Assembly Bill No. 425–Assemblyman Parks
CHAPTER..........
AN ACT relating to public works; providing for a hearing for unsuccessful bidders; revising the exemption of contracts necessary to contend with certain emergencies from the requirements relating to contracts for public works; authorizing a public body to require a person who is found to have failed to pay the prevailing wage to pay the costs incurred by the public body for its investigation; revising the provisions governing the criteria for determining the qualification of bidders on public works of local governments; revising certain provisions regarding advertising for bids; removing certain provisions regarding the maintenance of lists of licensed contractors by public bodies for bidding on certain contracts; revising provisions governing the naming of subcontractors; requiring an authorized representative to make certain reports to public bodies regarding certain contracts; revising certain provisions regarding objections to the award of a certificate of eligibility for a preference in bidding; 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 a new section to read as follows:
1-3 1. A person who bids on a contract may file a notice of protest
1-4 regarding the awarding of the contract with the authorized
1-5 representative designated by the public body within 5 business
1-6 days after the date the bids were opened by the public body or its
1-7 authorized representative.
1-8 2. The notice of protest must include a written statement
1-9 setting forth with specificity the reasons the person filing the
1-10 notice believes the applicable provisions of law were violated.
1-11 3. A person filing a notice of protest may be required by the
1-12 public body or its authorized representative, at the time the notice
1-13 of protest is filed, to post a bond with a good and solvent surety
1-14 authorized to do business in this state or submit other security, in
1-15 a form approved by the public body, to the public body who shall
1-16 hold the bond or other security until a determination is made on
1-17 the protest. A bond posted or other security submitted with a
1-18 notice of protest must be in an amount equal to the lesser of:
1-19 (a) Twenty-five percent of the total value of the bid submitted
1-20 by the person filing the notice of protest; or
1-21 (b) Two hundred fifty thousand dollars.
2-1 4. A notice of protest filed in accordance with the provisions
2-2 of this section operates as a stay of action in relation to the
2-3 awarding of any contract until a determination is made by the
2-4 public body on the protest.
2-5 5. A person who makes an unsuccessful bid may not seek any
2-6 type of judicial intervention until the public body has made a
2-7 determination on the protest and awarded the contract.
2-8 6. Neither a public body nor any authorized representative of
2-9 the public body is liable for any costs, expenses, attorney’s fees,
2-10 loss of income or other damages sustained by a person who makes
2-11 a bid, whether or not the person files a notice of protest pursuant
2-12 to this section.
2-13 7. If the protest is upheld, the bond posted or other security
2-14 submitted with the notice of protest must be returned to the person
2-15 who posted the bond or submitted the security. If the protest is
2-16 rejected, a claim may be made against the bond or other security
2-17 by the public body in an amount equal to the expenses incurred
2-18 by the public body because of the unsuccessful protest. Any
2-19 money remaining after the claim has been satisfied must be
2-20 returned to the person who posted the bond or submitted the
2-21 security.
2-22 Sec. 2. NRS 338.010 is hereby amended to read as follows:
2-23 338.010 As used in this chapter:
2-24 1. “Authorized representative” means a person designated by
2-25 a governing body to be responsible for the development and
2-26 award of contracts for public works pursuant to this chapter.
2-27 2. “Contract” means a written contract entered into between
2-28 a contractor and a public body for the provision of labor,
2-29 materials, equipment or supplies for a public work.
2-30 3. “Contractor” means:
2-31 (a) A person who is licensed pursuant to the provisions of
2-32 chapter 624 of NRS or performs such work that he is not required
2-33 to be licensed pursuant to chapter 624 of NRS.
2-34 (b) A design-build team.
2-35 4. “Day labor” means all cases where public bodies, their
2-36 officers, agents or employees, hire, supervise and pay the wages
2-37 thereof directly to a workman or workmen employed by them on
2-38 public works by the day and not under a contract in writing.
2-39 [2.] 5. “Design-build contract” means a contract between a
2-40 public body and a design-build team in which the design-build team
2-41 agrees to design and construct a public work.
2-42 [3.] 6. “Design-build team” means an entity that consists of:
2-43 (a) At least one person who is licensed as a general engineering
2-44 contractor or a general building contractor pursuant to chapter 624
2-45 of NRS; and
2-46 (b) For a public work that consists of:
3-1 (1) A building and its site, at least one person who holds a
3-2 certificate of registration to practice architecture pursuant to chapter
3-3 623 of NRS.
3-4 (2) Anything other than a building and its site, at least one
3-5 person who holds a certificate of registration to practice
3-6 architecture pursuant to chapter 623 of NRS or landscape
3-7 architecture pursuant to chapter 623A of NRS or who is licensed
3-8 as a professional engineer pursuant to chapter 625 of NRS.
3-9 [4.] 7. “Design professional” means:
3-10 (a) A person who is licensed as a professional engineer pursuant
3-11 to chapter 625 of NRS;
3-12 (b) A person who is licensed as a professional land surveyor
3-13 pursuant to chapter 625 of NRS;
3-14 (c) A person who holds a certificate of registration to engage in
3-15 the practice of architecture , interior design or residential design
3-16 pursuant to chapter 623 of NRS;
3-17 (d) A person who holds a certificate of registration to engage in
3-18 the practice of landscape architecture pursuant to chapter 623A of
3-19 NRS; or
3-20 (e) A business entity that engages in the practice of professional
3-21 engineering, land surveying, architecture or landscape architecture.
3-22 [5.] 8. “Eligible bidder” means a person who is:
3-23 (a) Found to be a responsible and responsive contractor by a
3-24 local government or its authorized representative which requests
3-25 bids for a public work in accordance with paragraph (b) of
3-26 subsection 1 of NRS 338.1373; or
3-27 (b) Determined by a public body or its authorized
3-28 representative which awarded a contract for a public work pursuant
3-29 to NRS 338.1375 to 338.139, inclusive, to be qualified to bid on
3-30 that contract pursuant to NRS 338.1379 . [or was exempt from
3-31 meeting such qualifications pursuant to NRS 338.1383.
3-32 6.] 9. “General contractor” means a person who is licensed to
3-33 conduct business in one, or both, of the following branches of the
3-34 contracting business:
3-35 (a) General engineering contracting, as described in subsection 2
3-36 of NRS 624.215.
3-37 (b) General building contracting, as described in subsection 3 of
3-38 NRS 624.215.
3-39 10. “Governing body” means the board, council, commission
3-40 or other body in which the general legislative and fiscal powers of
3-41 a local government are vested.
3-42 [7.] 11. “Local government” means every political subdivision
3-43 or other entity which has the right to levy or receive money from ad
3-44 valorem or other taxes or any mandatory assessments, and includes,
3-45 without limitation, counties, cities, towns, boards, school districts
3-46 and other districts organized pursuant to chapters 244A, 309, 318,
4-1 379, 474, 538, 541, 543 and 555 of NRS, NRS 450.550 to 450.750,
4-2 inclusive, and any agency or department of a county or city which
4-3 prepares a budget separate from that of the parent political
4-4 subdivision.
4-5 [8.] 12. “Offense” means failing to:
4-6 (a) Pay the prevailing wage required pursuant to this chapter;
4-7 (b) Pay the contributions for unemployment compensation
4-8 required pursuant to chapter 612 of NRS;
4-9 (c) Provide and secure compensation for employees required
4-10 pursuant to chapters 616A to 617, inclusive, of NRS; or
4-11 (d) Comply with subsection 4 or 5 of NRS 338.070.
4-12 [9.] 13. “Prime contractor” means a [person] contractor who:
4-13 (a) Contracts to construct an entire project;
4-14 (b) Coordinates all work performed on the entire project;
4-15 (c) Uses his own workforce to perform all or a part of the
4-16 [construction, repair or reconstruction of the project;] public work;
4-17 and
4-18 (d) Contracts for the services of any subcontractor or
4-19 independent contractor or is responsible for payment to any
4-20 contracted subcontractors or independent contractors.
4-21 The term includes, without limitation, a general contractor or a
4-22 specialty contractor who is authorized to bid on a project pursuant
4-23 to NRS 338.139 or 338.148.
4-24 [10.] 14. “Public body” means the State, county, city, town,
4-25 school district or any public agency of this state or its political
4-26 subdivisions sponsoring or financing a public work.
4-27 [11.] 15. “Public work” means any project for the new
4-28 construction, repair or reconstruction of:
4-29 (a) A project financed in whole or in part from public money
4-30 for:
4-31 (1) Public buildings;
4-32 (2) Jails and prisons;
4-33 (3) Public roads;
4-34 (4) Public highways;
4-35 (5) Public streets and alleys;
4-36 (6) Public utilities ; [which are financed in whole or in part
4-37 by public money;]
4-38 (7) Publicly owned water mains and sewers;
4-39 (8) Public parks and playgrounds;
4-40 (9) Public convention facilities which are financed at least in
4-41 part with public funds; and
4-42 (10) All other publicly owned works and property . [whose
4-43 cost as a whole exceeds $20,000. Each separate unit that is a part of
4-44 a project is included in the cost of the project to determine whether
4-45 a project meets that threshold.]
5-1 (b) A building for the University and Community College
5-2 System of Nevada of which 25 percent or more of the costs of the
5-3 building as a whole are paid from money appropriated by this state
5-4 or from federal money.
5-5 [12.] 16. “Specialty contractor” means a person who is
5-6 licensed to conduct business as described in subsection 4 of
5-7 NRS 624.215.
5-8 [13.] 17. “Stand-alone underground utility project” means an
5-9 underground utility project that is not integrated into a larger
5-10 project, including, without limitation:
5-11 (a) An underground sewer line or an underground pipeline for
5-12 the conveyance of water, including facilities appurtenant thereto;
5-13 and
5-14 (b) A project for the construction or installation of a storm drain,
5-15 including facilities appurtenant thereto,
5-16 that is not located at the site of a public work for the design and
5-17 construction of which a public body is authorized to contract with a
5-18 design-build team pursuant to subsection 2 of NRS 338.1711.
