H-0660.1  _______________________________________________

 

                          HOUSE BILL 1661

          _______________________________________________

 

State of Washington      55th Legislature     1997 Regular Session

 

By Representatives Koster and Smith

 

Read first time 02/04/97.  Referred to Committee on Capital Budget.

Regulating public works contracts.


    AN ACT Relating to public works contracts; amending RCW 28B.10.350, 28B.10.355, 28B.50.330, 39.04.020, and 28A.335.190; and reenacting and amending RCW 39.04.150.

 

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

 

    Sec. 1.  RCW 28B.10.350 and 1993 c 379 s 109 are each amended to read as follows:

    (1) When the cost to The Evergreen State College, any regional university, or state university, of any building, construction, renovation, remodeling, or demolition other than maintenance or repairs will equal or exceed the sum of ((twenty-five)) one hundred thousand dollars, complete plans and specifications for such work shall be prepared and such work shall be put out for public bids and the contract shall be awarded to the lowest responsible bidder if in accordance with the bid specifications:  PROVIDED, That when the estimated cost of such building, construction, renovation, remodeling, or demolition equals or exceeds the sum of ((twenty-five)) one hundred thousand dollars, such project shall be deemed a public works and "the prevailing rate of wage," under chapter 39.12 RCW shall be applicable thereto((:  PROVIDED FURTHER, That when such building, construction, renovation, remodeling, or demolition involves one trade or craft area and the estimated cost exceeds ten thousand dollars, complete plans and specifications for such work shall be prepared and such work shall be put out for public bids, and the contract shall be awarded to the lowest responsible bidder if in accordance with the bid specifications)).  This subsection shall not apply when a contract is awarded by the small works procedure authorized in RCW 28B.10.355.

    (2) The Evergreen State College, any regional university, or state university may require a project to be put to public bid even when it is not required to do so under subsection (1) of this section.

    (3) Where the estimated cost to The Evergreen State College, any regional university, or state university of any building,  construction, renovation, remodeling, or demolition is less than ((twenty-five)) one hundred thousand dollars or the contract is awarded by the small works procedure authorized in RCW 28B.10.355, the publication requirements of RCW 39.04.020 shall be inapplicable.

    (4) In the event of any emergency when the public interest or property of The Evergreen State College, regional university, or state university would suffer material injury or damage by delay, the president of such college or university may declare the existence of such an emergency and reciting the facts constituting the same may waive the requirements of this section with reference to any contract in order to correct the condition causing the emergency:  PROVIDED, That an "emergency," for the purposes of this section, means a condition likely to result in immediate physical injury to persons or to property of such college or university in the absence of prompt remedial action or a condition which immediately impairs the institution's ability to perform its educational obligations.

 

    Sec. 2.  RCW 28B.10.355 and 1993 c 379 s 110 are each amended to read as follows:

    Each board of regents of the state universities and each board of trustees of the regional universities and The Evergreen State College may establish a small works roster.  The small works roster authorized by this section may be used for any public works project for which the estimated cost is less than ((one)) two hundred thousand dollars.  Each board shall adopt rules to implement this section.

    The roster shall be composed of all responsible contractors who have requested to be on the list.  Each board shall establish a procedure for securing telephone or written quotations from the contractors on the small works roster to assure establishment of a competitive price and for awarding contracts to the lowest responsible bidder.  This procedure shall require either that a good faith effort be made to request quotations from all contractors on the small works roster who have indicated the capability of performing the kind of public works being contracted or that the board shall solicit quotations from at least five contractors in a manner that will equitably distribute the opportunity among contractors on the roster.  Immediately after an award is made, the bid quotations obtained shall be recorded, open to public inspection and available by telephone inquiry.  Each board may adopt a procedure to prequalify contractors for inclusion on the small works roster.  No board may be required to make available for public inspection or copying under chapter 42.17 RCW financial information required to be provided by the prequalification procedure.

    The small works roster shall be revised at least once each year by publishing notice of such opportunity in at least one newspaper of general circulation in the state.  Responsible contractors shall be added to the list at any time they submit a written request.

