Senate Bill 656 (2024) — Continuing contracts
SB 656
Florida Bills
Florida Senate - 2024 SB 656 By Senator DiCeglie 18-00475A-24 2024656__ Page 1 of 5 CODING: Words stricken are deletions; words underlined are additions. A bill to be entitled 1
An act relating to continuing contracts; amending s. 2 255.103, F.S.; revising the maximum estimated 3 construction cost of construction projects for which a 4 governmental entity may enter into a continuing 5 contract; amending s. 287.055, F.S.; revising the 6 definition of the term “continuing contract”; 7 requiring the Department of Transportation, for 8 specified testing continuing contracts, to select a 9 certain number of qualified firms and assign such 10 testing in a specified manner; providing an effective 11 date. 12 13 Be It Enacted by the Legislature of the State of Florida: 14 15
Section 1. Subsection (4) of
section 255.103, Florida 16 Statutes, is amended, and subsections (2) and (3) of that 17
section are republished, to read: 18 255.103 Construction management or program management 19 entities.— 20
(2) A governmental entity may select a construction 21 management entity, pursuant to the process provided by s. 22 287.055, which is to be responsible for construction project 23 scheduling and coordination in both preconstruction and 24 construction phases and generally responsible for the 25 successful, timely, and economical completion of the 26 construction project. The construction management entity must 27 consist of or contract with licensed or registered professionals 28 for the specific fields or areas of construction to be 29
Florida Senate - 2024 SB 656 18-00475A-24 2024656__ Page 2 of 5 CODING: Words stricken are deletions; words underlined are additions. performed, as required by law. The construction management 30 entity may retain necessary design professionals selected under 31 the process provided in s. 287.055.
At the option of the 32 governmental entity, the construction management entity, after 33 having been selected and after competitive negotiations, may be 34 required to offer a guaranteed maximum price and a guaranteed 35 completion date or a lump-sum price and a guaranteed completion 36 date, in which case, the construction management entity must 37 secure an appropriate surety bond pursuant to s. 255.05 and must 38 hold construction subcontracts.
If a project, as defined in s. 39 287.055(2)(f), solicited by a governmental entity under the 40 process provided in s. 287.055 includes a grouping of 41 substantially similar construction, rehabilitation, or 42 renovation activities as permitted under s. 287.055(2)(f), the 43 governmental entity, after competitive negotiations, may require 44 the construction management entity to provide for a separate 45 guaranteed maximum price or a separate lump-sum price and a 46 separate guaranteed completion date for each grouping of 47 substantially similar construction, rehabilitation, or 48 renovation activities included within the project. 49
(3) A governmental entity may select a program management 50 entity, pursuant to the process provided by s. 287.055, which is 51 to be responsible for
schedule control, cost control, and 52 coordination in providing or procuring planning, design, and 53 construction services. The program management entity must 54 consist of or contract with licensed or registered professionals 55 for the specific areas of design or construction to be performed 56 as required by law. The program management entity may retain 57 necessary design professionals selected under the process 58
Florida Senate - 2024 SB 656 18-00475A-24 2024656__ Page 3 of 5 CODING: Words stricken are deletions; words underlined are additions. provided in s. 287.055. At the option of the governmental 59 entity, the program management entity, after having been 60 selected and after competitive negotiations, may be required to 61 offer a guaranteed maximum price and a guaranteed completion 62 date or a lump-sum price and guaranteed completion date, in 63 which case the program management entity must secure an 64 appropriate surety bond pursuant to s. 255.05 and must hold 65 design and construction subcontracts.
If a project, as defined 66 in s. 287.055(2)(f), solicited by a governmental entity under 67 the process provided in s. 287.055 includes a grouping of 68 substantially similar construction, rehabilitation, or 69 renovation activities as permitted under s. 287.055(2)(f), the 70 governmental entity, after competitive negotiations, may require 71 the program management entity to provide for a separate 72 guaranteed maximum price or a lump-sum price and a separate 73 guaranteed completion date for each grouping of substantially 74 similar construction, rehabilitation, or renovation activities 75 included within the project. 76
(4) A governmental entity’s authority under subsections (2) 77 and (3) includes entering into a continuing contract for 78 construction projects, pursuant to the process provided in s. 79 287.055, in which the estimated construction cost of each 80 individual project under the contract does not exceed $10 $4 81 million. For purposes of this subsection, the term “continuing 82 contract” means a contract with a construction management or 83 program management entity for work during a defined period on 84 construction projects described by type which may or may not be 85 identified at the time of entering into the contract. 86
Section 2. Present subsections (10) and (11) of
section 87
Florida Senate - 2024 SB 656 18-00475A-24 2024656__ Page 4 of 5 CODING: Words stricken are deletions; words underlined are additions. 287.055, Florida Statutes, are redesignated as subsections (11) 88 and (12), respectively, a new subsection (10) is added to that 89 section, and paragraph (
g) of subsection (2) of that
section is 90 amended, to read: 91 287.055 Acquisition of professional architectural, 92 engineering, landscape architectural, or surveying and mapping 93 services;
definitions; procedures; contingent fees prohibited; 94 penalties.— 95
(2) DEFINITIONS.—For purposes of this section: 96 (
g) A “continuing contract” is a contract for professional 97 services entered into in accordance with all the procedures of 98 this act between an agency and a firm whereby the firm provides 99 professional services to the agency for projects in which the 100 estimated construction cost of each individual project under the 101 contract does not exceed $10 $4 million plus an annual 102 percentage increase based on the Annual Consumer Price Index 103 compiled by the United States Department of Labor, beginning 104 with the Annual Consumer Price Index announced by the United 105 States Department of Labor for the year 2026;, for study 106 activity if the fee for professional services for each 107 individual study under the contract does not exceed $500,000;, 108 or for work of a specified nature as outlined in the contract 109 required by the agency, with the contract being for a fixed term 110 or with no time limitation except that the contract must provide 111 a termination clause.
Firms providing professional services 112 under continuing contracts may shall not be required to bid 113 against one another. 114
(10) APPLICABILITY TO DEPARTMENT OF TRANSPORTATION.—115 Notwithstanding any other provision of this section, for a 116
Florida Senate - 2024 SB 656 18-00475A-24 2024656__ Page 5 of 5 CODING: Words stricken are deletions; words underlined are additions. geotechnical and materials testing continuing contract, the 117 Department of Transportation must select at least three, but no 118 more than five, qualified firms and assign such testing to the 119 selected firms on a rotating and equitable basis. 120