5-19 [14.] 18. “Subcontract” means a written contract entered
5-20 into between:
5-21 (a) A contractor and a subcontractor or supplier; or
5-22 (b) A subcontractor and another subcontractor or supplier, for
5-23 the provision of labor, materials, equipment or supplies for a
5-24 construction project.
5-25 19. “Subcontractor” means a person who:
5-26 (a) Is licensed pursuant to the provisions of chapter 624 of
5-27 NRS or performs such work that he is not required to be licensed
5-28 pursuant to chapter 624 of NRS; and
5-29 (b) Contracts with a contractor, another subcontractor or a
5-30 supplier to provide labor, materials or services for a construction
5-31 project.
5-32 20. “Supplier” means a person who provides materials,
5-33 equipment or supplies for a construction project.
5-34 21. “Wages” means:
5-35 (a) The basic hourly rate of pay; and
5-36 (b) The amount of pension, health and welfare, vacation and
5-37 holiday pay, the cost of apprenticeship training or other similar
5-38 programs or other bona fide fringe benefits which are a benefit to
5-39 the workman.
5-40 [15.] 22. “Workman” means a skilled mechanic, skilled
5-41 workman, semiskilled mechanic, semiskilled workman or unskilled
5-42 workman. The term does not include a design professional.
5-43 Sec. 3. NRS 338.011 is hereby amended to read as follows:
5-44 338.011 The requirements of this chapter do not apply to a
5-45 contract [awarded in compliance with chapter 332 or 333 of NRS
5-46 which is:
6-1 1. Directly] :
6-2 1. Awarded in compliance with chapter 332 or 333 of NRS
6-3 which is directly related to the normal operation of the public body
6-4 or the normal maintenance of its property.
6-5 2. Awarded to meet an emergency which results from a natural
6-6 or man-made disaster and which threatens the health, safety or
6-7 welfare of the public. If the public body or its authorized
6-8 representative determines that an emergency exists, a contract or
6-9 contracts necessary to contend with the emergency may be let
6-10 without complying with the requirements of this chapter. If such
6-11 emergency action was taken by the authorized representative, the
6-12 authorized representative shall report the contract or contracts to
6-13 the public body at the next regularly scheduled meeting of the
6-14 public body.
6-15 Sec. 4. NRS 338.013 is hereby amended to read as follows:
6-16 338.013 1. A public body that advertises for bids for a public
6-17 work shall request from the Labor Commissioner, and include in
6-18 the advertisement, an identifying number with his designation of
6-19 the work. That number must be included in any bid submitted in
6-20 response to the advertisement.
6-21 2. Each public body which awards a contract for any public
6-22 work shall report its award to the Labor Commissioner within 10
6-23 days after the award, giving the name and address of [each
6-24 contractor who will be engaged on the work] the contractor to
6-25 whom the public body awarded the contract and the identifying
6-26 number[.] for the public work.
6-27 3. Each contractor engaged on a public work shall report to the
6-28 Labor Commissioner and the public body that awarded the
6-29 contract the name and address of each subcontractor whom he
6-30 engages for work on the project within 10 days after the
6-31 subcontractor commences work on the contract[.] and the
6-32 identifying number for the public work.
6-33 4. The public body which awarded the contract shall report the
6-34 completion of all work performed under the contract to the Labor
6-35 Commissioner before the final payment of money due the
6-36 contractor by the public body.
6-37 Sec. 5. NRS 338.030 is hereby amended to read as follows:
6-38 338.030 1. The public body awarding any contract for public
6-39 work, or otherwise undertaking any public work, shall ascertain
6-40 from the Labor Commissioner the prevailing wage in the county in
6-41 which the public work is to be performed for each craft or type of
6-42 work.
6-43 2. To establish a prevailing wage in each county, including
6-44 Carson City, the Labor Commissioner shall, annually, survey
6-45 contractors who have performed work in the county. Within 30
6-46 days after the determination is issued:
7-1 (a) A public body or person entitled under subsection 5 to be
7-2 heard may submit an objection to the Labor Commissioner with
7-3 evidence to substantiate that a different wage prevails; and
7-4 (b) Any person may submit information to the Labor
7-5 Commissioner that would support a change in the prevailing wage
7-6 of a craft or type of work by 50 cents or more per hour in any
7-7 county.
7-8 3. The Labor Commissioner shall hold a hearing in the locality
7-9 in which the work is to be executed if he:
7-10 (a) Is in doubt as to the prevailing wage; or
7-11 (b) Receives an objection or information pursuant to
7-12 subsection 2.
7-13 The Labor Commissioner may hold only one hearing a year on the
7-14 prevailing wage of any craft or type of work in any county.
7-15 4. Notice of the hearing must be advertised in a newspaper
7-16 nearest to the locality of the work once a week for 2 weeks before
7-17 the time of the hearing.
7-18 5. At the hearing, any public body, the crafts affiliated with the
7-19 state federation of labor or other recognized national labor
7-20 organizations, and the contractors of the locality or their
7-21 representatives must be heard. From the evidence presented, the
7-22 Labor Commissioner shall determine the prevailing wage.
7-23 6. The wages so determined must be filed by the Labor
7-24 Commissioner and must be available to any public body which
7-25 awards a contract for any public work.
7-26 7. Nothing contained in NRS 338.020 to 338.090, inclusive,
7-27 may be construed to authorize the fixing of any wage below any
7-28 rate which may now or hereafter be established as a minimum wage
7-29 for any person employed upon any public work, or employed by
7-30 any officer or agent of any [political subdivision of the State of
7-31 Nevada.] public body.
7-32 Sec. 6. NRS 338.035 is hereby amended to read as follows:
7-33 338.035 The obligation of a contractor engaged on a public
7-34 work or subcontractor engaged on a public work to pay wages in
7-35 accordance with the determination of the Labor Commissioner may
7-36 be discharged by the making of payments in cash, or by making
7-37 contributions to a third person pursuant to a fund, plan or program
7-38 in the name of the workman.
7-39 Sec. 7. NRS 338.060 is hereby amended to read as follows:
7-40 338.060 1. A contractor engaged on a public [works] work
7-41 shall forfeit, as a penalty to the public body [in] on behalf of which
7-42 the contract has been made and awarded to the contractor, not less
7-43 than $20 nor more than $50 for each calendar day or portion thereof
7-44 that each workman employed on the public work:
8-1 (a) Is paid less than the designated rate for any work done under
8-2 the contract, by the contractor or any subcontractor [under him.]
8-3 engaged on the public work.
8-4 (b) Is not reported to the public body awarding the contract as
8-5 required pursuant to NRS 338.070.
8-6 The public body awarding the contract shall cause a stipulation to
8-7 this effect to be inserted in the contract.
8-8 2. The Labor Commissioner shall, by regulation, establish a
8-9 sliding scale based on the size of the [contractor’s] business of a
8-10 contractor engaged on a public work to determine the amount of
8-11 the penalty to be imposed pursuant to subsection 1.
8-12 3. If a penalty is imposed pursuant to this section, the costs of
8-13 the proceeding, including investigative costs and attorney’s fees,
8-14 may be recovered by the Labor Commissioner[.] and the public
8-15 body.
8-16 Sec. 8. NRS 338.070 is hereby amended to read as follows:
8-17 338.070 1. Any public body [and its officers or agents]
8-18 awarding a contract shall:
8-19 (a) Investigate possible violations of the provisions of NRS
8-20 338.010 to 338.090, inclusive, committed in the course of the
8-21 execution of the contract, and determine whether a violation has
8-22 been committed and inform the Labor Commissioner of any such
8-23 violations; and
8-24 (b) When making payments to the contractor engaged on the
8-25 public work of money becoming due under the contract, withhold
8-26 and retain all sums forfeited pursuant to the provisions of NRS
8-27 338.010 to 338.090, inclusive.
8-28 2. No sum may be withheld, retained or forfeited, except from
8-29 the final payment, without a full investigation being made by the
8-30 awarding public body . [or its agents.]
8-31 3. It is lawful for any contractor engaged on a public work to
8-32 withhold from any subcontractor [under him] engaged on the
8-33 public work sufficient sums to cover any penalties withheld from
8-34 [him] the contractor by the awarding public body on account of the
8-35 failure of the subcontractor to comply with the terms of NRS
8-36 338.010 to 338.090, inclusive. If payment has already been made to
8-37 the subcontractor, the contractor may recover from [him] the
8-38 subcontractor the amount of the penalty or forfeiture in a suit at
8-39 law.
8-40 4. [The] A contractor engaged on a public work and each
8-41 subcontractor engaged on the public work shall keep or cause to be
8-42 kept an accurate record showing the name, the occupation and the
8-43 actual per diem, wages and benefits paid to each workman
8-44 employed by [him] the contractor and subcontractor in connection
8-45 with the public work.
9-1 5. The record maintained pursuant to subsection 4 must be
9-2 open at all reasonable hours to the inspection of the public body
9-3 awarding the contract . [, and its officers and agents.] The
9-4 contractor engaged on the public work or subcontractor engaged
9-5 on the public work shall ensure that a copy of the record for each
9-6 calendar month is received by the public body awarding the
9-7 contract no later than [10] 15 days after the end of the month. The
9-8 copy must be open to public inspection as provided in NRS
9-9 239.010. The record in the possession of the public body awarding
9-10 the contract may be discarded by the public body 2 years after final
9-11 payment is made by the public body for the public work.
9-12 6. Any contractor or subcontractor, or agent or representative
9-13 thereof, performing work for a public work who neglects to comply
9-14 with the provisions of this section is guilty of a misdemeanor.
9-15 Sec. 9. NRS 338.080 is hereby amended to read as follows:
9-16 338.080 None of the provisions of NRS 338.020 to 338.090,
9-17 inclusive, apply to:
9-18 1. Any work, construction, alteration, repair or other
9-19 employment performed, undertaken or carried out, by or for any
9-20 railroad company or any person operating the same, whether such
9-21 work, construction, alteration or repair is incident to or in
9-22 conjunction with a contract to which [this state or any of its
9-23 political subdivisions] a public body is a party, or otherwise.
9-24 2. Apprentices recorded under the provisions of chapter 610 of
9-25 NRS.
