California Still Leading the Way in Progressive Design-Build Legislation

California continues to set the pace for design-build project delivery with the recent passage of two critical bills: Assembly Bill 2235, expanding Progressive Design-Build (PDB) authority for the Pier Wind terminal project in Long Beach, and Senate Bill 956, which eliminates the sunset provision for design-build authority in local schools. These legislative wins bolster California’s position as a trailblazer in design-build and set a precedent for other states eyeing similar expansions.

Expanding PDB Authority for Pier Wind

Assembly Bill 2235 was passed unanimously, granting the City of Long Beach the ability to use PDB for contracts related to Pier Wind, a major wind energy project at the Port of Long Beach. As a hub for sustainability and innovation, California’s commitment to renewable energy is further demonstrated by utilizing PDB — a delivery method that emphasizes collaboration, flexibility and risk management. This is California’s third consecutive legislative session expanding PDB authority, solidifying its leadership in infrastructure development and the renewable energy sector.

Brandon Dekker, DBIA-Western Pacific Region (DBIA-WPR) President Emeriti, and Principal, Office Practice Leader at CannonDesign, remarked on California’s role as an experimental leader, with other states keenly observing its advancements. “States like New York and others are waiting to see how California navigates PDB legislation before adopting their own versions,” Dekker said. This forward-thinking approach allows California to pilot innovative methods that can serve as models for the rest of the country.

Eliminating the Sunset Clause for School Projects Is a Landmark Move

A significant development in California’s legislative session is the passage of Senate Bill 956, which extends design-build authority for local schools indefinitely. Previously set to expire in January 2025, removing the sunset clause provides school districts across the state with long-term access to design-build as a flexible project delivery method for projects over $1 million. This move demonstrates increased confidence in the design-build project delivery method and signals stakeholders are comfortable with its continued use, setting the stage for future expansions.

DBIA-WPR Legislative Chair and Project Director at Sundt Construction Chris Sullivan highlighted the importance of eliminating sunset clauses in design-build legislation. “Sunset provisions are often included to assess the viability of new legislation, but once these models prove effective, as we’ve seen in California, removing the sunset clause allows for long-term stability and growth,” Sullivan said. The indefinite extension for schools could inspire other states to follow suit, ensuring design-build success isn’t limited by arbitrary deadlines.

California’s Leadership in Progressive Design-Build

California’s success in passing these two laws highlights the state’s leadership in using PDB, particularly in emerging sectors like renewable energy. By applying PDB to Pier Wind, California demonstrates its commitment to sustainability and showcases how the flexibility of this project delivery method can be pivotal for complex and evolving projects.

DBIA’s ongoing support for these legislative efforts reflects the organization’s mission to expand design-build’s reach across industries. As states increasingly look to California as a model, the logical progression of PDB seems poised to influence legislative tweaks and expansions nationwide. Richard Thomas, DBIA’s Director of State and Local Legislative Affairs, said, “What we’re seeing in California is the logical evolution of design-build, where PDB can be tailored to suit the unique needs of different sectors while also inspiring other states to adapt and evolve their own legislation.”

Looking Ahead to a Future Without Sunset Clauses

Eliminating sunset clauses in these bills is a significant victory for design-build project delivery. It allows for stability, ensures long-term planning and supports an environment where stakeholders — ranging from contractors to school boards — can confidently move forward with projects without the looming threat of legislative expiration dates. As other states consider their design-build laws, they may follow California’s lead by pushing for indefinite authorization rather than temporary trials.

DBIA’s Commitment to Legislative Progress

DBIA is proud to have supported AB 2235 and SB 956, recognizing the importance of sustained design-build authority across various sectors. These legislative advancements provide a model for other states and represent a significant step forward in the nationwide expansion of design-build.