COUNTY OF SAN MATEO

Inter-Departmental Correspondence

County Manager’s Office

 

DATE:

May 5, 2006

BOARD MEETING DATE:

May 9, 2006

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

John Maltbie, County Manager

SUBJECT:

County Manager’s Report #8—Continued from the May 2, 2006 meeting of the Board of Supervisors--Resolution in support of SB 1431 (Cox), design-build contracting for cities, counties and special districts

 

RECOMMENDATION:

Adopt a Resolution in support of SB 1431 (Cox), design-build contracting for cities, counties and special districts.

 

VISION ALIGNMENT:

Commitment: Responsive, effective and collaborative government

Goal(s): Goal 20—Government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

 

BACKGROUND:

SB 1341 (Cox) would allow all counties, cities and special districts to use the design-build contracting method. It would also make a number of less significant changes include the unification of the various sunsets provisions to sunset on January 1, 2017.

 

Current law requires local governments to separate the design and construction components of projects. Through this design-bid-build process, local governments invite bids for construction projects and award the project to the lowest responsible bidder based on set designs. Design-build allows the authorized agency to procure both design and construction services from a single entity (i.e. company, contractor).

 

Since 1995, the Legislature has allowed a growing number of local governments to use design-build contracts. Currently 30 counties have design-build authority.

 
 
 

DISCUSSION:

According to the Senate Local Government Committee analysis, the design-build concept is partly in response to public pressure to keep costs low, but provide high levels of accountability and transparency. Traditional design-bid-build contracts are often seen as providing higher levels of transparency and accountability due to the use of two rounds of contracts (one for the design and one for the construction). However, that process is also considered slower and more expensive. In addition, some proponents believe the combination of design-build provides more flexibility to respond to changing conditions and requirements of the site.

 

Staff and advocate conversations with the author’s office suggest the general authorization provisions will face strong opposition and may be amended from the bill. Should San Mateo County elect to support SB 1431, staff can work with the author’s office to ensure that San Mateo County specifically be authorized with such authority should the general provisions be removed from the bill.

 

SB 1431 provides protections for counties including the requirement that counties prepare initial documents detailing the scope of the project. Such details can include the size, type and character of the project/site as well as performance specifications, preliminary plans and other information needed to describe the county’s needs. SB 1431 also requires the design-build entity to comply with the minimum performance criteria and design standards established in the initial documents prepared by the county.

 

The Board may wish to consider whether those protections should be expanded to provide greater oversight and control by the public agency. Specifically, the Board may wish to consider whether to encourage strongly the public agency to retain the services of a design professional, construction project manager, architect and/or structural engineer to ensure compliance by the design-build entity.

 

FISCAL IMPACT:

Unknown.