9-26 3. Any contract for a public work whose cost is less than
9-27 $100,000. A unit of the project must not be separated from the total
9-28 project, even if that unit is to be completed at a later time, in order
9-29 to lower the cost of the project below $100,000.
9-30 Sec. 10. NRS 338.090 is hereby amended to read as follows:
9-31 338.090 1. Any person, including the officers, agents or
9-32 employees of a public body, who violates any of the provisions of
9-33 NRS 338.010 to 338.090, inclusive, or any regulation adopted
9-34 pursuant thereto, is guilty of a misdemeanor.
9-35 2. The Labor Commissioner, in addition to any other penalty
9-36 provided in this chapter:
9-37 (a) Shall assess a person who, after a hearing, is found to have
9-38 failed to pay the prevailing wage required pursuant to NRS 338.020
9-39 to 338.090, inclusive, an amount equal to the difference between
9-40 the prevailing wages required to be paid and the wages [he] that the
9-41 contractor or subcontractor actually paid; and
9-42 (b) May, in addition, impose an administrative fine not to
9-43 exceed the costs [he] incurred by the Labor Commissioner to
9-44 investigate and prosecute the matter.
9-45 3. If the Labor Commissioner finds that a person has failed to
9-46 pay the prevailing wage required pursuant to NRS 338.020 to
10-1 338.090, inclusive, the public body may, in addition to any other
10-2 penalty or administrative fine provided in this chapter, require the
10-3 person to pay the actual costs incurred by the public body to
10-4 investigate the matter.
10-5 Sec. 11. NRS 338.125 is hereby amended to read as follows:
10-6 338.125 1. It is unlawful for any contractor in connection
10-7 with the performance of work under a contract with [the State, or
10-8 any of its political subdivisions,] a public body, when payment of
10-9 the contract price, or any part of such payment, is to be made from
10-10 public money, to refuse to employ or to discharge from
10-11 employment any person because of his race, color, creed, national
10-12 origin, sex, sexual orientation or age, or to discriminate against a
10-13 person with respect to hire, tenure, advancement, compensation or
10-14 other terms, conditions or privileges of employment because of his
10-15 race, creed, color, national origin, sex, sexual orientation or age.
10-16 2. Contracts [negotiated] between contractors and [the State, or
10-17 any of its political subdivisions,] public bodies must contain the
10-18 following contractual provisions:
10-19 In connection with the performance of work under this
10-20 contract, the contractor agrees not to discriminate against any
10-21 employee or applicant for employment because of race,
10-22 creed, color, national origin, sex, sexual orientation or age,
10-23 including, without limitation, with regard to employment,
10-24 upgrading, demotion or transfer, recruitment or recruitment
10-25 advertising, layoff or termination, rates of pay or other forms
10-26 of compensation, and selection for training, including,
10-27 without limitation, apprenticeship.
10-28 The contractor further agrees to insert this provision in all
10-29 subcontracts hereunder, except subcontracts for standard
10-30 commercial supplies or raw materials.
10-31 3. Any violation of such provision by a contractor constitutes a
10-32 material breach of contract.
10-33 4. As used in this section, “sexual orientation” means having or
10-34 being perceived as having an orientation for heterosexuality,
10-35 homosexuality or bisexuality.
10-36 Sec. 12. NRS 338.130 is hereby amended to read as follows:
10-37 338.130 1. In all cases where persons are employed in the
10-38 construction of public works, preference [shall] must be given[,] by
10-39 a public body, the qualifications of the applicants being equal:
10-40 (a) First: To honorably discharged soldiers, sailors and marines
10-41 of the United States who are citizens of the State of Nevada.
10-42 (b) Second: To other citizens of the State of Nevada.
10-43 2. Nothing in this section shall be construed to prevent the
10-44 working of prisoners by [the State of Nevada, or by any political
11-1 subdivision of the State, on street or road work or other] a public
11-2 body on a public work.
11-3 3. In each contract for the construction of public works a
11-4 [proviso shall] clause must be inserted to the effect that if the
11-5 provisions of this section are not complied with by the contractor[,]
11-6 engaged on the public work, the contract [shall be] is void, and any
11-7 failure or refusal to comply with any of the provisions of this
11-8 section [shall render] renders any such contract void. All boards,
11-9 commissions, officers, agents and employees having the power to
11-10 enter into contracts for the expenditure of public money on public
11-11 works shall file in the Office of the Labor Commissioner the names
11-12 and addresses of all contractors holding contracts with the [State of
11-13 Nevada, or with any political subdivision of the State. Upon] public
11-14 body and upon the letting of new contracts the names and
11-15 addresses of such new contractors [shall] must likewise be filed[.]
11-16 with the Labor Commissioner. Upon the demand of the Labor
11-17 Commissioner , a contractor shall furnish a list of the names and
11-18 addresses of all subcontractors [in his employ.] employed by the
11-19 contractor engaged on a public work.
11-20 4. Subject to the exceptions contained in this section, no money
11-21 [shall] may be paid out of the State Treasury or out of the treasury
11-22 of any political subdivision of the State to any person employed on
11-23 any work mentioned in this section unless there has been
11-24 compliance with the provisions of this section.
11-25 5. Any contractor [with the State of Nevada or with any
11-26 political subdivision of the State] engaged on a public work or any
11-27 other person who violates any of the provisions of this section
11-28 [shall be] is guilty of a misdemeanor. The penalties provided for in
11-29 this section [shall] do not apply where violations thereof are due to
11-30 misrepresentations made by the employee or employees.
11-31 Sec. 13. NRS 338.1373 is hereby amended to read as follows:
11-32 338.1373 1. A local government or its authorized
11-33 representative shall award a contract for [the construction,
11-34 alteration or repair of] a public work pursuant to the provisions of:
11-35 (a) NRS 338.1377 to 338.139, inclusive; [or]
11-36 (b) NRS 338.143 to 338.148, inclusive[.] ; or
11-37 (c) NRS 338.1711 to 338.1727, inclusive.
11-38 2. The provisions of section 1 of this act and NRS 338.1375 to
11-39 [338.1383,] 338.1381, inclusive, and 338.139 and 338.1711 to
11-40 338.1727, inclusive, do not apply with respect to contracts for the
11-41 construction, reconstruction, improvement and maintenance of
11-42 highways that are awarded by the Department of Transportation
11-43 pursuant to NRS 408.313 to 408.433, inclusive.
11-44 Sec. 14. NRS 338.1375 is hereby amended to read as follows:
11-45 338.1375 1. The State Public Works Board shall not accept a
11-46 bid on a contract for a public work unless the [person] contractor
12-1 who submits the bid has qualified pursuant to NRS 338.1379 to bid
12-2 on that contract.
12-3 2. The State Public Works Board shall by regulation adopt
12-4 criteria for the qualification of bidders on contracts for public works
12-5 of this state. The criteria adopted by the State Public Works Board
12-6 pursuant to this section must be used by the State Public Works
12-7 Board to determine the qualification of bidders on contracts for
12-8 public works of this state.
12-9 3. The criteria adopted by the State Public Works Board
12-10 pursuant to this section:
12-11 (a) Must be adopted in such a form that the determination of
12-12 whether an applicant is qualified to bid on a contract for a public
12-13 work does not require or allow the exercise of discretion by any one
12-14 person.
12-15 (b) May include only:
12-16 (1) The financial ability of the applicant to perform a
12-17 contract;
12-18 (2) The principal personnel of the applicant;
12-19 (3) Whether the applicant has breached any contracts with a
12-20 public [agency] body or person in this state or any other state;
12-21 (4) Whether the applicant has been disqualified from being
12-22 awarded a contract pursuant to NRS 338.017 or 338.1387; and
12-23 (5) The performance history of the applicant concerning
12-24 other recent, similar contracts, if any, completed by the applicant.
12-25 Sec. 15. NRS 338.1377 is hereby amended to read as follows:
12-26 338.1377 [1. Except as otherwise provided in NRS
12-27 338.1383,] If the governing body of [each] a local government that
12-28 sponsors or finances a public work elects to award contracts for
12-29 public works pursuant to the provisions of NRS 338.1377 to
12-30 338.139, inclusive, the governing body shall adopt the following
12-31 criteria for [the qualification of bidders] determining whether a
12-32 person who has applied pursuant to NRS 338.1379 is qualified to
12-33 bid on contracts for public works of the local government[. The
12-34 governing body shall use the criteria to determine the qualification
12-35 of bidders on contracts for public works of the local government.
12-36 2. Before adopting criteria pursuant to this section, the
12-37 governing body of a local government shall hold at least one public
12-38 hearing to solicit and evaluate public opinion regarding the criteria
12-39 to be adopted. Notice of such a hearing must be provided by mail at
12-40 least 10 days before the hearing to:
12-41 (a) Construction trade associations in this state; and
12-42 (b) Labor unions representing trades in the building industry in
12-43 this state.
12-44 3. The criteria adopted by a governing body pursuant to this
12-45 section to determine whether an applicant is qualified to bid on a
12-46 contract for a public work:
13-1 (a) Must be adopted in such a form that the determination of
13-2 whether an applicant is qualified to bid on a contract for a public
13-3 work does not require or allow the exercise of discretion by any one
13-4 person.
