DESIGN/BUILD -- PUBLIC PROCUREMENT ISSUES

Abstract

The traditional method for contracting for the construction of public works in Texas is to have separate contracts for the design and construction of the public work. Under the design contract, detailed plans and specifications are prepared by the design professional and then these documents are used as the basis for using competitive bidding to award the separate construction contract to a single prime contractor or multiple prime contractors. Under the design/build method of contracting, the public owner awards a single contract to the design/builder to design and construct the public work. Thus, the design/builder undertakes responsibility for both the design and construction of the project.

Advocates of design/build contracting for construction projects claim that the design/build method offers distinct advantages over the traditional method of awarding separated contracts for the design and construction of a project.

Until recently, public owners in Texas were not permitted to utilize the design/build approach for construction of public works. In the last decade, t1~ Texas Legislature has granted some limited autnoriry to various governmental entities to deviate from the traditional method of awarding separate contracts for the design and construction of a public project. In 1995, with the passage of Senate Bill No. 1 ("SB 1"), the Texas Legislature granted public school districts broad authority to use the design/build method of contracting for construction of a public work. This paper will review the statutory provisions which act as a general bar to the use of design/build contracting for most governmental entities and then it will examine the nature of the limited grants of authority to use design/build contracts for public works construction.

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