“702 KAR 4:160, Capital construction process” 1

 To be developed as procedures document for K-12 school construction projects  Allows KDE to update specific procedures, when needed  KDE to form Committee of Stakeholders for annual review 2

 Added statutes: KRS Chapter 45A, , , , , , , , , , , 323A.010, (7), ,

 Added: change event; construction documents; contractor; design professional; GESC; KBE; major renovation; minor project; qualified provider  Removed (utilize statute definitions): Architect; contract documents; division; KERA; moveable equipment  Expanded: emergency; fixed equipment; record documents 4

 Added: Guaranteed Energy Savings Contracts (GESC)  Removed:  Items to send to KDE and justification info  Revoking BG-1 for inactivity  Reworded eligible projects from DFP  KDE process BG-1 in 30 days (instead of 60 days)  Minor & major project  Superintendent can notify KDE for emergencies 5

 Added: site acquisition; lease info (from plans & specs section); certificate of liability insurance (from architectural services); GESC oversight  Removed: model space requirements (listed in section 6)  Reworded/Moved:  Lease info (from plans & specs section);  Certificate of liability insurance (from architectural services)  Design professional services & CM oversight  Bid process defined in statute  Simplified oversight of construction administration and construction contract close-out  Use contract for liens 6

 Added: language in place of AIA specific docs: “prepare and provide documents and services required by contract, laws, and industry standards as prescribed by the AIA. The KDE may request clarification on documentation which does not comply.”  Removed: specific AIA docs; KDE contract approval criteria specifics; streamlined design professional submission list (full list of submissions to be listed in Best Practices); “giving consideration” language  Reworded/Moved:  Moved board responsibilities and submissions to Section 3  Used similar language for design professional services as in CM  Board-approved term used 7

 Added: language in place of AIA specific docs: “prepare and provide documents and services required by contract, laws, and industry standards as prescribed by the AIA. The KDE may request clarification on documentation which does not comply.”  Removed: specific AIA docs; KDE contract approval criteria specifics; streamlined CM submission list (full list of submissions to be listed in Best Practices); number of months for construction phase  Reworded/Moved:  Moved board responsibilities and submissions to Section 3  Used similar language for CM as in design professional services 8

 Added:  Entrance and right–of-way improvements from Kentucky Transportation Cabinet  Removed : formal submission of board minutes; specific list of construction documents; performance specs  Reworded/Moved:  Increased maximum gross areas of Model Program Space  115% for elementary (formerly 110%)  120% for middle & high (formerly 115%)  Reformatted list of agency notifications  Moved lease info to Section 3 9

 New section added to regulation Section 8 – Construction Bidding, Bond Sale, & Contracting  Added over 10%  Removed: Bid specific directions  Reworded/Moved: List of document submissions for all projects and additional list of document submissions for projects that are bid  Note: GESC projects are not bid 10

 Added: KDE approval is based on contingency amount available  Removed: AIA document reference; Language is “Board-approved changes in the contract scope of work shall be submitted using industry standard forms, including the KDE Change Order Supplemental Information Form…”  Reworded/Moved: Cumulative cost submission; increased change order approval amount to $25,000 (from $7,500) 11

 Added: Reference to statutes  Removed: AIA document reference Section 11 – Construction Dispute Resolution  Updated: utilize contract language 12

 Added: summary of all purchase orders and change orders for each contract Section 13 – Penalties  No change 13

 Added:  RFP for GESC  KDE Purchase Order Summary Form  Removed: AIA documents  Reworded/Moved: List is in alphabetical order 14

 Added:  Project Name and Site Address  Building ID Number  Construction Delivery Method  District’s Procurement Standard  Removed:  Page 2 – Program Space Square Footage  Board Order Attachment Not Required (District to Maintain)  Reworded/Moved:  Page 3 – Proposed Plan to Finance Application becomes Page 2 15

 Added:  Project Type Section  Energy Efficient Design Section (KRS and KRS )  Energy Efficient Design Features Lists Selection List  Removed:  Board Order Attachment Not Required (District to Maintain) 16

 Added:  Board of Education Designee Signature  Removed:  Board Order Attachment Not Required (District to Maintain) 17

 Added:  Page 2 – Project Closeout  Section D – Project Completion & Inventory Update  Section E – Reconciliation of Final Project Cost  Removed:  Board Order Attachment Not Required (District to Maintain) 18

 Added: Ranges for larger projects:  $5M - $10M = 5.6%  $10M - $20M = 5.5%  $20M - $30M = 5.4%  $30M - $40M = 5.3%  $40M - $50M = 5.2%  $50M - $60M = 5.1%  $60M+ = 5.0%  Removed: Deleted embedded A/E Max Fee Guidelines document from RFP for A/E Services document  A/E Max Fee guidelines Form is now stand-alone document  Reworded/Moved:  Reformatted header and footer 19

 Added:  Cost tracking table, including contingency balance  Cost breakdown table for labor, materials, profit, overhead  Signatures of District Finance Officer, Architect, & CM  Reworded/Moved:  Reformatted project descriptor information  Cost breakdown detail to be included for Change Orders => $25K (used to be for all Change Orders)  Reformatted header and footer 20

 Added: Ranges for larger projects:  $10M - $30M = 1.9%  $30M - $60M = 1.8%  $60M+ = 1.7%  Removed:  Deleted embedded CM Max Fee Guidelines document from RFP for CM Services document  CM Max Fee guidelines Form is now stand-alone document  Deleted range for projects starting at $1M with 5.75% fee  Reworded/Moved:  Condensed ranges, retaining higher  Reformatted header and footer 21

 Removed:  KDE Material Supplier Authorization Form  Purchase Order Form  Do not allow additional supplemental pages to be included  Reworded/Moved:  General formatting and clarification changes  Allows submission of 10 alternate bids (used to be 4)  Allows submission of 40 subcontractors, suppliers/manufacturers, and unit prices (used to be 10)  Allows submission of 50 purchase orders  Reformatted header and footer 22

 Added:  Purchase Order name and address  Billing and Shipping addresses  48-hour notification to contacts for receipt of goods  Removed:  Notary signature  Reworded/Moved:  General formatting and clarification changes  Reformatted header and footer 23

 Added:  Notary signature line  Reworded/Moved:  Update to be generic for use by A/E, CM, and GESC Qualified Provider  Reformatted header and footer 24

 Added:  BG # and Project Name  Specification Section  Vendor Phone and  Bill To Information  Contact Information for Delivery to Jobsite  Purchase Order Terms & Conditions  Removed: Category Number  Reworded/Moved:  School Changed to Facility Name  Purchaser Changed to Requested By 25

 New form added  Provides list of all Direct Purchase Orders made by district 26

 Added:  Additional firm identification info  Experience with KDE  School Funding  Documents Utilized with Contract  Certification with signature  Removed:  Appendix and attachments (documents are referenced)  AIA specific document numbers  Reworded/Moved:  General formatting and clarification changes  Clarified professional liability insurance requirement  Reformatted footer 27

 Added:  Additional firm identification info, including overview of firm  Experience with KDE  School Funding  Documents Utilized with Contract  Removed:  Appendix and attachments (documents are referenced)  AIA specific document numbers  Reworded/Moved:  General formatting and clarification changes  Clarified professional liability insurance requirement  Reformatted footer 28

 New form added  Provides districts with standard RFP document to request GESC project proposals 29