Free QBS information session at AIA Portland

by amy.sabin on January 30, 2012

Free QBS information session at AIA Portland on Friday, February 3, Noon – 1 PM.

HB 3316 in the 2011 Legislative Session changes the application of Qualification Based Selection, making our state meet national AIA goals for procurement of design services. Come learn about changes, ask questions, and voice concerns.

Free; includes 1 LU! Bring your own lunch. Register today!

Presented in collaboration with AIA Oregon

Learning Objectives:
What QBS is and why is it preferred
Why project owners should use QBS and how you can explain it to them
How QBS impacts different sized firms
When and how other forms of contracting are used in Oregon Revised Statute
Presenter Cindy Robert is the founder and partner at Rainmakers LLP. She has been lobbying the Oregon State Legislature for over two decades, and is an expert in all aspects of government relations, legislative strategy, campaign development and advising, organizational development and governance structure, corporate partnership and leveraged packaging.

AIA Portland, 403 NW 11th Avenue, Portland, OR
Earn 1 LU

2012 Oregon Design Conference

by amy.sabin on December 9, 2011

The 2012 Oregon Design Conference takes place April 26-28, 2012. Conference registration will open February 15. Make your room reservations now! Call the Salishan Spa & Golf Resort Reservation Department at 1-800-452-2300, and mention the “AIA Design Conference” to receive special rates starting at $149 a night.

Bipartisanship?

by cindy.robert on June 18, 2011

Oregon Legislative Bipartisanship?

Wikipedia: Bipartisanship is a political situation, usually in the context of a two-party system such as the United States, in which opposing political parties find common ground through compromise.

Websters: Bipartisan – adjective – consisting of or supported by two political parties.

Friday night as the Ways & Means Committee worked late to move to the House and Senate floors a package of bills, several members commented on the bipartisan nature of this legislative session and how it had never been seen before. While it may be true that issues of concern to both parties have succeeded, “bipartisanship” is perhaps not the word that I would chose to describe it.

“Bipartisanship” to me connotes a friendliness and agreement of important issues – a common sense, middle-of-the-road route to public policy. But what we have seen at the legislature is more of a hostage situation where bills have advanced that one party does not like in order for them to see their own issues advance. This is strong-arm strategery, not a philosophical meeting of the minds.

Websters: Hostage – noun, verb – a person given or held as security for the fulfillment of certain conditions or terms, promises, etc., by another.

With about 3,000 bills this session, we had roughly the same amount as in past sessions, but, it seemed like more work because every bill was in play. When one party has overwhelming control of the legislature, many bills are automatically discounted. When you have the close margins we had this session, all issues are alive until the end. This year, we never knew what bill might pop back up because the legislator championing it insisted the bill move so that their vote could be counted on for another issue.

In addition, much of the wrangling for votes and corresponding advancement of particular bills, was done behind the scenes. It was not surprising to see last minute amendments that had been agreed upon by legislators without vetting by stakeholders. The redeeming point here is that I truly believe that most legislators are avid protectors of their constituencies and have only the best outcomes as their goal, despite the political gaming that they must endure.

Websters: Politics – noun – the science or art of political government.
Websters Idiom: Play Politics – a. to engage in political intrigue, take advantage of a political situation or issue, resort to partisan politics, etc.; exploit a political system or political relationships. b. to deal with people in an opportunistic, manipulative, or devious way, as for job advancement.

Shouldn’t “bipartisanship” end in a tie at completion of the game? I look forward to seeing how the media and the public interpret the final round and who goes home with the most game pieces.

QBS concurrence

by cindy.robert on June 8, 2011

Today the House of Representatives unanimously concurred with the changes we made on HB 3316 (QBS) in the Senate. On to the Governor’s desk for signing!

Government Relations Report

by cindy.robert on May 19, 2011

Just about a month to go and we are having a great session! Most bills that we opposed are dead, those issue that we were advocating for have progress in varying forms. Immediately after session, our goal will be achieving an Executive Order on High Performance Buildings, and with the Building Codes Division agreeing to support efforts and with our assistance to the Governor on his “Cool Schools Initiative” (HB 2960), we are well poised to garner the approval we need.

Bills of Interest

HB 3316 – QBS
Passed the House. Was heard in Senate Business this week and will be advanced with a “Do-pass” recommendation to the Senate floor next week.
- Adds photogrammetric mapping to services required to use QBS
- Requires local governments and schools to use QBS
- Allows direct appointment if total design cost for project is less than $100,000 
- Allows informal QBS process for up to $250,000 in design costs
- Delays implementation for education and rulemaking purposes until January 2012

SB 421 – Economic loss doctrine
This bill will be taken up again in 2012. There is legislative support, but language needs to be perfected.

SB 422 – Adjusting A/E bond requirements
This bill is did not need to advance as the Chair of the Senate Business Committee told officials at DAS to resolve this issue for us (he did not think language should be statutory).

