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House Bill 1306 — Equity and Efficiencies in Public Works Procurement (Washington, 2023 Regular Session)

Summary

House Bill 1306 of the State of Washington, 2023 Regular Session, sponsored by Representatives Tharinger, Steele, Reed, Pollet, and Leavitt. It was read first time on January 13, 2023 and referred to the Committee on Innovation, Community & Economic Development, & Veterans. The title describes an act relating to equity and efficiencies in public works procurement, including modifying small works roster requirements, repealing RCW 39.04.155 and 39.04.156, providing effective dates, and declaring an emergency. Section 1 states legislative findings and intent to provide a small business definition and revise the small and limited works roster process. Sections 31 and 35 take effect July 1, 2023, and sections 1 through 30, 32 through 34, 36, and 37 take effect July 1, 2024.

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“House Bill 1306 — Equity and Efficiencies in Public Works Procurement (Washington, 2023 Regular Session).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-01-27-a30511-bill-1306-c944722940/, SHA-256 6e1e226620851cd15fbfafcacdc9a2904de4f31baf3be2ba79499026322550ef.

Full text

     H-0294.2

                                HOUSE BILL 1306


     State of Washington       68th Legislature       2023 Regular Session

     By Representatives Tharinger, Steele, Reed, Pollet, and Leavitt

     Read first time 01/13/23.      Referred to Committee   on   Innovation,
     Community & Economic Development, & Veterans.




 1       AN ACT Relating to equity and efficiencies in public works
 2   procurement including modifying small works roster requirements;
 3   amending RCW 39.04.010, 39.19.030, 39.10.200, 39.10.210, 39.10.220,
 4   39.10.230, 39.10.240, 39.10.330, 39.10.360, 39.10.380, 39.10.385,
 5   39.10.908, 28A.335.190, 28B.10.350, 28B.50.330, 35.22.620, 35.23.352,
 6   35.61.135, 35.82.076, 36.32.235, 36.32.250, 36.77.075, 39.04.200,
 7   39.04.380, 39.12.040, 52.14.110, 53.08.120, 54.04.070, 57.08.050,
 8   70.44.140, 87.03.436, and 43.131.408; adding new sections to chapter
 9   39.04 RCW; creating a new section; repealing RCW 39.04.155 and
10   39.04.156; providing effective dates; and declaring an emergency.

11   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:


12       NEW SECTION. Sec. 1. The legislature finds the need to increase
13   equity and efficiencies in public works procurement. The legislature
14   further finds that small, minority, women, and veteran-owned
15   businesses are essential to a robust and high-functioning economy,
16   which provides high quality living wage jobs throughout the state.
17   The legislature further finds that public works contracting agencies
18   need a streamlined and effective method for delivering small public
19   works projects while protecting worker rights. Therefore, the
20   legislature intends to provide a small business definition, best
21   practices to be included in inclusion plans, and to update and revise
                                     p. 1                            HB 1306
 1   the small and limited works roster process to increase administrative
 2   efficiency, to encourage greater participation and utilization by
 3   women, minority, and veteran-owned businesses and small business
 4   entities, and continue to protect the rights of workers engaging in
 5   public works projects.


 6       Sec. 2.   RCW 39.04.010 and 2008 c 130 s 16 are each amended to
 7   read as follows:
 8       The definitions in this section apply throughout this chapter
 9   unless the context clearly requires otherwise.
10       (1) "Authorized local government" means a political subdivision
11   of the state, school district, or special purpose district with
12   public works authority.
13       (2) "Award" means the formal decision by the state or
14   municipality   notifying  a   responsible  bidder   with  the  lowest
15   responsive bid of the state's or municipality's acceptance of the bid
16   and intent to enter into a contract with the bidder.
17       (((2))) (3) "Contract" means a contract in writing for the
18   execution of public work for a fixed or determinable amount duly
19   awarded after advertisement and competitive bid, or a contract
20   awarded under the small works roster process in ((RCW 39.04.155))
21   sections 14 through 16 of this act.
22       (((3))) (4) "Municipality" means every city, county, town, port
23   district, district, or other public agency authorized by law to
24   require the execution of public work, except drainage districts,
25   diking districts, diking and drainage improvement districts, drainage
26   improvement districts, diking improvement districts, consolidated
27   diking and drainage improvement districts, consolidated drainage
28   improvement districts, consolidated diking improvement districts,
29   irrigation districts, or other districts authorized by law for the
30   reclamation or development of waste or undeveloped lands.
31       (((4)))   (5)  "Public   work"  means   all  work,   construction,
32   alteration, repair, or improvement other than ordinary maintenance,
33   executed at the cost of the state or of any municipality, or which is
34   by law a lien or charge on any property therein. All public works,
35   including maintenance when performed by contract shall comply with
36   chapter 39.12 RCW. "Public work" does not include work, construction,
37   alteration, repair, or improvement performed under contracts entered
38   into under RCW 36.102.060(4) or under development agreements entered


                                     p. 2                          HB 1306
 1   into under RCW 36.102.060(7) or leases entered into under RCW
 2   36.102.060(8).
 3       (((5))) (6) "Responsible bidder" means a contractor who meets the
 4   criteria in RCW 39.04.350.
 5       (((6)))   (7)   "Small   business"  means   a   business  meeting
 6   certification criteria for size, ownership, control, and personal net
 7   worth adopted by the office of minority and women's business
 8   enterprises in accordance with RCW 39.19.030.
 9       (8) "State" means the state of Washington and all departments,
10   supervisors, commissioners, and agencies of the state.
11       (9) "State agency" means the department of enterprise services,
12   the state parks and recreation commission, the department of natural
13   resources, the department of fish and wildlife, the department of
14   transportation, any institution of higher education as defined under
15   RCW 28B.10.016, and any other state agency delegated authority by the
16   department of enterprise services to engage in construction,
17   building, renovation, remodeling, alteration, improvement, or repair
18   activities.


19       Sec. 3. RCW 39.19.030 and 1996 c 69 s 5 are each amended to read
20   as follows:
21       There is hereby created the office of minority and women's
22   business enterprises. The governor shall appoint a director for the
23   office, subject to confirmation by the senate. The director may
24   employ a deputy director and a confidential secretary, both of which
25   shall be exempt under chapter 41.06 RCW, and such staff as are
26   necessary to carry out the purposes of this chapter.
27       The office shall consult with the minority and women's business
28   enterprises advisory committee to:
29       (1) Develop, plan, and implement programs to provide an
30   opportunity for participation by qualified minority and women-owned
31   and controlled businesses in public works and the process by which
32   goods and services are procured by state agencies and educational
33   institutions from the private sector;
34       (2) Develop a comprehensive plan insuring that qualified minority
35   and women-owned and controlled businesses are provided an opportunity
36   to participate in public contracts for public works and goods and
37   services;



                                     p. 3                          HB 1306
 1       (3) Identify barriers to equal participation by qualified
 2   minority and women-owned and controlled businesses in all state
 3   agency and educational institution contracts;
 4       (4) Establish annual overall goals for participation by qualified
 5   minority and women-owned and controlled businesses for each state
 6   agency and educational institution to be administered on a contract-
 7   by-contract basis or on a class-of-contracts basis;
 8       (5) Develop and maintain a central minority and women's business
 9   enterprise certification list for all state agencies and educational
10   institutions. No business is entitled to certification under this
11   chapter unless it meets the definition of small business concern as
12   established by the office. All applications for certification under
13   this chapter shall be sworn under oath;
14       (6) Develop, implement, and operate a system of monitoring
15   compliance with this chapter;
16       (7) Adopt rules under chapter 34.05 RCW, the Administrative
17   Procedure Act, governing: (a) Establishment of agency goals; (b)
18   development and maintenance of a central minority and women's
19   business enterprise certification program and a public works small
20   business certification program, including a definition of "small
21   business concern" which shall be consistent with the small business
22   requirements defined under section 3 of the Small Business Act, 15
23   U.S.C. Sec. 632, and its implementing regulations as guidance; (c)
24   procedures for monitoring and enforcing compliance with goals,
25   regulations, contract provisions, and this chapter; (d) utilization
26   of standard clauses by state agencies and educational institutions,
27   as specified in RCW 39.19.050; and (e) determination of an agency's
28   or educational institution's goal attainment consistent with the
29   limitations of RCW 39.19.075;
30       (8) Submit an annual report to the governor and the legislature
31   outlining the progress in implementing this chapter;
32       (9) Investigate complaints of violations of this chapter with the
33   assistance of the involved agency or educational institution; and
34       (10) Cooperate and act jointly or by division of labor with the
35   United States or other states, and with political subdivisions of the
36   state of Washington and their respective minority, socially and
37   economically disadvantaged and women business enterprise programs to
38   carry out the purposes of this chapter. However, the power which may
39   be   exercised  by   the   office   under  this   subsection   permits
40   investigation and imposition of sanctions only if the investigation
                                     p. 4                          HB 1306
 1   relates to a possible violation of chapter 39.19 RCW, and not to
 2   violation   of   local   ordinances,   rules,   regulations, however
 3   denominated, adopted by political subdivisions of the state.


 4       Sec. 4.   RCW 39.10.200 and 2010 1st sp.s. c 21 s 2 are each
 5   amended to read as follows:
 6       The legislature finds that the traditional process of awarding
 7   public works contracts in lump sum to the lowest responsible bidder
 8   is a fair and objective method of selecting a contractor. However,
 9   under certain circumstances, alternative public works contracting
10   procedures may best serve the public interest if such procedures are
11   implemented in an open and fair process based on objective and
12   equitable criteria. In addition, alternative public works contracting
13   can provide increased access to contracting opportunities for women,
14   minority, and veteran-owned businesses and small business entities.
15   The purpose of this chapter is to authorize the use of certain
16   supplemental alternative public works contracting procedures, to
17   prescribe appropriate requirements to ensure that such contracting
18   procedures serve the public interest and advance contracting
19   opportunities for women, minority, and veteran-owned businesses and
20   small business entities to the extent permitted by law, and to
21   establish a process for evaluation of such contracting procedures. It
22   is the intent of the legislature to establish that, unless otherwise
23   specifically provided for in law, public bodies may use only those
24   alternative   public   works   contracting   procedures  specifically
25   authorized in this chapter, subject to the requirements of this
26   chapter. It is also the intent of the legislature that inclusion
27   plans required by this chapter may include, with public body approval
28   and to the extent permitted by law, features to improve access to
29   opportunities, including outreach and mentorship, capital including,
30   modified payment provisions, training, and other features intended to
31   maximize the participation and success of women, minority, and
32   veteran-owned businesses and small business entities.


33       Sec. 5.   RCW 39.10.210 and 2021 c 230 s 1 are each amended to
34   read as follows:
35       Unless the context clearly requires otherwise, the definitions in
36   this section apply throughout this chapter.
37       (1) "Alternative public works contracting procedure" means the
38   design-build, general contractor/construction manager, and job order
                                     p. 5                          HB 1306
 1   contracting procedures authorized in RCW 39.10.300, 39.10.340, and
 2   39.10.420, respectively.
 3       (2) "Board" means the capital projects advisory review board.
 4       (3) "Budget contingencies" means contingencies established by a
 5   public body outside of the design-build or general contractor/
 6   construction manager contract for payment of project costs that are
 7   not the responsibility of the design-builder or general contractor/
 8   construction manager under the respective contract.
 9       (4) "Certified public body" means a public body certified to use
10   design-build or general contractor/construction manager contracting
11   procedures, or both, under RCW 39.10.270.
12       (5) "Coefficient" means the job order contractor's competitively
13   bid numerical factor applied to the public body's prices as published
14   in the unit price book.
15       (6) "Committee," unless otherwise noted, means the project review
16   committee.
17       (7) "Design-build procedure" means a contract between a public
18   body and another party in which the party agrees to both design and
19   build the facility, portion of the facility, or other item specified
20   in the contract.
21       (8) (("Disadvantaged business enterprise" means any business
22   entity certified with the office of minority and women's business
23   enterprises under chapter 39.19 RCW.
24       (9))) "General contractor/construction manager" means a firm with
25   which a public body has selected to provide services during the
26   design phase and negotiated a maximum allowable construction cost to
27   act as construction manager and general contractor during the
28   construction phase.
29       (((10))) (9) "Heavy civil construction project" means a civil
30   engineering   project,  the   predominant   features  of   which  are
31   infrastructure improvements.
32       (((11))) (10) "Job order contract" means a contract in which the
33   contractor agrees to a fixed period, indefinite quantity delivery
34   order contract which provides for the use of work orders for public
35   works as defined in RCW 39.04.010.
36       (((12))) (11) "Job order contractor" means a registered or
37   licensed contractor awarded a job order contract.
38       (((13))) (12) "Maximum allowable construction cost" means the
39   maximum cost of the work to construct the project including a


                                     p. 6                          HB 1306
 1   percentage for risk contingency, negotiated support services, and
 2   approved change orders.
 3       (((14))) (13) "Negotiated support services" means items a general
 4   contractor would normally manage or perform on a construction project
 5   including,   but   not   limited  to   surveying,  hoisting,   safety
 6   enforcement, provision of toilet facilities, temporary heat, cleanup,
 7   and trash removal, and that are negotiated as part of the maximum
 8   allowable construction cost.
 9       (((15))) (14) "Percent fee" means the percentage amount to be
10   earned by the general contractor/construction manager as overhead and
11   profit.
12       (((16))) (15) "Price-related factor" means an evaluation factor
13   that impacts costs which may include, but is not limited to overhead
14   and profit, lump sum or guaranteed maximum price for the entire or a
15   portion of the project, operating costs, or other similar factors
16   that may apply to the project.
17       (((17))) (16) "Public body" means any general or special purpose
18   government in the state of Washington, including but not limited to
19   state agencies, institutions of higher education, counties, cities,
20   towns, ports, school districts, and special purpose districts.
21       (((18))) (17) "Public works project" means any work for a public
22   body within the definition of "public work" in RCW 39.04.010.
23       (((19))) (18) "Risk contingency" means a contingency for use as
24   defined in the contract and established as part of the maximum
25   allowable construction cost for unexpected cost of work items that
26   have not otherwise been included or addressed in the maximum
27   allowable construction cost.
28       (((20))) (19) "Small business ((entity))" means a small business
29   as defined in RCW ((39.26.010)) 39.04.010.
30       (((21))) (20) "Total contract cost" means the fixed amount for
31   the detailed specified general conditions work, the negotiated
32   maximum allowable construction cost, and the percent fee on the
33   negotiated maximum allowable construction cost.
34       (((22))) (21) "Total project cost" means the cost of the project
35   less financing and land acquisition costs.
36       (((23))) (22) "Unit price book" means a book containing specific
37   prices,   based  on   generally   accepted  industry   standards and
38   information, where available, for various items of work to be
39   performed by the job order contractor.


                                     p. 7                          HB 1306
 1       (((24))) (23) "Work order" means an order issued for a definite
 2   scope of work to be performed pursuant to a job order contract.


