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Design Build Construction- Part of Toll Road Proposal

 

Another new wrinkle called “Design Build” was introduced into the Gulfport Connector project per a SUN HERALD news article dated 3/10/04, titled, “Port connector could be toll road.” The Design Build method is a ”red flag,”  for those familiar with the method and  public policy, because Design Build construction undermines accountability and oversight. The article revealed the following:

 

A long-awaited connector…might be built as a toll road and as a test project for a new construction method.” 

 

If both the toll roads and “design-build” construction method bills pass this legislative session, the Mississippi Department of Transportation hopes to use the Gulfport connector as a “demonstration project,” perhaps allowing the as-now unfunded project…to be built in about a decade or less, instead of the 20 years that many estimate now.

 

And using the “design-build” method of construction, supporters say, would help state road projects be completed in much less time than the current method of bidding out projects in pieces…

 

The design-build method assigns both design (engineering) and construction responsibilities to one firm, allowing some construction work to begin before the design is completed.  Supporters say this can reduce MDOT’s administration and inspection costs and all contractors to move quickly.

 

The above looks good and sounds good and if it is so good, then why is a change in legislation needed? Here is the answer.  The design-build concept circumvents accountability and oversight, as provided for under  Section 73-13-45,  Mississippi Code of 1972, As Amended, which states, “Neither the state, nor any of its political subdivisions, such as a county, city or town, shall award construction contracts of any public work involving the practice of engineering or architecture unless the plans, specifications and estimates have been prepared and such work supervised by a registered professional engineer or architect…”

 

Section 73-13-45, requires that the architect or engineer be employed by the state or political subdivision.  The architect or engineer is the public’s watchdog over the contractor, and it is part of his/her duties to insure that the contractor meets his obligations in quality of materials and construction.  Under the Design Build concept, the watchdog is removed from guarding the chicken coop (hundreds of millions of public funds), and the fox (contractor) is put in the watchdog’s place. 

 

Whenever kickbacks are paid to public officials, one can be sure that the kickback funds will not come from the contractors’ profits.  Typically, the contractor will generate kickback money by using inferior materials and/or shoddy construction.  Therefore, it is critical to good public policy to have an independent professional to inspect and oversee construction of all public projects. The Design Build method allows the fox to guard the chicken coop.

 

A CLARION LEDGER news article dated 5/4/04, titled State toll roads defeated in House,” reveals “House members today killed Mississippi’s bid to created toll roads.”  There was no mention of the “Design-Build,” legislation.

 

A SUN HERALD article dated 5/5/04, titled, “Port Connector Likely Died With Bill to Allow Toll Roads,” revealed:

 

The House on Tuesday killed a bill to allow toll roads in Mississippi, in the process likely killing hopes that a connector between the State Port…and Interstate 10 will be built in this generation.

“You can forget that,” said a frustrated Rep. Hank Zuber, R-Ocean Springs, who had pushed for the toll-road legislation. “(The Mississippi Department of Transportation) doesn’t have the money to start construction in this lifetime.” On Tuesday, Zuber was searching for way to revive the legislation.

 

However, curiously, the above article did not say what had happened to the “Design-Build” legislation. 

On 12/7/05, the Design-Build legislation was researched.  It was learned that the Design-Build legislation was an amendment to Section 65-1-85, Mississippi Code of 1972, as amended (Method of awarding contracts).  There were some differences in the Senate and House versions.  The legislation was sent to a Senate/House conference committee consisting of three senators, including: Senator Billy Hewes, R-Harrison County; Stacey E. Pickering, R-Jones County; and Merle Flowers, R- Desoto County;  Representatives: Hank Zuber, R Jackson County; Greg Ward D-Benton, Tippa, Union Counties; William Miles D- Itawamba, Monroe Counties, for reconciliation.

