REQUIRES TWO-THIRDS MAJORITY VOTE (§§ 6, 15)         

                                                 (Reprinted with amendments adopted on April 21, 2003)

                                                                                    FIRST REPRINT                                                              A.B. 401

 

Assembly Bill No. 401–Assemblymen Hardy, Grady, Brown, Andonov, Beers, Christensen, Geddes, Gibbons, Goicoechea, Griffin, Gustavson, Hettrick, Mabey, McClain and Weber

 

March 17, 2003

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Allows public body or Department of Transportation to authorize private entity to develop, construct, improve, maintain or operate transportation facility. (BDR 28‑798)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

~

 

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; providing that a public body or the Department of Transportation may authorize a private entity to develop, construct, improve, maintain or operate, or any combination thereof, a transportation facility; providing that certain contracts awarded to a design-build team must comply with the provisions relating to paying a prevailing wage on public works projects; 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

1-2  thereto the provisions set forth as sections 2 to 8, inclusive, of this

1-3  act.

1-4  Sec. 2.  “Transportation facility” means a road, railroad,

1-5  bridge, tunnel, overpass, airport, mass transit facility, parking

1-6  facility for vehicles or similar commercial facility used for the

1-7  support of or the transportation of persons or goods, including,

1-8  without limitation, any other property that is needed to operate the

1-9  facility.


2-1  Sec. 3.  A public body may authorize a person to develop,

2-2  construct, improve, maintain or operate, or any combination

2-3  thereof, a transportation facility pursuant to section 4 or 5 of this

2-4  act.

2-5  Sec. 4.  1.  A person may submit a request to a public body to

2-6  develop, construct, improve, maintain or operate, or any

2-7  combination thereof, a transportation facility.

2-8  2.  The request must be accompanied by the following

2-9  information, unless waived by the public body:

2-10      (a) A topographic map indicating the location of the

2-11  transportation facility.

2-12      (b) A description of the transportation facility, including,

2-13  without limitation, the conceptual design of the facility and all

2-14  proposed interconnections with other transportation facilities.

2-15      (c) The projected total cost of the transportation facility over

2-16  its life and the proposed date for development of, commencement

2-17  of the construction of, or improvements to the transportation

2-18  facility.

2-19      (d) A statement setting forth the method by which the operator

2-20  of the transportation facility proposes to secure all property

2-21  interests required for the transportation facility. The statement

2-22  must include, without limitation:

2-23          (1) The names and addresses, if known, of the current

2-24  owners of any property needed for the transportation facility;

2-25          (2) The nature of the property interests to be acquired; and

2-26          (3) Any property that the person submitting the request

2-27  proposes that the public body condemn.

2-28      (e) Information relating to the current transportation plans, if

2-29  any, of any governmental entity in the jurisdiction of which any

2-30  portion of the transportation facility is located.

2-31      (f) A list of all permits and approvals required for the

2-32  development or construction of or improvement to the

2-33  transportation facility from local, state or federal agencies and a

2-34  projected schedule for obtaining those permits and approvals.

2-35      (g) A list of the facilities of any utility or existing

2-36  transportation facility that will be crossed by the transportation

2-37  facility and a statement of the plans of the operator to

2-38  accommodate such crossings.

2-39      (h) A statement setting forth the general plans of the person

2-40  submitting the request for financing and operating the

2-41  transportation facility, which must include, without limitation:

2-42          (1) A plan for the development, financing and operation of

2-43  the transportation facility, including, without limitation, an

2-44  indication of the proposed sources of money for the development

2-45  and operation of the transportation facility, the anticipated use of


3-1  such money and the anticipated schedule for the receipt of such

3-2  money;

3-3       (2) A list of any assumptions made by the person about the

3-4  anticipated use of the transportation facility, including, without

3-5  limitation, the fees that will be charged for the use of the

3-6  transportation facility, and a discussion of those assumptions;

3-7       (3) The identification of any risk factors identified by the

3-8  person that are associated with developing, constructing or

3-9  improving the transportation facility and the plan for addressing

3-10  those risk factors; and

3-11          (4) The identification of any local, state or federal

3-12  resources that the person anticipates requesting for development

3-13  and operation of the transportation facility, including, without

3-14  limitation, an anticipated schedule for the receipt of those

3-15  resources.

