Assembly Bill No. 428–Assemblyman Hettrick

 

March 19, 2001

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Revises provisions governing state public works board. (BDR 28‑229)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to the state public works board; requiring the board to notify the governor if a member of the board fails to attend three successive meetings of the board; authorizing the governor to replace such a member for the unexpired term of the member; establishing qualifications for appointed members of the board; requiring the board to obtain the approval of the legislature or interim finance committee for certain changes to a project; requiring the inclusion of certain provisions concerning change orders in a contract with a design professional; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. Chapter 341 of NRS is hereby amended by adding thereto a

1-2  new section to read as follows:

1-3    If an appointed member of the board fails to attend three successive

1-4  meetings of the board, the board shall notify the governor of that fact, in

1-5  writing, within 5 days after the third successive meeting that the member

1-6  fails to attend. Upon receipt of the notice, the governor may appoint a

1-7  person to replace the member for the unexpired term of that member.

1-8    Sec. 2.  NRS 341.020 is hereby amended to read as follows:

1-9    341.020  1.  The state public works board, consisting of the director of

1-10  the department of administration and six members [to be] appointed by the

1-11  governor, is hereby created within the department of administration.

1-12    2.  At least one of the appointed members must have a comprehensive

1-13  knowledge of the principles of administration and at least one of the

1-14  appointed members must have a working knowledge of the principles of

1-15  engineering or architecture.

1-16    Sec. 3.  NRS 341.145 is hereby amended to read as follows:

1-17    341.145  The board:

1-18    1.  [After consulting with the interim finance committee, has] Has final

1-19  authority [for approval as] to approve the architecture of all buildings,

2-1  plans, designs, types of construction, major repairs and designs of

2-2  landscaping.

2-3    2.  Shall determine whether any rebates are available from a public

2-4  utility for installing devices in any state building which are designed to

2-5  decrease the use of energy in the building. If such a rebate is available, the

2-6  board shall apply for the rebate.

2-7    3.  Shall solicit bids for and let all contracts for new construction or

2-8  major repairs.

2-9    4.  May negotiate with the [lowest responsible] bidder who submitted

2-10  the best bid on any contract to obtain a revised bid if:

2-11    (a) The bid is less than the appropriation made by the legislature for that

2-12  building project; and

2-13    (b) The bid does not exceed the relevant budget item for that building

2-14  project as established by the board by more than 10 percent.

2-15    5.  May reject any or all bids.

2-16    6.  After the contract is let, shall supervise and inspect construction and

2-17  major repairs. The cost of supervision and inspection must be financed

2-18  from the capital construction program approved by the legislature.

2-19    7.  Shall obtain approval from the interim finance committee when

2-20  the legislature is not in regular or special session, or from the legislature

2-21  by concurrent resolution when the legislature is in regular or special

2-22  session, for any change in the scope of the design or construction of a

2-23  project as that project was authorized by the legislature.

2-24    8. May authorize change orders, before or during construction:

2-25    (a) In any amount, where the change represents a reduction in the

2-26  awarded contract price.

2-27    (b) Not to exceed in the aggregate 10 percent of the total awarded

2-28  contract price, where the change represents an increase in that price.

2-29    [8.] 9. Shall specify in any contract with a design professional the

2-30  period within which the design professional must prepare and submit to

2-31  the board a change order that has been authorized by the board. As used

2-32  in this subsection, “design professional” means a person with a

2-33  professional license or certificate issued pursuant to chapter 623, 623A

2-34  or 625 of NRS.

2-35    10.  Has final authority to accept each building as completed or to

2-36  require necessary alterations to conform to the contract, and to file the

2-37  notice of completion.

2-38    Sec. 4. NRS 341.148 is hereby amended to read as follows:

2-39    341.148  1.  Except as otherwise provided in subsection 2, the board

2-40  shall advertise in a newspaper of general circulation in the State of Nevada

2-41  for separate sealed bids for each construction project. Approved plans and

2-42  specifications for the construction must be on file at a place and time stated

2-43  in the advertisement for the inspection of all persons desiring to bid thereon

2-44  and for other interested persons. The board may accept bids on either the

2-45  whole or a part of the construction, equipment and furnishings, and may let

2-46  separate contracts for different and separate portions of any project, or a

2-47  combination contract for structural, mechanical and electrical construction

2-48  if savings will result [to the lowest bidder.] in the best bid.

3-1    2.  The board is not required to advertise for sealed bids for

3-2  construction projects if the estimated cost is less than $25,000, but the

3-3  board may solicit firm written bids from not less than two licensed

3-4  contractors doing business in the area and may award the contract to the

3-5  lowest bidder contractor who submitted  the best bid or reject all bids.

3-6    Sec. 5.  NRS 341.161 is hereby amended to read as follows:

3-7    341.161  1.  The board may, with the approval of the interim finance

3-8  committee when the legislature is not in regular or special session, or with

3-9  the approval of the legislature by concurrent resolution when the legislature

3-10  is in regular or special session, let to a contractor licensed under chapter

3-11  624 of NRS a contract for services which assist the [architect] board in the

3-12  design and construction of a project of capital improvement. [The board

3-13  shall for that purpose participate in the development of plans, outlines of

3-14  specifications and estimates of costs.]

