(REPRINTED WITH ADOPTED AMENDMENTS)
SECOND REPRINT S.B. 63
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.
~
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. 1. A public body may award a contract for the construction,
1-4 alteration or repair of a public work pursuant to NRS 338.1375 to
1-5 338.1389, inclusive, to a specialty contractor if:
1-6 (a) The majority of the work to be performed on the project to which
1-7 the contract pertains consists of specialty contracting for which the
1-8 specialty contractor is licensed; and
1-9 (b) The project to which the contract pertains is not part of a larger
1-10 public work.
1-11 2. If a public body awards a contract to a specialty contractor
1-12 pursuant to NRS 338.1375 to 338.1389, inclusive, all work to be
1-13 performed on the project to which the contract pertains that is outside the
1-14 scope of the license of the specialty contractor must be performed by a
1-15 subcontractor who is licensed to perform such work.
1-16 Sec. 3. (Deleted by amendment.)
2-1 Sec. 4. 1. A local government may award a contract for the
2-2 construction, alteration or repair of a public work to a specialty
2-3 contractor pursuant to NRS 338.147 if:
2-4 (a) The majority of the work to be performed on the project to which
2-5 the contract pertains consists of specialty contracting for which the
2-6 specialty contractor is licensed; and
2-7 (b) The project to which the contract pertains is not part of a larger
2-8 public work.
2-9 2. If a local government awards a contract to a specialty contractor
2-10 pursuant to NRS 338.147, all work to be performed on the project to
2-11 which the contract pertains that is outside the scope of the license of the
2-12 specialty contractor must be performed by a subcontractor who is
2-13 licensed to perform such work.
2-14 Sec. 5. NRS 338.010 is hereby amended to read as follows:
2-15 338.010 As used in this chapter:
2-16 1. “Day labor” means all cases where public bodies, their officers,
2-17 agents or employees, hire, supervise and pay the wages thereof directly to a
2-18 workman or workmen employed by them on public works by the day and
2-19 not under a contract in writing.
2-20 2. “Design-build contract” means a contract between a public body
2-21 and a design-build team in which the design-build team agrees to design
2-22 and construct a public work.
2-23 3. “Design-build team” means an entity that consists of:
2-24 (a) At least one person who is licensed as a general engineering
2-25 contractor or a general building contractor pursuant to chapter 624 of NRS;
2-26 and
2-27 (b) For a public work that consists of:
2-28 (1) A building and its site, at least one person who holds a certificate
2-29 of registration to practice architecture pursuant to chapter 623 of NRS.
2-30 (2) Anything other than a building and its site, at least one person
2-31 who holds a certificate of registration to practice architecture pursuant to
2-32 chapter 623 of NRS or is licensed as a professional engineer pursuant to
2-33 chapter 625 of NRS.
2-34 4. “Design professional” means a person with a professional license or
2-35 certificate issued pursuant to chapter 623, 623A or 625 of NRS.
2-36 5. “Eligible bidder” means a person who is:
2-37 (a) Found to be a responsible and responsive contractor by a local
2-38 government which requests bids for a public work in accordance with
2-39 paragraph (b) of subsection 1 of NRS 338.1373; or
2-40 (b) Determined by a public body which awarded a contract for a public
2-41 work pursuant to NRS 338.1375 to 338.1389, inclusive, to be qualified to
2-42 bid on that contract pursuant to NRS 338.1379 or was exempt from
2-43 meeting such qualifications pursuant to NRS 338.1383.
2-44 6. “General contractor” means a person who is licensed to conduct
2-45 business in one, or both, of the following branches of the contracting
2-46 business:
2-47 (a) General engineering contracting, as described in subsection 2 of
2-48 NRS 624.215.
3-1 (b) General building contracting, as described in subsection 3 of NRS
3-2 624.215.
3-3 7. “Local government” means every political subdivision or other
3-4 entity which has the right to levy or receive money from ad valorem or
3-5 other taxes or any mandatory assessments, and includes, without limitation,
3-6 counties, cities, towns, boards, school districts and other districts organized
3-7 pursuant to chapters 244A, 309, 318, 379, 474, 541, 543 and 555 of NRS,
3-8 NRS 450.550 to 450.750, inclusive, and any agency or department of a
3-9 county or city which prepares a budget separate from that of the parent
3-10 political subdivision.
3-11 [7.] 8. “Offense” means failing to:
3-12 (a) Pay the prevailing wage required pursuant to this chapter;
3-13 (b) Pay the contributions for unemployment compensation required
3-14 pursuant to chapter 612 of NRS;
3-15 (c) Provide and secure compensation for employees required pursuant
3-16 to chapters 616A to 617, inclusive, of NRS; or
3-17 (d) Comply with subsection 4 or 5 of NRS 338.070.
3-18 [8.] 9. “Prime contractor” means a person who:
3-19 (a) Contracts to construct an entire project;
3-20 (b) Coordinates all work performed on the entire project;
3-21 (c) Uses his own work force to perform all or a part of the construction,
3-22 repair or reconstruction of the project; and
3-23 (d) Contracts for the services of any subcontractor or independent
3-24 contractor or is responsible for payment to any contracted subcontractors or
3-25 independent contractors.
3-26 [9.]
3-27 The term includes, without limitation, a general contractor or a specialty
3-28 contractor who is authorized to bid on a project pursuant to section 2 or
3-29 4 of this act.
3-30 10. “Public body” means the state, county, city, town, school district or
3-31 any public agency of this state or its political subdivisions sponsoring or
3-32 financing a public work.
3-33 [10.] 11. “Public work” means any project for the new construction,
3-34 repair or reconstruction of:
3-35 (a) A project financed in whole or in part from public money for:
3-36 (1) Public buildings;
3-37 (2) Jails and prisons;
3-38 (3) Public roads;
3-39 (4) Public highways;
3-40 (5) Public streets and alleys;
3-41 (6) Public utilities which are financed in whole or in part by public
3-42 money;
3-43 (7) Publicly owned water mains and sewers;
3-44 (8) Public parks and playgrounds;
3-45 (9) Public convention facilities which are financed at least in part
3-46 with public funds; and
3-47 (10) All other publicly owned works and property whose cost as a
3-48 whole exceeds $20,000. Each separate unit that is a part of a project is
4-1 included in the cost of the project to determine whether a project meets that
4-2 threshold.
4-3 (b) A building for the University and Community College System of
4-4 Nevada of which 25 percent or more of the costs of the building as a whole
4-5 are paid from money appropriated by this state or from federal money.
4-6 [11.] 12. “Specialty contractor” means a [contractor whose operations
4-7 as such are the performance of construction work requiring special skill
4-8 and whose principal contracting business involves the use of specialized
4-9 building trades or crafts.
4-10 12.] person who is licensed to conduct business as described in
4-11 subsection 4 of NRS 624.215.
4-12 13. “Stand-alone underground utility project” means an underground
4-13 utility project that is not integrated into a larger project, including, without
4-14 limitation:
4-15 (a) An underground sewer line or an underground pipeline for the
4-16 conveyance of water, including facilities appurtenant thereto; and
4-17 (b) A project for the construction or installation of a storm drain,
4-18 including facilities appurtenant thereto,
4-19 that is not located at the site of a public work for the design and
4-20 construction of which a public body is authorized to contract with a design-
4-21 build team pursuant to subsection 2 of NRS 338.1711.
4-22 [13.] 14. “Wages” means:
4-23 (a) The basic hourly rate of pay; and
4-24 (b) The amount of pension, health and welfare, vacation and holiday
4-25 pay, the cost of apprenticeship training or other similar programs or other
4-26 bona fide fringe benefits which are a benefit to the workman.
4-27 [14.] 15. “Workman” means a skilled mechanic, skilled workman,
4-28 semiskilled mechanic, semiskilled workman or unskilled workman. The
4-29 term does not include a design professional.
