The threshold for individual projects procured pursuant to the Consultants’ Competitive Negotiation Act (CCNA) in Florida has been raised from $4 million to $7.5 million and must be increased annually based on the Consumer Price Index (CPI), effective July 1, 2024.
This change will significantly benefit DRMP's government clients by allowing for larger and more impactful projects. With higher thresholds for projects, agencies can undertake wider-ranging and larger projects without the need for separate and more drawn-out procurement processes, thereby saving time and money.
“This legislation is a game-changer for our government clients,” said DRMP Vice President and Tampa Office Leader Scott Garth, PE, LEED AP ND. “With the higher limits, there's more flexibility for our clients, and it allows for a broader scope of projects without the need for separate procurement processes due to exceeding the limit."
The CCNA, originally passed in 1973, requires state and local governments to procure services from professionals, such as architects and engineers based on qualifications rather than just price. In addition, the CCNA allows for continuing contracts in which a hired firm provides services on several projects.
House Bill (HB) 149, signed into law by Gov. Ron DeSantis in May, allows more project flexibility and efficiency while reducing administrative burdens and costs.
The change also provides that the Department of Management Services must annually adjust and publish the annual change to the individual project maximum cost limit based on the June-to-June CPI. Studies under CCNA contracts will remain at the threshold of $500,000.
“Our city and county clients are constantly challenged to deliver more and larger projects with limited staff and budgets,” said Ben Faust, PE, DRMP’s General Civil Market Sector Director. “This significant increase in the range of projects available to be included in continuing contracts will provide them more options for delivering projects efficiently. And the year-to-year increase will help to keep pace with rising construction costs.”
Government entities are encouraged to update their continuing contracts to align with these new thresholds, eliminating unnecessary bureaucratic hurdles and fostering financial responsibility.