3-15    2.  The board shall adopt regulations establishing procedures for:

3-16    (a) The determination of the qualifications of contractors to bid for

3-17  contracts for services described in subsection 1.

3-18    (b) The bidding and awarding of such contracts, subject to the

3-19  provisions of subsection 3.

3-20    (c) The awarding of construction contracts based on a final cost of the

3-21  project which the contractor guarantees will not be exceeded.

3-22    (d) The scheduling and controlling of projects.

3-23    3.  Bids on contracts for services which assist the [architect] board in

3-24  the design and construction of a project of capital improvement must state

3-25  separately the contractor’s cost for:

3-26    (a) Assisting the [architect] board in the design and construction of the

3-27  project.

3-28    (b) Obtaining all bids for subcontracts.

3-29    (c) Administering the construction contract.

3-30    4.  A person who furnishes services under a contract awarded pursuant

3-31  to subsection 1 is a contractor subject to all provisions pertaining to a

3-32  contractor in Title 28 of NRS.

3-33    Sec. 6.  NRS 341.161 is hereby amended to read as follows:

3-34    341.161  1.  The board may, with the approval of the interim finance

3-35  committee when the legislature is not in regular or special session, or with

3-36  the approval of the legislature by concurrent resolution when the legislature

3-37  is in regular or special session, let to a contractor licensed under chapter

3-38  624 of NRS a contract for services which assist the [architect] board in the

3-39  design and construction of a project of capital improvement. [The board

3-40  shall for that purpose participate in the development of plans, outlines of

3-41  specifications and estimates of costs.]

3-42    2.  The board shall adopt regulations establishing procedures for:

3-43    (a) The determination of the qualifications of contractors to bid for

3-44  contracts for services described in subsection 1.

3-45    (b) The bidding and awarding of such contracts, subject to the

3-46  provisions of subsection 3.

3-47    (c) The awarding of construction contracts, subject to the provisions of

3-48  subsection 4, based on a final cost of the project which the contractor

3-49  guarantees will not be exceeded.

4-1    (d) The scheduling and controlling of projects.

4-2    3.  Bids on contracts for services which assist the [architect] board in

4-3  the design and construction of a project of capital improvement must state

4-4  separately the contractor’s cost for:

4-5    (a) Assisting the [architect] board in the design and construction of the

4-6  project.

4-7    (b) Obtaining all bids for subcontracts.

4-8    (c) Administering the construction contract.

4-9    4.  A contractor who is:

4-10    (a) Qualified under the regulations of the board to bid for a contract for

4-11  services described in subsection 1; and

4-12    (b) Awarded that contract,

4-13  is entitled to be awarded the construction contract for the project if his

4-14  work under the contract for services is satisfactory to the board and he

4-15  guarantees a final cost for the project which the board is willing to accept.

4-16    5.  A person who furnishes services under a contract awarded pursuant

4-17  to subsection 1 is a contractor subject to all provisions pertaining to a

4-18  contractor in Title 28 of NRS.

4-19    Sec. 7.  NRS 218.6827 is hereby amended to read as follows:

4-20    218.6827  1.  Except as otherwise provided in subsections 2 and 3, the

4-21  interim finance committee may exercise the powers conferred upon it by

4-22  law only when the legislature is not in regular or special session.

4-23    2.  During a regular session, the interim finance committee may also

4-24  perform the duties imposed on it by subsection 5 of NRS 284.115,

4-25  subsection 2 of NRS 321.335, NRS 322.007, subsection 2 of NRS 323.020,

4-26  NRS 323.050, subsection 1 of NRS 323.100, [subsection 1 of NRS

4-27  341.145,] NRS 353.220, 353.224, 353.2705 to 353.2771, inclusive, and

4-28  353.335, paragraph (b) of subsection 4 of NRS 407.0762, NRS 428.375,

4-29  439.630, subsection 6 of NRS 445B.830 and NRS 538.650. In performing

4-30  those duties, the senate standing committee on finance and the assembly

4-31  standing committee on ways and means may meet separately and transmit

4-32  the results of their respective votes to the chairman of the interim finance

4-33  committee to determine the action of the interim finance committee as a

4-34  whole.

4-35    3.  During a regular or special session, the interim finance committee

4-36  may exercise the powers and duties conferred upon it pursuant to the

4-37  provisions of NRS 353.2705 to 353.2771, inclusive.

4-38    4.  If the interim finance committee determines that a fundamental

4-39  review of the base budget of a state agency is necessary, it shall, by

4-40  resolution, notify the legislative commission of that finding for assignment

4-41  of the review to a legislative committee for the fundamental review of the

4-42  base budgets of state agencies established pursuant to NRS 218.5382.

4-43    Sec. 8.  Notwithstanding the amendatory provisions of NRS 341.020,

4-44  each member of the state public works board continues to serve on the

4-45  board until the expiration of his term.

4-46    Sec. 9.  1.  This section and sections 1 to 5, inclusive, 7 and 8 of this

4-47  act become effective on July 1, 2001.

4-48    2.  Section 5 of this act expires by limitation on October 1, 2003.

5-1    3.  Section 6 of this act becomes effective at 12:01 a.m. on October 1,

5-2  2003.

 

5-3  H