Rhode Island 2023 Regular Session

Rhode Island House Bill H6001 Compare Versions

Only one version of the bill is available at this time.
OldNewDifferences
11
22
33
44
55 2023 -- H 6001
66 ========
77 LC002390
88 ========
99 S TATE OF RHODE IS LAND
1010 IN GENERAL ASSEMBLY
1111 JANUARY SESSION, A.D. 2023
1212 ____________
1313
1414 A N A C T
1515 RELATING TO PUBLIC UTILITIES AND CARRIERS -- RHODE ISLAND PUBLIC
1616 TRANSIT AUTHORITY
1717 Introduced By: Representatives O'Brien, Kazarian, Casimiro, McEntee, Craven,
1818 Caldwell, Dawson, Serpa, Bennett, and Diaz
1919 Date Introduced: March 01, 2023
2020 Referred To: House Finance
2121 (RIPTA)
2222
2323 It is enacted by the General Assembly as follows:
2424 SECTION 1. Sections 39-18-1, 39-18-3 and 39-18-7 of the General Laws in Chapter 39-1
2525 18 entitled "Rhode Island Public Transit Authority" are hereby amended to read as follows: 2
2626 39-18-1. Definitions. 3
2727 As used in this chapter, the following words and terms shall have the following meanings 4
2828 unless the context shall indicate another or different meaning: 5
2929 (1) “Authority” means the Rhode Island public transit authority created by § 39-18-2, or, 6
3030 if the authority shall be abolished, the board, body, or commission succeeding to the principal 7
3131 functions thereof, or upon whom the powers of the authority given by this chapter shall be given 8
3232 by law. 9
3333 (2) “Bonds” means bonds, notes, or other evidences of indebtedness, including temporary 10
3434 notes of the authority issued in anticipation of revenues to be received by the authority or in 11
3535 anticipation of the receipt of federal, state, or local grants or other aid. 12
3636 (3) “Dorrance street transit center project” means a transit property proposed by the 13
3737 authority to be developed on Dorrance street in the city of Providence that is expected to include 14
3838 an enclosed intermodal transit center, indoor parking, and authority administrative space, adjacent 15
3939 and/or integrated transit-oriented development, and related infrastructure. 16
4040 (3)(4) “Municipality” means any town, city, or subdivision thereof. 17
4141 (4)(5) “Transit property” means and includes any property, whether real or personal, and 18
4242
4343
4444 LC002390 - Page 2 of 9
4545 any apparatus and equipment used or useful in the operation of a motor bus, water, or rail passenger 1
4646 transportation line or system, and includes any rights or franchises to operate any passenger 2
4747 transportation line or system, but it does not include other property or assets. 3
4848 39-18-3. Purposes of the authority. 4
4949 (a) It shall be the purposes of the authority to: 5
5050 (1) Provide public transit services that meet mobility needs of the people of the state, 6
5151 including the elderly and disabled; 7
5252 (2) Increase access to employment opportunities; 8
5353 (3) Connect different modes of public transportation, including rail, air, and water services; 9
5454 (4) Promote community design that features public transit services as defining elements of 10
5555 a community; 11
5656 (5) Facilitate energy conservation and efficient energy use in the transportation sector by 12
5757 providing public transit services; and 13
5858 (6) Mitigate traffic congestion and enhance air quality.; and 14
5959 (7) Facilitate transit-oriented development in support of the development of transit 15
6060 properties. 16
6161 (b) It shall further be the purpose of the authority to own and operate a mass motor bus, 17
6262 water, or rail passenger transportation system and to manage, to coordinate, and to perform vehicle 18
6363 maintenance for a state paratransit system. Whenever any operator of a mass motor bus, water, or 19
6464 rail passenger transportation system files with the public utilities administrator a petition to 20
6565 discontinue any service, it is the purpose and function of the authority to determine if it is in the 21
6666 public interest to discontinue that service. If it is determined that it is not in the public interest to 22
6767 discontinue that service, the authority is authorized and empowered to acquire all or any part of the 23
6868 transit property, or any interest therein, of the system. 24
6969 39-18-7. Bonds. 25
7070 (a)(1) The authority is hereby authorized to provide, by resolution, for the issuance at one 26
7171 time, or from time to time, of bonds of the authority for any of its purposes. The bonds may be 27
7272 general obligations of the authority or special obligations payable only from particular funds. The 28
7373 bonds of each issue shall be dated, shall bear interest at such rate or rates as may be determined by 29
7474 the authority, and shall mature at such time or times not exceeding thirty (30) years from their date 30
