BILL REQ. #:  S-3346.1 

READ FIRST TIME 04/19/05.   

     AN ACT Relating to construction of new vessels for Washington State Ferries; and adding a new section to chapter 47.60 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 47.60 RCW to read as follows:
     If a single prequalified proposer, or subsequently a single best qualified proposer, emerges from phase one of the competitive, design-build procurement process, the secretary shall make a finding to that effect and may negotiate an agreement under the requirements of this section, in lieu of the process outlined in RCW 47.60.818 and 47.60.820.
     (1) The department and the proposer may enter into negotiations to jointly develop contract specifications and plans, which must adhere to the requirements of RCW 47.60.818(1). The final jointly developed contract specifications and plans must be approved by the department, and must include design, drawings, and specifications at a sufficient level of detail to fully depict the ferries' characteristics and identify installed equipment and systems.
     (2) The department may reimburse the proposer for the cost associated with the preparation of the jointly developed contract specifications and plans, and may establish a maximum amount of such reimbursement.
     (3) The department shall conduct ongoing joint reviews with the proposer to consider and critique its designs, drawings, and specifications. These reviews must be held to ensure that the jointly developed construction specifications and plans meet the department's requirements and are responsive to the critiques conducted by the department during the preparation of the jointly developed construction specifications and plans.
     (4) If, as a result of the periodic technical reviews or otherwise, the department determines that it is in the best interest of the department to modify any element of the department's requirements, including the outline specifications, it shall do so in writing to the proposer.
     (5) The department may negotiate a contract with the proposer during the preparation of the jointly developed contract specifications and plans. The contract price must be established between the department and the contractor through negotiation based on detailed cost and price information provided by the proposer. To achieve efficiencies the department may negotiate incentives and economic cost sharing between the state and the proposer. In addition to the cost incentives, other incentives may be considered, as determined by the department to be in the best interests of the state. Such incentives may include, but are not limited to, key schedule milestones, technological innovations, performance efficiencies, constructability, and operational value or life-cycle cost.
     (6) The department shall submit a copy of the contract, the final negotiated price, and supporting information to the office of financial management at least ten days prior to execution of the contract. If the final negotiated price is greater than the legislature's adopted expenditure plan for vessel construction, the department may not execute the contract until the legislature reviews the final proposals and adjusts the expenditure plan accordingly.
     (7) If the department and the proposer are not able to reach an agreement on the jointly developed contract specifications and plans, the department may republish, revise, or cancel the request for proposals process to serve the best interests of the state.