Assembly Bill No. 534–Committee on
Commerce and Labor

 

(On Behalf of the Public Works Board)

 

March 24, 2003

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Makes various changes concerning State Public Works Board. (BDR 28‑556)

 

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.

 

AN ACT relating to public works; authorizing the Manager of the State Public Works Board or his designated representative to issue orders to compel the cessation of work on state public works under certain circumstances; providing for an appeal of such an order; requiring the Manager to serve as the Building Official for all buildings and structures on state property; revising the provisions governing change orders; providing requirements for the administration of money for capital improvement projects; providing a civil and criminal penalty; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

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

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

1-3  Sec. 2.  “Board” means the State Public Works Board.

1-4  Sec. 3.  “Manager” means the Manager appointed pursuant

1-5  to NRS 341.100.

1-6  Sec. 4.  1.  When acting in the capacity of Building Official

1-7  pursuant to paragraph (h) of subsection 5 of NRS 341.100, the

1-8  Manager or his designated representative may issue an order to

2-1  compel the cessation of work on all or any portion of a building or

2-2  structure based on health or safety reasons or for violations of

2-3  applicable building codes or other laws or regulations.

2-4  2.  If a person receives an order issued pursuant to subsection

2-5  1, the person shall immediately cease work on the building or

2-6  structure or portion thereof.

2-7  3.  Any person who willfully refuses to comply with an order

2-8  issued pursuant to subsection 1 or who willfully encourages

2-9  another person to refuse to comply or assists another person in

2-10  refusing to comply with such an order is guilty of a gross

2-11  misdemeanor and shall be punished as provided in NRS 193.140.

2-12  Any penalties collected pursuant to this subsection must be

2-13  deposited with the State Treasurer for credit to the State General

2-14  Fund.

2-15      4.  In addition to the criminal penalty set forth in subsection

2-16  3, the Manager may impose an administrative penalty of not more

2-17  than $10,000 per day for each day that a person violates

2-18  subsection 3.

2-19      5.  If a person wishes to contest an order issued to him

2-20  pursuant to subsection 1, the person may bring an action in

2-21  district court. The court shall give such a proceeding priority over

2-22  other civil matters that are not expressly given priority by law. An

2-23  action brought pursuant to this subsection does not stay

2-24  enforcement of the order unless the district court orders otherwise.

2-25      6.  If a person refuses to comply with an order issued

2-26  pursuant to subsection 1, the Manager may bring an action in the

2-27  name of the State of Nevada in district court to compel compliance

2-28  and to collect any administrative penalties imposed pursuant to

2-29  subsection 4. The court shall give such a proceeding priority over

2-30  other civil matters that are not expressly given priority by law. Any

2-31  attorney’s fees and costs awarded by the court in favor of the State

2-32  and any penalties collected in the action must be deposited with

2-33  the State Treasurer for credit to the State General Fund.

2-34      7.  No right of action exists in favor of any person by reason

2-35  of any action or failure to act on the part of the Board, the

2-36  Manager or any officers, employees or agents of the Board in

2-37  carrying out the provisions of this section.

2-38      8.  As used in this section, “person” includes a government

2-39  and a governmental subdivision, agency or instrumentality.

2-40      Sec. 5.  NRS 341.010 is hereby amended to read as follows:

2-41      341.010  As used in this chapter, unless the context otherwise

2-42  requires, [“Board” means the State Public Works Board.] the words

2-43  and terms defined in sections 2 and 3 of this act have the

2-44  meanings ascribed to them in those sections.

 

3-1  Sec. 6.  NRS 341.100 is hereby amended to read as follows:

3-2  341.100  1.  The Board may appoint a Manager who serves at

3-3  the pleasure of the Board and the Governor. The Board or the

3-4  Governor may remove the Manager for inefficiency, neglect of duty,

3-5  malfeasance or for other just cause.

3-6  2.  The Manager, with the approval of the Board, may appoint a

3-7  deputy for professional services and a deputy for administrative,

3-8  fiscal and constructional services. In addition, the Manager may

3-9  appoint such other technical and clerical assistants as may be

3-10  necessary to carry into effect the provisions of this chapter.

