Law modernizes Alaska’s construction process

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Alaska Gov. Mike Dunleavy recently signed into law legislation modernizing the state’s public construction process.

“Today’s bill is one example of a good idea that is a win-win-win for saving state dollars, getting projects done on time, and benefitting Alaskans with better results,” Dunleavy said. “Taking proven ideas from the men and women who build our roads, bridges, and buildings throughout Alaska just makes sense. (The Department of Transportation) now has another tool in the toolbox connecting Alaskans to Alaska.”

House Bill 160 was introduced at the start of the 2021 legislative session and passed the Legislature unanimously. The Dunleavy administration sponsored the bill.

Under House Bill 160, the current construction procurement code is changed to include the Construction Manager/General Contractor methodology (CM/GC) as an authorized form of awarding procurement contracts.

The CM/GC methodology is a worldwide industry standard for managing costs and delivering exceptional safety and quality results. It allows a contractor to be awarded both contracts for the preconstruction and construction phases of a project.

The state’s procurement code did not accept CM/GC as a default method of managing contracts. Any agencies wanting to use the CM/GC methodology were required to undergo a lengthy administrative review. The law eliminates that review.