HOUSE BILL REPORT
HB 746
BYRepresentatives Walk, Schmidt, Zellinsky, Pruitt, Meyers, S. Wilson, Brough, Haugen, Heavey, Schoon, P. King and Betrozoff
Establishing procedures for state purchase of passenger-only ferries.
House Committe on Transportation
Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. (23)
Signed by Representatives Walk, Chair; Baugher, Vice Chair; Betrozoff, Cantwell, Cooper, Day, Dellwo, Doty, Fisch, Fisher, Gallagher, Haugen, Heavey, Kremen, Meyers, C. Smith, D. Sommers, Spanel, Sutherland, Todd, J. Williams, K. Wilson and Zellinsky.
House Staff:Louise Bray (786-7322)
AS REPORTED BY COMMITTEE ON TRANSPORTATION FEBRUARY 20, 1987
BACKGROUND:
The Department of Transportation must follow certain statutory procedures when it decides to procure one or more new ferries. The procedures require that the department design the proposed vessel and put that design out for competitive bid.
The department may procure used vessels under its general authority in Ch. 47.60 RCW.
The department does not currently have the authority to purchase passenger- only vessels that have already been designed and have a proven history of successful operation.
SUMMARY:
SUBSTITUTE BILL: Procedures are created for acquisition of passenger-only ferries of a proven and operational design by the Department of Transportation. The procedures include:
1. Publication and mailing of a notice soliciting bids to construct one or more passenger-only ferries. The notice must include the number of ferries to be procured (purchase one with an option to purchase the remainder), prequalification requirements, that complete plans and specifications of the vessel must be submitted along with evidence of the successful operation of the vessel during the previous five years. The notice is to be mailed to all firms known to the department that have constructed and placed in operation vessels that meet or exceed the department's performance criteria.
2. The department must send a request for proposal to any firm desiring one. The request for proposal must include submittal of a complete set of plans and specifications for the proposed vessel that meet or exceed specified performance criteria, certification of the plans as complete by the DOT marine architect, evidence of successful operation of the vessel within the last five years as well as other prequalification requirements, a copy of the contract to be signed by the winning bidder, the number of vessels to be contracted for, proposed delivery date, maximum purchase price and a statement that all bids are offers and are open for ninety days after the submittal deadline unless formally withdrawn prior to the award of contract. A deposit must accompany the proposal equaling five percent of the proposed contract cost.
3. The department shall then evaluate the bids for compliance with the requirements specified in the request for proposal and shall estimate the operation and maintenance costs of each vessel using criteria developed by the department.
4. The department shall award the contract to the firm presenting the most advantageous offer and rank the other bidders in order of preference. Losing bidders are to be notified immediately and an appeal may be taken to the Thurston County Superior Court. The appeal must be taken within five days after the firm received notification. The decision of the department will be affirmed unless the court finds the department acted in an arbitrary and capricious fashion.
The department, in developing a contract for the procurement of ferry vessels, may authorized the use of foreign-made materials and components in order to minimize costs, subject to the limitations of RCW 39.25.020.
If the winning bidder fails to enter into a contract with the department within twenty days of the award, the firm forfeits the five percent proposal deposit. When a contract is entered into, the deposits of the losing bidders are returned.
RCW 47.60.650 and RCW 39.08.090 are repealed.
SUBSTITUTE BILL COMPARED TO ORIGINAL: Language is added to clarify that the Department of Transportation may acquire passenger-only ferries only when authorized to do so by the Legislature.
RCW 47.60.650 and RCW 39.08.090, sections of law setting out the "Design and Construct" method for ferry acquisition, are repealed.
Fiscal Note: Not Requested.
House Committee ‑ Testified For: Harold Parker, Assistant Secretary for Marine Transportation, Department of Transportation.
House Committee - Testified Against: None Presented.
House Committee - Testimony For: Passenger-only ferries of various types and designs are in operation worldwide so there is no need for a uniquely designed vessel.
House Committee - Testimony Against: None Presented.