13-5 (b) May include only:
13-6 (1) The financial ability of the applicant to perform a
13-7 contract;
13-8 (2) The principal personnel of the applicant;
13-9 (3)] :
13-10 1. Whether the applicant possesses a valid contractor’s
13-11 license of a class corresponding to the work to be required by the
13-12 local government;
13-13 2. Whether the applicant has the ability to obtain the
13-14 necessary bonding for the work to be required by the local
13-15 government;
13-16 3. Whether the applicant has successfully completed one or
13-17 more projects during the 5 years immediately preceding the date
13-18 of application of similar size, scope or type as the work to be
13-19 required by the local government;
13-20 4. Whether the principal personnel employed by the applicant
13-21 have the necessary professional qualifications and experience for
13-22 the work to be required by the local government;
13-23 5. Whether the applicant has breached any contracts with a
13-24 public agency or person in this state or any other state[; and
13-25 (4)] during the 5 years immediately preceding the date of
13-26 application;
13-27 6. Whether the applicant has been disqualified from being
13-28 awarded a contract pursuant to NRS 338.017 or 338.1387[.] ;
13-29 7. Whether the applicant has been convicted of a violation for
13-30 discrimination in employment during the 2 years immediately
13-31 preceding the date of application;
13-32 8. Whether the applicant has the ability to obtain and
13-33 maintain insurance coverage for public liability and property
13-34 damage within limits sufficient to protect the applicant and all the
13-35 subcontractors of the applicant from claims for personal injury,
13-36 accidental death and damage to property that may arise in
13-37 connection with the work to be required by the local government;
13-38 9. Whether the applicant has established a safety program
13-39 that complies with the requirements of chapter 618 of NRS;
13-40 10. Whether the applicant has been disciplined or fined by
13-41 the State Contractors’ Board or another state or federal agency
13-42 for conduct that relates to the ability of the applicant to perform
13-43 the work to be required by the local government;
13-44 11. Whether, during the 5 years immediately preceding the
13-45 date of application, the applicant has filed as a debtor under the
13-46 provisions of the United States Bankruptcy Code;
14-1 12. Whether the application of the applicant is truthful and
14-2 complete; and
14-3 13. Whether, during the 5 years immediately preceding the
14-4 date of application, the applicant has, as a result of causes within
14-5 the control of the applicant or a subcontractor or supplier of the
14-6 applicant, failed to perform any contract:
14-7 (a) In the manner specified by the contract and any change
14-8 orders initiated or approved by the person or governmental entity
14-9 that awarded the contract or its authorized representative;
14-10 (b) Within the time specified by the contract unless extended
14-11 by the person or governmental entity that awarded the contract or
14-12 its authorized representative; or
14-13 (c) For the amount of money specified in the contract or as
14-14 modified by any change orders initiated or approved by the person
14-15 or governmental entity that awarded the contract or its authorized
14-16 representative.
14-17 Evidence of the failures described in this subsection may include,
14-18 without limitation, the assessment of liquidated damages against
14-19 the applicant, the forfeiture of any bonds posted by the applicant,
14-20 an arbitration award granted against the applicant or a decision
14-21 by a court of law against the applicant.
14-22 Sec. 16. NRS 338.1379 is hereby amended to read as follows:
14-23 338.1379 1. [Except as otherwise provided in NRS 338.1383,
14-24 a person] A contractor who wishes to qualify as a bidder on a
14-25 contract for a public work must submit an application to the State
14-26 Public Works Board or the governing body.
14-27 2. Upon receipt of an application pursuant to subsection 1, the
14-28 State Public Works Board or the governing body shall:
14-29 (a) Investigate the applicant to determine whether he is qualified
14-30 to bid on a contract; and
14-31 (b) After conducting the investigation, determine whether the
14-32 applicant is qualified to bid on a contract. The determination must
14-33 be made within [30] 45 days after receipt of the application.
14-34 3. The State Public Works Board or the governing body shall
14-35 notify each applicant in writing of its determination. If an
14-36 application is denied, the notice must set forth the reasons for the
14-37 denial and inform the applicant of his right to a hearing pursuant to
14-38 NRS 338.1381.
14-39 4. The State Public Works Board or the governing body [of a
14-40 local government] may determine an applicant is qualified to bid:
14-41 (a) On a specific project;
14-42 (b) On more than one project over a period of 12 months; or
14-43 (c) On more than one project over a period of 24 months.
14-44 5. The State Public Works Board shall not use any criteria
14-45 other than criteria adopted by regulation pursuant to NRS 338.1375
14-46 in determining whether to approve or deny an application.
15-1 6. The governing body [of a local government] shall not use
15-2 any criteria other than the criteria described in NRS 338.1377 in
15-3 determining whether to approve or deny an application.
15-4 7. Financial information and other data pertaining to the net
15-5 worth of an applicant which is gathered by or provided to the State
15-6 Public Works Board or a governing body to determine the financial
15-7 ability of an applicant to perform a contract is confidential and not
15-8 open to public inspection.
15-9 Sec. 17. NRS 338.1381 is hereby amended to read as follows:
15-10 338.1381 1. If, within 10 days after receipt of the notice
15-11 denying his application[,] pursuant to NRS 338.1379, the
15-12 applicant files a written request for a hearing with the State Public
15-13 Works Board or the governing body , [of the local government,] the
15-14 Board or governing body shall set the matter for a hearing within
15-15 [10] 20 days after receipt of the request. The hearing must be held
15-16 not later than [20] 45 days after the receipt of the request for a
15-17 hearing.
15-18 2. The hearing must be held at a time and place prescribed by
15-19 the Board or governing body. At least 10 days before the date set
15-20 for the hearing, the Board or governing body shall serve the
15-21 applicant with written notice of the hearing. The notice may be
15-22 served by personal delivery to the applicant or by certified mail to
15-23 the last known business or residential address of the applicant.
15-24 3. The Board or governing body shall issue a decision [on the
15-25 matter within 5 days after] at the hearing . [and notify the applicant,
15-26 in writing, of its decision within 5 days after it is issued.] The
15-27 decision of the Board or governing body is a final decision for
15-28 purposes of judicial review.
15-29 Sec. 18. NRS 338.1385 is hereby amended to read as follows:
15-30 338.1385 1. Except as otherwise provided in subsection [7] 8
15-31 and NRS 338.1906 and 338.1907, this state, or the governing body
15-32 of a local government or its authorized representative that awards a
15-33 contract for [the construction, alteration or repair of] a public work
15-34 in accordance with paragraph (a) of subsection 1 of NRS 338.1373,
15-35 [or a public officer, public employee or other person responsible for
15-36 awarding a contract for the construction, alteration or repair of a
15-37 public work who represents the State or the local government,]
15-38 shall not:
15-39 (a) Commence [such a project] a public work for which the
15-40 estimated cost exceeds $100,000 unless it advertises in a newspaper
15-41 [of general circulation in this state] qualified pursuant to chapter
15-42 238 of NRS that is published in the county where the public work
15-43 will be performed for bids for the [project; or] public work. If no
15-44 qualified newspaper is published in the county where the public
15-45 work will be performed, the required advertisement must be
15-46 published in some qualified newspaper that is printed in the State
15-47 of Nevada and has a general circulation in the county.
16-1 (b) Divide [such a project] a public work into separate portions
16-2 to avoid the requirements of paragraph (a).
16-3 2. [Except as otherwise provided in subsection 7, a public body
16-4 that maintains a list of properly licensed contractors who are
16-5 interested in receiving offers to bid on public works projects for
16-6 which the estimated cost is more than $25,000 but less than
16-7 $100,000 shall solicit bids from not more than three of the
16-8 contractors on the list for a contract of that value for the
16-9 construction, alteration or repair of a public work. The public body
16-10 shall select contractors from the list in such a manner as to afford
16-11 each contractor an equal opportunity to bid on a public works
16-12 project. A properly licensed contractor must submit a written
16-13 request annually to the public body to remain on the list. Offers for
16-14 bids which are made pursuant to this subsection must be sent by
16-15 certified mail.] At least once each quarter, the authorized
16-16 representative of a public body shall report to the public body any
16-17 contract that he awarded pursuant to subsection 1 in the
16-18 immediately preceding quarter.
16-19 3. Each advertisement for bids must include a provision that
16-20 sets forth[:
16-21 (a) The] the requirement that a contractor must be qualified
16-22 pursuant to NRS 338.1379 to bid on the contract . [or must be
16-23 exempt from meeting such qualifications pursuant to NRS
16-24 338.1383; and
16-25 (b) The period during which an application to qualify as a bidder
16-26 on the contract must be submitted.]
16-27 4. Approved plans and specifications for the bids must be on
16-28 file at a place and time stated in the advertisement for the inspection
16-29 of all persons desiring to bid thereon and for other interested
16-30 persons. Contracts for the project must be awarded on the basis of
16-31 bids received.
16-32 5. Except as otherwise provided in subsection 6 and NRS
16-33 338.1389, a public body shall award a contract to the lowest
16-34 responsive and responsible bidder.
16-35 6. Any bids received in response to an advertisement for bids
16-36 may be rejected if the [person] public body or its authorized
16-37 representative responsible for awarding the contract determines
16-38 that:
16-39 (a) The bidder is not a qualified bidder pursuant to NRS
16-40 338.1379 ; [, unless the bidder is exempt from meeting such
16-41 qualifications pursuant to NRS 338.1383;]
16-42 (b) The bidder is not responsive[;] or responsible;
16-43 (c) The quality of the services, materials, equipment or labor
16-44 offered does not conform to the approved [plan] plans or
16-45 specifications; or
16-46 (d) The public interest would be served by such a rejection.
17-1 [6. Before the State or a local government may]
17-2 7. Before a public body may commence the performance of a
17-3 [project subject] public work itself pursuant to the provisions of
17-4 this section, based upon a determination that the public interest
17-5 would be served by rejecting any bids received in response to an
17-6 advertisement for bids, [it] the public body shall prepare and make
17-7 available for public inspection a written statement containing:
17-8 (a) A list of all persons, including supervisors, whom the [State
17-9 or the local government] public body intends to assign to the
17-10 [project,] public work, together with their classifications and an
17-11 estimate of the direct and indirect costs of their labor;
17-12 (b) A list of all equipment that the [State or the local
17-13 government] public body intends to use on the [project,] public
17-14 work, together with an estimate of the number of hours each item of
17-15 equipment will be used and the hourly cost to use each item of
17-16 equipment;
17-17 (c) An estimate of the cost of administrative support for the
17-18 persons assigned to the [project;] public work;
17-19 (d) An estimate of the total cost of the [project;] public work,
17-20 including the fair market value of or, if known, the actual cost of
17-21 all materials, supplies, labor and equipment to be used for the
17-22 public work; and
17-23 (e) An estimate of the amount of money the [State or the local
17-24 government] public body expects to save by rejecting the bids and
17-25 performing the [project itself.
