(Reprinted with amendments adopted on April 21, 2003)

                                                                                    FIRST REPRINT                                                                 S.B. 19

 

Senate Bill No. 19–Committee on Government Affairs

 

(On Behalf of Legislative Committee to Study
Competition Between Local Governments
and Private Enterprises)

 

Prefiled January 24, 2003

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Makes various changes relating to advertising and awarding contracts for certain smaller public works projects and requires Department of Transportation to follow contracting procedures used by other state agencies. (BDR 28‑409)

 

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 for an expedited process by which the State or a local government solicits bids and awards contracts for certain smaller public works projects to properly licensed contractors or completes such projects itself; providing that such an expedited process does not relieve the State or a local government from certain duties; requiring the Department of Transportation to follow the same provisions relating to contracting and design-build projects which other state agencies are required to follow; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

 

 


2-1  Section 1.  Chapter 338 of NRS is hereby amended by adding

2-2  thereto the provisions set forth as sections 2 to 7, inclusive, of this

2-3  act.

2-4  Sec. 2.  If the estimated cost of a public work is $100,000 or

2-5  less, this state or a local government shall:

2-6  1.  Award a contract for the completion of the project to a

2-7  properly licensed contractor in accordance with section 3 of this

2-8  act; or

2-9  2.  Perform the project itself in accordance with section 4 of

2-10  this act.

2-11      Sec. 3.  1.  Before this state or a local government awards a

2-12  contract for the completion of a public works project in

2-13  accordance with subsection 1 of section 2 of this act, the State or

2-14  the local government must:

2-15      (a) If the estimated cost of the public work is more than

2-16  $25,000 but not more than $100,000, solicit bids from at least

2-17  three properly licensed contractors; and

2-18      (b) If the estimated cost of the public work is $25,000 or less,

2-19  solicit a bid from at least one properly licensed contractor.

2-20      2.  Any bids received in response to a solicitation for bids

2-21  made pursuant to this section may be rejected if the State or the

2-22  local government determines that:

2-23      (a) The quality of the services, materials, equipment or labor

2-24  offered does not conform to the approved plan or specifications;

2-25      (b) The bidder is not responsive or responsible; or

2-26      (c) The public interest would be served by such a rejection.

2-27      3.  At least once each quarter, the State and each local

2-28  government shall prepare a report detailing, for each public works

2-29  project over $25,000 for which a contract for its completion is

2-30  awarded pursuant to paragraph (a) of subsection 1, if any:

2-31      (a) The name of the contractor to whom the contract was

2-32  awarded;

2-33      (b) The amount of the contract awarded;

2-34      (c) A brief description of the project; and

2-35      (d) The names of all contractors from whom bids were

2-36  solicited.

2-37      4.  A report prepared pursuant to subsection 3 is a public

2-38  record and must be maintained on file at the administrative offices

2-39  of the applicable public body.

2-40      5.  The provisions of this section do not relieve this state from

2-41  the duty to award the contract for the public work to a bidder who

2-42  is:

2-43      (a) Qualified pursuant to the applicable provisions of NRS

2-44  338.1375 to 338.1383, inclusive; and


3-1  (b) The lowest responsive and responsible bidder, if bids are

3-2  required to be solicited from more than one properly licensed

3-3  contractor pursuant to subsection 1.

3-4  Sec. 4.  1.  If the State or a local government proposes to

3-5  perform a public works project itself in accordance with

3-6  subsection 2 of section 2 of this act, the public officer responsible

3-7  for the management of the public works projects of the State or the

3-8  local government, as applicable, must, if the estimated cost of the

3-9  public work is more than $25,000 but not more than $100,000 and

3-10  before work on the project is commenced, prepare a signed

3-11  attestation regarding the decision of the State or the local

3-12  government to perform the project itself.

3-13      2.  An attestation prepared pursuant to subsection 1:

3-14      (a) Must set forth:

3-15          (1) The estimated cost of the project;

3-16          (2) A general statement as to why the State or the local

3-17  government has decided to perform the project itself; and

3-18          (3) A general statement that the project will adhere to the

3-19  same quality and standards as would be required of a properly

3-20  licensed contractor if the project had been awarded to a properly

3-21  licensed contractor;

3-22      (b) Is a public record and must be maintained on file at the

3-23  administrative offices of the applicable public body.

3-24      Sec. 5.  If the estimated cost of a public work is $100,000 or

3-25  less, a local government shall:

3-26      1.  Award a contract for the completion of the project to a

3-27  properly licensed contractor in accordance with section 6 of this

3-28  act; or

3-29      2.  Perform the project itself in accordance with section 7 of

3-30  this act.

3-31      Sec. 6.  1.  Before a local government awards a contract for

3-32  the completion of a public works project in accordance with

3-33  subsection 1 of section 5 of this act, the local government must:

3-34      (a) If the estimated cost of the public work is more than

3-35  $25,000 but not more than $100,000, solicit bids from at least

3-36  three properly licensed contractors; and

3-37      (b) If the estimated cost of the public work is $25,000 or less,

3-38  solicit a bid from at least one properly licensed contractor.

3-39      2.  Any bids received in response to a solicitation for bids

3-40  made pursuant to this section may be rejected if the local

3-41  government determines that:

3-42      (a) The quality of the services, materials, equipment or labor

3-43  offered does not conform to the approved plan or specifications;

3-44      (b) The bidder is not responsive or responsible; or

3-45      (c) The public interest would be served by such a rejection.


4-1  3.  At least once each quarter, a local government shall

4-2  prepare a report detailing, for each public works project over

4-3  $25,000 for which a contract for its completion is awarded

4-4  pursuant to paragraph (a) of subsection 1, if any:

4-5  (a) The name of the contractor to whom the contract was

4-6  awarded;

4-7  (b) The amount of the contract awarded;

4-8  (c) A brief description of the project; and

4-9  (d) The names of all contractors from whom bids were

4-10  solicited.

4-11      4.  A report prepared pursuant to subsection 3 is a public

4-12  record and must be maintained on file at the administrative offices

4-13  of the applicable public body.

4-14      5.  The provisions of this section do not relieve a local

4-15  government from the duty to award the contract for the public

4-16  work to a bidder who is the lowest responsive and responsible

4-17  bidder, if bids are required to be solicited from more than one

4-18  properly licensed contractor pursuant to subsection 1 of this

4-19  section.

4-20      Sec. 7.  1.  If a local government proposes to perform a

4-21  public works project itself in accordance with subsection 2 of

4-22  section 5 of this act, the public officer responsible for the

4-23  management of the public works projects of the local government

4-24  must, if the estimated cost of the public work is more than $25,000

4-25  but not more than $100,000 and before work on the project is

4-26  commenced, prepare a signed attestation regarding the decision of

4-27  the local government to perform the project itself.

4-28      2.  An attestation prepared pursuant to subsection 1:

4-29      (a) Must set forth:

4-30          (1) The estimated cost of the project;

4-31          (2) A general statement as to why the local government has

4-32  decided to perform the project itself; and

4-33          (3) A general statement that the project will adhere to the

4-34  same quality and standards as would be required of a properly

4-35  licensed contractor if the project had been awarded to a properly

4-36  licensed contractor;

4-37      (b) Is a public record and must be maintained on file at the

4-38  administrative offices of the local government.

4-39      Sec. 8.  NRS 338.010 is hereby amended to read as follows:

4-40      338.010  As used in this chapter:

4-41      1.  “Day labor” means all cases where public bodies, their

4-42  officers, agents or employees, hire, supervise and pay the wages

4-43  thereof directly to a workman or workmen employed by them on

4-44  public works by the day and not under a contract in writing.


5-1  2.  “Design-build contract” means a contract between a public

5-2  body and a design-build team in which the design-build team agrees

5-3  to design and construct a public work.