4-30 Sec. 6. NRS 338.010 is hereby amended to read as follows:
4-31 338.010 As used in this chapter:
4-32 1. “Day labor” means all cases where public bodies, their officers,
4-33 agents or employees, hire, supervise and pay the wages thereof directly to a
4-34 workman or workmen employed by them on public works by the day and
4-35 not under a contract in writing.
4-36 2. “Eligible bidder” means a person who is:
4-37 (a) Found to be a responsible and responsive contractor by a local
4-38 government which requests bids for a public work in accordance with
4-39 paragraph (b) of subsection 1 of NRS 338.1373; or
4-40 (b) Determined by a public body which awarded a contract for a public
4-41 work pursuant to NRS 338.1375 to 338.1389, inclusive, to be qualified to
4-42 bid on that contract pursuant to NRS 338.1379 or was exempt from
4-43 meeting such qualifications pursuant to NRS 338.1383.
4-44 3. “General contractor” means a person who is licensed to conduct
4-45 business in one, or both, of the following branches of the contracting
4-46 business:
4-47 (a) General engineering contracting, as described in subsection 2 of
4-48 NRS 624.215.
5-1 (b) General building contracting, as described in subsection 2 of NRS
5-2 624.215.
5-3 4. “Local government” means every political subdivision or other
5-4 entity which has the right to levy or receive money from ad valorem or
5-5 other taxes or any mandatory assessments, and includes, without limitation,
5-6 counties, cities, towns, boards, school districts and other districts organized
5-7 pursuant to chapters 244A, 309, 318, 379, 474, 541, 543 and 555 of NRS,
5-8 NRS 450.550 to 450.750, inclusive, and any agency or department of a
5-9 county or city which prepares a budget separate from that of the parent
5-10 political subdivision.
5-11 [4.] 5. “Offense” means failing to:
5-12 (a) Pay the prevailing wage required pursuant to this chapter;
5-13 (b) Pay the contributions for unemployment compensation required
5-14 pursuant to chapter 612 of NRS;
5-15 (c) Provide and secure compensation for employees required pursuant
5-16 to chapters 616A to 617, inclusive, of NRS; or
5-17 (d) Comply with subsection 4 or 5 of NRS 338.070.
5-18 [5.] 6. “Prime contractor” means a person who:
5-19 (a) Contracts to complete an entire project;
5-20 (b) Coordinates all work performed on the entire project;
5-21 (c) Uses his own work force to perform all or a part of the construction,
5-22 repair or reconstruction of the project; and
5-23 (d) Contracts for the services of any subcontractor or independent
5-24 contractor or is responsible for payment to any contracted subcontractors or
5-25 independent contractors.
5-26 [6.]
5-27 The term includes, without limitation, a general contractor or a specialty
5-28 contractor who is authorized to bid on a project pursuant to section 2 or
5-29 4 of this act.
5-30 7. “Public body” means the state, county, city, town, school district or
5-31 any public agency of this state or its political subdivisions sponsoring or
5-32 financing a public work.
5-33 [7.] 8. “Public work” means any project for the new construction,
5-34 repair or reconstruction of:
5-35 (a) A project financed in whole or in part from public money for:
5-36 (1) Public buildings;
5-37 (2) Jails and prisons;
5-38 (3) Public roads;
5-39 (4) Public highways;
5-40 (5) Public streets and alleys;
5-41 (6) Public utilities which are financed in whole or in part by public
5-42 money;
5-43 (7) Publicly owned water mains and sewers;
5-44 (8) Public parks and playgrounds;
5-45 (9) Public convention facilities which are financed at least in part
5-46 with public funds; and
5-47 (10) Any other publicly owned works and property whose cost as a
5-48 whole exceeds $20,000. Each separate unit that is a part of a project is
6-1 included in the cost of the project to determine whether a project meets that
6-2 threshold.
6-3 (b) A building for the University and Community College System of
6-4 Nevada of which 25 percent or more of the costs of the building as a whole
6-5 are paid from money appropriated by this state or from federal money.
6-6 [8.] 9. “Specialty contractor” means a person who is licensed to
6-7 conduct business as described in subsection 4 of NRS 624.215.
6-8 10. “Wages” means:
6-9 (a) The basic hourly rate of pay; and
6-10 (b) The amount of pension, health and welfare, vacation and holiday
6-11 pay, the cost of apprenticeship training or other similar programs or other
6-12 bona fide fringe benefits which are a benefit to the workman.
6-13 [9.] 11. “Workman” means a skilled mechanic, skilled workman,
6-14 semiskilled mechanic, semiskilled workman or unskilled workman. The
6-15 term does not include a “design professional” as that term is defined in
6-16 NRS 338.155.
6-17 Sec. 7. NRS 338.1373 is hereby amended to read as follows:
6-18 338.1373 1. A local government shall award a contract for the
6-19 construction, alteration or repair of a public work pursuant to the
6-20 provisions of:
6-21 (a) NRS 338.1375 to 338.1389, inclusive[;] , and sections 2 and 3 of
6-22 this act; or
6-23 (b) NRS 338.143, 338.145 and 338.147[.] and section 4 of this act.
6-24 2. The provisions of NRS 338.1375 to 338.1383, inclusive, and
6-25 section 2 of this act do not apply with respect to contracts for the
6-26 construction, reconstruction, improvement and maintenance of highways
6-27 that are awarded by the department of transportation pursuant to NRS
6-28 408.313 to 408.433, inclusive, and section 1 of Assembly Bill No. 86 of
6-29 this [act.] session.
6-30 Sec. 8. NRS 338.1389 is hereby amended to read as follows:
6-31 338.1389 1. Except as otherwise provided in NRS 338.1385 and
6-32 338.1711 to 338.1727, inclusive, a public body shall award a contract for a
6-33 public work to the contractor who submits the best bid.
6-34 2. Except as otherwise provided in subsection [8] 10 or limited by
6-35 subsection [9,] 11, for the purposes of this section, a contractor who:
6-36 (a) Has been determined by the public body to be a qualified bidder
6-37 pursuant to NRS 338.1379 or is exempt from meeting such requirements
6-38 pursuant to NRS 338.1373 or 338.1383; and
6-39 (b) At the time he submits his bid, provides to the public body a copy of
6-40 a certificate of eligibility to receive a preference in bidding on public works
6-41 issued to him by the state contractors’ board pursuant to subsection 3[,]
6-42 or 4,
6-43 shall be deemed to have submitted a better bid than a competing contractor
6-44 who has not provided a copy of such a valid certificate of eligibility if the
6-45 amount of his bid is not more than 5 percent higher than the amount bid by
6-46 the competing contractor.
6-47 3. The state contractors’ board shall issue a certificate of eligibility to
6-48 receive a preference in bidding on public works to a general contractor who
6-49 is licensed pursuant to the provisions of chapter 624 of NRS and submits to
7-1 the board an affidavit from a certified public accountant setting forth that
7-2 the general contractor has[:] , while licensed as a general contractor in
7-3 this state:
7-4 (a) Paid[:] directly, on his own behalf:
7-5 (1) The sales and use taxes imposed pursuant to chapters 372, 374
7-6 and 377 of NRS on materials used for construction in this state, including,
7-7 without limitation, construction that is undertaken or carried out on land
7-8 within the boundaries of this state that is managed by the Federal
7-9 Government or is on an Indian reservation or Indian colony, of not less
7-10 than $5,000 for each consecutive 12-month period for 60 months
7-11 immediately preceding the submission of the affidavit from the certified
7-12 public accountant;
7-13 (2) The governmental services tax imposed pursuant to chapter 371
7-14 of NRS on the vehicles used in the operation of his business in this state of
7-15 not less than $5,000 for each consecutive 12-month period for 60 months
7-16 immediately preceding the submission of the affidavit from the certified
7-17 public accountant; or
7-18 (3) Any combination of such sales and use taxes and governmental
7-19 services tax; or
7-20 (b) Acquired, by purchase, inheritance, gift or transfer through a stock
7-21 option plan , [for employees,] all the assets and liabilities of a viable,
7-22 operating construction firm that possesses a:
7-23 (1) License as a general contractor pursuant to the provisions of
7-24 chapter 624 of NRS; and
7-25 (2) Certificate of eligibility to receive a preference in bidding on
7-26 public works.