7575 or dates as may be determined by the authority, and may be made redeemable before maturity, at 31
7676 the option of the authority, at such price or prices and under such terms and conditions as may be 32
7777 fixed by the authority prior to the issuance of the bonds. Temporary notes of the authority may be 33
7878 issued and refunded from time to time in anticipation of revenues to be received by the authority 34
7979
8080
8181 LC002390 - Page 3 of 9
8282 or in anticipation of the receipt of federal, state, or local grants or other aid. Temporary notes shall 1
8383 mature no later than thirteen (13) months from their respective dates or six (6) months after the 2
8484 expected date of receipt of the grants or aid, whichever shall be later, and may be renewed from 3
8585 time to time in anticipation of the receipt of additional federal, state, or local grants or other aid. 4
8686 Temporary notes shall be in an amount not exceeding the limitations imposed by the last paragraph 5
8787 of this section. The authority shall determine the form of the bonds, including any interest coupons 6
8888 to be attached thereto, and shall fix the denomination or denominations of the bonds and the place 7
8989 or places of payment of the principal and interest which may be at any bank or trust company within 8
9090 or without the state. The bonds shall be signed by the chairperson of the authority or shall bear his 9
9191 or her facsimile signature, and the official seal of the authority, or a facsimile thereof, shall be 10
9292 impressed or imprinted thereupon and attested by the secretary of the authority, and any coupons 11
9393 attached to the bonds shall bear the facsimile signature of the chairperson of the authority. In case 12
9494 any officer whose signature or facsimile of whose signature shall appear on any bonds or coupons 13
9595 shall cease to be the officer before the delivery of the bonds, the signature or the facsimile shall, 14
9696 nevertheless, be valid and sufficient for all purposes the same as if he or she had remained in office 15
9797 until delivery. The bonds may be issued in coupon or in registered form, or both, as the authority 16
9898 may determine, and provision may be made for the registration of any coupon bonds as to principal 17
9999 alone, and also as to both principal and interest, for the reconversion into coupon bonds of any 18
100100 bonds registered as to both principal and interest, and for the interchange of registered and coupon 19
101101 bonds. The authority may sell such bonds in such manner either at public or private sale and for the 20
102102 price as it may determine will best effect the purposes of this chapter. 21
103103 (2) Bonds, temporary notes or other obligations of the authority issued for supported transit 22
104104 projects (including any bonds issued to refinance or refund such bonds) may be authorized pursuant 23
105105 to subsection (a)(1) of this section; provided, however, such bonds shall mature at such time or 24
106106 times not exceeding forty (40) years from their date or dates as may be determined by the authority; 25
107107 and provided further, temporary notes or other short term obligations of the authority issued for 26
108108 supported transit projects in anticipation of revenues to be received by the authority or in 27
109109 anticipation of the receipt of federal, state, or local grants, loans or other aid shall be entitled to a 28
110110 maturity extending to the maximum period of time within which federal or state grant or loan 29
111111 proceeds may be payable under such applicable federal or state programs, and shall not be subject 30
112112 to the limitations imposed by subsection (d) of this section In connection with the development and 31
113113 financing of a supported transit project, the authority’s powers and duties under this chapter, 32
114114 including, without limitation, under §§ 39-18-4 and 39-18-6, shall apply to transit-oriented 33
115115 development in the same manner as they apply to transit properties. No bonds, temporary notes or 34
116116
117117
118118 LC002390 - Page 4 of 9
119119 other short term obligations of the authority issued for supported transit projects shall be issued by 1
120120 the authority unless, at the time of the adoption by the authority of the resolution authorizing the 2
121121 issuance of the bonds, temporary notes or other short term obligations, the authority shall have 3
122122 received from the general manager or chief financial officer of the authority a certificate which 4
123123 shall describe with reasonable particularity the scope of the supported transit project, including the 5
124124 elements thereof, calculations of principal and interest payments and of anticipated revenues, 6
125125 including federal, state, or local grants or other aid and the terms thereof, and anticipated 7
