SB1570 EngrossedLRB103 05684 AWJ 50703 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Municipal Code is amended by
5adding Division 39.2 to Article 11 as follows:
 
6    (65 ILCS 5/Art. 11 Div. 39.2 heading)
7
DIVISION 39.2. MUNICIPAL DESIGN-BUILD CONTRACTS

 
8    (65 ILCS 5/11-39.2-1 new)
9    Sec. 11-39.2-1. Short title. This Division may be cited as
10the Municipal Design-Build Authorization Act.
 
11    (65 ILCS 5/11-39.2-5 new)
12    Sec. 11-39.2-5. Purpose. The purpose of this Division is
13to authorize municipalities to use design-build processes to
14increase the efficiency and effectiveness of delivering public
15projects.
 
16    (65 ILCS 5/11-39.2-10 new)
17    Sec. 11-39.2-10. Definitions. As used in this Division:
18    "Delivery system" means the design and construction
19approach used to develop and construct a project.
20    "Design-bid-build" means the traditional delivery system

 

 

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1used on public projects that incorporates the competitive
2bidding process set forth in this Code.
3    "Design-build" means a delivery system that provides
4responsibility within a single contract for the furnishing of
5architecture, engineering, land surveying, and related
6services, as required, and the labor, materials, equipment,
7and other construction services for the project.
8    "Design-build contract" means a contract for a public
9project under this Division between a municipality and a
10design-build entity to furnish: architecture, engineering,
11land surveying, public art or interpretive exhibits, and
12related services, as required, and the labor, materials,
13equipment, and other construction services for the project.
14    "Design-build entity" means an individual, sole
15proprietorship, firm, partnership, joint venture, corporation,
16professional corporation, or other entity that proposes to
17design and construct any public project under this Division.
18    "Design professional" means an individual, sole
19proprietorship, firm, partnership, joint venture, corporation,
20professional corporation, or other entity that offers services
21under the Illinois Architecture Practice Act of 1989, the
22Professional Engineering Practice Act of 1989, the Structural
23Engineering Practice Act of 1989, or the Illinois Professional
24Land Surveyor Act of 1989.
25    "Evaluation criteria" means the requirements for the
26separate phases of the selection process as defined in this

 

 

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1Division and may include the specialized experience, technical
2qualifications and competence, capacity to perform, past
3performance, experience with similar projects, assignment of
4personnel to the project, and other appropriate factors.
5    "Proposal" means the offer to enter into a design-build
6contract as submitted by a design-build entity in accordance
7with this Division.
8    "Public art designer" means an individual, sole
9proprietorship, firm, partnership, joint venture, corporation,
10professional corporation, or other entity that has
11demonstrated experience with the design and fabrication of
12public art, including any media that has been planned and
13executed with the intention of being staged in the physical
14public domain outside and accessible to all or any art which is
15exhibited in a public space, including publicly accessible
16buildings, or interpretive exhibits, including communication
17media that is designed to engage, excite, inform, relate, or
18reveal the intrinsic nature or indispensable quality of a
19topic or story being presented.
20    "Request for proposal" means the document used by the
21municipality to solicit proposals for a design-build contract.
22    "Scope and performance criteria" means the requirements
23for the public project, such as the intended usage, capacity,
24size, scope, quality and performance standards, life-cycle
25costs, and other programmatic criteria that are expressed in
26performance-oriented and quantifiable specifications and

 

 

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1drawings that can be reasonably inferred and are suited to
2allow a design-build entity to develop a proposal.
 
3    (65 ILCS 5/11-39.2-15 new)
4    Sec. 11-39.2-15. Solicitation of proposals.
5    (a) A municipality may enter into design-build contracts.
6In addition to the requirements set forth in its local
7ordinances, when the municipality elects to use the
8design-build delivery method, it must issue a notice of intent
9to receive proposals for the project at least 14 days before
10issuing the request for the proposal. The municipality must
11publish the advance notice in the manner prescribed by
12ordinance, which must include posting the advance notice
13online on its website. The municipality may publish the notice
14in construction industry publications or post the notice on
15construction industry websites. A brief description of the
16proposed procurement must be included in the notice. The
17municipality must provide a copy of the request for proposal
18to any party requesting a copy.
19    (b) The request for proposal must be prepared for each
20project and must contain, without limitation, the following
21information:
22        (1) The name of the municipality.
23        (2) A preliminary schedule for the completion of the
24    contract.
25        (3) The proposed budget for the project, the source of

 

 

