NY Passes Design-Build Legislation

THURSDAY, JANUARY 9, 2020


New York Gov. Andrew Cuomo ended 2019 with signing one more act into law—the New York City Public Work Investment Act, which authorizes some city agencies to use the design-build method for projects.

The New York State Assembly passed the regulation in June 2019, and it was on Cuomo’s desk at the end of December. He signed it Dec. 31.

The Law

The new legislation authorizes some of the city’s entities—including the city’s Department of Transportation and Department of Design and Construction—to award design-build contracts. These will be operating under a project labor agreement, cost $10 million or more or are for the Department of Parks and Recreation that cost $1.2 million or more.

Other projects, such as renovations to cultural institutions and libraries and security improvements—of at least $1.2 million—can also utilize design-build.

While the law takes effect immediately, each entity that has issued a design-build contract will have to submit an annual report that includes a description of the contract, the bidding process, costs, how much money was saved by using design-build and how much of the contract went to minority- and women-owned businesses.

New York Mayor Bill de Blasio had been championing for the design-build approval, highlighting the estimated savings, which could be around $2 billion over a 10-year period.

“The State has repeatedly demonstrated the value of design-build, successfully deploying design-build to [deliver] projects on time and on budget statewide, including in New York City,” said Cuomo in his bill approval message.

Reportedly there were already nearly 50 projects lined up to use the method—saving at least $300 million. And the state has already used the model for larger projects such as the $4 billion Mario M. Cuomo Bridge and the $1.5 billion expansion of the Jacob Davitz Convention Center.

   

Tagged categories: Contracts; Design build; Good Technical Practice; Government; Government contracts; Laws and litigation; NA; North America

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