Arizona 2024 2024 Regular Session

Arizona Senate Bill SB1054 Comm Sub / Analysis

Filed 03/11/2024

                      	SB 1054 
Initials LM 	Page 1 Transportation & Infrastructure 
 
ARIZONA HOUSE OF REPRESENTATIVES 
Fifty-sixth Legislature 
Second Regular Session 
Senate: TTMC DP 7-0-0-0 | 3
rd
 Read 27-0-3-0 
 
SB1054: state construction project delivery methods 
Sponsor: Senator Carroll, LD 28 
Committee on Transportation & Infrastructure 
Overview 
Continues the authorization, until December 31, 2030, for the Arizona Department of 
Transportation (ADOT) or an agent to commence design-build projects and to procure 
construction delivery services using alternative methods of project delivery. 
History 
ADOT may use the design-build method of project delivery on a project if ADOT decides in 
writing that it is appropriate and in the best interests of ADOT to use the design-build 
method of project delivery for that project, except that: 
1) ADOT must not enter into a contract to operate any structure, facility or other item; 
2) each design-build project must be a specific single project; and 
3) ADOT must not commence any design-build project after December 31, 2025 (A.R.S. 
§ 28-7363).  
ADOT may procure construction-manager-at-risk and job-order-contracting construction 
services (A.R.S § 28-7366). ADOT may not procure any construction services using the job-
order-contracting construction services method of project delivery after December 31, 2025 
(A.R.S. § 28-7367). 
An agent must not procure any horizontal construction using the construction-manager-at-
risk, design-build or job-order-contracting method of project delivery after June 30, 2025 
(A.R.S. § 34-605). 
Construction services, for construction-manager-at-risk, design-build and job-order 
contracting project delivery methods, are either: 1) construction, excluding services, through 
the construction-manager-at-risk or job-order-contracting project delivery methods; or 2) a 
combination of construction and, as elected by the agent, one or more related services. 
Horizontal construction is construction of highways, roads, streets, bridges, canals, 
floodways, earthen dams, landfills, airport runways, taxiways and aprons and light rail, 
excluding any related rail stations, maintenance facilities or parking facilities. An agent is 
any county, city or town, or officer, board or commission of any county, city or town, and 
irrigation, power, electrical, drainage, flood protection and control districts, tax levying public 
improvement districts and county or city improvement districts. An agent includes any 
county board of supervisors and any representative authorized by an agent to act as an agent 
for the purpose of authorizing necessary change orders to previously awarded contracts in 
accordance with guidelines established by rule of the agent, including the board of 
supervisors (A.R.S. § 34-101).  
 
    	SB 1054 
Initials LM 	Page 2 Transportation & Infrastructure 
Provisions 
1. Extends the authorization, until December 31, 2030, rather than December 1, 2025, for 
ADOT to commence any design-build project and to procure any construction delivery 
services using the construction-manager-at-risk construction services or job-order-
contracting construction services. (Sec. 1-3) 
2. Continues the authorization, until December 31, 2030, rather than June 30, 2025, for an 
agent to procure any construction-manager-at-risk construction services for horizontal 
construction and any horizontal construction using the construction-manager-at-risk, 
design-build or job-order-contracting method of project delivery. (Sec. 4-5) 
3. Makes technical changes. (Sec. 1-3 and 5) 
☐ Prop 105 (45 votes)     ☐ Prop 108 (40 votes)      ☐ Emergency (40 votes) ☐ Fiscal Note