3-11      3.  The Manager and his deputies are in the unclassified service

3-12  of the State. Except as otherwise provided in NRS 284.143, the

3-13  Manager and each deputy shall devote his entire time and attention

3-14  to the business of his office and shall not pursue any other business

3-15  or occupation or hold any other office of profit.

3-16      4.  The Manager and his deputy for professional services must

3-17  each be a licensed professional engineer pursuant to the provisions

3-18  of chapter 625 of NRS or an architect registered pursuant to the

3-19  provisions of chapter 623 of NRS. The deputy manager for

3-20  administrative, fiscal and constructional services must have a

3-21  comprehensive knowledge of principles of administration and a

3-22  working knowledge of principles of engineering or architecture as

3-23  determined by the Board.

3-24      5.  The Manager shall:

3-25      (a) Serve as the Secretary of the Board.

3-26      (b) Manage the daily affairs of the Board.

3-27      (c) Represent the Board before the Legislature.

3-28      (d) Prepare and submit to the Board, for its approval, the

3-29  recommended priority for proposed capital improvement projects

3-30  and provide the Board with an estimate of the cost of each project.

3-31      (e) Make recommendations to the Board for the selection of

3-32  architects, engineers and contractors.

3-33      (f) Make recommendations to the Board concerning the

3-34  acceptance of completed projects.

3-35      (g) Advise the Board and the Legislature, or the Interim Finance

3-36  Committee if the Legislature is not in session, on a monthly basis of

3-37  the progress of all public works projects which are a part of the

3-38  approved capital improvement program.

3-39      (h) Serve as the Building Official for all buildings and

3-40  structures on property of the State or held in trust for any division

3-41  of the State Government.

3-42      Sec. 7.  NRS 341.145 is hereby amended to read as follows:

3-43      341.145  The Board:

4-1  1.  Has final authority to approve the architecture of all

4-2  buildings, plans, designs, types of construction, major repairs and

4-3  designs of landscaping.

4-4  2.  Shall determine whether any rebates are available from a

4-5  public utility for installing devices in any state building which are

4-6  designed to decrease the use of energy in the building. If such a

4-7  rebate is available, the Board shall apply for the rebate.

4-8  3.  Shall solicit bids for and let all contracts for new

4-9  construction or major repairs.

4-10      4.  May negotiate with the lowest responsible and responsive

4-11  bidder on any contract to obtain a revised bid if:

4-12      (a) The bid is less than the appropriation made by the

4-13  Legislature for that building project; and

4-14      (b) The bid does not exceed the relevant budget item for that

4-15  building project as established by the Board by more than 10

4-16  percent.

4-17      5.  May reject any or all bids.

4-18      6.  After the contract is let, shall supervise and inspect

4-19  construction and major repairs. The cost of supervision and

4-20  inspection must be financed from the capital construction program

4-21  approved by the Legislature.

4-22      7.  Shall obtain approval from the Interim Finance Committee

4-23  when the Legislature is not in regular or special session, or from the

4-24  Legislature by concurrent resolution when the Legislature is in

4-25  regular or special session, for any change in the scope of the design

4-26  or construction of a project as that project was authorized by the

4-27  Legislature. The Board shall adopt by regulation criteria for

4-28  determining whether a change in the scope of the design or

4-29  construction of a project requires such approval.

4-30      8.  May authorize change orders, before or during construction:

4-31      (a) In any amount, where the change represents a reduction in

4-32  the total awarded contract price.

4-33      (b) [Not] Except as otherwise provided in paragraph (c), not to

4-34  exceed in the aggregate 10 percent of the total awarded contract

4-35  price, where the change represents an increase in that price.

4-36      (c) In any amount, where the total awarded contract price is

4-37  less than $10,000 and the change represents an increase not

4-38  exceeding the amount of the total awarded contract price.

4-39      9.  Shall specify in any contract with a design professional the

4-40  period within which the design professional must prepare and

4-41  submit to the Board a change order that has been authorized by the

4-42  design professional. As used in this subsection, “design

4-43  professional” means a person with a professional license or

4-44  certificate issued pursuant to chapter 623, 623A or 625 of NRS.

