Committee hears three bills to keep construction manager-at-risk and design-build options available to Missouri public owners

Committee Chairwoman Gallic and the House Committee on Economic Development on the record heard House Bills 413, 513 and 536, three related measures that would remove a statutory sunset on construction delivery options that allow public owners to use construction manager-at-risk and design-build contracting methods. The committee recorded testimony but did not take a committee vote on the bills at the hearing.

The proposals would remove a sunset provision from the enabling statute for contracting methods that permit hiring a construction manager early in design, a process proponents say helps control costs. "We're just removing some sunset," Representative David Castile said, summarizing House Bill 413 and saying the measure would keep CMAR available after the current statutory sunset. "The manager takes on the responsibility of delivering the project for not more than the guaranteed maximum price, helping to focus on the cost effectiveness and avoid a cost creep that all too often impacts projects." The sponsor said the sunset would eliminate the CMAR option in 2026 if not updated.

Supporters representing architecture, engineering and construction organizations told the committee the delivery methods have worked for political subdivisions. Kathy Harness, testifying for the American Institute of Architects Missouri, said the sunset was originally included as a pilot period. "The sunset was put there, so we could see if the process worked for political subdivisions," Harness said, adding she was not aware of problems since the method's initial phase. Witnesses from JE Dunn, the American Council of Engineering Companies of Missouri, the Associated Builders and Contractors, the Missouri Municipal League, AGC Builders of Kansas City and others went on record in favor of the three bills, telling the committee the methods speed projects and can reduce cost growth.

The record includes testimony that the CMAR and design-build options were used by state universities beginning in 2022 and by multiple communities across Missouri since the statute first passed in 2016. Representative Castillo asked the committee to ensure language referring to both design-build and construction manager-at-risk be included across the three bills; the sponsor confirmed that House Bill 536 contains both sections and said he would ask the committee to include that language in all three measures.

No witnesses registered opposition, and the committee chair closed consideration of the three bills after testimony. The committee did not announce a vote or committee recommendation at the hearing.

Background and next steps: committee members and witnesses said the delivery methods exist to allow public owners and universities to manage large construction projects with earlier contractor involvement. The transcript shows agreement among trade and municipal groups supporting continued availability of the methods; the committee did not advance or reject the measures during the hearing.

Provenance: first related remark appears when the chair opened the item: "We have a quorum. The House committee will now hear bill 3 bills together, 4 13, 5 13, and 5 36." The committee closed the three bills on the record later in the hearing: "With that that closes all 3 bills. 4 13, 5 13, and 536."