 3       Sec. 6.   RCW 39.10.220 and 2021 c 230 s 2 are each amended to
 4   read as follows:
 5       (1) The board is created in the department of enterprise services
 6   to provide an evaluation of public capital projects construction
 7   processes, including the impact of contracting methods on project
 8   outcomes, and to advise the legislature on policies related to public
 9   works delivery methods.
10       (2) Members of the board identified in (a) through (f) of this
11   subsection must be knowledgeable or have experience in public works
12   procurement and contracting, including state and federal laws, rules,
13   and best practices concerning public contracting for minority, women,
14   and veteran-owned businesses and small businesses, and are appointed
15   as follows:
16       (a) Two representatives from construction general contracting;
17   one    representative   from   the   architectural   profession;  one
18   representative from the engineering profession; two representatives
19   from construction specialty subcontracting; two representatives from
20   construction trades labor organizations; one representative from the
21   office    of   minority   and  women's   business   enterprises;  one
22   representative     from   a   higher   education   institution;   one
23   representative from the department of enterprise services; one
24   individual representing Washington cities; two representatives from
25   private industry; one individual from the private sector representing
26   the interests of the ((disadvantaged business enterprises)) small and
27   women, minority, or veteran-owned businesses community; and one
28   representative of a domestic insurer authorized to write surety bonds
29   for contractors in Washington state, each appointed by the governor.
30   The board must reflect the gender, racial, ethnic, and geographic
31   diversity of the state, including the interests of persons with
32   disabilities. If a vacancy occurs, the governor shall fill the
33   vacancy for the unexpired term;
34       (b) One member representing counties, selected by the Washington
35   state association of counties;
36       (c) One member representing public ports, selected by the
37   Washington public ports association;
38       (d) One member representing public hospital districts, selected
39   by the association of Washington public hospital districts;
                                     p. 8                          HB 1306
 1       (e) One member representing school districts, selected by the
 2   Washington state school directors' association;
 3       (f) One member representing transit, selected by the Washington
 4   state transit association; and
 5       (g) Two members of the house of representatives, one from each
 6   major   caucus,   appointed  by   the   speaker  of   the  house   of
 7   representatives, and two members of the senate, one from each major
 8   caucus, appointed by the president of the senate. Legislative members
 9   are nonvoting.
10       (3) Members selected under subsection (2)(a) of this section
11   shall serve for terms of four years, with the terms expiring on June
12   30th on the fourth year of the term.
13       (4) The board chair is selected from among the appointed members
14   by the majority vote of the voting members.
15       (5) Legislative members of the board shall be reimbursed for
16   travel expenses in accordance with RCW 44.04.120. Nonlegislative
17   members of the board, project review committee members, and committee
18   chairs shall be reimbursed for travel expenses as provided in RCW
19   43.03.050 and 43.03.060.
20       (6) Vacancies are filled in the same manner as appointed. Members
21   of the board may be removed for malfeasance or misfeasance in office,
22   upon specific written charges by the governor, under chapter 34.05
23   RCW.
24       (7) The board shall meet as often as necessary.
25       (8) Board members are expected to consistently attend board
26   meetings. The chair of the board may ask the governor to remove any
27   member who misses more than two meetings in any calendar year without
28   cause.
29       (9) The department of enterprise services shall provide staff
30   support as may be required for the proper discharge of the function
31   of the board.
32       (10) The board may establish committees as it desires and may
33   invite nonmembers of the board to serve as committee members.
34       (11) The board shall provide opportunities for persons and
35   entities not represented on the board to participate and provide
36   insights on matters of interest to the board, particularly with
37   respect to the experiences of minority, women, and veteran-owned
38   businesses and small businesses.



                                     p. 9                          HB 1306
 1       Sec. 7.   RCW 39.10.230 and 2021 c 230 s 3 are each amended to
 2   read as follows:
 3       The board has the following powers and duties:
 4       (1) Develop and recommend to the legislature policies to
 5   encourage competition and to further enhance the quality, efficiency,
 6   and accountability of and equitable participation by ((disadvantaged
 7   business enterprises)) small and women, minority, or veteran-owned
 8   businesses in capital construction projects through the use of
 9   traditional and alternative delivery methods in Washington, and make
10   recommendations regarding best practices, expansion, continuation,
11   elimination, or modification of the alternative public works
12   contracting methods, including specific recommendations for reducing
13   barriers for and increasing participation by ((disadvantaged business
14   enterprises)) small and women, minority, or veteran-owned businesses;
15       (2) Evaluate the use of existing contracting procedures and the
16   potential future use of other alternative contracting procedures
17   including competitive negotiation contracts;
18       (3) Submit recommendations to the appropriate committees of the
19   legislature evaluating alternative contracting procedures that are
20   not authorized under this chapter;
21       (4) Appoint members of committees; and
22       (5) Direct the department of enterprise services to collect
23   quantitative and qualitative data on alternative public works
24   contracting procedures to support the board's work in meeting the
25   purpose established in RCW 39.10.220(1).


26       Sec. 8.   RCW 39.10.240 and 2021 c 230 s 4 are each amended to
27   read as follows:
28       (1) The board shall establish a project review committee to
29   review and approve public works projects using the design-build and
30   general   contractor/construction   manager  contracting  procedures
31   authorized in RCW 39.10.300 and 39.10.340 and to certify public
32   bodies as provided in RCW 39.10.270.
33       (2) The board shall, by a majority vote of the board, appoint
34   persons to the committee who are knowledgeable in the use of the
35   design-build and general contractor/construction manager contracting
36   procedures. Appointments must represent a balance of public and
37   private sector representatives of the board listed in RCW 39.10.220,
38   and must include at least one member representing the interests of


                                     p. 10                         HB 1306
 1   ((disadvantaged business enterprises)) small and women, minority, or
 2   veteran-owned businesses.
 3       (a) Each member of the committee shall be appointed for a term of
 4   three years. However, for initial appointments, the board shall
 5   stagger the appointment of committee members so that the first
 6   members are appointed to serve terms of one, two, or three years from
 7   the date of appointment. Appointees may be reappointed to serve more
 8   than one term.
 9       (b) The committee shall, by a majority vote, elect a chair and
10   vice chair for the committee.
11       (c) The committee chair may select a person or persons on a
12   temporary basis as a nonvoting member if project specific expertise
13   is needed to assist in a review.
14       (3) The chair of the committee, in consultation with the vice
15   chair, may appoint one or more panels of at least six committee
16   members to carry out the duties of the committee. Each panel shall
17   have balanced representation of the private and public sector
18   representatives serving on the committee, and shall include a member
19   representing the interests of ((disadvantaged business enterprises))
20   small and women, minority, or veteran-owned businesses.
21       (4) Any member of the committee directly or indirectly affiliated
22   with a submittal before the committee must recuse himself or herself
23   from the committee consideration of that submittal.
24       (5) Any person who sits on the committee or panel is not
25   precluded from subsequently bidding on or participating in projects
26   that have been reviewed by the committee.
27       (6) The committee shall meet as often as necessary to ensure that
28   certification and approvals are completed in a timely manner.

29       Sec. 9.   RCW 39.10.330 and 2021 c 230 s 7 are each amended to
30   read as follows:
31       (1) Contracts for design-build services shall be awarded through
32   a competitive process using public solicitation of proposals for
33   design-build services. At a minimum, the public body shall publish at
34   least once in a legal newspaper of general circulation published in,
35   or as near as possible to, that part of the county in which the
36   public work will be done, a notice of its request for qualifications
37   from proposers for design-build services, and the availability and
38   location of the request for proposal documents. The public body is
39   encouraged to post the design-build opportunity in additional areas,
                                     p. 11                         HB 1306
 1   such as websites for business associations or the office of minority
 2   and   women's   business   enterprises,   to   further   publicize   the
 3   opportunity for qualified design-build teams. The request for
 4   qualifications documents shall include:
 5       (a) A description of the project including the estimated design-
 6   build contract value and the intended use of the project;
 7       (b) The reasons for using the design-build procedure;
 8       (c) A description of the qualifications to be required of the
 9   proposer;
10       (d) A description of the process the public body will use to
11   evaluate    qualifications   and    finalists'   proposals,    including
12   evaluation factors and the relative weight of factors and any
13   specific forms to be used by the proposers;
14       (i) Evaluation factors for qualifications shall include technical
15   qualifications,   such   as   specialized   experience   and   technical
16   competence of the firms and the key design and construction
17   personnel; capacity to perform; the proposer's past performance in
18   utilization   of   ((disadvantaged   business   enterprises))   business
19   entities certified with the office of minority and women's business
20   enterprises, including small businesses and business entities
21   certified with the department of veterans affairs, to the extent
22   permitted by law; ability to provide a performance and payment bond
23   for the project; and other appropriate factors. ((Evaluation factors
24   must also include, but are not limited to, the proposer's past
25   performance in utilization of small business entities.)) Cost or
26   price-related factors are not permitted in the request for
27   qualifications phase;
28       (ii) Evaluation factors for finalists' proposals shall include
29   the management plan to meet time and budget requirements and one or
30   more price-related factors. Evaluation factors must include a
31   proposer's   inclusion  plan  for   ((small  business   entities  and
32   disadvantaged business enterprises)) business entities certified with
33   the office of minority and women's business enterprises, including
34   small businesses and business entities certified with the department
35   of veterans affairs as subconsultants, subcontractors, and suppliers
36   for the project, to the extent permitted by law. Evaluation factors
37   may also include, but not be limited to, the technical approach or
38   the design concept;
39       (e) Protest procedures including time limits for filing a
40   protest, which in no event may limit the time to file a protest to
                                      p. 12                          HB 1306
 1   fewer than four business days from the date the proposer was notified
 2   of the selection decision;
 3       (f) The proposed contract;
 4       (g) The honorarium to be paid to finalists submitting responsive
 5   proposals and who are not awarded a design-build contract;
 6       (h) The schedule for the procurement process and the project; and
 7       (i) Other information relevant to the project.
 8       (2) The public body shall establish an evaluation committee to
 9   evaluate the responses to the request for qualifications based solely
10   on the factors, weighting, and process identified in the request for
11   qualifications and any addenda issued by the public body. Based on
12   the evaluation committee's findings, the public body shall select not
13   more than five responsive and responsible finalists to submit
14   proposals. The public body may, in its sole discretion, reject all
15   proposals and shall provide its reasons for rejection in writing to
16   all proposers.
17       (3) The public body must notify all proposers of the finalists
18   selected to move to the next phase of the selection process. The
19   process may not proceed to the next phase until two business days
20   after all proposers are notified of the committee's selection
21   decision. At the request of a proposer not selected as a finalist,
22   the public body must provide the requesting proposer with a scoring
23   summary of the evaluation factors for its proposal. Proposers filing
24   a protest on the selection of the finalists must file the protest in
25   accordance with the published protest procedures. The selection
26   process may not advance to the next phase of selection until two
27   business days after the final protest decision is transmitted to the
28   protestor.
29       (4) Upon selection of the finalists, the public body shall issue
30   a request for proposals to the finalists. The request for proposal
31   documents shall include:
32       (a) Any specific forms to be used by the finalists; and
33       (b) Submission of a summary of the finalist's accident prevention
34   program and an overview of its implementation.
35       (5) The public body shall establish an evaluation committee to
36   evaluate the proposals submitted by the finalists. The finalists'
37   proposals shall be evaluated and scored based solely on the factors,
38   weighting, and process identified in the request for qualifications,
39   the request for proposals, and in any addenda published by the public
40   body. Public bodies may request best and final proposals from
                                     p. 13                         HB 1306
 1   finalists. The public body may initiate negotiations with the
 2   finalist submitting the highest scored proposal. If the public body
 3   is unable to execute a contract with the finalist submitting the
 4   highest scored proposal, negotiations with that finalist may be
 5   suspended or terminated and the public body may proceed to negotiate
 6   with the next highest scored finalist. Public bodies shall continue
 7   in accordance with this procedure until a contract agreement is
 8   reached or the selection process is terminated.
 9       (6) The public body shall notify all finalists of the selection
10   decision and make a selection summary of the final proposals
11   available to all proposers within two business days of such
12   notification. If the public body receives a timely written protest
13   from a finalist firm, the public body may not execute a contract
14   until two business days after the final protest decision is
15   transmitted to the protestor. The protestor must submit its protest
16   in accordance with the published protest procedures.
17       (7) The firm awarded the contract shall provide a performance and
18   payment bond for the contracted amount.
19       (8) Any contract must require the firm awarded the contract to
20   track and report to the public body and to the office of minority and
21   women's business enterprises its utilization of the office of
22   minority and women's business enterprises certified businesses and
23   veteran certified businesses.
24       (9) The public body shall provide appropriate honorarium payments
25   to finalists submitting responsive proposals that are not awarded a
26   design-build contract. Honorarium payments shall be sufficient to
27   generate meaningful competition among potential proposers on design-
28   build projects. In determining the amount of the honorarium, the
29   public body shall recognize the level of effort required to meet the
30   selection criteria.

31       Sec. 10.   RCW 39.10.360 and 2021 c 230 s 9 are each amended to
32   read as follows:
33       (1) Public bodies should select general contractor/construction
34   managers at a time in the project when the general contractor/
35   construction manager's participation provides value.
36       (2) Contracts for the services of a general contractor/
37   construction manager under this section shall be awarded through a
38   competitive process requiring the public solicitation of proposals
39   for general contractor/construction manager services. At a minimum,
                                     p. 14                         HB 1306
 1   the public body shall publish at least once in a legal newspaper of
 2   general circulation published in, or as near as possible to, that
 3   part of the county in which the public work will be performed, a
 4   notice of its request for qualifications from proposers for general
 5   contractor/construction manager services, and the availability and
 6   location of the request for proposal documents. The public body is
 7   encouraged to post the general contractor/construction manager
 8   opportunity in additional areas, such as websites for business
 9   associations or the office of minority and women's business
10   enterprises, to further publicize the opportunity for qualified
11   general contractors/construction managers. The public solicitation of
12   proposals shall include:
13       (a) A description of the project, including programmatic,
14   performance, and technical requirements and specifications when
15   available;
16       (b) The reasons for using the general contractor/construction
17   manager procedure;
18       (c) A description of the qualifications to be required of the
19   firm, including submission of the firm's accident prevention program;
20       (d) A description of the process the public body will use to
21   evaluate qualifications and proposals, including evaluation factors,
22   the relative weight of factors, and protest procedures including time
23   limits for filing a protest, which in no event may limit the time to
24   file a protest to fewer than four business days from the date the
25   proposer was notified of the selection decision;
26       (e) The form of the contract, including any contract for
27   preconstruction services, to be awarded;
28       (f) The estimated maximum allowable construction cost; and
29       (g) The bid instructions to be used by the general contractor/
30   construction manager finalists.
31       (3) Evaluation factors for qualifications of the general
32   contractor/construction manager shall include, but not be limited to:
33       (a) Experience and technical competence of key personnel;
34       (b) The proposer's past performance with negotiated or similarly
35   complex projects;
36       (c) The proposer's capacity to perform the work;
37       (d) The scope of work the firm proposes to self-perform and its
38   past performance of that scope of work;
39       (e) The proposer's approach to executing the project, including
40   ability to meet the project time and budget requirements; and
                                     p. 15                         HB 1306
 1       (f)   The   proposer's   past  performance   in    utilization   of
 2   ((disadvantaged business enterprises and small business entities))
 3   business entities certified with the office of minority and women's
 4   business enterprises, including small businesses and business
 5   entities certified with the department of veterans affairs and the
 6   inclusion plan for ((small business entities and disadvantaged
 7   business enterprises)) business entities certified with the office of
 8   minority and women's business enterprises, including small businesses
 9   and business entities certified with the department of veterans
10   affairs as subconsultants, subcontractors, and suppliers for the
11   project, to the extent permitted by law.
12       (4) A public body shall establish a committee to evaluate the
13   proposals. After the committee has selected the most qualified
14   finalists, at the time specified by the public body, these finalists
15   shall submit final proposals, which must include sealed bids for the
16   percent fee on the estimated maximum allowable construction cost and
17   which may include other price-related factors identified in the
18   request for proposal. In no event shall a price-related factor
19   include a request for overall project budget, estimate, or bid. The
20   public body shall establish a time and place for the opening of
21   sealed bids. At the time and place named, these bids must be publicly
22   opened and read and the public body shall make all previous scoring
23   available to the public. The public body shall select the firm
24   submitting the highest scored final proposal using the evaluation
25   factors and the relative weight of factors published in the public
26   solicitation of proposals. A public body shall not evaluate or
27   disqualify a proposal based on the terms of a collective bargaining
28   agreement.
29       (5) The public body shall notify all finalists of the selection
30   decision and make a selection summary of the final proposals
31   available to all proposers within two business days of such
32   notification. If the public body receives a timely written protest
33   from a proposer, the public body may not execute a contract until two
34   business days after the final protest decision is transmitted to the
35   protestor. The protestor must submit its protest in accordance with
36   the published protest procedures.
37       (6) Public bodies may contract with the selected firm to provide
38   services during the design phase that may include life-cycle cost
39   design   considerations,    value   engineering,    scheduling,    cost
40   estimating, constructability, alternative construction options for
                                      p. 16                         HB 1306
1    cost savings, and sequencing of work, and to act as the construction
2    manager and general contractor during the construction phase.


