Senate Bill No. 63–Committee on Government Affairs

 

Prefiled January 31, 2001

 

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Makes various changes to provisions relating to bidding on and awarding contracts for public works projects. (BDR 28‑754)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: Yes.

 

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

Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to public works projects; authorizing public bodies and local governments to award contracts for certain public works projects to specialty contractors; specifying that certain requirements for receiving a certificate for preference in bidding must be satisfied while licensed as a general contractor or specialty contractor; requiring the state contractors’ board to issue a certificate of eligibility to receive a preference in bidding to a specialty contractor under certain circumstances; allowing general contractors and specialty contractors to receive a preference for bidding on public works by purchasing a contractor that possesses such a preference; 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 338 of NRS is hereby amended by adding thereto

1-2  the provisions set forth as sections 2, 3 and 4 of this act.

1-3    Sec. 2.  A specialty contractor may qualify as a bidder on a project

1-4  pursuant to NRS 338.1379 if the project is:

1-5    1.  Not part of a larger public work;

1-6    2.  Limited in scope to:

1-7    (a) Removal of asbestos;

1-8    (b) Replacement of equipment or systems for heating, ventilation and

1-9  air conditioning;

1-10    (c) Replacement of a roof;

1-11    (d) Landscaping; or

1-12    (e) Repair or renovation of an existing facility or an addition to an

1-13  existing facility if the cost of related offsite and onsite work does not

1-14  exceed the cost of repair, renovation or addition; and

1-15    3.  Limited in scope to the craft for which the specialty contractor is

1-16  licensed.


2-1    Sec. 3.  If a specialty contractor is awarded a contract pursuant to

2-2  NRS 338.1389 and during the course of the project, work arises that is

2-3  outside the scope of work for which the specialty contractor is licensed,

2-4  the specialty contractor shall contract with a subcontractor to perform

2-5  the work.

2-6    Sec. 4.  1.  A local government may award a contract to a specialty

2-7  contractor pursuant to NRS 338.147 if the project is:

2-8    (a) Not part of a larger public work;

2-9    (b) Limited in scope to:

2-10      (1) Removal of asbestos;

2-11      (2) Replacement of equipment or systems for heating, ventilation

2-12  and air conditioning;

2-13      (3) Replacement of a roof;

2-14      (4) Landscaping; or

2-15      (5) Repair or renovation of an existing facility or an addition to an

2-16  existing facility if the cost of all related offsite and onsite work does not

2-17  exceed the total cost of the repair, renovation or addition to the existing

2-18  facility; and

2-19    (c) Limited in scope to the craft for which the specialty contractor is

2-20  licensed.

2-21    2.  If a specialty contractor is awarded a contract pursuant to NRS

2-22  338.147 and during the course of the project, work arises that is outside

2-23  the scope of work for which the specialty contractor is licensed, the

2-24  specialty contractor shall contract with a subcontractor to perform the

2-25  work.

2-26    Sec. 5.  NRS 338.010 is hereby amended to read as follows:

2-27    338.010  As used in this chapter:

2-28    1.  “Day labor” means all cases where public bodies, their officers,

2-29  agents or employees, hire, supervise and pay the wages thereof directly to a

2-30  workman or workmen employed by them on public works by the day and

2-31  not under a contract in writing.

2-32    2.  “Design-build contract” means a contract between a public body

2-33  and a design-build team in which the design-build team agrees to design

2-34  and construct a public work.

2-35    3.  “Design-build team” means an entity that consists of:

2-36    (a) At least one person who is licensed as a general engineering

2-37  contractor or a general building contractor pursuant to chapter 624 of NRS;

2-38  and

2-39    (b) For a public work that consists of:

2-40      (1) A building and its site, at least one person who holds a certificate

2-41  of registration to practice architecture pursuant to chapter 623 of NRS.

2-42      (2) Anything other than a building and its site, at least one person

2-43  who holds a certificate of registration to practice architecture pursuant to

2-44  chapter 623 of NRS or is licensed as a professional engineer pursuant to

2-45  chapter 625 of NRS.

2-46    4.  “Design professional” means a person with a professional license or

2-47  certificate issued pursuant to chapter 623, 623A or 625 of NRS.

2-48    5.  “Eligible bidder” means a person who is:


3-1    (a) Found to be a responsible and responsive contractor by a local

3-2  government which requests bids for a public work in accordance with

3-3  paragraph (b) of subsection 1 of NRS 338.1373; or

3-4    (b) Determined by a public body which awarded a contract for a public

3-5  work pursuant to NRS 338.1375 to 338.1389, inclusive, to be qualified to

3-6  bid on that contract pursuant to NRS 338.1379 or was exempt from

3-7  meeting such qualifications pursuant to NRS 338.1383.

3-8    6.  “General contractor” means a person who is licensed to conduct

3-9  business in one, or both, of the following branches of the contracting

3-10  business:

3-11    (a) General engineering contracting, as described in subsection 2 of

3-12  NRS 624.215.

3-13    (b) General building contracting, as described in subsection 3 of NRS

3-14  624.215.

3-15    7.  “Local government” means every political subdivision or other

3-16  entity which has the right to levy or receive money from ad valorem or

3-17  other taxes or any mandatory assessments, and includes, without limitation,

3-18  counties, cities, towns, boards, school districts and other districts organized

3-19  pursuant to chapters 244A, 309, 318, 379, 474, 541, 543 and 555 of NRS,

3-20  NRS 450.550 to 450.750, inclusive, and any agency or department of a

3-21  county or city which prepares a budget separate from that of the parent

3-22  political subdivision.

3-23    [7.] 8.  “Offense” means failing to:

3-24    (a) Pay the prevailing wage required pursuant to this chapter;

3-25    (b) Pay the contributions for unemployment compensation required

3-26  pursuant to chapter 612 of NRS; or

3-27    (c) Provide and secure compensation for employees required pursuant

3-28  to chapters 616A to 617, inclusive, of NRS.

3-29    [8.] 9.  “Prime contractor” means a person who:

3-30    (a) Contracts to construct an entire project;

3-31    (b) Coordinates all work performed on the entire project;

3-32    (c) Uses his own work force to perform all or a part of the construction,

3-33  repair or reconstruction of the project; and

3-34    (d) Contracts for the services of any subcontractor or independent

3-35  contractor or is responsible for payment to any contracted subcontractors or

3-36  independent contractors.

3-37    [9.]

3-38  The term includes, without limitation, a general contractor or a specialty

3-39  contractor who is authorized to bid on a project pursuant to section 2 or

3-40  4 of this act.

3-41    10.  “Public body” means the state, county, city, town, school district or

3-42  any public agency of this state or its political subdivisions sponsoring or

3-43  financing a public work.

3-44    [10.] 11.  “Public work” means any project for the new construction,

3-45  repair or reconstruction of:

3-46    (a) A project financed in whole or in part from public money for:

3-47      (1) Public buildings;

3-48      (2) Jails and prisons;

3-49      (3) Public roads;


4-1       (4) Public highways;

4-2       (5) Public streets and alleys;

4-3       (6) Public utilities which are financed in whole or in part by public

4-4  money;

4-5       (7) Publicly owned water mains and sewers;

4-6       (8) Public parks and playgrounds;

4-7       (9) Public convention facilities which are financed at least in part

4-8  with public funds; and

4-9       (10) All other publicly owned works and property whose cost as a

4-10  whole exceeds $20,000. Each separate unit that is a part of a project is

4-11  included in the cost of the project to determine whether a project meets that

4-12  threshold.

