Bill Text: NY A07636 | 2019-2020 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Authorizes in the city of New York, for certain public work undertaken pursuant to project labor agreements, use of the alternative delivery method known as design-build contracts.

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Passed) 2019-12-31 - APPROVAL MEMO.94 [A07636 Detail]

Download: New_York-2019-A07636-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          7636

                               2019-2020 Regular Sessions

                   IN ASSEMBLY

                                      May 14, 2019
                                       ___________

        Introduced  by  M. of A. BRAUNSTEIN, RODRIGUEZ -- read once and referred
          to the Committee on Cities

        AN ACT to authorize, for certain public  works  undertaken  pursuant  to
          project labor agreements, use of the alternative delivery method known
          as design-build contracts

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Short title.  This act shall be known and may be  cited  as
     2  the "New York city public works investment act".
     3    § 2. For the purposes of this act:
     4    (a)  "Authorized  entity"  shall  mean the New York city department of
     5  design and construction, the New York city department  of  environmental
     6  protection, the New York city department of transportation, the New York
     7  city  department  of  parks and recreation, the New York city health and
     8  hospitals corporation, the New York city school  construction  authority
     9  and the New York city housing authority.
    10    (b)  "Best  value"  shall  mean  the  basis for awarding contracts for
    11  services to a proposer that  optimizes  quality,  cost  and  efficiency,
    12  price  and  performance  criteria, which may include, but is not limited
    13  to:
    14    (1) The quality of the proposer's performance on previous projects;
    15    (2) The timeliness of the proposer's performance on previous projects;
    16    (3) The level of customer satisfaction with the proposer's performance
    17  on previous projects;
    18    (4) The proposer's record of performing previous  projects  on  budget
    19  and ability to minimize cost overruns;
    20    (5) The proposer's ability to limit change orders;
    21    (6) The proposer's ability to prepare appropriate project plans;
    22    (7) The proposer's technical capacities;
    23    (8) The individual qualifications of the proposer's key personnel;

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11524-02-9

        A. 7636                             2

     1    (9) The proposer's ability to assess and manage risk and minimize risk
     2  impact;
     3    (10) The proposer's financial capability;
     4    (11)  The  proposer's  ability to comply with applicable requirements,
     5  including the provisions of articles 145, 147 and 148 of  the  education
     6  law;
     7    (12)  The proposer's past record of compliance with federal, state and
     8  local laws, rules, licensing requirements, where applicable, and  execu-
     9  tive  orders, including but not limited to compliance with the labor law
    10  and other applicable labor and prevailing wage laws, article 15-A of the
    11  executive law, and any other applicable laws  concerning  minority-  and
    12  women-owned business enterprise participation;
    13    (13) The proposer's record of complying with existing labor standards,
    14  maintaining  harmonious  labor  relations, and protecting the health and
    15  safety of workers and payment of wages above any locally-defined  living
    16  wage; and
    17    (14)  A quantitative factor to be used in evaluation of bids or offers
    18  for awarding of contracts for bidders or offerers that are certified  as
    19  minority-  or  women-owned business enterprises pursuant to article 15-A
    20  of the executive law, and certified pursuant to local law  as  minority-
    21  or  women-owned business enterprises. Where an agency identifies a quan-
    22  titative factor pursuant to this paragraph, the agency must specify that
    23  businesses certified as minority- or  women-owned  business  enterprises
    24  pursuant to article 15-A of the executive law as well as those certified
    25  as  minority- or women-owned business enterprises or pursuant to section
    26  1304 of the New York city charter  are  eligible  to  qualify  for  such
    27  factor.  Nothing  in  this paragraph shall be construed as a requirement
    28  that such businesses be concurrently certified as  minority-  or  women-
    29  owned  business enterprises under both article 15-A of the executive law
    30  and section 1304 of the New York city charter to qualify for such  quan-
    31  titative   factors.   In  addition,  where  the  New  York  city  school
    32  construction authority acts as the authorized entity, businesses  certi-
    33  fied  as  minority-  or  women-owned  business  enterprises  pursuant to
    34  section 1743 of the public authorities law shall be eligible to  qualify
    35  for such factor.
    36    Such  basis  shall reflect, wherever possible, objective and quantifi-
    37  able analysis.
    38    (c) "Cost plus" shall mean compensating a contractor for the  cost  to
    39  complete a contract by reimbursing actual costs for labor, equipment and
    40  materials plus an additional amount for overhead and profit.
    41    (d)  "Design-build  contract" shall mean a contract for the design and
    42  construction of a public work with a single entity, which may be a  team
    43  comprised of separate entities.
    44    (e)  "Project  labor  agreement"  shall  have the meaning set forth in
    45  subdivision 1 of section 222 of the labor law. A project labor agreement
    46  shall require participation in apprentice training programs  in  accord-
    47  ance with paragraph (e) of subdivision 2 of such section.
    48    §  3.  Any contract for a public work undertaken pursuant to a project
    49  labor agreement in accordance with section 222 of the labor law may be a
    50  design-build contract in accordance with this act.
    51    § 4. Notwithstanding any general, special or local law, rule or  regu-
    52  lation to the contrary, including but not limited to section 7210 of the
    53  education  law,  article  5-A of the general municipal law, article 8 of
    54  the public  housing law, sections 1734 and 1735 of the  public  authori-
    55  ties  law and section 8 of the New York city health and hospitals corpo-
    56  ration act, and in conformity with the requirements of this act, for any

