Rhode Island 2023 Regular Session

Rhode Island Senate Bill S1093 Compare Versions

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55 2023 -- S 1093
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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: Senators Miller, and Ruggerio
1818 Date Introduced: June 02, 2023
1919 Referred To: Senate Housing & Municipal Government
2020 (RIPTA)
2121
2222 It is enacted by the General Assembly as follows:
2323 SECTION 1. Sections 39-18-1, 39-18-3 and 39-18-7 of the General Laws in Chapter 39-1
2424 18 entitled "Rhode Island Public Transit Authority" are hereby amended to read as follows: 2
2525 39-18-1. Definitions. 3
2626 As used in this chapter, the following words and terms shall have the following meanings 4
2727 unless the context shall indicate another or different meaning: 5
2828 (1) “Authority” means the Rhode Island public transit authority created by § 39-18-2, or, 6
2929 if the authority shall be abolished, the board, body, or commission succeeding to the principal 7
3030 functions thereof, or upon whom the powers of the authority given by this chapter shall be given 8
3131 by law. 9
3232 (2) “Bonds” means bonds, notes, or other evidences of indebtedness, including temporary 10
3333 notes of the authority issued in anticipation of revenues to be received by the authority or in 11
3434 anticipation of the receipt of federal, state, or local grants or other aid. 12
3535 (3) “Dorrance street transit center project” means a transit property proposed by the 13
3636 authority to be developed on Dorrance street in the city of Providence that is expected to include 14
3737 an enclosed intermodal transit center, indoor parking, and authority administrative space, adjacent 15
3838 and/or integrated transit-oriented development, and related infrastructure. 16
3939 (3)(4) “Municipality” means any town, city, or subdivision thereof. 17
4040 (4)(5) “Transit property” means and includes any property, whether real or personal, and 18
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4444 any apparatus and equipment used or useful in the operation of a motor bus, water, or rail passenger 1
4545 transportation line or system, and includes any rights or franchises to operate any passenger 2
4646 transportation line or system, but it does not include other property or assets. 3
4747 39-18-3. Purposes of the authority. 4
4848 (a) It shall be the purposes of the authority to: 5
4949 (1) Provide public transit services that meet mobility needs of the people of the state, 6
5050 including the elderly and disabled; 7
5151 (2) Increase access to employment opportunities; 8
5252 (3) Connect different modes of public transportation, including rail, air, and water services; 9
5353 (4) Promote community design that features public transit services as defining elements of 10
5454 a community; 11
5555 (5) Facilitate energy conservation and efficient energy use in the transportation sector by 12
5656 providing public transit services; and 13
5757 (6) Mitigate traffic congestion and enhance air quality.; and 14
5858 (7) Facilitate transit-oriented development in support of the development of transit 15
5959 properties. 16
6060 (b) It shall further be the purpose of the authority to own and operate a mass motor bus, 17
6161 water, or rail passenger transportation system and to manage, to coordinate, and to perform vehicle 18
6262 maintenance for a state paratransit system. Whenever any operator of a mass motor bus, water, or 19
6363 rail passenger transportation system files with the public utilities administrator a petition to 20
6464 discontinue any service, it is the purpose and function of the authority to determine if it is in the 21
6565 public interest to discontinue that service. If it is determined that it is not in the public interest to 22
6666 discontinue that service, the authority is authorized and empowered to acquire all or any part of the 23
6767 transit property, or any interest therein, of the system. 24
6868 39-18-7. Bonds. 25
6969 (a)(1) The authority is hereby authorized to provide, by resolution, for the issuance at one 26
7070 time, or from time to time, of bonds of the authority for any of its purposes. The bonds may be 27
7171 general obligations of the authority or special obligations payable only from particular funds. The 28
7272 bonds of each issue shall be dated, shall bear interest at such rate or rates as may be determined by 29
7373 the authority, and shall mature at such time or times not exceeding thirty (30) years from their date 30
7474 or dates as may be determined by the authority, and may be made redeemable before maturity, at 31
7575 the option of the authority, at such price or prices and under such terms and conditions as may be 32
7676 fixed by the authority prior to the issuance of the bonds. Temporary notes of the authority may be 33
7777 issued and refunded from time to time in anticipation of revenues to be received by the authority 34
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8181 or in anticipation of the receipt of federal, state, or local grants or other aid. Temporary notes shall 1
8282 mature no later than thirteen (13) months from their respective dates or six (6) months after the 2
8383 expected date of receipt of the grants or aid, whichever shall be later, and may be renewed from 3
8484 time to time in anticipation of the receipt of additional federal, state, or local grants or other aid. 4
8585 Temporary notes shall be in an amount not exceeding the limitations imposed by the last paragraph 5
8686 of this section. The authority shall determine the form of the bonds, including any interest coupons 6
8787 to be attached thereto, and shall fix the denomination or denominations of the bonds and the place 7
8888 or places of payment of the principal and interest which may be at any bank or trust company within 8
8989 or without the state. The bonds shall be signed by the chairperson of the authority or shall bear his 9