4-13    (b) A building for the University and Community College System of

4-14  Nevada of which 25 percent or more of the costs of the building as a whole

4-15  are paid from money appropriated by this state or from federal money.

4-16    [11.] 12.  “Specialty contractor” means a contractor whose operations

4-17  as such are the performance of construction work requiring special skill

4-18  and whose principal contracting business involves the use of specialized

4-19  building trades or crafts.

4-20    [12.] 13.  “Stand-alone underground utility project” means an

4-21  underground utility project that is not integrated into a larger project,

4-22  including, without limitation:

4-23    (a) An underground sewer line or an underground pipeline for the

4-24  conveyance of water, including facilities appurtenant thereto; and

4-25    (b) A project for the construction or installation of a storm drain,

4-26  including facilities appurtenant thereto,

4-27  that is not located at the site of a public work for the design and

4-28  construction of which a public body is authorized to contract with a design-

4-29  build team pursuant to subsection 2 of NRS 338.1711.

4-30    [13.] 14.  “Wages” means:

4-31    (a) The basic hourly rate of pay; and

4-32    (b) The amount of pension, health and welfare, vacation and holiday

4-33  pay, the cost of apprenticeship training or other similar programs or other

4-34  bona fide fringe benefits which are a benefit to the workman.

4-35    [14.] 15.  “Workman” means a skilled mechanic, skilled workman,

4-36  semiskilled mechanic, semiskilled workman or unskilled workman. The

4-37  term does not include a design professional.

4-38    Sec. 6.  NRS 338.010 is hereby amended to read as follows:

4-39    338.010  As used in this chapter:

4-40    1.  “Day labor” means all cases where public bodies, their officers,

4-41  agents or employees, hire, supervise and pay the wages thereof directly to a

4-42  workman or workmen employed by them on public works by the day and

4-43  not under a contract in writing.

4-44    2.  “Eligible bidder” means a person who is:

4-45    (a) Found to be a responsible and responsive contractor by a local

4-46  government which requests bids for a public work in accordance with

4-47  paragraph (b) of subsection 1 of NRS 338.1373; or

4-48    (b) Determined by a public body which awarded a contract for a public

4-49  work pursuant to NRS 338.1375 to 338.1389, inclusive, to be qualified to


5-1  bid on that contract pursuant to NRS 338.1379 or was exempt from

5-2  meeting such qualifications pursuant to NRS 338.1383.

5-3    3.  “General contractor” means a person who is licensed to conduct

5-4  business in one, or both, of the following branches of the contracting

5-5  business:

5-6    (a) General engineering contracting, as described in subsection 2 of

5-7  NRS 624.215.

5-8    (b) General building contracting, as described in subsection 2 of NRS

5-9  624.215.

5-10    4.  “Local government” means every political subdivision or other

5-11  entity which has the right to levy or receive money from ad valorem or

5-12  other taxes or any mandatory assessments, and includes, without limitation,

5-13  counties, cities, towns, boards, school districts and other districts organized

5-14  pursuant to chapters 244A, 309, 318, 379, 474, 541, 543 and 555 of NRS,

5-15  NRS 450.550 to 450.750, inclusive, and any agency or department of a

5-16  county or city which prepares a budget separate from that of the parent

5-17  political subdivision.

5-18    [4.] 5.  “Offense” means failing to:

5-19    (a) Pay the prevailing wage required pursuant to this chapter;

5-20    (b) Pay the contributions for unemployment compensation required

5-21  pursuant to chapter 612 of NRS; or

5-22    (c) Provide and secure compensation for employees required pursuant

5-23  to chapters 616A to 617, inclusive, of NRS.

5-24    [5.] 6.  “Prime contractor” means a person who:

5-25    (a) Contracts to complete an entire project;

5-26    (b) Coordinates all work performed on the entire project;

5-27    (c) Uses his own work force to perform all or a part of the construction,

5-28  repair or reconstruction of the project; and

5-29    (d) Contracts for the services of any subcontractor or independent

5-30  contractor or is responsible for payment to any contracted subcontractors or

5-31  independent contractors.

5-32    [6.]

5-33  The term includes, without limitation, a general contractor or a specialty

5-34  contractor who is authorized to bid on a project pursuant to section 2 or

5-35  4 of this act.

5-36    7.  “Public body” means the state, county, city, town, school district or

5-37  any public agency of this state or its political subdivisions sponsoring or

5-38  financing a public work.

5-39    [7.] 8.  “Public work” means any project for the new construction,

5-40  repair or reconstruction of:

5-41    (a) A project financed in whole or in part from public money for:

5-42      (1) Public buildings;

5-43      (2) Jails and prisons;

5-44      (3) Public roads;

5-45      (4) Public highways;

5-46      (5) Public streets and alleys;

5-47      (6) Public utilities which are financed in whole or in part by public

5-48  money;

5-49      (7) Publicly owned water mains and sewers;


6-1       (8) Public parks and playgrounds;

6-2       (9) Public convention facilities which are financed at least in part

6-3  with public funds; and

6-4       (10) Any other publicly owned works and property whose cost as a

6-5  whole exceeds $20,000. Each separate unit that is a part of a project is

6-6  included in the cost of the project to determine whether a project meets that

6-7  threshold.

6-8    (b) A building for the University and Community College System of

6-9  Nevada of which 25 percent or more of the costs of the building as a whole

6-10  are paid from money appropriated by this state or from federal money.

6-11    [8.] 9.  “Wages” means:

6-12    (a) The basic hourly rate of pay; and

6-13    (b) The amount of pension, health and welfare, vacation and holiday

6-14  pay, the cost of apprenticeship training or other similar programs or other

6-15  bona fide fringe benefits which are a benefit to the workman.

6-16    [9.] 10.  “Workman” means a skilled mechanic, skilled workman,

6-17  semiskilled mechanic, semiskilled workman or unskilled workman. The

6-18  term does not include a “design professional” as that term is defined in

6-19  NRS 338.155.

6-20    Sec. 7.  NRS 338.1373 is hereby amended to read as follows:

6-21    338.1373  1.  A local government shall award a contract for the

6-22  construction, alteration or repair of a public work pursuant to the

6-23  provisions of:

6-24    (a) NRS 338.1375 to 338.1389, inclusive [;] , and sections 2 and 3 of

6-25  this act; or

6-26    (b) NRS 338.143, 338.145 and 338.147 [.] and section 4 of this act.

6-27    2.  The provisions of NRS 338.1375 to 338.1383, inclusive, and

6-28  section 2 of this act do not apply with respect to contracts for the

6-29  construction, reconstruction, improvement and maintenance of highways

6-30  that are awarded by the department of transportation pursuant to NRS

6-31  408.313 to 408.433, inclusive.

