With passage of AB 195, design-build authority was extended to 2016. Passage of this bill was critical because without it, design-build authority was set to expire at the end of this year. DBIA’s Western Pacific Region continues to work on comprehensive design-build legislation that would streamline and standardize the design-build law for both state and local governments. Their bill, SB 785, is still pending.
AB 401 recently passed as well. This controversial bill authorizes CalTrans & regional governments to use design-build on up to 10 projects between 2014 and 2024. The controversy stems from provisions included in the bill that require all project inspection services to be performed by CalTrans employees and the design-builder would be required to reimburse the state for prevailing wage enforcement. Critics of the bill feel that the inspection provisions put an undue risk on design-builders that perform the work and that the limit of 10 projects over 10 years unnecessarily limits design-build at a time when owners have indicated a desire to use design-build more extensively.