2.2-1519 - Implementation of certain capital outlay projects.
§ 2.2-1519. Implementation of certain capital outlay projects.
A. 1. The Central Capital Planning Fund, the State Agency Capital Account,and the Public Educational Institution Capital Account established pursuantto § 2.2-1520 shall be used to fund capital outlay projects included in thesix-year capital outlay plan enacted into law.
2. In addition, public educational institutions and state agencies mayrequest authority and appropriation to conduct pre-planning for any suchproject using nongeneral fund sources. Such costs may be reimbursed up to thelesser of $250,000 or one percent of the project construction costs.
B. A Virginia-based contractor who does not have the same number of years ofcomparable experience under construction management or design-build shall notbe penalized for having less comparable experience in construction managementor design-build projects, provided such contractor does have significantexperience in constructing comparable projects under design-bid-build. Theprocuring entity shall consider the experience and quality of work that acontractor has done on projects comparable to the project being procured,whether under construction management, design-build, or design-bid-build.These factors shall be considered by the procuring entity in making itsdecisions in a pre-qualification or a contractor selection process.
C. If at any time during the detailed planning phase the total cost of acapital outlay project is estimated to exceed a threshold amount set forth inthe general appropriation act for the required use of value engineering, thenvalue engineering shall be utilized for such project. Each agency and publiceducational institution shall retain documentation of the value engineeringprocess conducted for any project, including documentation relating to (i)recommendations offered to the agency or institution, (ii) recommendationsaccepted and rejected by the agency or institution, and (iii) any savings tothe agency or institution resulting from the adoption of each recommendation.
D. For capital outlay projects for which an appropriation is made to theState Agency Capital Account or the Public Educational Institution CapitalAccount, after an agency or public educational institution has receivedauthorization to move to the construction phase of a project, the Director ofthe Department of Planning and Budget shall transfer sufficient appropriationfrom the State Agency Capital Account or the Public Educational InstitutionCapital Account, as appropriate.
E. 1. Prior to an agency or public educational institution awarding aconstruction contract for a project, the Director of the Department ofGeneral Services shall review the lowest bid or best proposal for theproject. If the total amount of such bid or proposal, plus previouslyexpended funds and a reasonable allowance for contingencies, does not exceed105 percent of the general fund-supported resources for the project asdetermined during the detailed planning phase, the Director of the Departmentof General Services and the Director of the Department of Planning and Budgetmay approve the contract. If the total amount of such bid or proposal, pluspreviously expended funds and a reasonable allowance for contingencies,exceeds 105 percent of the general fund-supported resources for the project,the Directors shall not approve the contract unless funding of that portionof such total project cost in excess of 105 percent of the generalfund-supported resources allocated to the project is from nongeneral fundsources such as private funds, gifts, grants, auxiliary funds, or federalfunds as appropriate.
2. If an agency or public educational institution is unable to procurefunding from nongeneral fund sources for that portion of such total projectcost in excess of 105 percent of the general fund-supported resourcesallocated to the project, then the agency or institution may reduce the sizeor scope of the project as necessary to remain within 105 percent of thegeneral fund-supported resources allocated to the project, provided that (i)it has completed a value engineering review by or in collaboration with theDepartment of General Services, (ii) it has provided a written, detailedanalysis of the proposed reduction to the Governor and to the Chairmen of theHouse Appropriations and Senate Finance Committees, and (iii) the projectafter such reduction in size or scope is substantially similar in quality andfunctionality to the original project.
3. An agency or public educational institution may request a supplementalallocation of general fund-supported resources through the budget processonly if it submits a written certification to the Chairmen of the HouseAppropriations and Senate Finance Committees, the Director of the Departmentof General Services, the Director of the Department of Planning and Budget,and, for public institutions of higher education only, the Executive Directorof the State Council of Higher Education, which certification (i) states thatadditional funding from nongeneral fund sources as described in subdivision 1will be insufficient to pay for the full amount of the project cost that isin excess of 105 percent of the general fund-supported resources allocated tothe project and (ii) provides a detailed analysis and description of theproject as modified for a reduction in size or scope as described insubdivision 2 as well as a justification for why such modifications in sizeor scope cannot be achieved.
4. Nothing in this section shall preclude an agency or public educationalinstitution from providing for re-design or additional value engineering ofprojects or re-bidding or re-submitting of proposals.
5. No construction contract for a capital outlay project included in thesix-year capital outlay plan enacted into law shall be awarded unless firstapproved by the Director of the Department of General Services and theDirector of the Department of Planning and Budget.
F. After a project has been approved by the Director of the Department ofGeneral Services and the Director of the Department of Planning and Budget,the Director of the Department of Planning and Budget shall transfer to theproject the remaining funds needed for construction from the State AgencyCapital Account or the Public Educational Institution Capital Account, asappropriate.
(2008, Sp. Sess. I, cc. 1, 2.)