 3       Sec. 11. RCW 39.10.380 and 2021 c 230 s 11 are each amended to
 4   read as follows:
 5       (1) All subcontract work and equipment and material purchases
 6   shall be competitively bid with public bid openings and require the
 7   public solicitation of the bid documents. At a minimum, the general
 8   contractor/construction manager shall publish at least once in a
 9   legal newspaper of general circulation published in, or as near as
10   possible to, that part of the county in which the subcontract work
11   will be performed, a notice of its request for bid, and the
12   availability and location of the bid documents. The general
13   contractor/construction manager is encouraged to post the subcontract
14   opportunity in additional areas beyond the legal newspaper as
15   required by this subsection, such as websites for business
16   associations,   the   office   of   minority   and   women's   business
17   enterprises, and other locations and mediums that will further
18   publicize the opportunity for qualified subcontractors. Subcontract
19   bid packages and equipment and materials purchases shall be awarded
20   to the responsible bidder submitting the lowest responsive bid. In
21   preparing   subcontract   bid   packages,   the   general   contractor/
22   construction manager shall not be required to violate or waive terms
23   of a collective bargaining agreement. Individual bid packages are to
24   be prepared with trades separated in the manner consistent with
25   industry practice to maximize participation and competition across
26   all trades. Bundling of trades not normally combined into one bid
27   package is not allowed without justification and specific approval by
28   the public body. Bid packages must be prepared to reduce barriers for
29   and increase participation by ((disadvantaged business enterprises))
30   business entities certified with the office of minority and women's
31   business enterprises, including small businesses and business
32   entities certified with the department of veterans affairs.
33       (2) All subcontract bid packages in which bidder eligibility was
34   not determined in advance shall include the specific objective
35   criteria that will be used by the general contractor/construction
36   manager and the public body to evaluate bidder responsibility. If the
37   lowest bidder submitting a responsive bid is determined by the
38   general contractor/construction manager and the public body not to be
39   responsible, the general contractor/construction manager and the
                                      p. 17                         HB 1306
 1   public body must provide written documentation to that bidder
 2   explaining their intent to reject the bidder as not responsible and
 3   afford the bidder the opportunity to establish that it is a
 4   responsible bidder. Responsibility shall be determined in accordance
 5   with criteria listed in the bid documents. Protests concerning bidder
 6   responsibility determination by the general contractor/construction
 7   manager and the public body shall be in accordance with subsection
 8   (4) of this section.
 9       (3) All subcontractors who bid work over $300,000 shall post a
10   bid bond. All subcontractors who are awarded a contract over $300,000
11   shall provide a performance and payment bond for the contract amount.
12   All other subcontractors shall provide a performance and payment bond
13   if required by the general contractor/construction manager.
14       (4) If the general contractor/construction manager receives a
15   written protest from a subcontractor bidder or an equipment or
16   material supplier, the general contractor/construction manager shall
17   not execute a contract for the subcontract bid package or equipment
18   or material purchase order with anyone other than the protesting
19   bidder without first providing at least two full business days'
20   written notice to all bidders of the intent to execute a contract for
21   the subcontract bid package. The protesting bidder must submit
22   written notice of its protest no later than two full business days
23   following the bid opening. Intermediate Saturdays, Sundays, and legal
24   holidays are not counted.
25       (5) A low bidder who claims error and fails to enter into a
26   contract is prohibited from bidding on the same project if a second
27   or subsequent call for bids is made for the project.
28       (6) The general contractor/construction manager may negotiate
29   with the lowest responsible and responsive bidder to negotiate an
30   adjustment to the lowest bid or proposal price to reduce cost based
31   upon agreed changes to the contract plans and specifications under
32   the following conditions:
33       (a) All responsive bids or proposal prices exceed the published
34   bid package estimates; and
35       (b) The apparent low responsive bid or proposal does not exceed
36   the published bid package estimates by more than 10 percent.
37       (7) If the negotiation is unsuccessful, the subcontract work or
38   equipment or material purchases must be rebid.
39       (8) The general contractor/construction manager must provide a
40   written explanation to the public body if all bids are rejected.
                                     p. 18                         HB 1306
 1       Sec. 12. RCW 39.10.385 and 2021 c 230 s 12 are each amended to
 2   read as follows:
 3       The selection process in this section may be used by public
 4   bodies certified under RCW 39.10.270. It may also be used by
 5   noncertified public bodies if this selection process has been
 6   approved for the project by the project review committee. As an
 7   alternative to the subcontractor selection process outlined in RCW
 8   39.10.380, a general contractor/construction manager may, with the
 9   approval of the public body, select one or more subcontractors using
10   the process outlined in this section. This alternative selection
11   process may only be used when the anticipated value of the
12   subcontract will exceed ((three million dollars)) $3,000,000. When
13   using the alternative selection process, the general contractor/
14   construction manager should select the subcontractor early in the
15   life of the public works project.
16       (1) In order to use this alternative selection process, the
17   general contractor/construction manager and the public body must
18   determine that it is in the best interest of the public. In making
19   this determination the general contractor/construction manager and
20   the public body must:
21       (a) Publish a notice of intent to use this alternative selection
22   process in the same legal newspaper where the public solicitation of
23   proposals is published. The general contractor/construction manager
24   and public body are encouraged to post the notice in additional areas
25   beyond the legal newspaper as required under this subsection, such as
26   websites for business associations, the office of minority and
27   women's business enterprises, and other locations and mediums that
28   will further publicize the intent to use this alternative selection
29   process. Notice must be published at least ((fourteen)) 14 calendar
30   days before conducting a public hearing. The notice must include the
31   date, time, and location of the hearing; a statement justifying the
32   basis and need for the alternative selection process; (([and])) and
33   how interested parties may, prior to the hearing, obtain the
34   following: (i) The evaluation criteria and applicable weight given to
35   each criteria that will be used for evaluation, including clear
36   definitions of what should be considered specified general conditions
37   work and what should be considered the fee; and (ii) protest
38   procedures including time limits for filing a protest, which may, in
39   no event, limit the time to file a protest to fewer than four
40   business days from the date the proposer was notified of the
                                     p. 19                         HB 1306
 1   selection decision. The evaluation criteria, weights assigned to each
 2   criteria, and justification for using this selection process must be
 3   made available upon request at least seven calendar days before the
 4   public hearing;
 5       (b) Conduct a hearing and provide an opportunity for any
 6   interested party to submit written and verbal comments regarding the
 7   justification for using this selection process, the evaluation
 8   criteria, weights for each criteria, and protest procedures;
 9       (c) After the public hearing, consider the written and verbal
10   comments received and determine if using this alternative selection
11   process is in the best interests of the public; and
12       (d) Issue a written final determination to all interested
13   parties. The final determination shall state the reasons the
14   alternative selection process is determined to be in the best
15   interests of the public and shall reasonably address the comments
16   received regarding the criteria and weights for each criterion. Any
17   modifications to the criteria, weights, and protest procedures based
18   on comments received during the public hearing process must be
19   included in the final determination. All protests of the decision to
20   use the alternative selection process must be in writing and
21   submitted to the public body within seven calendar days of the final
22   determination. The public body shall not proceed with the selection
23   process until after responding in writing to the protest.
24       (2) Contracts for the services of a subcontractor under this
25   section must be awarded through a competitive process requiring a
26   public solicitation of proposals. Notice of the public solicitation
27   of proposals must be provided to the office of minority and women's
28   business enterprises. The public solicitation of proposals must
29   include:
30       (a) A description of the project, including programmatic,
31   performance, and technical requirements and specifications when
32   available, along with a description of the project's unique aspects,
33   complexities, and challenges;
34       (b) The reasons for using the alternative selection process;
35       (c) A description of the minimum qualifications required of the
36   firm;
37       (d) A description of the process used to evaluate qualifications
38   and proposals, including evaluation factors and the relative weight
39   of factors;
40       (e) Protest procedures;
                                     p. 20                         HB 1306
 1       (f) The form of the contract, including any contract for
 2   preconstruction services, to be awarded;
 3       (g) The estimated maximum allowable subcontract cost; and
 4       (h) The bid instructions to be used by the finalists.
 5       (3) Evaluation factors for selection of the subcontractor must
 6   include, but not be limited to:
 7       (a) Ability of the firm's professional personnel to deliver
 8   projects similar in size, scope, or complexity;
 9       (b) The firm's past performance on projects similar in size,
10   scope, or complexity;
11       (c) The firm's ability to meet time and budget requirements on
12   projects similar in size, scope, or complexity;
13       (d) The scope of work the firm proposes to perform with its own
14   forces and its ability to perform that work;
15       (e) The firm's plan for inclusion of ((disadvantaged business
16   enterprises)) business entities certified with the office of minority
17   and women's business enterprises, including small businesses and
18   business entities certified with the department of veterans affairs,
19   to the extent permitted by law;
20       (f) The firm's proximity to the project location;
21       (g) The firm's approach to executing the project based on its
22   delivery of other projects similar in size, scope, or complexity;
23       (h) The firm's approach to safety on the project;
24       (i) The firm's safety history;
25       (j) If interviews are part of the selection process, the
26   solicitation shall describe how interviews will be scored or
27   evaluated, and evaluations shall be included in the written selection
28   summary; and
29       (k) If the firm is selected as one of the most qualified
30   finalists, the firm's fee and cost proposal.
31       (4) The general contractor/construction manager shall establish a
32   committee to evaluate the proposals. At least one representative from
33   the public body shall serve on the committee. Final proposals,
34   including sealed bids for the percent fee on the estimated maximum
35   allowable subcontract cost, and the fixed amount for the subcontract
36   general conditions work specified in the request for proposal, will
37   be requested from the most qualified firms.
38       (5) The general contractor/construction manager must notify all
39   proposers of the most qualified firms that will move to the next
40   phase of the selection process. The process may not proceed to the
                                     p. 21                         HB 1306
 1   next phase until two business days after all proposers are notified
 2   of the committee's selection decision. At the request of a proposer,
 3   the   general  contractor/construction   manager  must  provide   the
 4   requesting proposer with a scoring summary of the evaluation factors
 5   for its proposal. Proposers filing a protest on the selection of the
 6   most qualified finalists must file the protest with the public body
 7   in accordance with the published protest procedures. The selection
 8   process may not advance to the next phase of selection until two
 9   business days after the final protest decision issued by the public
10   body is transmitted to the protestor.
11       (6) The general contractor/construction manager and the public
12   body shall select the firm submitting the highest scored final
13   proposal using the evaluation factors and the relative weight of
14   factors identified in the solicitation of proposals. Scoring of the
15   nonprice factors shall be added to the scoring of the fee and cost
16   proposals to determine the highest scored firm. The scoring of the
17   nonprice factors must be made available at the public opening of the
18   fee and cost proposals. The general contractor/construction manager
19   shall notify all proposers of the selection decision and make a
20   selection summary of the final proposals, which shall be available to
21   all proposers within two business days of such notification. The
22   general   contractor/construction   manager  may   not  evaluate   or
23   disqualify a proposal based on the terms of a collective bargaining
24   agreement.
25       (7) If the public body receives a timely written protest from a
26   "most qualified firm," the general contractor/construction manager
27   may not execute a contract for the protested subcontract work until
28   two business days after the final protest decision issued by the
29   public body is transmitted to the protestor. The protestor must
30   submit its protest in accordance with the published protest
31   procedures.
32       (8) If the general contractor/construction manager is unable to
33   negotiate a satisfactory maximum allowable subcontract cost with the
34   firm selected deemed by public body and the general contractor/
35   construction manager to be fair, reasonable, and within the available
36   funds, negotiations with that firm must be formally terminated and
37   the general contractor/construction manager may negotiate with the
38   next highest scored firm until an agreement is reached or the process
39   is terminated.


                                     p. 22                         HB 1306
 1       (9) With the approval of the public body, the general contractor/
 2   construction manager may contract with the selected firm to provide
 3   preconstruction services during the design phase that may include
 4   life-cycle cost design considerations, value engineering, scheduling,
 5   cost estimating, constructability, alternative construction options
 6   for cost savings, and sequencing of work; and to act as the
 7   subcontractor during the construction phase.
 8       (10) The maximum allowable subcontract cost must be used to
 9   establish a total subcontract cost for purposes of a performance and
10   payment bond. Total subcontract cost means the fixed amount for the
11   detailed specified general conditions work, the negotiated maximum
12   allowable subcontract cost, and the percent fee on the negotiated
13   maximum allowable subcontract cost. Maximum allowable subcontract
14   cost means the maximum cost to complete the work specified for the
15   subcontract, including the estimated cost of work to be performed by
16   the subcontractor's own forces, a percentage for risk contingency,
17   negotiated support services, and approved change orders. The maximum
18   allowable subcontract cost must be negotiated between the general
19   contractor/construction manager and the selected firm when the
20   construction documents and specifications are at least ninety percent
21   complete. Final agreement on the maximum allowable subcontract cost
22   is subject to the approval of the public body.
23       (11) If the work of the subcontractor is completed for less than
24   the maximum allowable subcontract cost, any savings not otherwise
25   negotiated as part of an incentive clause becomes part of the risk
26   contingency included in the general contractor/construction manager's
27   maximum allowable construction cost. If the work of the subcontractor
28   is completed for more than the maximum allowable subcontract cost,
29   the additional cost is the responsibility of that subcontractor. An
30   independent audit, paid for by the public body, must be conducted to
31   confirm the proper accrual of costs. The public body or general
32   contractor/construction manager shall define the scope of the audit
33   in the contract.
34       (12) A subcontractor selected under this section may perform work
35   with its own forces. In the event it elects to subcontract some of
36   its work, it must select a subcontractor utilizing the procedure
37   outlined in RCW 39.10.380.


38       Sec. 13. RCW 39.10.908 and 2021 c 230 s 19 are each amended to
39   read as follows:
                                     p. 23                         HB 1306
 1       In addition to the general contractor/construction manager
 2   requirements established in this chapter, public bodies utilizing the
 3   general contractor/construction manager method for a heavy civil
 4   construction   project   must   also  comply   with   the   following
 5   requirements:
 6       (1) The heavy civil construction general contractor/construction
 7   manager contract solicitation must:
 8       (a) Provide the reasons for using the general contractor/
 9   construction manager procedure, including a clear statement that the
10   public body is electing to procure the project as a heavy civil
11   construction project;
12       (b) Indicate the minimum percentage of the cost of the work to
13   construct the project that will constitute the negotiated self-
14   perform portion of the project;
15       (c) Indicate whether the public body will allow the price to be
16   paid for the negotiated self-perform portion of the project to be
17   deemed a cost of the work to which the general contractor/
18   construction manager's percent fee applies; and
19       (d) Require proposals to indicate the proposer's fee for the
20   negotiated self-perform portion of the project;
21       (2) As part of the negotiation of the maximum allowable
22   construction cost established in RCW 39.10.370(1), the general
23   contractor/construction manager shall submit a proposed construction
24   management and contracting plan, which must include, at a minimum:
25       (a) The scope of work and cost estimates for each bid package;
26       (b) A proposed price and scope of work for the negotiated self-
27   perform portion of the project;
28       (c) The bases used by the general contractor/construction manager
29   to develop all cost estimates, including the negotiated self-perform
30   portion of the project; and
31       (d)   The   general  contractor/construction   manager's   updated
32   inclusion plan for ((small business entities, disadvantaged business
33   enterprises)) business entities certified with the office of minority
34   and women's business enterprises, including small businesses and
35   business entities certified with the department of veterans affairs,
36   and any other ((disadvantaged or)) underutilized businesses as the
37   public body may designate in the public solicitation of proposals, as
38   subcontractors and suppliers for the project;
39       (3) The public body and general contractor/construction manager
40   may negotiate the scopes of work to be procured by bid and the price
                                     p. 24                         HB 1306
 1   and scope of work for the negotiated self-perform portion of the
 2   project, if any;
 3       (4) The negotiated self-perform portion of the project must not
 4   exceed 50 percent of the cost of the work to construct the project;
 5       (5) Notwithstanding any contrary provision of this chapter, for a
 6   project that a public body has elected to procure as a heavy civil
 7   construction project under this chapter, at least 30 percent of the
 8   cost of the work to construct the project included in the negotiated
 9   maximum allowable construction cost must be procured through
10   competitive sealed bidding in which bidding by the general
11   contractor/construction manager or its subsidiaries is prohibited;
12       (6) Subject to the limitation of subsection (5) of this section,
13   the public body may additionally negotiate with the general
14   contractor/construction manager to determine on which scopes of work
15   the general contractor/construction manager will be permitted to bid,
16   if any;
17       (7) The public body and general contractor/construction manager
18   shall negotiate, to the public body's satisfaction, a fair and
19   reasonable inclusion plan;
20       (8) If the public body is unable to negotiate to its reasonable
21   satisfaction a component of this section, negotiations with the firm
22   must be terminated and the public body shall negotiate with the next
23   highest scored firm and continue until an agreement is reached or the
24   process is terminated; and
25       (9) For a project procured as a heavy civil construction project,
26   an independent audit, paid for by the public body, must be conducted
27   to confirm the proper accrual of costs as outlined in the contract.
28   The public body shall define the scope of the audit in the contract.

29       NEW SECTION. Sec. 14. (1) A state agency or an authorized local
30   government may utilize a statewide small works roster in accordance
31   with subsection (2) of this section or create and maintain one or
32   more small works rosters for different specialties, categories of
33   anticipated work, or geographic areas served by contractors on the
34   roster that have registered for inclusion on that particular roster.
35       (a) The small works roster shall consist of all responsible
36   contractors who have requested to be on the list, and where required
37   by law, are properly licensed or registered to perform such work in
38   this state in accordance with RCW 39.04.350.


