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The Division of Local Government Services has issued a Notice of Special Adoption and Concurrent Proposal for the Department of Community Affairs’ design-build regulations, which were published in the July 5th edition of the New Jersey Register.

The regulations are codified at N.J.A.C. 5:34-10 and are currently in effect.  They can be found on the DLGS Rules and Regulations website under both the Proposed Rules and Recently Adopted Rules headings.

The deadline for comment submission is Sept. 3, 2022. Any formal comments on the regulations should be sent via email with the heading “Design-Build Regulations-Rule Proposal Comment.” Comments may also be submitted by regular mail to:

Jason R. Martucci, Esq.
Administrative Practice Officer
Division of Local Government Services
Department of Community Affairs
PO Box 803
Trenton, NJ 08625-0803

According to a summary of the proposal, the standard method that local governments and boards of education use for procurement and delivery of public works construction projects is “design-bid-build.” In the “design-bid-build” process, the contracting unit awards the contract to the lowest responsible bidder that demonstrates the ability to complete the project specified in the design provided in the bid specifications.

By contrast, in a design-build project, the contracting unit solicits design proposals from prospective contractors that work in tandem with design professionals and other members of the contractor’s design-build team. Subject to rules promulgated by the Department of Community Affairs, in consultation with the New Jersey Department of Education, P.L. 2021, c. 71, allows government entities subject to either the Local Public Contracts Law, or the Public School Contracts Law, to use the design-build method of project delivery for construction projects with a cost equal to or exceeding $5 million.