DBIA Legislation and Advocacy 4 — Questions and Answers
Question 1: A state legislature is considering a sunset provision in a design-build enabling statute. What does a sunset provision mean in this context?
- The law only applies to projects completed before sunset (evening hours)
- The enabling authority automatically expires after a specified period unless renewed (Correct answer)
- The law prohibits design-build after the state's fiscal year ends
- The provision limits design-build to daytime construction activities
Correct answer: The enabling authority automatically expires after a specified period unless renewed
A sunset provision causes the enabling statute to automatically expire on a set date, requiring legislators to renew it — DBIA typically advocates against such restrictions.
Question 2: The Design-Build Institute of America's Political Action Committee (PAC) is primarily used for which purpose?
- Funding litigation against agencies that refuse to use design-build
- Supporting candidates and elected officials who champion design-build-friendly legislation (Correct answer)
- Paying lobbyists to draft model statutes for state legislatures
- Funding academic research on design-build procurement outcomes
Correct answer: Supporting candidates and elected officials who champion design-build-friendly legislation
DBIA's PAC supports candidates who understand and advocate for design-build and alternative project delivery methods in their legislative work.
Question 3: Which federal program specifically encouraged early design-build experimentation on highway projects before comprehensive enabling legislation existed?
- Interstate Highway Program
- Special Experimental Project 14 (SEP-14) (Correct answer)
- Design-Build Demonstration Act
- Federal Lands Highway Program
Correct answer: Special Experimental Project 14 (SEP-14)
FHWA's SEP-14 program allowed states to experiment with innovative contracting approaches including design-build before formal authorization was in place.
Question 4: An owner's legal counsel reviewing a state's design-build enabling statute should specifically look for which provision to ensure flexibility in contractor selection?
- A provision requiring sealed bids
- A provision authorizing qualifications-based or best-value selection criteria (Correct answer)
- A provision mandating independent cost estimates before award
- A provision requiring design professional approval of all submittals
Correct answer: A provision authorizing qualifications-based or best-value selection criteria
Authorization for qualifications-based or best-value selection is essential to allow owners to consider factors beyond price when selecting a design-build team.
Question 5: When DBIA advocates for progressive design-build (PDB) legislation, what distinguishing feature of PDB do they typically highlight?
- PDB requires fixed price before design begins
- PDB allows owner collaboration with the selected team through design before a GMP is established (Correct answer)
- PDB mandates low-bid selection for the construction phase
- PDB eliminates the need for professional liability insurance
Correct answer: PDB allows owner collaboration with the selected team through design before a GMP is established
PDB's key feature is owner-contractor collaboration during design development before the guaranteed maximum price is established, enabling greater owner input.
Question 6: Which coalition partner would be MOST valuable for DBIA when advocating for design-build enabling legislation in a state?
- Individual homebuilders seeking residential permits
- The state's Department of Transportation and major public owner agencies (Correct answer)
- Insurance companies opposing contractor-led design
- Labor unions seeking higher prevailing wages
Correct answer: The state's Department of Transportation and major public owner agencies
State DOTs and public owner agencies are the most impactful coalition partners because they directly benefit from and have standing to advocate for design-build authority.
Question 7: A proposed state design-build statute includes a $10 million project cost threshold. What does this threshold typically mean?
- Design-build is prohibited on projects exceeding $10 million
- Design-build may only be used on projects with a total cost above $10 million (Correct answer)
- The design-builder must post a $10 million performance bond
- Design contingency must not exceed $10 million
Correct answer: Design-build may only be used on projects with a total cost above $10 million
Many enabling statutes set minimum project value thresholds above which design-build may be used, intended to limit its use to sufficiently complex projects.
DBIA Legislation and Advocacy 4
A state legislature is considering a sunset provision in a design-build enabling statute.
What does a sunset provision mean in this context?