126126 expenditures relating thereto. A copy of the certificate shall be furnished to the governor prior to 8
127127 the issuance of the bonds, temporary notes or other short term obligations described in the 9
128128 certificate. 10
129129 (b) The proceeds of the bonds of each issue shall be disbursed in the manner and under 11
130130 restrictions, if any, as the authority may provide in the resolution authorizing the issuance of the 12
131131 bonds or in the trust agreement described in § 39-18-8 securing the bonds. 13
132132 (c) Prior to the preparation of definitive bonds, the authority may, under like restrictions, 14
133133 issue interim receipts or temporary bonds, with or without coupons, exchangeable for definitive 15
134134 bonds when the bonds shall have been executed and are available for delivery. The authority may 16
135135 also provide for the replacement of any bonds that shall become mutilated or shall be destroyed or 17
136136 lost. Except as provided in the following paragraph, bonds may be issued under the provisions of 18
137137 this chapter without obtaining the consent of any department, division, commission, board, bureau, 19
138138 or agency of the state, and without any other proceedings or the happening of any other conditions 20
139139 or things than those proceedings, conditions, or things that are specifically required by this chapter. 21
140140 (d) No Except as provided in subsection (a)(2) of this section, no bonds shall be issued by 22
141141 the authority unless, at the time of the adoption by the authority of the resolution authorizing the 23
142142 issuance of the bonds, the authority shall have received from the general manager or chief financial 24
143143 officer of the authority a certificate indicating that the payments of principal (including any 25
144144 payments made to a reserve fund other than payments made from bond proceeds) and interest on 26
145145 the bonds, together with the payments of the principal and interest on all other then outstanding 27
146146 bonds of the authority, will not exceed during any fiscal year of the authority eighty percent (80%) 28
147147 of the revenues (including, without limitation, grants and other aid) of the authority during the fiscal 29
148148 year. In determining the amount of the principal and interest payments to be made during any fiscal 30
149149 year, there shall be deducted any payments to be made from a reserve fund previously established 31
150150 to provide for the payments. The certificate shall be based upon the reasonable expectations (both 32
151151 as to the amount of revenues to be received by the authority and as to the maximum amount of any 33
152152 variable payments to be made on the bonds) of the officer of the authority executing the certificate 34
153153
154154
155155 LC002390 - Page 5 of 9
156156 at the time the certificate is delivered. The certificate shall describe with reasonable particularity 1
157157 the calculations of principal and interest payments and of anticipated revenues upon which the 2
158158 certificate is based. A copy of the certificate shall be furnished to the governor prior to the issuance 3
159159 of the bonds described in the certificate and, in the case of any bonds whose issuance, according to 4
160160 the certificate, is expected to result in the aggregate amount of principal and interest payments 5
161161 (calculated as above) on the bonds and all then outstanding bonds of the authority exceeding in any 6
162162 fiscal year of the authority fifty percent (50%) of the revenues of the authority, the bonds shall not 7
163163 be issued unless the governor shall have approved the issuance or not disapproved the issuance 8
164164 within thirty (30) days of the receipt of the certificate. Approval or disapproval of any bond issue 9
165165 by the governor shall be evidenced by delivery to the authority of a certificate approving or 10
166166 disapproving the issue or any part thereof. 11
167167 SECTION 2. Chapter 39-18 of the General Laws entitled "Rhode Island Public Transit 12
168168 Authority" is hereby amended by adding thereto the following sections: 13
169169 39-18-25. Design build/P3 authorization. 14
170170 (a) Definitions. As used in this chapter, unless the context otherwise indicates: 15
171171 (1) “Best value” means the highest overall value to the authority, considering quality and 16
172172 cost. 17
173173 (2) “Design-build contracting” means a method of project delivery where a single private 18
174174 entity is contractually responsible to perform design, construction, and related services. 19
175175 (3) “Major participant” means any entity that would have a major role in the design and 20
176176 construction of a project as specified by the authority in the request for proposals. 21