7-27 4. The state contractors’ board shall issue a certificate of eligibility to
7-28 receive a preference in bidding on public works to a specialty contractor
7-29 who is licensed pursuant to the provisions of chapter 624 of NRS and
7-30 submits to the board an affidavit from a certified public accountant
7-31 setting forth that the specialty contractor has, while licensed as a
7-32 specialty contractor in this state:
7-33 (a) Paid directly, on his own behalf:
7-34 (1) The sales and use taxes pursuant to chapters 372, 374 and 377
7-35 of NRS on materials used for construction in this state, including,
7-36 without limitation, construction that is undertaken or carried out on land
7-37 within the boundaries of this state that is managed by the Federal
7-38 Government or is on an Indian reservation or Indian colony, of not less
7-39 than $5,000 for each consecutive 12-month period for 60 months
7-40 immediately preceding the submission of the affidavit from the certified
7-41 public accountant;
7-42 (2) The governmental services tax imposed pursuant to chapter 371
7-43 of NRS on the vehicles used in the operation of his business in this state
7-44 of not less than $5,000 for each consecutive 12-month period for 60
7-45 months immediately preceding the submission of the affidavit from the
7-46 certified public accountant; or
7-47 (3) Any combination of such sales and use taxes and governmental
7-48 services tax; or
8-1 (b) Acquired, by purchase, inheritance, gift or transfer through a
8-2 stock option plan, all the assets and liabilities of a viable, operating
8-3 construction firm that possesses a:
8-4 (1) License as a specialty contractor pursuant to the provisions of
8-5 chapter 624 of NRS; and
8-6 (2) Certificate of eligibility to receive a preference in bidding on
8-7 public works.
8-8 5. For the purposes of complying with the requirements set forth in
8-9 paragraph (a) of subsection 3[, a general] and paragraph (a) of subsection
8-10 4, a contractor shall be deemed to have paid:
8-11 (a) Sales and use taxes and governmental services taxes that were paid
8-12 in this state by an affiliate or parent company of the contractor, if the
8-13 affiliate or parent company is also a general contractor[;] or specialty
8-14 contractor, as applicable; and
8-15 (b) Sales and use taxes that were paid in this state by a joint venture in
8-16 which the contractor is a participant, in proportion to the amount of interest
8-17 the contractor has in the joint venture.
8-18 [5.] 6. A contractor who has received a certificate of eligibility to
8-19 receive a preference in bidding on public works from the state contractors’
8-20 board pursuant to subsection 3 or 4 shall, at the time for the annual renewal
8-21 of his contractor’s license pursuant to NRS 624.283, submit to the board an
8-22 affidavit from a certified public accountant setting forth that the contractor
8-23 has, during the immediately preceding 12 months, paid the taxes required
8-24 pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4,
8-25 as applicable, to maintain his eligibility to hold such a certificate.
8-26 [6.] 7. A contractor who fails to submit an affidavit to the board
8-27 pursuant to subsection [5] 6 ceases to be eligible to receive a preference in
8-28 bidding on public works unless he reapplies for and receives a certificate of
8-29 eligibility pursuant to subsection 3[.
8-30 7.] or 4, as applicable.
8-31 8. If a contractor holds more than one contractor’s license, he must
8-32 submit a separate application for each license pursuant to which he
8-33 wishes to qualify for a preference in bidding. Upon issuance, the
8-34 certificate of eligibility to receive a preference in bidding on public works
8-35 becomes part of the contractor’s license for which the contractor
8-36 submitted the application.
8-37 9. If a contractor who applies to the state contractors’ board for a
8-38 certificate of eligibility to receive a preference in bidding on public works
8-39 submits false information to the board regarding the required payment of
8-40 taxes, the contractor is not eligible to receive a preference in bidding on
8-41 public works for a period of 5 years after the date on which the board
8-42 becomes aware of the submission of the false information.
8-43 [8.] 10. If any federal statute or regulation precludes the granting of
8-44 federal assistance or reduces the amount of that assistance for a particular
8-45 public work because of the provisions of subsection 2, those provisions do
8-46 not apply insofar as their application would preclude or reduce federal
8-47 assistance for that work. The provisions of subsection 2 do not apply to any
8-48 contract for a public work which is expected to cost less than $250,000.
9-1 [9.] 11. Except as otherwise provided in subsection 2 of NRS
9-2 338.1727, if a bid is submitted by two or more contractors as a joint
9-3 venture or by one of them as a joint venturer, the provisions of subsection 2
9-4 apply only if both or all of the joint venturers separately meet the
9-5 requirements of that subsection.
9-6 [10.] 12. The state contractors’ board shall adopt regulations and may
9-7 assess reasonable fees relating to the certification of contractors for a
9-8 preference in bidding on public works.
9-9 [11.] 13. A person or entity who believes that a contractor wrongfully
9-10 holds a certificate of eligibility to receive a preference in bidding on public
9-11 works may challenge the validity of the certificate by filing a written
9-12 objection with the public body to which the contractor has submitted a bid
9-13 or proposal on a contract for the construction of a public work. A written
9-14 objection authorized pursuant to this subsection must:
9-15 (a) Set forth proof or substantiating evidence to support the belief of the
9-16 person or entity that the contractor wrongfully holds a certificate of
9-17 eligibility to receive a preference in bidding on public works; and
9-18 (b) Be filed with the public body at or after the time at which the
9-19 contractor submitted the bid or proposal to the public body and before the
9-20 time at which the public body awards the contract for which the bid or
9-21 proposal was submitted.
9-22 [12.] 14. If a public body receives a written objection pursuant to
9-23 subsection [11,] 13, the public body shall determine whether the objection
9-24 is accompanied by the proof or substantiating evidence required pursuant
9-25 to paragraph (a) of that subsection. If the public body determines that the
9-26 objection is not accompanied by the required proof or substantiating
9-27 evidence, the public body shall dismiss the objection and may proceed
9-28 immediately to award the contract. If the public body determines that the
9-29 objection is accompanied by the required proof or substantiating evidence,
9-30 the public body shall determine whether the contractor qualifies for the
9-31 certificate pursuant to the provisions of this section and may proceed to
9-32 award the contract accordingly.
9-33 Sec. 9. NRS 338.1389 is hereby amended to read as follows:
9-34 338.1389 1. Except as otherwise provided in NRS 338.1385, a public
9-35 body shall award a contract for a public work to the contractor who
9-36 submits the best bid.
9-37 2. Except as otherwise provided in subsection [8] 10 or limited by
9-38 subsection [9,] 11, for the purposes of this section, a contractor who:
9-39 (a) Has been determined by the public body to be a qualified bidder
9-40 pursuant to NRS 338.1379 or is exempt from meeting such requirements
9-41 pursuant to NRS 338.1373 or 338.1383; and
9-42 (b) At the time he submits his bid, provides to the public body a copy of
9-43 a certificate of eligibility to receive a preference in bidding on public works
9-44 issued to him by the state contractors’ board pursuant to subsection 3[,]
9-45 or 4,
9-46 shall be deemed to have submitted a better bid than a competing contractor
9-47 who has not provided a copy of such a valid certificate of eligibility if the
9-48 amount of his bid is not more than 5 percent higher than the amount bid by
9-49 the competing contractor.