5-4  3.  “Design-build team” means an entity that consists of:

5-5  (a) At least one person who is licensed as a general engineering

5-6  contractor or a general building contractor pursuant to chapter 624

5-7  of NRS; and

5-8  (b) For a public work that consists of:

5-9       (1) A building and its site, at least one person who holds a

5-10  certificate of registration to practice architecture pursuant to chapter

5-11  623 of NRS.

5-12          (2) Anything other than a building and its site, at least one

5-13  person who holds a certificate of registration to practice architecture

5-14  pursuant to chapter 623 of NRS or is licensed as a professional

5-15  engineer pursuant to chapter 625 of NRS.

5-16      4.  “Design professional” means:

5-17      (a) A person who is licensed as a professional engineer pursuant

5-18  to chapter 625 of NRS;

5-19      (b) A person who is licensed as a professional land surveyor

5-20  pursuant to chapter 625 of NRS;

5-21      (c) A person who holds a certificate of registration to engage in

5-22  the practice of architecture pursuant to chapter 623 of NRS;

5-23      (d) A person who holds a certificate of registration to engage in

5-24  the practice of landscape architecture pursuant to chapter 623A of

5-25  NRS; or

5-26      (e) A business entity that engages in the practice of professional

5-27  engineering, land surveying, architecture or landscape architecture.

5-28      5.  “Eligible bidder” means a person who is:

5-29      (a) Found to be a responsible and responsive contractor by a

5-30  local government which requests bids for a public work in

5-31  accordance with [paragraph (b) of subsection 1] subsection 2 of

5-32  NRS 338.1373; or

5-33      (b) Determined by a public body which awarded a contract for a

5-34  public work pursuant to NRS 338.1375 to 338.139, inclusive, to be

5-35  qualified to bid on that contract pursuant to NRS 338.1379 or was

5-36  exempt from meeting such qualifications pursuant to

5-37  NRS 338.1383.

5-38      6.  “General contractor” means a person who is licensed to

5-39  conduct business in one, or both, of the following branches of the

5-40  contracting business:

5-41      (a) General engineering contracting, as described in subsection 2

5-42  of NRS 624.215.

5-43      (b) General building contracting, as described in subsection 3 of

5-44  NRS 624.215.


6-1  7.  “Local government” means every political subdivision or

6-2  other entity which has the right to levy or receive money from ad

6-3  valorem or other taxes or any mandatory assessments, and includes,

6-4  without limitation, counties, cities, towns, boards, school districts

6-5  and other districts organized pursuant to chapters 244A, 309, 318,

6-6  379, 474, 541, 543 and 555 of NRS, NRS 450.550 to 450.750,

6-7  inclusive, and any agency or department of a county or city which

6-8  prepares a budget separate from that of the parent political

6-9  subdivision. The term includes a person who has been designated

6-10  by a local government to serve as the authorized representative of

6-11  the local government in developing and awarding contracts for

6-12  public works projects on behalf of the local government.

6-13      8.  “Offense” means failing to:

6-14      (a) Pay the prevailing wage required pursuant to this chapter;

6-15      (b) Pay the contributions for unemployment compensation

6-16  required pursuant to chapter 612 of NRS;

6-17      (c) Provide and secure compensation for employees required

6-18  pursuant to chapters 616A to 617, inclusive, of NRS; or

6-19      (d) Comply with subsection 4 or 5 of NRS 338.070.

6-20      9.  “Prime contractor” means a person who:

6-21      (a) Contracts to construct an entire project;

6-22      (b) Coordinates all work performed on the entire project;

6-23      (c) Uses his own workforce to perform all or a part of the

6-24  construction, repair or reconstruction of the project; and

6-25      (d) Contracts for the services of any subcontractor or

6-26  independent contractor or is responsible for payment to any

6-27  contracted subcontractors or independent contractors.

6-28  The term includes, without limitation, a general contractor or a

6-29  specialty contractor who is authorized to bid on a project pursuant to

6-30  NRS 338.139 or 338.148.

6-31      10.  “Public body” means the State, county, city, town, school

6-32  district or any public agency of this state or its political subdivisions

6-33  sponsoring or financing a public work.

6-34      11.  “Public work” means any project for the new construction,

6-35  repair or reconstruction of:

6-36      (a) A project financed in whole or in part from public money

6-37  for:

6-38          (1) Public buildings;

6-39          (2) Jails and prisons;

6-40          (3) Public roads;

6-41          (4) Public highways;

6-42          (5) Public streets and alleys;

6-43          (6) Public utilities which are financed in whole or in part by

6-44  public money;

6-45          (7) Publicly owned water mains and sewers;


7-1       (8) Public parks and playgrounds;

7-2       (9) Public convention facilities which are financed at least in

7-3  part with public [funds;] money; and

7-4       (10) All other publicly owned works and property . [whose

7-5  cost as a whole exceeds $20,000. Each separate unit that is a part of

7-6  a project is included in the cost of the project to determine whether a

7-7  project meets that threshold.]

7-8  (b) A building for the University and Community College

7-9  System of Nevada of which 25 percent or more of the costs of the

7-10  building as a whole are paid from money appropriated by this state

7-11  or from federal money.

7-12      12.  “Specialty contractor” means a person who is licensed to

7-13  conduct business as described in subsection 4 of NRS 624.215.

7-14      13.  “Stand-alone underground utility project” means an

7-15  underground utility project that is not integrated into a larger

7-16  project, including, without limitation:

7-17      (a) An underground sewer line or an underground pipeline for

7-18  the conveyance of water, including facilities appurtenant thereto;

7-19  and

7-20      (b) A project for the construction or installation of a storm drain,

7-21  including facilities appurtenant thereto,

7-22  that is not located at the site of a public work for the design and

7-23  construction of which a public body is authorized to contract with a

7-24  design-build team pursuant to subsection 2 of NRS 338.1711.

7-25      14.  “Wages” means:

7-26      (a) The basic hourly rate of pay; and

7-27      (b) The amount of pension, health and welfare, vacation and

7-28  holiday pay, the cost of apprenticeship training or other similar

7-29  programs or other bona fide fringe benefits which are a benefit to

7-30  the workman.

7-31      15.  “Workman” means a skilled mechanic, skilled workman,

7-32  semiskilled mechanic, semiskilled workman or unskilled workman.

7-33  The term does not include a design professional.

7-34      Sec. 9.  NRS 338.1373 is hereby amended to read as follows:

7-35  338.1373  [1.] A local government shall award a contract for the

7-36  construction, alteration or repair of a public work pursuant to the

7-37  provisions of:

7-38      [(a)]1.  NRS 338.1377 to 338.139, inclusive[; or

7-39      (b)], and sections 2, 3 and 4 of this act; or

7-40      2.  NRS 338.143 to 338.148, inclusive [.

7-41      2.  The provisions of NRS 338.1375 to 338.1383, inclusive, and

7-42  338.139 do not apply with respect to contracts for the construction,

7-43  reconstruction, improvement and maintenance of highways that are

7-44  awarded by the Department of Transportation pursuant to NRS

7-45  408.313 to 408.433, inclusive.], and sections 5, 6 and 7 of this act.


8-1  Sec. 10.  NRS 338.1385 is hereby amended to read as follows:

8-2  338.1385  1.  Except as otherwise provided in subsection [7] 6

8-3  and NRS 338.1906 and 338.1907, this state, or a local government

8-4  that awards a contract for the construction, alteration or repair of a

8-5  public work in accordance with [paragraph (a) of] subsection 1 of

8-6  NRS 338.1373, or a public officer, public employee or other person

8-7  responsible for awarding a contract for the construction, alteration

8-8  or repair of a public work who represents the State or the local

8-9  government, shall not:

8-10      (a) Commence such a project for which the estimated cost

8-11  exceeds $100,000 unless it advertises in a newspaper of general

8-12  circulation in this state for bids for the project; [or]

8-13      (b) Commence such a project for which the estimated cost is

8-14  $100,000 or less unless it complies with the provisions of sections

8-15  2, 3 and 4 of this act; or

8-16      (c) Divide such a project into separate portions to avoid the

8-17  requirements of paragraph (a) [.

