State law predominantly relies on a design-bid-build (DBB) project delivery method to design and build infrastructure projects. Often referred to as a "traditional" delivery method, the majority of Caltrans’ projects are delivered using DBB, where the public sector retains the majority of the risk for design, permitting, and right of way. Project delivery methods that transfer certain responsibilities for project delivery from the public sector to the private sector include design-build, construction manager/general contractor (CM/GC), and Public-Private Partnership (P3). Existing law permits Caltrans to use these innovative project delivery methods on a limited basis to deliver construction projects, as discussed below.

The design-build demonstration program and the authority to enter into public private agreements were introduced in Senate Bill No. 4 (SB 4) which was signed by Governor Schwarzenegger on February 20, 2009, and has since become effective as amended sections of the Public Contract Code and the Streets and Highways Code.

Chapter 6.5 (commencing with Section 6800) of Part 1 of Division 2 of the Public Contract Code, as added by Chapter 2 of the Statutes of 2009 (Senate Bill 4, Second Extraordinary Session) established the Design-Build Demonstration Program. The purpose of the program is described in Section 6800: "The design-build method of procurement authorized under this chapter should be evaluated for the purposes of exploring whether the potential exists for reduced project costs, expedited project completion, or design features that are not achievable through the traditional design-bid-build method."

Prior Legislation

In February 2009, Governor Schwarzenegger approved Senate Bill 4 Second Extraordinary Session (SBX2 4 (PDF)) Chapter 2, Statutes of 2009 (Cogdill) which established legislative authority, until January 1, 2014, for a design-build demonstration program by allowing a total of up to 15 demonstration projects, up to five projects (local street or road, bridge, tunnel, or public transit projects) for the local transportation agencies and up to ten projects (state highway, bridge, or tunnel projects) for Caltrans. The Design-Build Demonstration Program was established for the purposes of "exploring whether the potential exists for reduced project costs, expedited project completion, or design features that are not achievable through the traditional design-bid-build method." Pursuant to this authority, Caltrans awarded all 10 design-build projects on the state highway system. A locally administered design-build project on the state highway system was also awarded.

More information about each project, Caltrans’ Design-Build Policy Guidance and organizational conflict of interest policy may be found on Caltrans’ design-build program website.

Guidelines

• Design-Build Policy Guidance (PDF) - Approved September 9, 2009
• Guidelines for Organizational Conflict of Interest Policy (PDF)
• Standard Form of Payment and Performance Bond (PDF) 
• Suggested Outline for Design-Build Project Authorization Request (PDF) - November 4, 2009
  • Project Delivery Selection Questionnaire (PDF) - December 7, 2009

Authorized State Design/Build Projects

• Design/Build Authorization State Requests (PDF) - July 1, 2010