17-26 7.] public work itself.
17-27 8. This section does not apply to:
17-28 (a) Any utility subject to the provisions of chapter 318 or 710 of
17-29 NRS;
17-30 (b) Any work of construction, reconstruction, improvement and
17-31 maintenance of highways subject to NRS 408.323 or 408.327;
17-32 (c) Normal maintenance of the property of a school district;
17-33 (d) The Las Vegas Valley Water District created pursuant to
17-34 chapter 167, Statutes of Nevada 1947, the Moapa Valley Water
17-35 District created pursuant to chapter 477, Statutes of Nevada 1983 or
17-36 the Virgin Valley Water District created pursuant to chapter 100,
17-37 Statutes of Nevada 1993; or
17-38 (e) The design and construction of a public work for which a
17-39 public body contracts with a design-build team pursuant to NRS
17-40 338.1711 to 338.1727.
17-41 Sec. 19. NRS 338.1385 is hereby amended to read as follows:
17-42 338.1385 1. Except as otherwise provided in subsection 8,
17-43 this state, or the governing body of a local government or its
17-44 authorized representative that awards a contract for [the
17-45 construction, alteration or repair of] a public work in accordance
17-46 with paragraph (a) of subsection 1 of NRS 338.1373, [or a public
18-1 officer, public employee or other person responsible for awarding a
18-2 contract for the construction, alteration or repair of a public work
18-3 who represents the State or the local government,] shall not:
18-4 (a) Commence [such a project] a public work for which the
18-5 estimated cost exceeds $100,000 unless it advertises in a newspaper
18-6 [of general circulation in this state] qualified pursuant to chapter
18-7 238 of NRS that is published in the county where the public work
18-8 will be performed for bids for the [project; or] public work. If no
18-9 qualified newspaper is published in the county where the public
18-10 work will be performed, the required advertisement must be
18-11 published in some qualified newspaper that is printed in the State
18-12 of Nevada and having a general circulation within the county.
18-13 (b) Divide [such a project] a public work into separate portions
18-14 to avoid the requirements of paragraph (a).
18-15 2. [Except as otherwise provided in subsection 8, a public body
18-16 that maintains a list of properly licensed contractors who are
18-17 interested in receiving offers to bid on public works projects for
18-18 which the estimated cost is more than $25,000 but less than
18-19 $100,000 shall solicit bids from not more than three of the
18-20 contractors on the list for a contract of that value for the
18-21 construction, alteration or repair of a public work. The public body
18-22 shall select contractors from the list in such a manner as to afford
18-23 each contractor an equal opportunity to bid on a public works
18-24 project. A properly licensed contractor must submit a written
18-25 request annually to the public body to remain on the list. Offers for
18-26 bids which are made pursuant to this subsection must be sent by
18-27 certified mail.] At least once each quarter, the authorized
18-28 representative of a public body shall report to the public body any
18-29 contract that he awarded pursuant to subsection 1 in the
18-30 immediately preceding quarter.
18-31 3. Each advertisement for bids must include a provision that
18-32 sets forth[:
18-33 (a) The] the requirement that a contractor must be qualified
18-34 pursuant to NRS 338.1379 to bid on the contract . [or must be
18-35 exempt from meeting such qualifications pursuant to NRS
18-36 338.1383; and
18-37 (b) The period during which an application to qualify as a bidder
18-38 on the contract must be submitted.]
18-39 4. Approved plans and specifications for the bids must be on
18-40 file at a place and time stated in the advertisement for the inspection
18-41 of all persons desiring to bid thereon and for other interested
18-42 persons. Contracts for the project must be awarded on the basis of
18-43 bids received.
18-44 5. Except as otherwise provided in subsection 6 and NRS
18-45 338.1389, a public body shall award a contract to the lowest
18-46 responsive and responsible bidder.
19-1 6. Any bids received in response to an advertisement for bids
19-2 may be rejected if the [person] public body or its authorized
19-3 representative responsible for awarding the contract determines
19-4 that:
19-5 (a) The bidder is not a qualified bidder pursuant to NRS
19-6 338.1379 ; [, unless the bidder is exempt from meeting such
19-7 qualifications pursuant to NRS 338.1383;]
19-8 (b) The bidder is not responsive[;] or responsible;
19-9 (c) The quality of the services, materials, equipment or labor
19-10 offered does not conform to the approved [plan] plans or
19-11 specifications; or
19-12 (d) The public interest would be served by such a rejection.
19-13 [6. Before the State or a local government]
19-14 7. Before a public body may commence the performance of a
19-15 [project subject] public work itself pursuant to the provisions of
19-16 this section, based upon a determination that the public interest
19-17 would be served by rejecting any bids received in response to an
19-18 advertisement for bids, [it] the public body shall prepare and make
19-19 available for public inspection a written statement containing:
19-20 (a) A list of all persons, including supervisors, whom the [State
19-21 or the local government] public body intends to assign to the
19-22 [project,] public work, together with their classifications and an
19-23 estimate of the direct and indirect costs of their labor;
19-24 (b) A list of all equipment that the [State or the local
19-25 government] public body intends to use on the [project,] public
19-26 work, together with an estimate of the number of hours each item of
19-27 equipment will be used and the hourly cost to use each item of
19-28 equipment;
19-29 (c) An estimate of the cost of administrative support for the
19-30 persons assigned to the [project;]
19-31 public work;
19-32 (d) An estimate of the total cost of the [project;] public work,
19-33 including, the fair market value of or, if known, the actual cost of
19-34 all materials, supplies, labor and equipment to be used for the
19-35 public work; and
19-36 (e) An estimate of the amount of money the [State or the local
19-37 government] public body expects to save by rejecting the bids and
19-38 performing the [project itself.
19-39 7. In preparing the estimated cost of a project pursuant to
19-40 subsection 6, the State or a local government must include the fair
19-41 market value of, or, if known, the actual cost of, all materials,
19-42 supplies, labor and equipment to be used for the project.] public
19-43 work itself.
19-44 8. This section does not apply to:
19-45 (a) Any utility subject to the provisions of chapter 318 or 710 of
19-46 NRS;
20-1 (b) Any work of construction, reconstruction, improvement and
20-2 maintenance of highways subject to NRS 408.323 or 408.327;
20-3 (c) Normal maintenance of the property of a school district; or
20-4 (d) The Las Vegas Valley Water District created pursuant to
20-5 chapter 167, Statutes of Nevada 1947, the Moapa Valley Water
20-6 District created pursuant to chapter 477, Statutes of Nevada 1983 or
20-7 the Virgin Valley Water District created pursuant to chapter 100,
20-8 Statutes of Nevada 1993; or
20-9 (e) The design and construction of a public work for which a
20-10 public body contracts with a design-build team pursuant to NRS
20-11 338.1711 to 338.1727, inclusive.
20-12 Sec. 20. NRS 338.1387 is hereby amended to read as follows:
20-13 338.1387 1. A public body or its authorized representative
20-14 awarding a contract for a public work shall not award the contract
20-15 to a person who, at the time of the bid, is not properly licensed
20-16 under the provisions of chapter 624 of NRS or if the contract would
20-17 exceed the limit of his license. A subcontractor [named by the
20-18 contractor] who is [not] :
20-19 (a) Named in the bid for the contract as a subcontractor who
20-20 will provide a portion of the work on the public work pursuant to
20-21 NRS 338.141; and
20-22 (b) Not properly licensed for that portion of the work ,
20-23 shall be deemed unacceptable. If the subcontractor is deemed
20-24 unacceptable[,] pursuant to this subsection, the contractor shall
20-25 provide an acceptable subcontractor . [before the award of the
20-26 contract.]
20-27 2. If, after awarding the contract, but before commencement of
20-28 the work, the public body or its authorized representative
20-29 discovers that the person to whom the contract was awarded is not
20-30 licensed, or that the contract would exceed his license, the public
20-31 body or its authorized representative shall [reject the bid] rescind
20-32 the award of the contract and may accept the next lowest bid for
20-33 that public work from a responsive bidder who was determined by
20-34 the public body or its authorized representative to be a qualified
20-35 bidder pursuant to NRS 338.1379 [or was exempt from meeting
20-36 such qualifications pursuant to NRS 338.1373 or 338.1383] without
20-37 requiring that new bids be submitted.
20-38 Sec. 21. NRS 338.1389 is hereby amended to read as follows:
20-39 338.1389 1. Except as otherwise provided in subsection 10
20-40 and NRS 338.1385 , [and 338.1711 to 338.1727, inclusive,] a
20-41 public body or its authorized representative shall award a contract
20-42 for a public work for which the estimated cost exceeds $250,000 to
20-43 the contractor who submits the best bid.
20-44 2. Except as otherwise provided in subsection 10 or limited by
20-45 subsection 11, [for the purposes of this section, a contractor who:
20-46 (a) Has] the lowest bid that is:
21-1 (a) Submitted by a responsive and responsible contractor who:
21-2 (1) Has been determined by the public body to be a qualified
21-3 bidder pursuant to NRS 338.1379 [or is exempt from meeting such
21-4 requirements pursuant to NRS 338.1373 or 338.1383; and
21-5 (b) At the time he submits his bid, provides to the public body a
21-6 copy of] ; and
21-7 (2) At the time he submits his bid, has a valid certificate of
21-8 eligibility to receive a preference in bidding on public works issued
21-9 to [him] the contractor by the State Contractors’ Board pursuant to
21-10 subsection 3 or 4[,
21-11 shall be deemed to have submitted a better bid than a competing
21-12 contractor who has not provided a copy of such a valid certificate of
21-13 eligibility if the amount of his bid is not] ; and
21-14 (b) Not more than 5 percent higher than the [amount] bid
21-15 submitted by the [competing contractor.] lowest responsive and
21-16 responsible bidder who does not have, at the time he submits his
21-17 bid, a valid certificate of eligibility to receive a preference in
21-18 bidding on public works issued to him by the State Contractors’
21-19 Board pursuant to subsection 3 or 4,
21-20 shall be deemed to be the best bid for the purposes of this section.
