AN ACT Relating to the
jumbo ferry vessel propulsion system; adding a new section to chapter 47.60
RCW; creating new sections; and declaring an emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
NEW SECTION. Sec.
1. The legislature finds and
declares that:
A 1991 legislative
study, conducted by Booz.Allen, Hamilton and M. Rosenblatt and Son, examining
the Washington State Ferries' management of its vessel refurbishment and
construction program, resulted in recommendations for improvements and changes
in the vessel refurbishment and construction program. These legislatively
adopted recommendations encourage and support input by Washington State
Ferries' engineers in the development of refurbishment and new construction
project requirements.
The recommendations of
the Booz.Allen study have been applied to the construction of the Jumbo Class
Mark II ferries through the appointment of a Jumbo Class Mark II Steering
Committee comprised of current state ferry engineers responsible for the
design, operation, and maintenance of state ferry vessels.
The Steering Committee,
in carrying out the recommendations of the Booz. Allen study, has determined
that the procedure for the procurement of equipment, parts, and supplies for
the Jumbo Class Mark II ferry vessels authorized by RCW 47.60.770 through
47.60.778, must take into consideration, in addition to life-cycle cost
criteria, criteria that are essential to the operation of a public mass
transportation system responsive to the needs of Washington State Ferries'
users, and that assess the reliability, maintainability, and performance of
equipment, parts, and supplies to be installed in the Jumbo Mark II ferries.
The construction of the
new Jumbo Class Mark II ferry vessels authorized by RCW 47.60.770 through
47.60.778 is critical to the welfare of the state and any delay in the
immediate construction of the ferries will result in severe hardship and
economic loss to the state and its citizens. Recognizing these findings, it is
the intent of the legislature that the vessel construction should not be
delayed further because of the acquisition of a propulsion system, or any
component of it, for the ferries, and to authorize the department of
transportation to acquire all components of a complete propulsion system as
soon as possible so that planned construction of the Jumbo Class Mark II ferry
vessels can proceed immediately.
The purpose of this
chapter is to authorize the use, by the department, of supplemental,
alternative contracting procedures for the procurement of a propulsion system,
and the components thereof, for the Jumbo Class Mark II ferries; and to
prescribe appropriate requirements and criteria to ensure that contracting
procedures for such procurement serve the public interest.
NEW SECTION. Sec.
2. A new section is added
to chapter 47.60 RCW to read as follows:
(1) The department may
enter into a contract for the acquisition of the propulsion system, or any
component of it, including diesel engines and spare parts, for installation
into one or more of the three Jumbo Class Mark II ferry vessels authorized
under this chapter. This authorization does not limit the department from
obtaining and installing the propulsion system, or any component of it, as
incidental to the overall vessel construction contract authorized under RCW
47.60.770 through 47.60.778, nor from proceeding to complete an existing
contract for acquisition of the propulsion system or any component of it.
(2) Acquisition of a
propulsion system, or any component of it, for the Jumbo Class Mark II ferries
by the department under this section is exempt from chapter 43.19 RCW.
(3) Whenever the
department decides to enter into an acquisition contract under this section it
shall publish a notice of its intent to negotiate such a contract once a week
for at least two consecutive weeks in one trade newspaper and one other
newspaper, both of general circulation in the state. The notice must contain,
but is not limited to, the following information:
(a) The identity of the
propulsion system or components to be acquired and the proposed delivery dates
for the propulsion system or components;
(b) An address and
telephone number that may be used to obtain the request for proposal.
(4) The department
shall send to any firm that requests it, a request for proposal outlining the
design and construction requirements for the propulsion system, including any
desired components. The request for proposal must include, but is not limited to,
the following information:
(a) The proposed
delivery date for each propulsion system or desired component and the location
where delivery will be taken;
(b) The form and
formula for contract security;
(c) A copy of the
proposed contract;
(d) The date by which
proposals must be received by the department in order to be considered; and
(e) A statement that
any proposal submitted constitutes an offer and must remain open until ninety
days after the deadline for submitting proposals, together with an explanation
of the requirement that all proposals submitted must be accompanied by a
deposit in the amount of five percent of the proposed cost.
