5. The year in which the department expects to complete the project as of the
date of preparation of the report.
6. An explanation of any difference between the full project cost estimates
under items 1. and 4.
7. The opinion of the department as to whether the project will be completed
as originally scheduled without the allocation of additional funds.
The bill also specifies that this report must treat separately and as described
in the enumerating statute each project.
Under current law, highway improvement projects undertaken by DOT must
be executed by contract based on bids, with limited exceptions. This bill authorizes

DOT, for no more than three highway improvement projects, to enter into contracts
using a construction manager-general contractor process. Under this process, the
department contracts with a provider of construction services to supervise the design
work for the project and, subject to an acceptable proposal, contracts with the
provider of construction services for construction of the project. This bill authorizes
DOT to enter into no more than three design contracts utilizing the construction
manager-general contractor process no later than July 1, 2021.
Under current law, DOT may engage engineering, consulting, surveying, or
other specialized services and this engagement of services is exempt from certain
provisions of law relating to state procurement. For an engagement of services of
more than $300,000, DOT must conduct a uniform cost-benefit analysis before the
engagement and must review periodically, and before any renewal, the continued
appropriateness of the engagement. Under this bill, when DOT conducts a
cost-benefit analysis under this provision, DOT must also consider and document
the results of the analysis before determining whether to undertake the proposed
engagement.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB85,1 1Section 1. 13.489 (3) of the statutes is amended to read:
SB85,3,32 13.489 (3) Assistance to commission. (a) The department of transportation
3shall assist the commission in the performance of its duties.
SB85,3,7 4(b) 1. The department of transportation shall, when requested by the
5commission, make or cause to be made such any studies and cost estimates with
6respect to any proposed project as that are necessary to permit the commission to
7consider the project.
SB85,3,9 83. The costs of such studies under this paragraph shall be charged to the
9appropriate program appropriation under s. 20.395.
SB85,2 10Section 2. 13.489 (3) (b) 2. of the statutes is created to read:
SB85,4,411 13.489 (3) (b) 2. When the department provides a full project cost estimate
12under this paragraph, the estimate shall include all costs associated with the project,
13including all costs before enumeration, design engineering and construction

1engineering costs, the costs of environmental studies, and costs of the project that are
2paid by another program of the department. A full project cost estimate under this
3paragraph shall include the expected date of completion and an estimate of the
4effects of construction cost inflation and unexpected costs on the cost of the project.
SB85,3 5Section 3. 13.489 (5) (a) 3. of the statutes is created to read:
SB85,4,86 13.489 (5) (a) 3. For each project specified under subd. 1., identifies the full
7project cost estimate of the project made for the commission as of the date of the
8commission's approval of the project.
SB85,4 9Section 4. 13.489 (5) (am) of the statutes is created to read:
SB85,4,1210 13.489 (5) (am) The report under par. (a) shall treat separately and as described
11in the enumerating statute each project enumerated under s. 84.013 (3) or 84.0145
12(3) (b) and shall treat separately each project approved under s. 84.013 (6).
SB85,5 13Section 5. 84.01 (13) of the statutes is amended to read:
SB85,5,214 84.01 (13) Engineering services. The department may engage such
15engineering, consulting, surveying, or other specialized services as it deems
16advisable. Any engagement of services under this subsection is exempt from ss.
1716.70 to 16.75, 16.755 to 16.82, and 16.85 to 16.89, but ss. 16.528, 16.752, 16.753, and
1816.754 apply to such engagement. Any engagement involving an expenditure of
19$3,000 or more shall be by formal contract approved by the governor. The
20department shall conduct a uniform cost-benefit analysis, as defined in s. 16.70 (3g),
21of each proposed engagement under this subsection that involves an estimated
22expenditure of more than $300,000 in accordance with standards prescribed by rule
23of the department and consider and document the results of the analysis before the
24determination of whether to undertake the proposed engagement
. The department
25shall review periodically, and before any renewal, the continued appropriateness of

1contracting pursuant to each engagement under this subsection that involves an
2estimated expenditure of more than $300,000.
SB85,6 3Section 6. 84.013 (1m) of the statutes is created to read:
SB85,5,94 84.013 (1m) (a) Annually no later than February 1, the department shall
5prepare and submit under s. 13.172 (3) to the joint committee on finance, the joint
6legislative audit committee, and the standing committees of the legislature with
7jurisdiction over transportation matters a report that provides all of the following
8information for each project enumerated under s. 84.013 (3) or 84.0145 (3) (b) or
9approved under s. 84.013 (6):
SB85,5,1110 1. The full project cost estimate, as established under s. 13.489 (3) (b) 2., of the
11project as of the date of enumeration.
SB85,5,1312 2. The year in which the department expects to complete the project as of the
13date of enumeration.
SB85,5,1414 3. The costs incurred as of the date of preparation of the report.
SB85,5,1615 4. The full project cost estimate, as established under s. 13.489 (3) (b) 2., of the
16project as of the date of preparation of the report.
SB85,5,1817 5. The year in which the department expects to complete the project as of the
18date of preparation of the report.
SB85,5,2119 6. An explanation of any difference between the full project cost estimates
20under subds. 1. and 4. that has not been addressed in a previous report under this
21paragraph.
SB85,5,2322 7. The opinion of the department as to whether the project will be completed
23as originally scheduled without the allocation of additional funds.
SB85,6,3
1(b) The report under par. (a) shall treat separately and as described in the
2enumerating statute each project enumerated under s. 84.013 (3) or 84.0145 (3) (b)
3and shall treat separately each project approved under s. 84.013 (6).
SB85,7 4Section 7. 84.06 (1) (a) of the statutes is renumbered 84.06 (1) (am).
SB85,8 5Section 8. 84.06 (1) (ag) of the statutes is created to read:
SB85,6,96 84.06 (1) (ag) “Construction manager" means a person in the business of
7providing construction services that is also qualified to supervise, manage, or
8otherwise participate in the engineering, design, or construction work for an
9improvement project.
SB85,9 10Section 9. 84.06 (1) (aj) of the statutes is created to read:
SB85,6,1211 84.06 (1) (aj) “Construction manager-general contractor contract" means a
12contract for an improvement project awarded under sub. (2m).
SB85,10 13Section 10. 84.06 (2) (a) of the statutes is amended to read:
SB85,7,814 84.06 (2) (a) All such highway improvements shall be executed by contract
15based on bids unless the department finds that another method as provided in sub.
16(2m), (3), or (4) would be more feasible and advantageous. Bids shall be advertised
17for in the manner determined by the department. Except as provided in s. 84.075,
18the contract shall be awarded to the lowest competent and responsible bidder as
19determined by the department. If the bid of the lowest competent bidder is
20determined by the department to be in excess of the estimated reasonable value of
21the work or not in the public interest, all bids may be rejected. The department shall,
22so far as reasonable, follow uniform methods of advertising for bids and may
23prescribe and require uniform forms of bids and contracts. Except as provided in par.
24(b), the secretary shall enter into the contract on behalf of the state. Every such
25contract is exempted from ss. 16.70 to 16.75, 16.755 to 16.82, 16.87 and 16.89, but

