BILL REQ. #:  H-1978.2 

Read first time 03/08/13.   Referred to Committee on Transportation.

     AN ACT Relating to the construction and alteration of ferries; adding new sections to chapter 47.60 RCW; and repealing RCW 47.60.810, 47.60.812, 47.60.814, 47.60.816, 47.60.818, 47.60.820, 47.60.822, 47.60.824, and 47.60.8241.

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:
     (1) For any ferry to be acquired by contracts advertised for bid after August 1, 2013, the department must develop a process for awarding competitively bid contracts for ferry construction projects using a design–build procedure. As used in this section, "design–build procedure" means a method of contracting under which the department contracts with another party for the party to both design and build the items specified in the contract. The process developed by the department must, at a minimum, include the scope of services required under the design-build procedure, contractor prequalification requirements, criteria for evaluating technical information and project costs, contractor selection criteria, and issue resolution procedures.
     (2)(a) Except as otherwise provided in (b) of this subsection, the department may not participate in or contribute to the design of a ferry acquired pursuant to this section.
     (b) The department may offer a change to the design of a ferry only when the change provides cost savings in the design, construction, or operation of the ferry and only when the risks associated with the design remain exclusively with the contractor.

NEW SECTION.  Sec. 2   A new section is added to chapter 47.60 RCW to read as follows:
     (1) In performing pursuant to any contract to construct a ferry, change orders are allowable, but should be used on a very limited basis to accomplish important objectives, including cost savings, safety improvements, and operational efficiencies.
     (2) To accommodate change orders, the department must request that the legislative appropriation for any ferry construction project include up to, but no more than, a five percent price contingency. This contingency must be identified in the funding request to the legislature and held in reserve until the office of financial management approves the expenditure.

NEW SECTION.  Sec. 3   A new section is added to chapter 47.60 RCW to read as follows:
     For ferries acquired by the department pursuant to a contract advertised for bid prior to August 1, 2013, the department may not make or design a substantial alteration to such ferries unless the department has sought and received approval for the alteration from the legislature, if the legislature is in session. If the legislature is not in session, the department must seek and receive approval for such an alteration from the office of financial management. For the purposes of this section, "substantial alteration" means any project that is anticipated to cost more than twenty-five percent of the replacement value of the ferry to be altered at the time of alteration. The department may seek to make such an alteration to a ferry only if the alteration is necessary to assure continued operation or to provide operational or long-term cost savings.

NEW SECTION.  Sec. 4   The following acts or parts of acts are each repealed:
     (1) RCW 47.60.810 (Design-build ferries -- Authorized -- Phases defined) and 2001 c 226 s 4;
     (2) RCW 47.60.812 (Design-build ferries -- Notice of request for proposals) and 2001 c 226 s 5;
     (3) RCW 47.60.814 (Design-build ferries -- Issuance of request for proposals) and 2001 c 226 s 6;
     (4) RCW 47.60.816 (Design-build ferries -- Phase one) and 2001 c 226 s 7;
     (5) RCW 47.60.818 (Design-build ferries -- Phase two) and 2001 c 226 s 8;
     (6) RCW 47.60.820 (Design-build ferries -- Phase three) and 2001 c 226 s 9;
     (7) RCW 47.60.822 (Design-build ferries -- Notice to proposers not selected -- Appeal) and 2001 c 226 s 10;
     (8) RCW 47.60.824 (Design-build ferries -- Single best-qualified proposer -- Incentives -- Proposal negotiations -- Compensation) and 2007 c 481 s 2; and
     (9) RCW 47.60.8241 (Findings -- Single proposal process for new ferry vessel construction) and 2007 c 481 s 1.