Relating to the construction manager-at-risk and design-build methods of project delivery for a public work contract.
Impact
The legislative changes proposed in HB 2148 intend to modernize the way public work contracts are administered. By emphasizing preemptive risk management—particularly concerning trade contractors' defaults—the bill establishes a framework that allows for clearer cost determinations related to construction projects. As such, the potential for disputes over cost assessments could be reduced, which may encourage more firms to participate in public contracting. Furthermore, the bill enforces the principle that proposed costs are allowable for contract calculations, fostering transparency between contractors and governmental entities.
Summary
House Bill 2148 focuses on the construction manager-at-risk and design-build methods related to public work contracts. The bill seeks to enhance the efficiency and clarity of these project delivery methods by amending sections of the Government Code. The revisions include stipulations on how governmental entities request proposals and qualifications from construction professionals, ensuring that cost management protocols are established from the outset. This approach aims to mitigate risks associated with contractor defaults and streamline the bidding process, thus providing a more competitive environment within the public construction sector.
Contention
While the bill is designed to improve project outcomes and protect public interests, it may also raise concerns among various stakeholders in the construction industry. Critics argue that the shifting of certain risks onto the construction manager-at-risk could lead to increased costs for taxpayers if those costs are passed down. Moreover, the provision allowing design-build firms to perform portions of construction work raises questions about competitive bidding practices. Stakeholders will likely debate the balance between efficiency in project delivery and the safeguarding of fair competition in obtaining public contracts.
Texas Constitutional Statutes Affected
Government Code
Chapter 2269. Contracting And Delivery Procedures For Construction Projects
Relating to limitations on the use of workers' compensation insurance experience modifier values in soliciting and awarding public construction contracts.
Relating to the creation of a revolving loan program to fund the purchase by historically underutilized businesses of certain bonds required for public work contracts.
Relating to the creation of a revolving loan program to fund the purchase by historically underutilized businesses of certain bonds required for public work contracts.