6-32    Sec. 8.  NRS 338.1389 is hereby amended to read as follows:

6-33    338.1389  1.  Except as otherwise provided in NRS 338.1385 and

6-34  338.1711 to 338.1727, inclusive, a public body shall award a contract for a

6-35  public work to the contractor who submits the best bid.

6-36    2.  Except as otherwise provided in subsection [8] 9 or limited by

6-37  subsection [9,] 10, for the purposes of this section, a contractor who:

6-38    (a) Has been determined by the public body to be a qualified bidder

6-39  pursuant to NRS 338.1379 or is exempt from meeting such requirements

6-40  pursuant to NRS 338.1373 or 338.1383; and

6-41    (b) At the time he submits his bid, provides to the public body a copy of

6-42  a certificate of eligibility to receive a preference in bidding on public works

6-43  issued to him by the state contractors’ board pursuant to subsection 3 [,]
or 4,

6-44  shall be deemed to have submitted a better bid than a competing contractor

6-45  who has not provided a copy of such a valid certificate of eligibility if the

6-46  amount of his bid is not more than 5 percent higher than the amount bid by

6-47  the competing contractor.


7-1    3.  The state contractors’ board shall issue a certificate of eligibility to

7-2  receive a preference in bidding on public works to a general contractor who

7-3  is licensed pursuant to the provisions of chapter 624 of NRS and submits to

7-4  the board an affidavit from a certified public accountant setting forth that

7-5  the general contractor has [:] , while licensed as a general contractor in

7-6  this state or another state:

7-7    (a) Paid:

7-8       (1) The sales and use taxes imposed pursuant to chapters 372, 374

7-9  and 377 of NRS on materials used for construction in this state, including,

7-10  without limitation, construction that is undertaken or carried out on land

7-11  within the boundaries of this state that is managed by the Federal

7-12  Government or is on an Indian reservation or Indian colony, of not less

7-13  than $5,000 for each consecutive 12-month period for 60 months

7-14  immediately preceding the submission of the affidavit from the certified

7-15  public accountant;

7-16      (2) The motor vehicle privilege tax imposed pursuant to chapter 371

7-17  of NRS on the vehicles used in the operation of his business in this state of

7-18  not less than $5,000 for each consecutive 12-month period for 60 months

7-19  immediately preceding the submission of the affidavit from the certified

7-20  public accountant; or

7-21      (3) Any combination of such sales and use taxes and motor vehicle

7-22  privilege tax; or

7-23    (b) Acquired, by inheritance, gift , purchase or transfer through a stock

7-24  option plan , [for employees,] all the assets and liabilities of a viable,

7-25  operating construction firm that possesses a:

7-26      (1) License as a general contractor pursuant to the provisions of

7-27  chapter 624 of NRS; and

7-28      (2) Certificate of eligibility to receive a preference in bidding on

7-29  public works.

7-30    4.  The state contractors’ board shall issue a certificate of eligibility to

7-31  receive a preference in bidding on public works to a specialty contractor

7-32  who is licensed pursuant to the provisions of chapter 624 of NRS and

7-33  submits to the board:

7-34    (a) A statement from a public body to which the specialty contractor

7-35  intends to submit a bid showing that the classification of license which

7-36  the specialty contractor holds is appropriate for qualification as a bidder

7-37  on a project pursuant to section 2 of this act; and

7-38    (b) An affidavit from a certified public accountant setting forth that

7-39  the specialty contractor has, while licensed as a specialty contractor in

7-40  this state or another state:

7-41      (1) Paid:

7-42        (I) The sales and use taxes pursuant to chapters 372, 374 and

7-43  377 of NRS on materials used for construction in this state, including,

7-44  without limitation, construction that is undertaken or carried out on land

7-45  within the boundaries of this state that is managed by the Federal

7-46  Government or is on an Indian reservation or Indian colony, of not less

7-47  than $5,000 for each consecutive 12-month period for 60 months

7-48  immediately preceding the submission of the affidavit from the certified

7-49  public accountant;


8-1         (II) The motor vehicle privilege tax imposed pursuant to chapter

8-2  371 of NRS on the vehicles used in the operation of his business in this

8-3  state of not less than $5,000 for each consecutive 12-month period for 60

8-4  months immediately preceding the submission of the affidavit from the

8-5  certified public accountant; or

8-6         (III) Any combination of such sales and use taxes and motor

8-7  vehicle privilege tax; or

8-8       (2) Acquired, by inheritance, gift, purchase or transfer through a

8-9  stock option plan, all the assets and liabilities of a viable, operating

8-10  construction firm that possesses a:

8-11        (I) License as a specialty contractor pursuant to the provisions of

8-12  chapter 624 of NRS; and

8-13        (II) Certificate of eligibility to receive a preference in bidding on

8-14  public works.

8-15    5.  For the purposes of complying with the requirements set forth in

8-16  paragraph (a) of subsection 3 [, a general] and subparagraph (1) of

8-17  paragraph (b) of subsection 4, a contractor shall be deemed to have paid:

8-18    (a) Sales and use taxes and motor vehicle privilege taxes paid in this

8-19  state by an affiliate or parent company of the contractor, if the affiliate or

8-20  parent company is also a general contractor [;] or specialty contractor, as

8-21  applicable; and

8-22    (b) Sales and use taxes paid in this state by a joint venture in which the

8-23  contractor is a participant, in proportion to the amount of interest the

8-24  contractor has in the joint venture.

8-25    [5.] 6.  A contractor who has received a certificate of eligibility to

8-26  receive a preference in bidding on public works from the state contractors’

8-27  board pursuant to subsection 3 or 4 shall, at the time for the annual renewal

8-28  of his contractor’s license pursuant to NRS 624.283, submit to the board an

8-29  affidavit from a certified public accountant setting forth that the contractor

8-30  has, during the immediately preceding 12 months, paid the taxes required

8-31  pursuant to paragraph (a) of subsection 3 or subparagraph (1) of

8-32  paragraph (b) of subsection 4, as applicable, to maintain his eligibility to

8-33  hold such a certificate.

8-34    [6.] 7.  A contractor who fails to submit an affidavit to the board

8-35  pursuant to subsection [5] 6 ceases to be eligible to receive a preference in

8-36  bidding on public works unless he reapplies for and receives a certificate of

8-37  eligibility pursuant to subsection 3 [.

8-38    7.] or 4, as applicable.

8-39    8.  If a contractor who applies to the state contractors’ board for a

8-40  certificate of eligibility to receive a preference in bidding on public works

8-41  submits false information to the board regarding the required payment of

8-42  taxes, the contractor is not eligible to receive a preference in bidding on

8-43  public works for a period of 5 years after the date on which the board

8-44  becomes aware of the submission of the false information.

8-45    [8.] 9.  If any federal statute or regulation precludes the granting of

8-46  federal assistance or reduces the amount of that assistance for a particular

8-47  public work because of the provisions of subsection 2, those provisions do

8-48  not apply insofar as their application would preclude or reduce federal


9-1  assistance for that work. The provisions of subsection 2 do not apply to any

9-2  contract for a public work which is expected to cost less than $250,000.