21-21 3. The State Contractors’ Board shall issue a certificate of
21-22 eligibility to receive a preference in bidding on public works to a
21-23 general contractor who is licensed pursuant to the provisions of
21-24 chapter 624 of NRS and submits to the Board an affidavit from a
21-25 certified public accountant setting forth that the general contractor
21-26 has, while licensed as a general contractor in this state:
21-27 (a) Paid directly, on his own behalf:
21-28 (1) The sales and use taxes imposed pursuant to chapters
21-29 372, 374 and 377 of NRS on materials used for construction in this
21-30 state, including, without limitation, construction that is undertaken
21-31 or carried out on land within the boundaries of this state that is
21-32 managed by the Federal Government or is on an Indian reservation
21-33 or Indian colony, of not less than $5,000 for each consecutive
21-34 12-month period for 60 months immediately preceding the
21-35 submission of the affidavit from the certified public accountant;
21-36 (2) The governmental services tax imposed pursuant to
21-37 chapter 371 of NRS on the vehicles used in the operation of his
21-38 business in this state of not less than $5,000 for each consecutive
21-39 12-month period for 60 months immediately preceding the
21-40 submission of the affidavit from the certified public accountant; or
21-41 (3) Any combination of such sales and use taxes and
21-42 governmental services tax; or
21-43 (b) Acquired, by purchase, inheritance, gift or transfer through a
21-44 stock option plan, all the assets and liabilities of a viable, operating
21-45 construction firm that possesses a:
22-1 (1) License as a general contractor pursuant to the provisions
22-2 of chapter 624 of NRS; and
22-3 (2) Certificate of eligibility to receive a preference in bidding
22-4 on public works.
22-5 4. The State Contractors’ Board shall issue a certificate of
22-6 eligibility to receive a preference in bidding on public works to a
22-7 specialty contractor who is licensed pursuant to the provisions of
22-8 chapter 624 of NRS and submits to the Board an affidavit from a
22-9 certified public accountant setting forth that the specialty contractor
22-10 has, while licensed as a specialty contractor in this state:
22-11 (a) Paid directly, on his own behalf:
22-12 (1) The sales and use taxes pursuant to chapters 372, 374 and
22-13 377 of NRS on materials used for construction in this state,
22-14 including, without limitation, construction that is undertaken or
22-15 carried out on land within the boundaries of this state that is
22-16 managed by the Federal Government or is on an Indian reservation
22-17 or Indian colony, of not less than $5,000 for each consecutive
22-18 12-month period for 60 months immediately preceding the
22-19 submission of the affidavit from the certified public accountant;
22-20 (2) The governmental services tax imposed pursuant to
22-21 chapter 371 of NRS on the vehicles used in the operation of his
22-22 business in this state of not less than $5,000 for each consecutive
22-23 12-month period for 60 months immediately preceding the
22-24 submission of the affidavit from the certified public accountant; or
22-25 (3) Any combination of such sales and use taxes and
22-26 governmental services tax; or
22-27 (b) Acquired, by purchase, inheritance, gift or transfer through a
22-28 stock option plan, all the assets and liabilities of a viable, operating
22-29 construction firm that possesses a:
22-30 (1) License as a specialty contractor pursuant to the
22-31 provisions of chapter 624 of NRS; and
22-32 (2) Certificate of eligibility to receive a preference in bidding
22-33 on public works.
22-34 5. For the purposes of complying with the requirements set
22-35 forth in paragraph (a) of subsection 3 and paragraph (a) of
22-36 subsection 4, a contractor shall be deemed to have paid:
22-37 (a) Sales and use taxes and governmental services taxes that
22-38 were paid in this state by an affiliate or parent company of the
22-39 contractor, if the affiliate or parent company is also a general
22-40 contractor or specialty contractor, as applicable; and
22-41 (b) Sales and use taxes that were paid in this state by a joint
22-42 venture in which the contractor is a participant, in proportion to the
22-43 amount of interest the contractor has in the joint venture.
22-44 6. A contractor who has received a certificate of eligibility to
22-45 receive a preference in bidding on public works from the State
22-46 Contractors’ Board pursuant to subsection 3 or 4 shall, at the time
23-1 for the annual renewal of his contractor’s license pursuant to NRS
23-2 624.283, submit to the Board an affidavit from a certified public
23-3 accountant setting forth that the contractor has, during the
23-4 immediately preceding 12 months, paid the taxes required pursuant
23-5 to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as
23-6 applicable, to maintain his eligibility to hold such a certificate.
23-7 7. A contractor who fails to submit an affidavit to the Board
23-8 pursuant to subsection 6 ceases to be eligible to receive a
23-9 preference in bidding on public works unless he reapplies for and
23-10 receives a certificate of eligibility pursuant to subsection 3 or 4, as
23-11 applicable.
23-12 8. If a contractor holds more than one contractor’s license, he
23-13 must submit a separate application for each license pursuant to
23-14 which he wishes to qualify for a preference in bidding. Upon
23-15 issuance, the certificate of eligibility to receive a preference in
23-16 bidding on public works becomes part of the contractor’s license
23-17 for which the contractor submitted the application.
23-18 9. If a contractor who applies to the State Contractors’ Board
23-19 for a certificate of eligibility to receive a preference in bidding on
23-20 public works submits false information to the Board regarding the
23-21 required payment of taxes, the contractor is not eligible to receive a
23-22 preference in bidding on public works for a period of 5 years after
23-23 the date on which the Board becomes aware of the submission of
23-24 the false information.
23-25 10. If any federal statute or regulation precludes the granting of
23-26 federal assistance or reduces the amount of that assistance for a
23-27 particular public work because of the provisions of subsection 2,
23-28 those provisions do not apply insofar as their application would
23-29 preclude or reduce federal assistance for that work. [The provisions
23-30 of subsection 2 do not apply to any contract for a public work
23-31 which is expected to cost less than $250,000.]
23-32 11. If a bid is submitted by two or more contractors as a joint
23-33 venture or by one of them as a joint venturer, the [provisions of
23-34 subsection 2 apply] bid may be deemed the best bid only if both or
23-35 all of the joint venturers separately meet the requirements of [that
23-36 subsection.] subsection 2.
23-37 12. The State Contractors’ Board shall adopt regulations and
23-38 may assess reasonable fees relating to the certification of
23-39 contractors for a preference in bidding on public works.
23-40 13. A person or entity who believes that a contractor
23-41 wrongfully holds a certificate of eligibility to receive a preference
23-42 in bidding on public works may challenge the validity of the
23-43 certificate by filing a written objection with the public body to
23-44 which the contractor has submitted a bid [or proposal] on a contract
23-45 for the construction of a public work. A written objection
23-46 authorized pursuant to this subsection must:
24-1 (a) Set forth proof or substantiating evidence to support the
24-2 belief of the person or entity that the contractor wrongfully holds a
24-3 certificate of eligibility to receive a preference in bidding on public
24-4 works; and
24-5 (b) Be filed with the public body [at or after the time at which
24-6 the contractor submitted the bid or proposal to the public body and
24-7 before the time at which the public body awards the contract for
24-8 which the bid or proposal was submitted.] not later than 3 business
24-9 days after the opening of the bids by the public body or its
24-10 authorized representative.
24-11 14. If a public body receives a written objection pursuant to
24-12 subsection 13, the public body shall determine whether the
24-13 objection is accompanied by the proof or substantiating evidence
24-14 required pursuant to paragraph (a) of that subsection. If the public
24-15 body determines that the objection is not accompanied by the
24-16 required proof or substantiating evidence, the public body shall
24-17 dismiss the objection and the public body or its authorized
24-18 representative may proceed immediately to award the contract. If
24-19 the public body determines that the objection is accompanied by the
24-20 required proof or substantiating evidence, the public body shall
24-21 determine whether the contractor qualifies for the certificate
24-22 pursuant to the provisions of this section and the public body or its
24-23 authorized representative may proceed to award the contract
24-24 accordingly.
24-25 Sec. 22. NRS 338.139 is hereby amended to read as follows:
24-26 338.139 1. A public body or its authorized representative
24-27 may award a contract for [the construction, alteration or repair of] a
24-28 public work pursuant to NRS 338.1375 to 338.1389, inclusive, to a
24-29 specialty contractor if:
24-30 (a) The majority of the work to be performed on the [project]
24-31 public work to which the contract pertains consists of specialty
24-32 contracting for which the specialty contractor is licensed; and
24-33 (b) The [project] public work to which the contract pertains is
24-34 not part of a larger public work.
24-35 2. If a public body or its authorized representative awards a
24-36 contract to a specialty contractor pursuant to NRS 338.1375 to
24-37 338.1389, inclusive, all work to be performed on the [project]
24-38 public work to which the contract pertains that is outside the scope
24-39 of the license of the specialty contractor must be performed by a
24-40 subcontractor who is licensed to perform such work.
24-41 Sec. 23. NRS 338.140 is hereby amended to read as follows:
24-42 338.140 1. [An agency of this state, a political subdivision,
24-43 municipal corporation or district, a public officer or a person
24-44 charged with the letting of contracts for the construction, alteration
24-45 or repair of public works] A public body shall not draft or cause to
24-46 be drafted specifications for bids, in connection with [the
24-47 construction, alteration or repair of public works:] a public work:
25-1 (a) In such a manner as to limit the bidding, directly or
25-2 indirectly, to any one specific concern.
25-3 (b) Except in those instances where the product is designated to
25-4 match others in use on a particular public improvement either
25-5 completed or in the course of completion, calling for a designated
25-6 material, product, thing or service by specific brand or trade name
25-7 unless the specification lists at least two brands or trade names of
25-8 comparable quality or utility and is followed by the words “or
25-9 equal” so that bidders may furnish any equal material, product,
25-10 thing or service.
25-11 (c) In such a manner as to hold the bidder to whom such
25-12 contract is awarded responsible for extra costs incurred as a result
25-13 of errors or omissions by the public [agency] body in the contract
25-14 documents.
