California recently passed legislation representing a major step forward in authorizing state and local agencies to use design-build. Many California agencies have been using design-build for several years; other agencies required specific design-build legislation.
Some agencies were precluded by law from using a best value selection process for design-build or were not empowered to bundle design and construction into a single contract.
The new statute consolidates and amends existing laws allowing state and local agencies to use design-build, resolving problems and inconsistencies with prior legislation.
Under the updated law, the Department of General Services and the Department of Corrections and Rehabilitation may use design-build on projects in excess of $1 million. Cities and counties may also now use design-build on million-dollar-plus projects.
If the legislature wishes to expand the list of agencies authorized to use design-build in the future, the process would involve a simple amendment.
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