177177 (4) “Private entity” means any corporation, general partnership, limited liability company, 22
178178 limited partnership, joint venture, business trust, public benefit corporation, nonprofit entity or 23
179179 other business entity. 24
180180 (5) “Progressive design-build contracting” means a method of project delivery where a 25
181181 private entity performs design, construction and related services for the authority in a phased 26
182182 manner, based on a preliminary design that is developed with the authority on a collaborative basis. 27
183183 (6) “Project” means a supported transit project or any other capital project, and related 28
184184 services by a private entity, including, without limitation, design, financing, construction, 29
185185 development, operation, maintenance, management and/or leasing, or any combination of the 30
186186 foregoing, procured by the authority under this section (including without limitation the Dorrance 31
187187 street transit center project). 32
188188 (7) “Proposal” means a proposal by the proposer in connection with a project, in 33
189189 accordance with the requirements of a request-for-proposals that, after review, evaluation, 34
190190
191191
192192 LC002390 - Page 6 of 9
193193 negotiation and documentation may lead to an agreement with the authority. 1
194194 (8) “Proposer” means any private entity that submits a proposal in accordance with the 2
195195 requirements of a request-for-proposals. 3
196196 (9) “Public-private partnership” or “P3” means an alternative project delivery mechanism 4
197197 that may be used by the authority to facilitate a private entity’s participation in a project, including 5
198198 in its design, financing, construction, development, operation, maintenance, management, and/or 6
199199 leasing (or any combination of the foregoing). 7
200200 (10) “P3 agreement” means a contract or other agreement between the authority and a 8
201201 private entity to undertake a project as a public-private partnership and that sets forth rights and 9
202202 obligations of the authority and the private entity. 10
203203 (11) “Quality” means those features that the authority determines are most important to a 11
204204 project. Quality criteria may include quality of design, constructability, long-term maintenance 12
205205 costs, aesthetics, local impacts, traveler and other user costs, service life, time to construct, and 13
206206 other factors that the authority considers to be in the best interests of the authority. 14
207207 39-18-26. Authorization. 15
208208 (a) Notwithstanding any other provision of law, the authority may use design-build 16
209209 contracting, including progressive design-build contracting, and/or a public-private partnership to 17
210210 deliver a project. The authority may evaluate and select proposals on either a best-value or a low-18
211211 bid basis. If the scope of work requires substantial engineering judgment, the quality of which may 19
212212 vary significantly as determined by the authority, then the basis of award shall be best-value. 20
213213 (b) The authority shall identify those projects it believes are candidates for design-build 21
214214 contracting, including progressive design-build contracting, or a public-private partnership, 22
215215 including, without limitation, those involving extraordinary circumstances, such as emergency 23
216216 work, unscheduled projects, or funding shortfalls. 24
217217 (c) The authority retains the authority to terminate the procurement process at any time, to 25
218218 reject any proposal, to waive technicalities, or to advertise for new proposals if the authority 26
219219 determines that it is in the best interests of the state. 27
220220 39-18-27. Prequalification. 28
221221 (a) The authority may require that entities be prequalified to submit proposals with respect 29
222222 to a project. If the authority requires prequalification, it shall; 30
223223 (1) Give public notice requesting qualifications from interested private entities 31
224224 electronically through the authority’s publicly accessible website or through advertisements in 32
225225 newspapers; and 33
226226 (2) Make available a request-for-qualifications package to all private entities requesting 34
227227
228228
229229 LC002390 - Page 7 of 9
230230 one in accordance with the notice. The authority may alternatively make any such request-for-1
231231 qualifications package available to all interested private entities electronically through the 2
232232 authority’s publicly accessible website. 3
233233 (b) Interested private entities shall supply for themselves, and for all major participants, all 4
234234 information required by the authority under any such request-for-qualifications. The authority may 5
235235 investigate and verify all information received. All financial information, trade secrets, or other 6