3-16      (i) The names and addresses of the persons who may be

3-17  contacted for further information concerning the request.

3-18      (j) Any additional material and information that the public

3-19  body may request.

3-20      Sec. 5.  If a public body receives a request regarding a

3-21  transportation facility pursuant to section 4 of this act and the

3-22  public body determines that the transportation facility serves a

3-23  public purpose, the public body may request other persons to

3-24  submit proposals to develop, construct, improve, maintain or

3-25  operate, or any combination thereof, the transportation facility.

3-26      Sec. 6.  1.  A public body may approve a request or proposal

3-27  submitted pursuant to section 4 or 5 of this act if the public body

3-28  determines that the transportation facility serves a public purpose.

3-29  In determining whether the transportation facility serves a public

3-30  purpose, the public body shall consider whether:

3-31      (a) There is a public need for the type of transportation facility

3-32  that is proposed;

3-33      (b) The proposed interconnections between the transportation

3-34  facility and existing transportation facilities and the plans of

3-35  the person submitting the request for the operation of the

3-36  transportation facility are reasonable and compatible with any

3-37  statewide or regional program for the improvement of

3-38  transportation and with the transportation plans of any other

3-39  governmental entity in the jurisdiction of which any portion of the

3-40  transportation facility will be located;

3-41      (c) The estimated cost of the transportation facility is

3-42  reasonable in relation to similar transportation facilities;

3-43      (d) The plans of the person submitting the request will result

3-44  in the timely development or construction of, or improvement to

3-45  the transportation facility or its more efficient operation; and


4-1  (e) The long-term quality of the transportation facility will

4-2  meet a level of performance over a sufficient duration of time to

4-3  provide value to the public.

4-4  2.  In evaluating a request or proposal submitted pursuant to

4-5  section 4 or 5 of this act, the public body may rely on internal staff

4-6  reports prepared by personnel of the public body who are familiar

4-7  with the operation of similar transportation facilities or the advice

4-8  of outside advisors or consultants with relevant experience.

4-9  3.  The public body may request that a person who submitted a

4-10  request or proposal pursuant to section 4 or 5 of this act furnish a

4-11  copy of the request or proposal to each governmental entity that

4-12  has jurisdiction over an area in which any part of the

4-13  transportation facility is located. Within 30 days after receipt of

4-14  such a request or proposal, the governmental entity shall submit in

4-15  writing to the public body any comments it has concerning the

4-16  transportation facility and shall indicate whether the

4-17  transportation facility is compatible with any local, regional or

4-18  statewide transportation plan or program that is applicable to the

4-19  governmental entity.

4-20      4.  A public body may charge a reasonable fee to cover the

4-21  costs of processing, reviewing and evaluating a request or

4-22  proposal submitted pursuant to section 4 or 5 of this act,

4-23  including, without limitation, reasonable fees for the services of

4-24  an attorney or a financial or other consultant or advisor.

4-25      5.  The approval of a request or proposal by the public body is

4-26  contingent on the person who submitted the request or proposal

4-27  entering into an agreement with the public body. In such an

4-28  agreement, the public body shall include criteria that address the

4-29  long-term quality of the transportation facility.

4-30      6.  In connection with the approval of a transportation

4-31  facility, the public body shall establish a date for the development

4-32  of, commencement of the construction of, or improvements to the

4-33  transportation facility. The public body may extend the date from

4-34  time to time.

4-35      Sec. 7.  A public body may contract with a person whose

4-36  request or proposal is approved pursuant to section 6 of this act

4-37  for transportation services to be provided by the transportation

4-38  facility in exchange for such payments for service and other

4-39  consideration as the public body may deem appropriate.

