Illinois General Assembly - Full Text of SB1775
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Full Text of SB1775  97th General Assembly




State of Illinois
2011 and 2012


Introduced 2/9/2011, by Sen. Edward D. Maloney


70 ILCS 2605/70 new
70 ILCS 2605/71 new
70 ILCS 2605/72 new
70 ILCS 2605/73 new
70 ILCS 2605/74 new
70 ILCS 2605/75 new
70 ILCS 2605/76 new
70 ILCS 2605/77 new

    Amends the Metropolitan Water Reclamation District Act. Authorizes the Metropolitan Water Reclamation District to enter into "design-build" contracts. Defines "design-build". Specifies the solicitation process for design-build proposals. Sets forth the requirements for the award of design-build contracts. Provides that the Metropolitan Water Reclamation District must use a 2-phase procedure for the selection of the successful design-build entity for projects where the budgeted construction cost is over $12,000,000.

LRB097 07025 RLJ 47118 b






SB1775LRB097 07025 RLJ 47118 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 Metropolitan Water Reclamation District Act
5is amended by adding Sections 70, 71, 72, 73, 74, 75, 76, and
677 as follows:
7    (70 ILCS 2605/70 new)
8    Sec. 70. Definitions. For the purposes of Sections 70
9through 77, the following terms shall have the following
10meanings, unless the context requires a different meaning:
11    "Delivery system" means the design and construction
12approach used to develop and construct a project.
13    "Design-bid-build" means the traditional delivery system
14used on public projects that incorporates the Local Government
15Professional Services Selection Act and the principles of
16competitive selection.
17    "Design-build" means a delivery system that provides
18responsibility within a single contract for the furnishing of
19architecture, engineering, land surveying, and related
20services as required, and the labor, materials, equipment, and
21other construction services for the project. Furthermore, it
22means a version of design-build, sometimes referred to as
23"Bridged Design-Build", in which substantial design work is



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1completed before a Guaranteed Maximum Price is established to
2complete the design and perform the construction.
3    "Design-build contract" means a contract for a public
4project under this Act between the Metropolitan Water
5Reclamation District and a design-build entity to furnish
6architecture, engineering, land surveying, landscape
7architecture, and related services as required, and to furnish
8the labor, materials, equipment, and other construction
9services for the project. The design-build contract may be
10conditioned upon subsequent refinements in scope and price and
11may allow the Metropolitan Water Reclamation District to make
12modifications in the project scope without invalidating the
13design-build contract.
14    "Design-build entity" means any type of organization
15recognized to do business under the laws of the State of
16Illinois that is registered in good standing with the Secretary
17of State or a joint venture whose members are all entity's
18registered in good standing to do business in the State of
19Illinois. The organization must:
20        (i) be registered, or have a member firm of the joint
21    venture registered, under the Illinois Administrative
22    Code, as referenced by the licensed design professionals
23    Acts of this State, to perform design services for the
24    design-build project; and
25        (ii) be capable of project management, direct
26    supervision of construction operations, and



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1    self-performance of a major portion of the construction
2    work.
3    "Design professional" means any individual, sole
4proprietorship, firm, partnership, joint venture, corporation,
5professional corporation, or other entity that offers services
6under the Illinois Architecture Practice Act of 1989, the
7Professional Engineering Practice Act of 1989, the Structural
8Engineering Practice Act of 1989, or the Illinois Professional
9Land Surveyor Act of 1989.
10    "Evaluation criteria" means the requirements for the
11separate phases of the selection process for design-build
12proposals as defined in this Act and may include the
13specialized experience, technical qualifications and
14competence, capacity to perform, past performance, experience
15with similar projects, assignment of personnel to the project,
16and other appropriate factors. The GMP may not be used as the
17sole factor in the evaluation of proposals.
18    "Guaranteed Maximum Price (GMP)" means a form of contract
19in which compensation may vary according to the scope of work
20involved but in any case may not exceed an agreed total amount
21to both complete technical design for and to actually construct
22a project.
23    "Landscape architect design professional" means any
24person, sole proprietorship, or entity including, but not
25limited to, a partnership, professional service corporation,
26or corporation that offers services under the Illinois