9-3    [9.] 10.  Except as otherwise provided in subsection 2 of NRS

9-4  338.1727, if a bid is submitted by two or more contractors as a joint

9-5  venture or by one of them as a joint venturer, the provisions of subsection 2

9-6  apply only if both or all of the joint venturers separately meet the

9-7  requirements of that subsection.

9-8    [10.] 11.  The state contractors’ board shall adopt regulations and may

9-9  assess reasonable fees relating to the certification of contractors for a

9-10  preference in bidding on public works.

9-11    [11.] 12.  A person or entity who believes that a contractor wrongfully

9-12  holds a certificate of eligibility to receive a preference in bidding on public

9-13  works may challenge the validity of the certificate by filing a written

9-14  objection with the public body to which the contractor has submitted a bid

9-15  or proposal on a contract for the construction of a public work. A written

9-16  objection authorized pursuant to this subsection must:

9-17    (a) Set forth proof or substantiating evidence to support the belief of the

9-18  person or entity that the contractor wrongfully holds a certificate of

9-19  eligibility to receive a preference in bidding on public works; and

9-20    (b) Be filed with the public body at or after the time at which the

9-21  contractor submitted the bid or proposal to the public body and before the

9-22  time at which the public body awards the contract for which the bid or

9-23  proposal was submitted.

9-24    [12.] 13.  If a public body receives a written objection pursuant to

9-25  subsection [11,] 12, the public body shall determine whether the objection

9-26  is accompanied by the proof or substantiating evidence required pursuant

9-27  to paragraph (a) of that subsection. If the public body determines that the

9-28  objection is not accompanied by the required proof or substantiating

9-29  evidence, the public body shall dismiss the objection and may proceed

9-30  immediately to award the contract. If the public body determines that the

9-31  objection is accompanied by the required proof or substantiating evidence,

9-32  the public body shall determine whether the contractor qualifies for the

9-33  certificate pursuant to the provisions of this section and may proceed to

9-34  award the contract accordingly.

9-35    Sec. 9.  NRS 338.1389 is hereby amended to read as follows:

9-36    338.1389  1.  Except as otherwise provided in NRS 338.1385, a public

9-37  body shall award a contract for a public work to the contractor who

9-38  submits the best bid.

9-39    2.  Except as otherwise provided in subsection [8] 9 or limited by

9-40  subsection [9,] 10, for the purposes of this section, a contractor who:

9-41    (a) Has been determined by the public body to be a qualified bidder

9-42  pursuant to NRS 338.1379 or is exempt from meeting such requirements

9-43  pursuant to NRS 338.1373 or 338.1383; and

9-44    (b) At the time he submits his bid, provides to the public body a copy of

9-45  a certificate of eligibility to receive a preference in bidding on public works

9-46  issued to him by the state contractors’ board pursuant to subsection 3 [,]
or 4,

9-47  shall be deemed to have submitted a better bid than a competing contractor

9-48  who has not provided a copy of such a valid certificate of eligibility if the


10-1  amount of his bid is not more than 5 percent higher than the amount bid by

10-2  the competing contractor.

10-3    3.  The state contractors’ board shall issue a certificate of eligibility to

10-4  receive a preference in bidding on public works to a general contractor who

10-5  is licensed pursuant to the provisions of chapter 624 of NRS and submits to

10-6  the board an affidavit from a certified public accountant setting forth that

10-7  the general contractor has [:] , while licensed as a general contractor in

10-8  this state or another state:

10-9    (a) Paid:

10-10     (1) The sales and use taxes imposed pursuant to chapters 372, 374

10-11  and 377 of NRS on materials used for construction in this state, including,

10-12  without limitation, construction that is undertaken or carried out on land

10-13  within the boundaries of this state that is managed by the Federal

10-14  Government or is on an Indian reservation or Indian colony, of not less

10-15  than $5,000 for each consecutive 12-month period for 60 months

10-16  immediately preceding the submission of the affidavit from the certified

10-17  public accountant;

10-18     (2) The motor vehicle privilege tax imposed pursuant to chapter 371

10-19  of NRS on the vehicles used in the operation of his business in this state of

10-20  not less than $5,000 for each consecutive 12-month period for 60 months

10-21  immediately preceding the submission of the affidavit from the certified

10-22  public accountant; or

10-23     (3) Any combination of such sales and use taxes and motor vehicle

10-24  privilege tax; or

10-25  (b) Acquired, by inheritance, gift , purchase or transfer through a stock

10-26  option plan , [for employees,] all the assets and liabilities of a viable,

10-27  operating construction firm that possesses a:

10-28     (1) License as a general contractor pursuant to the provisions of

10-29  chapter 624 of NRS; and

10-30     (2) Certificate of eligibility to receive a preference in bidding on

10-31  public works.

10-32  4.  The state contractors’ board shall issue a certificate of eligibility to

10-33  receive a preference in bidding on public works to a specialty contractor

10-34  who is licensed pursuant to the provisions of chapter 624 of NRS and

10-35  submits to the board:

10-36  (a) A statement from a public body to which the specialty contractor

10-37  intends to submit a bid showing that the classification of license which

10-38  the specialty contractor holds is appropriate for qualification as a bidder

10-39  on a project pursuant to section 2 of this act; and

10-40  (b) An affidavit from a certified public accountant setting forth that

10-41  the specialty contractor has, while licensed as a specialty contractor in

10-42  this state or another state:

10-43     (1) Paid:

10-44       (I) The sales and use taxes pursuant to chapters 372, 374 and

10-45  377 of NRS on materials used for construction in this state, including,

10-46  without limitation, construction that is undertaken or carried out on land

10-47  within the boundaries of this state that is managed by the Federal

10-48  Government or is on an Indian reservation or Indian colony, of not less

10-49  than $5,000 for each consecutive 12-month period for 60 months


11-1  immediately preceding the submission of the affidavit from the certified

11-2  public accountant;

11-3        (II) The motor vehicle privilege tax imposed pursuant to chapter

11-4  371 of NRS on the vehicles used in the operation of his business in this

11-5  state of not less than $5,000 for each consecutive 12-month period for 60

11-6  months immediately preceding the submission of the affidavit from the

11-7  certified public accountant; or

11-8        (III) Any combination of such sales and use taxes and motor

11-9  vehicle privilege tax; or

11-10     (2) Acquired, by inheritance, gift, purchase or transfer through a

11-11  stock option plan, all the assets and liabilities of a viable, operating

11-12  construction firm that possesses a:

11-13       (I) License as a specialty contractor pursuant to the provisions of

11-14  chapter 624 of NRS; and

11-15       (II) Certificate of eligibility to receive a preference in bidding on

11-16  public works.

11-17  5.  For the purposes of complying with the requirements set forth in

11-18  paragraph (a) of subsection 3 [, a general] and subparagraph (1) of

11-19  paragraph (b) of subsection 4, a contractor shall be deemed to have paid:

11-20  (a) Sales and use taxes and motor vehicle privilege taxes paid in this

11-21  state by an affiliate or parent company of the contractor, if the affiliate or

11-22  parent company is also a general contractor [;] or specialty contractor, as

11-23  applicable; and

11-24  (b) Sales and use taxes paid in this state by a joint venture in which the

11-25  contractor is a participant, in proportion to the amount of interest the

11-26  contractor has in the joint venture.