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1    funds, and the currently available funds at the time the
2    request for proposal is submitted.
3        (4) Prequalification criteria for design-build
4    entities wishing to submit proposals. The municipality
5    must include, at a minimum, its normal qualifications,
6    licensing, registration, and other requirements; however,
7    nothing precludes the use of additional prequalification
8    criteria by the municipality.
9        (5) Material requirements of the contract, such as the
10    proposed terms and conditions, required performance and
11    payment bonds, insurance, and the entity's plan to comply
12    with the utilization goals for business enterprises
13    established in the Business Enterprise for Minorities,
14    Women, and Persons with Disabilities Act and with Section
15    2-105 of the Illinois Human Rights Act.
16        (6) The performance criteria.
17        (7) The evaluation criteria for each phase of the
18    solicitation. Price may not be used as a factor in the
19    evaluation of Phase I proposals.
20        (8) The number of entities that will be considered for
21    the technical and cost evaluation phase.
22    (c) The municipality may include any other relevant
23information that it chooses to supply. The design-build entity
24may rely upon the accuracy of this documentation in the
25development of its proposal.
26    (d) The date that proposals are due must be at least 21

 

 

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1calendar days after the date of the issuance of the request for
2proposal. If the cost of the project is estimated to exceed
3$12,000,000, then the proposal due date must be at least 28
4calendar days after the date of the issuance of the request for
5proposal. The municipality must include in the request for
6proposal a minimum of 30 days to develop the Phase II
7submissions after the selection of entities from the Phase I
8evaluation is completed.
 
9    (65 ILCS 5/11-39.2-20 new)
10    Sec. 11-39.2-20. Development of scope and performance
11criteria.
12    (a) The municipality must develop, with the assistance of
13a licensed design professional or public art designer, a
14request for proposal, which must include scope and performance
15criteria. The scope and performance criteria must be in
16sufficient detail and contain adequate information to
17reasonably apprise the qualified design-build entities of the
18municipality's overall programmatic needs and goals, including
19criteria and preliminary design plans, general budget
20parameters, schedule, and delivery requirements.
21    (b) Each request for proposal must also include a
22description of the level of design to be provided in the
23proposals. This description must include the scope and type of
24renderings, drawings, and specifications that, at a minimum,
25will be required by the municipality to be produced by the

 

 

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1design-build entities.
2    (c) The scope and performance criteria must be prepared by
3a design professional or public art designer who is an
4employee of the municipality, or the municipality may contract
5with an independent design professional or public art designer
6selected under the Local Government Professional Services
7Selection Act to provide these services.
8    (d) The design professional or public art designer that
9prepares the scope and performance criteria is prohibited from
10participating in any design-build entity proposal for the
11project.
12    (e) The design-build contract may be conditioned upon
13subsequent refinements in scope and price and may allow the
14municipality to make modifications in the project scope
15without invalidating the design-build contract.
 
16    (65 ILCS 5/11-39.2-25 new)
17    Sec. 11-39.2-25. Procedures for Selection.
18    (a) The municipality must use a two-phase procedure for
19the selection of the successful design-build entity. Phase I
20of the procedure will evaluate and shortlist the design-build
21entities based on qualifications, and Phase II will evaluate
22the technical and cost proposals.
23    (b) The municipality must include in the request for
24proposal the evaluating factors to be used in Phase I. These
25factors are in addition to any prequalification requirements

 

 

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1of design-build entities that the municipality has set forth.
2Each request for proposal must establish the relative
3importance assigned to each evaluation factor and subfactor,
4including any weighting of criteria to be employed by the
5municipality. The municipality must maintain a record of the
6evaluation scoring to be disclosed in event of a protest
7regarding the solicitation.
8    The municipality must include the following criteria in
9every Phase I evaluation of design-build entities: (i)
10experience of personnel; (ii) successful experience with
11similar project types; (iii) financial capability; (iv)
12timeliness of past performance; (v) experience with similarly
13sized projects; (vi) successful reference checks of the firm;
14(vii) commitment to assign personnel for the duration of the
15project and qualifications of the entity's consultants; and
16(viii) ability or past performance in meeting or exhausting
17good faith efforts to meet the utilization goals for business
18enterprises established in the Business Enterprise for
19Minorities, Women, and Persons with Disabilities Act and with
20Section 2-105 of the Illinois Human Rights Act. The
21municipality may include any additional, relevant criteria in
22Phase I that it deems necessary for a proper qualification
23review.
24    The municipality may not consider any design-build entity
25for evaluation or award if the entity has any pecuniary
26interest in the project or has other relationships or

 

 

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1circumstances, such as long-term leasehold, mutual
2performance, or development contracts with the municipality,
3that may give the design-build entity a financial or tangible
4advantage over other design-build entities in the preparation,
5evaluation, or performance of the design-build contract or
6that create the appearance of impropriety. No proposal may be
7considered that does not include an entity's plan to comply
8with the requirements established in the Business Enterprise
9for Minorities, Women, and Persons with Disabilities Act, for
10both the design and construction areas of performance, and
11with Section 2-105 of the Illinois Human Rights Act.
12    Upon completion of the qualification evaluation, the
13municipality must create a shortlist of the most highly
14qualified design-build entities. The municipality, in its
15discretion, is not required to shortlist the maximum number of
16entities as identified for Phase II evaluation if no less than
172 design-build entities nor more than 6 are selected to submit
18Phase II proposals.
19    The municipality must notify the entities selected for the
20shortlist in writing. This notification must commence the
21period for the preparation of the Phase II technical and cost
22evaluations. The municipality must allow sufficient time for
23the shortlist entities to prepare their Phase II submittals
24considering the scope and detail requested by the
25municipality.
26    (c) The municipality must include in the request for