                                     p. 25                         HB 1306
 1       (b) A state agency or authorized local government establishing a
 2   small works roster must require contractors desiring to be placed on
 3   the roster to indicate if they meet the definition of women and
 4   minority-owned business as described in RCW 39.19.030(7)(b), veteran-
 5   owned business as defined in RCW 43.60A.010, or small business as
 6   defined in RCW 39.04.010, and to keep current records of any
 7   applicable   licenses,    certifications,   registrations,   bonding,
 8   insurance, or other appropriate matters on file with the appropriate
 9   agency as a condition of being placed on the roster and award of
10   contract.
11       (c) At least once a year, the state agency or local government
12   must publish in a newspaper of general circulation and provide the
13   office of minority and women's business enterprises' directory of
14   certified firms a notice of the existence of the roster and solicit
15   contractors for the roster.
16       (d) Responsible contractors must be added to an appropriate
17   roster at any time they submit a written request and the necessary
18   records.
19       (e)   The  contractor   must  agree   and  be  able   to  receive
20   notifications and other communications via email.
21       (f) State agencies or authorized local governments using a small
22   works roster may not break a project into units or construct a
23   project by phases if done for the purposes of avoiding maximum dollar
24   amounts set by this act.
25       (2) The department of commerce though the municipal research and
26   services program shall develop a statewide small works roster in
27   compliance with subsection (1) of this section by June 30, 2024. The
28   municipal research and services program must develop criteria for the
29   statewide roster with collaboration from affected state and local
30   agencies. The statewide roster must have features to filter the
31   roster by different specialties, categories of anticipated work, or
32   geographic areas served by contractors. The roster must also indicate
33   if the contractor is designated as a small business as defined in RCW
34   39.04.010.
35       (3) The department of commerce shall provide funding to the
36   municipal research and services program as appropriated to maintain
37   and publicize a small works roster and work with the municipal
38   research and services center to notify state and local governments
39   authorized to use small works rosters of the statewide roster


                                     p. 26                         HB 1306
 1   authority and to provide guidance on how to use the authority. The
 2   guidance may take the form of a manual provided to local governments.
 3       (4) A state agency establishing a small works roster shall adopt
 4   rules implementing this section. A local government establishing a
 5   small   works  roster   shall  adopt   an   ordinance  or   resolution
 6   implementing this section. Procedures included in rules adopted by
 7   the department of enterprise services in implementing this section
 8   must be included in any rules providing for a small works roster that
 9   is adopted by another state agency, if the authority for that state
10   agency to engage in these activities has been delegated to it by the
11   department of enterprise services under chapter 43.19 RCW. An
12   interlocal contract or agreement between two or more state agencies
13   or local governments establishing a small works roster to be used by
14   the parties to the agreement or contract must clearly identify the
15   lead entity that is responsible for implementing the provisions of
16   this subsection.


17       NEW SECTION.   Sec. 15.   (1) This section provides uniform small
18   works roster provisions to award contracts for construction,
19   building, renovation, remodeling, alteration, repair, or improvement
20   of real property that may be used by state agencies and by any local
21   government that is expressly authorized to use these provisions.
22   These provisions may be used in lieu of other procedures to award
23   contracts for such work with an estimated cost of $350,000 or less
24   excluding state sales tax. The small works roster process includes
25   the direct contract provisions authorized under this section and any
26   local government authorized to award contracts using the small works
27   roster process under this section may award contracts using the
28   direct contract provisions of this section. State agencies and
29   authorized local governments using small works rosters must establish
30   procedures for implementing this act.
31       (2) State agencies and authorized local governments must document
32   good faith efforts annually implementing subsections (6) and (7) of
33   this section.
34       (3) Invitations for bids or direct contract negotiation must
35   include, at a minimum, an estimate for the scope of work including
36   the nature of the work to be performed as well as the materials and
37   equipment to be furnished. Detailed plans and specifications need not
38   be included.


                                     p. 27                         HB 1306
 1       (4) The department of enterprise services must develop and make
 2   available on its public-facing website templates for bid invitations,
 3   bidding, and contracting that may be used by state agencies,
 4   authorized local governments, and contractors.
 5       (a)(i) For small works roster projects with an estimated cost
 6   less than $350,000, not including sales tax, state agencies and
 7   authorized local governments may contract by securing written or
 8   electronic quotations to assure that a competitive price is
 9   established and to award contracts to the responsible bidder with the
10   lowest responsive bid.
11       (ii) A state agency or authorized local government contracting
12   through a small works roster shall invite bids notifying all
13   contractors on the applicable roster that have indicated interest in
14   performing work in the applicable geographical area.
15       (b) For small public works projects with an estimated cost less
16   than $150,000, not including sales tax, to increase the utilization
17   of small businesses, state agencies and local governments are
18   encouraged to and may direct contract with small businesses as
19   defined in this act, before direct contracting with other contractors
20   on the appropriate small works roster without a competitive process
21   as follows:
22       (i) If there are six or more contractors meeting the definition
23   of small business on the applicable roster, the state agency or
24   authorized local government must direct contract with one of those
25   small businesses on the applicable roster that have indicated
26   interest in performing work in the applicable geographical area.
27       (ii) If there are five or less contractors meeting the definition
28   of small business on the applicable roster, the state agency or
29   authorized local government may direct contract with any contractor
30   on the applicable roster.
31       (iii) It is the intent of the legislature to increase utilization
32   of small, minority, women, and veteran-owned businesses. Each state
33   agency and authorized local government shall establish a women,
34   minority, and veteran-owned business and small business utilization
35   plan. A state agency or authorized local government engaging in
36   direct contracting may not favor certain contractors on the
37   appropriate small works roster by repeatedly awarding contracts
38   without documented attempts to direct contract with other contractors
39   on the appropriate small works roster.


                                     p. 28                         HB 1306
 1       (iv) If the state agency or authorized local government elects
 2   not to use the methods outlined in this subsection, it may not use
 3   direct contracting and must invite bids by electronically notifying
 4   all contractors on the applicable roster that have indicated interest
 5   in performing work in the applicable geographical area as described
 6   in this section.
 7       (5) For small public works contracts under $5,000, there is no
 8   requirement for retainage or performance bonds. Small public works
 9   contracts valued at more than $5,000 shall be subject to performance
10   bond requirements set forth in chapter 39.08 RCW and retainage
11   requirements set forth in RCW 60.28.011(1)(a), provided, however,
12   that the awarding state agency or local government may reduce or
13   waive retainage requirements, thereby assuming the liability for the
14   contractor's nonpayment of: (a) Laborers, mechanics, subcontractors,
15   materialpersons, and suppliers; and (b) taxes, increases, and
16   penalties pursuant to Titles 50, 51, and 82 RCW that may be due from
17   the contractor for the project. Any such waiver will not affect the
18   rights of the state agency or local government to recover against the
19   contractor for any payments made on the contractor's behalf. For
20   small public works contracts awarded through a bid solicitation,
21   notice of any retainage reduction or waiver must be provided in bid
22   solicitations.
23       (6) After an award is made, the bid quotations obtained shall be
24   recorded, publicly available, and available by request.
25       (7) Annually, a state agency or authorized local government must
26   publish a list of small works contracts awarded and contractors
27   contacted for direct negotiation pursuant to RCW 39.04.200.

28       NEW SECTION.   Sec. 16.   Beginning in 2025 and every five years
29   thereafter, the capital projects advisory review board must review
30   construction cost escalation data for Washington state, readily
31   available in industry publications, roster utilization, and other
32   appropriate data and metrics, and make recommendations to the
33   appropriate committees of the legislature on adjustments to the
34   contracting thresholds described in section 15 of this act.


35       Sec. 17. RCW 28A.335.190 and 2013 c 223 s 1 are each amended to
36   read as follows:
37       (1) When, in the opinion of the board of directors of any school
38   district, the cost of any furniture, supplies, equipment, building,
                                     p. 29                         HB 1306
 1   improvements, or repairs, or other work or purchases, except books,
 2   will equal or exceed the threshold levels specified in subsections
 3   (2) and (4) of this section, complete plans and specifications for
 4   such work or purchases shall be prepared and notice by publication
 5   given in at least one newspaper of general circulation within the
 6   district, once each week for two consecutive weeks, of the intention
 7   to receive bids and that specifications and other information may be
 8   examined at the office of the board or any other officially
 9   designated location. The cost of any public work, improvement, or
10   repair for the purposes of this section shall be the aggregate of all
11   amounts to be paid for labor, material, and equipment on one
12   continuous or interrelated project where work is to be performed
13   simultaneously or in close sequence. The bids shall be in writing and
14   shall be opened and read in public on the date and in the place named
15   in the notice and after being opened shall be filed for public
16   inspection.
17       (2) Every purchase of furniture, equipment, or supplies, except
18   books, the cost of which is estimated to be in excess of ((forty
19   thousand dollars)) $40,000, shall be on a competitive basis. The
20   board of directors shall establish a procedure for securing telephone
21   and/or written quotations for such purchases. Whenever the estimated
22   cost is from ((forty thousand dollars)) $40,000 up to ((seventy-five
23   thousand dollars)) $75,000, the procedure shall require quotations
24   from at least three different sources to be obtained in writing or by
25   telephone, and recorded for public perusal. Whenever the estimated
26   cost is in excess of ((seventy-five thousand dollars)) $75,000, the
27   public bidding process provided in subsection (1) of this section
28   shall be followed.
29       (3) Any school district may purchase goods produced or provided
30   in whole or in part from class II inmate work programs operated by
31   the department of corrections pursuant to RCW 72.09.100, including
32   but not limited to furniture, equipment, or supplies. School
33   districts are encouraged to set as a target to contract, beginning
34   after June 30, 2006, to purchase up to one percent of the total goods
35   required by the school districts each year, goods produced or
36   provided in whole or in part from class II inmate work programs
37   operated by the department of corrections.
38       (4) The board may make improvements or repairs to the property of
39   the district through a department within the district without
40   following the public bidding process provided in subsection (1) of
                                     p. 30                         HB 1306
 1   this section when the total of such improvements or repairs does not
 2   exceed the sum of ((seventy-five thousand dollars)) $75,000. Whenever
 3   the estimated cost of a building, improvement, repair, or other
 4   public works project is one hundred thousand dollars or more, the
 5   public bidding process provided in subsection (1) of this section
 6   shall be followed unless the contract is let using the small works
 7   roster process in ((RCW 39.04.155)) sections 14 through 16 of this
 8   act or under any other procedure authorized for school districts. One
 9   or more school districts may authorize an educational service
10   district to establish and operate a small works roster for the school
11   district under the provisions of ((RCW 39.04.155)) sections 14
12   through 16 of this act.
13       (5) The contract for the work or purchase shall be awarded to the
14   lowest responsible bidder as described in RCW 39.26.160(2) but the
15   board may by resolution reject any and all bids and make further
16   calls for bids in the same manner as the original call. On any work
17   or purchase the board shall provide bidding information to any
18   qualified bidder or the bidder's agent, requesting it in person.
19       (6) In the event of any emergency when the public interest or
20   property of the district would suffer material injury or damage by
21   delay, upon resolution of the board declaring the existence of such
22   an emergency and reciting the facts constituting the same, the board
23   may waive the requirements of this section with reference to any
24   purchase or contract: PROVIDED, That an "emergency," for the purposes
25   of this section, means a condition likely to result in immediate
26   physical injury to persons or to property of the school district in
27   the absence of prompt remedial action.
28       (7) This section does not apply to the direct purchase of school
29   buses by school districts and educational services in accordance with
30   RCW 28A.160.195.
31       (8) This section does not apply to the purchase of Washington
32   grown food.
33       (9) At the discretion of the board, a school district may develop
34   and implement policies and procedures to facilitate and maximize to
35   the extent practicable, purchases of Washington grown food including,
36   but not limited to, policies that permit a percentage price
37   preference for the purpose of procuring Washington grown food.
38       (10) As used in this section, "Washington grown" has the
39   definition in RCW 15.64.060.


                                     p. 31                         HB 1306
1        (11) As used in this section, "price percentage preference" means
2    the percent by which a responsive bid from a responsible bidder whose
3    product is a Washington grown food may exceed the lowest responsive
4    bid submitted by a responsible bidder whose product is not a
5    Washington grown food.


 6       Sec. 18. RCW 28B.10.350 and 2009 c 229 s 2 are each amended to
 7   read as follows:
 8       (1) When the cost to The Evergreen State College or any regional
 9   or state university of any building, construction, renovation,
10   remodeling, or demolition, other than maintenance or repairs, will
11   equal or exceed the sum of ((ninety thousand dollars)) $90,000, or
12   ((forty-five thousand dollars)) $45,000 if the work involves one
13   trade or craft area, complete plans and specifications for the work
14   shall be prepared, the work shall be put out for public bid, and the
15   contract shall be awarded to the responsible bidder who submits the
16   lowest responsive bid.
17       (2) Any building, construction, renovation, remodeling, or
18   demolition project that exceeds the dollar amounts in subsection (1)
19   of this section is subject to the provisions of chapter 39.12 RCW.
20       (3) The Evergreen State College or any regional or state
21   university may require a project to be put to public bid even when it
22   is not required to do so under subsection (1) of this section. Any
23   project publicly bid under this subsection is subject to the
24   provisions of chapter 39.12 RCW.
25       (4) Where the estimated cost of any building, construction,
26   renovation, remodeling, or demolition is less than ((ninety thousand
27   dollars)) $90,000 or the contract is awarded by the small works
28   roster procedure authorized in ((RCW 39.04.155)) sections 14 through
29   16 of this act, the publication requirements of RCW 39.04.020 do not
30   apply.
31       (5) In the event of any emergency when the public interest or
32   property of The Evergreen State College or a regional or state
33   university would suffer material injury or damage by delay, the
34   president of such college or university may declare the existence of
35   an emergency and, reciting the facts constituting the same, may waive
36   the requirements of this section with reference to any contract in
37   order to correct the condition causing the emergency. For the
38   purposes of this section, "emergency" means a condition likely to
39   result in immediate physical injury to persons or to property of the
                                     p. 32                         HB 1306
1    college or university in the absence of prompt remedial action or a
2    condition which immediately impairs the institution's ability to
3    perform its educational obligations.
4        (6) This section does not apply when a contract is awarded by the
5    small works roster procedure authorized in ((RCW 39.04.155)) sections
6    14 through 16 of this act or under any other procedure authorized for
7    an institution of higher education.

 8       Sec. 19. RCW 28B.50.330 and 2009 c 229 s 1 are each amended to
 9   read as follows:
10       (1) The boards of trustees of college districts are empowered in
11   accordance with the provisions of this chapter to provide for the
12   construction, reconstruction, erection, equipping, demolition, and
13   major alterations of buildings and other capital assets, and the
14   acquisition of sites, rights-of-way, easements, improvements, or
15   appurtenances for the use of the aforementioned colleges as
16   authorized by the college board in accordance with RCW 28B.50.140; to
17   be financed by bonds payable out of special funds from revenues
18   hereafter derived from income received from such facilities, gifts,
19   bequests, or grants, and such additional funds as the legislature may
20   provide, and payable out of a bond retirement fund to be established
21   by the respective district boards in accordance with rules of the
22   state board. With respect to building, improvements, or repairs, or
23   other work, where the estimated cost exceeds ((ninety thousand
24   dollars)) $90,000, or ((forty-five thousand dollars)) $45,000 if the
25   work involves one trade or craft area, complete plans and
26   specifications for the work shall be prepared, the work shall be put
27   out for a public bid, and the contract shall be awarded to the
28   responsible bidder who submits the lowest responsive bid. Any project
29   regardless of dollar amount may be put to public bid.
30       (2) This section does not apply when a contract is awarded by the
31   small works roster procedure authorized in ((RCW 39.04.155)) sections
32   14 through 16 of this act.
33       (3) Where the estimated cost to any college of any building,
34   improvements, or repairs, or other work, is less than ((ninety
35   thousand dollars)) $90,000, or ((forty-five thousand dollars))
36   $45,000 if the work involves one trade or craft area, the publication
37   requirements of RCW 39.04.020 do not apply.