236236 information customarily regarded as confidential business information submitted to the authority 7
237237 shall be confidential. 8
238238 (c) The authority shall evaluate and rate all private entities submitting a conforming 9
239239 statement of qualifications in response to a request-for-qualifications and select the most qualified 10
240240 private entities to receive a request-for-proposals. The authority may select any number of private 11
241241 entities, except that if the authority fails to prequalify at least two (2) private entities, the authority 12
242242 shall readvertise, or cancel, the project procurement. 13
243243 39-18-28. Request for proposals. 14
244244 The authority may issue a request-for-proposals with respect to a project, which shall set 15
245245 forth the scope of work, design parameters, construction requirements, time constraints, and all 16
246246 other requirements that have a substantial impact on the cost or quality of a project and the project 17
247247 development process, as determined by the authority. The authority need not issue a request-for-18
248248 qualifications prior to issuing a request-for-proposals. The request-for-proposals shall include the 19
249249 criteria for conforming proposals. For projects to be awarded on a best-value basis, the scoring 20
250250 process and quality criteria must also be contained in the request-for-proposals. In the authority’s 21
251251 discretion, the request-for-proposals may provide for a process, including the establishment of a 22
252252 committee to review proposals, for the authority to review conceptual technical elements of each 23
253253 proposal before full proposal submittal for the purposes of identifying defects that would cause 24
254254 rejection of the proposal as nonresponsive. All such conceptual submittals and responses shall be 25
255255 confidential until execution of the relevant contract, or the cancellation of the procurement. The 26
256256 request-for-proposals may also provide for a stipend upon specified terms to unsuccessful 27
257257 proposers that submit proposals conforming to all request-for-proposal requirements. 28
258258 39-18-29. Low-bid award. 29
259259 If the basis of the award of responsive proposals is low-bid, then each proposal, including 30
260260 the price or prices, shall be sealed by the proposer and submitted to the authority as one complete 31
261261 package. The authority shall award the design-build contract to the proposer that submits a 32
262262 responsive proposal with the lowest cost, if the proposal meets all request-for-proposals 33
263263 requirements. 34
264264
265265
266266 LC002390 - Page 8 of 9
267267 39-18-30. Best-value award. 1
268268 (a) If the basis of the award of responsive proposals is best-value, then each proposal shall 2
269269 be submitted by the proposer to the authority in two (2) separate components: a sealed technical 3
270270 proposal and a sealed price proposal. These two (2) components shall be submitted simultaneously. 4
271271 The authority shall first open, evaluate, and score each responsive technical proposal, based on the 5
272272 quality criteria contained in the request-for-proposals. The request-for-proposals may provide that 6
273273 the range between the highest and lowest quality scores of responsive technical proposals must be 7
274274 limited to an amount certain. During this evaluation process, the price proposals shall remain 8
275275 sealed, and all technical proposals shall be confidential. 9
276276 (b) After completion of the evaluation of the technical proposals, the authority shall open 10
277277 and review each price proposal. The authority shall develop a system for assessing the cost and 11
278278 quality criteria. The authority shall award the contract to the proposer with the proposal 12
279279 representing the best value to the authority. 13
280280 SECTION 3. This act shall take effect upon passage, and shall apply with respect to any 14
281281 contract entered into by the authority after such effective date. 15
282282 16
283283 ========
284284 LC002390
285285 ========
286286
287287
288288 LC002390 - Page 9 of 9
289289 EXPLANATION
290290 BY THE LEGISLATIVE COUNCIL
291291 OF
292292 A N A C T
293293 RELATING TO PUBLIC UTILITIES AND CARRIERS -- RHODE ISLAND PUBLIC
294294 TRANSIT AUTHORITY
295295 ***
296296 This act would authorize the Rhode Island public transit authority to enter into certain 1
297297 projects and procure related services including the Dorrance street transit center, using design build 2
298298 contracting and progressive design build contracting. 3
299299 This act would take effect upon passage, and would apply with respect to any contract 4
300300 entered into by the authority after such effective date. 5
301301 ========
302302 LC002390
303303 ========