4-40      Sec. 8.  The public body may take any action necessary to

4-41  obtain federal, state or local assistance for a transportation facility

4-42  that it approves and may enter into any contracts required to

4-43  receive such assistance. The public body may determine if it serves

4-44  the public purpose for all or a portion of the costs of the

4-45  transportation facility to be paid, directly or indirectly, from the


5-1  proceeds of a grant or loan made by the local, state or Federal

5-2  Government or any agency or instrumentality thereof.

5-3  Sec. 9.  NRS 338.1711 is hereby amended to read as follows:

5-4  338.1711  1.  Except as otherwise provided in this section[,]

5-5  and sections 2 to 8, inclusive, of this act, a public body shall

5-6  contract with a prime contractor for the construction of a public

5-7  work for which the estimated cost exceeds $100,000.

5-8  2.  A public body may contract with a design-build team for the

5-9  design and construction of a public work that is a discrete project if

5-10  the public body determines that:

5-11      (a) The public work is:

5-12          (1) A plant or facility for the treatment and pumping of water

5-13  or the treatment and disposal of wastewater or sewage, the estimated

5-14  cost of which exceeds $100,000,000; or

5-15          (2) Any other type of public work, except a stand-alone

5-16  underground utility project, the estimated cost of which exceeds

5-17  [$30,000,000;] $20,000,000; and

5-18      (b) Contracting with a design-build team will enable the public

5-19  body to:

5-20          (1) Design and construct the public work at a cost that is

5-21  significantly lower than the cost that the public body would incur to

5-22  design and construct the public work using a different method;

5-23          (2) Design and construct the public work in a shorter time

5-24  than would be required to design and construct the public work

5-25  using a different method, if exigent circumstances require that the

5-26  public work be designed and constructed within a short time; or

5-27          (3) Ensure that the design and construction of the public

5-28  work is properly coordinated, if the public work is unique, highly

5-29  technical and complex in nature.

5-30      3.  [Each] Except as otherwise provided in subsection 4, each

5-31  state agency and each department, division, board, unit or agency

5-32  of a local government may contract with a design-build team [once

5-33  in each fiscal year] for the design and construction of a public work

5-34  if the governing body of the entity that is responsible for financing

5-35  the public work determines that:

5-36      (a) The estimated cost of the public work is:

5-37          (1) At least $250,000 but less than [$30,000,000]

5-38  $20,000,000 if the public work is the construction of a park and

5-39  appurtenances thereto, the rehabilitation or remodeling of a public

5-40  building, or the construction of an addition to a public building;

5-41          (2) At least $500,000 but less than [$30,000,000]

5-42  $20,000,000 if the public work is the construction of a new public

5-43  building;

5-44          (3) At least $5,000,000 but less than $100,000,000 if the

5-45  public work is the construction, alteration or repair of a plant or


6-1  facility for the treatment and pumping of water or the treatment and

6-2  disposal of wastewater or sewage; or

6-3       (4) At least [$5,000,000] $2,500,000 but less than

6-4  [$30,000,000] $20,000,000 if the public work is the construction,

6-5  alteration or repair of any other fixed works as described in

6-6  subsection 2 of NRS 624.215; and

6-7  (b) Contracting with a design-build team will enable the public

6-8  body to:

6-9       (1) Design and construct the public work at a cost that is

6-10  significantly lower than the cost that the public body would incur to

6-11  design and construct the public work using a different method;

6-12          (2) Design and construct the public work in a shorter time

6-13  than would be required to design and construct the public work

6-14  using a different method, if exigent circumstances require that the

6-15  public work be designed and constructed within a short time; or

6-16          (3) Ensure that the design and construction of the public

6-17  work is properly coordinated, if the public work is unique, highly

6-18  technical and complex in nature.