10-1 3. The state contractors’ board shall issue a certificate of eligibility to
10-2 receive a preference in bidding on public works to a general contractor who
10-3 is licensed pursuant to the provisions of chapter 624 of NRS and submits to
10-4 the board an affidavit from a certified public accountant setting forth that
10-5 the general contractor has[:] , while licensed as a general contractor in
10-6 this state:
10-7 (a) Paid [:] directly, on his own behalf:
10-8 (1) The sales and use taxes imposed pursuant to chapters 372, 374
10-9 and 377 of NRS on materials used for construction in this state, including,
10-10 without limitation, construction that is undertaken or carried out on land
10-11 within the boundaries of this state that is managed by the Federal
10-12 Government or is on an Indian reservation or Indian colony, of not less
10-13 than $5,000 for each consecutive 12-month period for 60 months
10-14 immediately preceding the submission of the affidavit from the certified
10-15 public accountant;
10-16 (2) The governmental services tax imposed pursuant to chapter 371
10-17 of NRS on the vehicles used in the operation of his business in this state of
10-18 not less than $5,000 for each consecutive 12-month period for 60 months
10-19 immediately preceding the submission of the affidavit from the certified
10-20 public accountant; or
10-21 (3) Any combination of such sales and use taxes and governmental
10-22 services tax; or
10-23 (b) Acquired, by purchase, inheritance, gift or transfer through a stock
10-24 option plan , [for employees,] all the assets and liabilities of a viable,
10-25 operating construction firm that possesses a:
10-26 (1) License as a general contractor pursuant to the provisions of
10-27 chapter 624 of NRS; and
10-28 (2) Certificate of eligibility to receive a preference in bidding on
10-29 public works.
10-30 4. The state contractors’ board shall issue a certificate of eligibility to
10-31 receive a preference in bidding on public works to a specialty contractor
10-32 who is licensed pursuant to the provisions of chapter 624 of NRS and
10-33 submits to the board an affidavit from a certified public accountant
10-34 setting forth that the specialty contractor has, while licensed as a
10-35 specialty contractor in this state:
10-36 (a) Paid directly, on his own behalf:
10-37 (1) The sales and use taxes pursuant to chapters 372, 374 and 377
10-38 of NRS on materials used for construction in this state, including,
10-39 without limitation, construction that is undertaken or carried out on land
10-40 within the boundaries of this state that is managed by the Federal
10-41 Government or is on an Indian reservation or Indian colony, of not less
10-42 than $5,000 for each consecutive 12-month period for 60 months
10-43 immediately preceding the submission of the affidavit from the certified
10-44 public accountant;
10-45 (2) The governmental services tax imposed pursuant to chapter 371
10-46 of NRS on the vehicles used in the operation of his business in this state
10-47 of not less than $5,000 for each consecutive 12-month period for 60
10-48 months immediately preceding the submission of the affidavit from the
10-49 certified public accountant; or
11-1 (3) Any combination of such sales and use taxes and governmental
11-2 services tax; or
11-3 (b) Acquired, by purchase, inheritance, gift or transfer through a
11-4 stock option plan, all the assets and liabilities of a viable, operating
11-5 construction firm that possesses a:
11-6 (1) License as a specialty contractor pursuant to the provisions of
11-7 chapter 624 of NRS; and
11-8 (2) Certificate of eligibility to receive a preference in bidding on
11-9 public works.
11-10 5. For the purposes of complying with the requirements set forth in
11-11 paragraph (a) of subsection 3[, a general] and paragraph (a) of subsection
11-12 4, a contractor shall be deemed to have paid:
11-13 (a) Sales and use taxes and governmental services taxes that were paid
11-14 in this state by an affiliate or parent company of the contractor, if the
11-15 affiliate or parent company is also a general contractor[;] or specialty
11-16 contractor, as applicable; and
11-17 (b) Sales and use taxes that were paid in this state by a joint venture in
11-18 which the contractor is a participant, in proportion to the amount of interest
11-19 the contractor has in the joint venture.
11-20 [5.] 6. A contractor who has received a certificate of eligibility to
11-21 receive a preference in bidding on public works from the state contractors’
11-22 board pursuant to subsection 3 or 4 shall, at the time for the annual renewal
11-23 of his contractor’s license pursuant to NRS 624.283, submit to the board an
11-24 affidavit from a certified public accountant setting forth that the contractor
11-25 has, during the immediately preceding 12 months, paid the taxes required
11-26 pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4,
11-27 as applicable, to maintain his eligibility to hold such a certificate.
11-28 [6.] 7. A contractor who fails to submit an affidavit to the board
11-29 pursuant to subsection [5] 6 ceases to be eligible to receive a preference in
11-30 bidding on public works unless he reapplies for and receives a certificate of
11-31 eligibility pursuant to subsection 3[.
11-32 7.] or 4, as applicable.
11-33 8. If a contractor holds more than one contractor’s license, he must
11-34 submit a separate application for each license pursuant to which he
11-35 wishes to qualify for a preference in bidding. Upon issuance, the
11-36 certificate of eligibility to receive a preference in bidding on public works
11-37 becomes part of the contractor’s license for which the contractor
11-38 submitted the application.
11-39 9. If a contractor who applies to the state contractors’ board for a
11-40 certificate of eligibility to receive a preference in bidding on public works
11-41 submits false information to the board regarding the required payment of
11-42 taxes, the contractor is not eligible to receive a preference in bidding on
11-43 public works for a period of 5 years after the date on which the board
11-44 becomes aware of the submission of the false information.
11-45 [8.] 10. If any federal statute or regulation precludes the granting of
11-46 federal assistance or reduces the amount of that assistance for a particular
11-47 public work because of the provisions of subsection 2, those provisions do
11-48 not apply insofar as their application would preclude or reduce federal
12-1 assistance for that work. The provisions of subsection 2 do not apply to any
12-2 contract for a public work which is expected to cost less than $250,000.
12-3 [9.] 11. If a bid is submitted by two or more contractors as a joint
12-4 venture or by one of them as a joint venturer, the provisions of subsection 2
12-5 apply only if both or all of the joint venturers separately meet the
12-6 requirements of that subsection.
12-7 [10.] 12. The state contractors’ board shall adopt regulations and may
12-8 assess reasonable fees relating to the certification of contractors for a
12-9 preference in bidding on public works.
12-10 [11.] 13. A person or entity who believes that a contractor wrongfully
12-11 holds a certificate of eligibility to receive a preference in bidding on public
12-12 works may challenge the validity of the certificate by filing a written
12-13 objection with the public body to which the contractor has submitted a bid
12-14 or proposal on a contract for the construction of a public work. A written
12-15 objection authorized pursuant to this subsection must:
12-16 (a) Set forth proof or substantiating evidence to support the belief of the
12-17 person or entity that the contractor wrongfully holds a certificate of
12-18 eligibility to receive a preference in bidding on public works; and
12-19 (b) Be filed with the public body at or after the time at which the
12-20 contractor submitted the bid or proposal to the public body and before the
12-21 time at which the public body awards the contract for which the bid or
12-22 proposal was submitted.
12-23 [12.] 14. If a public body receives a written objection pursuant to
12-24 subsection [11,] 13, the public body shall determine whether the objection
12-25 is accompanied by the proof or substantiating evidence required pursuant
12-26 to paragraph (a) of that subsection. If the public body determines that the
12-27 objection is not accompanied by the required proof or substantiating
12-28 evidence, the public body shall dismiss the objection and may proceed
12-29 immediately to award the contract. If the public body determines that the
12-30 objection is accompanied by the required proof or substantiating evidence,
12-31 the public body shall determine whether the contractor qualifies for the
12-32 certificate pursuant to the provisions of this section and may proceed to
12-33 award the contract accordingly.
