TITLE 43. TRANSPORTATION

PART 1. TEXAS DEPARTMENT OF TRANSPORTATION

CHAPTER 9. CONTRACT AND GRANT MANAGEMENT

SUBCHAPTER C. CONTRACTING FOR ARCHITECTURAL, ENGINEERING, AND SURVEYING SERVICES

43 TAC §9.32

The Texas Department of Transportation (department) proposes amendments to §9.32, concerning Selection Processes, Contract Types, Selection Types, and Projected Contracts.

EXPLANATION OF PROPOSED AMENDMENTS

Updates to the rules related to indefinite deliverable contracts are necessary for more effective management of contracting resources. The amendments increase the limit on the period of time that initial work authorizations may be issued and it streamlines the process by eliminating a step that was required when additional time was needed.

Amendments to §9.32(b)(1)(B) increase the period in which an initial work authorization may be issued from two to three years. The amendments allow the department additional time to issue new work, which facilitates better management of contracting resources. With the term of the indefinite deliverable contract limited to five years, this provides sufficient time to initiate and complete work within the term of the contract and provides the department with additional flexibility for planning and procuring replacement contracts.

Amendments to §9.32(b)(1)(C) clarify that the term of the contract is not limited to the same period as the initial period in which a work authorization may be issued. The date may vary depending on the needs of the department. Should the contract term be less than five years, the contract term may be amended by supplemental agreement, but may not extend more than five years beyond the execution date.

FISCAL NOTE

Brian Ragland, Chief Financial Officer, has determined that for each of the first five years in which the amendments as proposed are in effect, there will be no fiscal implications for state or local governments as a result of enforcing or administering the amendments.

Mr. Martin Rodin, Director, Professional Engineering Procurement Services Division, has certified that there will be no significant impact on local economies or overall employment as a result of enforcing or administering the amendments.

PUBLIC BENEFIT AND COST

Mr. Rodin has also determined that for each year of the first five years in which the sections are in effect, the public benefit anticipated as a result of enforcing or administering the amendments will be improvements to the department's management of contracted resources. There are no anticipated economic costs for persons required to comply with the sections as proposed. There will be no adverse economic effect on small businesses.

SUBMITTAL OF COMMENTS

Written comments on the proposed amendments to §9.32 may be submitted to Rule Comments, General Counsel Division, Texas Department of Transportation, 125 East 11th Street, Austin, Texas 78701-2483 or to RuleComments@txdot.gov with the subject line "Contract and Selection Process." The deadline for receipt of comments is 5:00 p.m. on September 11, 2017. In accordance with Transportation Code, §201.811(a)(5), a person who submits comments must disclose, in writing with the comments, whether the person does business with the department, may benefit monetarily from the proposed amendments, or is an employee of the department.

STATUTORY AUTHORITY

The amendments are proposed under Transportation Code, §201.101, which provides the commission with the authority to establish rules for the conduct of the work of the department.

CROSS REFERENCE TO STATUTE

Government Code, Chapter 2254, Subchapter A and Transportation Code, §223.041.

§9.32.Selection Processes, Contract Types, Selection Types, and Projected Contracts.

(a) Selection processes. The department will issue solicitations and select providers under the following selection processes: comprehensive, federal, streamlined, accelerated, emergency, and urgent and critical.

(b) Contract types. The department will offer three types of contracts: indefinite deliverable, specific deliverable, and multiphase.

(1) An indefinite deliverable contract may be used for a single project or for multiple projects. The solicitation will describe the typical work types to be performed under the contract.

(A) Categorical limitations on contract dollar value may be established by the executive director or the executive director's designee.

(B) The contract period in which [initial] work authorizations may be issued may not be longer than three [two] years after the date of contract execution, unless approved by the Texas Transportation Commission [before the solicitation posting date].

(C) Supplemental agreements may be issued to extend the contract period[beyond two years], but only as necessary to complete work on an existing [initial] work authorization. The contract period may not extend more than five years beyond the execution date.

(2) A specific deliverable contract may be used for a single project or for multiple projects. The solicitation will specify the specific deliverables to be provided under the contract.

(3) A multiphase contract may be used for a single project or for multiple projects. The solicitation will describe the services to be provided under the contract and will divide the services into phases. The specific scope of work may be established and the associated costs negotiated and authorized by phase as the project progresses.

(c) Selection types.

(1) Single contract selection. One contract will result from the solicitation.

(2) Multiple contract selection. More than one contract of similar work types will result from the solicitation. The solicitation will indicate the number and type of contracts.

(d) Projected contracts list. Quarterly, the department will publish on the department's website a list of projected contracts for architectural, engineering, and surveying services.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on July 27, 2017.

TRD-201702804

Joanne Wright

Deputy General Counsel

Texas Department of Transportation

Earliest possible date of adoption: September 10, 2017

For further information, please call: (512) 463-8630