6-19      4.  Each state agency and each department, division, board,

6-20  unit or agency of a local government may contract with a design-

6-21  build team once during each fiscal year for the design and

6-22  construction of a public work subject to the provisions of

6-23  subparagraph (4) or paragraph (a) of subsection 3.

6-24      5.  Notwithstanding the provisions of subsections 1 [, 2 and 3,]

6-25  to 4, inclusive, a public body may contract with:

6-26      (a) A nonprofit organization for the design and construction of a

6-27  project to restore, enhance or develop wetlands.

6-28      (b) A prime contractor or design-build team with respect to a

6-29  public work if the public body determines that the public work is:

6-30          (1) Not part of a larger public work; and

6-31          (2) Limited in scope to:

6-32              (I) Removal of asbestos;

6-33              (II) Replacement of equipment or systems for heating,

6-34  ventilation and air-conditioning;

6-35              (III) Replacement of a roof;

6-36              (IV) Landscaping; or

6-37              (V) Restoration, enhancement or development of

6-38  wetlands.

6-39      [5.] 6. As used in this section, “state agency” includes an

6-40  agency, bureau, board, commission, department, division or any

6-41  other unit of the Legislative Department, Judicial Department or

6-42  Executive Department of State Government or the University and

6-43  Community College System of Nevada.

 

 


7-1  Sec. 9.5.  NRS 338.1727 is hereby amended to read as follows:

7-2  338.1727 1.  After selecting the finalists pursuant to NRS

7-3  338.1725, the public body shall provide to each finalist a request for

7-4  final proposals for the public work. The request for final proposals

7-5  must:

7-6  (a) Set forth the factors that the public body will use to select a

7-7  design-build team to design and construct the public work, including

7-8  the relative weight to be assigned to each factor; and

7-9  (b) Set forth the date by which final proposals must be

7-10  submitted to the public body.

7-11      2.  Except as otherwise provided in this subsection, in assigning

7-12  the relative weight to each factor for selecting a design-build team

7-13  pursuant to subsection 1, the public body shall assign, without

7-14  limitation, a relative weight of 5 percent to the possession of a

7-15  certificate of eligibility to receive a preference in bidding on public

7-16  works and a relative weight of at least 30 percent to the proposed

7-17  cost of design and construction of the public work. If any federal

7-18  statute or regulation precludes the granting of federal assistance or

7-19  reduces the amount of that assistance for a particular public work

7-20  because of the provisions of this subsection relating to preference in

7-21  bidding on public works, those provisions of this subsection do not

7-22  apply insofar as their application would preclude or reduce federal

7-23  assistance for that public work.

7-24      3.  A final proposal submitted by a design-build team pursuant

7-25  to this section must be prepared thoroughly, be responsive to the

7-26  criteria that the public body will use to select a design-build team to

7-27  design and construct the public work described in subsection 1 and

7-28  comply with the provisions of NRS 338.141.

7-29      4.  After receiving the final proposals for the public work, the

7-30  public body shall:

7-31      (a) Select the most cost-effective and responsive final proposal,

7-32  using the criteria set forth pursuant to subsections 1 and 2; or

7-33      (b) Reject all the final proposals.

7-34      5.  If a public body selects a final proposal pursuant to

7-35  paragraph (a) of subsection 4, the public body shall, at its next

7-36  regularly scheduled meeting:

7-37      (a) Review and ratify the selection.

7-38      (b) Award the design-build contract to the design-build team

7-39  whose proposal is selected.

7-40      (c) Partially reimburse the unsuccessful finalists if partial

7-41  reimbursement was provided for in the request for preliminary

7-42  proposals pursuant to paragraph (f) of subsection 3 of NRS

7-43  338.1723. The amount of reimbursement must not exceed, for each

7-44  unsuccessful finalist, 3 percent of the total amount to be paid to the

7-45  design-build team as set forth in the design-build contract.


8-1  (d) Make available to the public a summary setting forth the

8-2  factors used by the public body to select the successful design-build

8-3  team and the ranking of the design-build teams who submitted final

8-4  proposals. The public body shall not release to a third party, or

8-5  otherwise make public, financial or proprietary information

8-6  submitted by a design-build team.