12-34 Sec. 10. NRS 338.141 is hereby amended to read as follows:
12-35 338.141 1. Except as otherwise provided in subsection 2, each bid
12-36 submitted to any officer, department, board or commission for the
12-37 construction of any public work or improvement must include:
12-38 (a) The name of each subcontractor who will provide labor or a portion
12-39 of the work or improvement to the contractor for which he will be paid an
12-40 amount exceeding 5 percent of the prime contractor’s total bid. Within 2
12-41 hours after the completion of the opening of the bids, the [general]
12-42 contractors who submitted the three lowest bids must submit a list
12-43 containing the name of each subcontractor who will provide labor or a
12-44 portion of the work or improvement to the contractor for which he will be
12-45 paid an amount exceeding 1 percent of the prime contractor’s total bid or
12-46 $50,000, whichever is greater, and the number of the license issued to the
12-47 subcontractor pursuant to chapter 624 of NRS. If a [general] contractor
12-48 fails to submit such a list within the required time, his bid shall be deemed
12-49 not responsive.
13-1 (b) A description of the portion of the work or improvement which each
13-2 subcontractor named in the bid will complete.
13-3 2. The contractor shall list in his bid pursuant to subsection 1 the name
13-4 of a subcontractor for each portion of the project that will be completed by
13-5 a subcontractor.
13-6 3. A contractor whose bid is accepted shall not substitute any person
13-7 for a subcontractor who is named in the bid, unless:
13-8 (a) The awarding authority objects to the subcontractor, requests in
13-9 writing a change in the subcontractor and pays any increase in costs
13-10 resulting from the change; or
13-11 (b) The substitution is approved by the awarding authority or an
13-12 authorized representative of the awarding authority. The substitution must
13-13 be approved if the awarding authority or authorized representative of the
13-14 awarding authority determines that:
13-15 (1) The named subcontractor, after having a reasonable opportunity,
13-16 fails or refuses to execute a written contract with the contractor which was
13-17 offered to the subcontractor with the same general terms that all other
13-18 subcontractors on the project were offered;
13-19 (2) The named subcontractor files for bankruptcy or becomes
13-20 insolvent; or
13-21 (3) The named subcontractor fails or refuses to perform his
13-22 subcontract within a reasonable time or is unable to furnish a performance
13-23 bond and payment bond pursuant to NRS 339.025.
13-24 4. As used in this section, “general terms” means the terms and
13-25 conditions of a contract that set the basic requirements for a project and
13-26 apply without regard to the particular trade or specialty of a subcontractor,
13-27 but does not include any provision that controls or relates to the specific
13-28 portion of the project that will be completed by a subcontractor, including,
13-29 without limitation, the materials to be used by the subcontractor or other
13-30 details of the work to be performed by the subcontractor.
13-31 Sec. 11. NRS 338.147 is hereby amended to read as follows:
13-32 338.147 1. Except as otherwise provided in NRS 338.143 and
13-33 338.1711 to 338.1727, inclusive, a local government shall award a contract
13-34 for a public work to the contractor who submits the best bid.
13-35 2. Except as otherwise provided in subsection [8] 10 or limited by
13-36 subsection [9,] 11, for the purposes of this section, a contractor who:
13-37 (a) Has been found to be a responsible and responsive contractor by the
13-38 local government; and
13-39 (b) At the time he submits his bid, provides to the local government a
13-40 copy of a certificate of eligibility to receive a preference in bidding on
13-41 public works issued to him by the state contractors’ board pursuant to
13-42 subsection 3[,] or 4,
13-43 shall be deemed to have submitted a better bid than a competing contractor
13-44 who has not provided a copy of such a valid certificate of eligibility if the
13-45 amount of his bid is not more than 5 percent higher than the amount bid by
13-46 the competing contractor.
13-47 3. The state contractors’ board shall issue a certificate of eligibility to
13-48 receive a preference in bidding on public works to a general contractor who
13-49 is licensed pursuant to the provisions of chapter 624 of NRS and submits to
14-1 the board an affidavit from a certified public accountant setting forth that
14-2 the general contractor has[:] , while licensed as a general contractor in
14-3 this state:
14-4 (a) Paid [:] directly, on his own behalf:
14-5 (1) The sales and use taxes imposed pursuant to chapters 372, 374
14-6 and 377 of NRS on materials used for construction in this state, including,
14-7 without limitation, construction that is undertaken or carried out on land
14-8 within the boundaries of this state that is managed by the Federal
14-9 Government or is on an Indian reservation or Indian colony, of not less
14-10 than $5,000 for each consecutive 12-month period for 60 months
14-11 immediately preceding the submission of the affidavit from the certified
14-12 public accountant;
14-13 (2) The governmental services tax imposed pursuant to chapter 371
14-14 of NRS on the vehicles used in the operation of his business in this state of
14-15 not less than $5,000 for each consecutive 12-month period for 60 months
14-16 immediately preceding the submission of the affidavit from the certified
14-17 public accountant; or
14-18 (3) Any combination of such sales and use taxes and governmental
14-19 services tax; or
14-20 (b) Acquired, by purchase, inheritance, gift or transfer through a stock
14-21 option plan , [for employees,] all the assets and liabilities of a viable,
14-22 operating construction firm that possesses a:
14-23 (1) License as a general contractor pursuant to the provisions of
14-24 chapter 624 of NRS; and
14-25 (2) Certificate of eligibility to receive a preference in bidding on
14-26 public works.
14-27 4. The state contractors’ board shall issue a certificate of eligibility to
14-28 receive a preference in bidding on public works to a specialty contractor
14-29 who is licensed pursuant to the provisions of chapter 624 of NRS and
14-30 submits to the board an affidavit from a certified public accountant
14-31 setting forth that the specialty contractor has, while licensed as a
14-32 specialty contractor in this state:
14-33 (a) Paid directly, on his own behalf:
14-34 (1) The sales and use taxes pursuant to chapters 372, 374 and 377
14-35 of NRS on materials used for construction in this state, including,
14-36 without limitation, construction that is undertaken or carried out on land
14-37 within the boundaries of this state that is managed by the Federal
14-38 Government or is on an Indian reservation or Indian colony, of not less
14-39 than $5,000 for each consecutive 12-month period for 60 months
14-40 immediately preceding the submission of the affidavit from the certified
14-41 public accountant;
14-42 (2) The governmental services tax imposed pursuant to chapter 371
14-43 of NRS on the vehicles used in the operation of his business in this state
14-44 of not less than $5,000 for each consecutive 12-month period for 60
14-45 months immediately preceding the submission of the affidavit from the
14-46 certified public accountant; or
14-47 (3) Any combination of such sales and use taxes and governmental
14-48 services tax; or
15-1 (b) Acquired, by purchase, inheritance, gift or transfer through a
15-2 stock option plan, all the assets and liabilities of a viable, operating
15-3 construction firm that possesses a:
15-4 (1) License as a specialty contractor pursuant to the provisions of
15-5 chapter 624 of NRS; and
15-6 (2) Certificate of eligibility to receive a preference in bidding on
15-7 public works.
15-8 5. For the purposes of complying with the requirements set forth in
15-9 paragraph (a) of subsection 3[, a general] and paragraph (a) of subsection
15-10 4, a contractor shall be deemed to have paid:
15-11 (a) Sales and use taxes and governmental services taxes that were paid
15-12 in this state by an affiliate or parent company of the contractor, if the
15-13 affiliate or parent company is also a general contractor[;] or specialty
15-14 contractor, as applicable; and
15-15 (b) Sales and use taxes that were paid in this state by a joint venture in
15-16 which the contractor is a participant, in proportion to the amount of interest
15-17 the contractor has in the joint venture.
15-18 [5.] 6. A contractor who has received a certificate of eligibility to
15-19 receive a preference in bidding on public works from the state contractors’
15-20 board pursuant to subsection 3 or 4 shall, at the time for the annual renewal
15-21 of his contractor’s license pursuant to NRS 624.283, submit to the board an
15-22 affidavit from a certified public accountant setting forth that the contractor
15-23 has, during the immediately preceding 12 months, paid the taxes required
15-24 pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4,
15-25 as applicable, to maintain his eligibility to hold such a certificate.
