
255and procedures of any applicable county or municipal ordinance
256or any resolution of a special district.
257     2.  If the project Uses a request for proposal or a request
258for qualifications, the request must be publicly advertised and
259the contract must be awarded in accordance with the applicable
260local ordinances.
261     3.  If the project Is subject to competitive negotiations,
262the contract must be awarded in accordance with s. 287.055.
263     (e)  If a construction project greater than $300,000
264$200,000, or $75,000 $50,000 for electrical work, is started
265after October 1, 1999, and is to be performed by a local
266government using its own employees in a county or municipality
267that issues registered contractor licenses, and the project
268would require a licensed contractor licensed under chapter 489
269if performed by a private sector contractor, the local
270government must use a person appropriately registered or
271certified under chapter 489 to supervise the work.
272     (f)  If a construction project greater than $300,000
273$200,000, or $75,000 $50,000 for electrical work, is started
274after October 1, 1999, and is to be performed by a local
275government using its own employees in a county that does not
276issue registered contractor licenses, and the project would
277require a licensed contractor licensed under chapter 489 if
278performed by a private sector contractor, the local government
279must use a person appropriately registered or certified under
280chapter 489 or a person appropriately licensed under chapter 471
281to supervise the work.
282     (g)  Projects performed by a local government using its own
283services and employees must be inspected in the same manner as
284inspections required for work performed by private sector
285contractors.
286     (h)  A construction project provided for in this subsection
287may not be divided into more than one project for the purpose of
288evading this subsection.
289     (i)  This subsection does not preempt the requirements of
290any small-business or disadvantaged-business enterprise program
291or any local-preference ordinance.
292     (j)  A county, municipality, special district as defined in
293s. 189.403, or any other political subdivision of the state that
294owns or operates a public-use airport as defined in s. 332.004
295is exempt from this section when performing repairs or
296maintenance on the airport's buildings, structures, or public
297construction works using the local government's own services,
298employees, and equipment.
299     (k)  A local government that owns or operates a port
300identified in s. 403.021(9)(b) is exempt from this section when
301performing repairs or maintenance on the port's buildings,
302structures, or public construction works using the local
303government's own services, employees, and equipment.
304     (l)  A local government that owns or operates a public
305transit system as defined in s. 343.52, a public transportation
306system as defined in s. 343.62, or a mass transit system
307described in s. 349.04(1)(b) is exempt from this section when
308performing repairs or maintenance on the buildings, structures,
309or public construction works of the public transit system,
310public transportation system, or mass transit system using the
311local government's own services, employees, and equipment.
312     (m)  Any contractor may be considered ineligible to bid by
313the governmental entity if the contractor has been found guilty
314by a court of any violation of federal labor or employment tax
315laws regarding subjects such as safety, tax withholding, workers
316compensation, unemployment tax, social security and Medicare
317tax, wage or hour, or prevailing rate laws within the past 5
318years.
319     (2)  The threshold amount of $300,000 $200,000 for
320construction or $75,000 $50,000 for electrical work, as
321specified in subsection (1), must be adjusted by the percentage
322change in the Engineering News-Record's Building Cost Consumer
323Price Index from January 1, 2009 1994, to January 1 of the year
324in which the project is scheduled to begin.
325     (3)  All county officials, boards of county commissioners,
326school boards, city councils, city commissioners, and all other
327public officers of state boards or commissions that are charged
328with the letting of contracts for public work, for the
329construction of public bridges, buildings, and other structures
330must always specify lumber, timber, and other forest products
331produced and manufactured in this state if whenever such
332products are available and their price, fitness, and quality are
333equal. This subsection does not apply to when plywood specified
334for monolithic concrete forms, if when the structural or service
335requirements for timber for a particular job cannot be supplied
336by native species, or if when the construction is financed in
337whole or in part from federal funds with the requirement
338requirements that there be no restrictions as to species or
339place of manufacture.
340     (4)  Any qualified contractor or vendor who could have been
341awarded the project had the project been competitively bid has
342shall have standing to challenge a the propriety of the local
343government's actions to determine if the local government has
344complied with when the local government seeks to invoke the
345provisions of this section. The prevailing party in such action
346is shall be entitled to recover its reasonable attorney's fees.
347     Section 2.  This act shall take effect October 1, 2009.
348


CODING: Words stricken are deletions; words underlined are additions.