9090 or her facsimile signature, and the official seal of the authority, or a facsimile thereof, shall be 10
9191 impressed or imprinted thereupon and attested by the secretary of the authority, and any coupons 11
9292 attached to the bonds shall bear the facsimile signature of the chairperson of the authority. In case 12
9393 any officer whose signature or facsimile of whose signature shall appear on any bonds or coupons 13
9494 shall cease to be the officer before the delivery of the bonds, the signature or the facsimile shall, 14
9595 nevertheless, be valid and sufficient for all purposes the same as if he or she had remained in office 15
9696 until delivery. The bonds may be issued in coupon or in registered form, or both, as the authority 16
9797 may determine, and provision may be made for the registration of any coupon bonds as to principal 17
9898 alone, and also as to both principal and interest, for the reconversion into coupon bonds of any 18
9999 bonds registered as to both principal and interest, and for the interchange of registered and coupon 19
100100 bonds. The authority may sell such bonds in such manner either at public or private sale and for the 20
101101 price as it may determine will best effect the purposes of this chapter. 21
102102 (2) Bonds, temporary notes or other obligations of the authority issued for supported transit 22
103103 projects (including any bonds issued to refinance or refund such bonds) may be authorized pursuant 23
104104 to subsection (a)(1) of this section; provided, however, such bonds shall mature at such time or 24
105105 times not exceeding forty (40) years from their date or dates as may be determined by the authority; 25
106106 and provided further, temporary notes or other short term obligations of the authority issued for 26
107107 supported transit projects in anticipation of revenues to be received by the authority or in 27
108108 anticipation of the receipt of federal, state, or local grants, loans or other aid shall be entitled to a 28
109109 maturity extending to the maximum period of time within which federal or state grant or loan 29
110110 proceeds may be payable under such applicable federal or state programs, and shall not be subject 30
111111 to the limitations imposed by subsection (d) of this section In connection with the development and 31
112112 financing of a supported transit project, the authority’s powers and duties under this chapter, 32
113113 including, without limitation, under §§ 39-18-4 and 39-18-6, shall apply to transit-oriented 33
114114 development in the same manner as they apply to transit properties. No bonds, temporary notes or 34
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118118 other short term obligations of the authority issued for supported transit projects shall be issued by 1
119119 the authority unless, at the time of the adoption by the authority of the resolution authorizing the 2
120120 issuance of the bonds, temporary notes or other short term obligations, the authority shall have 3
121121 received from the general manager or chief financial officer of the authority a certificate which 4
122122 shall describe with reasonable particularity the scope of the supported transit project, including the 5
123123 elements thereof, calculations of principal and interest payments and of anticipated revenues, 6
124124 including federal, state, or local grants or other aid and the terms thereof, and anticipated 7
125125 expenditures relating thereto. A copy of the certificate shall be furnished to the governor prior to 8
126126 the issuance of the bonds, temporary notes or other short term obligations described in the 9
127127 certificate. 10
128128 (b) The proceeds of the bonds of each issue shall be disbursed in the manner and under 11
129129 restrictions, if any, as the authority may provide in the resolution authorizing the issuance of the 12
130130 bonds or in the trust agreement described in § 39-18-8 securing the bonds. 13
131131 (c) Prior to the preparation of definitive bonds, the authority may, under like restrictions, 14
132132 issue interim receipts or temporary bonds, with or without coupons, exchangeable for definitive 15
133133 bonds when the bonds shall have been executed and are available for delivery. The authority may 16
134134 also provide for the replacement of any bonds that shall become mutilated or shall be destroyed or 17
135135 lost. Except as provided in the following paragraph, bonds may be issued under the provisions of 18
136136 this chapter without obtaining the consent of any department, division, commission, board, bureau, 19
137137 or agency of the state, and without any other proceedings or the happening of any other conditions 20
138138 or things than those proceedings, conditions, or things that are specifically required by this chapter. 21
139139 (d) No Except as provided in subsection (a)(2) of this section, no bonds shall be issued by 22
140140 the authority unless, at the time of the adoption by the authority of the resolution authorizing the 23
141141 issuance of the bonds, the authority shall have received from the general manager or chief financial 24
142142 officer of the authority a certificate indicating that the payments of principal (including any 25
143143 payments made to a reserve fund other than payments made from bond proceeds) and interest on 26
144144 the bonds, together with the payments of the principal and interest on all other then outstanding 27
145145 bonds of the authority, will not exceed during any fiscal year of the authority eighty percent (80%) 28
146146 of the revenues (including, without limitation, grants and other aid) of the authority during the fiscal 29
147147 year. In determining the amount of the principal and interest payments to be made during any fiscal 30
148148 year, there shall be deducted any payments to be made from a reserve fund previously established 31
149149 to provide for the payments. The certificate shall be based upon the reasonable expectations (both 32
