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92_HB0778sam001 LRB9203201MWpkam 1 AMENDMENT TO HOUSE BILL 778 2 AMENDMENT NO. . Amend House Bill 778 by replacing 3 everything after the enacting clause with the following: 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 12 pre-construction phases of a construction project including, 13 but not limited to, consulting with, advising, assisting, and 14 making recommendations to the State agency and architect, 15 engineer, or registered landscape architect on all aspects of 16 planning for project construction; reviewing all plans and 17 specifications as they are being developed and making 18 recommendations with respect to construction feasibility, 19 availability of material and labor, time requirements for 20 procurement and construction, and projected costs; making, 21 reviewing, and refining budget estimates based on the State -2- LRB9203201MWpkam 1 agency's program and other available information; making 2 recommendations to the State agency and the architect or 3 engineer regarding the division of work in the plans and 4 specifications to facilitate the bidding and awarding of 5 contracts; soliciting the interest of capable contractors and 6 assisting the owner in taking bids on the project; analyzing 7 the bids received; and preparing and monitoring a progress 8 schedule during the design phase of the project and 9 preparation of a proposed construction schedule; and 10 (2) services provided in the construction phase of the 11 project including, but not limited to, maintaining competent 12 supervisory staff to coordinate and provide general direction 13 of the work and progress of the contractors on the project; 14 observing the work as it is being performed for general 15 conformance with working drawings and specifications; 16 establishing procedures for coordinating among the State 17 agency, architect or engineer, contractors, and construction 18 manager with respect to all aspects of the project and 19 implementing those procedures; maintaining job site records 20 and making appropriate progress reports; implementing labor 21 policy in conformance with the requirements of the public 22 owner; reviewing the safety and equal opportunity programs of 23 each contractor for conformance with the public owner's 24 policy and making recommendations; reviewing and processing 25 all applications for payment by involved contractors and 26 material suppliers in accordance with the terms of the 27 contract; making recommendations for and processing requests 28 for changes in the work and maintaining records of change 29 orders; scheduling and conducting job meetings to ensure 30 orderly progress of the work; developing and monitoring a 31 project progress schedule, coordinating and expediting the 32 work of all contractors and providing periodic status reports 33 to the owner and the architect or engineer; and establishing 34 and maintaining a cost control system and conducting meetings -3- LRB9203201MWpkam 1 to review costs. 2 "Construction manager" means any person providing 3 construction management services for a State agency. 4 (30 ILCS 500/33-10 new) 5 Sec. 33-10. Time for using construction management 6 services. The appropriate State purchasing officer or chief 7 procurement officer of a State agency may elect to engage the 8 construction management services of a construction manager 9 when planning, designing, and constructing a building or 10 structure or when improving, altering, or repairing a 11 building or structure. Construction management services may 12 be used by the State agency in the pre-construction phase, 13 the construction phase of public works project, or both 14 phases of the project. 15 (30 ILCS 500/33-15 new) 16 Sec. 33-15. Evaluation procedure. A State agency shall 17 evaluate the construction managers submitting letters of 18 interest and other prequalified construction managers, taking 19 into account qualifications; and the State agency may 20 consider, but shall not be limited to considering, ability of 21 professional personnel, past record and experience, 22 performance data on file, willingness to meet time 23 requirements, location, workload of the construction manager, 24 and any other qualifications-based factors as the State 25 agency may determine in writing are applicable. The State 26 agency may conduct discussions with and require public 27 presentations by construction managers deemed to be the most 28 qualified regarding their qualifications, approach to the 29 project, and ability to furnish the required services. 30 A State agency shall establish a committee to select 31 construction managers to provide construction management 32 services. A selection committee may include at least one -4- LRB9203201MWpkam 1 public member nominated by a statewide association of 2 construction managers. The public member may not be employed 3 or associated with any firm holding a contract with the State 4 agency nor may the public member's firm be considered for a 5 contract with that State agency while he or she is serving as 6 a public member of the committee. 7 In no case shall a State agency, prior to selecting a 8 construction manager, seek formal or informal submission of 9 verbal or written estimates of costs or proposals in terms of 10 dollars, hours required, percentage of construction cost, or 11 any other measure of compensation. 12 (30 ILCS 500/33-20 new) 13 Sec. 33-20. Duties of construction manager; additional 14 requirements for persons performing construction work. 15 (a) Upon the award of a construction management services 16 contract, a construction manager must contract with the State 17 agency to furnish his or her skill and judgment in 18 cooperation with, and reliance upon, the services of the 19 project architect or engineer. The construction manager must 20 furnish business administration, management of the 21 construction process, and other specified services to the 22 State agency and must perform his or her obligations in an 23 expeditious and economical manner consistent with the 24 interest of the State agency. If it is in the State's best 25 interest, the construction manager may provide or perform 26 basic services for which reimbursement is provided in the 27 general conditions to the construction management services 28 contract. 29 (b) The construction manager, or any entity that 30 controls, is controlled by, or shares common ownership with 31 the construction manager, is not permitted to bid on or 32 perform any of the actual construction on a public works 33 project in which he or she is acting as construction manager. -5- LRB9203201MWpkam 1 The actual construction work on the project must be awarded 2 by competitive bidding as provided in this Code. All 3 successful bidders for actual construction work must contract 4 directly with the State agency, but must perform his or her 5 obligations at the direction of the construction manager 6 unless otherwise provided in the construction manager's 7 contract with the State agency. All successful bidders for 8 actual construction work must enter into a trust agreement 9 under Section 30-25 of this Code. This subsection is subject 10 to the applicable provisions of the following Acts: 11 (1) the Prevailing Wage Act; 12 (2) the Public Construction Bond Act; 13 (3) the Public Works Employment Discrimination Act; 14 (4) the Public Works Preference Act; 15 (5) the Employment of Illinois Workers on Public 16 Works Act; 17 (6) the Illinois Architecture Practice Act of 1989; 18 (7) the Professional Engineering Practice Act of 19 1989; 20 (8) the Illinois Professional Land Surveyor Act of 21 1989; 22 (9) the Structural Engineering Practice Act of 23 1989; 24 (10) the Public Contract Fraud Act; and 25 (11) the Illinois Construction Evaluation Act. 26 (30 ILCS 500/33-25 new) 27 Sec. 33-25. Prohibited conduct. No construction 28 management services contract may be awarded by a State agency 29 on a negotiated basis as provided in this Article if the 30 construction manager or an entity that controls, is 31 controlled by, or shares common ownership or control with the 32 construction manager (i) guarantees, warrants, or otherwise 33 assumes financial responsibility for the work of others on -6- LRB9203201MWpkam 1 the project; (ii) provides the State agency with a guaranteed 2 maximum price for the work of others on the project; or (iii) 3 furnishes or guarantees a performance or payment bond for 4 other contractors on the project. In any such case, the 5 contract for construction management services must be let by 6 competitive bidding as in the case of contracts for 7 construction work. 8 Section 99. Effective date. This Act takes effect upon 9 becoming law.".