2019 -- H 5584

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LC001716

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2019

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A N   A C T

RELATING TO EDUCATION -- SCHOOL BUILDING AUTHORITY

     Introduced By: Representatives Craven, McEntee, O'Brien, and McKiernan

     Date Introduced: February 27, 2019

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 16-105-3 of the General Laws in Chapter 16-105 entitled "School

Building Authority" is hereby amended to read as follows:

     16-105-3. Roles and responsibilities.

     The school building authority roles and responsibilities shall include:

     (1) Management of a system with the goal of ensuring equitable and adequate school

housing for all public school children in the state;

     (2) Prevention of the cost of school housing from interfering with the effective operation

of the schools;

     (3) Management of school housing aid in accordance with statute;

     (4) Reviewing and making recommendations to the council on elementary and secondary

education on necessity of school construction applications for state school housing aid and the

school building authority capital fund, based on the recommendations of the school building

authority advisory board;

     (5) Promulgating, managing, and maintaining school construction regulations, standards,

and guidelines applicable to the school housing program, based on the recommendations of the

school building authority advisory board, created in § 16-105-8. Said regulations shall require

conformance with the minority business enterprise requirements set forth in § 37-14.1-6;

     (6) Developing a prequalification and review process for prime contractors, architects,

and engineers seeking to bid on projects in excess of ten million dollars ($10,000,000) in total

costs subject to inflation. Notwithstanding any general laws to the contrary, a prequalification

shall be valid for a maximum of two (2) years from the date of issuance. Factors to be considered

by the school building authority in granting a prequalification to prime contractors shall include,

but not be limited to, the contractor's history of completing complex projects on time and on

budget, track record of compliance with applicable environmental and safety regulations,

evidence that completed prior projects prioritized the facility's future maintainability, and

compliance with applicable requirements for the use of women and minority owned

subcontractors;

     (i) At least annually, a list of prequalified contractors, architects, and engineers shall be

publicly posted with all other program information;

     (7) Providing technical assistance and guidance to school districts on the necessity of

school construction application process;

     (8) Providing technical advice and assistance, training, and education to cities, towns,

and/or local education agencies and to general contractors, subcontractors, construction or project

managers, designers and others in planning, maintenance, and establishment of school facility

space;

     (9) Developing a project priority system, based on the recommendations of the school

building authority advisory board, in accordance with school construction regulations for the

school building authority capital fund, subject to review and, if necessary, to be revised on

intervals not to exceed five (5) years. Project priorities shall include, but not be limited to, the

following order of priorities:

     (i) Projects to replace or renovate a building that is structurally unsound or otherwise in a

condition seriously jeopardizing the health and safety of school children where no alternative

exists;

     (ii) Projects needed to prevent loss of accreditation;

     (iii) Projects needed for the replacement, renovation, or modernization of the HVAC

system in any schoolhouse to increase energy conservation and decrease energy-related costs in

said schoolhouse;

     (iv) Projects needed to replace or add to obsolete buildings in order to provide for a full

range of programs consistent with state and approved local requirements; and

     (v) Projects needed to comply with mandatory, instructional programs;

     (10) Maintaining a current list of requested school projects and the priority given them;

     (11) Collecting and maintaining readily available data on all the public school facilities in

the state;

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     (12) Collecting, maintaining, and making publicly available quarterly progress reports of

all ongoing school construction projects that shall include, at a minimum, the costs of the project

and the time schedule of the project;

     (13) Recommending policies and procedures designed to reduce borrowing for school

construction programs at both state and local levels;

     (14) At least every five (5) years, conducting a needs survey to ascertain the capital

construction, reconstruction, maintenance, and other capital needs for schools in each district of

the state, including public charter schools;

     (15) Developing a formal enrollment projection model or using projection models already

available;

     (16) Encouraging local education agencies to investigate opportunities for the maximum

utilization of space in and around the district;

     (17) Collecting and maintaining a clearinghouse of prototypical school plans that may be

consulted by eligible applicants;

     (18) Retaining the services of consultants, as necessary, to effectuate the roles and

responsibilities listed within this section;

     (19) No district shall receive a combined total of more than twenty (20) incentive

percentage points for projects that commence construction by December 30, 2023, and five (5)

incentive points for projects that commence construction thereafter; provided further, these caps

shall be in addition to amounts received under §§ 16-7-40(a)(1) and 16-7-40(a)(2). Furthermore, a

district's share shall not be decreased by more than half of its regular share irrespective of the

number of incentive points received, nor shall a district's state share increase by more than half of

its regular share, including amounts received under §§ 16-7-40(a)(1) and 16-7-40(a)(2),

irrespective of the number of incentive points received. Notwithstanding any provision of the

general laws to the contrary, the reimbursement or aid received under this chapter or chapter 38.2

of title 45 shall not exceed one hundred percent (100%) of the sum of the total project costs plus

interest costs. If a two hundred and fifty million dollar ($250,000,000) general obligation bond is

approved on the November 2018 ballot, projects approved between May 1, 2015, and January 1,

2018, are eligible to receive incentive points (above and beyond what the project was awarded at

the time of approval) pursuant to § 16-7-39 and § 16-7-40. Provided, however, any project

approved during this time period with a project cost in excess of one million five hundred

thousand dollars ($1,500,000), which does not include an owner's program manager and a

commissioning agent, shall only be eligible to receive five (5) incentive points. Incentive points

awarded pursuant to the provisions of this subsection shall only be applied to reimbursements

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occurring on or after July 1, 2018. Any project approved between May 1, 2015, and January 1,

2018, that is withdrawn and/or resubmitted for approval shall not be eligible for any incentive

points. Projects approved after July 1, 2019, that do not award or utilize architectural services

provided by a Rhode Island based architectural firm or business shall only be eligible to receive

five (5) incentive points.

     For purposes of this section, a "Rhode Island based architectural firm or business" means:

     (i) A business with a principal place of business or headquarters located within the state;

     (ii) A business in which a minimum of fifty-one percent (51%) of its employees reside

within the state; and

     (iii) In the case of a corporation or limited liability company, is registered with the

secretary of state as a domestic entity.

     SECTION 2. This act shall take effect on July 1, 2019.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO EDUCATION -- SCHOOL BUILDING AUTHORITY

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     This act would provide for school construction projects approved after July 1, 2019, that

Rhode Island based architectural businesses be used or the project is only eligible to receive five

(5) incentive points.

     This act would take effect on July 1, 2019.

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