150150 as to the amount of revenues to be received by the authority and as to the maximum amount of any 33
151151 variable payments to be made on the bonds) of the officer of the authority executing the certificate 34
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155155 at the time the certificate is delivered. The certificate shall describe with reasonable particularity 1
156156 the calculations of principal and interest payments and of anticipated revenues upon which the 2
157157 certificate is based. A copy of the certificate shall be furnished to the governor prior to the issuance 3
158158 of the bonds described in the certificate and, in the case of any bonds whose issuance, according to 4
159159 the certificate, is expected to result in the aggregate amount of principal and interest payments 5
160160 (calculated as above) on the bonds and all then outstanding bonds of the authority exceeding in any 6
161161 fiscal year of the authority fifty percent (50%) of the revenues of the authority, the bonds shall not 7
162162 be issued unless the governor shall have approved the issuance or not disapproved the issuance 8
163163 within thirty (30) days of the receipt of the certificate. Approval or disapproval of any bond issue 9
164164 by the governor shall be evidenced by delivery to the authority of a certificate approving or 10
165165 disapproving the issue or any part thereof. 11
166166 SECTION 2. Chapter 39-18 of the General Laws entitled "Rhode Island Public Transit 12
167167 Authority" is hereby amended by adding thereto the following sections: 13
168168 39-18-25. Design build/P3 authorization. 14
169169 (a) Definitions. As used in this chapter, unless the context otherwise indicates: 15
170170 (1) “Best value” means the highest overall value to the authority, considering quality and 16
171171 cost. 17
172172 (2) “Design-build contracting” means a method of project delivery where a single private 18
173173 entity is contractually responsible to perform design, construction, and related services. 19
174174 (3) “Major participant” means any entity that would have a major role in the design and 20
175175 construction of a project as specified by the authority in the request for proposals. 21
176176 (4) “Private entity” means any corporation, general partnership, limited liability company, 22
177177 limited partnership, joint venture, business trust, public benefit corporation, nonprofit entity or 23
178178 other business entity. 24
179179 (5) “Progressive design-build contracting” means a method of project delivery where a 25
180180 private entity performs design, construction and related services for the authority in a phased 26
181181 manner, based on a preliminary design that is developed with the authority on a collaborative basis. 27
182182 (6) “Project” means a supported transit project or any other capital project, and related 28
183183 services by a private entity, including, without limitation, design, financing, construction, 29
184184 development, operation, maintenance, management and/or leasing, or any combination of the 30
185185 foregoing, procured by the authority under this section (including without limitation the Dorrance 31
186186 street transit center project). 32
187187 (7) “Proposal” means a proposal by the proposer in connection with a project, in 33
188188 accordance with the requirements of a request-for-proposals that, after review, evaluation, 34
189189
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192192 negotiation and documentation may lead to an agreement with the authority. 1
193193 (8) “Proposer” means any private entity that submits a proposal in accordance with the 2
194194 requirements of a request-for-proposals. 3
195195 (9) “Public-private partnership” or “P3” means an alternative project delivery mechanism 4
196196 that may be used by the authority to facilitate a private entity’s participation in a project, including 5
197197 in its design, financing, construction, development, operation, maintenance, management, and/or 6
198198 leasing (or any combination of the foregoing). 7
199199 (10) “P3 agreement” means a contract or other agreement between the authority and a 8
200200 private entity to undertake a project as a public-private partnership and that sets forth rights and 9
201201 obligations of the authority and the private entity. 10
202202 (11) “Quality” means those features that the authority determines are most important to a 11
203203 project. Quality criteria may include quality of design, constructability, long-term maintenance 12
204204 costs, aesthetics, local impacts, traveler and other user costs, service life, time to construct, and 13
205205 other factors that the authority considers to be in the best interests of the authority. 14
206206 39-18-26. Authorization. 15
207207 (a) Notwithstanding any other provision of law, the authority may use design-build 16
208208 contracting, including progressive design-build contracting, and/or a public-private partnership to 17
209209 deliver a project. The authority may evaluate and select proposals on either a best-value or a low-18
210210 bid basis. If the scope of work requires substantial engineering judgment, the quality of which may 19
211211 vary significantly as determined by the authority, then the basis of award shall be best-value. 20
212212 (b) The authority shall identify those projects it believes are candidates for design-build 21
213213 contracting, including progressive design-build contracting, or a public-private partnership, 22
214214 including, without limitation, those involving extraordinary circumstances, such as emergency 23
215215 work, unscheduled projects, or funding shortfalls. 24
216216 (c) The authority retains the authority to terminate the procurement process at any time, to 25
217217 reject any proposal, to waive technicalities, or to advertise for new proposals if the authority 26
218218 determines that it is in the best interests of the state. 27