 

    Sec. 3.  RCW 28B.50.330 and 1993 c 379 s 108 are each amended to read as follows:

    The boards of trustees of college districts are empowered in accordance with the provisions of this chapter to provide for the construction, reconstruction, erection, equipping, demolition, and major alterations of buildings and other capital assets, and the acquisition of sites, rights-of-way, easements, improvements, or appurtenances for the use of the aforementioned colleges as authorized by the college board in accordance with RCW 28B.50.140; to be financed by bonds payable out of special funds from revenues hereafter derived from income received from such facilities, gifts, bequests, or grants, and such additional funds as the legislature may provide, and payable out of a bond retirement fund to be established by the respective district boards in accordance with rules and regulations of the state board.  With respect to building, improvements, or repairs, or other work, where the estimated cost exceeds ((twenty-five)) one hundred thousand dollars, complete plans and specifications for such work shall be prepared and such work shall be put out for public bids and the contract shall be awarded to the lowest responsible bidder if in accordance with the bid specifications((:  PROVIDED, That when such building, construction, renovation, remodeling, or demolition involves one trade or craft area and the estimated cost exceeds ten thousand dollars, complete plans and specifications for such work shall be prepared and such work shall be put out for public bids, and the contract shall be awarded to the lowest responsible bidder if in accordance with the bid specifications)).  This subsection shall not apply when a contract is awarded by the small works procedure authorized in RCW 39.04.150:  PROVIDED FURTHER, That any project regardless of dollar amount may be put to public bid.

    Where the estimated cost to any college of any building, improvements, or repairs, or other work, is less than ((twenty-five)) one hundred thousand dollars, the publication requirements of RCW 39.04.020 shall be inapplicable.

 

    Sec. 4.  RCW 39.04.020 and 1994 c 243 s 1 are each amended to read as follows:

    Whenever the state or any municipality shall determine that any public work is necessary to be done, it shall cause plans, specifications, or both thereof and an estimate of the cost of such work to be made and filed in the office of the director, supervisor, commissioner, trustee, board, or agency having by law the authority to require such work to be done.  The plans, specifications, and estimates of cost shall be approved by the director, supervisor, commissioner, trustee, board, or agency and the original draft or a certified copy filed in such office before further action is taken.

    If the state or such municipality shall determine that it is necessary or advisable that such work shall be executed by any means or method other than by contract or by a small works roster process, and it shall appear by such estimate that the probable cost of executing such work will exceed the sum of ((twenty-five)) one hundred thousand dollars, then the state or such municipality shall at least fifteen days before beginning work cause such estimate, together with a description of the work, to be published at least once in a legal newspaper of general circulation published in or as near as possible to that part of the county in which such work is to be done.  When any emergency shall require the immediate execution of such public work, upon a finding of the existence of such emergency by the authority having power to direct such public work to be done and duly entered of record, publication of description and estimate may be made within seven days after the commencement of the work.

 

    Sec. 5.  RCW 39.04.150 and 1994 c 264 s 12 and 1994 c 243 s 2 are each reenacted and amended to read as follows:

    (1) As used in this section, "agency" means the department of general administration, the department of fish and wildlife, the department of natural resources, and the state parks and recreation commission.

    (2) In addition to any other power or authority that an agency may have, each agency, alone or in concert, may establish a small works roster consisting of all qualified contractors who have requested to be included on the roster.

    (3) The small works roster may make distinctions between contractors based on the geographic areas served and the nature of the work the contractor is qualified to perform.  At least once every year, the agency shall advertise in a newspaper of general circulation the existence of the small works roster and shall add to the roster those contractors who request to be included on the roster.

    (4) Construction, repair, or alteration projects estimated to cost less than ((one)) two hundred thousand dollars are exempt from the requirement that the contracts be awarded after advertisement and competitive bid as defined by RCW 39.04.010.  In lieu of advertisement and competitive bid, the agency shall solicit at least five quotations, confirmed in writing, from contractors chosen from the small works roster for the category of job type involved and shall award the work to the party with the lowest quotation or reject all quotations.  If the agency does not receive at least two responsive quotations for a particular project, then the project shall be advertised and competitively bid.  The agency shall solicit quotations from contractors selected randomly from the small works roster in a manner which will equitably distribute the opportunity for these contracts among contractors on the roster.  The agency shall invite at least one proposal each from a certified minority and a certified women-owned contractor who shall otherwise qualify to perform such work.  Immediately after an award is made, the bid quotations obtained shall be recorded, open to public inspection, and available by telephone request.  If the work is executed by competitive bid, the agency shall invite at least one proposal each from a certified minority and a certified women-owned contractor who shall otherwise qualify to perform such work.

    (5) The breaking down of any public work or improvement into units or accomplishing any public work or improvement by phases for the purpose of avoiding the minimum dollar amount for bidding is contrary to public policy and is prohibited.

    (6) The director of general administration shall adopt by rule a procedure to prequalify contractors for inclusion on the small works roster.  Each agency shall follow the procedure adopted by the director of general administration.  No agency shall be required to make available for public inspection or copying under chapter 42.17 RCW financial information required to be provided by the prequalification procedure.

