LRB-1951/P2
ZDW:kjf&klm
2021 - 2022 LEGISLATURE
DOA:......Aslesen, BB0590 - Bonding for design build
For 2021-2023 Budget -- Not Ready For Introduction
An Act ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
Transportation
Highways
Design-build project bonding
This bill provides that the state may contract up to $20,000,000 in public debt to fund state highway rehabilitation projects, major highway projects, and southeast Wisconsin freeway megaprojects that are delivered using the design-build method.
Under current law, the design and construction of highway projects are generally two distinct phases. Under this method, often referred to as “design-bid-build,” DOT has broad authority to accomplish the design of a project. The construction of a project must be executed by contract based on bids, with DOT awarding the contract to the lowest responsible bidder. Alternatively, DOT may use the “design-build” method, under which design, engineering, construction, and related services are procured through a single contract with a single entity capable of providing the services.
Under current law, state highway rehabilitation projects, major highway projects, and southeast Wisconsin freeway megaprojects may be funded from various sources, including bond proceeds.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
Section 1. 20.395 (6) (au) of the statutes is amended to read:
20.395 (6) (au) Principal repayment and interest, southeast rehabilitation projects, southeast megaprojects, and high-cost bridge projects, state funds. A sum sufficient to reimburse s. 20.866 (1) (u) for the payment of principal and interest costs incurred in financing the Marquette interchange reconstruction project, the reconstruction of the I 94 north-south corridor and the zoo interchange, southeast Wisconsin freeway megaprojects, and high-cost state highway bridge projects, as provided under ss. 20.866 (2) (uup) and (uuv) and 84.555, and to make payments under an agreement or ancillary arrangement entered into under s. 18.06 (8) (a).
Section 2. 20.866 (2) (uuv) of the statutes is created to read:
20.866 (2) (uuv) Transportation; design-build projects. From the capital improvement fund, a sum sufficient for the department of transportation to fund design-build projects under s. 84.062 that are state highway rehabilitation projects, major highway projects, or southeast Wisconsin freeway megaprojects. The state may contract public debt in an amount not to exceed $20,000,000 for this purpose.
Section 3. 84.56 of the statutes is amended to read:
84.56 Additional funding for major highway projects. Notwithstanding ss. 84.51, 84.53, 84.555, and 84.59, major highway projects, as defined under s. 84.013 (1) (a), for the purposes of ss. 84.06 and 84.09, may be funded with the proceeds of general obligation bonds issued under s. 20.866 (2) (uus) and (uuv).
Section 4. 84.57 (1) of the statutes is amended to read:
84.57 (1) Notwithstanding ss. 84.51, 84.53, 84.555, 84.59, and 84.95, and subject to sub. (2), state highway rehabilitation projects for the purposes specified in s. 20.395 (6) (aq) may be funded with the proceeds of general obligation bonds issued under s. 20.866 (2) (uut) and (uuv).
(End)