219219 39-18-27. Prequalification. 28
220220 (a) The authority may require that entities be prequalified to submit proposals with respect 29
221221 to a project. If the authority requires prequalification, it shall; 30
222222 (1) Give public notice requesting qualifications from interested private entities 31
223223 electronically through the authority’s publicly accessible website or through advertisements in 32
224224 newspapers; and 33
225225 (2) Make available a request-for-qualifications package to all private entities requesting 34
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229229 one in accordance with the notice. The authority may alternatively make any such request-for-1
230230 qualifications package available to all interested private entities electronically through the 2
231231 authority’s publicly accessible website. 3
232232 (b) Interested private entities shall supply for themselves, and for all major participants, all 4
233233 information required by the authority under any such request-for-qualifications. The authority may 5
234234 investigate and verify all information received. All financial information, trade secrets, or other 6
235235 information customarily regarded as confidential business information submitted to the authority 7
236236 shall be confidential. 8
237237 (c) The authority shall evaluate and rate all private entities submitting a conforming 9
238238 statement of qualifications in response to a request-for-qualifications and select the most qualified 10
239239 private entities to receive a request-for-proposals. The authority may select any number of private 11
240240 entities, except that if the authority fails to prequalify at least two (2) private entities, the authority 12
241241 shall readvertise, or cancel, the project procurement. 13
242242 39-18-28. Request for proposals. 14
243243 The authority may issue a request-for-proposals with respect to a project, which shall set 15
244244 forth the scope of work, design parameters, construction requirements, time constraints, and all 16
245245 other requirements that have a substantial impact on the cost or quality of a project and the project 17
246246 development process, as determined by the authority. The authority need not issue a request-for-18
247247 qualifications prior to issuing a request-for-proposals. The request-for-proposals shall include the 19
248248 criteria for conforming proposals. For projects to be awarded on a best-value basis, the scoring 20
249249 process and quality criteria must also be contained in the request-for-proposals. In the authority’s 21
250250 discretion, the request-for-proposals may provide for a process, including the establishment of a 22
251251 committee to review proposals, for the authority to review conceptual technical elements of each 23
252252 proposal before full proposal submittal for the purposes of identifying defects that would cause 24
253253 rejection of the proposal as nonresponsive. All such conceptual submittals and responses shall be 25
254254 confidential until execution of the relevant contract, or the cancellation of the procurement. The 26
255255 request-for-proposals may also provide for a stipend upon specified terms to unsuccessful 27
256256 proposers that submit proposals conforming to all request-for-proposal requirements. 28
257257 39-18-29. Low-bid award. 29
258258 If the basis of the award of responsive proposals is low-bid, then each proposal, including 30
259259 the price or prices, shall be sealed by the proposer and submitted to the authority as one complete 31
260260 package. The authority shall award the design-build contract to the proposer that submits a 32
261261 responsive proposal with the lowest cost, if the proposal meets all request-for-proposals 33
262262 requirements. 34
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266266 39-18-30. Best-value award. 1
267267 (a) If the basis of the award of responsive proposals is best-value, then each proposal shall 2
268268 be submitted by the proposer to the authority in two (2) separate components: a sealed technical 3
269269 proposal and a sealed price proposal. These two (2) components shall be submitted simultaneously. 4
270270 The authority shall first open, evaluate, and score each responsive technical proposal, based on the 5
271271 quality criteria contained in the request-for-proposals. The request-for-proposals may provide that 6
272272 the range between the highest and lowest quality scores of responsive technical proposals must be 7
273273 limited to an amount certain. During this evaluation process, the price proposals shall remain 8
274274 sealed, and all technical proposals shall be confidential. 9
275275 (b) After completion of the evaluation of the technical proposals, the authority shall open 10
276276 and review each price proposal. The authority shall develop a system for assessing the cost and 11
277277 quality criteria. The authority shall award the contract to the proposer with the proposal 12
278278 representing the best value to the authority. 13
279279 SECTION 3. This act shall take effect upon passage, and shall apply with respect to any 14
280280 contract entered into by the authority after such effective date. 15
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287287 EXPLANATION
288288 BY THE LEGISLATIVE COUNCIL
289289 OF
290290 A N A C T
291291 RELATING TO PUBLIC UTILITIES AND CARRIERS -- RHODE ISLAND PUBLIC
292292 TRANSIT AUTHORITY
293293 ***
294294 This act would authorize the Rhode Island public transit authority to enter into certain 1
295295 projects and procure related services including the Dorrance street transit center, using design build 2
296296 contracting and progressive design build contracting. 3
297297 This act would take effect upon passage, and would apply with respect to any contract 4
298298 entered into by the authority after such effective date. 5
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