1.1 	A bill for an act
1.2 	relating to transportation; establishing a qualification-based selection requirement 
1.3 	for certain projects at the Department of Transportation; requiring reports; 
1.4 	appropriating money.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. QUALIFICATION-BASED SELECTION FOR ENGINEERING 
1.7 	SERVICES PILOT PROGRAM.
 1.8 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
1.9 	the meanings given.
1.10 	(b) "Best value" has the meaning given in Minnesota Statutes, section 16C.28, subdivision 
1.11 	1b.
1.12 	(c) "Commissioner" means the commissioner of transportation.
1.13 	(d) "Contractual threshold" means a project with consultant fees for engineering services 
1.14 	in excess of $800,000 per project year.
1.15 	(e) "Project" means an uncompleted road construction project where qualification-based 
1.16 	selection services are utilized.
1.17 	(f) "Qualification-based selection" has the meaning given in Minnesota Statutes, section 
1.18 	16C.087, subdivision 2.
1.19 		Subd. 2.Establishment. From October 1, 2025, to March 1, 2028, the commissioner 
1.20 	must use qualification-based selection methods to determine the selection of engineering 
1.21 	and design professionals on five or more projects in each year meeting the contractual 
1.22 	threshold. The commissioner may use qualification-based selection methods across different 
2.1 	phases of an eligible project, including predesign, design, construction, and reconstruction. 
2.2 	In selecting which five projects per year are subject to qualification-based selection, the 
2.3 	commissioner must not use the same project or same phase of a project in a subsequent 
2.4 	year.
2.5 		Subd. 3.Preliminary report. By October 1, 2026, the commissioner must submit a 
2.6 	preliminary report to the chairs and ranking minority members of the legislative committees 
2.7 	with jurisdiction over transportation finance and policy. The report must contain information 
2.8 	on the use of qualification-based selection methods by the Department of Transportation 
2.9 	for certain road construction projects, including:
2.10 	(1) a preliminary evaluation of the use of qualification-based selection methods;
2.11 	(2) the development of criteria to determine eligible projects for which qualification-based 
2.12 	selection is used;
2.13 	(3) recommendations on whether legislative changes are necessary to increase the number 
2.14 	of projects using qualification-based selection methods before expiration of the pilot program; 
2.15 	and
2.16 	(4) information detailing the use of qualification-based selection methods on selected 
2.17 	projects, including the impact on:
2.18 	(i) procurement timelines;
2.19 	(ii) the quality of projects across all phases;
2.20 	(iii) change orders; and
2.21 	(iv) identified improvements to sustainability compared to best value engineering 
2.22 	practices.
2.23 		Subd. 4.Final report. By October 1, 2028, the commissioner must submit a final report 
2.24 	to the chairs and ranking minority members of the legislative committees with jurisdiction 
2.25 	over transportation finance and policy on the use of qualification-based selection methods 
2.26 	for eligible road construction projects. The final report must include updated information 
2.27 	on the preliminary report submitted under subdivision 3 and must include:
2.28 	(1) the commissioner's recommended number of projects for which qualification-based 
2.29 	selection methods are to be used;
2.30 	(2) a cost benefit analysis on the use of qualification-based selection methods compared 
2.31 	to best value engineering practices for eligible projects under the pilot program; and
3.1 	(3) any legislative recommendations to implement a higher number of qualification-based 
3.2 	selection methods or require the use of those methods for all road construction projects over 
3.3 	a certain contractual threshold for engineering services.
3.4 		Subd. 5.Expiration. This section expires January 15, 2029, or upon submission of the 
3.5 	final report in subdivision 4, whichever is sooner.

3.6 	EFFECTIVE DATE. This section is effective the day following final enactment.

3.7 	Sec. 2. APPROPRIATION.
 3.8 	$....... in fiscal year 2026 is appropriated from the general fund to the commissioner of 
3.9 	transportation for the use of qualification-based selection methods and preparation of the 
3.10 	legislative reports by the Department of Transportation in section 1. This is a onetime 
3.11 	appropriation and is available until June 30, 2029.