DAR File No. 39101
This rule was published in the February 15, 2015, issue (Vol. 2015, No. 4) of the Utah State Bulletin.
Transportation, Operations, Construction
Construction Manager/General Contractor Contracts
Notice of Proposed Rule
DAR File No.: 39101
Filed: 01/30/2015 11:53:07 AM
Purpose of the rule or reason for the change:
The amendment is needed to update citations to the Utah Procurement Code, which was recently amended, and to improve procedures the Department of Transportation follows when procuring construction projects using Construction Manager/General Contractor contracting.
Summary of the rule or change:
This amendment to Rule R916-4 updates citations to the amended Utah Procurement Code, clarifies text in certain subsections of the rule, and makes technical and stylistic changes.
State statutory or constitutional authorization for this rule:
- Subsection 63G-6a-106(3)(a)
- Section 72-2-206
Anticipated cost or savings to:
the state budget:
The Department of Transportation anticipates savings to the state budget through a reduction in the numbers of protests filed by disappointed prospective contractors due to confusion about the process the Department follows when using the Construction Manager/General Contractor contracting method.
Because this amendment to Rule R916-4 does not require any action by, or provide any direct benefits for local government, the department does not anticipate the amendment will trigger any costs to or savings by local government.
Because this amendment to Rule R916-4 does not require any action by, or provide any direct benefits for small businesses, the department does not anticipate the amendment will trigger any costs to or savings by small businesses.
persons other than small businesses, businesses, or local governmental entities:
Because this amendment to Rule R916-4 does not require any action by, or provide any direct benefits for persons other than small businesses, businesses, or local government entities, the department does not anticipate the amendment will trigger any costs to or savings by persons other than small businesses, businesses, or local government entities.
Compliance costs for affected persons:
Because the department is making this amendment to Rule R916-4 to update citations, clarify text, and improve contracting procedures, the department does not anticipate the amendment will trigger any additional costs for affected persons.
Comments by the department head on the fiscal impact the rule may have on businesses:
These changes to Rule R916-4 are needed to reflect changes caused by amendments to related Utah Procurement Code sections, and to align the rule with current industry practices. The changes should also reduce the likelihood that prospective contractors will protest contract awards due to confusion caused by an outdated rule.
Carlos Braceras, Executive Director
The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:Transportation
CALVIN L RAMPTON COMPLEX
4501 S 2700 W
SALT LAKE CITY, UT 84119-5998
Direct questions regarding this rule to:
- James Palmer at the above address, by phone at 801-965-4000, by FAX at 801-965-4338, or by Internet E-mail at email@example.com
Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:
This rule may become effective on:
Carlos Braceras, Executive Director
R916. Transportation, Operations, Construction.
R916-4. Construction Manager/General Contractor Contracts.
(1) Pursuant to
-6-207,] this rule establishes the Department's
procedures to procure transportation construction under the
Construction Manager/General Contractor (CM/GC) approach authorized
Section 63G-[ 6-501.] CM/GC
seeks to provide[ : ] a
savings of time[ ,] and cost; improved quality expectations as to
the end product, schedule, and budget; and risk management savings
through lack of duplication of expenses, and through early,
continuous and coordinated efforts.
(1) This rule is authorized by grants of
rulemaking authority in [
Title 63G, Chapter 6,] Utah
Procurement Code; Title 63G, Chapter 3, Utah Administrative
Rulemaking Act; and Sections 72-1-201, 72-2-206, and 72-6-105.
(1) When the Executive Director or
designee determines it appropriate, Department may use CM/GC method
of project delivery. CM/GC is not recommended for every project,
therefore, the decision to use the method must take into account
the factors listed in
R916-4-4. Request for Proposals (RFP).
(1) The Department will issue a request for proposals (RFP) from interested contractors.
(2) The RFP may require separate technical and price proposals, meeting requirements as stated in the RFP.
(3) The RFP may require a minimum mandatory technical level.
R916-4-5. Evaluation Team.
(1) The Department [
may] establish a team for evaluating the technical
proposals consisting of [ not more] than [ 7 people].
(2) One member of the team may be [
a registered professional engineer], selected based
on recommendation from the
ACEC[ ;] and
(3) One member may be [
a senior management] employee of a licensed contractor, selected based on
recommendation from the
R916-4-6. Evaluation of Proposals and Discussions with Proposers.
(1) The Department shall evaluate
proposals, in accordance with the evaluation [
factors] set forth in the RFP.
(2) As part of the qualifications
specified in the RFP, the Department may require that potential
contractors at [
least] demonstrate their:
c]onstruction experience [ in] similar projects;
(b) financial, manpower and equipment resources available for the project;
(c) experience [
in] other negotiated contracts; and
(d) preconstruction or design support experience.
(3) The Department may require [
that ]potential contractors
participate in formal interviews as part of the selection
R916-4-7. Acceptable Bid Security; Performance and Payment Bonds.
(1) The Executive Director or designee
shall have the [
right] to waive the requirement to provide bid security,
or may reduce the amount of such security, if he or she determines
that the bid security otherwise required by
Code [ Ann. Sections 63G-6-504 through 507 ]to be
unnecessary to protect the State.
(2) The Executive Director or designee may
reduce the amount of the payment and performance bonds below the
100% level required by [
Sections 63G-6-504 through 507], if he or she
determines that a 100% bond is unnecessary to protect the
(3) Bid security, payment bonds and performance bonds must be provided on the forms included in the RFP.
R916-4-8. Required Contract Clauses.
The CM/GC contract documents shall include
the contract clauses set forth in Utah Administrative Code
7], subject to such modifications as the Executive Director
or designee believes appropriate. Any modifications shall be
supported by a written determination of the Executive Director or
designee that describes the circumstances justifying the
variations, and notice of any material variation shall be included
in the RFP.
The basis for selection shall be stated in the RFP. Selection may be based on any of the following approaches.
(1) By the responsible proposer offering
the lowest priced responsive proposal. If the RFP includes a
mandatory technical level, no proposal shall be considered
responsive unless it meets that level;[
(2) By the responsible proposer whose
proposal is evaluated as providing the best value to Department[
R916-4-10. Award of Contract.
(1) The [
Contract will be awarded in] two
phases[ . The first is for preconstruction]
or design services, which may include value engineering, cost estimating, conceptual estimating, constructability reviews, scheduling, and Maintenance of Traffic plans.
(2) The second phase is for construction] services[ . The second phase] will be awarded after the plans have been
sufficiently developed and a price for construction services has
been successfully validated[ .] In the event that a price is not validated, the Department [ will] not award
construction phase of the
(3) In order to accelerate completion, incremental
construction phases may be awarded after prices are validated for
4]) The Department [ is] not
required to [ ever ]award a contract[ . Following award, however, a ]
shall [ be executed and] notice [ given] to the successful CM/GC proposer
to proceed with the work.
KEY: transportation, highways, contracts, construction
Date of Enactment or Last Substantive Amendment: [
October 11, 2011]
Notice of Continuation: March 11, 2010
Authorizing, and Implemented or Interpreted Law: 63G-[
6-502]; 63G-[ 6-207;]72-1-201
More information about a Notice of Proposed Rule is available online.
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For questions regarding the content or application of this rule, please contact James Palmer at the above address, by phone at 801-965-4000, by FAX at 801-965-4338, or by Internet E-mail at firstname.lastname@example.org. For questions about the rulemaking process, please contact the Division of Administrative Rules.