NYC Design-Build Legislation

One of New York Governor Andrew Cuomo’s last actions in 2019 was to sign into law the “New York City Public Works Investment Act” (A7636-B) authorizing the use of design-build contracts, as opposed to the multi-phase design-bid-build (DBB) contract method, for many public facilities. Section 4(a) of the Act includes specifications for using a Qualifications-Based Selection (QBS) process. The law takes effect immediately and includes penalties for failing to complete projects on schedule.

Capital projects include those operating under a project labor agreement that cost $10 million or more. The Act will enable hospitals and healthcare facilities to increase access to health care services in underserved areas.  It will immediately expedite construction of new primary care health centers in the Bronx, Queens and Brooklyn which will be able to open faster, serve thousands more patients, and save about $5 million from their expected project cost of $82 Million.

Starting in mid-2020, agencies that have issued a design-build contract must submit an annual report that includes a description of the contract, information about the bidding process, the total cost, estimated design-build savings over DBB, and amount paid to minority- and women-owned businesses.

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