The purpose of these new rules is: (1) to establish rules in conformity with statute changes in Chapter 2009-227, Laws of Florida (2) to adopt standards and requirements for state agencies use of construction management entities under continuing ...

DEPARTMENT OF MANAGEMENT SERVICES
Division of Building Construction

RULE NO: RULE TITLE
60D-15.001: Definitions and Incidental Policies
60D-15.002: Agencies Procedures for Contracting with Continuing Contract Entities
PURPOSE AND EFFECT: The purpose of these new rules is: (1) to establish rules in conformity with statute changes in Chapter 2009-227, Laws of Florida (2) to adopt standards and requirements for state agencies use of construction management entities under continuing contract with the Department of Management Services.
SUMMARY: New administrative procedures for state agency’s use of construction management entities that are under continuing contract with the Department of Management Services. This includes definition; standards for state agency’s contracting with construction management entities; requirements for project management and reporting contracting activity. New administrative procedures for state agency’s use of construction management entities that are under continuing contract with the Department of Management Services. This includes definition; standards for state agency’s contracting with construction management entities; requirements for project management and reporting contracting activity. This proposed rule change does impact state agencies procedures when using a construction management entity under contract with the Department of Management Services. The Division of Real Estate Development and Management has consulted with the Small Business Regulatory Advisory Council and has determined that this rulemaking has no impact on small business as defined in Section 288.703, Florida Statutes, nor on small counties or small cities as defined in Section 120.52, Florida Statutes, since the rule by its own terms only applies to state agencies.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS: No Statement of Estimated Regulatory Cost was prepared.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
SPECIFIC AUTHORITY: 255.32 FS.
LAW IMPLEMENTED: 255.32 FS.
A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:
DATE AND TIME: March 31, 2010, 1:30 p.m. – 4:30 p.m.
PLACE: Betty Easley Conference Center, 4075 Esplanade Way, Room 152, Tallahassee, Florida 32399
Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 48 hours before the workshop/meeting by contacting: Tom Berger, Department of Management Services, 4050 Esplanade Way, Tallahassee, Florida 32399-0950, phone: [phone]. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Tom Berger, Deputy Director, Division of Real Estate Development and Management, phone: [phone], Email: [e-mail]

THE FULL TEXT OF THE PROPOSED RULE IS:

UTILIZATION OF CONSTRUCTION MANAGEMENT ENTITIES

60D-15.001 Definitions and Incidental Policies.

(1) “Activation” means an agency negotiation for a specific project with a construction management entity under continuing contract with the Department, which results in an agency contract.

(2) “Agency contract” means a proprietary construction project contract between a state agency and a construction management entity under continuing contract with the Department.

(3) “Agency Project Manager” means a full-time-equivalent state employee who is currently licensed by the Florida Department of Business and Professional Regulation as an architect, engineer, or a general contractor (as defined in Section 489.105(3)(a), Florida Statutes).

(4) “Competitive negotiation standards” means the methodology established in Rule 60D-5.0091, Florida Administrative Code, for determining fair, competitive and reasonable costs and the process of secession negotiations with the next most qualified continuing contract entity.

(5) “Continuing contract entity” means a construction management entity under a Department contract.

(6) “Continuing contract type” means any general, distinctive or specialized construction, renovation or repair activity identified by the Department as a state need.

(7) “Department” means the Department of Management Services.

(8) “Department contract” means a continuing contract between the Department and a construction management entity established under Section 255.32, Florida Statutes.

Rulemaking Authority 255.32 FS. Law Implemented 255.32 FS. History–New_______.

 

60D-15.002 Agencies Procedures for Contracting with Continuing Contract Entities.

(1) All state agencies serving as the managing agency of a state-owned facilities or a state construction site are authorized to utilize the services of any current Department contract through activation.

(2) All agency activations shall be implemented through an agency contract that is exclusive between the agency and a continuing contract entity.

(3) All agency activations shall be executed in compliance with any terms and conditions within the Department’s contract with each individual continuing contract entity.

(4) All activations shall be determined by the contracting agency. Determination shall be based on the needs of the individual project and any qualifications and performance data of the continuing contract entity on file with the activating agency.

(5) All agencies shall negotiate individual project fees with the selected continuing contract entity in accordance with competitive negotiation standards established in Rule 60D-5.0091, Florida Administrative Code. After negotiating with a continuing contract entity an agency pursuant to Section 255.32(4), Florida Statutes can require the construction management entity to offer a guaranteed maximum price and a guaranteed completion date. The agency shall require the construction management entity to secure an appropriate surety bond in conformity with Section 255.05, Florida Statutes. The agency shall require the construction management entity to hold all construction subcontracts for the project. Under no circumstance shall an agency contract with a continuing contract entity when the estimated construction costs per individual project exceed $2 million.

(6) All agency contracts shall have an assigned Agency Project Manager for administrating project funds and providing project management oversight, from the identification of a project through its final completion. Agency Project Managers assigned to a project are required to monitor the construction management entity for:

(a) Compliance with state regulations governing the advertisement and competitive bidding of all the subcontracted parts of the project established in Chapter 60D-5, Florida Administrative Code; and

(b) Compliance with the agency contract at the construction site.

(7) All agencies shall report quarterly to the Department on form number FP-01 “Agency Continuing Contract Activity Quarterly Report”, which is hereby incorporated by reference and is available at the address below in subsection (11) or website http://dms.myflorida.com/business_operations/real_estate_development_management/building_construction/forms_and_documents.

(8) All agencies shall submit to the Department on July 1 of each year any needs identified for the establishment of a continuing contract type.

(9) Before contracting with a continuing contract entity, an agency shall first submit a list of employees qualified to serve as Agency Project Managers as defined by Rule 60D-15.001, Florida Administrative Code. All submitted list shall be accompanied by a copy of each employee’s active license that qualifies them as a Agency Project Manager. An agency cannot contract with a continuing contract entity unless the agency employs a Department approved Agency Project Manager.

(10) The Department shall consider Agency Project Managers for continuing contract selection committees only upon notification of an Agency Project Manager’s availability to serve on a selection committee.

(11) All correspondence with the Department shall be directed to the following address:

Department of Management Services

Division of Real Estate Development and Management

Building Construction Contracts Administrator

4050 Esplanade Way

Tallahassee, Florida 32399-0950

Rulemaking Authority 255.32 FS. Law Implemented 255.32 FS. History–New________.

NAME OF PERSON ORIGINATING PROPOSED RULE: Mr. Tom Berger, Deputy Director, Division of Real Estate Development and Management.
NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Ms. Linda H. South, Secretary, Department of Management Services
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: February 12, 2010
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: December 31, 2009