8-18      2.  Except as otherwise provided in subsection 7, a public body

8-19  that maintains a list of properly licensed contractors who are

8-20  interested in receiving offers to bid on public works projects for

8-21  which the estimated cost is more than $25,000 but less than

8-22  $100,000 shall solicit bids from not more than three of the

8-23  contractors on the list for a contract of that value for the

8-24  construction, alteration or repair of a public work. The public body

8-25  shall select contractors from the list in such a manner as to afford

8-26  each contractor an equal opportunity to bid on a public works

8-27  project. A properly licensed contractor must submit a written

8-28  request annually to the public body to remain on the list. Offers for

8-29  bids which are made pursuant to this subsection must be sent by

8-30  certified mail.

8-31      3.] or (b).

8-32      2. Each advertisement for bids must include a provision that

8-33  sets forth:

8-34      (a) The requirement that a contractor must be qualified pursuant

8-35  to NRS 338.1379 to bid on the contract or must be exempt from

8-36  meeting such qualifications pursuant to NRS 338.1383; and

8-37      (b) The period during which an application to qualify as a bidder

8-38  on the contract must be submitted.

8-39      [4.] 3. Approved plans and specifications for the bids must be

8-40  on file at a place and time stated in the advertisement for the

8-41  inspection of all persons desiring to bid thereon and for other

8-42  interested persons. Contracts for the project must be awarded on the

8-43  basis of bids received.


9-1  [5.] 4. Any bids received in response to an advertisement for

9-2  bids may be rejected if the person responsible for awarding the

9-3  contract determines that:

9-4  (a) The bidder is not a qualified bidder pursuant to NRS

9-5  338.1379, unless the bidder is exempt from meeting such

9-6  qualifications pursuant to NRS 338.1383;

9-7  (b) The bidder is not responsive[;] or responsible;

9-8  (c) The quality of the services, materials, equipment or labor

9-9  offered does not conform to the approved plan or specifications; or

9-10      (d) The public interest would be served by such a rejection.

9-11      [6.] 5. Before the State or a local government may commence a

9-12  project subject to the provisions of this section, based upon a

9-13  determination that the public interest would be served by rejecting

9-14  any bids received in response to an advertisement for bids, it shall

9-15  prepare and make available for public inspection a written statement

9-16  containing:

9-17      (a) A list of all persons, including supervisors, whom the State

9-18  or the local government intends to assign to the project, together

9-19  with their classifications and an estimate of the direct and indirect

9-20  costs of their labor;

9-21      (b) A list of all equipment that the State or the local government

9-22  intends to use on the project, together with an estimate of the

9-23  number of hours each item of equipment will be used and the hourly

9-24  cost to use each item of equipment;

9-25      (c) An estimate of the cost of administrative support for the

9-26  persons assigned to the project;

9-27      (d) An estimate of the total cost of the project; and

9-28      (e) An estimate of the amount of money the State or the local

9-29  government expects to save by rejecting the bids and performing the

9-30  project itself.

9-31      [7.] 6. This section does not apply to:

9-32      (a) Any utility subject to the provisions of chapter 318 or 710

9-33  of NRS;

9-34      (b) Any work of construction, reconstruction, improvement and

9-35  maintenance of highways subject to NRS 408.323 ; [or 408.327;]

9-36      (c) Normal maintenance of the property of a school district;

9-37      (d) The Las Vegas Valley Water District created pursuant to

9-38  chapter 167, Statutes of Nevada 1947, the Moapa Valley Water

9-39  District created pursuant to chapter 477, Statutes of Nevada 1983 or

9-40  the Virgin Valley Water District created pursuant to chapter 100,

9-41  Statutes of Nevada 1993; or

9-42      (e) The design and construction of a public work for which a

9-43  public body contracts with a design-build team pursuant to NRS

9-44  338.1711 to 338.1727.

 


10-1      Sec. 11.  NRS 338.1385 is hereby amended to read as follows:

10-2      338.1385  1.  Except as otherwise provided in subsection [8,]

10-3  7, this state, or a local government that awards a contract for the

10-4  construction, alteration or repair of a public work in accordance with

10-5  [paragraph (a) of] subsection 1 of NRS 338.1373, or a public

10-6  officer, public employee or other person responsible for awarding a

10-7  contract for the construction, alteration or repair of a public work

10-8  who represents the State or the local government, shall not:

10-9      (a) Commence such a project for which the estimated cost

10-10  exceeds $100,000 unless it advertises in a newspaper of general

10-11  circulation in this state for bids for the project; [or]

10-12     (b) Commence such a project for which the estimated cost is

10-13  $100,000 or less unless it complies with the provisions of sections

10-14  2, 3 and 4 of this act; or

10-15     (c) Divide such a project into separate portions to avoid the

10-16  requirements of paragraph (a)[.

10-17     2.  Except as otherwise provided in subsection 8, a public body

10-18  that maintains a list of properly licensed contractors who are

10-19  interested in receiving offers to bid on public works projects for

10-20  which the estimated cost is more than $25,000 but less than

10-21  $100,000 shall solicit bids from not more than three of the

10-22  contractors on the list for a contract of that value for the

10-23  construction, alteration or repair of a public work. The public body

10-24  shall select contractors from the list in such a manner as to afford

10-25  each contractor an equal opportunity to bid on a public works

10-26  project. A properly licensed contractor must submit a written

10-27  request annually to the public body to remain on the list. Offers for

10-28  bids which are made pursuant to this subsection must be sent by

10-29  certified mail.

10-30     3.] or (b). 

10-31     2.  Each advertisement for bids must include a provision that

10-32  sets forth:

10-33     (a) The requirement that a contractor must be qualified pursuant

10-34  to NRS 338.1379 to bid on the contract or must be exempt from

10-35  meeting such qualifications pursuant to NRS 338.1383; and

10-36     (b) The period during which an application to qualify as a bidder

10-37  on the contract must be submitted.

10-38     [4.] 3. Approved plans and specifications for the bids must be

10-39  on file at a place and time stated in the advertisement for the

10-40  inspection of all persons desiring to bid thereon and for other

10-41  interested persons. Contracts for the project must be awarded on the

10-42  basis of bids received.

10-43     [5.] 4. Any bids received in response to an advertisement for

10-44  bids may be rejected if the person responsible for awarding the

10-45  contract determines that:


11-1      (a) The bidder is not a qualified bidder pursuant to NRS

11-2  338.1379, unless the bidder is exempt from meeting such

11-3  qualifications pursuant to NRS 338.1383;

11-4      (b) The bidder is not responsive[;] or responsible;

11-5      (c) The quality of the services, materials, equipment or labor

11-6  offered does not conform to the approved plan or specifications; or

11-7      (d) The public interest would be served by such a rejection.

11-8      [6.] 5. Before the State or a local government may commence a

11-9  project subject to the provisions of this section, based upon a

11-10  determination that the public interest would be served by rejecting

11-11  any bids received in response to an advertisement for bids, it shall

11-12  prepare and make available for public inspection a written statement

11-13  containing:

11-14     (a) A list of all persons, including supervisors, whom the State

11-15  or the local government intends to assign to the project, together

11-16  with their classifications and an estimate of the direct and indirect

11-17  costs of their labor;

11-18     (b) A list of all equipment that the State or the local government

11-19  intends to use on the project, together with an estimate of the

11-20  number of hours each item of equipment will be used and the hourly

11-21  cost to use each item of equipment;

11-22     (c) An estimate of the cost of administrative support for the

11-23  persons assigned to the project;

11-24     (d) An estimate of the total cost of the project; and

11-25     (e) An estimate of the amount of money the State or the local

11-26  government expects to save by rejecting the bids and performing the

11-27  project itself.

11-28     [7.] 6. In preparing the estimated cost of a project pursuant to

11-29  subsection [6,] 5, the State or a local government must include the

11-30  fair market value of, or, if known, the actual cost of, all materials,

11-31  supplies, labor and equipment to be used for the project.