 

This committee reconciled the Senate and House Bills.  The legislation was sent to the Governor and he signed it on 5/13/04. The Design Build legislation is as follows:

 

Par (11)(a) of the legislation states, “As an alternative to the method of awarding contracts as otherwise provided in this section, the commission may use the Design-build method of contracting for the following:

            (i) Projects for the Mississippi Development Authority pursuant to agreements between both governmental entities:

            (ii) Any project with an estimated cost of not more than Ten Million Dollars ($10,000,000.00), not to exceed two (2) projects per fiscal year; and

            (iii)Any project with an estimated cost of more than Fifty Million Dollars ($50,000,000.00), not to exceed one (1) project per fiscal year.

          (b) As used in this subsection, the term “design-build) method of contracting means a contract that combines the design and construction phases of a project into a single contract and the contractor is required to satisfactorily perform, at a minimum, both the design and construction of the project.

         (c) The commission shall establish detailed criteria for the selection of the successful design-build contractor in each request for design-build proposals.  The evaluation of the selection committee is a public record and shall be maintained for a minimum of ten (10) years after project completion.

         (d) The commission shall maintain detailed records on projects separate an apart from its regular record keeping.  The commission shall file a report to the Legislature evaluating the design-build method of contracting by comparing it to the low-bid method of contracting.  At a minimum, the report must include:

            (i) The management goals and objectives for the design-build system of management;

            (ii) A complete description of the components of the design-build system, including a description of the system the department put into place on all projects managed under the system to insure that it has the complete information on highway segment costs and to insure proper analysis of any proposal the commission receives from a highway contractor;

            (iii) The accountability systems the Transportation Department established to monitor any design-build project’s compliance with specific goals and objectives for the project;

            (iv) The outcome of any project or any interim report on an ongoing project let under a design-build management system showing compliance with the goals, objectives, policies and procedures the department set for the project; and

            (v) The method used by the department to select projects to be let under the design-build system of management and all other systems, policies and procedures that the department considered as necessary components to a design-build management system.

            (vi)All contracts let under the provisions of this subsection shall be subjects to oversight and review by the State Auditor.  The State Auditor shall file a report with the Legislature on or before January 1 of each year detailing his findings with regard to any contract let or project performed in violation of the provisions of this subsection….

 

$2.2 Billion More Federal Funds For MDOT Money Machine

A SUN HERALD news article dated 11/11/03, titled, “Biloxi connector road not in plan,” bylined, “Federal money sought for Gulfport’s, reveals:

 

A proposed north-south connector highway for Biloxi is not on the list of projects the state submitted to Congress for inclusion in the next six-year federal transportation plan.

 

Congress is in the process of reauthorizing the Transportation Equity Act of the 21st Century…highway projects attached to it have better chances of receiving federal money.

 

A SUN HERALD article dated 4/3/04, titled “Though veto looms, highway passes,” bylined, “House version has $45M for S. Mississippi,” reveals:

 

The House passed a highway bill Friday that includes $45 million to ease congestion and improve safety on South Mississippi roadways…

 

The bill allots about $2.2 billion in federal highway funds to Mississippi over the six years.  Most of the money is pegged for the Mississippi Department of Transportation general fund for maintenance and unspecified building plans.

 

However, more than over $100 million is earmarked for 51 projects stateside, including $8 million for the Canal Road Connector and about $5 million for widening Mississippi 57 in Jackson County. 

 

Wayne Brown…said the department has received highway funding in other recent bills.  “I would say we’ve received more than our fair share,” Brown said.

 

The bill provides $45 million for Taylor’s district…Taylor serves on the House Transportation and Infrastructure Committee, which drew up the bill.

 

A SUN HERALD news article dated 4/10/04, titled, “Federal highway bill proposes $2.2B for Miss.” reveals:

 

The Senate in February passed a separate, $318 billion bill for financing highway and mass transit projects…

 

South Mississippi would get $45 million under the bill for high-priority projects requested by 4th District U.S. Rep. Gene Taylor…

 

Taylor said, “The transportation bill is a jobs bill and an economic development investment…The improvements in our transportation infrastructure will alleviate traffic congestion, improve highway safety, and contribute significantly to continued economic growth in Mississippi and throughout America.”

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