5-1  10.  Has final authority to accept each building or structure, or

5-2  any portion thereof, on property of the State or held in trust for

5-3  any division of the State Government as completed or to require

5-4  necessary alterations to conform to the contract[,] or to codes

5-5  adopted by the Board, and to file the notice of completion[.] and

5-6  certificate of occupancy for the building or structure.

5-7  Sec. 8.  NRS 341.146 is hereby amended to read as follows:

5-8  341.146  1.  The Board shall establish funds for projects of

5-9  capital construction necessary to account for the program of capital

5-10  construction approved by the Legislature. These funds must be used

5-11  to account for all revenues, appropriations and expenditures

5-12  restricted to constructing buildings and other projects which come

5-13  under the supervision of the Board.

5-14      2.  If a state department, board, commission or agency

5-15  provides to the Board money that has not been appropriated by the

5-16  Legislature for a capital improvement project, any interest earned

5-17  on that money accrues to the benefit of the project. Upon a

5-18  determination by the Board that the project is completed, the

5-19  Board shall return any principal and interest remaining on that

5-20  money to the department, board, commission or agency that had

5-21  provided the money to the Board.

5-22      3.  Except as otherwise provided in subsection 4, if the money

5-23  for a capital improvement project includes money from more than

5-24  one source, the money must be expended in the following order:

5-25      (a) Money received for the project from the Federal

5-26  Government;

5-27      (b) Money generated by the state department, board,

5-28  commission or agency for whom the project is being performed;

5-29      (c) Money that was approved for the same or a different

5-30  project during a previous biennium that has been reallocated

5-31  during the current biennium for the project;

5-32      (d) Proceeds from the issuance of general obligation bonds;

5-33      (e) Money from the State General Fund; and

5-34      (f) Any other source of money for the project.

5-35      4.  The provisions of subsection 3 do not apply if the receipt of

5-36  any money from the Federal Government for the project is

5-37  conditioned upon a different order of expenditure.

5-38      Sec. 9.  NRS 341.148 is hereby amended to read as follows:

5-39      341.148  1.  Except as otherwise provided in subsection 2, the

5-40  Board shall advertise in a newspaper of general circulation in the

5-41  State of Nevada for separate sealed bids for each construction

5-42  project. Approved plans and specifications for the construction must

5-43  be on file at a place and time stated in the advertisement for the

5-44  inspection of all persons desiring to bid thereon and for other

5-45  interested persons. The Board may accept bids on either the whole

6-1  or a part of the construction, equipment and furnishings, and may let

6-2  separate contracts for different and separate portions of any project,

6-3  or a combination contract for structural, mechanical and electrical

6-4  construction if savings will result to [the lowest responsible and

6-5  responsive bidder.] this state.

6-6  2.  The Board is not required to advertise for sealed bids for

6-7  construction projects if the estimated cost is less than $25,000, but

6-8  the Board may solicit firm written bids from not less than two

6-9  licensed contractors doing business in the area and may award the

6-10  contract to the lowest responsible and responsive bidder or reject all

6-11  bids.

6-12      Sec. 10.  NRS 341.153 is hereby amended to read as follows:

6-13      341.153  1.  The Legislature hereby finds as facts:

6-14      (a) That the construction of public buildings is a specialized

6-15  field requiring for its successful accomplishment a high degree of

6-16  skill and experience not ordinarily acquired by public officers and

6-17  employees whose primary duty lies in some other field.

6-18      (b) That this construction involves the expenditure of large

6-19  amounts of public money which, whatever their particular

6-20  constitutional, statutory or governmental source, involve a public

6-21  trust.

6-22      (c) That the application by state agencies of conflicting

6-23  standards of performance results in wasteful delays and increased

6-24  costs in the performance of public works.

6-25      2.  The Legislature therefore declares it to be the policy of this

6-26  state that all construction of [public] buildings upon property of the

6-27  State or held in trust for any division of the State Government be

6-28  supervised by, and final authority for its completion and acceptance

6-29  vested in, the [State Public Works] Board as provided in NRS

6-30  341.141 to 341.148, inclusive.

6-31      Sec. 11.  This act becomes effective upon passage and

6-32  approval.

 

6-33  H