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GCN Special Report - A History of Deception
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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