1.1A bill for an act1.2relating to transportation; amending trunk highway project bidding procedures; 1.3requiring use of alternative bidding for competing paving materials;amending 1.4Minnesota Statutes 2008, sections 161.32, by adding a subdivision; 174.185.1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:1.6    Section 1. Minnesota Statutes 2008, section 161.32, is amended by adding a 1.7subdivision to read:1.8    Subd. 8.Alternative bidding; paving materials.(a) For purposes of this 1.9subdivision, the terms defined in section 174.185, subdivision 1, have the meanings given 1.10them.1.11(b) For all contracts for an applicable project entered into on or after January 31, 1.122011, the commissioner shall use the standard for life-cycle cost analysis developed under 1.13section 174.185, subdivision 1a, as the basis for alternative bidding in which bidders may 1.14select alternative project designs that use alternative paving materials.1.15EFFECTIVE DATE.This section is effective the day following final enactment.1.16    Sec. 2. Minnesota Statutes 2008, section 174.185, is amended to read:1.17174.185 PAVEMENT LIFE-CYCLE COST ANALYSIS. 1.18    Subdivision 1.  Definitions. For the purposes of this section, the following 1.19definitions apply. 1.20    (a) "Applicable project" means any suitable trunk highway project in the statewide 1.21transportation improvement program categorized for construction, reconstruction, 1.22resurfacing, or reconditioning. Applicable project does not include (1) overlays; (2) on 1.23a two-lane road, a main-line project in which there is less than two miles of length of 2.1roadway within the construction limits; and (3) on a multilane road, a main-line project in 2.2which there is less than 30,000 square yards of paving within the construction limits.2.3(b) "Life-cycle cost" is the sum of the cost of the initial pavement project and 2.4all anticipated costs for maintenance, repair, and resurfacing over the life of the 2.5pavement. Anticipated costs must be based on Minnesota's actual or reasonably projected 2.6maintenance, repair, and resurfacing schedules, and costs determined by the Department 2.7of Transportation district personnel based upon recently awarded local projects and 2.8experience with local material costs. 2.9    (b) (c) "Life-cycle cost analysis" is a comparison of life-cycle costs among 2.10competing paving materials using equal design lives and equal comparison periods. 2.11    Subd. 1a.Uniform standard. By January 15, 2011, the commissioner shall develop 2.12a statewide uniform standard for life-cycle cost analysis based on the net present value 2.13method of comparative analysis of alternate paving materials from the Federal Highway 2.14Administration, United States Department of Transportation.2.15    Subd. 2.  Required analysis. For each applicable project in the reconditioning, 2.16resurfacing, and road repair funding categories, the commissioner shall perform a 2.17life-cycle cost analysis and shall document the lowest life-cycle costs and all alternatives 2.18considered. The commissioner shall document the chosen pavement strategy and, if the 2.19lowest life cycle is not selected, document the justification for the chosen strategy. A 2.20life-cycle cost analysis is required for projects to be constructed after July 1 January 31, 2.212011. For projects to be constructed prior to July before February 1, 2011, when feasible, 2.22the department will use its best efforts to perform life-cycle cost analyses. 2.23    Subd. 3.  Report.By January 15, 2012, and annually by January 15 thereafter, the 2.24commissioner shall report annually to the chairs and ranking minority members of the 2.25senate and house of representatives committees with jurisdiction over transportation 2.26finance beginning on January 1, 2012,on:2.27(1) the results of the analyses required in subdivision 2; and2.28(2) the results of alternative bidding under section 161.32, subdivision 8, including a 2.29listing of projects awarded using alternative bidding and projects identified as unsuitable 2.30for alternative bidding. 2.31EFFECTIVE DATE.This section is effective the day following final enactment.