15-26 [6.] 7. A contractor who fails to submit an affidavit to the board
15-27 pursuant to subsection [5] 6 ceases to be eligible to receive a preference in
15-28 bidding on public works unless he reapplies for and receives a certificate of
15-29 eligibility pursuant to subsection 3[.
15-30 7.] or 4, as applicable.
15-31 8. If a contractor holds more than one contractor’s license, he must
15-32 submit a separate application for each license pursuant to which he
15-33 wishes to qualify for a preference in bidding. Upon issuance, the
15-34 certificate of eligibility to receive a preference in bidding on public works
15-35 becomes part of the contractor’s license for which the contractor
15-36 submitted the application.
15-37 9. If a contractor who applies to the state contractors’ board for a
15-38 certificate of eligibility to receive a preference in bidding on public works
15-39 submits false information to the board regarding the required payment of
15-40 taxes, the contractor is not eligible to receive a preference in bidding on
15-41 public works for a period of 5 years after the date on which the board
15-42 becomes aware of the submission of the false information.
15-43 [8.] 10. If any federal statute or regulation precludes the granting of
15-44 federal assistance or reduces the amount of that assistance for a particular
15-45 public work because of the provisions of subsection 2, those provisions do
15-46 not apply insofar as their application would preclude or reduce federal
15-47 assistance for that work. The provisions of subsection 2 do not apply to any
15-48 contract for a public work which is expected to cost less than $250,000.
16-1 [9.] 11. Except as otherwise provided in subsection 2 of NRS
16-2 338.1727 and subsection 2 of NRS 408.3886 if a bid is submitted by two or
16-3 more contractors as a joint venture or by one of them as a joint venturer,
16-4 the provisions of subsection 2 apply only if both or all of the joint venturers
16-5 separately meet the requirements of that subsection.
16-6 [10.] 12. The state contractors’ board shall adopt regulations and may
16-7 assess reasonable fees relating to the certification of contractors for a
16-8 preference in bidding on public works.
16-9 [11.] 13. A person or entity who believes that a contractor wrongfully
16-10 holds a certificate of eligibility to receive a preference in bidding on public
16-11 works may challenge the validity of the certificate by filing a written
16-12 objection with the public body to which the contractor has submitted a bid
16-13 or proposal on a contract for the completion of a public work. A written
16-14 objection authorized pursuant to this subsection must:
16-15 (a) Set forth proof or substantiating evidence to support the belief of the
16-16 person or entity that the contractor wrongfully holds a certificate of
16-17 eligibility to receive a preference in bidding on public works; and
16-18 (b) Be filed with the public body at or after the time at which the
16-19 contractor submitted the bid or proposal to the public body and before the
16-20 time at which the public body awards the contract for which the bid or
16-21 proposal was submitted.
16-22 [12.] 14. If a public body receives a written objection pursuant to
16-23 subsection [11,] 13, the public body shall determine whether the objection
16-24 is accompanied by the proof or substantiating evidence required pursuant
16-25 to paragraph (a) of that subsection. If the public body determines that the
16-26 objection is not accompanied by the required proof or substantiating
16-27 evidence, the public body shall dismiss the objection and may proceed
16-28 immediately to award the contract. If the public body determines that the
16-29 objection is accompanied by the required proof or substantiating evidence,
16-30 the public body shall determine whether the contractor qualifies for the
16-31 certificate pursuant to the provisions of this section and may proceed to
16-32 award the contract accordingly.
16-33 Sec. 12. NRS 338.147 is hereby amended to read as follows:
16-34 338.147 1. Except as otherwise provided in NRS 338.143, a local
16-35 government shall award a contract for a public work to the contractor who
16-36 submits the best bid.
16-37 2. Except as otherwise provided in subsection [8] 10 or limited by
16-38 subsection [9,] 11, for the purposes of this section, a contractor who:
16-39 (a) Has been found to be a responsible and responsive contractor by the
16-40 local government; and
16-41 (b) At the time he submits his bid, provides to the local government a
16-42 copy of a certificate of eligibility to receive a preference in bidding on
16-43 public works issued to him by the state contractors’ board pursuant to
16-44 subsection 3[,] or 4,
16-45 shall be deemed to have submitted a better bid than a competing contractor
16-46 who has not provided a copy of such a valid certificate of eligibility if the
16-47 amount of his bid is not more than 5 percent higher than the amount bid by
16-48 the competing contractor.
17-1 3. The state contractors’ board shall issue a certificate of eligibility to
17-2 receive a preference in bidding on public works to a general contractor who
17-3 is licensed pursuant to the provisions of chapter 624 of NRS and submits to
17-4 the board an affidavit from a certified public accountant setting forth that
17-5 the general contractor has[:] , while licensed as a general contractor in
17-6 this state:
17-7 (a) Paid [:] directly, on his own behalf:
17-8 (1) The sales and use taxes imposed pursuant to chapters 372, 374
17-9 and 377 of NRS on materials used for construction in this state, including,
17-10 without limitation, construction that is undertaken or carried out on land
17-11 within the boundaries of this state that is managed by the Federal
17-12 Government or is on an Indian reservation or Indian colony, of not less
17-13 than $5,000 for each consecutive 12-month period for 60 months
17-14 immediately preceding the submission of the affidavit from the certified
17-15 public accountant;
17-16 (2) The governmental services tax imposed pursuant to chapter 371
17-17 of NRS on the vehicles used in the operation of his business in this state of
17-18 not less than $5,000 for each consecutive 12-month period for 60 months
17-19 immediately preceding the submission of the affidavit from the certified
17-20 public accountant; or
17-21 (3) Any combination of such sales and use taxes and governmental
17-22 services tax; or
17-23 (b) Acquired, by purchase, inheritance, gift or transfer through a stock
17-24 option plan , [for employees,] all the assets and liabilities of a viable,
17-25 operating construction firm that possesses a:
17-26 (1) License as a general contractor pursuant to the provisions of
17-27 chapter 624 of NRS; and
17-28 (2) Certificate of eligibility to receive a preference in bidding on
17-29 public works.
17-30 4. The state contractors’ board shall issue a certificate of eligibility to
17-31 receive a preference in bidding on public works to a specialty contractor
17-32 who is licensed pursuant to the provisions of chapter 624 of NRS and
17-33 submits to the board an affidavit from a certified public accountant
17-34 setting forth that the specialty contractor has, while licensed as a
17-35 specialty contractor in this state:
17-36 (a) Paid directly, on his own behalf:
17-37 (1) The sales and use taxes pursuant to chapters 372, 374 and 377
17-38 of NRS on materials used for construction in this state, including,
17-39 without limitation, construction that is undertaken or carried out on land
17-40 within the boundaries of this state that is managed by the Federal
17-41 Government or is on an Indian reservation or Indian colony, of not less
17-42 than $5,000 for each consecutive 12-month period for 60 months
17-43 immediately preceding the submission of the affidavit from the certified
17-44 public accountant;
17-45 (2) The governmental services tax imposed pursuant to chapter 371
17-46 of NRS on the vehicles used in the operation of his business in this state
17-47 of not less than $5,000 for each consecutive 12-month period for 60
17-48 months immediately preceding the submission of the affidavit from the
17-49 certified public accountant; or
18-1 (3) Any combination of such sales and use taxes and governmental
18-2 services tax; or
18-3 (b) Acquired, by purchase, inheritance, gift or transfer through a
18-4 stock option plan, all the assets and liabilities of a viable, operating
18-5 construction firm that possesses a:
18-6 (1) License as a specialty contractor pursuant to the provisions of
18-7 chapter 624 of NRS; and
18-8 (2) Certificate of eligibility to receive a preference in bidding on
18-9 public works.
18-10 5. For the purposes of complying with the requirements set forth in
18-11 paragraph (a) of subsection 3[, a general] and paragraph (a) of subsection
18-12 4, a contractor shall be deemed to have paid:
18-13 (a) Sales and use taxes and governmental services taxes that were paid
18-14 in this state by an affiliate or parent company of the contractor, if the
18-15 affiliate or parent company is also a general contractor[;] or specialty
18-16 contractor, as applicable; and
18-17 (b) Sales and use taxes that were paid in this state by a joint venture in
18-18 which the contractor is a participant, in proportion to the amount of interest
18-19 the contractor has in the joint venture.
