LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
FISCAL IMPACT STATEMENT
LS 7532 NOTE PREPARED: Jan 8, 2025
BILL NUMBER: HB 1559 BILL AMENDED:
SUBJECT: CMc Contract Award Standard.
FIRST AUTHOR: Rep. VanNatter BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
XDEDICATED
FEDERAL
Summary of Legislation: The bill provides that when a public agency chooses to employ a construction
manager as constructor on a public works project, the applicable contract award standard for the project is
"lowest and best".
Effective Date: July 1, 2025.
Explanation of State Expenditures: The Public Works Division of the Indiana Department of
Administration may need to update information and forms regarding CMc contracting. It is likely that the
Department would be able to accomplish the administrative changes to contracting standards within their
existing staff and resource levels.
Any change in contracting costs for CMc services is indeterminable under the bill’s proposed definition
change. Any change in state expenditures would depend on future contract terms reached between state
agencies and potential contractors.
Explanation of State Revenues:
Explanation of Local Expenditures: Any changes in contracting costs for CMc services is indeterminable
under the bill’s proposed definition change. Any change in local expenditures would depend on future
contract terms reached between local government agencies and potential contractors.
Explanation of Local Revenues:
State Agencies Affected: Public Works Division, Indiana Department of Administration; any state agency
contracting for CMc services.
Local Agencies Affected: Any local government agency contracting for CMc services.
Information Sources: https://www.in.gov/idoa/files/construction_manager_as_constructor_contract.pdf
HB 1559 1 Fiscal Analyst: Chris Baker, 317-232-9851.
HB 1559 2