A key problem was DAS’s instruction to public agencies and templates they provided that had the higher insurance requirements. DAS has already changes their website and forms to show that $1 million is the requirement and that agencies may make decisions regarding raising requirements based on project size.

Wood Only
Both bills requiring public contracting agencies to use wood products were defeated. I had been told that Rep. Clem intended to draft a new “priority bill” in order to again attempt this legislative policy, but I have not seen such a bill and am confident in our ability to work with partners to halt any additional effort.

HB 2960 – Cool Schools
Working with a coalition that meets weekly in the Governor’s office, we have made an impact on the progress of this issue. Our vote counts show the bill will pass, we just need to get it scheduled (politics). While I have been clear that this does not help our industry directly, the energy efficiency issues are ones we believe in enough to partner here in hopes of help for us later. By the way, the bill does not require money, it merely silos those funds already available for this purpose, streamlines grant processes and assures that rural schools have as much access to grants as urban schools.

Bill Status
Narrowed to those bills still alive

HB 2078 – AIA “Neutral”
Enrolled (meaning signed by Speaker and President – sent to Governor)
Repeals certain statutes regarding fire escapes and other fire safety requirements.

HB 2840 – AIA “Support” (same as SB 192)
Passed House
In Senate Business Committee

Expands green jobs growth initiative to include analysis of growth factors and employment projections for green jobs in forest products industries. Requires State Workforce Investment Board to identify forest products industries to be classified as high-demand green industries. Requires Oregon Business Development Department to include forest products industries when developing criteria for investment in green economy industries.

HB 2960 – AIA “Support”
Passed House Transportation & Economic Development Committee
In Ways & Means (goes directly to both House & Senate floors upon committee approval)

Establishes Jobs, Energy and Schools Fund. “Cool Schools” – see attached explanation sheet

HB 3000 – AIA “No Position”
Passed House
In Senate General Government Committee

As amended – allows preference of up to 10% for public contracts for goods and services drawn within Oregon.
We originally had concerns about the effect of this on A/E proposals, so I sought a Legislative Counsel decision on applicability:
The provisions of HB 3000 would not apply to contracts for architectural, engineering or land surveying services. ORS 279A.128 (2)(a), as amended by HB 3000, specifically states that goods or services procured under ORS chapter 279B are subject to the preference, not procurements conducted under ORS chapter 279C. Architectural, engineering or land surveying services are procured under ORS 279C.105 or 279C.110 and related services are procured under ORS 279C.120, not under ORS chapter 279B. The amendment that added subsection (3) to ORS 279A.128 does not change this; it merely clarifies that construction services that are incidental to a public improvement contract and that would otherwise be procured under ORS chapter 279B are not in fact subject to the preference granted under the amended version of ORS 279A.128.

HB 3109 – AIA “Monitor”
Passed House Energy, Environment & Water Committee
In Ways & Means

Expands state policy relating to ecosystems. Adds ecosystem services to principles guiding state water quality program and state fill-removal program.

HB 3488 – AIA “No Position”
Passed House General Government Committee
In House Rules Committee

Raises threshold for requiring cost analysis for procurement from $250,000 to $2 million. Requires state contracting agency to include overhead costs in estimation of costs contracting agency would incur in performing services subject to procurement.

HB 5006 – AIA “Oppose”
In Ways & Means – alive based on assignment, but no hearings have been held

Limits for six-year period beginning July 1, 2011, payment of expenses from other funds collected or received by various state agencies for capital construction.

SB 153 – AIA “Neutral”
Enrolled

Allows Construction Contractors Board to adopt rules for determining whether limited inspection of system or component of residential structure or appurtenance constitutes home inspector services.

SB 155 – “AIA Neutral”
Enrolled

Modifies definitions of “residential structure” and “small commercial structure” for purposes of construction contractor laws. Directs Construction Contractors Board to adopt criteria for allowing exemption of residential contractor from board rules requiring certain types of continuing education or training. Allows board to approve privately and publicly offered programs for continuing education purposes.

SB 192 – “AIA Support” (same as HB 2840)
Passed Senate
Passed House Agriculture & Natural Resources Committee
Awaiting vote on House floor

Expands green jobs growth initiative to include analysis of growth factors and employment projections for green jobs in forest products industries. Requires State Workforce Investment Board to identify forest products industries to be classified as high-demand green industries. Requires Oregon Business Development Department to include forest products industries when developing criteria for investment in green economy industries.

SB 217 – AIA “Neutral”
Passed Senate Business Committee
In Senate Finance & Revenue Committee

Permits urban renewal plans to include school construction or reconstruction projects. Permits certain urban renewal plans to add certain noncontiguous lands to urban renewal areas of large metropolitan plans. Requires urban renewal agencies to categorize tax increment revenues used for school projects within urban renewal plan as school system funds.