                                     p. 33                         HB 1306
 1       Sec. 20. RCW 35.22.620 and 2019 c 434 s 11 are each amended to
 2   read as follows:
 3       (1) As used in this section, the term "public works" means as
 4   defined in RCW 39.04.010.
 5       (2) A first-class city may have public works performed by
 6   contract pursuant to public notice and call for competitive bids. As
 7   limited by subsection (3) of this section, a first-class city may
 8   have public works performed by city employees in any annual or
 9   biennial budget period equal to a dollar value not exceeding ((ten))
10   10 percent of the public works construction budget, including any
11   amount in a supplemental public works construction budget, over the
12   budget period. The amount of public works that a first-class city has
13   a county perform for it under RCW 35.77.020 shall be included within
14   this ((ten)) 10 percent limitation.
15       If a first-class city has public works performed by public
16   employees in any budget period that are in excess of this ((ten)) 10
17   percent limitation, the amount in excess of the permitted amount
18   shall be reduced from the otherwise permitted amount of public works
19   that may be performed by public employees for that city in its next
20   budget period. Twenty percent of the motor vehicle fuel tax
21   distributions to that city shall be withheld if two years after the
22   year in which the excess amount of work occurred, the city has failed
23   to so reduce the amount of public works that it has performed by
24   public employees. The amount so withheld shall be distributed to the
25   city when it has demonstrated in its reports to the state auditor
26   that the amount of public works it has performed by public employees
27   has been so reduced.
28       Whenever a first-class city has had public works performed in any
29   budget period up to the maximum permitted amount for that budget
30   period, all remaining public works within that budget period shall be
31   done by contract pursuant to public notice and call for competitive
32   bids.
33       The state auditor shall report to the state treasurer any
34   first-class city that exceeds this amount and the extent to which the
35   city has or has not reduced the amount of public works it has
36   performed by public employees in subsequent years.
37       (3) In addition to the percentage limitation provided in
38   subsection (2) of this section, a first-class city shall not have
39   public employees perform a public works project in excess of ((one
40   hundred fifty thousand dollars)) $150,000 if more than a single craft
                                     p. 34                         HB 1306
 1   or trade is involved with the public works project, or a public works
 2   project in excess of ((seventy-five thousand five hundred dollars))
 3   $75,500 if only a single craft or trade is involved with the public
 4   works project or the public works project is street signalization or
 5   street lighting. A public works project means a complete project. The
 6   restrictions in this subsection do not permit the division of the
 7   project into units of work or classes of work to avoid the
 8   restriction on work that may be performed by day labor on a single
 9   project.
10       (4) In addition to the accounting and recordkeeping requirements
11   contained in RCW 39.04.070, every first-class city annually may
12   prepare a report for the state auditor indicating the total public
13   works construction budget and supplemental public works construction
14   budget for that year, the total construction costs of public works
15   performed by public employees for that year, and the amount of public
16   works that is performed by public employees above or below ten
17   percent of the total construction budget. However, if a city budgets
18   on a biennial basis, this annual report may indicate the amount of
19   public works that is performed by public employees within the current
20   biennial period that is above or below ten percent of the total
21   biennial construction budget.
22       Each first-class city with a population of ((one hundred fifty
23   thousand)) 150,000 or less shall use the form required by RCW
24   43.09.205 to account and record costs of public works in excess of
25   ((five thousand dollars)) $5,000 that are not let by contract.
26        (5) The cost of a separate public works project shall be the
27   costs   of  materials,   supplies,  equipment,   and   labor   on the
28   construction of that project. The value of the public works budget
29   shall be the value of all the separate public works projects within
30   the budget.
31       (6) The competitive bidding requirements of this section may be
32   waived by the city legislative authority pursuant to RCW 39.04.280 if
33   an exemption contained within that section applies to the work or
34   contract.
35       (7) In lieu of the procedures of subsections (2) and (6) of this
36   section, a first-class city may let contracts using the small works
37   roster process in ((RCW 39.04.155)) sections 14 through 16 of this
38   act.



                                     p. 35                         HB 1306
 1       Whenever possible, the city shall invite at least one proposal
 2   from a certified minority or woman contractor who shall otherwise
 3   qualify under this section.
 4       (8) The allocation of public works projects to be performed by
 5   city employees shall not be subject to a collective bargaining
 6   agreement.
 7       (9) This section does not apply to performance-based contracts,
 8   as defined in RCW 39.35A.020(((4))) (6), that are negotiated under
 9   chapter 39.35A RCW.
10       (10) Nothing in this section shall prohibit any first-class city
11   from allowing for preferential purchase of products made from
12   recycled materials or products that may be recycled or reused.
13       (11)(a) Any first-class city may procure public works with a unit
14   priced contract under this section for the purpose of completing
15   anticipated types of work based on hourly rates or unit pricing for
16   one or more categories of work or trades.
17       (b) For the purposes of this section, "unit priced contract"
18   means a competitively bid contract in which public works are
19   anticipated on a recurring basis to meet the business or operational
20   needs of the city, under which the contractor agrees to a fixed
21   period indefinite quantity delivery of work, at a defined unit price
22   for each category of work.
23       (c) Unit priced contracts must be executed for an initial
24   contract term not to exceed three years, with the city having the
25   option of extending or renewing the unit priced contract for one
26   additional year.
27       (d) Invitations for unit price bids shall include, for purposes
28   of the bid evaluation, estimated quantities of the anticipated types
29   of work or trades, and specify how the city will issue or release
30   work assignments, work orders, or task authorizations pursuant to a
31   unit priced contract for projects, tasks, or other work based on the
32   hourly rates or unit prices bid by the contractor. Contracts must be
33   awarded to the lowest responsible bidder as per RCW 39.04.010.
34   Whenever possible, the city must invite at least one proposal from a
35   certified minority or woman contractor who otherwise qualifies under
36   this section.
37       (e) Unit price contractors shall pay prevailing wages for all
38   work that would otherwise be subject to the requirements of chapter
39   39.12 RCW. Prevailing wages for all work performed pursuant to each
40   work order must be the prevailing wage rates in effect at the
                                     p. 36                         HB 1306
1    beginning date for each contract year. Unit priced contracts must
2    have prevailing wage rates updated annually. Intents and affidavits
3    for prevailing wages paid must be submitted annually for all work
4    completed within the previous ((twelve-month)) 12-month period of the
5    unit priced contract.


 6       Sec. 21.   RCW 35.23.352 and 2019 c 434 s 1 are each amended to
 7   read as follows:
 8       (1) Any second-class city or any town may construct any public
 9   works, as defined in RCW 39.04.010, by contract or day labor without
10   calling for bids therefor whenever the estimated cost of the work or
11   improvement, including cost of materials, supplies and equipment will
12   not exceed the sum of ((one hundred sixteen thousand one hundred
13   fifty-five dollars)) $116,155 if more than one craft or trade is
14   involved with the public works, or ((seventy-five thousand five
15   hundred dollars)) $75,500 if a single craft or trade is involved with
16   the public works or the public works project is street signalization
17   or street lighting. A public works project means a complete project.
18   The restrictions in this subsection do not permit the division of the
19   project into units of work or classes of work to avoid the
20   restriction on work that may be performed by day labor on a single
21   project.
22       Whenever the cost of the public work or improvement, including
23   materials, supplies and equipment, will exceed these figures, the
24   same shall be done by contract. All such contracts shall be let at
25   public bidding upon publication of notice calling for sealed bids
26   upon the work. The notice shall be published in the official
27   newspaper, or a newspaper of general circulation most likely to bring
28   responsive bids, at least thirteen days prior to the last date upon
29   which bids will be received. The notice shall generally state the
30   nature of the work to be done that plans and specifications therefor
31   shall then be on file in the city or town hall for public
32   inspections, and require that bids be sealed and filed with the
33   council or commission within the time specified therein. Each bid
34   shall be accompanied by a bid proposal deposit in the form of a
35   cashier's check, postal money order, or surety bond to the council or
36   commission for a sum of not less than five percent of the amount of
37   the bid, and no bid shall be considered unless accompanied by such
38   bid proposal deposit. The council or commission of the city or town
39   shall let the contract to the lowest responsible bidder or shall have
                                     p. 37                         HB 1306
 1   power by resolution to reject any or all bids and to make further
 2   calls for bids in the same manner as the original call.
 3       When the contract is let then all bid proposal deposits shall be
 4   returned to the bidders except that of the successful bidder which
 5   shall be retained until a contract is entered into and a bond to
 6   perform the work furnished, with surety satisfactory to the council
 7   or commission, in accordance with RCW 39.08.030. If the bidder fails
 8   to enter into the contract in accordance with his or her bid and
 9   furnish a bond within ((ten)) 10 days from the date at which he or
10   she is notified that he or she is the successful bidder, the check or
11   postal money order and the amount thereof shall be forfeited to the
12   council or commission or the council or commission shall recover the
13   amount of the surety bond. A low bidder who claims error and fails to
14   enter into a contract is prohibited from bidding on the same project
15   if a second or subsequent call for bids is made for the project.
16       If no bid is received on the first call the council or commission
17   may readvertise and make a second call, or may enter into a contract
18   without any further call or may purchase the supplies, material or
19   equipment and perform the work or improvement by day labor.
20       (2) For the purposes of this section, "lowest responsible bidder"
21   means a bid that meets the criteria under RCW 39.04.350 and has the
22   lowest bid; provided, that if the city issues a written finding that
23   the lowest bidder has delivered a project to the city within the last
24   three years which was late, over budget, or did not meet
25   specifications, and the city does not find in writing that such
26   bidder has shown how they would improve performance to be likely to
27   meet project specifications then the city may choose the second
28   lowest bidder whose bid is within five percent of the lowest bid and
29   meets the same criteria as the lowest bidder.
30       (3) The allocation of public works projects to be performed by
31   city or town employees shall not be subject to a collective
32   bargaining agreement.
33       (4) In lieu of the procedures of subsection (1) of this section,
34   a second-class city or a town may let contracts using the small works
35   roster process provided in ((RCW 39.04.155)) sections 14 through 16
36   of this act.
37       Whenever possible, the city or town shall invite at least one
38   proposal from a certified minority or woman contractor who shall
39   otherwise qualify under this section.


                                     p. 38                         HB 1306
 1       (5) The form required by RCW 43.09.205 shall be to account and
 2   record costs of public works in excess of ((five thousand dollars))
 3   $5,000 that are not let by contract.
 4       (6) The cost of a separate public works project shall be the
 5   costs of the materials, equipment, supplies, and labor on that
 6   construction project.
 7       (7) Any purchase of supplies, material, or equipment, except for
 8   public work or improvement, where the cost thereof exceeds seven
 9   thousand five hundred dollars shall be made upon call for bids.
10       (8) Bids shall be called annually and at a time and in the manner
11   prescribed by ordinance for the publication in a newspaper of general
12   circulation in the city or town of all notices or newspaper
13   publications required by law. The contract shall be awarded to the
14   lowest responsible bidder.
15       (9) For advertisement and formal sealed bidding to be dispensed
16   with as to purchases with an estimated value of ((fifteen thousand
17   dollars)) $15,000 or less, the council or commission must authorize
18   by resolution, use of the uniform procedure provided in RCW
19   39.04.190.
20       (10) The city or town legislative authority may waive the
21   competitive bidding requirements of this section pursuant to RCW
22   39.04.280 if an exemption contained within that section applies to
23   the purchase or public work.
24       (11) This section does not apply to performance-based contracts,
25   as defined in RCW 39.35A.020(((4))) (6), that are negotiated under
26   chapter 39.35A RCW.
27       (12) Nothing in this section shall prohibit any second-class city
28   or any town from allowing for preferential purchase of products made
29   from recycled materials or products that may be recycled or reused.
30       (13)(a) Any second-class city or any town may procure public
31   works with a unit priced contract under this section for the purpose
32   of completing anticipated types of work based on hourly rates or unit
33   pricing for one or more categories of work or trades.
34       (b) For the purposes of this section, "unit priced contract"
35   means a competitively bid contract in which public works are
36   anticipated on a recurring basis to meet the business or operational
37   needs of the city or town, under which the contractor agrees to a
38   fixed period indefinite quantity delivery of work, at a defined unit
39   price for each category of work.


                                     p. 39                         HB 1306
 1       (c) Unit priced contracts must be executed for an initial
 2   contract term not to exceed three years, with the city or town having
 3   the option of extending or renewing the unit priced contract for one
 4   additional year.
 5       (d) Invitations for unit price bids shall include, for purposes
 6   of the bid evaluation, estimated quantities of the anticipated types
 7   of work or trades, and specify how the city or town will issue or
 8   release work assignments, work orders, or task authorizations
 9   pursuant to a unit priced contract for projects, tasks, or other work
10   based on the hourly rates or unit prices bid by the contractor.
11   Contracts must be awarded to the lowest responsible bidder as per RCW
12   39.04.010. Whenever possible, the city or town must invite at least
13   one proposal from a certified minority or woman contractor who
14   otherwise qualifies under this section.
15       (e) Unit price contractors shall pay prevailing wages for all
16   work that would otherwise be subject to the requirements of chapter
17   39.12 RCW. Prevailing wages for all work performed pursuant to each
18   work order must be the prevailing wage rates in effect at the
19   beginning date for each contract year. Unit priced contracts must
20   have prevailing wage rates updated annually. Intents and affidavits
21   for prevailing wages paid must be submitted annually for all work
22   completed within the previous ((twelve-month)) 12-month period of the
23   unit priced contract.
24       (14) Any second-class city or town that awards a project to a
25   bidder under the criteria described in subsection (2) of this section
26   must make an annual report to the department of commerce that
27   includes the total number of bids awarded to certified minority or
28   women contractors and describing how notice was provided to potential
29   certified minority or women contractors.

30       Sec. 22. RCW 35.61.135 and 2009 c 229 s 10 are each amended to
31   read as follows:
32       (1) All work ordered, the estimated cost of which is in excess of
33   ((twenty thousand dollars)) $20,000, shall be let by contract and
34   competitive bidding. Before awarding any such contract the board of
35   park commissioners shall publish a notice in a newspaper of general
36   circulation where the district is located at least once ((thirteen))
37   13 days before the last date upon which bids will be received,
38   inviting sealed proposals for such work, plans, and specifications
39   which must at the time of publication of such notice be on file in
                                     p. 40                         HB 1306
 1   the office of the board of park commissioners subject to the public
 2   inspection. The notice shall state generally the work to be done and
 3   shall call for proposals for doing the same to be sealed and filed
 4   with the board of park commissioners on or before the day and hour
 5   named therein.
 6       Each bid shall be accompanied by a certified or cashier's check
 7   or postal money order payable to the order of the metropolitan park
 8   district for a sum not less than five percent of the amount of the
 9   bid, or accompanied by a bid bond in an amount not less than five
10   percent of the bid with a corporate surety licensed to do business in
11   the state, conditioned that the bidder will pay the metropolitan park
12   district as liquidated damages the amount specified in the bond,
13   unless the bidder enters into a contract in accordance with the
14   bidder's bid, and no bid shall be considered unless accompanied by
15   such check, cash, or bid bond. At the time and place named such bids
16   shall be publicly opened and read and the board of park commissioners
17   shall proceed to canvass the bids and may let such contract to the
18   lowest responsible bidder upon plans and specifications on file or to
19   the best bidder submitting the bidder's own plans and specifications.
20   The board of park commissioners may reject all bids for good cause
21   and readvertise and in such case all checks, cash, or bid bonds shall
22   be returned to the bidders. If the contract is let, then all checks,
23   cash, or bid bonds shall be returned to the bidders, except that of
24   the successful bidder, which shall be retained until a contract is
25   entered into for doing the work, and a bond to perform such work
26   furnished   with  sureties   satisfactory  to   the  board   of  park
27   commissioners in the full amount of the contract price between the
28   bidder and the metropolitan park district in accordance with the bid.
29   If the bidder fails to enter into the contract in accordance with the
30   bid and furnish the bond within ten days from the date at which the
31   bidder is notified that the bidder is the successful bidder, the
32   check, cash, or bid bonds and the amount thereof shall be forfeited
33   to the metropolitan park district. If the bidder fails to enter into
34   a contract in accordance with the bidder's bid, and the board of park
35   commissioners deems it necessary to take legal action to collect on
36   any bid bond required by this section, then the metropolitan park
37   district is entitled to collect from the bidder any legal expenses,
38   including reasonable attorneys' fees occasioned thereby. A low bidder
39   who claims error and fails to enter into a contract is prohibited


                                     p. 41                         HB 1306
 1   from bidding on the same project if a second or subsequent call for
 2   bids is made for the project.
 3       (2) As an alternative to requirements under subsection (1) of
 4   this section, a metropolitan park district may let contracts using
 5   the small works roster process under ((RCW 39.04.155)) sections 14
 6   through 16 of this act.
 7       (3) Any purchase of materials, supplies, or equipment, with an
 8   estimated cost in excess of ((forty thousand dollars)) $40,000, shall
 9   be by contract. Any purchase of materials, supplies, or equipment,
10   with an estimated cost of less than ((fifty thousand dollars))
11   $50,000 shall be made using the process provided in RCW 39.04.190.
12   Any purchase of materials, supplies, or equipment with an estimated
13   cost of ((fifty thousand dollars)) $50,000 or more shall be made by
14   competitive bidding following the procedure for letting contracts for
15   projects under subsection (1) of this section.
16       (4) As an alternative to requirements under subsection (3) of
17   this section, a metropolitan park district may let contracts for
18   purchase of materials, supplies, or equipment with the suppliers
19   designated on current state agency, county, city, or town purchasing
20   rosters for the materials, supplies, or equipment, when the roster
21   has been established in accordance with the competitive bidding law
22   for purchases applicable to the state agency, county, city, or town.
23   The price and terms for purchases shall be as described on the
24   applicable roster.
25       (5) The park board may waive the competitive bidding requirements
26   of this section pursuant to RCW 39.04.280 if an exemption contained
27   within RCW 39.04.280 applies to the purchase or public work.