11-27  [5.] 6.  A contractor who has received a certificate of eligibility to

11-28  receive a preference in bidding on public works from the state contractors’

11-29  board pursuant to subsection 3 or 4 shall, at the time for the annual renewal

11-30  of his contractor’s license pursuant to NRS 624.283, submit to the board an

11-31  affidavit from a certified public accountant setting forth that the contractor

11-32  has, during the immediately preceding 12 months, paid the taxes required

11-33  pursuant to paragraph (a) of subsection 3 or subparagraph (1) of

11-34  paragraph (b) of subsection 4, as applicable, to maintain his eligibility to

11-35  hold such a certificate.

11-36  [6.] 7.  A contractor who fails to submit an affidavit to the board

11-37  pursuant to subsection [5] 6 ceases to be eligible to receive a preference in

11-38  bidding on public works unless he reapplies for and receives a certificate of

11-39  eligibility pursuant to subsection 3 [.

11-40  7.] or 4, as applicable.

11-41  8.  If a contractor who applies to the state contractors’ board for a

11-42  certificate of eligibility to receive a preference in bidding on public works

11-43  submits false information to the board regarding the required payment of

11-44  taxes, the contractor is not eligible to receive a preference in bidding on

11-45  public works for a period of 5 years after the date on which the board

11-46  becomes aware of the submission of the false information.

11-47  [8.] 9.  If any federal statute or regulation precludes the granting of

11-48  federal assistance or reduces the amount of that assistance for a particular

11-49  public work because of the provisions of subsection 2, those provisions do


12-1  not apply insofar as their application would preclude or reduce federal

12-2  assistance for that work. The provisions of subsection 2 do not apply to any

12-3  contract for a public work which is expected to cost less than $250,000.

12-4    [9.] 10.  If a bid is submitted by two or more contractors as a joint

12-5  venture or by one of them as a joint venturer, the provisions of subsection 2

12-6  apply only if both or all of the joint venturers separately meet the

12-7  requirements of that subsection.

12-8    [10.] 11.  The state contractors’ board shall adopt regulations and may

12-9  assess reasonable fees relating to the certification of contractors for a

12-10  preference in bidding on public works.

12-11  [11.] 12.  A person or entity who believes that a contractor wrongfully

12-12  holds a certificate of eligibility to receive a preference in bidding on public

12-13  works may challenge the validity of the certificate by filing a written

12-14  objection with the public body to which the contractor has submitted a bid

12-15  or proposal on a contract for the construction of a public work. A written

12-16  objection authorized pursuant to this subsection must:

12-17  (a) Set forth proof or substantiating evidence to support the belief of the

12-18  person or entity that the contractor wrongfully holds a certificate of

12-19  eligibility to receive a preference in bidding on public works; and

12-20  (b) Be filed with the public body at or after the time at which the

12-21  contractor submitted the bid or proposal to the public body and before the

12-22  time at which the public body awards the contract for which the bid or

12-23  proposal was submitted.

12-24  [12.] 13.  If a public body receives a written objection pursuant to

12-25  subsection [11,] 12, the public body shall determine whether the objection

12-26  is accompanied by the proof or substantiating evidence required pursuant

12-27  to paragraph (a) of that subsection. If the public body determines that the

12-28  objection is not accompanied by the required proof or substantiating

12-29  evidence, the public body shall dismiss the objection and may proceed

12-30  immediately to award the contract. If the public body determines that the

12-31  objection is accompanied by the required proof or substantiating evidence,

12-32  the public body shall determine whether the contractor qualifies for the

12-33  certificate pursuant to the provisions of this section and may proceed to

12-34  award the contract accordingly.

12-35  Sec. 10.  NRS 338.141 is hereby amended to read as follows:

12-36  338.141  1.  Except as otherwise provided in subsection 2, each bid

12-37  submitted to any officer, department, board or commission for the

12-38  construction of any public work or improvement must include:

12-39  (a) The name of each subcontractor who will provide labor or a portion

12-40  of the work or improvement to the contractor for which he will be paid an

12-41  amount exceeding 5 percent of the prime contractor’s total bid. Within 2

12-42  hours after the completion of the opening of the bids, the [general]

12-43  contractors who submitted the three lowest bids must submit a list of the

12-44  name of each subcontractor who will provide labor or a portion of the work

12-45  or improvement to the contractor for which he will be paid an amount

12-46  exceeding 1 percent of the prime contractor’s total bid or $50,000,

12-47  whichever is greater, and the number of the license issued to the

12-48  subcontractor pursuant to chapter 624 of NRS. If a [general] contractor


13-1  fails to submit such a list within the required time, his bid shall be deemed

13-2  not responsive.

13-3    (b) A description of the portion of the work or improvement which each

13-4  subcontractor named in the bid will complete.

13-5    2.  The contractor shall list in his bid pursuant to subsection 1 the name

13-6  of a subcontractor for each portion of the project that will be completed by

13-7  a subcontractor.

13-8    3.  A contractor whose bid is accepted shall not substitute any person

13-9  for a subcontractor who is named in the bid, unless:

13-10  (a) The awarding authority objects to the subcontractor, requests in

13-11  writing a change in the subcontractor and pays any increase in costs

13-12  resulting from the change; or

13-13  (b) The substitution is approved by the awarding authority and:

13-14     (1) The subcontractor, after having a reasonable opportunity, fails or

13-15  refuses to execute a written contract with the contractor which was offered

13-16  to the subcontractor with the same terms that all other subcontractors on

13-17  the project were offered;

13-18     (2) The named subcontractor files for bankruptcy or becomes

13-19  insolvent; or

13-20     (3) The named subcontractor fails or refuses to perform his

13-21  subcontract within a reasonable time or is unable to furnish a performance

13-22  bond and payment bond pursuant to NRS 339.025.

13-23  Sec. 11.  NRS 338.147 is hereby amended to read as follows:

13-24  338.147  1.  Except as otherwise provided in NRS 338.143 and

13-25  338.1711 to 338.1727, inclusive, a local government shall award a contract

13-26  for a public work to the contractor who submits the best bid.

13-27  2.  Except as otherwise provided in subsection [8] 9 or limited by

13-28  subsection [9,] 10, for the purposes of this section, a contractor who:

13-29  (a) Has been found to be a responsible and responsive contractor by the

13-30  local government; and

13-31  (b) At the time he submits his bid, provides to the local government a

13-32  copy of a certificate of eligibility to receive a preference in bidding on

13-33  public works issued to him by the state contractors’ board pursuant to

13-34  subsection 3 [,] or 4,

13-35  shall be deemed to have submitted a better bid than a competing contractor

13-36  who has not provided a copy of such a valid certificate of eligibility if the

13-37  amount of his bid is not more than 5 percent higher than the amount bid by

13-38  the competing contractor.