        A. 7636                             3

     1  public work that has an estimated cost of  not  less  than  1.2  million
     2  dollars  and  is  undertaken  pursuant  to  a project labor agreement in
     3  accordance with section 222 of  the  labor  law,  an  authorized  entity
     4  charged with awarding a contract for public work may use the alternative
     5  delivery method referred to as design-build contracts.
     6    (a) A contractor selected by such an authorized entity to enter into a
     7  design-build  contract  shall  be selected through a two-step method, as
     8  follows:
     9    (1) Step one. Generation of a list of responding  entities  that  have
    10  demonstrated   the   general  capability  to  perform  the  design-build
    11  contract. Such list shall consist of a specified  number  of  responding
    12  entities,  as determined by an authorized entity, and shall be generated
    13  based upon the authorized entity's review of  responses  to  a  publicly
    14  advertised  request  for qualifications. The authorized entity's request
    15  for qualifications shall include a general  description  of  the  public
    16  work,  the  maximum  number of responding entities to be included on the
    17  list, the selection criteria to be used and the relative weight of  each
    18  criteria  in generating the list.  Such selection criteria shall include
    19  the qualifications and experience of the design and  construction  team,
    20  organization,  demonstrated  responsibility, ability of the team or of a
    21  member or members of the team to comply  with  applicable  requirements,
    22  including  the  provisions of articles 145, 147 and 148 of the education
    23  law, past record of compliance with the labor law, and such other quali-
    24  fications the authorized entity deems appropriate, which may include but
    25  are not limited  to  project  understanding,  financial  capability  and
    26  record  of  past  performance.  The authorized entity shall evaluate and
    27  rate all responding entities to the request for qualifications.    Based
    28  upon such ratings, the authorized entity shall list the responding enti-
    29  ties that shall receive a request for proposals in accordance with para-
    30  graph  two of this subdivision. To the extent consistent with applicable
    31  federal law, the authorized entity shall  consider,  when  awarding  any
    32  contract  pursuant  to this section, the participation of (i) responding
    33  entities that are certified as minority- or women-owned business  enter-
    34  prises  pursuant  to  article  15-A  of  the executive law, or certified
    35  pursuant to local law as minority- or women-owned business  enterprises,
    36  or,  where  the  New York city school construction authority acts as the
    37  authorized entity, certified pursuant to  section  1743  of  the  public
    38  authorities law; and (ii) small business concerns identified pursuant to
    39  subdivision  (b) of section 139-g of the state finance law. In addition,
    40  nothing in this section shall be deemed to supersede any  pre-qualifica-
    41  tion  guidelines  or  requirements  otherwise  authorized  by law for an
    42  authorized entity.
    43    (2) Step two. Selection of the proposal which is the best value to the
    44  authorized entity.   The authorized entity shall  issue  a  request  for
    45  proposals to the responding entities listed pursuant to paragraph one of
    46  this  subdivision.  If  such  a  responding entity consists of a team of
    47  separate entities, the entities that comprise such a  team  must  remain
    48  unchanged from the responding entity as listed pursuant to paragraph one
    49  of  this subdivision unless otherwise approved by the authorized entity.
    50  The request for proposals shall set forth the  public  work's  scope  of
    51  work,  and  other  requirements, as determined by the authorized entity,
    52  which may include separate goals for  work  under  the  contract  to  be
    53  performed  by  businesses certified as minority- or women-owned business
    54  enterprises pursuant to article 15-A of the  executive  law  or  section
    55  1743  of  the public authorities law, or certified pursuant to local law
    56  as minority-  or  women-owned  business  enterprises.  The  request  for

