SF 2905

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/25/2025 09:51 a.m.

A bill for an act
relating to transportation; establishing a qualification-based selection requirement
for certain projects at the Department of Transportation; requiring reports;
appropriating money.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin QUALIFICATION-BASED SELECTION FOR ENGINEERING
SERVICES PILOT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have
the meanings given.
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new text begin (b) "Best value" has the meaning given in Minnesota Statutes, section 16C.28, subdivision
1b.
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new text begin (c) "Commissioner" means the commissioner of transportation.
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new text begin (d) "Contractual threshold" means a project with consultant fees for engineering services
in excess of $800,000 per project year.
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new text begin (e) "Project" means an uncompleted road construction project where qualification-based
selection services are utilized.
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new text begin (f) "Qualification-based selection" has the meaning given in Minnesota Statutes, section
16C.087, subdivision 2.
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new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin From October 1, 2025, to March 1, 2028, the commissioner
must use qualification-based selection methods to determine the selection of engineering
and design professionals on five or more projects in each year meeting the contractual
threshold. The commissioner may use qualification-based selection methods across different
phases of an eligible project, including predesign, design, construction, and reconstruction.
In selecting which five projects per year are subject to qualification-based selection, the
commissioner must not use the same project or same phase of a project in a subsequent
year.
new text end

new text begin Subd. 3. new text end

new text begin Preliminary report. new text end

new text begin By October 1, 2026, the commissioner must submit a
preliminary report to the chairs and ranking minority members of the legislative committees
with jurisdiction over transportation finance and policy. The report must contain information
on the use of qualification-based selection methods by the Department of Transportation
for certain road construction projects, including:
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new text begin (1) a preliminary evaluation of the use of qualification-based selection methods;
new text end

new text begin (2) the development of criteria to determine eligible projects for which qualification-based
selection is used;
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new text begin (3) recommendations on whether legislative changes are necessary to increase the number
of projects using qualification-based selection methods before expiration of the pilot program;
and
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new text begin (4) information detailing the use of qualification-based selection methods on selected
projects, including the impact on:
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new text begin (i) procurement timelines;
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new text begin (ii) the quality of projects across all phases;
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new text begin (iii) change orders; and
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new text begin (iv) identified improvements to sustainability compared to best value engineering
practices.
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new text begin Subd. 4. new text end

new text begin Final report. new text end

new text begin By October 1, 2028, the commissioner must submit a final report
to the chairs and ranking minority members of the legislative committees with jurisdiction
over transportation finance and policy on the use of qualification-based selection methods
for eligible road construction projects. The final report must include updated information
on the preliminary report submitted under subdivision 3 and must include:
new text end

new text begin (1) the commissioner's recommended number of projects for which qualification-based
selection methods are to be used;
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new text begin (2) a cost benefit analysis on the use of qualification-based selection methods compared
to best value engineering practices for eligible projects under the pilot program; and
new text end

new text begin (3) any legislative recommendations to implement a higher number of qualification-based
selection methods or require the use of those methods for all road construction projects over
a certain contractual threshold for engineering services.
new text end

new text begin Subd. 5. new text end

new text begin Expiration. new text end

new text begin This section expires January 15, 2029, or upon submission of the
final report in subdivision 4, whichever is sooner.
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new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
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Sec. 2. new text begin APPROPRIATION.
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new text begin $....... in fiscal year 2026 is appropriated from the general fund to the commissioner of
transportation for the use of qualification-based selection methods and preparation of the
legislative reports by the Department of Transportation in section 1. This is a onetime
appropriation and is available until June 30, 2029.
new text end