13-39  3.  The state contractors’ board shall issue a certificate of eligibility to

13-40  receive a preference in bidding on public works to a general contractor who

13-41  is licensed pursuant to the provisions of chapter 624 of NRS and submits to

13-42  the board an affidavit from a certified public accountant setting forth that

13-43  the general contractor has [:] , while licensed as a general contractor in

13-44  this state or another state:

13-45  (a) Paid:

13-46     (1) The sales and use taxes imposed pursuant to chapters 372, 374

13-47  and 377 of NRS on materials used for construction in this state, including,

13-48  without limitation, construction that is undertaken or carried out on land

13-49  within the boundaries of this state that is managed by the Federal


14-1  Government or is on an Indian reservation or Indian colony, of not less

14-2  than $5,000 for each consecutive 12-month period for 60 months

14-3  immediately preceding the submission of the affidavit from the certified

14-4  public accountant;

14-5      (2) The motor vehicle privilege tax imposed pursuant to chapter 371

14-6  of NRS on the vehicles used in the operation of his business in this state of

14-7  not less than $5,000 for each consecutive 12-month period for 60 months

14-8  immediately preceding the submission of the affidavit from the certified

14-9  public accountant; or

14-10     (3) Any combination of such sales and use taxes and motor vehicle

14-11  privilege tax; or

14-12  (b) Acquired, by inheritance, gift , purchase or transfer through a stock

14-13  option plan , [for employees,] all the assets and liabilities of a viable,

14-14  operating construction firm that possesses a:

14-15     (1) License as a general contractor pursuant to the provisions of

14-16  chapter 624 of NRS; and

14-17     (2) Certificate of eligibility to receive a preference in bidding on

14-18  public works.

14-19  4.  The state contractors’ board shall issue a certificate of eligibility to

14-20  receive a preference in bidding on public works to a specialty contractor

14-21  who is licensed pursuant to the provisions of chapter 624 of NRS and

14-22  submits to the board:

14-23  (a) A statement from a local government to which the specialty

14-24  contractor intends to submit a bid showing that the classification of

14-25  license which the specialty contractor holds is appropriate for

14-26  qualification as a bidder on a project pursuant to section 4 of this act;

14-27  and

14-28  (b) An affidavit from a certified public accountant setting forth that

14-29  the specialty contractor has, while licensed as a specialty contractor in

14-30  this state or another state:

14-31     (1) Paid:

14-32       (I) The sales and use taxes pursuant to chapters 372, 374 and

14-33  377 of NRS on materials used for construction in this state, including,

14-34  without limitation, construction that is undertaken or carried out on land

14-35  within the boundaries of this state that is managed by the Federal

14-36  Government or is on an Indian reservation or Indian colony, of not less

14-37  than $5,000 for each consecutive 12-month period for 60 months

14-38  immediately preceding the submission of the affidavit from the certified

14-39  public accountant;

14-40       (II) The motor vehicle privilege tax imposed pursuant to chapter

14-41  371 of NRS on the vehicles used in the operation of his business in this

14-42  state of not less than $5,000 for each consecutive 12-month period for 60

14-43  months immediately preceding the submission of the affidavit from the

14-44  certified public accountant; or

14-45       (III) Any combination of such sales and use taxes and motor

14-46  vehicle privilege tax; or

14-47     (2) Acquired, by inheritance, gift, purchase or transfer through a

14-48  stock option plan, all the assets and liabilities of a viable, operating

14-49  construction firm that possesses a:


15-1        (I) License as a specialty contractor pursuant to the provisions of

15-2  chapter 624 of NRS; and

15-3        (II) Certificate of eligibility to receive a preference in bidding on

15-4  public works.

15-5    5.  For the purposes of complying with the requirements set forth in

15-6  paragraph (a) of subsection 3 [, a general] and subparagraph (1) of

15-7  paragraph (b) of subsection 4, a contractor shall be deemed to have paid:

15-8    (a) Sales and use taxes and motor vehicle privilege taxes paid in this

15-9  state by an affiliate or parent company of the contractor, if the affiliate or

15-10  parent company is also a general contractor [;] or specialty contractor, as

15-11  applicable; and

15-12  (b) Sales and use taxes paid in this state by a joint venture in which the

15-13  contractor is a participant, in proportion to the amount of interest the

15-14  contractor has in the joint venture.

15-15  [5.] 6.  A contractor who has received a certificate of eligibility to

15-16  receive a preference in bidding on public works from the state contractors’

15-17  board pursuant to subsection 3 or 4 shall, at the time for the annual renewal

15-18  of his contractor’s license pursuant to NRS 624.283, submit to the board an

15-19  affidavit from a certified public accountant setting forth that the contractor

15-20  has, during the immediately preceding 12 months, paid the taxes required

15-21  pursuant to paragraph (a) of subsection 3 or subparagraph (1) of

15-22  paragraph (b) of subsection 4, as applicable, to maintain his eligibility to

15-23  hold such a certificate.

15-24  [6.] 7.  A contractor who fails to submit an affidavit to the board

15-25  pursuant to subsection [5] 6 ceases to be eligible to receive a preference in

15-26  bidding on public works unless he reapplies for and receives a certificate of

15-27  eligibility pursuant to subsection 3 [.

15-28  7.] or 4, as applicable.

15-29  8.  If a contractor who applies to the state contractors’ board for a

15-30  certificate of eligibility to receive a preference in bidding on public works

15-31  submits false information to the board regarding the required payment of

15-32  taxes, the contractor is not eligible to receive a preference in bidding on

15-33  public works for a period of 5 years after the date on which the board

15-34  becomes aware of the submission of the false information.

15-35  [8.] 9.  If any federal statute or regulation precludes the granting of

15-36  federal assistance or reduces the amount of that assistance for a particular

15-37  public work because of the provisions of subsection 2, those provisions do

15-38  not apply insofar as their application would preclude or reduce federal

15-39  assistance for that work. The provisions of subsection 2 do not apply to any

15-40  contract for a public work which is expected to cost less than $250,000.

15-41  [9.] 10.  Except as otherwise provided in subsection 2 of NRS

15-42  338.1727 and subsection 2 of NRS 408.3886 if a bid is submitted by two or

15-43  more contractors as a joint venture or by one of them as a joint venturer,

15-44  the provisions of subsection 2 apply only if both or all of the joint venturers

15-45  separately meet the requirements of that subsection.

15-46  [10.] 11.  The state contractors’ board shall adopt regulations and may

15-47  assess reasonable fees relating to the certification of contractors for a

15-48  preference in bidding on public works.


16-1    [11.] 12.  A person or entity who believes that a contractor wrongfully

16-2  holds a certificate of eligibility to receive a preference in bidding on public

16-3  works may challenge the validity of the certificate by filing a written

16-4  objection with the public body to which the contractor has submitted a bid

16-5  or proposal on a contract for the completion of a public work. A written

16-6  objection authorized pursuant to this subsection must:

16-7    (a) Set forth proof or substantiating evidence to support the belief of the

16-8  person or entity that the contractor wrongfully holds a certificate of

16-9  eligibility to receive a preference in bidding on public works; and

16-10  (b) Be filed with the public body at or after the time at which the

16-11  contractor submitted the bid or proposal to the public body and before the

16-12  time at which the public body awards the contract for which the bid or

16-13  proposal was submitted.