28       Sec. 23. RCW 35.82.076 and 2000 c 138 s 205 are each amended to
29   read as follows:
30       A housing authority may establish and use a small works roster
31   for awarding contracts under ((RCW 39.04.155)) sections 14 through 16
32   of this act.


33       Sec. 24.   RCW 36.32.235 and 2019 c 434 s 8 are each amended to
34   read as follows:
35       (1) In each county which by resolution establishes a county
36   purchasing department, the purchasing department shall enter into
37   leases of personal property on a competitive basis and purchase all
38   supplies, materials, and equipment on a competitive basis, for all
                                     p. 42                         HB 1306
 1   departments of the county, as provided in this chapter and chapter
 2   39.04 RCW, except that the county purchasing department is not
 3   required to make purchases that are paid from the county road fund or
 4   equipment rental and revolving fund.
 5       (2) As used in this section:
 6       (a) "Public works" has the same definition as in RCW 39.04.010.
 7       (b)   "Riverine  project"   means   a  project   of   construction,
 8   alteration, repair, replacement, or improvement other than ordinary
 9   maintenance, executed at the cost of the state or of any
10   municipality, or which is by law a lien or charge on any property,
11   carried out on a river or stream and its tributaries and associated
12   floodplains, beds, banks, and waters for the purpose of improving
13   aquatic habitat, improving water quality, restoring floodplain
14   function, or providing flood protection.
15       (c) "Stormwater project" means a project of construction,
16   alteration, repair, replacement, or improvement other than ordinary
17   maintenance, executed at the cost of the state or of any
18   municipality, or which is by law a lien or charge on any property,
19   carried out on a municipal separate storm sewer system, and any
20   connections to the system, that is regulated under a state-issued
21   national pollutant discharge elimination system general municipal
22   stormwater permit for the purpose of improving control of stormwater
23   runoff quantity and quality from developed land, safely conveying
24   stormwater runoff, or reducing erosion or other water quality impacts
25   caused by municipal separate storm sewer system discharges.
26       (3) Except as otherwise specified in this chapter or in chapter
27   36.77 RCW, all counties subject to these provisions shall contract on
28   a competitive basis for all public works after bids have been
29   submitted   to   the  county   upon   specifications   therefor.   Such
30   specifications shall be in writing and shall be filed with the clerk
31   of the county legislative authority for public inspection.
32       (4) An advertisement shall be published in the county official
33   newspaper stating the time and place where bids will be opened, the
34   time after which bids will not be received, the character of the work
35   to be done, the materials and equipment to be furnished, and that
36   specifications therefor may be seen at the office of the clerk of the
37   county legislative authority. An advertisement shall also be
38   published in a legal newspaper of general circulation in or as near
39   as possible to that part of the county in which such work is to be
40   done. If the county official newspaper is a newspaper of general
                                      p. 43                         HB 1306
 1   circulation covering at least ((forty)) 40 percent of the residences
 2   in that part of the county in which such public works are to be done,
 3   then the publication of an advertisement of the applicable
 4   specifications in the county official newspaper is sufficient. Such
 5   advertisements shall be published at least once at least ((thirteen))
 6   13 days prior to the last date upon which bids will be received.
 7       (5) The bids shall be in writing, may be in either hard copy or
 8   electronic form as specified by the county, shall be filed with the
 9   clerk, shall be opened and read in public at the time and place named
10   therefor in the advertisements, and, after being opened, shall be
11   filed for public inspection. No bid may be considered for public work
12   unless it is accompanied by a bid deposit in the form of a surety
13   bond, postal money order, cash, cashier's check, or certified check
14   in an amount equal to five percent of the amount of the bid proposed.
15       (6) The contract for the public work shall be awarded to the
16   lowest responsible bidder. Any or all bids may be rejected for good
17   cause. The county legislative authority shall require from the
18   successful bidder for such public work a contractor's bond in the
19   amount and with the conditions imposed by law.
20       (7) If the bidder to whom the contract is awarded fails to enter
21   into the contract and furnish the contractor's bond as required
22   within ((ten)) 10 days after notice of the award, exclusive of the
23   day of notice, the amount of the bid deposit shall be forfeited to
24   the county and the contract awarded to the next lowest and best
25   bidder. The bid deposit of all unsuccessful bidders shall be returned
26   after the contract is awarded and the required contractor's bond
27   given by the successful bidder is accepted by the county legislative
28   authority. Immediately after the award is made, the bid quotations
29   obtained shall be recorded and open to public inspection and shall be
30   available by telephone inquiry.
31       (8) As limited by subsection (11) of this section, a county
32   subject to these provisions may have public works performed by county
33   employees in any annual or biennial budget period equal to a dollar
34   value not exceeding ten percent of the public works construction
35   budget, including any amount in a supplemental public works
36   construction budget, over the budget period.
37       Whenever a county subject to these provisions has had public
38   works performed in any budget period up to the maximum permitted
39   amount for that budget period, all remaining public works except
40   emergency work under subsection (13) of this section within that
                                     p. 44                         HB 1306
 1   budget period shall be done by contract pursuant to public notice and
 2   call for competitive bids as specified in subsection (3) of this
 3   section. The state auditor shall report to the state treasurer any
 4   county subject to these provisions that exceeds this amount and the
 5   extent to which the county has or has not reduced the amount of
 6   public works it has performed by public employees in subsequent
 7   years.
 8       (9) A county may procure public works with a unit priced contract
 9   under this section for the purpose of completing anticipated types of
10   work based on hourly rates or unit pricing for one or more categories
11   of work or trades.
12       (a) For the purposes of this section, "unit priced contract"
13   means a competitively bid contract in which public works are
14   anticipated on a recurring basis to meet the business or operational
15   needs of the county, under which the contractor agrees to a fixed
16   period indefinite quantity delivery of work, at a defined unit price
17   for each category of work.
18       (b) Unit priced contracts must be executed for an initial
19   contract term not to exceed one year, with the county having the
20   option of extending or renewing the unit priced contract for one
21   additional year.
22       (c) Invitations for unit price bids shall include, for purposes
23   of the bid evaluation, estimated quantities of the anticipated types
24   of work or trades, and specify how the county will issue or release
25   work assignments, work orders, or task authorizations pursuant to a
26   unit priced contract for projects, tasks, or other work based on the
27   hourly rates or unit prices bid by the contractor. The contract must
28   be awarded to the lowest responsible bidder as defined under RCW
29   39.04.010. Whenever possible, the county must invite at least one bid
30   from a certified minority or woman contractor who otherwise qualifies
31   under this section.
32       (d) Unit price contractors shall pay prevailing wages for all
33   work that would otherwise be subject to the requirements of chapter
34   39.12 RCW. Prevailing wages for all work performed pursuant to each
35   work order must be the prevailing wage rates in effect at the
36   beginning date for each contract year. Unit priced contracts must
37   have prevailing wage rates updated annually. Intents and affidavits
38   for prevailing wages paid must be submitted annually for all work
39   completed within the previous ((twelve-month)) 12-month period of the
40   unit priced contract.
                                     p. 45                         HB 1306
 1       (10) If a county subject to these provisions has public works
 2   performed by public employees in any budget period that are in excess
 3   of this ten percent limitation, the amount in excess of the permitted
 4   amount shall be reduced from the otherwise permitted amount of public
 5   works that may be performed by public employees for that county in
 6   its next budget period. Ten percent of the motor vehicle fuel tax
 7   distributions to that county shall be withheld if two years after the
 8   year in which the excess amount of work occurred, the county has
 9   failed to so reduce the amount of public works that it has performed
10   by public employees. The amount withheld shall be distributed to the
11   county when it has demonstrated in its reports to the state auditor
12   that the amount of public works it has performed by public employees
13   has been reduced as required.
14       (11) In addition to the percentage limitation provided in
15   subsection (8) of this section, counties subject to these provisions
16   containing a population of ((four hundred thousand)) 400,000 or more
17   shall not have public employees perform: A public works project in
18   excess of ((ninety thousand dollars)) $90,000 if more than a single
19   craft or trade is involved with the public works project, a riverine
20   project or stormwater project in excess of ((two hundred fifty
21   thousand dollars)) $250,000 if more than a single craft or trade is
22   involved with the riverine project or stormwater project, a public
23   works project in excess of ((forty-five thousand dollars)) $45,000 if
24   only a single craft or trade is involved with the public works
25   project, or a riverine project or stormwater project in excess of
26   ((one hundred twenty-five thousand dollars)) $125,000 if only a
27   single craft or trade is involved with the riverine project or
28   stormwater project. A public works project, a riverine project, and a
29   stormwater project means a complete project. The restrictions in this
30   subsection do not permit the division of the project into units of
31   work or classes of work to avoid the restriction on work that may be
32   performed by public employees on a single project.
33       The cost of a separate public works project shall be the costs of
34   materials, supplies, equipment, and labor on the construction of that
35   project. The value of the public works budget shall be the value of
36   all the separate public works projects within the budget.
37       (12) In addition to the accounting and recordkeeping requirements
38   contained in chapter 39.04 RCW, any county which uses public
39   employees to perform public works projects under RCW 36.32.240(1)
40   shall prepare a year-end report to be submitted to the state auditor
                                     p. 46                         HB 1306
 1   indicating the total dollar amount of the county's public works
 2   construction budget and the total dollar amount for public works
 3   projects performed by public employees for that year.
 4       The year-end report submitted pursuant to this subsection to the
 5   state auditor shall be in accordance with the standard form required
 6   by RCW 43.09.205.
 7       (13) Notwithstanding any other provision in this section,
 8   counties may use public employees without any limitation for
 9   emergency work performed under an emergency declared pursuant to RCW
10   36.32.270, and any such emergency work shall not be subject to the
11   limitations of this section. Publication of the description and
12   estimate of costs relating to correcting the emergency may be made
13   within seven days after the commencement of the work. Within two
14   weeks of the finding that such an emergency existed, the county
15   legislative authority shall adopt a resolution certifying the damage
16   to public facilities and costs incurred or anticipated relating to
17   correcting the emergency. Additionally this section shall not apply
18   to architectural and engineering or other technical or professional
19   services performed by public employees in connection with a public
20   works project.
21        (14) In lieu of the procedures of subsections (3) through (12) of
22   this section, a county may let contracts using the small works roster
23   process provided in ((RCW 39.04.155)) sections 14 through 16 of this
24   act.
25        Whenever possible, the county shall invite at least one proposal
26   from a certified minority or woman contractor who shall otherwise
27   qualify under this section.
28       (15) The allocation of public works projects to be performed by
29   county employees shall not be subject to a collective bargaining
30   agreement.
31       (16) This section does not apply to performance-based contracts,
32   as defined in RCW 39.35A.020(((4))) (6), that are negotiated under
33   chapter 39.35A RCW.
34       (17) Nothing in this section prohibits any county from allowing
35   for preferential purchase of products made from recycled materials or
36   products that may be recycled or reused.
37       (18) This section does not apply to contracts between the public
38   stadium authority and a team affiliate under RCW 36.102.060(4), or
39   development agreements between the public stadium authority and a


                                     p. 47                         HB 1306
1    team affiliate under RCW 36.102.060(7) or leases entered into under
2    RCW 36.102.060(8).


 3       Sec. 25.   RCW 36.32.250 and 2009 c 229 s 8 are each amended to
 4   read as follows:
 5       No contract for public works may be entered into by the county
 6   legislative authority or by any elected or appointed officer of the
 7   county until after bids have been submitted to the county upon
 8   specifications therefor. Such specifications shall be in writing and
 9   shall be filed with the clerk of the county legislative authority for
10   public inspection. An advertisement shall be published in the county
11   official newspaper stating the time and place where bids will be
12   opened, the time after which bids will not be received, the character
13   of the work to be done, the materials and equipment to be furnished,
14   and that specifications therefor may be seen at the office of the
15   clerk of the county legislative authority. An advertisement shall
16   also be published in a legal newspaper of general circulation in or
17   as near as possible to that part of the county in which such work is
18   to be done. If the county official newspaper is a newspaper of
19   general circulation covering at least forty percent of the residences
20   in that part of the county in which such public works are to be done,
21   then the publication of an advertisement of the applicable
22   specifications in the county official newspaper shall be sufficient.
23   Such advertisements shall be published at least once at least
24   ((thirteen)) 13 days prior to the last date upon which bids will be
25   received. The bids shall be in writing, shall be filed with the
26   clerk, shall be opened and read in public at the time and place named
27   therefor in the advertisements, and after being opened, shall be
28   filed for public inspection. No bid may be considered for public work
29   unless it is accompanied by a bid deposit in the form of a surety
30   bond, postal money order, cash, cashier's check, or certified check
31   in an amount equal to five percent of the amount of the bid proposed.
32   The contract for the public work shall be awarded to the lowest
33   responsible bidder. Any or all bids may be rejected for good cause.
34   The county legislative authority shall require from the successful
35   bidder for such public work a contractor's bond in the amount and
36   with the conditions imposed by law. If the bidder to whom the
37   contract is awarded fails to enter into the contract and furnish the
38   contractor's bond as required within ten days after notice of the
39   award, exclusive of the day of notice, the amount of the bid deposit
                                     p. 48                         HB 1306
 1   shall be forfeited to the county and the contract awarded to the next
 2   lowest and best bidder. A low bidder who claims error and fails to
 3   enter into a contract is prohibited from bidding on the same project
 4   if a second or subsequent call for bids is made for the project. The
 5   bid deposit of all unsuccessful bidders shall be returned after the
 6   contract is awarded and the required contractor's bond given by the
 7   successful bidder is accepted by the county legislative authority. In
 8   the letting of any contract for public works involving less than
 9   forty thousand dollars, advertisement and competitive bidding may be
10   dispensed with on order of the county legislative authority.
11   Immediately after the award is made, the bid quotations obtained
12   shall be recorded and open to public inspection and shall be
13   available by telephone inquiry.
14       As an alternative to requirements under this section, a county
15   may let contracts using the small works roster process under ((RCW
16   39.04.155)) sections 14 through 16 of this act.
17       This section does not apply to performance-based contracts, as
18   defined in RCW 39.35A.020(((4))) (6), that are negotiated under
19   chapter 39.35A RCW.


20       Sec. 26. RCW 36.77.075 and 2000 c 138 s 208 are each amended to
21   read as follows:
22       In lieu of the procedure for awarding contracts that is provided
23   in RCW 36.77.020 through 36.77.040, a county may award contracts for
24   public works projects on county roads using the small works roster
25   process under ((RCW 39.04.155)) sections 14 through 16 of this act.


26       Sec. 27. RCW 39.04.200 and 2000 c 138 s 103 are each amended to
27   read as follows:
28       Any local government using the uniform process established in RCW
29   39.04.190 to award contracts for purchases must post a list of the
30   contracts awarded under that process at least once every two months.
31   Any state agency or local government using the small works roster
32   process established in ((RCW 39.04.155)) sections 14 through 16 of
33   this act to award contracts for construction, building, renovation,
34   remodeling, alteration, repair, or improvement of real property must
35   make available a list of the contracts awarded under that process at
36   least once every year. The list shall contain the name of the
37   contractor or vendor awarded the contract, the amount of the
38   contract, a brief description of the type of work performed or items
                                     p. 49                         HB 1306
1    purchased under the contract, and the date it was awarded. The list
2    shall also state the location where the bid quotations for these
3    contracts are available for public inspection.