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1Landscape Architecture Act of 1989.
2    "Proposal" means the offer to enter into a design-build
3contract as submitted by a design-build entity in accordance
4with this Act.
5    "Request for Proposal (RFP)" means the document used by the
6Metropolitan Water Reclamation District to solicit proposals
7for a design-build contract.
8    "Scope and performance criteria" means the requirements
9for the public project, including, but not limited to:
10Metropolitan Water Reclamation District standard design
11specifications, drawings, and criteria; the intended usage,
12capacity, size, scope, quality, and performance standards;
13life cycle costs and other programmatic criteria; and
14quantifiable specifications and drawings developed to the
15point that a design-build entity will develop a proposal to
16complete the design, produce final construction documents, and
17construct the project for a GMP.
18    (70 ILCS 2605/71 new)
19    Sec. 71. Authorization for design-build; advertisement.
20    (a) The Metropolitan Water Reclamation District shall have
21the power to enter into design-build contracts to complete
22design and construction of public works. In addition to the
23requirements set forth in the Purchasing Act for the
24Metropolitan Sanitary District of Greater Chicago, the
25Metropolitan Water Reclamation District shall advertise a



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1design-build solicitation at least once in a daily newspaper of
2general circulation within Cook County and on its own official
3Internet website or in an electronic plan room for public
5    (b) The Metropolitan Water Reclamation District may reject
6any and all bids and proposals received and may readvertise for
7bids or issue a new request for design-build proposals.
8    (70 ILCS 2605/72 new)
9    Sec. 72. Solicitation of design-build proposals.
10    (a) When the Metropolitan Water Reclamation District
11elects to use the design-build delivery method, it must issue a
12notice of intent to receive proposals for the project at least
1314 days before issuing the request for the proposal. The
14Metropolitan Water Reclamation District shall publish notice
15of the request for the design-build proposal in a newspaper of
16general circulation within Cook County. The Metropolitan Water
17Reclamation District shall, if possible, post plans and
18specifications in a related construction industry service. A
19brief description of the proposed procurement must be included
20in the notice.
21    (b) The request for proposal shall be prepared for each
22project and must contain, without limitation, the following
24        (1) A preliminary schedule for the completion of the
25    contract.



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1        (2) The proposed budget for the project, the source of
2    funds, and the funds available at the time the request for
3    proposal is submitted.
4        (3) The developed design plans and specifications to be
5    completed under the GMP.
6        (4) Prequalification criteria for design-build
7    entities wishing to submit proposals. The Metropolitan
8    Water Reclamation District shall include, at a minimum, its
9    normal prequalification, licensing, registration, and
10    other requirements, but nothing contained in this Section
11    precludes the use of additional prequalification criteria
12    by the Metropolitan Water Reclamation District.
13        (5) Material requirements of the contract, including,
14    but not limited to, the proposed terms and conditions,
15    required performance and payment bonds, and insurance.
16        (6) The performance criteria.
17        (7) The evaluation criteria for the solicitation.
18        (8) The list of items intended to be considered for the
19    technical and cost evaluation phase.
20    (c) The Metropolitan Water Reclamation District may
21include any other relevant information that it chooses to
22supply. The design-build entity shall be entitled to rely upon
23the accuracy of this documentation in the development of its
25    (d) The date that proposals are due must be at least 21
26calendar days after the date of the issuance of the request for



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1proposal. In the event the construction portion of the cost of
2the project is estimated to exceed $12,000,000, then the
3proposal due date must be at least 28 calendar days after the
4date of the issuance of the request for proposal. The
5Metropolitan Water Reclamation District shall include in the
6request for proposal a minimum of 21 days to develop the Phase
7II submissions for those entities shortlisted in the Phase I
9    (70 ILCS 2605/73 new)
10    Sec. 73. Development of design-build scope and performance
11criteria when a Guaranteed Maximum Price proposal is sought.
12    (a) The Metropolitan Water Reclamation District shall
13develop the scope and performance criteria in sufficient
14detail. The scope and performance criteria must contain
15adequate information to reasonably apprise the qualified
16design-build entities of the District's original programmatic
17needs and goals, plus budget parameters, schedule, and delivery
18requirements for completion of the design and construction.
19    (b) Each request for proposal shall also include a
20developed design to be provided in the proposals. This
21description must include the scope, drawings, and
22specifications by the Metropolitan Water Reclamation District
23that form the basis of the full design to be completed by the
24design-build entities.
25    (c) The scope and performance criteria shall be prepared by