11-32     [8.] 7. This section does not apply to:

11-33     (a) Any utility subject to the provisions of chapter 318 or 710

11-34  of NRS;

11-35     (b) Any work of construction, reconstruction, improvement and

11-36  maintenance of highways subject to NRS 408.323 ; [or 408.327;]

11-37     (c) Normal maintenance of the property of a school district; [or]

11-38     (d) The Las Vegas Valley Water District created pursuant to

11-39  chapter 167, Statutes of Nevada 1947, the Moapa Valley Water

11-40  District created pursuant to chapter 477, Statutes of Nevada 1983 or

11-41  the Virgin Valley Water District created pursuant to chapter 100,

11-42  Statutes of Nevada 1993; or

11-43     (e) The design and construction of a public work for which a

11-44  public body contracts with a design-build team pursuant to NRS

11-45  338.1711 to 338.1727, inclusive.


12-1      Sec. 12.  NRS 338.1389 is hereby amended to read as follows:

12-2      338.1389  1.  Except as otherwise provided in sections 2 and 4

12-3  of this act, NRS 338.1385 and 338.1711 to 338.1727, inclusive, a

12-4  public body shall award a contract for a public work to the

12-5  contractor who submits the best bid.

12-6      2.  Except as otherwise provided in subsection 10 or limited by

12-7  subsection 11, for the purposes of this section, a contractor who:

12-8      (a) Has been determined by the public body to be a qualified

12-9  bidder pursuant to NRS 338.1379 or is exempt from meeting such

12-10  requirements pursuant to NRS 338.1373 or 338.1383; and

12-11     (b) At the time he submits his bid, provides to the public body a

12-12  copy of a certificate of eligibility to receive a preference in bidding

12-13  on public works issued to him by the State Contractors’ Board

12-14  pursuant to subsection 3 or 4,

12-15  shall be deemed to have submitted a better bid than a competing

12-16  contractor who has not provided a copy of such a valid certificate of

12-17  eligibility if the amount of his bid is not more than 5 percent higher

12-18  than the amount bid by the competing contractor.

12-19     3.  The State Contractors’ Board shall issue a certificate of

12-20  eligibility to receive a preference in bidding on public works to a

12-21  general contractor who is licensed pursuant to the provisions of

12-22  chapter 624 of NRS and submits to the Board an affidavit from a

12-23  certified public accountant setting forth that the general contractor

12-24  has, while licensed as a general contractor in this state:

12-25     (a) Paid directly, on his own behalf:

12-26         (1) The sales and use taxes imposed pursuant to chapters

12-27  372, 374 and 377 of NRS on materials used for construction in this

12-28  state, including, without limitation, construction that is undertaken

12-29  or carried out on land within the boundaries of this state that is

12-30  managed by the Federal Government or is on an Indian reservation

12-31  or Indian colony, of not less than $5,000 for each consecutive

12-32  12-month period for 60 months immediately preceding the

12-33  submission of the affidavit from the certified public accountant;

12-34         (2) The governmental services tax imposed pursuant to

12-35  chapter 371 of NRS on the vehicles used in the operation of his

12-36  business in this state of not less than $5,000 for each consecutive

12-37  12-month period for 60 months immediately preceding the

12-38  submission of the affidavit from the certified public accountant; or

12-39         (3) Any combination of such sales and use taxes and

12-40  governmental services tax; or

12-41     (b) Acquired, by purchase, inheritance, gift or transfer through a

12-42  stock option plan, all the assets and liabilities of a viable, operating

12-43  construction firm that possesses a:

12-44         (1) License as a general contractor pursuant to the provisions

12-45  of chapter 624 of NRS; and


13-1          (2) Certificate of eligibility to receive a preference in bidding

13-2  on public works.

13-3      4.  The State Contractors’ Board shall issue a certificate of

13-4  eligibility to receive a preference in bidding on public works to a

13-5  specialty contractor who is licensed pursuant to the provisions of

13-6  chapter 624 of NRS and submits to the Board an affidavit from a

13-7  certified public accountant setting forth that the specialty contractor

13-8  has, while licensed as a specialty contractor in this state:

13-9      (a) Paid directly, on his own behalf:

13-10         (1) The sales and use taxes pursuant to chapters 372, 374 and

13-11  377 of NRS on materials used for construction in this state,

13-12  including, without limitation, construction that is undertaken or

13-13  carried out on land within the boundaries of this state that is

13-14  managed by the Federal Government or is on an Indian reservation

13-15  or Indian colony, of not less than $5,000 for each consecutive

13-16  12-month period for 60 months immediately preceding the

13-17  submission of the affidavit from the certified public accountant;

13-18         (2) The governmental services tax imposed pursuant to

13-19  chapter 371 of NRS on the vehicles used in the operation of his

13-20  business in this state of not less than $5,000 for each consecutive

13-21  12-month period for 60 months immediately preceding the

13-22  submission of the affidavit from the certified public accountant; or

13-23         (3) Any combination of such sales and use taxes and

13-24  governmental services tax; or

13-25     (b) Acquired, by purchase, inheritance, gift or transfer through a

13-26  stock option plan, all the assets and liabilities of a viable, operating

13-27  construction firm that possesses a:

13-28         (1) License as a specialty contractor pursuant to the

13-29  provisions of chapter 624 of NRS; and

13-30         (2) Certificate of eligibility to receive a preference in bidding

13-31  on public works.

13-32     5.  For the purposes of complying with the requirements set

13-33  forth in paragraph (a) of subsection 3 and paragraph (a) of

13-34  subsection 4, a contractor shall be deemed to have paid:

13-35     (a) Sales and use taxes and governmental services taxes that

13-36  were paid in this state by an affiliate or parent company of the

13-37  contractor, if the affiliate or parent company is also a general

13-38  contractor or specialty contractor, as applicable; and

13-39     (b) Sales and use taxes that were paid in this state by a joint

13-40  venture in which the contractor is a participant, in proportion to the

13-41  amount of interest the contractor has in the joint venture.

13-42     6.  A contractor who has received a certificate of eligibility to

13-43  receive a preference in bidding on public works from the State

13-44  Contractors’ Board pursuant to subsection 3 or 4 shall, at the time

13-45  for the annual renewal of his contractor’s license pursuant to NRS


14-1  624.283, submit to the Board an affidavit from a certified public

14-2  accountant setting forth that the contractor has, during the

14-3  immediately preceding 12 months, paid the taxes required pursuant

14-4  to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as

14-5  applicable, to maintain his eligibility to hold such a certificate.

14-6      7.  A contractor who fails to submit an affidavit to the Board

14-7  pursuant to subsection 6 ceases to be eligible to receive a preference

14-8  in bidding on public works unless he reapplies for and receives a

14-9  certificate of eligibility pursuant to subsection 3 or 4, as applicable.

14-10     8.  If a contractor holds more than one contractor’s license, he

14-11  must submit a separate application for each license pursuant to

14-12  which he wishes to qualify for a preference in bidding. Upon

14-13  issuance, the certificate of eligibility to receive a preference in

14-14  bidding on public works becomes part of the contractor’s license for

14-15  which the contractor submitted the application.

14-16     9.  If a contractor who applies to the State Contractors’ Board

14-17  for a certificate of eligibility to receive a preference in bidding on

14-18  public works submits false information to the Board regarding the

14-19  required payment of taxes, the contractor is not eligible to receive a

14-20  preference in bidding on public works for a period of 5 years after

14-21  the date on which the Board becomes aware of the submission of the

14-22  false information.

14-23     10.  If any federal statute or regulation precludes the granting of

14-24  federal assistance or reduces the amount of that assistance for a

14-25  particular public work because of the provisions of subsection 2,

14-26  those provisions do not apply insofar as their application would

14-27  preclude or reduce federal assistance for that work. The provisions

14-28  of subsection 2 do not apply to any contract for a public work which

14-29  is expected to cost less than $250,000.