        A. 7636                             4

     1  proposals  shall  also  specify  the criteria to be used to evaluate the
     2  responses and the relative weight of each of such criteria. Such  crite-
     3  ria  shall  include  the  proposal's cost, the quality of the proposal's
     4  solution,  the  qualifications and experience of the proposer, and other
     5  factors deemed pertinent by the authorized entity,  which  may  include,
     6  but  shall  not  be  limited  to,  the proposal's manner and schedule of
     7  project implementation, the proposer's ability to complete the work in a
     8  timely and satisfactory  manner,  maintenance  costs  of  the  completed
     9  public  work, maintenance of traffic approach, and community impact. Any
    10  contract awarded pursuant to this act shall be awarded to  a  responsive
    11  and  responsible  proposer,  which,  in consideration of these and other
    12  specified criteria deemed pertinent, offers the best  value,  as  deter-
    13  mined  by the authorized entity. The request for proposals shall include
    14  a statement that proposers shall designate in writing those portions  of
    15  the proposal that contain trade secrets or other proprietary information
    16  that  are to remain confidential; that the material designated as confi-
    17  dential shall be readily separable from the proposal.  Nothing  in  this
    18  subdivision  shall  be  construed to prohibit the authorized entity from
    19  negotiating final contract terms  and  conditions  including  cost.  All
    20  proposals  submitted shall be scored according to the criteria listed in
    21  the request for proposals and such final scores shall  be  published  on
    22  the authorized entity's website.
    23    (b)  An  authorized  entity  awarding  a  design-build  contract  to a
    24  contractor offering the best value may but shall not be required to  use
    25  the following types of contracts:
    26    (1)  A  cost-plus  not  to  exceed  guaranteed  maximum  price form of
    27  contract in which the authorized entity shall be entitled to monitor and
    28  audit all costs. In establishing the schedule and process for  determin-
    29  ing  a  guaranteed  maximum  price,  the contract between the authorized
    30  entity and the contractor shall:
    31    (i) Describe the scope of the work and the  cost  of  performing  such
    32  work,
    33    (ii) Include a detailed line item cost breakdown,
    34    (iii)  Include a list of all drawings, specifications and other infor-
    35  mation on which the guaranteed maximum price is based,
    36    (iv) Include the dates of substantial and final  completion  on  which
    37  the guaranteed maximum price is based, and
    38    (v) Include a schedule of unit prices; or
    39    (2) A lump sum contract in which the contractor agrees to accept a set
    40  dollar  amount  for  a  contract  which  comprises  a single bid without
    41  providing a cost breakdown for all costs such as for  equipment,  labor,
    42  materials,  as well as such contractor's profit for completing all items
    43  of work comprising the public work.
    44    § 5. Any contract entered into pursuant to this act  shall  include  a
    45  clause  requiring  that  any professional services regulated by articles
    46  145, 147 and 148 of the education law shall be performed and stamped and
    47  sealed, where appropriate, by a professional licensed in accordance with
    48  the appropriate article.
    49    § 6. Construction with respect to each contract  entered  into  by  an
    50  authorized  entity  pursuant to this act shall be deemed a "public work"
    51  to be performed in accordance with the provisions of article  8  of  the
    52  labor  law, as well as subject to sections 200, 240, 241 and 242 of such
    53  law and enforcement of prevailing wage requirements pursuant to applica-
    54  ble law or, for projects or public works receiving federal aid, applica-
    55  ble federal requirements for prevailing wage. Any contract entered  into
    56  pursuant  to  this  act  shall  include  a clause requiring the selected