8-7  6.  A contract awarded pursuant to this section:

8-8  (a) Must comply with the provisions of NRS 338.020 to

8-9  338.090, inclusive;

8-10      (b) Must specify:

8-11          (1) An amount that is the maximum amount that the public

8-12  body will pay for the performance of all the work required by the

8-13  contract, excluding any amount related to costs that may be incurred

8-14  as a result of unexpected conditions or occurrences as authorized by

8-15  the contract;

8-16          (2) An amount that is the maximum amount that the public

8-17  body will pay for the performance of the professional services

8-18  required by the contract; and

8-19          (3) A date by which performance of the work required by the

8-20  contract must be completed.

8-21      [(b)] (c) May set forth the terms by which the design-build team

8-22  agrees to name the public body, at the cost of the public body, as an

8-23  additional insured in an insurance policy held by the design-build

8-24  team.

8-25      [(c)] (d) Except as otherwise provided in paragraph [(d),] (e),

8-26  must not require the design professional to defend, indemnify or

8-27  hold harmless the public body or the employees, officers or agents

8-28  of that public body from any liability, damage, loss, claim, action or

8-29  proceeding caused by the negligence, errors, omissions, recklessness

8-30  or intentional misconduct of the employees, officers and agents of

8-31  the public body.

8-32      [(d)] (e) May require the design-build team to defend, indemnify

8-33  and hold harmless the public body, and the employees, officers and

8-34  agents of the public body from any liabilities, damages, losses,

8-35  claims, actions or proceedings, including, without limitation,

8-36  reasonable attorneys’ fees, that are caused by the negligence, errors,

8-37  omissions, recklessness or intentional misconduct of the design-

8-38  build team or the employees or agents of the design-build team in

8-39  the performance of the contract.

8-40      7.  Any provision of a contract that is in violation of paragraph

8-41  [(c)] (d) of subsection 6 is declared to be contrary to the public

8-42  policy of this state and is void.

8-43      8.  A design-build team to whom a contract is awarded pursuant

8-44  to this section shall:


9-1  (a) Assume overall responsibility for ensuring that the design

9-2  and construction of the public work is completed in a satisfactory

9-3  manner; and

9-4  (b) Use the workforce of the prime contractor on the design-

9-5  build team to construct at least 15 percent of the public work.

9-6  Sec. 10.  Chapter 408 of NRS is hereby amended by adding

9-7  thereto the provisions set forth as sections 11 to 17, inclusive, of this

9-8  act.

9-9  Sec. 11.  “Transportation facility” means a road, railroad,

9-10  bridge, tunnel, overpass, airport, mass transit facility, parking

9-11  facility for vehicles or similar commercial facility used for the

9-12  support of or the transportation of persons or goods, including,

9-13  without limitation, any other property that is needed to operate the

9-14  facility.

9-15      Sec. 12.  The Department may authorize a person to develop,

9-16  construct, improve, maintain or operate, or any combination

9-17  thereof, a transportation facility pursuant to section 13 or 14 of

9-18  this act.

9-19      Sec. 13.  1.  A person may submit a request to the

9-20  Department to develop, construct, improve, maintain or operate, or

9-21  any combination thereof, a transportation facility.

9-22      2.  The request must be accompanied by the following

9-23  information, unless waived by the Department:

9-24      (a) A topographic map indicating the location of the

9-25  transportation facility.

9-26      (b) A description of the transportation facility, including,

9-27  without limitation, the conceptual design of the facility and all

9-28  proposed interconnections with other transportation facilities.

9-29      (c) The projected total cost of the transportation facility over

9-30  its life and the proposed date for development of, commencement

9-31  of the construction of, or improvements to the transportation

9-32  facility.