14-30     11.  If a bid is submitted by two or more contractors as a joint

14-31  venture or by one of them as a joint venturer, the provisions of

14-32  subsection 2 apply only if both or all of the joint venturers

14-33  separately meet the requirements of that subsection.

14-34     12.  The State Contractors’ Board shall adopt regulations and

14-35  may assess reasonable fees relating to the certification of contractors

14-36  for a preference in bidding on public works.

14-37     13.  A person or entity who believes that a contractor

14-38  wrongfully holds a certificate of eligibility to receive a preference in

14-39  bidding on public works may challenge the validity of the certificate

14-40  by filing a written objection with the public body to which the

14-41  contractor has submitted a bid or proposal on a contract for the

14-42  construction of a public work. A written objection authorized

14-43  pursuant to this subsection must:

14-44     (a) Set forth proof or substantiating evidence to support the

14-45  belief of the person or entity that the contractor wrongfully holds a


15-1  certificate of eligibility to receive a preference in bidding on public

15-2  works; and

15-3      (b) Be filed with the public body at or after the time at which the

15-4  contractor submitted the bid or proposal to the public body and

15-5  before the time at which the public body awards the contract for

15-6  which the bid or proposal was submitted.

15-7      14.  If a public body receives a written objection pursuant to

15-8  subsection 13, the public body shall determine whether the objection

15-9  is accompanied by the proof or substantiating evidence required

15-10  pursuant to paragraph (a) of that subsection. If the public body

15-11  determines that the objection is not accompanied by the required

15-12  proof or substantiating evidence, the public body shall dismiss the

15-13  objection and may proceed immediately to award the contract. If the

15-14  public body determines that the objection is accompanied by the

15-15  required proof or substantiating evidence, the public body shall

15-16  determine whether the contractor qualifies for the certificate

15-17  pursuant to the provisions of this section and may proceed to award

15-18  the contract accordingly.

15-19     Sec. 13.  NRS 338.143 is hereby amended to read as follows:

15-20     338.143  1.  Except as otherwise provided in subsection [6] 5

15-21  and NRS 338.1907, a local government that awards a contract for

15-22  the construction, alteration or repair of a public work in accordance

15-23  with [paragraph (b) of subsection 1] subsection 2 of NRS 338.1373,

15-24  or a public officer, public employee or other person responsible for

15-25  awarding a contract for the construction, alteration or repair of a

15-26  public work who represents that local government, shall not:

15-27     (a) Commence such a project for which the estimated cost

15-28  exceeds $100,000 unless it advertises in a newspaper of general

15-29  circulation in this state for bids for the project; [or]

15-30     (b) Commence such a project for which the estimated cost is

15-31  $100,000 or less unless it complies with the provisions of sections

15-32  5, 6 and 7 of this act; or

15-33     (c) Divide such a project into separate portions to avoid the

15-34  requirements of paragraph (a)[.

15-35     2.  Except as otherwise provided in subsection 6, a local

15-36  government that maintains a list of properly licensed contractors

15-37  who are interested in receiving offers to bid on public works

15-38  projects for which the estimated cost is more than $25,000 but less

15-39  than $100,000 shall solicit bids from not more than three of the

15-40  contractors on the list for a contract of that value for the

15-41  construction, alteration or repair of a public work. The local

15-42  government shall select contractors from the list in such a manner as

15-43  to afford each contractor an equal opportunity to bid on a public

15-44  works project. A properly licensed contractor must submit a written

15-45  request annually to the local government to remain on the list.


16-1  Offers for bids which are made pursuant to this subsection must be

16-2  sent by certified mail.

16-3      3.] or (b).

16-4      2. Approved plans and specifications for the bids must be on

16-5  file at a place and time stated in the advertisement for the inspection

16-6  of all persons desiring to bid thereon and for other interested

16-7  persons. Contracts for the project must be awarded on the basis of

16-8  bids received.

16-9      [4.] 3. Any bids received in response to an advertisement for

16-10  bids may be rejected if the person responsible for awarding the

16-11  contract determines that:

16-12     (a) The bidder is not responsive or responsible;

16-13     (b) The quality of the services, materials, equipment or labor

16-14  offered does not conform to the approved plan or specifications; or

16-15     (c) The public interest would be served by such a rejection.

16-16     [5.] 4. Before a local government may commence a project

16-17  subject to the provisions of this section, based upon a determination

16-18  that the public interest would be served by rejecting any bids

16-19  received in response to an advertisement for bids, it shall prepare

16-20  and make available for public inspection a written statement

16-21  containing:

16-22     (a) A list of all persons, including supervisors, whom the local

16-23  government intends to assign to the project, together with their

16-24  classifications and an estimate of the direct and indirect costs of

16-25  their labor;

16-26     (b) A list of all equipment that the local government intends to

16-27  use on the project, together with an estimate of the number of hours

16-28  each item of equipment will be used and the hourly cost to use each

16-29  item of equipment;

16-30     (c) An estimate of the cost of administrative support for the

16-31  persons assigned to the project;

16-32     (d) An estimate of the total cost of the project; and

16-33     (e) An estimate of the amount of money the local government

16-34  expects to save by rejecting the bids and performing the project

16-35  itself.

16-36     [6.] 5. This section does not apply to:

16-37     (a) Any utility subject to the provisions of chapter 318 or 710 of

16-38  NRS;

16-39     (b) Any work of construction, reconstruction, improvement and

16-40  maintenance of highways subject to NRS 408.323 ; [or 408.327;]

16-41     (c) Normal maintenance of the property of a school district;

16-42     (d) The Las Vegas Valley Water District created pursuant to

16-43  chapter 167, Statutes of Nevada 1947, the Moapa Valley Water

16-44  District created pursuant to chapter 477, Statutes of Nevada 1983 or


17-1  the Virgin Valley Water District created pursuant to chapter 100,

17-2  Statutes of Nevada 1993; or

17-3      (e) The design and construction of a public work for which a

17-4  public body contracts with a design-build team pursuant to NRS

17-5  338.1711 to 338.1727, inclusive.

17-6      Sec. 14.  NRS 338.143 is hereby amended to read as follows:

17-7      338.143  1.  Except as otherwise provided in subsection [7,] 6,

17-8  a local government that awards a contract for the construction,

17-9  alteration or repair of a public work in accordance with [paragraph

17-10  (b) of subsection 1] subsection 2 of NRS 338.1373, or a public

17-11  officer, public employee or other person responsible for awarding a

17-12  contract for the construction, alteration or repair of a public work

17-13  who represents that local government, shall not:

17-14     (a) Commence such a project for which the estimated cost

17-15  exceeds $100,000 unless it advertises in a newspaper of general

17-16  circulation in this state for bids for the project; [or]

17-17     (b) Commence such a project for which the estimated cost is

17-18  $100,000 or less unless it complies with the provisions of sections

17-19  5, 6 and 7 of this act; or

17-20     (c) Divide such a project into separate portions to avoid the

17-21  requirements of paragraph (a)[.

17-22     2.  Except as otherwise provided in subsection 7, a local

17-23  government that maintains a list of properly licensed contractors

17-24  who are interested in receiving offers to bid on public works

17-25  projects for which the estimated cost is more than $25,000 but less

17-26  than $100,000 shall solicit bids from not more than three of the

17-27  contractors on the list for a contract of that value for the

17-28  construction, alteration or repair of a public work. The local

17-29  government shall select contractors from the list in such a manner as

17-30  to afford each contractor an equal opportunity to bid on a public

17-31  works project. A properly licensed contractor must submit a written

17-32  request annually to the local government to remain on the list.

17-33  Offers for bids which are made pursuant to this subsection must be

17-34  sent by certified mail.

17-35     3.] or (b).

17-36     2.  Approved plans and specifications for the bids must be on

17-37  file at a place and time stated in the advertisement for the inspection

17-38  of all persons desiring to bid thereon and for other interested

17-39  persons. Contracts for the project must be awarded on the basis of

17-40  bids received.

