Gov. Andrew Cuomo signed the “design build” legislation Tuesday that will allow New York City to save millions on public construction projects.
The bill allows government agencies to combine design and construction project bids into one contract to save dollars and time. Fiscal watchdog group, the Citizens Budget Commission, estimates the measure could save the city $2 billion over 10 years.
The law will provide project labor agreements to use union labor and language for hiring of minority contractors.
“The State has repeatedly demonstrated the value of design-build, successfully deploying design-build to [deliver] projects on time and on budget statewide, including in New York City,” said Cuomo in his bill approval message.
The state used the design build model to build the $4 billion Mario M. Cuomo Bridge, add a $1.5 billion expansion of the Jacob Davits Convention Center and build the New York State Fair Expo Center in upstate Syracuse.
“It’s a great way to end the year,” state Sen. Leroy Comrie (D-Questions) said of Cuomo signing the legislation he sponsored along with Assemblyman Ed Braunstein (D-Bayside).
“This is a very big deal. Design-build will save New York City $400 million in building costs and we can direct those savings to other needed projects,” he said, adding he worked closely with the Mayor Bill de Blasio’s office, Cuomo’s office and labor leaders on the bill.
“There are real deadlines for project completion. Penalties will be paid for missing deadlines. That was an important component,” he said.
Cuomo’s office Tuesday night said there’s an agreement with lawmakers to pass a law during the 2020 session to also allow state government agencies to use design-build bids for their projects. Until now, the combined bidding procedure has only been authorized for individual projects.