 

 

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1proposal the evaluating factors to be used in the technical
2and cost submission components of Phase II. Each request for
3proposal must establish, for both the technical and cost
4submission components of Phase II, the relative importance
5assigned to each evaluation factor and subfactor, including
6any weighting of criteria to be employed by the municipality.
7The municipality must maintain a record of the evaluation
8scoring to be disclosed in event of a protest regarding the
9solicitation.
10    The municipality must include the following criteria in
11every Phase II technical evaluation of design-build entities:
12(i) compliance with objectives of the project; (ii) compliance
13of proposed services to the request for proposal requirements;
14(iii) quality of products or materials proposed; (iv) quality
15of design parameters; (v) design concepts; (vi) innovation in
16meeting the scope and performance criteria; and (vii)
17constructability of the proposed project. The municipality may
18include any additional relevant technical evaluation factors
19it deems necessary for proper selection.
20    The municipality must include the following criteria in
21every Phase II cost evaluation: the total project cost, the
22construction costs, and the time of completion. The
23municipality may include any additional relevant technical
24evaluation factors it deems necessary for proper selection.
25The total project cost criteria weighting factor may not
26exceed 30%.

 

 

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1    The municipality must directly employ or retain a licensed
2design professional or a public art designer to evaluate the
3technical and cost submissions to determine if the technical
4submissions are in accordance with generally accepted industry
5standards. Upon completion of the technical submissions and
6cost submissions evaluation, the municipality may award the
7design-build contract to the highest overall ranked entity.
 
8    (65 ILCS 5/11-39.2-30 new)
9    Sec. 11-39.2-30. Small projects. In any case where the
10total overall cost of the project is estimated to be less than
11$12,000,000, the municipality may combine the two-phase
12procedure for selection described in Section 11-39.2-25 into
13one combined step if all the requirements of evaluation are
14performed in accordance with Section 11-39.2-25.
 
15    (65 ILCS 5/11-39.2-35 new)
16    Sec. 11-39.2-35. Submission of proposals. Proposals must
17be properly identified and sealed. Proposals may not be
18reviewed until after the deadline for submission has passed as
19set forth in the request for proposals.
20    Proposals must include a bid bond in the form and security
21as designated in the request for proposals. Proposals must
22also contain a separate sealed envelope with the cost
23information within the overall proposal submission. Proposals
24must include a list of all design professionals, public art

 

 

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1designers, and other entities to which any work may be
2subcontracted during the performance of the contract.
3    Proposals must meet all material requirements of the
4request for proposal or they may be rejected as nonresponsive.
5The municipality may reject any and all proposals.
6    The drawings and specifications of the proposal may remain
7the property of the design-build entity.
8    The municipality must review the proposals for compliance
9with the performance criteria and evaluation factors.
10    Proposals may be withdrawn prior to evaluation for any
11cause. After evaluation begins by the municipality, clear and
12convincing evidence of error is required for withdrawal.
13    After a response to a request for qualifications or a
14request for proposal has been submitted as provided in this
15Section, a design-build entity may not replace, remove, or
16otherwise modify any firm identified as a member of the
17proposer's team unless authorized to do so by the
18municipality.
 
19    (65 ILCS 5/11-39.2-40 new)
20    Sec. 11-39.2-40. Award; performance. The municipality may
21award the contract to the highest overall ranked design-build
22entity. Notice of award must be made in writing. Unsuccessful
23design-build entities must also be notified in writing. The
24municipality may not request a best and final offer after the
25receipt of proposals of all qualified design-build entities.

 

 

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1The municipality may negotiate with the selected design-build
2entity after award, but prior to contract execution, for the
3purpose of securing better terms than originally proposed if
4the salient features of the request for proposal are not
5diminished.
6    A design-build entity and associated design professionals
7must conduct themselves in accordance with the relevant laws
8of this State and the related provisions of the Illinois
9Administrative Code.
 
10    (65 ILCS 5/11-39.2-45 new)
11    Sec. 11-39.2-45. Reports and evaluation. At the end of
12every 6-month period following the contract award, and again
13prior to final contract payout and closure, a selected
14design-build entity must detail, in a written report submitted
15to the municipality, its efforts and success in implementing
16the entity's plan to comply with the utilization goals for
17business enterprises established in the Business Enterprise
18for Minorities, Women, and Persons with Disabilities Act and
19the provisions of Section 2-105 of the Illinois Human Rights
20Act.
 
21    (65 ILCS 5/11-39.2-50 new)
22    Sec. 11-39.2-50. Exception. Nothing in this Division
23prevents a municipality from using a qualification-based
24selection process for design professionals or construction

 

 

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1managers for design-build projects.
 
2    (65 ILCS 5/11-39.2-55 new)
3    Sec. 11-39.2-55. Severability. The provisions of this
4Division are severable under Section 1.31 of the Statute on
5Statutes.