17-41     [4.] 3. Any bids received in response to an advertisement for

17-42  bids may be rejected if the person responsible for awarding the

17-43  contract determines that:

17-44     (a) The bidder is not responsive or responsible;


18-1      (b) The quality of the services, materials, equipment or labor

18-2  offered does not conform to the approved plan or specifications; or

18-3      (c) The public interest would be served by such a rejection.

18-4      [5.] 4. Before a local government may commence a project

18-5  subject to the provisions of this section, based upon a determination

18-6  that the public interest would be served by rejecting any bids

18-7  received in response to an advertisement for bids, it shall prepare

18-8  and make available for public inspection a written statement

18-9  containing:

18-10     (a) A list of all persons, including supervisors, whom the local

18-11  government intends to assign to the project, together with their

18-12  classifications and an estimate of the direct and indirect costs of

18-13  their labor;

18-14     (b) A list of all equipment that the local government intends to

18-15  use on the project, together with an estimate of the number of hours

18-16  each item of equipment will be used and the hourly cost to use each

18-17  item of equipment;

18-18     (c) An estimate of the cost of administrative support for the

18-19  persons assigned to the project;

18-20     (d) An estimate of the total cost of the project; and

18-21     (e) An estimate of the amount of money the local government

18-22  expects to save by rejecting the bids and performing the project

18-23  itself.

18-24     [6.] 5. In preparing the estimated cost of a project pursuant to

18-25  subsection [5,] 4, a local government must include the fair market

18-26  value of, or, if known, the actual cost of, all materials, supplies,

18-27  labor and equipment to be used for the project.

18-28     [7.] 6. This section does not apply to:

18-29     (a) Any utility subject to the provisions of chapter 318 or 710 of

18-30  NRS;

18-31     (b) Any work of construction, reconstruction, improvement and

18-32  maintenance of highways subject to NRS 408.323 ; [or 408.327;]

18-33     (c) Normal maintenance of the property of a school district;

18-34     (d) The Las Vegas Valley Water District created pursuant to

18-35  chapter 167, Statutes of Nevada 1947, the Moapa Valley Water

18-36  District created pursuant to chapter 477, Statutes of Nevada 1983 or

18-37  the Virgin Valley Water District created pursuant to chapter 100,

18-38  Statutes of Nevada 1993; or

18-39     (e) The design and construction of a public work for which a

18-40  public body contracts with a design-build team pursuant to NRS

18-41  338.1711 to 338.1727, inclusive.

18-42     Sec. 15.  NRS 338.147 is hereby amended to read as follows:

18-43     338.147  1.  Except as otherwise provided in sections 5 and 7

18-44  of this act, NRS 338.143 and 338.1711 to 338.1727, inclusive, a


19-1  local government shall award a contract for a public work to the

19-2  contractor who submits the best bid.

19-3      2.  Except as otherwise provided in subsection 10 or limited by

19-4  subsection 11, for the purposes of this section, a contractor who:

19-5      (a) Has been found to be a responsible and responsive contractor

19-6  by the local government; and

19-7      (b) At the time he submits his bid, provides to the local

19-8  government a copy of a certificate of eligibility to receive a

19-9  preference in bidding on public works issued to him by the State

19-10  Contractors’ Board pursuant to subsection 3 or 4,

19-11  shall be deemed to have submitted a better bid than a competing

19-12  contractor who has not provided a copy of such a valid certificate of

19-13  eligibility if the amount of his bid is not more than 5 percent higher

19-14  than the amount bid by the competing contractor.

19-15     3.  The State Contractors’ Board shall issue a certificate of

19-16  eligibility to receive a preference in bidding on public works to a

19-17  general contractor who is licensed pursuant to the provisions of

19-18  chapter 624 of NRS and submits to the Board an affidavit from a

19-19  certified public accountant setting forth that the general contractor

19-20  has, while licensed as a general contractor in this state:

19-21     (a) Paid directly, on his own behalf:

19-22         (1) The sales and use taxes imposed pursuant to chapters

19-23  372, 374 and 377 of NRS on materials used for construction in this

19-24  state, including, without limitation, construction that is undertaken

19-25  or carried out on land within the boundaries of this state that is

19-26  managed by the Federal Government or is on an Indian reservation

19-27  or Indian colony, of not less than $5,000 for each consecutive

19-28  12-month period for 60 months immediately preceding the

19-29  submission of the affidavit from the certified public accountant;

19-30         (2) The governmental services tax imposed pursuant to

19-31  chapter 371 of NRS on the vehicles used in the operation of his

19-32  business in this state of not less than $5,000 for each consecutive

19-33  12-month period for 60 months immediately preceding the

19-34  submission of the affidavit from the certified public accountant; or

19-35         (3) Any combination of such sales and use taxes and

19-36  governmental services tax; or

19-37     (b) Acquired, by purchase, inheritance, gift or transfer through a

19-38  stock option plan, all the assets and liabilities of a viable, operating

19-39  construction firm that possesses a:

19-40         (1) License as a general contractor pursuant to the provisions

19-41  of chapter 624 of NRS; and

19-42         (2) Certificate of eligibility to receive a preference in bidding

19-43  on public works.

19-44     4.  The State Contractors’ Board shall issue a certificate of

19-45  eligibility to receive a preference in bidding on public works to a


20-1  specialty contractor who is licensed pursuant to the provisions of

20-2  chapter 624 of NRS and submits to the Board an affidavit from a

20-3  certified public accountant setting forth that the specialty contractor

20-4  has, while licensed as a specialty contractor in this state:

20-5      (a) Paid directly, on his own behalf:

20-6          (1) The sales and use taxes pursuant to chapters 372, 374 and

20-7  377 of NRS on materials used for construction in this state,

20-8  including, without limitation, construction that is undertaken or

20-9  carried out on land within the boundaries of this state that is

20-10  managed by the Federal Government or is on an Indian reservation

20-11  or Indian colony, of not less than $5,000 for each consecutive

20-12  12-month period for 60 months immediately preceding the

20-13  submission of the affidavit from the certified public accountant;

20-14         (2) The governmental services tax imposed pursuant to

20-15  chapter 371 of NRS on the vehicles used in the operation of his

20-16  business in this state of not less than $5,000 for each consecutive

20-17  12-month period for 60 months immediately preceding the

20-18  submission of the affidavit from the certified public accountant; or

20-19         (3) Any combination of such sales and use taxes and

20-20  governmental services tax; or

20-21     (b) Acquired, by purchase, inheritance, gift or transfer through a

20-22  stock option plan, all the assets and liabilities of a viable, operating

20-23  construction firm that possesses a:

20-24         (1) License as a specialty contractor pursuant to the

20-25  provisions of chapter 624 of NRS; and

20-26         (2) Certificate of eligibility to receive a preference in bidding

20-27  on public works.

20-28     5.  For the purposes of complying with the requirements set

20-29  forth in paragraph (a) of subsection 3 and paragraph (a) of

20-30  subsection 4, a contractor shall be deemed to have paid:

20-31     (a) Sales and use taxes and governmental services taxes paid in

20-32  this state by an affiliate or parent company of the contractor, if the

20-33  affiliate or parent company is also a general contractor or specialty

20-34  contractor, as applicable; and

20-35     (b) Sales and use taxes paid in this state by a joint venture in

20-36  which the contractor is a participant, in proportion to the amount of

20-37  interest the contractor has in the joint venture.

20-38     6.  A contractor who has received a certificate of eligibility to

20-39  receive a preference in bidding on public works from the State

20-40  Contractors’ Board pursuant to subsection 3 or 4 shall, at the time

20-41  for the annual renewal of his contractor’s license pursuant to NRS

20-42  624.283, submit to the Board an affidavit from a certified public

20-43  accountant setting forth that the contractor has, during the

20-44  immediately preceding 12 months, paid the taxes required pursuant


21-1  to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as

21-2  applicable, to maintain his eligibility to hold such a certificate.