(5) The department
shall evaluate all timely proposals received for: (a) Compliance with the
requirements specified in the request for proposal; and (b) suitability of each
firm's proposal by applying appropriate criteria to be developed by the
department: (i) To assess the ability of the firm to expeditiously and
satisfactorily perform and (ii) to accomplish an acquisition that is most
advantageous to the department. A portion of the technical requirements
addressed in the request for proposal shall include, but is not limited to,
user verifications of manufacturer's reliability claims; the quality of engine
maintenance documentation; and engine compatibility with ship design.
(6) The criteria to
select the most advantageous diesel engine under subsection (5)(b)(ii) shall
consist of life-cycle cost factors weighted at forty-five percent; and
operational factors weighted as follows: reliability at twenty percent,
maintainability at twenty percent, and engine performance at fifteen percent.
For purposes of this subsection, the life-cycle cost factors shall consist of
the costs for engine acquisition and warranty, spare parts acquisition and
inventory, fuel efficiency and lubricating oil consumption, and commonality.
The fuel efficiency and lubricating oil consumption life-cycle cost factors
shall receive not less than twenty percent of the total evaluation weighting
and shall be evaluated under a format similar to that employed in the 1992 M.V.
Tyee engine replacement contract. The reliability factors shall consist of the
length of service and reliability record in comparable uses, and mean time
between overhauls. The mean time between overhauls evaluation shall be based
upon the manufacturer's required hours between change of wear components. The
maintainability factors shall consist of spare parts availability, the usual
time anticipated to perform typical repair functions, and the quality of
factory training programs for ferry system maintenance staff. The performance
factors shall consist of load change responsiveness, and air quality of exhaust
and engine room emissions.
(7) Upon concluding its
evaluation, the department shall:
(a) Select the firm
presenting the proposal most advantageous to the department, taking into
consideration compliance with the requirements stated in the request for
proposal, and the criteria developed by the department, and rank the remaining
firms in order of preference, judging them by the same standards; or
(b) Reject all
proposals as not in compliance with the requirements contained in the request
for proposals.
(8) The department
shall immediately notify those firms that were not selected as the firm
presenting the most advantageous proposal of the department's decision. The
department's decision is conclusive unless an aggrieved firm appeals the
decision 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 the 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 is arbitrary or capricious.
(9) Upon selecting the
firm that has presented the most advantageous proposal and ranking the
remaining firms in order of preference, the department shall:
(a) Negotiate a
contract with the firm presenting the most advantageous proposal; or
(b) If a final
agreement satisfactory to the department cannot be negotiated with the firm
presenting the most advantageous proposal, the department may then negotiate
with the firm ranked next highest in order of preference. If necessary, the
department may repeat this procedure and negotiate with each firm in order of
rank until the list of firms has been exhausted.
(10) Proposals
submitted by firms under this section constitute an offer and must remain open
for ninety days. When submitted, each proposal must be accompanied by a
deposit in cash, certified check, cashier's check, or surety bond in the amount
equal to five percent of the amount of the proposed contract price, and the
department may not consider a proposal that has no deposit enclosed with it.
If the department awards a contract to a firm under the procedure set forth in
this section and the firm fails to enter into the contract and furnish the
required contract security within twenty days, exclusive of the day of the
award, its deposit shall be forfeited to the state and deposited by the state
treasurer to the credit of the Puget Sound capital construction account. Upon
the execution of a contract all proposal deposits shall be returned.
NEW SECTION. Sec.
3. The department of
transportation, the department of general administration, and the office of
financial management, in consultation with the legislative transportation
committee, shall conduct a systematic review of acquisition authorities
established under chapters 43.19, 47.56, and 47.60 RCW, and the consequent
impact on the operation of Washington state ferries as a public mass
transportation system. The results of this review, including any proposed
legislation, shall be reported to the governor and the house of representatives
and senate transportation committees on or before January 1, 1995.
NEW
SECTION. Sec. 4. 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.
