H-1832.6                  _______________________________________________

 

                                             SUBSTITUTE HOUSE BILL 1635

                              _______________________________________________

 

State of Washington                              53rd Legislature                             1993 Regular Session

 

By House Committee on Transportation (originally sponsored by Representatives Zellinsky, Schmidt, King, Ballard, Dorn, Sehlin, Heavey, Kremen, Brough, Sheldon, Wood, Jones, Jacobsen, J. Kohl, R. Johnson, Karahalios, Holm, Scott, Orr, Kessler, Pruitt, R. Fisher, Wang, Springer, Quall, Conway, Anderson, Shin, Veloria, Leonard, Campbell, R. Meyers, Ballasiotes, Vance, Foreman, Patterson, Valle, Johanson, Miller, Chandler, G. Fisher, Roland, Linville and Cothern)

 

Read first time 03/08/93.

 

Establishing procedures for bidding construction of jumbo ferries.


          AN ACT Relating to jumbo ferry construction; adding new sections to chapter 47.60 RCW; and declaring an emergency.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

          NEW SECTION.  Sec. 1.  Whenever the department is authorized to construct one or more new jumbo ferry vessels under this chapter, it shall publish a notice of its intent once a week for at least two consecutive weeks in at least one trade paper and one other paper, both of general circulation in the state.  The notice shall contain, but not be limited to, the following information:

          (1) The number of jumbo ferry vessels to be constructed and the proposed delivery date for each vessel;

          (2) A short summary of the requirements for prequalification of bidders including a statement that prequalification is a prerequisite to consideration by the department of any bid, and a statement that the bidder shall submit its bid for the vessel in compliance with the plans and specifications supplied by the state; and

          (3) An address and telephone number that may be used to obtain the bid package.

 

          NEW SECTION.  Sec. 2.  The department shall send to any firm that requests it bidding documents specifying the criteria for the jumbo ferry vessels.  The bid documents shall include, but not be limited to, the following information:

          (1) Solicitation of a bid to deliver to the department vessels that are constructed as specified by the plans and specifications provided by the department;

          (2) A requirement that bids submitted should include one bid for the construction of three vessels;

          (3) The proposed delivery date for each vessel, the port on Puget Sound where delivery will be taken, and the location where acceptance sea trials will be held;

          (4) The amount and form of required contract security under RCW 39.08.100;

          (5) A copy of the vessel construction contract that will be signed by the successful bidder;

          (6) The date by which bids for ferry vessel construction must be received by the department in order to be considered;

          (7) A requirement that the contractor comply with all applicable laws, rules, and regulations including, but not limited to those pertaining to the environment, worker health and safety, and prevailing wages;

          (8) A requirement that the vessels be constructed within the boundaries of the state of Washington except that equipment furnished by the state and components, products, and systems that are standard manufactured items are not subject to the in-state requirement under this subsection.  For the purposes of this section, "constructed" means:  The fabrication, by the joining together by welding or fastening of all steel parts from which the total vessel is constructed, including, but not limited to, all shell frames, longitudinals, bulkheads, webs, piping runs, wire ways, and ducting.  "Constructed" also means the installation of all components and systems, including, but not limited to, equipment and machinery, castings, electrical, electronics, deck covering, lining, paint and joiner work, required by the contract.  "Constructed" also means the interconnection of all equipment, machinery, and services, such as piping, wiring, and ducting;

          (9) A requirement that all warranty work on the vessel be performed within the boundaries of the state of Washington, insofar as practicable;

          (10) A statement that any bid submitted constitutes an offer and remains open until ninety days after the deadline for submitting bids, unless the firm submitting it withdraws it by formal written notice that is received by the department before the date and time specified for opening of the bids, together with an explanation of the requirement that all bids submitted be accompanied by a bid deposit in the amount of five percent of the bid amount; and

          (11) A listing of all equipment to be furnished by the state.

 

          NEW SECTION.  Sec. 3.  The department shall provide in the bidding documents a list of all components, products, and systems that are standard manufactured items that will be produced in the state and those components, products, and systems that are standard manufactured items that will be produced out-of-state.

 

          NEW SECTION.  Sec. 4.  If the lowest responsible bid exceeds by more than five percent the engineer's estimate, the department shall request the legislative transportation committee to perform and complete within sixty days after the bid opening, an independent review of the engineer's estimate and the bidding results to determine the appropriateness of the original engineer's estimate.  If the legislative transportation committee confirms the original engineer's estimate it becomes the confirmed estimate.  If the legislative transportation committee's review determines that the engineer's estimate should be adjusted to reflect appropriate and current information, the department shall evaluate the lowest responsible bid against the revised engineer's estimate.  If the lowest responsible bid does not exceed five percent of the revised engineer's estimate, the department shall follow the procedures established under sections 1 through 7 of this act.  If the lowest responsible bid exceeds by more than five percent the confirmed or revised engineer's estimate, the department shall solicit new bids, retaining the in-state requirement established in section 2(8) of this act.  If the lowest responsible bid again exceeds the confirmed or revised engineer's estimate by more than five percent, the department shall rebid the project, eliminating the in-state requirement.

 

          NEW SECTION.  Sec. 5.  (1) Upon concluding its evaluation, the department may:

          (a) Select the firm submitting the lowest responsible bid for the construction of new jumbo ferries, taking into consideration the requirements stated in the bid documents and rank the remaining firms, judging them by the same standards;

          (b) Reject all bids not in compliance with the requirements contained in the bid documents;

          (c) Reject all bids.

          (2) The department shall immediately notify those firms that were not selected as the firm presenting the lowest responsible bid.  The department's selection is conclusive unless appeal from it is taken by an aggrieved firm to the superior court of Thurston county within five days after receiving notice of the department's final decision.  The appeal shall be heard summarily within ten days after it is taken and on five days' notice to the department.  The court shall hear any appeal on the administrative record that was before the department.  The court may affirm the decision of the department, or it may reverse the decision if it determines the action of the department was arbitrary or capricious.

 

          NEW SECTION.  Sec. 6.  (1) Upon selecting the firm that has submitted the lowest responsible bid for the construction of new jumbo ferries, and ranking the remaining firms in order of preference, the department shall:

          (a) Sign a contract with the firm presenting the lowest responsible bid; or

          (b) If a final agreement satisfactory to the department cannot be signed with the firm presenting the lowest responsible bid, the department may sign a contract with the firm ranked next lowest bidder.  If necessary, the department may repeat this procedure with each firm in order until the list of firms has been exhausted, or reject all bids.

          (2) In developing a contract for the construction of ferry vessels, the department may, subject to the provisions of RCW 39.25.020, authorize the use of foreign-made materials and components, products, and systems that are standard manufactured items in the construction of ferries in order to minimize costs.

 

          NEW SECTION.  Sec. 7.  Bids submitted by firms under this section constitute an offer and shall remain open for ninety days.  When submitted, each bid shall be accompanied by a deposit in cash, certified check, cashier's check, or surety bond in an amount equal to five percent of the bid amount, and no bid may be considered unless the deposit is enclosed.  If the department awards a contract to a firm and the firm fails to enter into a contract or fails to furnish a satisfactory contract security as required by RCW 39.08.100, its deposit shall be forfeited to the state and be deposited by the state treasurer to the credit of the Puget Sound capital construction account.  Upon the execution of a ferry construction contract for the construction of new jumbo ferries, all bid deposits shall be returned.

 

          NEW SECTION.  Sec. 8.  Sections 1 through 7 of this act are each added to chapter 47.60 RCW.

 

          NEW SECTION.  Sec. 9.  This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately.

 


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