BILL REQ. #:  S-4428.2 

READ FIRST TIME 02/03/12.   

     AN ACT Relating to waiving and clarifying certain requirements for port district small public works projects; and amending RCW 53.08.120 and 53.08.135.

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

Sec. 1   RCW 53.08.120 and 2009 c 74 s 2 are each amended to read as follows:
     (1) All material and work required by a port district not meeting the definition of public work in RCW 39.04.010(((4))) may be procured in the open market or by contract and all work ordered may be done by contract or day labor.
     (2)(a) All such contracts for work meeting the definition of "public work" in RCW 39.04.010(((4))), the estimated cost of which exceeds three hundred thousand dollars, shall be awarded using a competitive bid process. The contract must be awarded at public bidding upon notice published in a newspaper of general circulation in the district at least thirteen days before the last date upon which bids will be received, calling for bids upon the work, plans and specifications for which shall then be on file in the office of the commission for public inspection. The same notice may call for bids on such work or material based upon plans and specifications submitted by the bidder. The competitive bidding requirements for purchases or public works may be waived pursuant to RCW 39.04.280 if an exemption contained within that section applies to the purchase or public work.
     (b) For all contracts related to work meeting the definition of "public work" in RCW 39.04.010(((4))) that are estimated at three hundred thousand dollars or less, a port district may let contracts using the small works roster process under RCW 39.04.155 in lieu of advertising for bids. Whenever possible, the managing official shall invite at least one proposal from a minority contractor who shall otherwise qualify under this section.
     When awarding such a contract for work, when utilizing proposals from the small works roster, the managing official shall give weight to the contractor submitting the lowest and best proposal, and whenever it would not violate the public interest, such contracts shall be distributed equally among contractors, including minority contractors, on the small works roster.
     (c)(i) For contracts for work meeting the definition of "public work" as defined in RCW 39.04.010, the estimated cost of which is between five thousand dollars and thirty-five thousand dollars, port districts are exempt from the requirements of RCW 53.08.130 and may award contracts based on price quotations received from responsible contractors. Port districts shall reasonably attempt to equitably distribute the opportunity to provide price quotations among responsible contractors that perform similar services. Contractors do not need to be listed on the port district's small works roster to be eligible. Contracts may not be negotiated after receipt of the price quotation or be amended by the addition of work that was not included within the intent of the original price quotation. "Equitably distribute" has the same meaning as in RCW 39.04.155.
     (ii) Any port district procuring public work under this subsection (2)(c) shall not break apart larger scopes of work for the purpose of avoiding the public bidding requirements under this section or RCW 53.08.130.
     (iii)(A) A port district may waive the payment and performance bond requirements under chapter 39.08 RCW or the retainage requirements under chapter 60.28 RCW, or both, for projects performed under this subsection (2)(c).
     (B) A port district electing to waive payment and performance bonds under this subsection (2)(c)(iii) assumes the liability for the contractor's and his or her subcontractors' nonpayment of laborers, mechanics, subcontractors, materialpersons, and suppliers. The port district has the right of recovery against the contractor for any payments made on the contractor's or his or her subcontractors' behalf.
     (C) A port district electing to waive the retainage requirements under this subsection (2)(c)(iii) assumes the liability for the contractor's or his or her subcontractors' nonpayment of laborers, mechanics, subcontractors, materialpersons, suppliers, and taxes imposed under Titles 50, 51, and 82 RCW. The port district has the right of recovery against the contractor for any payments made on the contractor's or his or her subcontractors' behalf.
     (D) A port district electing to waive payment and performance bonds or retainage, or both, under this subsection (2)(c)(iii) must establish and adopt procedures implementing the requirements of this section.
     (d) For contracts for work meeting the definition of "public work" as defined in RCW 39.04.010, the estimated cost of which does not exceed five thousand dollars, port districts are exempt from the requirements of RCW 53.08.130 and any advertisement and competitive bidding requirements.
     (e) All price quotations for public work procured under (c) or (d) of this subsection must be logged and be open to public inspection and made available electronically by request.
     (f) Any work performed under this subsection (2) is subject to the requirements of chapter 39.12 RCW. For projects with estimated costs not exceeding five thousand dollars, a port district may utilize the alternative prevailing wage procedures as described in RCW 39.12.040(2).
     (3) A port district may meet the notification requirements under RCW 39.04.020 by publishing an annual notification before beginning the public work that describes the nature and value of the work to be performed.

Sec. 2   RCW 53.08.135 and 1982 c 92 s 2 are each amended to read as follows:
     Port districts ((shall)) may determine if ((any)) a construction project over forty thousand dollars can be accomplished ((less expensively)) more efficiently by contracting out. If contracting out is ((less expensive)) more efficient, the port district may contract out such project.