 4       Sec. 28. RCW 39.04.380 and 2015 c 225 s 39 are each amended to
 5   read as follows:
 6       (1) ((The department of enterprise services must conduct a survey
 7   and compile the results into a list of which states provide a bidding
 8   preference on public works contracts for their resident contractors.
 9   The list must include details on the type of preference, the amount
10   of the preference, and how the preference is applied. The list must
11   be updated periodically as needed. The initial survey must be
12   completed by November 1, 2011, and by December 1, 2011, the
13   department must submit a report to the appropriate committees of the
14   legislature on the results of the survey. The report must include the
15   list and recommendations necessary to implement the intent of this
16   section and section 2, chapter 345, Laws of 2011.
17       (2) The department of enterprise services must distribute the
18   report, along with the requirements of this section and section 2,
19   chapter 345, Laws of 2011, to all state and local agencies with the
20   authority to procure public works. The department may adopt rules and
21   procedures to implement the reciprocity requirements in subsection
22   (3) of this section. However, subsection (3) of this section does not
23   take effect until the department of enterprise services has adopted
24   the rules and procedures for reciprocity under this subsection or
25   announced that it will not be issuing rules or procedures pursuant to
26   this section.
27       (3))) In any bidding process for public works in which a bid is
28   received from a nonresident contractor from a state that provides a
29   percentage bidding preference, a comparable percentage disadvantage
30   must be applied to the bid of that nonresident contractor. This
31   subsection does not apply until the department of enterprise services
32   has adopted the rules and procedures for reciprocity ((under
33   subsection (2) of this section)), or has determined and announced
34   that rules are not necessary for implementation.
35       (((4))) (2) A nonresident contractor from a state that provides a
36   percentage bid preference means a contractor that:
37       (a) Is from a state that provides a percentage bid preference to
38   its resident contractors bidding on public works contracts; and


                                     p. 50                         HB 1306
1        (b) At the time of bidding on a public works project, does not
2    have a physical office located in Washington.
3        (((5))) (3) The state of residence for a nonresident contractor
4    is the state in which the contractor was incorporated or, if not a
5    corporation, the state where the contractor's business entity was
6    formed.
7        (((6))) (4) This section does not apply to public works procured
8    pursuant to RCW ((39.04.155,)) 39.04.280, sections 14 through 16 of
9    this act, or any other procurement exempt from competitive bidding.


10       Sec. 29.   RCW 39.12.040 and 2019 c 434 s 6 are each amended to
11   read as follows:
12       (1)(a) Except as provided in subsection (2) of this section,
13   before payment is made by or on behalf of the state, or any county,
14   municipality, or political subdivision created by its laws, of any
15   sum or sums due on account of a public works contract, it is the duty
16   of the officer or person charged with the custody and disbursement of
17   public funds to require the contractor and each and every
18   subcontractor from the contractor or a subcontractor to submit to
19   such officer a "Statement of Intent to Pay Prevailing Wages". For a
20   contract in excess of ten thousand dollars, the statement of intent
21   to pay prevailing wages must include:
22       (i) The contractor's registration certificate number; and
23       (ii) The prevailing rate of wage for each classification of
24   workers entitled to prevailing wages under RCW 39.12.020 and the
25   estimated number of workers in each classification.
26       (b) Each statement of intent to pay prevailing wages must be
27   approved by the industrial statistician of the department of labor
28   and industries before it is submitted to the disbursing officer.
29   Unless otherwise authorized by the department of labor and
30   industries, each voucher claim submitted by a contractor for payment
31   on a project estimate must state that the prevailing wages have been
32   paid in accordance with the prefiled statement or statements of
33   intent to pay prevailing wages on file with the public agency.
34   Following the final acceptance of a public works project, it is the
35   duty of the officer charged with the disbursement of public funds, to
36   require the contractor and each and every subcontractor from the
37   contractor or a subcontractor to submit to such officer an affidavit
38   of wages paid before the funds retained according to the provisions
39   of RCW 60.28.011 are released to the contractor. On a public works
                                     p. 51                         HB 1306
 1   project where no retainage is withheld, the affidavit of wages paid
 2   must be submitted to the state, county, municipality, or other public
 3   body charged with the duty of disbursing or authorizing disbursement
 4   of public funds prior to final acceptance of the public works
 5   project. If a subcontractor performing work on a public works project
 6   fails to submit an affidavit of wages paid form, the contractor or
 7   subcontractor  with   whom  the   subcontractor  had   a  contractual
 8   relationship for the project may file the forms on behalf of the
 9   nonresponsive subcontractor. Affidavit forms may only be filed on
10   behalf of a nonresponsive subcontractor who has ceased operations or
11   failed to file as required by this section. The contractor filing the
12   affidavit must accept responsibility for payment of prevailing wages
13   unpaid by the subcontractor on the project pursuant to RCW 39.12.020
14   and 39.12.065. Intentionally filing a false affidavit on behalf of a
15   subcontractor subjects the filer to the same penalties as are
16   provided in RCW 39.12.050. Each affidavit of wages paid must be
17   certified by the industrial statistician of the department of labor
18   and industries before it is submitted to the disbursing officer.
19       (2) As an alternate to the procedures provided for in subsection
20   (1) of this section, for public works projects of ((two thousand five
21   hundred dollars)) $5,000 or less ((and for projects where the limited
22   public works process)) as allowed under ((RCW 39.04.155(3))) section
23   15 of this act is followed:
24       (a) An awarding agency may authorize the contractor or
25   subcontractor to submit the statement of intent to pay prevailing
26   wages directly to the officer or person charged with the custody or
27   disbursement of public funds in the awarding agency without approval
28   by the industrial statistician of the department of labor and
29   industries. The awarding agency must retain such statement of intent
30   to pay prevailing wages for a period of not less than three years.
31       (b) Upon final acceptance of the public works project, the
32   awarding agency must require the contractor or subcontractor to
33   submit an affidavit of wages paid. Upon receipt of the affidavit of
34   wages paid, the awarding agency may pay the contractor or
35   subcontractor in full, including funds that would otherwise be
36   retained according to the provisions of RCW 60.28.011. Within thirty
37   days of receipt of the affidavit of wages paid, the awarding agency
38   must submit the affidavit of wages paid to the industrial
39   statistician of the department of labor and industries for approval.


                                     p. 52                         HB 1306
 1       (c) A statement of intent to pay prevailing wages and an
 2   affidavit of wages paid must be on forms approved by the department
 3   of labor and industries.
 4       (d) In the event of a wage claim and a finding for the claimant
 5   by the department of labor and industries where the awarding agency
 6   has used the alternative process provided for in this subsection (2),
 7   the awarding agency must pay the wages due directly to the claimant.
 8   If the contractor or subcontractor did not pay the wages stated in
 9   the affidavit of wages paid, the awarding agency may take action at
10   law to seek reimbursement from the contractor or subcontractor of
11   wages paid to the claimant, and may prohibit the contractor or
12   subcontractor from bidding on any public works contract of the
13   awarding agency for up to one year.
14       (e) Nothing in this section may be interpreted to allow an
15   awarding agency to subdivide any public works project of more than
16   ((two thousand five hundred dollars)) $5,000 for the purpose of
17   circumventing the procedures required by subsection (1) of this
18   section.


19       Sec. 30. RCW 52.14.110 and 2019 c 434 s 12 are each amended to
20   read as follows:
21       Insofar as practicable, purchases and any public works by the
22   district shall be based on competitive bids. A formal sealed bid
23   procedure shall be used as standard procedure for purchases and
24   contracts for purchases executed by the board of commissioners.
25   Formal sealed bidding shall not be required for:
26       (1) The purchase of any materials, supplies, or equipment if the
27   cost will not exceed the sum of ((forty thousand dollars)) $40,000.
28   However, whenever the estimated cost does not exceed ((seventy-five
29   thousand dollars)) $75,000, the commissioners may by resolution use
30   the process provided in RCW 39.04.190 to award contracts;
31       (2) Contracting for work to be done involving the construction or
32   improvement of a fire station or other buildings where the estimated
33   cost will not exceed the sum of ((thirty thousand dollars)) $30,000,
34   which includes the costs of labor, material, and equipment;
35       (3) Contracts using the small works roster process under ((RCW
36   39.04.155)) sections 14 through 16 of this act; and
37       (4) Any contract for purchases or public work pursuant to RCW
38   39.04.280 if an exemption contained within that section applies to
39   the purchase or public work.
                                     p. 53                         HB 1306
 1       Sec. 31.   RCW 53.08.120 and 2018 c 149 s 2 are each amended to
 2   read as follows:
 3       (1) All material and work required by a port district not meeting
 4   the definition of public work in RCW 39.04.010(((4))) may be procured
 5   in the open market or by contract and all work ordered may be done by
 6   contract or day labor.
 7       (2)(a) All such contracts for work meeting the definition of
 8   "public work" in RCW 39.04.010(((4), the estimated cost of which
 9   exceeds three hundred thousand dollars,)) shall be awarded using a
10   competitive bid process. The contract must be awarded at public
11   bidding upon notice published in a newspaper of general circulation
12   in the district at least ((thirteen)) 13 days before the last date
13   upon which bids will be received, calling for bids upon the work,
14   plans and specifications for which shall then be on file in the
15   office of the commission for public inspection. The same notice may
16   call for bids on such work or material based upon plans and
17   specifications submitted by the bidder. The competitive bidding
18   requirements for purchases or public works may be waived pursuant to
19   RCW 39.04.280 if an exemption contained within that section applies
20   to the purchase or public work.
21       (b) For all contracts related to work meeting the definition of
22   "public work" in RCW 39.04.010(((4) that are estimated at three
23   hundred thousand dollars or less)), a port district may let contracts
24   using the small works roster process under ((RCW 39.04.155)) sections
25   14 through 16 of this act in lieu of advertising for bids. Whenever
26   possible, the managing official shall invite at least one proposal
27   from a minority contractor who shall otherwise qualify under this
28   section.
29       When awarding such a contract for work, when utilizing proposals
30   from the small works roster, the managing official shall give weight
31   to the contractor submitting the lowest and best proposal, and
32   whenever it would not violate the public interest, such contracts
33   shall be distributed equally among contractors, including minority
34   contractors, on the small works roster.
35       (c) Any port district may construct any public work, as defined
36   in RCW 39.04.010, by contract without calling for bids whenever the
37   estimated cost of the work or improvement, including cost of
38   materials, supplies, and equipment, will not exceed the sum of
39   ((forty thousand dollars)) $40,000. A "public works project" means a
40   complete project. The restrictions in this subsection do not permit
                                     p. 54                         HB 1306
 1   the division of the project into units of work or classes of work to
 2   avoid calling for bids. The port district managing official shall
 3   make his or her best effort to reach out to qualified contractors,
 4   including certified minority and woman-owned contractors.
 5       (3)(a) A port district may procure public works with a unit
 6   priced contract under this section or RCW 39.04.010(((2))) (3) for
 7   the purpose of completing anticipated types of work based on hourly
 8   rates or unit pricing for one or more categories of work or trades.
 9       (b) For the purposes of this section, unit priced contract means
10   a competitively bid contract in which public works are anticipated on
11   a recurring basis to meet the business or operational needs of a port
12   district, under which the contractor agrees to a fixed period
13   indefinite quantity delivery of work, at a defined unit price, for
14   each category of work.
15       (c) Unit priced contracts must be executed for an initial
16   contract term not to exceed three years, with the port district
17   having the option of extending or renewing the unit priced contract
18   for one additional year.
19       (d) Invitations for unit priced bids shall include, for purposes
20   of the bid evaluation, estimated quantities of the anticipated types
21   of work or trades, and specify how the port district will issue or
22   release work assignments, work orders, or task authorizations
23   pursuant to a unit priced contract for projects, tasks, or other work
24   based on the hourly rates or unit prices bid by the contractor.
25   Contracts must be awarded to the lowest responsible bidder as per RCW
26   39.04.010. Whenever possible, the port district must invite at least
27   one proposal from a minority or woman contractor who otherwise
28   qualifies under this section.
29       (e) Unit priced contractors shall pay prevailing wages for all
30   work that would otherwise be subject to the requirements of chapter
31   39.12 RCW. Prevailing wages for all work performed pursuant to each
32   work order must be the prevailing wage rates in effect at the
33   beginning date for each contract year. Unit priced contracts shall
34   have prevailing wage rates updated annually. Intents and affidavits
35   for prevailing wages paid shall be submitted annually for all work
36   completed within the previous ((twelve-month)) 12-month period of the
37   unit priced contract.


38       Sec. 32.   RCW 54.04.070 and 2019 c 434 s 7 are each amended to
39   read as follows:
                                     p. 55                         HB 1306
 1       (1) Any item, or items of the same kind of materials, equipment,
 2   or supplies purchased, the estimated cost of which is in excess of
 3   thirty thousand dollars, exclusive of sales tax, shall be by
 4   contract. However, a district may make purchases of the same kind of
 5   items of materials, equipment, and supplies not exceeding ((twelve
 6   thousand dollars)) $12,000 in any calendar month without a contract,
 7   purchasing any excess thereof over ((twelve thousand dollars))
 8   $12,000 by contract.
 9       (2) Any work ordered by a district commission, the estimated cost
10   of which is in excess of ((fifty thousand dollars)) $50,000,
11   exclusive of sales tax, shall be by contract. However, a district
12   commission may have its own regularly employed personnel perform work
13   which is an accepted industry practice under prudent utility
14   management without a contract. For purposes of this section, "prudent
15   utility management" means performing work with regularly employed
16   personnel utilizing material of a worth not exceeding ((three hundred
17   thousand dollars)) $300,000 in value without a contract. This limit
18   on the value of material being utilized in work being performed by
19   regularly employed personnel shall not include the value of
20   individual items of equipment. For the purposes of this section, the
21   term "equipment" includes but is not limited to conductor, cabling,
22   wire, pipe, or lines used for electrical, water, fiber optic, or
23   telecommunications.
24       (3) Before awarding a contract required under subsection (1) or
25   (2) of this section, the commission shall publish a notice once or
26   more in a newspaper of general circulation in the district at least
27   ((thirteen)) 13 days before the last date upon which bids will be
28   received, inviting sealed proposals for the work or materials. Plans
29   and specifications for the work or materials shall at the time of
30   publication be on file at the office of the district and subject to
31   public inspection. Any published notice ordering work to be performed
32   for the district shall be mailed at the time of publication to any
33   established trade association which files a written request with the
34   district to receive such notices. The commission may, at the same
35   time and as part of the same notice, invite tenders for the work or
36   materials upon plans and specifications to be submitted by the
37   bidders.
38       (4) As an alternative to the competitive bidding requirements of
39   this section and RCW 54.04.080, a district may let contracts using


                                     p. 56                         HB 1306
 1   the small works roster process under ((RCW 39.04.155)) sections 14
 2   through 16 of this act.
 3       (5) Whenever equipment or materials required by a district are
 4   held by a governmental agency and are available for sale but such
 5   agency is unwilling to submit a proposal, the commission may
 6   ascertain the price of such items and file a statement of such price
 7   supported by the sworn affidavit of one member of the commission, and
 8   may consider such price as a bid without a deposit or bond.
 9       (6) Pursuant to RCW 39.04.280, the commission may waive the
10   competitive bidding requirements of this section and RCW 54.04.080 if
11   an exemption contained within RCW 39.04.280 applies to the purchase
12   or public work.
13       (7)(a) A district may procure public works with a unit priced
14   contract under this section, RCW 54.04.080, or 54.04.085 for the
15   purpose of completing anticipated types of work based on hourly rates
16   or unit pricing for one or more categories of work or trades.
17       (b) For the purposes of this section, unit priced contract means
18   a competitively bid contract in which public works are anticipated on
19   a recurring basis to meet the business or operational needs of a
20   district, under which the contractor agrees to a fixed period
21   indefinite quantity delivery of work, at a defined unit price, for
22   each category of work.
23       (c) Unit priced contracts must be executed for an initial
24   contract term not to exceed three years, with the district having the
25   option of extending or renewing the unit priced contract for one
26   additional year.
27       (d) Invitations for unit price bids shall include, for purposes
28   of the bid evaluation, estimated quantities of the anticipated types
29   of work or trades, and specify how the district will issue or release
30   work assignments, work orders, or task authorizations pursuant to a
31   unit priced contract for projects, tasks, or other work based on the
32   hourly rates or unit prices bid by the contractor. Where electrical
33   facility construction or improvement work is anticipated, contractors
34   on a unit priced contract shall comply with the requirements under
35   RCW 54.04.085 (1) through (5). Contracts must be awarded to the
36   lowest responsible bidder as per RCW 39.04.010.
37       (e) Unit price contractors shall pay prevailing wages for all
38   work that would otherwise be subject to the requirements of chapter
39   39.12 RCW. Prevailing wages for all work performed pursuant to each
40   work order must be the prevailing wage rates in effect at the
                                     p. 57                         HB 1306
1    beginning date for each contract year. Unit priced contracts must
2    have prevailing wage rates updated annually. Intents and affidavits
3    for prevailing wages paid must be submitted annually for all work
4    completed within the previous ((twelve-month)) 12-month period of the
5    unit priced contract.