SB 384 – AIA “Oppose”
Passed Senate
In House Business & Labor Committee

Revises billing cycle requirement for prompt payment of amounts due under private construction contracts. Changes statement requirement for alternative billing cycles. Allows specification of alternative time limit for making final payment. Changes prevailing party entitlements regarding costs and attorney fees.

SB 499 – AIA “Monitor”
In Senate Rules Committee – alive based on assignment, but no hearings have been held

Directs specified state agencies, boards and commissions to report to Legislative Assembly or Emergency Board on plan to abolish agency, board or commission or merge with another agency, board or commission. Effects ORBAE.

SB 586 – AIA “Monitor”
Passed Senate
In House General Government Committee

Requires public agency to include amount in contract for construction, reconstruction or major renovation of public building equivalent to 1.5 percent of total contract price for inclusion of appropriate green energy technology.

SB 667 – AIA “Support”
Passed Senate
In House Business & Labor Committee

Permits contracting agency to enter into indefinite quantity contract for architectural, engineering or land surveying services or related services. Provides mandates and guidelines for indefinite quantity contracts.

SB 942 – AIA “No Position”
Passed Senate Environment & Natural Resources Committee
In Ways & Means

Requires Oregon Department of Administrative Services to adopt plan and rules and state agencies to perform certain actions related to sustainability. Requires state agencies to reduce amount of paper purchased each year for internal operations, beginning on specified date Clarifies statutory requirements relating to state waste paper collection program.

SB 961 – AIA “Oppose” – But achieved amendments that make no longer apply to us
Passed Senate
In House Business & Labor Committee

Voids construction agreement provisions that require waiver of right to seek indemnity, contribution or reimbursement for damages incurred due to of subrogation, indemnity or contribution for amounts paid by reason of loss caused by negligence of another party. Creates exceptions

SB 5533 – AIA “Oppose”
In Ways & Means – so alive by assignment but has not had activity since 4/4

Limits for six-year period beginning July 1, 2011, payment of expenses from bond proceeds and other revenues, including federal funds, collected or received by Oregon University System for capital construction within Oregon University System.

QBS Update (HB 3316)

by cindy.robert on May 18, 2011

HB 3316 Passed the House and is in the Senate Business Committee. We had a hearing yesterday and will have a work session next week. Want to help? Write an email to your Senator asking them to support HB 3316!

WHAT DOES HB 3316 DO????

…Makes sure that public contracting agencies consider qualifications of design professionals before talking price…
• Federally, the Brooks Act (Public Law 92-582), also known as Qualifications Based Selection (QBS), was enacted on October 18, 1972.
• Under QBS procurement procedures, price quotations are not a consideration in the first phase of the selection process. Instead, after public solicitation for architect and engineer (A/E) services and submission of proposals, evaluations are made based on selection committee criteria, and a short-list is developed of those to be interviewed. After interviews with the firms, the selection committee ranks the most qualified firms and then begins negotiations on price with the top ranked firm.
• Fact is, materials and labor can be bid, but ideas and collaboration are more difficult. When an architect or engineer enters a project, the scope of the work has not been entirely defined; therefore, there are insufficient parameters on which to base a cost proposal. Price bidding only works when there is clearly a specified project scope, such as in the construction phase.

...Assures local governments (which the legislature began requiring use QBS in 2001) are applying the law at appropriate times and most efficiently using taxpayer dollars…
• Local governments were given a pass from this procurement process if state funds were not part of the project. This has led to confusion and circumvention. HB 3316 removes that caveat.
• The aim is to avoid reliance on low-bid choices that had proven in past projects to often be of lower quality. Choosing design services based on cost leads to confinement of ideas, costly changes and delays along the way and higher priced, less sustainable projects in the long run. Hiring the most qualified professional design services provider at a reasonable price is the best way of ensuring public dollars lead to final constructed projects that are completed on time and on budget.
• There are no additional costs imposed on the contracting agency with HB 3316 – just a required order of qualifications then cost. Contracting agencies already estimate design costs amount to about 10% of project price, so no one is in the dark about the range.

…Allows small, emerging and minority businesses more opportunities to work with public contracting agencies and build their portfolio…
• HB 3316 raises the size of contracts required to use QBS. Previously $50,000, now projects where estimated design costs are less than $100,000 (at 10% estimate commonly used, that is a $1 million project) can use other forms of procurement allowed in Oregon’s public purchasing law.
• This change will allows small and emerging firms to make proposals to public contracting agencies on smaller projects statewide.
• HB 3316 also allows for an “informal QBS process” to be used when design fees will be less than $250,000 ($2.5 million project). This process still put qualifications first, but does not require as extensive of a process as regular QBS does for larger projects.

…HIGH QUALITY PROJECTS
…MORE ACCESS FOR SMALL BUSINESSES
…WISE INVESTMENT OF PUBLIC FUNDS