The process just got less cumbersome for Florida government entities that procure engineering and surveying services under the Consultants’ Competitive Negotiation Act (CCNA). The CCNA is a Florida statute enacted in 1973 that defines the process for state government agencies, municipalities, school boards, and school districts to hire professional services using a qualifications-based selection (QBS) process rather than on a “lowest bid” basis.
House Bill (HB) 441: Public Procurement of Services, signed by the Governor, has increased the maximum limit for projects assigned under a continuing contract to an estimated per-project construction cost of $4 million, up from the previous $2 million limit. The statute, effective July 1, 2020, also increased the maximum limit for studies done under a continuing contract to $500,000, up from the previous $200,000 threshold. Studies include fees for engineering, landscape architecture, surveying, and architecture disciplines.
So, what are the benefits for government clients? Safety and savings in time and money.
Wide-Ranging and Larger Projects Can Be Completed
As it was, government agencies were having to parcel out their projects to fit the previous CCNA limits.
“We’ve had to do a lot of work with our municipal clients to help them be creative on portioning out their projects,” said David Sowell, PE, Senior Project Manager in DRMP’s Gainesville, Fla. office. “Now, with the increased limits there is flexibility for our clients. From a design standpoint, it helps our clients to have a wider range of projects and bigger projects that don’t have to be put through a separate procurement process because it surpassed the limit.”
Many government projects require studies before the design process begins. The new revisions open the door to achieve much more analysis before having a complete picture of the project.
“With the new study limit there is more room for front-end analysis on projects, which helps the design process,” said Ben Faust, PE, DRMP’s Northwest Florida Area Leader. “It also allows us to do the preliminary analysis for those clients who have larger projects that one day may have federal funding. If there are any federal dollars involved in projects, a National Environmental Policy Act (NEPA) analysis is required. The new limit provides an opportunity to include the NEPA required study elements upfront instead of on the back end.”
Less Time, Less Administrative Costs
With the previous thresholds, government agencies could end up working double time trying to “structure” their projects to meet the CCNA’s thresholds. On some projects, multiple government agencies had to be involved in the work to fit the project into the previous maximum limits, compounding the time and money spent.
Another upside of not having to restructure the scope of the project to fit the previous limits is time and money savings in getting the project underway.
“To go through the procurement process again can save up to a year. Think about the new proposal reviews, presentations and having to go before the city council and commissions to be approved. That’s a several-month process,” said Scott Garth, PE, LEED AP ND, DRMP’s Tampa Office Leader.
The new CCNA thresholds also allow government entities to revise their current continuing contracts.
“The benefits of the revised limits can be immediate. I’ve talked with some clients that plan to go back and amend their current contracts to expand their budgets. This is being financially responsible in eliminating red tape,” Garth said.
It is important to note that the CCNA that pertains to “construction costs” does not include professional services and can not be included in the revised $4 million threshold. However, professional services are included within the scope for studies under the CCNA.
The new revisions can certainly help with agency budgets, but those involved in the procurement process must spread the word about the new threshold limits.
“Those who are familiar with the procurement process should make their agency officials and legal counsel aware of the benefits of the new revisions. The revisions will definitely give them more flexibility,” said John Minton, Jr. PE, CFM, DRMP’s Stormwater Department Manager.
If you are working with DRMP in a continuing contract and would like to learn more about how the CCNA revisions would benefit your projects, reach out to your DRMP Project Manager.