21-3      7.  A contractor who fails to submit an affidavit to the Board

21-4  pursuant to subsection 6 ceases to be eligible to receive a preference

21-5  in bidding on public works unless he reapplies for and receives a

21-6  certificate of eligibility pursuant to subsection 3 or 4, as applicable.

21-7      8.  If a contractor holds more than one contractor’s license, he

21-8  must submit a separate application for each license pursuant to

21-9  which he wishes to qualify for a preference in bidding. Upon

21-10  issuance, the certificate of eligibility to receive a preference in

21-11  bidding on public works becomes part of the contractor’s license for

21-12  which the contractor submitted the application.

21-13     9.  If a contractor who applies to the State Contractors’ Board

21-14  for a certificate of eligibility to receive a preference in bidding on

21-15  public works submits false information to the Board regarding the

21-16  required payment of taxes, the contractor is not eligible to receive a

21-17  preference in bidding on public works for a period of 5 years after

21-18  the date on which the Board becomes aware of the submission of the

21-19  false information.

21-20     10.  If any federal statute or regulation precludes the granting of

21-21  federal assistance or reduces the amount of that assistance for a

21-22  particular public work because of the provisions of subsection 2,

21-23  those provisions do not apply insofar as their application would

21-24  preclude or reduce federal assistance for that work. The provisions

21-25  of subsection 2 do not apply to any contract for a public work which

21-26  is expected to cost less than $250,000.

21-27     11.  If a bid is submitted by two or more contractors as a joint

21-28  venture or by one of them as a joint venturer, the provisions of

21-29  subsection 2 apply only if both or all of the joint venturers

21-30  separately meet the requirements of that subsection.

21-31     12.  The State Contractors’ Board shall adopt regulations and

21-32  may assess reasonable fees relating to the certification of contractors

21-33  for a preference in bidding on public works.

21-34     13.  A person or entity who believes that a contractor

21-35  wrongfully holds a certificate of eligibility to receive a preference in

21-36  bidding on public works may challenge the validity of the certificate

21-37  by filing a written objection with the public body to which the

21-38  contractor has submitted a bid or proposal on a contract for the

21-39  completion of a public work. A written objection authorized

21-40  pursuant to this subsection must:

21-41     (a) Set forth proof or substantiating evidence to support the

21-42  belief of the person or entity that the contractor wrongfully holds a

21-43  certificate of eligibility to receive a preference in bidding on public

21-44  works; and


22-1      (b) Be filed with the public body at or after the time at which the

22-2  contractor submitted the bid or proposal to the public body and

22-3  before the time at which the public body awards the contract for

22-4  which the bid or proposal was submitted.

22-5      14.  If a public body receives a written objection pursuant to

22-6  subsection 13, the public body shall determine whether the objection

22-7  is accompanied by the proof or substantiating evidence required

22-8  pursuant to paragraph (a) of that subsection. If the public body

22-9  determines that the objection is not accompanied by the required

22-10  proof or substantiating evidence, the public body shall dismiss the

22-11  objection and may proceed immediately to award the contract. If

22-12  the public body determines that the objection is accompanied by the

22-13  required proof or substantiating evidence, the public body shall

22-14  determine whether the contractor qualifies for the certificate

22-15  pursuant to the provisions of this section and may proceed to award

22-16  the contract accordingly.

22-17     Sec. 16.  NRS 338.1715 is hereby amended to read as follows:

22-18     338.1715  1.  A public body that is required to contract with a

22-19  prime contractor pursuant to subsection 1 of NRS 338.1711 or elects

22-20  to contract with a prime contractor pursuant to subsection 4 of NRS

22-21  338.1711 shall select the prime contractor in accordance with the

22-22  procedures for bidding that are set forth in:

22-23     (a) The provisions of NRS 338.1375 to 338.139, inclusive; or

22-24     (b) NRS 338.143 to 338.148, inclusive, if the public body is a

22-25  local government that elects to award a contract for a public work in

22-26  accordance with [paragraph (b) of subsection 1] subsection 2 of

22-27  NRS 338.1373.

22-28     2.  A public body that contracts with a design-build team

22-29  pursuant to NRS 338.1711 and 338.1713 shall select the design-

22-30  build team in accordance with NRS 338.1721 to 338.1727,

22-31  inclusive.

22-32     Sec. 17.  NRS 338.1721 is hereby amended to read as follows:

22-33     338.1721  To qualify to participate in a project for the design

22-34  and construction of a public work, a design-build team must:

22-35     1.  Obtain a performance bond and payment bond as required

22-36  pursuant to NRS 339.025;

22-37     2.  Obtain insurance covering general liability and liability for

22-38  errors and omissions;

22-39     3.  Not have been found liable for breach of contract with

22-40  respect to a previous project, other than a breach for legitimate

22-41  cause;

22-42     4.  Not have been disqualified from being awarded a contract

22-43  pursuant to NRS 338.017, 338.1387 [, 338.145 or 408.333;] or

22-44  338.145; and


23-1      5.  Ensure that the members of the design-build team possess

23-2  the licenses and certificates required to carry out the functions of

23-3  their respective professions within this state.

23-4      Sec. 18.  NRS 341.148 is hereby amended to read as follows:

23-5      341.148  [1.  Except as otherwise provided in subsection 2,

23-6  the] The Board shall advertise in a newspaper of general circulation

23-7  in the State of Nevada for separate sealed bids for each construction

23-8  project [.] whose estimated cost is more than $100,000. Approved

23-9  plans and specifications for the construction must be on file at a

23-10  place and time stated in the advertisement for the inspection of all

23-11  persons desiring to bid thereon and for other interested persons. The

23-12  Board may accept bids on either the whole or a part of the

23-13  construction, equipment and furnishings[,] of a construction

23-14  project and may let separate contracts for different and separate

23-15  portions of any project, or a combination contract for structural,

23-16  mechanical and electrical construction if savings will result to the

23-17  lowest responsible and responsive bidder.

23-18     [2.  The Board is not required to advertise for sealed bids for

23-19  construction projects if the estimated cost is less than $25,000, but

23-20  the Board may solicit firm written bids from not less than two

23-21  licensed contractors doing business in the area and may award the

23-22  contract to the lowest responsible and responsive bidder or reject all

23-23  bids.]

23-24     Sec. 19.  NRS 341.166 is hereby amended to read as follows:

23-25     341.166  1.  The Board may, with the approval of the Interim

23-26  Finance Committee when the Legislature is not in regular or special

23-27  session, or with the approval of the Legislature by concurrent

23-28  resolution when the Legislature is in regular or special session, enter

23-29  into a contract for services with a contractor licensed pursuant to

23-30  chapter 624 of NRS to assist the Board:

23-31     (a) In the development of designs, plans, specifications and

23-32  estimates of costs for a proposed construction project.

23-33     (b) In the review of designs, plans, specifications and estimates

23-34  of costs for a proposed construction project to ensure that the

23-35  designs, plans, specifications and estimates of costs are complete

23-36  and that the project is feasible to construct.

23-37     2.  The Board is not required to advertise for bids for a contract

23-38  for services pursuant to subsection 1, but may solicit bids from not

23-39  fewer than three licensed contractors and may award the contract to

23-40  the lowest responsible and responsive bidder.

23-41     3.  The Board shall adopt regulations establishing procedures

23-42  for:

23-43     (a) The determination of the qualifications of contractors to bid

23-44  for the contracts for services described in subsection 1.

23-45     (b) The bidding and awarding of such contracts.


24-1      4.  If a proposed construction project for which a contractor is

24-2  awarded a contract for services by the Board pursuant to subsection

24-3  1 is advertised pursuant to NRS [341.148,] 338.1385, that contractor

24-4  may submit a bid for the contract for the proposed construction

24-5  project if he is qualified pursuant to NRS [338.1377.] 338.1375.

24-6      Sec. 20.  NRS 408.205 is hereby amended to read as follows:

24-7      408.205  1.  With the approval of the Board, the Director may

24-8  execute all plans, specifications, contracts and instruments in the

24-9  name of the State of Nevada necessary for the carrying out of the

24-10  provisions of this chapter . [, except those construction contracts as

24-11  provided in NRS 408.327 and 408.347.]

