Legislature(2021 - 2022)
2021-03-31 Senate Journal
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Full Journal pdf2021-03-31 Senate Journal Page 0600 SB 117 SENATE BILL NO. 117 BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR, entitled: "An Act relating to the state procurement code; establishing the construction manager general contractor procurement method; and providing for an effective date." was read the first time and referred to the State Affairs and Transportation Committees. The following fiscal information was published today: Fiscal Note No. 1, zero, Department of Transportation and Public Facilities Governor's transmittal letter dated March 30: Dear President Micciche: Under the authority of Article III, Section 18, of the Alaska Constitution, I am transmitting a bill amending the State Procurement code to authorize construction manager general contractor (CM/GC) procurement contracts. The Department of Transportation and Public Facilities (DOT&PF) has been using the CM/GC contracting methodology under the State’s existing innovative procurement statute AS 36.30.308 over the 15 fifteen years. CM/GC allows a contractor to be awarded a two-phase contract to provide both the preconstruction and construction phases of a project. Since this style of procurement does not fit the State’s existing statutory procurement framework, each two-phase contract has had to follow the innovative procurement guidelines in statute. Under that methodology, DOT&PF must submit an “innovative procurement” request to the Department of Law for each CM/GC contract it solicits, even though each procurement follows a similar process. CM/GC is included in Federal Highway Administrative regulations, other states’ regulations, and is a common and accepted practice in the construction industry.