16-14  [12.] 13.  If a public body receives a written objection pursuant to

16-15  subsection [11,] 12, the public body shall determine whether the objection

16-16  is accompanied by the proof or substantiating evidence required pursuant

16-17  to paragraph (a) of that subsection. If the public body determines that the

16-18  objection is not accompanied by the required proof or substantiating

16-19  evidence, the public body shall dismiss the objection and may proceed

16-20  immediately to award the contract. If the public body determines that the

16-21  objection is accompanied by the required proof or substantiating evidence,

16-22  the public body shall determine whether the contractor qualifies for the

16-23  certificate pursuant to the provisions of this section and may proceed to

16-24  award the contract accordingly.

16-25  Sec. 12.  NRS 338.147 is hereby amended to read as follows:

16-26  338.147  1.  Except as otherwise provided in NRS 338.143, a local

16-27  government shall award a contract for a public work to the contractor who

16-28  submits the best bid.

16-29  2.  Except as otherwise provided in subsection [8] 9 or limited by

16-30  subsection [9,] 10, for the purposes of this section, a contractor who:

16-31  (a) Has been found to be a responsible and responsive contractor by the

16-32  local government; and

16-33  (b) At the time he submits his bid, provides to the local government a

16-34  copy of a certificate of eligibility to receive a preference in bidding on

16-35  public works issued to him by the state contractors’ board pursuant to

16-36  subsection 3 [,] or 4,

16-37  shall be deemed to have submitted a better bid than a competing contractor

16-38  who has not provided a copy of such a valid certificate of eligibility if the

16-39  amount of his bid is not more than 5 percent higher than the amount bid by

16-40  the competing contractor.

16-41  3.  The state contractors’ board shall issue a certificate of eligibility to

16-42  receive a preference in bidding on public works to a general contractor who

16-43  is licensed pursuant to the provisions of chapter 624 of NRS and submits to

16-44  the board an affidavit from a certified public accountant setting forth that

16-45  the general contractor has [:] , while licensed as a general contractor in

16-46  this state or another state:

16-47  (a) Paid:

16-48     (1) The sales and use taxes imposed pursuant to chapters 372, 374

16-49  and 377 of NRS on materials used for construction in this state, including,


17-1  without limitation, construction that is undertaken or carried out on land

17-2  within the boundaries of this state that is managed by the Federal

17-3  Government or is on an Indian reservation or Indian colony, of not less

17-4  than $5,000 for each consecutive 12-month period for 60 months

17-5  immediately preceding the submission of the affidavit from the certified

17-6  public accountant;

17-7      (2) The motor vehicle privilege tax imposed pursuant to chapter 371

17-8  of NRS on the vehicles used in the operation of his business in this state of

17-9  not less than $5,000 for each consecutive 12-month period for 60 months

17-10  immediately preceding the submission of the affidavit from the certified

17-11  public accountant; or

17-12     (3) Any combination of such sales and use taxes and motor vehicle

17-13  privilege tax; or

17-14  (b) Acquired, by inheritance, gift , purchase or transfer through a stock

17-15  option plan , [for employees,] all the assets and liabilities of a viable,

17-16  operating construction firm that possesses a:

17-17     (1) License as a general contractor pursuant to the provisions of

17-18  chapter 624 of NRS; and

17-19     (2) Certificate of eligibility to receive a preference in bidding on

17-20  public works.

17-21  4.  The state contractors’ board shall issue a certificate of eligibility to

17-22  receive a preference in bidding on public works to a specialty contractor

17-23  who is licensed pursuant to the provisions of chapter 624 of NRS and

17-24  submits to the board:

17-25  (a) A statement from a local government to which the specialty

17-26  contractor intends to submit a bid showing that the classification of

17-27  license which the specialty contractor holds is appropriate for

17-28  qualification as a bidder on a project pursuant to section 4 of this act;

17-29  and

17-30  (b) An affidavit from a certified public accountant setting forth that

17-31  the specialty contractor has, while licensed as a specialty contractor in

17-32  this state or another state:

17-33     (1) Paid:

17-34       (I) The sales and use taxes pursuant to chapters 372, 374 and

17-35  377 of NRS on materials used for construction in this state, including,

17-36  without limitation, construction that is undertaken or carried out on land

17-37  within the boundaries of this state that is managed by the Federal

17-38  Government or is on an Indian reservation or Indian colony, of not less

17-39  than $5,000 for each consecutive 12-month period for 60 months

17-40  immediately preceding the submission of the affidavit from the certified

17-41  public accountant;

17-42       (II) The motor vehicle privilege tax imposed pursuant to chapter

17-43  371 of NRS on the vehicles used in the operation of his business in this

17-44  state of not less than $5,000 for each consecutive 12-month period for 60

17-45  months immediately preceding the submission of the affidavit from the

17-46  certified public accountant; or

17-47       (III) Any combination of such sales and use taxes and motor

17-48  vehicle privilege tax; or


18-1      (2) Acquired, by inheritance, gift, purchase or transfer through a

18-2  stock option plan, all the assets and liabilities of a viable, operating

18-3  construction firm that possesses a:

18-4        (I) License as a specialty contractor pursuant to the provisions of

18-5  chapter 624 of NRS; and

18-6        (II) Certificate of eligibility to receive a preference in bidding on

18-7  public works.

18-8    5.  For the purposes of complying with the requirements set forth in

18-9  paragraph (a) of subsection 3 [, a general] and subparagraph (1) of

18-10  paragraph (b) of subsection 4, a contractor shall be deemed to have paid:

18-11  (a) Sales and use taxes and motor vehicle privilege taxes paid in this

18-12  state by an affiliate or parent company of the contractor, if the affiliate or

18-13  parent company is also a general contractor [;] or specialty contractor, as

18-14  applicable; and

18-15  (b) Sales and use taxes paid in this state by a joint venture in which the

18-16  contractor is a participant, in proportion to the amount of interest the

18-17  contractor has in the joint venture.

18-18  [5.] 6.  A contractor who has received a certificate of eligibility to

18-19  receive a preference in bidding on public works from the state contractors’

18-20  board pursuant to subsection 3 or 4 shall, at the time for the annual renewal

18-21  of his contractor’s license pursuant to NRS 624.283, submit to the board an

18-22  affidavit from a certified public accountant setting forth that the contractor

18-23  has, during the immediately preceding 12 months, paid the taxes required

18-24  pursuant to paragraph (a) of subsection 3 or subparagraph (1) of

18-25  paragraph (b) of subsection 4, as applicable, to maintain his eligibility to

18-26  hold such a certificate.

18-27  [6.] 7.  A contractor who fails to submit an affidavit to the board

18-28  pursuant to subsection [5] 6 ceases to be eligible to receive a preference in

18-29  bidding on public works unless he reapplies for and receives a certificate of

18-30  eligibility pursuant to subsection 3 [.

18-31  7.] or 4, as applicable.