    (7) An agency may adopt by rule procedures to implement this section which shall not be inconsistent with the procedures adopted by the director of the department of general administration pursuant to subsection (6) of this section.

 

    Sec. 6.  RCW 28A.335.190 and 1995 1st sp.s. c 10 s 3 are each amended to read as follows:

    (1) When, in the opinion of the board of directors of any school district, the cost of any furniture, supplies, equipment, building, improvements, or repairs, or other work or purchases, except books, will equal or exceed the sum of fifty thousand dollars, complete plans and specifications for such work or purchases shall be prepared and notice by publication given in at least one newspaper of general circulation within the district, once each week for two consecutive weeks, of the intention to receive bids therefor and that specifications and other information may be examined at the office of the board or any other officially designated location:  PROVIDED, That the board without giving such notice may make improvements or repairs to the property of the district through the shop and repair department of such district when the total of such improvements or repair does not exceed the sum of (a) ((fifteen)) fifty thousand dollars, for districts with fifteen thousand five hundred or more full-time equivalent students; or (b) for districts with fewer than fifteen thousand five hundred full-time equivalent students, ((fifteen)) fifty thousand dollars if more than one craft or trade is involved with the school district improvement or repair, or ((ten)) twenty-five thousand dollars if a single craft or trade is involved with the school district improvement or repair.  The cost of any public work, improvement or repair for the purposes of this section shall be the aggregate of all amounts to be paid for labor, material, and equipment on one continuous or interrelated project where work is to be performed simultaneously or in close sequence.  The bids shall be in writing and shall be opened and read in public on the date and in the place named in the notice and after being opened shall be filed for public inspection.

    (2) Every purchase of furniture, equipment or supplies, except books, the cost of which is estimated to be in excess of fifteen thousand dollars, shall be on a competitive basis.  The board of directors shall establish a procedure for securing telephone and/or written quotations for such purchases.  Whenever the estimated cost is from fifteen thousand dollars up to fifty thousand dollars, the procedure shall require quotations from at least three different sources to be obtained in writing or by telephone, and recorded for public perusal.  Whenever the estimated cost is in excess of fifty thousand dollars, the public bidding process provided in subsection (1) of this section shall be followed.

    (3) Every building, improvement, repair or other public works project, the cost of which is estimated to be in excess of (a) ((fifteen)) fifty thousand dollars, for districts with fifteen thousand five hundred or more full-time equivalent students; or (b) for districts with fewer than fifteen thousand five hundred full-time equivalent students, ((fifteen)) fifty thousand dollars if more than one craft or trade is involved with the school district improvement or repair, or ((ten)) twenty-five thousand dollars if a single craft or trade is involved with the school district improvement or repair, shall be on a competitive bid process.  All such projects estimated to be less than ((fifty)) one hundred thousand dollars may be awarded to a contractor on the small works roster.  The small works roster shall be comprised of all responsible contractors who have requested to be on the list.  The board of directors shall establish a procedure for securing telephone and/or written quotations from the contractors on the small works roster to assure establishment of a competitive price and for awarding contracts to the lowest responsible bidder.  Such procedure shall require that a good faith effort be made to request quotations from all contractors on the small works roster who have indicated the capability of performing the kind of public works being contracted.  Immediately after an award is made, the bid quotations obtained shall be recorded, open to public inspection, and available by telephone inquiry.  The small works roster shall be revised at least once each year by publishing notice of such opportunity in at least one newspaper of general circulation in the district.  Responsible contractors shall be added to the list at any time they submit a written request.  Whenever the estimated cost of a public works project is ((fifty)) one hundred thousand dollars or more, the public bidding process provided in subsection (1) of this section shall be followed.

    (4) The contract for the work or purchase shall be awarded to the lowest responsible bidder as defined in RCW 43.19.1911 but the board may by resolution reject any and all bids and make further calls for bids in the same manner as the original call.  On any work or purchase the board shall provide bidding information to any qualified bidder or the bidder's agent, requesting it in person.

    (5) In the event of any emergency when the public interest or property of the district would suffer material injury or damage by delay, upon resolution of the board declaring the existence of such an emergency and reciting the facts constituting the same, the board may waive the requirements of this section with reference to any purchase or contract:  PROVIDED, That an "emergency", for the purposes of this section, means a condition likely to result in immediate physical injury to persons or to property of the school district in the absence of prompt remedial action.

    (6) This section does not apply to the direct purchase of school buses by school districts and educational services in accordance with RCW 28A.160.195.

 


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