24-12     2.  The Director has such other power and authority as is

24-13  necessary and proper under the provisions of this chapter, or as the

24-14  Board delegates to him.

24-15     3.  The Director shall provide for the purchase of United States

24-16  Savings Bonds or similar United States obligations by salary or

24-17  wage deductions for officers and employees of the Department who

24-18  make written requests for such deductions and purchases. To allow

24-19  all Department officers and employees the opportunity of requesting

24-20  salary or wage deductions for the purchase of United States

24-21  obligations, the Director shall provide forms authorizing the

24-22  deductions and purchases and shall make them readily available to

24-23  all Department officers and employees.

24-24     Sec. 21. NRS 408.215 is hereby amended to read as follows:

24-25     408.215  1.  The Director has charge of all the records of the

24-26  Department, keeping records of all proceedings pertaining to the

24-27  Department and keeping on file information, plans, specifications,

24-28  estimates, statistics and records prepared by the Department, except

24-29  [those financial statements described in NRS 408.333 and] the

24-30  financial or proprietary information described in paragraph (d) of

24-31  subsection 5 of NRS [408.3886,] 338.1727, which must not become

24-32  matters of public record.

24-33     2.  The Director may photograph, microphotograph or film or

24-34  dispose of the records of the Department referred to in subsection 1

24-35  as provided in NRS 239.051, 239.080 and 239.085.

24-36     3.  The Director shall maintain an index or record of deeds or

24-37  other references of title or interests in and to all lands or interests in

24-38  land owned or acquired by the Department.

24-39     4.  The Director shall adopt such regulations as may be

24-40  necessary to carry out and enforce the provisions of this chapter.

24-41     Sec. 22. NRS 408.225 is hereby amended to read as follows:

24-42     408.225  [Except as otherwise provided in NRS 408.323, the]

24-43  The Director, with the approval of the Board, may rent, lease,

24-44  purchase and contract for all equipment, materials, supplies,

24-45  vehicles, road machinery, tools, implements and technical services


25-1  required for the purpose of this chapter. Such equipment, supplies

25-2  and services must be managed and used under the control of the

25-3  Director.

25-4      Sec. 23. NRS 408.317 is hereby amended to read as follows:

25-5      408.317  1.  Except as otherwise provided in NRS [408.3875

25-6  to 408.3887,] 338.1711 to 338.1727, inclusive, all work of

25-7  construction, reconstruction, improvement and maintenance of

25-8  highways as provided under the provisions of this chapter is under

25-9  the supervision and direction of the Director and must be performed

25-10  in accordance with the plans, specifications and contracts prepared

25-11  by him.

25-12     2.  All maintenance and repair of highways when performed by

25-13  the Department must be paid out of the State Highway Fund.

25-14     Sec. 24. NRS 408.323 is hereby amended to read as follows:

25-15     408.323  [1.  Whenever it can be justified by the Director that

25-16  limited work or improvements can be done in a more economical or

25-17  other satisfactory manner than by contract under NRS 408.327, the

25-18  Director may, with the approval of the Board, execute such work or

25-19  improvements with Department facilities and employees.

25-20     2.] In the event of disaster or great emergency the Director may,

25-21  with the approval of the Board, hire, employ or contract for such

25-22  labor, materials and equipment as are in his opinion necessary to

25-23  reroute, repair or replace any highway threatened or damaged by the

25-24  emergency or disaster . [, and the provisions of NRS 408.327 and

25-25  408.367 do not apply.]

25-26     Sec. 25. NRS 625.530 is hereby amended to read as follows:

25-27     625.530  Except as otherwise provided in NRS 338.1711 to

25-28  338.1727, inclusive : [, and 408.3875 to 408.3887, inclusive:]

25-29     1.  The State of Nevada or any of its political subdivisions,

25-30  including a county, city or town, shall not engage in any public

25-31  work requiring the practice of professional engineering or land

25-32  surveying, unless the maps, plans, specifications, reports and

25-33  estimates have been prepared by, and the work executed under the

25-34  supervision of, a professional engineer, professional land surveyor

25-35  or registered architect.

25-36     2.  The provisions of this section do not:

25-37     (a) Apply to any public work wherein the expenditure for the

25-38  complete project of which the work is a part does not exceed

25-39  $35,000.

25-40     (b) Include any maintenance work undertaken by the State of

25-41  Nevada or its political subdivisions.

25-42     (c) Authorize a professional engineer, registered architect or

25-43  professional land surveyor to practice in violation of any of the

25-44  provisions of chapter 623 of NRS or this chapter.


26-1      (d) Require the services of an architect registered pursuant to the

26-2  provisions of chapter 623 of NRS for the erection of buildings or

26-3  structures manufactured in an industrial plant, if those buildings or

26-4  structures meet the requirements of local building codes of the

26-5  jurisdiction in which they are being erected.

26-6      3.  The selection of a professional engineer, professional land

26-7  surveyor or registered architect to perform services pursuant to

26-8  subsection 1 must be made on the basis of the competence and

26-9  qualifications of the engineer, land surveyor or architect for the type

26-10  of services to be performed and not on the basis of competitive fees.

26-11  If, after selection of the engineer, land surveyor or architect, an

26-12  agreement upon a fair and reasonable fee cannot be reached with

26-13  him, the public agency may terminate negotiations and select

26-14  another engineer, land surveyor or architect.

26-15     Sec. 26. NRS 408.327, 408.333, 408.337, 408.343, 408.347,

26-16  408.357, 408.367, 408.3875, 408.3876, 408.3877, 408.3878,

26-17  408.3879, 408.388, 408.3881, 408.3882, 408.3883, 408.3884,

26-18  408.3885, 408.3886 and 408.3887 are hereby repealed.

26-19     Sec. 27.  1.  This section and sections 1 to 10, inclusive, 12,

26-20  13 and 15 to 26, inclusive, of this act become effective on

26-21  October 1, 2003.

26-22     2.  Sections 10 and 13 of this act expire by limitation on

26-23  April 30, 2013.

26-24     3.  Sections 11 and 14 of this act become effective on May 1,

26-25  2013.

 

 

26-26  LEADLINES OF REPEALED SECTIONS

 

 

26-27     408.327  Advertisement for bids; publication.

26-28     408.333  Bids and bidders: Experience and financial ability;

26-29   hearing upon disqualification; appeal of decision.

26-30     408.337  Bids and bidders: Security; forfeiture; refunds.

26-31     408.343  Bids and bidders: Procedure for award of contract.

26-32     408.347  Execution of contract in name of state; copies filed

26-33   with department and county commissioners.

26-34     408.357  Bids and bidders: Bonds required of successful

26-35   bidders; exception; conditions; sureties.

26-36     408.367  Project not exceeding $250,000: Informal bids;

26-37   advertisement; mailing of invitation to bid; contract; bonds;

26-38   exception.

26-39     408.3875  Definitions.

26-40     408.3876  “Design-build contract” defined.


27-1      408.3877  “Design-build team” defined.

27-2      408.3878  “Prime contractor” defined.

27-3      408.3879  “Project” defined.

27-4      408.388  Projects for which department may contract with

27-5   design-build team.

27-6      408.3881  Public meeting; notice.

27-7      408.3882  Procedure for selecting design-build team.

27-8      408.3883  Preliminary proposals: Advertisement by

27-9   department; publication; information available for inspection

27-10   by design-build teams.

27-11     408.3884  Qualifications of design-build team.

27-12     408.3885  Procedure for selecting finalists from among

27-13   design-build teams that submitted preliminary proposals.

27-14     408.3886  Request for final proposals; submission of final

27-15   proposals; selection or rejection of final proposals; awarding

27-16   contract; duties of design-build team.

27-17     408.3887  Employment of architect or engineer as

27-18   consultant during construction.

 

27-19  H