1ss. 16.528, 16.752, 16.753, and 16.754 apply to the contract. Any such contract
2involving an expenditure of $1,000 or more shall not be valid until approved by the
3governor. The secretary may require the attorney general to examine any contract
4and any bond submitted in connection with the contract and report on its sufficiency
5of form and execution. The bond required by s. 779.14 (1m) is exempt from approval
6by the governor and shall be subject to approval by the secretary. This subsection
7also applies to contracts with private contractors based on bids for maintenance
8under s. 84.07.
SB85,11 9Section 11. 84.06 (2m) of the statutes is created to read:
SB85,7,1410 84.06 (2m) Construction manager-general contractor process. (a) If the
11department finds that it would be more feasible and advantageous, the department
12may, prior to July 1, 2021, award a 2-phase construction manager-general
13contractor contract to a construction manager for preconstruction and construction
14services for an improvement project.
SB85,7,1815 (b) For the design and engineering phase, the department may award a
16construction manager-general contractor contract to a construction manager based
17on qualifications, experience, best value, or any other combination of factors the
18department considers appropriate.
SB85,7,2219 (c) Before the project design is 90 percent complete, the construction manager
20shall provide to the department a proposal for the construction manager to construct
21the project. The proposal shall certify that at least 30 percent of the work for the
22construction phase shall be performed by the construction manager.
SB85,7,2423 (d) The department shall obtain an independent cost estimate for the
24construction of the project.
SB85,7,2525 (e) For the construction phase, the department may do any of the following:
SB85,8,2
11. Enter into a construction contract with the construction manager pursuant
2to a proposal under par. (c).
SB85,8,33 2. Award the construction contract in accordance with sub. (2).
SB85,8,54 (f) The department may utilize a construction manager-general contractor
5contract for no more than 3 highway improvement projects.
SB85,12 6Section 12. 779.14 (1) (b) of the statutes is amended to read:
SB85,8,107 779.14 (1) (b) With respect to contracts entered into under s. 84.06 (2) or (2m)
8for highway improvements, any person who has a direct contractual relationship,
9expressed or implied, with the prime contractor to perform, furnish, or procure labor,
10services, materials, plans, or specifications.
SB85,13 11Section 13. 779.14 (2) (a) 3. of the statutes is amended to read:
SB85,8,1712 779.14 (2) (a) 3. With respect to contracts entered into under s. 84.06 (2) or (2m)
13for highway improvements, failure of the prime contractor to comply with a contract,
14whether express or implied, with a subcontractor, supplier, or service provider of the
15prime contractor for performing, furnishing, or procuring labor, services, materials,
16plans, or specifications for the purpose of making the highway improvement that is
17the subject of the contract with the governmental entity.
SB85,14 18Section 14. 895.56 (2) (a) of the statutes is amended to read:
SB85,8,2319 895.56 (2) (a) The acts or omissions by the person occurred while performing
20a contract entered into under s. 84.06 (2) or (2m), including acts or omissions by any
21person who has a direct contractual relationship with the prime contractor, as
22defined in s. 779.01 (2) (d), under a contract entered into under s. 84.06 (2) or (2m)
23to perform labor or furnish materials.
SB85,15 24Section 15. 895.56 (2) (c) of the statutes is amended to read:
SB85,9,5
1895.56 (2) (c) The acts or omissions involving petroleum-contaminated soil on
2the property were required by reasonably precise specifications in the contract
3entered into under s. 84.06 (2) or (2m), and the acts or omissions conformed to those
4specifications, or were otherwise directed by the department of transportation or by
5the department of natural resources.
SB85,16 6Section 16. Initial applicability.
SB85,9,97 (1) The treatment of sections 84.06 (1) (a), (ag), and (aj), (2) (a), and (2m), 779.14
8(1) (b) and (2) (a) 3., and 895.56 (2) (a) and (c) of the statutes first applies to contracts
9entered into on the effective date of this subsection.
SB85,9,1010 (End)
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