CS/CS/CS/HB 149 2024 CODING: Words stricken are deletions; words underlined are additions. hb0149-03-c3 Page 1 of 6 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S A bill to be entitled 1 An act relating to continuing contracts; amending s. 2 255.103, F.S.; revising the maximum estimated 3 construction cost of construction projects for which a 4 governmental entity may enter into a continuing 5 contract; requiring the Department of Management 6 Services, beginning on a specified date and annually 7 thereafter, to adjust the maximum amount allowed under 8 specified contracts using a specified index and 9 publish the adjusted amount on the department's 10 website; amending s. 287.055, F.S.; revising the 11 definition of the term "continuing contract" to 12 increase the maximum dollar value of such contract and 13 to require the department, beginning on a specified 14 date and annually thereafter, to adjust the maximum 15 amount allowed under such contracts using a specified 16 index and publish the adjusted amount on the 17 department's website; providing an effective date. 18 19 Be It Enacted by the Legislature of the State of Florida : 20 21 Section 1. Subsection (4) of section 255.103, Florida 22 Statutes, is amended, and subsections (2) and (3) of that 23 section are republished, to read: 24 255.103 Construction management or program management 25 CS/CS/CS/HB 149 2024 CODING: Words stricken are deletions; words underlined are additions. hb0149-03-c3 Page 2 of 6 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S entities.— 26 (2) A governmental entity may sele ct a construction 27 management entity, pursuant to the process provided by s. 28 287.055, which is to be responsible for construction project 29 scheduling and coordination in both preconstruction and 30 construction phases and generally responsible for the 31 successful, timely, and economical completion of the 32 construction project. The construction management entity must 33 consist of or contract with licensed or registered professionals 34 for the specific fields or areas of construction to be 35 performed, as required by law. The construction management 36 entity may retain necessary design professionals selected under 37 the process provided in s. 287.055. At the option of the 38 governmental entity, the construction management entity, after 39 having been selected and after competitive negotiations, may be 40 required to offer a guaranteed maximum price and a guaranteed 41 completion date or a lump -sum price and a guaranteed completion 42 date, in which case, the construction management entity must 43 secure an appropriate surety bond pursuant to s. 255.05 and must 44 hold construction subcontracts. If a project, as defined in s. 45 287.055(2)(f), solicited by a governmental entity under the 46 process provided in s. 287.055 includes a grouping of 47 substantially similar construction, rehabilitation, or 48 renovation activities as permitted under s. 287.055(2)(f), the 49 governmental entity, after competitive negotiations, may require 50 CS/CS/CS/HB 149 2024 CODING: Words stricken are deletions; words underlined are additions. hb0149-03-c3 Page 3 of 6 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S the construction management entity to provide for a separate 51 guaranteed maximum price or a separate lump -sum price and a 52 separate guaranteed completion date for each grouping of 53 substantially similar construction, rehabilitation, or 54 renovation activities included within the project. 55 (3) A governmental entity may select a program management 56 entity, pursuant to the process provided by s. 287.055, which is 57 to be responsible for schedule control, cost control, and 58 coordination in providing or procuring planning, design, and 59 construction services. The program management entity must 60 consist of or contract with licensed or registered profession als 61 for the specific areas of design or construction to be performed 62 as required by law. The program management entity may retain 63 necessary design professionals selected under the process 64 provided in s. 287.055. At the option of the governmental 65 entity, the program management entity, after having been 66 selected and after competitive negotiations, may be required to 67 offer a guaranteed maximum price and a guaranteed completion 68 date or a lump-sum price and guaranteed completion date, in 69 which case the program m anagement entity must secure an 70 appropriate surety bond pursuant to s. 255.05 and must hold 71 design and construction subcontracts. If a project, as defined 72 in s. 287.055(2)(f), solicited by a governmental entity under 73 the process provided in s. 287.055 incl udes a grouping of 74 substantially similar construction, rehabilitation, or 75 CS/CS/CS/HB 149 2024 CODING: Words stricken are deletions; words underlined are additions. hb0149-03-c3 Page 4 of 6 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S renovation activities as permitted under s. 287.055(2)(f), the 76 governmental entity, after competitive negotiations, may require 77 the program management entity to provide for a separat e 78 guaranteed maximum price or a lump -sum price and a separate 79 guaranteed completion date for each grouping of substantially 80 similar construction, rehabilitation, or renovation activities 81 included within the project. 82 (4) A governmental entity's authority under subsections 83 (2) and (3) includes entering into a continuing contract for 84 construction projects, pursuant to the process provided in s. 85 287.055, in which the estimated construction cost of each 86 individual project under the contract does not exceed $7.5 $4 87 million. Beginning July 1, 2025, and each July 1 thereafter, the 88 Department of Management Services shall adjust the maximum 89 amount allowed on the preceding June 30 for each individual 90 project in a continuing contract by using the change in the 91 June-to-June Consumer Price Index for All Urban Consumers issued 92 by the Bureau of Labor Statistics of the United States 93 Department of Labor. The Department of Management Services shall 94 publish the adjusted amount on its website. For purposes of this 95 subsection, the term "continuing contract" means a contract with 96 a construction management or program management entity for work 97 during a defined period on construction projects described by 98 type which may or may not be identified at the time of entering 99 into the contract. 100 CS/CS/CS/HB 149 2024 CODING: Words stricken are deletions; words underlined are additions. hb0149-03-c3 Page 5 of 6 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S Section 2. Paragraph (g) of subsection (2) of section 101 287.055, Florida Statutes, is amended to read: 102 287.055 Acquisition of professional architectural, 103 engineering, landscape architectural, or surveying and mapping 104 services; definitions; procedu res; contingent fees prohibited; 105 penalties.— 106 (2) DEFINITIONS.—For purposes of this section: 107 (g)1. A "continuing contract" is a contract for any of the 108 following: 109 a. Professional services entered into in accordance with 110 all the procedures of this act between an agency and a firm 111 whereby the firm provides professional services to the agency 112 for projects in which the estimated construction cost of each 113 individual project under the contract does not exceed $7.5 $4 114 million. Beginning July 1, 2025, and each July 1 thereafter, the 115 department shall adjust the maximum amount allowed on the 116 preceding June 30 for each individual project in a continuing 117 contract by using the change in the June -to-June Consumer Price 118 Index for All Urban Consumers issued by the Bure au of Labor 119 Statistics of the United States Department of Labor. The 120 department shall publish the adjusted amount on its website; , 121 b. for Study activity if the fee for professional services 122 for each individual study under the contract does not exceed 123 $500,000;, or 124 c. for Work of a specified nature as outlined in the 125 CS/CS/CS/HB 149 2024 CODING: Words stricken are deletions; words underlined are additions. hb0149-03-c3 Page 6 of 6 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S contract required by the agency, with the contract being for a 126 fixed term or with no time limitation except that the contract 127 must provide a termination clause. 128 2. Firms providing professional services under continuing 129 contracts may shall not be required to bid against one another. 130 Section 3. This act shall take effect July 1, 2024. 131