9-33      (d) A statement setting forth the method by which the operator

9-34  of the transportation facility proposes to secure all property

9-35  interests required for the transportation facility. The statement

9-36  must include, without limitation:

9-37          (1) The names and addresses, if known, of the current

9-38  owners of any property needed for the transportation facility;

9-39          (2) The nature of the property interests to be acquired; and

9-40          (3) Any property that the person submitting the request

9-41  proposes that the Department condemn.

9-42      (e) Information relating to the current transportation plans, if

9-43  any, of any governmental entity in the jurisdiction of which any

9-44  portion of the transportation facility is located.


10-1      (f) A list of all permits and approvals required for the

10-2  development or construction of or improvement to the

10-3  transportation facility from local, state or federal agencies and a

10-4  projected schedule for obtaining those permits and approvals.

10-5      (g) A list of the facilities of any utility or existing

10-6  transportation facility that will be crossed by the transportation

10-7  facility and a statement of the plans of the operator to

10-8  accommodate such crossings.

10-9      (h) A statement setting forth the general plans of the person

10-10  submitting the request for financing and operating the

10-11  transportation facility, which must include, without limitation:

10-12         (1) A plan for the development, financing and operation of

10-13  the transportation facility, including, without limitation, an

10-14  indication of the proposed sources of money for the development

10-15  and operation of the transportation facility, the anticipated use of

10-16  such money and the anticipated schedule for the receipt of such

10-17  money;

10-18         (2) A list of any assumptions made by the person about the

10-19  anticipated use of the transportation facility, including, without

10-20  limitation, the fees that will be charged for the use of the

10-21  transportation facility, and a discussion of those assumptions;

10-22         (3) The identification of any risk factors identified by the

10-23  person submitting the request that are associated with developing,

10-24  constructing or improving the transportation facility and the plan

10-25  for addressing those risk factors; and

10-26         (4) The identification of any local, state or federal

10-27  resources that the person anticipates requesting for development

10-28  and operation of the transportation facility, including, without

10-29  limitation, an anticipated schedule for the receipt of those

10-30  resources.

10-31     (i) The names and addresses of the persons who may be

10-32  contacted for further information concerning the request.

10-33     (j) Any additional material and information that the

10-34  Department may request.

10-35     Sec. 14.  1.  If the Department receives a request regarding a

10-36  transportation facility pursuant to section 13 of this act and the

10-37  Department determines pursuant to the provisions of subsection 1

10-38  of section 15 of this act that the transportation facility serves a

10-39  public purpose, the Department may request other persons to

10-40  submit proposals to develop, construct, improve, maintain or

10-41  operate, or any combination thereof, the transportation facility.

10-42     2.  The Department shall adopt regulations establishing:

10-43     (a) The procedures for requesting other persons to submit

10-44  proposals to the Department; and


11-1      (b) The procedures for other persons to submit proposals to the

11-2  Department.

11-3      Sec. 15.  1.  The Department may approve a request or

11-4  proposal submitted pursuant to section 13 or 14 of this act if the

11-5  Department determines that the transportation facility serves a

11-6  public purpose. In determining whether the transportation facility

11-7  serves a public purpose, the Department shall consider whether:

11-8      (a) There is a public need for the type of transportation facility

11-9  that is proposed;

11-10     (b) The proposed interconnections between the transportation

11-11  facility and existing transportation facilities and the plans of

11-12  the person submitting the request for the operation of the

11-13  transportation facility are reasonable and compatible with any

11-14  statewide or regional program for the improvement of

11-15  transportation and with the transportation plans of any other

11-16  governmental entity in the jurisdiction of which any portion of the

11-17  transportation facility will be located;

11-18     (c) The estimated cost of the transportation facility is

11-19  reasonable in relation to similar transportation facilities;

11-20     (d) The plans of the person submitting the request will result

11-21  in the timely development or construction of, or improvement to

11-22  the transportation facility or its more efficient operation; and

11-23     (e) The long-term quality of the transportation facility will

11-24  meet a level of performance over a sufficient duration of time to

11-25  provide real value to the public.

