RD512 - Combined Quarterly and Annual Report on Construction Procurement (July 1, 2015 – September 30, 2016)


Executive Summary:
BACKGROUND

The Department of General Services (DGS) was directed by the legislature to perform a Construction Procurement Survey and provide Quarterly and Annual Construction Procurement Reports as indicated in Chapter 760, 2015 Acts of the Assembly, excerpted below:

“4. That all public bodies as defined in § 2.2-4301 of the Code of Virginia, including public institutions of higher education, shall submit a written report to the Director of the Department of General Services (the Director) for any non-transportation-related construction project in excess of $2 million that was procured by any method other than competitive sealed bidding. Such report shall be in a form and manner prescribed by the Director after consultation with the contractor community and state and local government procurement officials. The report, at a minimum, shall identify the justification for the procurement method chosen and contain such other information deemed necessary or appropriate by the Director, including whether or not the procurement meets the standards as set forth by the Secretary of Administration guidelines. The Director shall (i) report such information quarterly to the Chairmen of the House Committee on General Laws and the Senate Committee on General Laws and Technology and (ii) post such reports on the Department of General Services' central electronic procurement website. In addition, on or before December 1 of each year, the Director shall submit an annual report to the Governor and the Chairmen of the House Committee on General Laws and Senate Committee on General Laws and Technology that includes (a) the Director's evaluation of and findings regarding the methods of procurement used for such construction procured by design-build or construction management at risk method and (b) any recommendations for the improvement of (1) the method of procuring construction generally and (2) the Virginia Public Procurement Act (§ 2.2-4300 et seq. of the Code of Virginia).”

To meet the legislative requirement that the report be created “after consultation with the contractor community and state and local government procurement officials,” DGS contacted these stakeholders in several ways:

1. Draft questions were provided to state agencies for comment.

2. Draft questions were provided to the Virginia Association of General Contractors, Virginia Associated Builders and Contractors, Virginia American Institute of Architects, American Council of Engineering Companies of Virginia, Virginia Municipal League, Virginia Association of Counties, and the Virginia Association of Government Purchasing for comment.

3. Draft survey forms were provided to cities, counties, and state authorized boards, authorities, and commissions for comment.

In addition to soliciting input from the above stakeholders above, DGS made significant efforts to identify all public bodies with construction procurement authority. DGS classifies these public bodies as follows:

• State Agencies (including higher education)
• Cities and Counties
• Towns
• State-established Boards, Authorities, & Commissions
• Locally-established Boards, Authorities, & Commissions

DGS reviewed the Code of Virginia to identify all Boards, Authorities, and Commissions with construction procurement powers that were established by the General Assembly. In an effort to identify the locally-established boards, authorities, and commissions, DGS sent several requests to the Cities and Counties requesting their assistance in gathering the names and appropriate contact information for these locally-created entities. DGS also worked to identify as many of these local entities as possible, but without confirmation from the localities, it is possible that some of these locally-created public bodies are not included in the survey.

DGS created a web-based survey through eVA to ensure the efficient and accurate collection of data from the public bodies. Repeated efforts were made to contact the public bodies so that they could be registered for access to this online survey and the reporting deadline was extended to allow additional time for registration and reporting. Despite continued outreach over a three month period, not all entities registered.

SUMMARY OF REPORTED DATA

This report addresses projects both the quarterly reporting requirement for the quarter beginning on July 1, 2016 and ending on September 30, 2016 and the 2016 Annual reporting requirement which includes projects initiated between July 1, 2015 and September 30, 2016 (i.e., for Construction Management at Risk and Design-Build procurements, a Request for Proposal was issued between July 1, 2015, and September 30, 2016).