 6       Sec. 33. RCW 57.08.050 and 2019 c 434 s 10 are each amended to
 7   read as follows:
 8       (1) All work ordered, the estimated cost of which is in excess of
 9   ((fifty thousand dollars)) $50,000, shall be let by contract and
10   competitive bidding. Before awarding any such contract the board of
11   commissioners shall publish a notice in a newspaper of general
12   circulation where the district is located at least once ((thirteen))
13   13 days before the last date upon which bids will be received,
14   inviting sealed proposals for such work, plans and specifications
15   which must at the time of publication of such notice be on file in
16   the office of the board of commissioners subject to the public
17   inspection. The notice shall state generally the work to be done and
18   shall call for proposals for doing the same to be sealed and filed
19   with the board of commissioners on or before the day and hour named
20   therein.
21       Each bid shall be accompanied by a certified or cashier's check
22   or postal money order payable to the order of the county treasurer
23   for a sum not less than five percent of the amount of the bid, or
24   accompanied by a bid bond in an amount not less than five percent of
25   the bid with a corporate surety licensed to do business in the state,
26   conditioned that the bidder will pay the district as liquidated
27   damages the amount specified in the bond, unless the bidder enters
28   into a contract in accordance with the bidder's bid, and no bid shall
29   be considered unless accompanied by such check, cash or bid bond. At
30   the time and place named such bids shall be publicly opened and read
31   and the board of commissioners shall proceed to canvass the bids and
32   may let such contract to the lowest responsible bidder upon plans and
33   specifications on file or to the best bidder submitting the bidder's
34   own plans and specifications. The board of commissioners may reject
35   all bids for good cause and readvertise and in such case all checks,
36   cash or bid bonds shall be returned to the bidders. If the contract
37   is let, then all checks, cash, or bid bonds shall be returned to the
38   bidders, except that of the successful bidder, which shall be
39   retained until a contract shall be entered into for doing the work,
                                     p. 58                         HB 1306
 1   and a bond to perform such work furnished with sureties satisfactory
 2   to the board of commissioners in the full amount of the contract
 3   price between the bidder and the commission in accordance with the
 4   bid. If the bidder fails to enter into the contract in accordance
 5   with the bid and furnish the bond within ((ten)) 10 days from the
 6   date at which the bidder is notified that the bidder is the
 7   successful bidder, the check, cash, or bid bonds and the amount
 8   thereof shall be forfeited to the district. If the bidder fails to
 9   enter into a contract in accordance with the bidder's bid, and the
10   board of commissioners deems it necessary to take legal action to
11   collect on any bid bond required by this section, then the district
12   shall be entitled to collect from the bidder any legal expenses,
13   including reasonable attorneys' fees occasioned thereby. A low bidder
14   who claims error and fails to enter into a contract is prohibited
15   from bidding on the same project if a second or subsequent call for
16   bids is made for the project.
17       (2) As an alternative to requirements under subsection (1) of
18   this section, a water-sewer district may let contracts using the
19   small works roster process under ((RCW 39.04.155)) sections 14
20   through 16 of this act.
21       (3) Any purchase of materials, supplies, or equipment, with an
22   estimated cost in excess of ((forty thousand dollars)) $40,000, shall
23   be by contract. Any purchase of materials, supplies, or equipment,
24   with an estimated cost of less than ((fifty thousand dollars))
25   $50,000 shall be made using the process provided in RCW 39.04.190.
26   Any purchase of materials, supplies, or equipment with an estimated
27   cost of ((fifty thousand dollars)) $50,000 or more shall be made by
28   competitive bidding following the procedure for letting contracts for
29   projects under subsection (1) of this section.
30       (4) As an alternative to requirements under subsection (3) of
31   this section, a water-sewer district may let contracts for purchase
32   of materials, supplies, or equipment with the suppliers designated on
33   current state agency, county, city, or town purchasing rosters for
34   the materials, supplies, or equipment, when the roster has been
35   established in accordance with the competitive bidding law for
36   purchases applicable to the state agency, county, city, or town. The
37   price and terms for purchases shall be as described on the applicable
38   roster.



                                     p. 59                         HB 1306
 1       (5) The board may waive the competitive bidding requirements of
 2   this section pursuant to RCW 39.04.280 if an exemption contained
 3   within that section applies to the purchase or public work.
 4       (6)(a) A district may procure public works with a unit priced
 5   contract under this section for the purpose of completing anticipated
 6   types of work based on hourly rates or unit pricing for one or more
 7   categories of work or trades.
 8       (b) For the purposes of this section, "unit priced contract"
 9   means a competitively bid contract in which public works are
10   anticipated on a recurring basis to meet the business or operational
11   needs of the district, under which the contractor agrees to a fixed
12   period indefinite quantity delivery of work, at a defined unit price
13   for each category of work.
14       (c) Unit priced contracts must be executed for an initial
15   contract term not to exceed one year, with the district having the
16   option of extending or renewing the unit priced contract for one
17   additional year.
18       (d) Invitations for unit price bids must include, for purposes of
19   the bid evaluation, estimated quantities of the anticipated types of
20   work or trades, and specify how the district will issue or release
21   work assignments, work orders, or task authorizations pursuant to a
22   unit priced contract for projects, tasks, or other work based on the
23   hourly rates or unit prices bid by the contractor. Contracts must be
24   awarded to the lowest responsible bidder as per RCW 39.04.010.
25   Whenever possible, the district must invite at least one proposal
26   from a certified minority or woman contractor who otherwise qualifies
27   under this section.
28       (e) Unit price contractors shall pay prevailing wages for all
29   work that would otherwise be subject to the requirements of chapter
30   39.12 RCW. Prevailing wages for all work performed pursuant to each
31   work order must be the prevailing wage rates in effect at the
32   beginning date for each contract year. Unit priced contracts must
33   have prevailing wage rates updated annually. Intents and affidavits
34   for prevailing wages paid must be submitted annually for all work
35   completed within the previous twelve-month period of the unit priced
36   contract.


37       Sec. 34.   RCW 70.44.140 and 2016 c 51 s 1 are each amended to
38   read as follows:


                                     p. 60                         HB 1306
 1       (1) All materials purchased and work ordered, the estimated cost
 2   of which is in excess of ((seventy-five thousand dollars)) $75,000,
 3   shall be by contract. Before awarding any such contract, the
 4   commission shall publish a notice at least ((thirteen)) 13 days
 5   before the last date upon which bids will be received, inviting
 6   sealed proposals for such work. The plans and specifications must at
 7   the time of the publication of such notice be on file at the office
 8   of the public hospital district, subject to public inspection:
 9   PROVIDED, HOWEVER, That the commission may at the same time, and as
10   part of the same notice, invite tenders for the work or materials
11   upon plans and specifications to be submitted by bidders. The notice
12   shall state generally the work to be done, and shall call for
13   proposals for doing the same, to be sealed and filed with the
14   commission on or before the day and hour named therein. Each bid
15   shall be accompanied by bid proposal security in the form of a
16   certified check, cashier's check, postal money order, or surety bond
17   made payable to the order of the commission, for a sum not less than
18   five percent of the amount of the bid, and no bid shall be considered
19   unless accompanied by such bid proposal security. At the time and
20   place named, such bids shall be publicly opened and read, and the
21   commission shall proceed to canvass the bids, and may let such
22   contract   to  the   lowest   responsible  bidder   upon  plans   and
23   specifications on file, or to the best bidder submitting his or her
24   own plans and specifications. If, in the opinion of the commission,
25   all bids are unsatisfactory, they may reject all of them and
26   readvertise, and in such case all bid proposal security shall be
27   returned to the bidders. If the contract is let, then all bid
28   proposal security shall be returned to the bidders, except that of
29   the successful bidder, which is retained until a contract shall be
30   entered into for the purchase of such materials for doing such work,
31   and a bond to perform such work furnished, with sureties satisfactory
32   to the commission, in an amount to be fixed by the commission, not
33   less than ((twenty-five)) 25 percent of contract price in any case,
34   between the bidder and commission, in accordance with the bid. If
35   such bidder fails to enter into the contract in accordance with the
36   bid and furnish such bond within ((ten)) 10 days from the date at
37   which the bidder is notified that he or she is the successful bidder,
38   the bid proposal security and the amount thereof shall be forfeited
39   to the public hospital district. A low bidder who claims error and
40   fails to enter into a contract is prohibited from bidding on the same
                                     p. 61                         HB 1306
 1   project if a second or subsequent call for bids is made for the
 2   project.
 3       (2) As an alternative to the requirements of subsection (1) of
 4   this section, a public hospital district may let contracts using the
 5   small works roster process under ((RCW 39.04.155)) sections 14
 6   through 16 of this act.
 7       (3) Any purchases with an estimated cost of up to ((fifteen
 8   thousand dollars)) $15,000 may be made using the process provided in
 9   RCW 39.04.190.
10       (4) The commission may waive the competitive bidding requirements
11   of this section pursuant to RCW 39.04.280 if an exemption contained
12   within that section applies to the purchase or public work.

13       Sec. 35.   RCW 87.03.436 and 2010 c 201 s 2 are each amended to
14   read as follows:
15       All contract projects, the estimated cost of which is less than
16   ((three hundred thousand dollars)) the amount authorized, may be
17   awarded using the small works roster process under ((RCW 39.04.155))
18   sections 14 through 16 of this act.


19       Sec. 36. RCW 43.131.408 and 2021 c 230 s 22 are each amended to
20   read as follows:
21       The following acts or parts of acts, as now existing or hereafter
22   amended, are each repealed, effective June 30, 2032:
23       (1) RCW 39.10.200 and 2023 c . . . s 4 (section 4 of this act),
24   2010 1st sp.s. c 21 s 2, 2007 c 494 s 1, & 1994 c 132 s 1;
25       (2) RCW 39.10.210 and 2023 c . . . s 5 (section 5 of this act),
26   2021 c 230 s 1, 2019 c 212 s 1, 2014 c 42 s 1, & 2013 c 222 s 1;
27       (3) RCW 39.10.220 and 2023 c . . . s 6 (section 6 of this act),
28   2021 c 230 s 2, 2013 c 222 s 2, 2007 c 494 s 102, & 2005 c 377 s 1;
29       (4) RCW 39.10.230 and 2023 c . . . s 7 (section 7 of this act),
30   2021 c 230 s 3, 2013 c 222 s 3, 2010 1st sp.s. c 21 s 3, 2009 c 75 s
31   1, 2007 c 494 s 103, & 2005 c 377 s 2;
32       (5) RCW 39.10.240 and 2023 c . . . s 8 (section 8 of this act),
33   2021 c 230 s 4, 2013 c 222 s 4, & 2007 c 494 s 104;
34       (6) RCW 39.10.250 and 2021 c 230 s 5, 2019 c 212 s 2, 2013 c 222
35   s 5, 2009 c 75 s 2, & 2007 c 494 s 105;
36       (7) RCW 39.10.260 and 2013 c 222 s 6 & 2007 c 494 s 106;
37       (8) RCW 39.10.270 and 2019 c 212 s 3, 2017 c 211 s 1, 2013 c 222
38   s 7, 2009 c 75 s 3, & 2007 c 494 s 107;
                                     p. 62                         HB 1306
 1       (9) RCW 39.10.280 and 2014 c 42 s 2, 2013 c 222 s 8, & 2007 c 494
 2   s 108;
 3       (10) RCW 39.10.290 and 2007 c 494 s 109;
 4       (11) RCW 39.10.300 and 2021 c 230 s 6, 2019 c 212 s 4, 2013 c 222
 5   s 9, 2009 c 75 s 4, & 2007 c 494 s 201;
 6       (12) RCW 39.10.320 and 2019 c 212 s 5, 2013 c 222 s 10, 2007 c
 7   494 s 203, & 1994 c 132 s 7;
 8       (13) RCW 39.10.330 and 2023 c . . . s 9 (section 9 of this act),
 9   2021 c 230 s 7, 2019 c 212 s 6, 2014 c 19 s 1, 2013 c 222 s 11, 2009
10   c 75 s 5, & 2007 c 494 s 204;
11       (14) RCW 39.10.340 and 2014 c 42 s 3, 2013 c 222 s 12, & 2007 c
12   494 s 301;
13       (15) RCW 39.10.350 and 2021 c 230 s 8, 2014 c 42 s 4, & 2007 c
14   494 s 302;
15       (16) RCW 39.10.360 and 2023 c . . . s 10 (section 10 of this
16   act), 2021 c 230 s 9, 2014 c 42 s 5, 2013 c 222 s 13, 2009 c 75 s 6,
17   & 2007 c 494 s 303;
18       (17) RCW 39.10.370 and 2021 c 230 s 10, 2014 c 42 s 6, & 2007 c
19   494 s 304;
20       (18) RCW 39.10.380 and 2023 c . . . s 11 (section 11 of this
21   act), 2021 c 230 s 11, 2013 c 222 s 14, & 2007 c 494 s 305;
22       (19) RCW 39.10.385 and 2023 c . . . s 12 (section 12 of this
23   act), 2021 c 230 s 12, 2013 c 222 s 15, & 2010 c 163 s 1;
24       (20) RCW 39.10.390 and 2021 c 230 s 13, 2014 c 42 s 7, 2013 c 222
25   s 16, & 2007 c 494 s 306;
26       (21) RCW 39.10.400 and 2021 c 230 s 14, 2013 c 222 s 17, & 2007 c
27   494 s 307;
28       (22) RCW 39.10.410 and 2007 c 494 s 308;
29       (23) RCW 39.10.420 and 2019 c 212 s 7, 2017 c 136 s 1, & 2016 c
30   52 s 1;
31       (24) RCW 39.10.430 and 2021 c 230 s 15, 2019 c 212 s 8, & 2007 c
32   494 s 402;
33       (25) RCW 39.10.440 and 2021 c 230 s 16, 2019 c 212 s 9, 2015 c
34   173 s 1, 2013 c 222 s 19, & 2007 c 494 s 403;
35       (26) RCW 39.10.450 and 2019 c 212 s 10, 2012 c 102 s 2, & 2007 c
36   494 s 404;
37       (27) RCW 39.10.460 and 2021 c 230 s 17, 2012 c 102 s 3, & 2007 c
38   494 s 405;
39       (28) RCW 39.10.470 and 2019 c 212 s 11, 2014 c 19 s 2, 2005 c 274
40   s 275, & 1994 c 132 s 10;
                                     p. 63                         HB 1306
 1       (29) RCW 39.10.480 and 1994 c 132 s 9;
 2       (30) RCW 39.10.490 and 2021 c 230 s 18, 2013 c 222 s 20, 2007 c
 3   494 s 501, & 2001 c 328 s 5;
 4       (31) RCW 39.10.900 and 1994 c 132 s 13;
 5       (32) RCW 39.10.901 and 1994 c 132 s 14;
 6       (33) RCW 39.10.903 and 2007 c 494 s 510;
 7       (34) RCW 39.10.904 and 2007 c 494 s 512;
 8       (35) RCW 39.10.905 and 2007 c 494 s 513; and
 9       (36) RCW 39.10.908 and 2023 c . . . s 13 (section 13 of this act)
10   and 2021 c 230 s 19.


11       NEW SECTION.   Sec. 37.   The following acts or parts of acts are
12   each repealed:
13      (1) RCW 39.04.155 (Small works roster contract procedures—Limited
14   public works process—Definitions) and 2019 c 434 s 5, 2015 c 225 s
15   33, 2009 c 74 s 1, & 2008 c 130 s 17; and
16       (2) RCW 39.04.156 (Small works roster     manual—Notification   to
17   local governments) and 2000 c 138 s 104.


18       NEW SECTION.   Sec. 38.   Sections 14 through 16 of this act are
19   each added to chapter 39.04 RCW.


20       NEW SECTION. Sec. 39. Sections 1 through 30, 32 through 34, 36,
21   and 37 of this act take effect July 1, 2024.


22       NEW SECTION.    Sec. 40.    Sections 31 and 35 of this act are
23   necessary for the immediate preservation of the public peace, health,
24   or safety, or support of the state government and its existing public
25   institutions, and take effect July 1, 2023.

                                   --- END ---




                                      p. 64                        HB 1306


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