11-26     2.  In evaluating a request or proposal submitted pursuant to

11-27  section 13 or 14 of this act, the Department may rely on internal

11-28  staff reports prepared by personnel of the Department who are

11-29  familiar with the operation of similar transportation facilities or

11-30  the advice of outside advisors or consultants with relevant

11-31  experience.

11-32     3.  The Department may request that a person who submitted

11-33  a request or proposal pursuant to section 13 or 14 of this act

11-34  furnish a copy of the request or proposal to each governmental

11-35  entity that has jurisdiction over an area in which any part of the

11-36  transportation facility is located. Within 30 days after receipt of

11-37  such a request or proposal, the governmental entity shall submit in

11-38  writing to the Department any comments it has concerning the

11-39  transportation facility and shall indicate whether the

11-40  transportation facility is compatible with any local, regional or

11-41  statewide transportation plan or program that is applicable to the

11-42  governmental entity.

11-43     4.  The Department may charge a reasonable fee to cover the

11-44  costs of processing, reviewing and evaluating a request or

11-45  proposal submitted pursuant to section 13 or 14 of this act,


12-1  including, without limitation, reasonable fees for the services of

12-2  an attorney or a financial or other consultant or advisor.

12-3      5.  The approval of a request or proposal by the Department is

12-4  contingent on the person who submitted the request or proposal

12-5  entering into an agreement with the Department. In such an

12-6  agreement, the Department shall include criteria that address the

12-7  long-term quality of the transportation facility.

12-8      6.  In connection with the approval of a transportation

12-9  facility, the Department shall establish a date for the development

12-10  of, commencement of the construction of, or improvements to, the

12-11  transportation facility. The Department may extend the date from

12-12  time to time.

12-13     Sec. 16.  The Department may contract with a person whose

12-14  request or proposal is approved pursuant to section 15 of this act

12-15  for transportation services to be provided by the transportation

12-16  facility in exchange for such payments for service and other

12-17  consideration as the Department may deem appropriate.

12-18     Sec. 17.  The Department may take any action necessary to

12-19  obtain federal, state or local assistance for a transportation facility

12-20  that it approves and may enter into any contracts required to

12-21  receive such assistance. The Department may determine if it serves

12-22  the public purpose for all or a portion of the costs of the

12-23  transportation facility to be paid, directly or indirectly, from the

12-24  proceeds of a grant or loan made by the local, state or Federal

12-25  Government or any agency or instrumentality thereof.

12-26     Sec. 18.  NRS 408.388 is hereby amended to read as follows:

12-27     408.388  1.  [The] Except as otherwise provided in sections

12-28  11 to 17, inclusive, of this act, the Department may contract with a

12-29  design-build team for the design and construction of a project if the

12-30  Department determines that:

12-31     (a) Except as otherwise provided in subsection 2, the estimated

12-32  cost of the project exceeds [$30,000,000;] $20,000,000; and

12-33     (b) Contracting with a design-build team will enable the

12-34  Department to:

12-35         (1) Design and construct the project at a cost that is

12-36  significantly lower than the cost that the Department would incur to

12-37  design and construct the project using a different method;

12-38         (2) Design and construct the project in a shorter time than

12-39  would be required to complete the project using a different method,

12-40  if exigent circumstances require that the project be designed and

12-41  constructed within a short time; or

12-42         (3) Ensure that the design and construction of the project is

12-43  properly coordinated, if the project is unique, highly technical and

12-44  complex in nature.


13-1      2.  Notwithstanding the provisions of subsection 1, the

13-2  Department may, once in each fiscal year, contract with a design-

13-3  build team for the design and construction of a project the estimated

13-4  cost of which is at least [$5,000,000] $2,500,000 but less than

13-5  [$30,000,000] $20,000,000 if the Department makes the

13-6  determinations otherwise required pursuant to paragraph (b) of

13-7  subsection 1.