18-32  8.  If a contractor who applies to the state contractors’ board for a

18-33  certificate of eligibility to receive a preference in bidding on public works

18-34  submits false information to the board regarding the required payment of

18-35  taxes, the contractor is not eligible to receive a preference in bidding on

18-36  public works for a period of 5 years after the date on which the board

18-37  becomes aware of the submission of the false information.

18-38  [8.] 9.  If any federal statute or regulation precludes the granting of

18-39  federal assistance or reduces the amount of that assistance for a particular

18-40  public work because of the provisions of subsection 2, those provisions do

18-41  not apply insofar as their application would preclude or reduce federal

18-42  assistance for that work. The provisions of subsection 2 do not apply to any

18-43  contract for a public work which is expected to cost less than $250,000.

18-44  [9.] 10.  If a bid is submitted by two or more contractors as a joint

18-45  venture or by one of them as a joint venturer, the provisions of subsection 2

18-46  apply only if both or all of the joint venturers separately meet the

18-47  requirements of that subsection.


19-1    [10.] 11. The state contractors’ board shall adopt regulations and may

19-2  assess reasonable fees relating to the certification of contractors for a

19-3  preference in bidding on public works.

19-4    [11.] 12.  A person or entity who believes that a contractor wrongfully

19-5  holds a certificate of eligibility to receive a preference in bidding on public

19-6  works may challenge the validity of the certificate by filing a written

19-7  objection with the public body to which the contractor has submitted a bid

19-8  or proposal on a contract for the completion of a public work. A written

19-9  objection authorized pursuant to this subsection must:

19-10  (a) Set forth proof or substantiating evidence to support the belief of the

19-11  person or entity that the contractor wrongfully holds a certificate of

19-12  eligibility to receive a preference in bidding on public works; and

19-13  (b) Be filed with the public body at or after the time at which the

19-14  contractor submitted the bid or proposal to the public body and before the

19-15  time at which the public body awards the contract for which the bid or

19-16  proposal was submitted.

19-17  [12.] 13.  If a public body receives a written objection pursuant to

19-18  subsection [11,] 12, the public body shall determine whether the objection

19-19  is accompanied by the proof or substantiating evidence required pursuant

19-20  to paragraph (a) of that subsection. If the public body determines that the

19-21  objection is not accompanied by the required proof or substantiating

19-22  evidence, the public body shall dismiss the objection and may proceed

19-23  immediately to award the contract. If the public body determines that the

19-24  objection is accompanied by the required proof or substantiating evidence,

19-25  the public body shall determine whether the contractor qualifies for the

19-26  certificate pursuant to the provisions of this section and may proceed to

19-27  award the contract accordingly.

19-28  Sec. 13.  NRS 338.1711 is hereby amended to read as follows:

19-29  338.1711  1.  Except as otherwise provided in this section, a public

19-30  body shall contract with a prime contractor for the construction of a public

19-31  work for which the estimated cost exceeds $100,000.

19-32  2.  A public body may contract with a design-build team for the design

19-33  and construction of a public work that is a discrete project if the public

19-34  body determines that:

19-35  (a) The public work is:

19-36     (1) A plant or facility for the treatment and pumping of water or the

19-37  treatment and disposal of wastewater or sewage, the estimated cost of

19-38  which exceeds $100,000,000; or

19-39     (2) Any other type of public work, except a stand-alone underground

19-40  utility project, the estimated cost of which exceeds $30,000,000; and

19-41  (b) Contracting with a design-build team will enable the public body to:

19-42     (1) Design and construct the public work at a cost that is significantly

19-43  lower than the cost that the public body would incur to design and

19-44  construct the public work using a different method;

19-45     (2) Design and construct the public work in a shorter time than would

19-46  be required to design and construct the public work using a different

19-47  method, if exigent circumstances require that the public work be designed

19-48  and constructed within a short time; or


20-1      (3) Ensure that the design and construction of the public work is

20-2  properly coordinated, if the public work is unique, highly technical and

20-3  complex in nature.

20-4    3.  In a county whose population is 400,000 or more, a public body that

20-5  is responsible for financing public works may, for its own public works

20-6  and those financed by a different public body, including, without

20-7  limitation, an airport if the airport is owned and operated as a department

20-8  of the public body, contract with a design-build team once in each fiscal

20-9  year for the design and construction of a public work if the public body

20-10  determines that:

20-11  (a) The estimated cost of the public work is at least $5,000,000 but less

20-12  than $30,000,000; and

20-13  (b) Contracting with a design-build team will enable the public body to:

20-14     (1) Design and construct the public work at a cost that is significantly

20-15  lower than the cost that the public body would incur to design and

20-16  construct the public work using a different method;

20-17     (2) Design and construct the public work in a shorter time than would

20-18  be required to design and construct the public work using a different

20-19  method, if exigent circumstances require that the public work be designed

20-20  and constructed within a short time; or

20-21     (3) Ensure that the design and construction of the public work is

20-22  properly coordinated, if the public work is unique, highly technical and

20-23  complex in nature.

20-24  4.  Notwithstanding the provisions of subsections 1, 2 and 3, a public

20-25  body may contract with:

20-26  (a) A nonprofit organization for the design and construction of a project

20-27  to restore, enhance or develop wetlands.

20-28  (b) A prime contractor [, specialty contractor] or design-build team with

20-29  respect to a public work if the public body determines that the public work

20-30  is:

20-31     (1) Not part of a larger public work; and

20-32     (2) Limited in scope to:

20-33       (I) Removal of asbestos;

20-34       (II) Replacement of equipment or systems for heating, ventilation

20-35  and air-conditioning;

20-36       (III) Replacement of a roof;

20-37       (IV) Landscaping; or

20-38       (V) Restoration, enhancement or development of wetlands.

20-39  Sec. 14.  NRS 338.1715 is hereby amended to read as follows:

20-40  338.1715  1.  A public body that is required to contract with a prime

20-41  contractor pursuant to subsection 1 of NRS 338.1711 or elects to contract

20-42  with a [specialty] prime contractor pursuant to subsection 4 of NRS

20-43  338.1711 shall select the prime contractor [or specialty contractor, as

20-44  appropriate,] in accordance with the procedures for bidding that are set

20-45  forth in:

20-46  (a) The provisions of NRS 338.1375 to 338.1389, inclusive [;] and

20-47  sections 2 and 3 of this act; or

20-48  (b) NRS 338.143, 338.145 and 338.147 [,] and section 4 of this act, if

20-49  the public body is a local government that elects to award a contract for a


21-1  public work in accordance with paragraph (b) of subsection 1 of NRS

21-2  338.1373.

21-3    2.  A public body that contracts with a design-build team pursuant to

21-4  NRS 338.1711 and 338.1713 shall select the design-build team in

21-5  accordance with NRS 338.1721 to 338.1727, inclusive.

21-6    Sec. 15.  1.  This section, sections 1 to 5, inclusive, and 7, 8, 10, 11,

21-7  13 and 14 of this act become effective on July 1, 2001.

21-8    2.  Sections 6, 9 and 12 of this act become effective at 12:01 a.m. on

21-9  October 1, 2003.

21-10  3.  Sections 5, 8, 11, 13 and 14 of this act expire by limitation on

21-11  October 1, 2003.

 

21-12  H