        A. 7636                             5

     1  design builder to obligate every  tier  of  contractor  working  on  the
     2  public  work  to  comply  with the project labor agreement referenced in
     3  section three of this act, and shall  include  project  labor  agreement
     4  compliance  monitoring  and  enforcement  provisions consistent with the
     5  applicable project labor agreement.
     6    § 7. Each contract entered into by an authorized  entity  pursuant  to
     7  this  act  shall  comply  with  the  objectives and goals with regard to
     8  minority- and women-owned business enterprises pursuant to, as  applica-
     9  ble,  section  6-129 of the administrative code of the city of New York,
    10  subdivision 6 of section 8 of the New York  city  health  and  hospitals
    11  corporation  act,  section  1743  of the public authorities law, or, for
    12  projects or public  works  receiving  federal  aid,  applicable  federal
    13  requirements  for  disadvantaged  business  enterprises or minority- and
    14  women-owned business enterprises.
    15    § 8. Public works undertaken by an authorized entity pursuant to  this
    16  act  shall  be  subject to the requirements of article 8 of the environ-
    17  mental conservation law, and, where applicable, the requirements of  the
    18  National Environmental Policy Act.
    19    §  9.  (a)  Notwithstanding  any provision of law to the contrary, all
    20  rights or benefits, including terms and conditions  of  employment,  and
    21  protection  of  civil  service  and  collective bargaining status of all
    22  employees of authorized entities solely in connection with  public  work
    23  undertaken  by  an  authorized  entity  pursuant  to  this act, shall be
    24  preserved and protected.
    25    (b) Nothing in this act shall result in the: (1) displacement  of  any
    26  currently  employed  worker  or  loss  of  position  (including  partial
    27  displacement such as a reduction in  the  hours  of  non-overtime  work,
    28  wages  or  employment benefits), or result in the impairment of existing
    29  collective bargaining agreements; and (2) transfer  of  existing  duties
    30  and  functions related to maintenance and operations currently performed
    31  by existing employees of authorized entities to a contractor.
    32    (c) Employees of  authorized  entities  using  design-build  contracts
    33  serving  in  positions  in newly created titles shall be assigned to the
    34  appropriate bargaining unit. Nothing contained  in  this  act  shall  be
    35  construed  to  affect (1) the existing rights of employees of such enti-
    36  ties pursuant to an existing collective bargaining  agreement,  (2)  the
    37  existing  representational  relationships  among  employee organizations
    38  representing employees of such entities, or (3) the bargaining relation-
    39  ships between such entities and such employee organizations.
    40    § 10. The submission of a proposal or responses or the execution of  a
    41  design-build  contract pursuant to this act shall not be construed to be
    42  a violation of section 6512 of the education law.
    43    § 11. Nothing contained in this act shall limit  the  right  or  obli-
    44  gation  of  any  authorized  entity to comply with the provisions of any
    45  existing contract or to award contracts as otherwise provided by law.
    46    § 12.  The authority conferred by this act shall be in addition to the
    47  authority conferred  by  any  other  law  upon  any  authorized  entity,
    48  provided  that  any public work covered by the New York city BQE design-
    49  build act, the New York city housing authority modernization  investment
    50  act  or  the  New  York  city Rikers Island jail complex replacement act
    51  shall continue to be governed by the provisions of such act  while  such
    52  provisions are in effect.
    53    § 13. This act shall take effect immediately.
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