Senate Bill No. 634
(By Senators Plymale, Edgell, Bailey, Dempsey, Hunter, Unger,
White, Sprouse and Boley)
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[Originating in the Committee on Education;
reported February 17, 2006.]
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A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §5-22A-17, relating
to exempting certain projects of certain higher education
institutions from the Design-Build Procurement Act; imposing
requirements for those projects; authorizing the leasing of
property to the developer as part of the project; authorizing
the developer to own the improvements and/or manage or operate
the project; and setting forth provisions relating to the
selection of the developer and the development agreement.
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new section, designated §5-22A-17, to read as
follows:
ARTICLE 22A. DESIGN-BUILD PROCUREMENT ACT.
§5-22A-17. Certain higher education agency projects exempt.
(a) For the purposes of this section:
(1) "Higher education agency" means West Virginia University
and Marshall University;
(2) "Higher education development project" means the design,
construction and/or alteration of a building or buildings, together
with incidental approaches, structures and facilities, to be
constructed, in whole or in part, on property owned or controlled
by or owned or controlled for the benefit of a higher education
agency. A higher education development project may include the
management and operation of the project; and
(3) "Development agreement" means the agreement between the
higher education agency and the selected developer for the
development, financing, management and operation of the higher
education development project.
(b) A higher education development project is exempt from the
provisions and requirements of this article, subject to the
following:
(1) The higher education agency shall publish an invitation
for proposals for developers for the higher education development
project which provides a descriptive narrative of the type, scope
and size of the proposed higher education development project, the
evaluation criteria for selecting a developer and other information
required by this section or desired by the higher education agency;
(2) The development agreement shall provide that the higher
education agency shall select or approve the provider of professional engineering and architectural services for the higher
education development project;
(3) The development agreement shall provide that all
construction contracts be subject to competitive bidding as
required by article twenty-two of this chapter;
(4) The development agreement shall provide that all
construction contracts require the payment of prevailing wage;
(5) The development agreement shall require that all costs of
design and construction be financed and paid for by the developer;
and
(6) The higher education agency or other entity owning or
controlling property for the benefit of the higher education agency
may lease its property to the developer as part of a higher
education development project and the development agreement may
provide that the developer will own the improvements constructed by
the developer and/or manage or operate the higher education
development project:
Provided, That the development agreement,
lease or other arrangement shall provide that ownership of the
entire higher education development project, including all
improvements made by the developer will vest in or revert to the
higher education agency or other entity owning or controlling the
property for the benefit of the higher education agency not more
than twenty years following completion of the improvements.
(c) The selection of a developer may be conditional upon the higher education agency and the developer negotiating a development
agreement. The higher education agency may, prior to, after or
both prior to and after finalizing a development agreement, make
changes in scope and price of the higher education agency project
without invalidating the selection of the developer or the
development agreement.
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