18-20 [5.] 6. A contractor who has received a certificate of eligibility to
18-21 receive a preference in bidding on public works from the state contractors’
18-22 board pursuant to subsection 3 or 4 shall, at the time for the annual renewal
18-23 of his contractor’s license pursuant to NRS 624.283, submit to the board an
18-24 affidavit from a certified public accountant setting forth that the contractor
18-25 has, during the immediately preceding 12 months, paid the taxes required
18-26 pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4,
18-27 as applicable, to maintain his eligibility to hold such a certificate.
18-28 [6.] 7. A contractor who fails to submit an affidavit to the board
18-29 pursuant to subsection [5] 6 ceases to be eligible to receive a preference in
18-30 bidding on public works unless he reapplies for and receives a certificate of
18-31 eligibility pursuant to subsection 3[.
18-32 7.] or 4, as applicable.
18-33 8. If a contractor holds more than one contractor’s license, he must
18-34 submit a separate application for each license pursuant to which he
18-35 wishes to qualify for a preference in bidding. Upon issuance, the
18-36 certificate of eligibility to receive a preference in bidding on public works
18-37 becomes part of the contractor’s license for which the contractor
18-38 submitted the application.
18-39 9. If a contractor who applies to the state contractors’ board for a
18-40 certificate of eligibility to receive a preference in bidding on public works
18-41 submits false information to the board regarding the required payment of
18-42 taxes, the contractor is not eligible to receive a preference in bidding on
18-43 public works for a period of 5 years after the date on which the board
18-44 becomes aware of the submission of the false information.
18-45 [8.] 10. If any federal statute or regulation precludes the granting of
18-46 federal assistance or reduces the amount of that assistance for a particular
18-47 public work because of the provisions of subsection 2, those provisions do
18-48 not apply insofar as their application would preclude or reduce federal
19-1 assistance for that work. The provisions of subsection 2 do not apply to any
19-2 contract for a public work which is expected to cost less than $250,000.
19-3 [9.] 11. If a bid is submitted by two or more contractors as a joint
19-4 venture or by one of them as a joint venturer, the provisions of subsection 2
19-5 apply only if both or all of the joint venturers separately meet the
19-6 requirements of that subsection.
19-7 [10.] 12. The state contractors’ board shall adopt regulations and may
19-8 assess reasonable fees relating to the certification of contractors for a
19-9 preference in bidding on public works.
19-10 [11.] 13. A person or entity who believes that a contractor wrongfully
19-11 holds a certificate of eligibility to receive a preference in bidding on public
19-12 works may challenge the validity of the certificate by filing a written
19-13 objection with the public body to which the contractor has submitted a bid
19-14 or proposal on a contract for the completion of a public work. A written
19-15 objection authorized pursuant to this subsection must:
19-16 (a) Set forth proof or substantiating evidence to support the belief of the
19-17 person or entity that the contractor wrongfully holds a certificate of
19-18 eligibility to receive a preference in bidding on public works; and
19-19 (b) Be filed with the public body at or after the time at which the
19-20 contractor submitted the bid or proposal to the public body and before the
19-21 time at which the public body awards the contract for which the bid or
19-22 proposal was submitted.
19-23 [12.] 14. If a public body receives a written objection pursuant to
19-24 subsection [11,] 13, the public body shall determine whether the objection
19-25 is accompanied by the proof or substantiating evidence required pursuant
19-26 to paragraph (a) of that subsection. If the public body determines that the
19-27 objection is not accompanied by the required proof or substantiating
19-28 evidence, the public body shall dismiss the objection and may proceed
19-29 immediately to award the contract. If the public body determines that the
19-30 objection is accompanied by the required proof or substantiating evidence,
19-31 the public body shall determine whether the contractor qualifies for the
19-32 certificate pursuant to the provisions of this section and may proceed to
19-33 award the contract accordingly.
19-34 Sec. 13. NRS 338.1711 is hereby amended to read as follows:
19-35 338.1711 1. Except as otherwise provided in this section, a public
19-36 body shall contract with a prime contractor for the construction of a public
19-37 work for which the estimated cost exceeds $100,000.
19-38 2. A public body may contract with a design-build team for the design
19-39 and construction of a public work that is a discrete project if the public
19-40 body determines that:
19-41 (a) The public work is:
19-42 (1) A plant or facility for the treatment and pumping of water or the
19-43 treatment and disposal of wastewater or sewage, the estimated cost of
19-44 which exceeds $100,000,000; or
19-45 (2) Any other type of public work, except a stand-alone underground
19-46 utility project, the estimated cost of which exceeds $30,000,000; and
19-47 (b) Contracting with a design-build team will enable the public body to:
20-1 (1) Design and construct the public work at a cost that is significantly
20-2 lower than the cost that the public body would incur to design and
20-3 construct the public work using a different method;
20-4 (2) Design and construct the public work in a shorter time than would
20-5 be required to design and construct the public work using a different
20-6 method, if exigent circumstances require that the public work be designed
20-7 and constructed within a short time; or
20-8 (3) Ensure that the design and construction of the public work is
20-9 properly coordinated, if the public work is unique, highly technical and
20-10 complex in nature.
20-11 3. In a county whose population is 400,000 or more, a public body that
20-12 is responsible for financing public works may, for its own public works
20-13 and those financed by a different public body, including, without
20-14 limitation, an airport if the airport is owned and operated as a department
20-15 of the public body, contract with a design-build team once in each fiscal
20-16 year for the design and construction of a public work if the public body
20-17 determines that:
20-18 (a) The estimated cost of the public work is at least $5,000,000 but less
20-19 than $30,000,000; and
20-20 (b) Contracting with a design-build team will enable the public body to:
20-21 (1) Design and construct the public work at a cost that is significantly
20-22 lower than the cost that the public body would incur to design and
20-23 construct the public work using a different method;
20-24 (2) Design and construct the public work in a shorter time than would
20-25 be required to design and construct the public work using a different
20-26 method, if exigent circumstances require that the public work be designed
20-27 and constructed within a short time; or
20-28 (3) Ensure that the design and construction of the public work is
20-29 properly coordinated, if the public work is unique, highly technical and
20-30 complex in nature.
20-31 4. Notwithstanding the provisions of subsections 1, 2 and 3, a public
20-32 body may contract with:
20-33 (a) A nonprofit organization for the design and construction of a project
20-34 to restore, enhance or develop wetlands.
20-35 (b) A prime contractor[, specialty contractor] or design-build team with
20-36 respect to a public work if the public body determines that the public work
20-37 is:
20-38 (1) Not part of a larger public work; and
20-39 (2) Limited in scope to:
20-40 (I) Removal of asbestos;
20-41 (II) Replacement of equipment or systems for heating, ventilation
20-42 and air-conditioning;
20-43 (III) Replacement of a roof;
20-44 (IV) Landscaping; or
20-45 (V) Restoration, enhancement or development of wetlands.
20-46 Sec. 14. NRS 338.1715 is hereby amended to read as follows:
20-47 338.1715 1. A public body that is required to contract with a prime
20-48 contractor pursuant to subsection 1 of NRS 338.1711 or elects to contract
20-49 with a [specialty] prime contractor pursuant to subsection 4 of NRS
21-1 338.1711 shall select the prime contractor [or specialty contractor, as
21-2 appropriate,] in accordance with the procedures for bidding that are set
21-3 forth in:
21-4 (a) The provisions of NRS 338.1375 to 338.1389, inclusive[;] and
21-5 sections 2 and 3 of this act; or
21-6 (b) NRS 338.143, 338.145 and 338.147[,] and section 4 of this act, if
21-7 the public body is a local government that elects to award a contract for a
21-8 public work in accordance with paragraph (b) of subsection 1 of NRS
21-9 338.1373.