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1the Metropolitan Water Reclamation District, directly by its
2staff or by a contract with an independent design professional
3selected under the Local Government Professional Services
4Selection Act to provide these services.
5    (d) An individual or corporate design professional or
6landscape architect design professional that prepares the
7scope and performance criteria is prohibited from
8participating in any design-build entity proposal for the
10    (70 ILCS 2605/74 new)
11    Sec. 74. Procedures for design-build selection.
12    (a) The Metropolitan Water Reclamation District must use a
132-phase procedure for the selection of the successful
14design-build entity for projects where the budgeted
15construction cost is over $12,000,000. Phase I of the procedure
16will evaluate and shortlist the design-build entities based on
17best qualifications to design and build the specific project,
18and Phase II will evaluate the technical and cost proposals for
19design and construction. Evaluation of Phases I and II will be
20by a panel of 3 to 5 Metropolitan Water Reclamation District
21employees who are registered design professionals.
22    (b) The Metropolitan Water Reclamation District shall
23include in the request for proposal the evaluating factors to
24be used in Phase I. These factors are in addition to any
25prequalification requirements of design-build entities that



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1the Metropolitan Water Reclamation District has set forth. The
2Metropolitan Water Reclamation District shall include the
3following criteria in every Phase I evaluation of design-build
5        (1) experience of key design and construction
6    personnel;
7        (2) successful experience with similar project types;
8        (3) financial capability;
9        (4) timeliness of past performance;
10        (5) experience with similarly sized projects;
11        (6) work history on Metropolitan Water Reclamation
12    District projects;
13        (7) commitment to assign personnel for the duration of
14    the project;
15        (8) qualifications of the entity's consultants and
16    subcontractors; and
17        (9) ability or past performance in meeting the
18    utilization goals for minority and women business
19    enterprises established by Appendix D of the Metropolitan
20    Water Reclamation District Affirmative Action Ordinance
21    and in complying with Section 2-105 of the Illinois Human
22    Rights Act.
23The Metropolitan Water Reclamation District may include any
24additional relevant criteria in Phase I that it deems necessary
25for a proper qualification review.
26    The Metropolitan Water Reclamation District may not



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1consider any design-build entity for evaluation or award if the
2entity has any pecuniary interest in the project or has other
3relationships or circumstances, including but not limited to, a
4long-term leasehold, mutual performance, or development
5contract with the Metropolitan Water Reclamation District,
6that may give the design-build entity a financial or tangible
7advantage over other design-build entities in the preparation,
8evaluation, or performance of the design-build contract or that
9creates the appearance of impropriety.
10    Upon completion of the Phase I qualifications evaluation,
11the Metropolitan Water Reclamation District shall create a
12shortlist of the most highly qualified design-build entities.
13The Metropolitan Water Reclamation District, in its
14discretion, is not required to shortlist the maximum number of
15entities as identified for Phase II evaluation, except that no
16less than 2 design-build entities nor more than 4 design-build
17entities are selected to submit Phase II proposals.
18    (c) The Metropolitan Water Reclamation District shall
19notify the entities selected for the shortlist in writing. This
20notification shall commence the period for the preparation of
21Phase II in 2 separate sections, technical and cost
22evaluations. The Metropolitan Water Reclamation District must
23allow sufficient time for the shortlist entities to prepare
24their Phase II submittals considering the scope and detail
25requested by the Metropolitan Water Reclamation District.
26    The Metropolitan Water Reclamation District shall include



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1in the shortlist notification the evaluating factors to be used
2in the technical and cost submission components of Phase II.
3The notice shall establish, for both the technical and cost
4submission components of Phase II, the relative importance
5assigned to each evaluation factor and subfactor, including any
6weighting of criteria to be employed by the evaluation panel.
7The Metropolitan Water Reclamation District must maintain a
8record of the evaluation scoring to be disclosed in the event
9of a protest regarding the solicitation.
10    The Phase II technical proposal shall be sealed by the
11primary individual design professional in the design-build
12entity. The Metropolitan Water Reclamation District shall
13include the following criteria in every Phase II technical
14evaluation of design-build entities:
15        (1) compliance with objectives of the project;
16        (2) compliance of design services to fully complete the
17    project design;
18        (3) quality of products or materials proposed;
19        (4) quality of separate technical disciplines required
20    to complete the design;
21        (5) innovative design concepts;
22        (6) innovation in meeting the scope and performance
23    criteria;
24        (7) equipment spread required and manpower curve for
25    construction of the project; and
26        (8) constructability of the proposed project.