25-15 (d) In such a manner as to require a bidder to furnish to the
25-16 public [agency,] body, whether before or after the bid is submitted,
25-17 documents generated in the preparation or determination of prices
25-18 included in the bid, except when requested by the public [agency]
25-19 body for:
25-20 (1) A determination of the price of additional work
25-21 performed pursuant to a change order;
25-22 (2) An evaluation of claims for costs incurred for the
25-23 performance of additional work;
25-24 (3) Preparation for arbitration or litigation; or
25-25 (4) Any combination thereof.
25-26 A document furnished to a public [agency] body pursuant to this
25-27 paragraph is confidential and must be returned to the bidder.
25-28 2. In those cases involving a unique or novel product
25-29 application required to be used in the public interest, or where only
25-30 one brand or trade name is known to the [specifying agency,]
25-31 public body, it may list only one.
25-32 3. Specifications must provide a period of time of at least 7
25-33 days after award of the contract for submission of data
25-34 substantiating a request for a substitution of “an equal” item.
25-35 Sec. 24. NRS 338.141 is hereby amended to read as follows:
25-36 338.141 1. [Except as otherwise provided in subsection 2,
25-37 each] Each bid submitted to [any officer, department, board or
25-38 commission for the construction of] a public body for any public
25-39 work [or improvement] to which paragraph (a) of subsection 1 of
25-40 NRS 338.1385 or paragraph (a) of subsection 1 of NRS 338.143
25-41 applies, must include:
25-42 (a) [The] If the public body provides a list of the labor or
25-43 portions of the public work which are estimated by the public
25-44 body to exceed 3 percent of the estimated cost of the public work,
25-45 the name of each subcontractor who will provide such labor or
26-1 portion of the work on the public work which is estimated to
26-2 exceed 3 percent of the estimated cost of the public work; or
26-3 (b) If the public body does not provide a list of the labor or
26-4 portions of the public work which are estimated by the public
26-5 body to exceed 3 percent of the estimated cost of the public work,
26-6 the name of each subcontractor who will provide labor or a portion
26-7 of the work [or improvement] on the public work to the prime
26-8 contractor for which [he] the subcontractor will be paid an amount
26-9 exceeding 5 percent of the prime contractor’s total bid. [Within] If
26-10 the bid is submitted pursuant to this paragraph, within 2 hours
26-11 after the completion of the opening of the bids, the contractors who
26-12 submitted the three lowest bids must submit a list containing the
26-13 name of each subcontractor who will provide labor or a portion of
26-14 the work [or improvement] on the public work to the prime
26-15 contractor for which [he] the subcontractor will be paid an amount
26-16 exceeding 1 percent of the prime contractor’s total bid or $50,000,
26-17 whichever is greater, and the number of the license issued to the
26-18 subcontractor pursuant to chapter 624 of NRS. [If a contractor fails
26-19 to submit such a list within the required time, his bid shall be
26-20 deemed not responsive.
26-21 b) A description of the portion of the work or improvement
26-22 which each subcontractor named in the bid will complete.
26-23 2. The contractor shall list in his bid pursuant to subsection 1
26-24 the name of a subcontractor for each portion of the project that will
26-25 be completed by a subcontractor.]
26-26 2. The lists required by subsection 1 must include a
26-27 description of the labor or portion of the work which each
26-28 subcontractor named in the list will provide to the prime
26-29 contractor.
26-30 3. A prime contractor shall include his name on a list
26-31 required by paragraph (a) of subsection 1 if he will perform any
26-32 of the work required to be listed pursuant to paragraph (a) of
26-33 subsection 1.
26-34 4. If a prime contractor does not submit a list required by
26-35 subsection 1, his bid shall be deemed not responsive.
26-36 5. A contractor whose bid is accepted shall not substitute a
26-37 subcontractor for any [person for a] subcontractor who is named in
26-38 the bid, unless:
26-39 (a) The [awarding authority] public body or its authorized
26-40 representative objects to the subcontractor, requests in writing a
26-41 change in the subcontractor and pays any increase in costs resulting
26-42 from the change; or
26-43 (b) The substitution is approved by the [awarding authority or
26-44 an] public body or its authorized representative . [of the awarding
26-45 authority.] The substitution must be approved if the [awarding
27-1 authority] public body or its authorized representative [of the
27-2 awarding authority] determines that:
27-3 (1) The named subcontractor, after having a reasonable
27-4 opportunity, fails or refuses to execute a written contract with the
27-5 contractor which was offered to the named subcontractor with the
27-6 same general terms that all other subcontractors on the project were
27-7 offered;
27-8 (2) The named subcontractor files for bankruptcy or becomes
27-9 insolvent; [or]
27-10 (3) The named subcontractor fails or refuses to perform his
27-11 subcontract within a reasonable time or is unable to furnish a
27-12 performance bond and payment bond pursuant to NRS 339.025[.
27-13 4.] ; or
27-14 (4) The named subcontractor is not properly licensed to
27-15 provide that labor or portion of the work.
27-16 6. If a contractor indicates pursuant to subsection 1 that he
27-17 will perform a portion of work on the public work and thereafter
27-18 requests to substitute a subcontractor to perform such work, the
27-19 contractor shall provide to the public body a written explanation
27-20 in the form required by the public body which contains theGreen numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).
27-21 reasons that:
27-22 (a) A subcontractor was not originally contemplated to be used
27-23 on that portion of the public work; and
27-24 (b) The substitution is in the best interest of the public body.
27-25 7. As used in this section, “general terms” means the terms and
27-26 conditions of a contract that set the basic requirements for a
27-27 [project] public work and apply without regard to the particular
27-28 trade or specialty of a subcontractor, but does not include any
27-29 provision that controls or relates to the specific portion of the
27-30 [project] public work that will be completed by a subcontractor,
27-31 including, without limitation, the materials to be used by the
27-32 subcontractor or other details of the work to be performed by the
27-33 subcontractor.
27-34 Sec. 25. NRS 338.143 is hereby amended to read as follows:
27-35 338.143 1. Except as otherwise provided in subsection [6] 7
27-36 and NRS 338.1907, a local government or its authorized
27-37 representative that awards a contract for [the construction,
27-38 alteration or repair of] a public work in accordance with paragraph
27-39 (b) of subsection 1 of NRS 338.1373[, or a public officer, public
27-40 employee or other person responsible for awarding a contract for
27-41 the construction, alteration or repair of a public work who
27-42 represents that local government,] shall not:
27-43 (a) Commence [such a project] a public work for which the
27-44 estimated cost exceeds $100,000 unless it advertises in a newspaper
27-45 [of general circulation in this state] qualified pursuant to chapter
27-46 238 of NRS that is published in the county where the project will
28-1 be performed for bids for the [project; or] public work. If no
28-2 qualified newspaper is published in the county where the public
28-3 work will be performed, the required advertisement must be
28-4 published in some qualified newspaper that is printed in the State
28-5 of Nevada and has a general circulation in the county.
28-6 (b) Divide [such a project] a public work into separate portions
28-7 to avoid the requirements of paragraph (a).
28-8 2. [Except as otherwise provided in subsection 6, a local
28-9 government that maintains a list of properly licensed contractors
28-10 who are interested in receiving offers to bid on public works
28-11 projects for which the estimated cost is more than $25,000 but less
28-12 than $100,000 shall solicit bids from not more than three of the
28-13 contractors on the list for a contract of that value for the
28-14 construction, alteration or repair of a public work. The local
28-15 government shall select contractors from the list in such a manner
28-16 as to afford each contractor an equal opportunity to bid on a public
28-17 works project. A properly licensed contractor must submit a written
28-18 request annually to the local government to remain on the list.
28-19 Offers for bids which are made pursuant to this subsection must be
28-20 sent by certified mail.] At least once each quarter, the authorized
28-21 representative of a local government shall report to the local
28-22 government any contract that he awarded pursuant to subsection
28-23 1 in the immediately preceding quarter.
28-24 3. Approved plans and specifications for the bids must be on
28-25 file at a place and time stated in the advertisement for the inspection
28-26 of all persons desiring to bid thereon and for other interested
28-27 persons. Contracts for the project must be awarded on the basis of
28-28 bids received.
28-29 4. Except as otherwise provided in subsection 5 and NRS
28-30 338.147, the local government or its authorized representative
28-31 shall award a contract to the lowest responsive and responsible
28-32 bidder.
28-33 5. Any bids received in response to an advertisement for bids
28-34 may be rejected if the [person] local government or its authorized
28-35 representative responsible for awarding the contract determines
28-36 that:
28-37 (a) The bidder is not responsive or responsible;
28-38 (b) The quality of the services, materials, equipment or labor
28-39 offered does not conform to the approved [plan] plans or
28-40 specifications; or
28-41 (c) The public interest would be served by such a rejection.
28-42 [5.] 6. Before a local government may commence the
28-43 performance of a [project subject] public work itself pursuant to
28-44 the provisions of this section, based upon a determination that the
28-45 public interest would be served by rejecting any bids received in
28-46 response to an advertisement for bids, [it] the local government
29-1 shall prepare and make available for public inspection a written
29-2 statement containing:
29-3 (a) A list of all persons, including supervisors, whom the local
29-4 government intends to assign to the [project,] public work, together
29-5 with their classifications and an estimate of the direct and indirect
29-6 costs of their labor;
29-7 (b) A list of all equipment that the local government intends to
29-8 use on the [project,] public work, together with an estimate of the
29-9 number of hours each item of equipment will be used and the
29-10 hourly cost to use each item of equipment;
29-11 (c) An estimate of the cost of administrative support for the
29-12 persons assigned to the [project;] public work;
29-13 (d) An estimate of the total cost of the [project;] public work,
29-14 including the fair market value of or, if known, the actual cost of
29-15 all materials, supplies, labor and equipment to be used for the
29-16 public work; and
29-17 (e) An estimate of the amount of money the local government
29-18 expects to save by rejecting the bids and performing the [project
29-19 itself.
29-20 6.] public work itself.
