Assembly Bill No. 527-Committee on Government Affairs
May 23, 1997
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Referred to Committee on Government Affairs
SUMMARY--Requires timely payments to design professionals on public works. (BDR 28-1200)
FISCAL NOTE: Effect on Local Government: Yes.
Effect on the State or on Industrial Insurance: Yes.
EXPLANATION - Matter in italics is new; matter in brackets [ ] is material to be omitted.
AN ACT relating to public works; requiring timely payments to certain design professionals on public works; and providing other matters properly relating thereto.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1 Chapter 338 of NRS is hereby amended by adding thereto a new section to read as follows:
1. If a public body enters into a contract with a design professional for the provision of services in connection with a public work, the contract:
(a) Must set forth:
(1) The specific period within which the public body must pay the design professional.
(2) The specific period and manner in which the public body may dispute a payment or portion thereof that the design professional alleges is due.
(3) The terms of any penalty that will be imposed upon the public body if the public body fails to pay the design professional within the specific period set forth in the contract pursuant to subparagraph (1).
(4) That the prevailing party in an action to enforce the contract is entitled to reasonable attorney's fees and costs.
(b) May set forth the terms of any discount that the public body will receive if the public body pays the design professional within the specific period set forth in the contract pursuant to subparagraph (1) of paragraph (a).
2. As used in this section, "design professional" means a person with a professional license issued pursuant to chapter 623, 623A or 625 of NRS.
Sec. 2 This act becomes effective upon passage and approval.