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1    The Metropolitan Water Reclamation District may include
2any additional relevant technical evaluation factors it deems
3necessary for proper selection. The Metropolitan Water
4Reclamation District shall include the following criteria in
5every Phase II cost evaluation:
6        (1) guaranteed maximum project cost;
7        (2) quality of the design cost proposal portion of the
8    GMP;
9        (3) quality of the construction cost proposal portion
10    of the GMP;
11        (4) estimated cash flow curve for the project;
12        (5) unit rates for personnel and equipment for both
13    design and construction change orders; and
14        (6) time of completion.
15The Metropolitan Water Reclamation District may include any
16additional relevant technical evaluation factors it deems
17necessary for proper selection. The Metropolitan Water
18Reclamation District shall prepare an independent engineer's
19estimate for use in the overall evaluation of the GMP and to
20verify the reasonable value and balance in the sections of the
21GMP. The weighting between the technical and cost sections used
22in the evaluation of Phase II shall be the percentages of the
23design costs and of the construction costs as a portion of the
24total GMP, respectively.
25    Upon completion of the technical submissions and cost
26submissions evaluation, the Metropolitan Water Reclamation



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1District may award the design-build contract to the highest
2overall ranked entity.
3    (70 ILCS 2605/75 new)
4    Sec. 75. Small design-build projects. In any case where the
5total overall construction cost of the project is estimated to
6be less than $12,000,000, the Metropolitan Water Reclamation
7District may combine the 2-phase procedure for design-build
8selection described in Section 74 into one combined step,
9provided that all the requirements of evaluation are performed.
10    (70 ILCS 2605/76 new)
11    Sec. 76. Submission of design-build proposals.
12Design-build proposals must be properly identified and
13physically sealed when submitted to the Metropolitan Water
14Reclamation District. Proposals may not be reviewed until after
15the deadline for submission has passed as set forth in the
16request for proposals. All design-build entities submitting
17proposals shall be disclosed after the deadline for submission,
18and all design-build entities who are selected for Phase II
19evaluation shall also be disclosed at the time of that
21    Phase II design-build proposals shall include a bid bond in
22the form and security as designated in the request for
24    Proposals must meet all material requirements of the



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1request for proposal or they may be rejected as non-responsive.
2The Metropolitan Water Reclamation District shall have the
3right to reject any proposal.
4    The drawings and specifications of any unsuccessful
5design-build proposal shall remain the property of the
6design-build entity and are not subject to disclosure under the
7Illinois Freedom of Information Act nor retention under the
8Local Records Act as proprietary information. The Metropolitan
9Water Reclamation District shall hold unsuccessful
10design-build submittals for 30 days after the contract signing
11or decision not to proceed with the project in order for
12unsuccessful entities to retrieve the submittals. The drawings
13and specifications of the successful design-build proposal
14shall become the property of the Metropolitan Water Reclamation
15District upon signing the design-build contract.
16    The Metropolitan Water Reclamation District shall review
17the proposals for compliance with the performance criteria and
18evaluation factors.
19    Proposals may be withdrawn before the due date and time for
20submissions for any cause. After evaluation begins by the
21Metropolitan Water Reclamation District, clear and convincing
22evidence of error is required for withdrawal of a proposal.
23    (70 ILCS 2605/77 new)
24    Sec. 77. Design-build award. The Metropolitan Water
25Reclamation District may notify the highest overall ranked



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1entity of the intent to award it the design-build contract.
2Notice of intent to award shall be made in writing. The
3Metropolitan Water Reclamation District may then negotiate
4with the selected design-build entity prior to contract
5execution for the purpose of clarifying or securing better
6terms than originally proposed, provided that the salient
7features of the request for proposal are not diminished. When
8negotiations are complete, then the design-build contract can
9be awarded and signed. In the event that matters of importance
10in the negotiations are not resolved, the Metropolitan Water
11Reclamation District may withdrawal the intent to award and
12notify the next-ranked design-build entity of the intent to
13award it the contract. Unsuccessful entities must be notified
14in writing after the contract is signed or when a definitive
15decision is made not to proceed with the design-build contract.
16    Section 97. Severability. The provisions of this Act are
17severable under Section 1.31 of the Statute on Statutes.