21-10 2. A public body that contracts with a design-build team pursuant to
21-11 NRS 338.1711 and 338.1713 shall select the design-build team in
21-12 accordance with NRS 338.1721 to 338.1727, inclusive.
21-13 Sec. 14.5. Section 1 of Senate Bill No. 255 of this session is hereby
21-14 amended to read as follows:
21-15 Section 1. NRS 338.010 is hereby amended to read as follows:
21-16 338.010 As used in this chapter:
21-17 1. “Day labor” means all cases where public bodies, their officers,
21-18 agents or employees, hire, supervise and pay the wages thereof
21-19 directly to a workman or workmen employed by them on public
21-20 works by the day and not under a contract in writing.
21-21 2. “Design-build contract” means a contract between a public
21-22 body and a design-build team in which the design-build team agrees
21-23 to design and construct a public work.
21-24 3. “Design-build team” means an entity that consists of:
21-25 (a) At least one person who is licensed as a general engineering
21-26 contractor or a general building contractor pursuant to chapter 624 of
21-27 NRS; and
21-28 (b) For a public work that consists of:
21-29 (1) A building and its site, at least one person who holds a
21-30 certificate of registration to practice architecture pursuant to chapter
21-31 623 of NRS.
21-32 (2) Anything other than a building and its site, at least one
21-33 person who holds a certificate of registration to practice architecture
21-34 pursuant to chapter 623 of NRS or is licensed as a professional
21-35 engineer pursuant to chapter 625 of NRS.
21-36 4. “Design professional” means [a person with a professional
21-37 license or certificate issued pursuant to chapter 623, 623A or 625 of
21-38 NRS.] :
21-39 (a) A person who is licensed as a professional engineer pursuant
21-40 to chapter 625 of NRS;
21-41 (b) A person who is licensed as a professional land surveyor
21-42 pursuant to chapter 625 of NRS;
21-43 (c) A person who holds a certificate of registration to engage in
21-44 the practice of architecture pursuant to chapter 623 of NRS;
21-45 (d) A person who holds a certificate of registration to engage in
21-46 the practice of landscape architecture pursuant to chapter 623A of
21-47 NRS; or
21-48 (e) A business entity that engages in the practice of professional
21-49 engineering, land surveying, architecture or landscape architecture.
22-1 5. “Eligible bidder” means a person who is:
22-2 (a) Found to be a responsible and responsive contractor by a local
22-3 government which requests bids for a public work in accordance with
22-4 paragraph (b) of subsection 1 of NRS 338.1373; or
22-5 (b) Determined by a public body which awarded a contract for a
22-6 public work pursuant to NRS 338.1375 to 338.1389, inclusive, to be
22-7 qualified to bid on that contract pursuant to NRS 338.1379 or was
22-8 exempt from meeting such qualifications pursuant to NRS 338.1383.
22-9 6. “General contractor” means a person who is licensed to
22-10 conduct business in one, or both, of the following branches of the
22-11 contracting business:
22-12 (a) General engineering contracting, as described in subsection 2 of
22-13 NRS 624.215.
22-14 (b) General building contracting, as described in subsection 3 of
22-15 NRS 624.215.
22-16 7. “Local government” means every political subdivision or other
22-17 entity which has the right to levy or receive money from ad valorem
22-18 or other taxes or any mandatory assessments, and includes, without
22-19 limitation, counties, cities, towns, boards, school districts and other
22-20 districts organized pursuant to chapters 244A, 309, 318, 379, 474,
22-21 541, 543 and 555 of NRS, NRS 450.550 to 450.750, inclusive, and
22-22 any agency or department of a county or city which prepares a budget
22-23 separate from that of the parent political subdivision.
22-24 8. “Offense” means failing to:
22-25 (a) Pay the prevailing wage required pursuant to this chapter;
22-26 (b) Pay the contributions for unemployment compensation required
22-27 pursuant to chapter 612 of NRS;
22-28 (c) Provide and secure compensation for employees required
22-29 pursuant to chapters 616A to 617, inclusive, of NRS; or
22-30 (d) Comply with subsection 4 or 5 of NRS 338.070.
22-31 9. “Prime contractor” means a person who:
22-32 (a) Contracts to construct an entire project;
22-33 (b) Coordinates all work performed on the entire project;
22-34 (c) Uses his own work force to perform all or a part of the
22-35 construction, repair or reconstruction of the project; and
22-36 (d) Contracts for the services of any subcontractor or independent
22-37 contractor or is responsible for payment to any contracted
22-38 subcontractors or independent contractors.
22-39 The term includes, without limitation, a general contractor or a
22-40 specialty contractor who is authorized to bid on a project pursuant to
22-41 section 2 or 4 of Senate Bill No. 63 of this [act.]session.
22-42 10. “Public body” means the state, county, city, town, school
22-43 district or any public agency of this state or its political subdivisions
22-44 sponsoring or financing a public work.
22-45 11. “Public work” means any project for the new construction,
22-46 repair or reconstruction of:
22-47 (a) A project financed in whole or in part from public money for:
22-48 (1) Public buildings;
22-49 (2) Jails and prisons;
23-1 (3) Public roads;
23-2 (4) Public highways;
23-3 (5) Public streets and alleys;
23-4 (6) Public utilities which are financed in whole or in part by
23-5 public money;
23-6 (7) Publicly owned water mains and sewers;
23-7 (8) Public parks and playgrounds;
23-8 (9) Public convention facilities which are financed at least in
23-9 part with public funds; and
23-10 (10) All other publicly owned works and property whose cost as
23-11 a whole exceeds $20,000. Each separate unit that is a part of a project
23-12 is included in the cost of the project to determine whether a project
23-13 meets that threshold.
23-14 (b) A building for the University and Community College System
23-15 of Nevada of which 25 percent or more of the costs of the building as
23-16 a whole are paid from money appropriated by this state or from
23-17 federal money.
23-18 12. “Specialty contractor” means a person who is licensed to
23-19 conduct business as described in subsection 4 of NRS 624.215.
23-20 13. “Stand-alone underground utility project” means an
23-21 underground utility project that is not integrated into a larger project,
23-22 including, without limitation:
23-23 (a) An underground sewer line or an underground pipeline for the
23-24 conveyance of water, including facilities appurtenant thereto; and
23-25 (b) A project for the construction or installation of a storm drain,
23-26 including facilities appurtenant thereto,
23-27 that is not located at the site of a public work for the design and
23-28 construction of which a public body is authorized to contract with a
23-29 design-build team pursuant to subsection 2 of NRS 338.1711.
23-30 14. “Wages” means:
23-31 (a) The basic hourly rate of pay; and
23-32 (b) The amount of pension, health and welfare, vacation and
23-33 holiday pay, the cost of apprenticeship training or other similar
23-34 programs or other bona fide fringe benefits which are a benefit to the
23-35 workman.
23-36 15. “Workman” means a skilled mechanic, skilled workman,
23-37 semiskilled mechanic, semiskilled workman or unskilled workman.
23-38 The term does not include a design professional.
23-39 Sec. 15. 1. This section and sections 1 to 4, inclusive, 7, 10, 13 and
23-40 14 of this act become effective on July 1, 2001.
23-41 2. Sections 5, 8 and 11 of this act become effective at 12:01 a.m. on
23-42 July 1, 2001.
23-43 3. Section 14.5 of this act becomes effective at 12:02 a.m. on July 1,
23-44 2001.
23-45 4. Sections 6 and 9 of this act become effective at 12:02 a.m. on
23-46 October 1, 2003.
23-47 5. Section 12 of this act becomes effective at 12:03 a.m. on October 1,
23-48 2003.
24-1 6. Sections 5, 8, 11, 13 and 14 of this act expire by limitation on
24-2 October 1, 2003.
24-3 H