Montana Code Annotated 2023

TITLE 18. PUBLIC CONTRACTS

CHAPTER 2. CONSTRUCTION CONTRACTS

Part 5. Alternative Project Delivery Contracts

Alternative Project Delivery Contract -- Award Criteria

18-2-503. (Temporary) Alternative project delivery contract -- award criteria. (1) (a) Whenever a state agency or a governing body determines, pursuant to 18-2-502, that an alternative project delivery contract is justifiable, the state agency or the governing body shall publish a request for qualifications.

(b) After evaluating the responses to the request for qualifications, a request for proposals must be sent to each respondent that meets the qualification criteria specified in the request for qualifications. The request for proposals must clearly describe the project, the state agency's or the governing body's needs with respect to the project, the requirements for submitting a proposal, criteria that will be used to evaluate proposals, and any other factors, including any weighting, that will be used to award the alternative project delivery contract.

(2) The state agency's or the governing body's decision to award an alternative project delivery contract must be based, at a minimum, on:

(a) the applicant's:

(i) history and experience with projects similar to the project under consideration;

(ii) financial health;

(iii) staff or workforce that is proposed to be committed to the project;

(iv) approach to the project; and

(v) project costs; and

(b) any additional criteria or factors that reflect the project's characteristics, complexities, or goals.

(3) Under any contract awarded pursuant to this part, architectural services must be performed by an architect, as defined in 37-65-102, and engineering services must be performed by a professional engineer, as defined in 37-67-101.

(4) At the conclusion of the selection process, the state agency or the governing body shall state and document in writing the reasons for selecting the contractor that was awarded the contract. The documentation must be provided to all applicants and to anyone else, upon request.

(5) A state agency or the governing body may compensate qualified unsuccessful respondents to the request for proposal with a designated stipend for the ownership of the work product in the unsuccessful proposal and partial reimbursement for costs incurred in developing and submitting a proposal, provided that all unsuccessful applicants are treated equitably.

(6) When utilizing an innovative financing delivery option under this part, a state agency or the governing body shall follow the applicable procurement guidelines, including all applicable rules and law regarding competitive public procurement required under Montana law.

(7) When utilizing an innovative financing delivery option under this part, a state agency or the governing body shall, prior to issuing a request for proposals, establish an evaluation and selection process, including identifying the individuals who will perform the evaluation and selection. The state agency or the governing body shall endeavor to utilize individuals in the evaluation and selection process who have expertise in the subject matter.

(8) Awarding of a comprehensive agreement must be based on a best value analysis.

(9) At a minimum, a solicited proposal under an innovative financing delivery option must include the following:

(a) an analysis of the costs, benefits, and risk transfers resulting from the innovative financing delivery;

(b) a fixed fee price for the entirety of the comprehensive agreement, inclusive of design, construction, financing, operation, or maintenance, as applicable, and reflecting all risk transfer set forth in the terms of the final request for proposals;

(c) a detailed schedule and construction plans;

(d) a detailed financing plan and financial model for the lifetime of the comprehensive agreement, including any public funding or milestone payments during construction;

(e) a list of known utilities and rights-of-way that will be impacted by the project;

(f) a list of permits and governmental approvals required for the project; and

(g) a plan for utility relocation and right-of-way acquisition to the extent required by the final request for proposals.

(10) In addition to the provisions set forth in this part, comprehensive agreements may not:

(a) violate public construction contract provisions provided for in Title 18, chapter 2, part 4; or

(b) transfer ownership of a public asset to a private party.

(11) If operation and maintenance of an existing facility subject to an innovative financing delivery contract under this section is performed by employees covered by a collective bargaining agreement prior to becoming an eligible project for innovative financing delivery, the employees performing operation and maintenance of the completed facility must also be covered by a collective bargaining agreement.(Terminates July 1, 2033--sec. 6, Ch. 418, L. 2023.)

18-2-503. (Effective July 2, 2033) Alternative project delivery contract -- award criteria. (1) (a) Whenever a state agency or a governing body determines, pursuant to 18-2-502, that an alternative project delivery contract is justifiable, the state agency or the governing body shall publish a request for qualifications.

(b) After evaluating the responses to the request for qualifications, a request for proposals must be sent to each respondent that meets the qualification criteria specified in the request for qualifications. The request for proposals must clearly describe the project, the state agency's or the governing body's needs with respect to the project, the requirements for submitting a proposal, criteria that will be used to evaluate proposals, and any other factors, including any weighting, that will be used to award the alternative project delivery contract.

(2) The state agency's or the governing body's decision to award an alternative project delivery contract must be based, at a minimum, on:

(a) the applicant's:

(i) history and experience with projects similar to the project under consideration;

(ii) financial health;

(iii) staff or workforce that is proposed to be committed to the project;

(iv) approach to the project; and

(v) project costs; and

(b) any additional criteria or factors that reflect the project's characteristics, complexities, or goals.

(3) Under any contract awarded pursuant to this part, architectural services must be performed by an architect, as defined in 37-65-102, and engineering services must be performed by a professional engineer, as defined in 37-67-101.

(4) At the conclusion of the selection process, the state agency or the governing body shall state and document in writing the reasons for selecting the contractor that was awarded the contract. The documentation must be provided to all applicants and to anyone else, upon request.

(5) A state agency or the governing body may compensate unsuccessful applicants for costs incurred in developing and submitting a proposal, provided that all unsuccessful applicants are treated equitably.

History: En. Sec. 3, Ch. 574, L. 2005; amd. Sec. 3, Ch. 418, L. 2023.