Legislative Alerts: Procurement

Also of “budget” importance to Pennsylvania construction was the agreement to invest $600 million in capital construction and renovation projects through the Redevelopment Assistance Capital Projects program (RACP). As a result of legislation passed in conjunction with budget, funding will be made available for dozens of shovel-ready projects across the Commonwealth as well as future construction initiatives of all sizes and duration.

As a follow-up to testimony provided before the Senate Education Committee, GCAP sent a letter to the Committee reiterating the extremely positive impact a mandate waiver from the Separations Act continues to have on a major construction project at the A.W. Career Center near Pittsburgh.

GCAP confirmed for the Committee that not only did Uhl Construction’s initial bid come in lower than what the school had budgeted, but the single prime delivery method is allowing the school to do additional work that will make the building LEED certified at the silver level while still being on time and UNDER budget.

After litigation by ABC member contractors stalled a major prison expansion initiative by the Department of General Services (DGS), the Commonwealth is moving forward with a key design-build project adjacent to SCI Rockview in Centre County.

DGS will use the technical scores in bid submissions to narrow the field of potential winners to three. From there, facts and figures will be the key in determining who will build the new $181.5 million facility. While DGS specs have driven the budget way down, the most significant change from the previous RFP is that there will be no PLA requirement. A bidder may include one at his option and will receive 10 points for doing so.

The Department will follow this RFP with one for SCI Graterford later this spring (late April/early May). Like SCI Benner, the revised RFP will contain slimmed down specs to keep costs well below the previously budgeted $400 million for the project. Unlike the Centre County venture, SCI Graterford will likely have a PLA.

For more information about these projects, please call contact Terry McDonough at 717-731-6272 or keystonecontractors@verizon.net.

As GCAP member contractors wait for the go-ahead to begin work for which they successfully bid, construction on six state prison expansion projects is at a stand still. At issue is how to implement the design build process supported by the Department of General Services and GCAP in light of Pennsylvania’s nonsensical Separations Act that requires the Commonwealth to hold four separate contracts for any public works construction project. This problem was largely brought to the surface as a result of litigation regarding a separate problem with public construction, project labor agreements (PLAs).

GCAP continues to have conversations with the Department and legislative leaders interested in finding a resolution to this matter. For more information about this matter, please call contact Terry McDonough at 717-731-6272 or keystonecontractors@verizon.net.

GCAP primarily provides legislative monitoring and advocacy services to members of KCA, the Master Builders Association, the General Building Contractors Association and the Builders Association of Eastern Ohio and Western Pennsylvania. Additionally, the Board of Governors of GCAP does arrange to meet at least annually with representatives of state agencies to hear their proposed construction plans for the upcoming fiscal year. GCAP met with the agencies at it’s March 27th Board of Governors meeting and we have prepared a summary of projected construction projects which were presented for review.

AGC has compiled economic data which estimates the impact of $1 billion of construction spending on a state’s economy.

Coalitions Separation Act Mandate Waivers Support Letter for Act 61 Taskforce, December 18, 2008 (pdf)