13-8      Sec. 18.5.  NRS 408.3886 is hereby amended to read as

13-9  follows:

13-10     408.3886  1.  After selecting the finalists pursuant to NRS

13-11  408.3885, the Department shall provide to each finalist a request for

13-12  final proposals for the project. The request for final proposals must:

13-13     (a) Set forth the factors that the Department will use to select a

13-14  design-build team to design and construct the project, including the

13-15  relative weight to be assigned to each factor; and

13-16     (b) Set forth the date by which final proposals must be

13-17  submitted to the Department.

13-18     2.  Except as otherwise provided in this subsection, in assigning

13-19  the relative weight to each factor for selecting a design-build team

13-20  pursuant to subsection 1, the Department shall assign, without

13-21  limitation, a relative weight of 5 percent to the possession of a

13-22  certificate of eligibility to receive a preference in bidding on public

13-23  works and a relative weight of at least 30 percent for the proposed

13-24  cost of design and construction of the project. If any federal statute

13-25  or regulation precludes the granting of federal assistance or reduces

13-26  the amount of that assistance for a particular project because of the

13-27  provisions of this subsection relating to preference in bidding on

13-28  public works, those provisions of this subsection do not apply

13-29  insofar as their application would preclude or reduce federal

13-30  assistance for that project.

13-31     3.  A final proposal submitted by a design-build team pursuant

13-32  to this section must be prepared thoroughly, be responsive to the

13-33  criteria that the Department will use to select a design-build team to

13-34  design and construct the project described in subsection 1 and

13-35  comply with the provisions of NRS 338.141.

13-36     4.  After receiving the final proposals for the project, the

13-37  Department shall:

13-38     (a) Select the most cost-effective and responsive final proposal,

13-39  using the criteria set forth pursuant to subsections 1 and 2; or

13-40     (b) Reject all the final proposals.

13-41     5.  If the Department selects a final proposal pursuant to

13-42  paragraph (a) of subsection 4, the Department shall hold a public

13-43  meeting to:

13-44     (a) Review and ratify the selection.


14-1      (b) Award the design-build contract to the design-build team

14-2  whose proposal is selected.

14-3      (c) Partially reimburse the unsuccessful finalists if partial

14-4  reimbursement was provided for in the request for preliminary

14-5  proposals pursuant to paragraph (f) of subsection 3 of NRS

14-6  408.3883. The amount of reimbursement must not exceed, for each

14-7  unsuccessful finalist, three percent of the total amount to be paid to

14-8  the design-build team as set forth in the design-build contract.

14-9      (d) Make available to the public a summary setting forth the

14-10  factors used by the Department to select the successful design-build

14-11  team and the ranking of the design-build teams who submitted final

14-12  proposals. The Department shall not release to a third party, or

14-13  otherwise make public, financial or proprietary information

14-14  submitted by a design-build team.

14-15     6.  A contract awarded pursuant to this section [must specify:] :

14-16     (a) Must comply with the provisions of NRS 338.020 to

14-17  338.090, inclusive; and

14-18     (b) Must specify:

14-19         (1) An amount that is the maximum amount that the

14-20  Department will pay for the performance of all the work required by

14-21  the contract, excluding any amount related to costs that may be

14-22  incurred as a result of unexpected conditions or occurrences as

14-23  authorized by the contract;

14-24     [(b)]    (2) An amount that is the maximum amount that the

14-25  Department will pay for the performance of the professional

14-26  services required by the contract; and

14-27     [(c)]    (3) A date by which performance of the work required by

14-28  the contract must be completed.

14-29     7.  A design-build team to whom a contract is awarded pursuant

14-30  to this section shall:

14-31     (a) Assume overall responsibility for ensuring that the design

14-32  and construction of the project is completed in a satisfactory

14-33  manner; and

14-34     (b) Use the workforce of the prime contractor on the design-

14-35  build team to construct at least 15 percent of the project.

14-36     Sec. 19.  This act becomes effective on July 1, 2003.

 

14-37  H