29-21 7. This section does not apply to:
29-22 (a) Any utility subject to the provisions of chapter 318 or 710 of
29-23 NRS;
29-24 (b) Any work of construction, reconstruction, improvement and
29-25 maintenance of highways subject to NRS 408.323 or 408.327;
29-26 (c) Normal maintenance of the property of a school district;
29-27 (d) The Las Vegas Valley Water District created pursuant to
29-28 chapter 167, Statutes of Nevada 1947, the Moapa Valley Water
29-29 District created pursuant to chapter 477, Statutes of Nevada 1983 or
29-30 the Virgin Valley Water District created pursuant to chapter 100,
29-31 Statutes of Nevada 1993; or
29-32 (e) The design and construction of a public work for which a
29-33 public body contracts with a design-build team pursuant to NRS
29-34 338.1711 to 338.1727, inclusive.
29-35 Sec. 26. NRS 338.143 is hereby amended to read as follows:
29-36 338.143 1. Except as otherwise provided in subsection 7, a
29-37 local government or its authorized representative that awards a
29-38 contract for [the construction, alteration or repair of] a public work
29-39 in accordance with paragraph (b) of subsection 1 of NRS 338.1373
29-40 [, or a public officer, public employee or other person responsible
29-41 for awarding a contract for the construction, alteration or repair of a
29-42 public work who represents that local government,] shall not:
29-43 (a) Commence [such a project] a public work for which the
29-44 estimated cost exceeds $100,000 unless it advertises in a newspaper
29-45 [of general circulation in this state] qualified pursuant to chapter
29-46 238 or NRS that is published in the county where the public work
30-1 will be performed for bids for the [project; or] public work. If no
30-2 qualified newspaper is published within the county where the
30-3 public work will be performed, the required advertisement must
30-4 be published in some qualified newspaper that is printed in the
30-5 State of Nevada and has a general circulation within the county.
30-6 (b) Divide [such a project] a public work into separate portions
30-7 to avoid the requirements of paragraph (a).
30-8 2. [Except as otherwise provided in subsection 7, a local
30-9 government that maintains a list of properly licensed contractors
30-10 who are interested in receiving offers to bid on public works
30-11 projects for which the estimated cost is more than $25,000 but less
30-12 than $100,000 shall solicit bids from not more than three of the
30-13 contractors on the list for a contract of that value for the
30-14 construction, alteration or repair of a public work. The local
30-15 government shall select contractors from the list in such a manner
30-16 as to afford each contractor an equal opportunity to bid on a public
30-17 works project. A properly licensed contractor must submit a written
30-18 request annually to the local government to remain on the list.
30-19 Offers for bids which are made pursuant to this subsection must be
30-20 sent by certified mail.] At least once each quarter, the authorized
30-21 representative of a local government shall report to the local
30-22 government any contract that he awarded pursuant to subsection
30-23 1 in the immediately preceding quarter.
30-24 3. Approved plans and specifications for the bids must be on
30-25 file at a place and time stated in the advertisement for the inspection
30-26 of all persons desiring to bid thereon and for other interested
30-27 persons. Contracts for the project must be awarded on the basis of
30-28 bids received.
30-29 4. Except as otherwise provided in subsection 5 and NRS
30-30 338.147, the local government or its authorized representative
30-31 shall award a contract to the lowest responsive and responsible
30-32 bidder.
30-33 5. Any bids received in response to an advertisement for bids
30-34 may be rejected if the [person] local government or its authorized
30-35 representative responsible for awarding the contract determines
30-36 that:
30-37 (a) The bidder is not responsive or responsible;
30-38 (b) The quality of the services, materials, equipment or labor
30-39 offered does not conform to the approved [plan] plans or
30-40 specifications; or
30-41 (c) The public interest would be served by such a rejection.
30-42 [5.] 6. Before a local government may commence the
30-43 performance of a [project subject] public work itself pursuant to
30-44 the provisions of this section, based upon a determination that the
30-45 public interest would be served by rejecting any bids received in
30-46 response to an advertisement for bids, [it] the local government
31-1 shall prepare and make available for public inspection a written
31-2 statement containing:
31-3 (a) A list of all persons, including supervisors, whom the local
31-4 government intends to assign to the [project,] public work, together
31-5 with their classifications and an estimate of the direct and indirect
31-6 costs of their labor;
31-7 (b) A list of all equipment that the local government intends to
31-8 use on the [project,] public work, together with an estimate of the
31-9 number of hours each item of equipment will be used and the
31-10 hourly cost to use each item of equipment;
31-11 (c) An estimate of the cost of administrative support for the
31-12 persons assigned to the [project;] public work;
31-13 (d) An estimate of the total cost of the [project;] public work,
31-14 including the fair market value of or, if known, the actual cost of,
31-15 all materials, supplies, labor and equipment to be used for the
31-16 public work; and
31-17 (e) An estimate of the amount of money the local government
31-18 expects to save by rejecting the bids and performing the [project
31-19 itself.
31-20 6. In preparing the estimated cost of a project pursuant to
31-21 subsection 5, a local government must include the fair market value
31-22 of, or, if known, the actual cost of, all materials, supplies, labor and
31-23 equipment to be used for the project.] public work itself.
31-24 7. This section does not apply to:
31-25 (a) Any utility subject to the provisions of chapter 318 or 710 of
31-26 NRS;
31-27 (b) Any work of construction, reconstruction, improvement and
31-28 maintenance of highways subject to NRS 408.323 or 408.327;
31-29 (c) Normal maintenance of the property of a school district;
31-30 (d) The Las Vegas Valley Water District created pursuant to
31-31 chapter 167, Statutes of Nevada 1947, the Moapa Valley Water
31-32 District created pursuant to chapter 477, Statutes of Nevada 1983 or
31-33 the Virgin Valley Water District created pursuant to chapter 100,
31-34 Statutes of Nevada 1993; or
31-35 (e) The design and construction of a public work for which a
31-36 public body contracts with a design-build team pursuant to NRS
31-37 338.1711 to 338.1727, inclusive.
31-38 Sec. 27. NRS 338.145 is hereby amended to read as follows:
31-39 338.145 1. A local government or its authorized
31-40 representative awarding a contract for a public work shall not
31-41 award the contract to a person who, at the time of the bid, is not
31-42 properly licensed under the provisions of chapter 624 of NRS or if
31-43 the contract would exceed the limit of his license. A subcontractor
31-44 [named by the contractor] who is [not] :
32-1 (a) Named in the bid for the contract as a subcontractor who
32-2 will provide a portion of the work on the public work pursuant to
32-3 NRS 338.141; and
32-4 (b) Not properly licensed for that portion of the work ,
32-5 shall be deemed unacceptable. If the subcontractor is deemed
32-6 unacceptable[,] pursuant to this subsection, the contractor shall
32-7 provide an acceptable subcontractor . [before the award of the
32-8 contract.]
32-9 2. If, after awarding the contract, but before commencement of
32-10 the work, the local government or its authorized representative
32-11 discovers that the person to whom the contract was awarded is not
32-12 licensed, or that the contract would exceed his license, the local
32-13 government or its authorized representative shall [reject the bid]
32-14 rescind the award of the contract and may accept the next lowest
32-15 bid for that public work from a responsive and responsible bidder
32-16 without requiring that new bids be submitted.
32-17 Sec. 28. NRS 338.147 is hereby amended to read as follows:
32-18 338.147 1. Except as otherwise provided in subsection 10
32-19 and NRS 338.143 , [and 338.1711 to 338.1727, inclusive,] a local
32-20 government or its authorized representative shall award a contract
32-21 for a public work for which the estimated cost exceeds $250,000 to
32-22 the contractor who submits the best bid.
32-23 2. Except as otherwise provided in subsection 10 or limited by
32-24 subsection 11, [for the purposes of this section, a contractor who:
32-25 (a) Has] the lowest bid that is:
32-26 (a) Submitted by a contractor who:
32-27 (1) Has been found to be a responsible and responsive
32-28 contractor by the local government [; and
32-29 (b) At the time he submits his bid, provides to the local
32-30 government a copy of] or its authorized representative; and
32-31 (2) At the time he submits his bid, has a valid certificate of
32-32 eligibility to receive a preference in bidding on public works issued
32-33 to [him] the contractor by the State Contractors’ Board pursuant to
32-34 subsection 3 or 4[,
32-35 shall be deemed to have submitted a better bid than a competing
32-36 contractor who has not provided a copy of such a valid certificate of
32-37 eligibility if the amount of his bid is not] ; and
32-38 (b) Not more than 5 percent higher than the [amount bid] bid
32-39 submitted by the [competing contractor.] lowest responsive and
32-40 responsible bidder who does not have, at the time he submits the
32-41 bid, a valid certificate of eligibility to receive a preference in
32-42 bidding on public works issued to him by the State Contractors’
32-43 Board pursuant to subsection 3 or 4,
32-44 shall be deemed to be the best bid for the purposes of this section.
32-45 3. The State Contractors’ Board shall issue a certificate of
32-46 eligibility to receive a preference in bidding on public works to a
33-1 general contractor who is licensed pursuant to the provisions of
33-2 chapter 624 of NRS and submits to the Board an affidavit from a
33-3 certified public accountant setting forth that the general contractor
33-4 has, while licensed as a general contractor in this state:
33-5 (a) Paid directly, on his own behalf:
33-6 (1) The sales and use taxes imposed pursuant to chapters
33-7 372, 374 and 377 of NRS on materials used for construction in this
33-8 state, including, without limitation, construction that is undertaken
33-9 or carried out on land within the boundaries of this state that is
33-10 managed by the Federal Government or is on an Indian reservation
33-11 or Indian colony, of not less than $5,000 for each consecutive
33-12 12-month period for 60 months immediately preceding the
33-13 submission of the affidavit from the certified public accountant;
33-14 (2) The governmental services tax imposed pursuant to
33-15 chapter 371 of NRS on the vehicles used in the operation of his
33-16 business in this state of not less than $5,000 for each consecutive
33-17 12-month period for 60 months immediately preceding the
33-18 submission of the affidavit from the certified public accountant; or
33-19 (3) Any combination of such sales and use taxes and
33-20 governmental services tax; or
33-21 (b) Acquired, by purchase, inheritance, gift or transfer through a
33-22 stock option plan, all the assets and liabilities of a viable, operating
33-23 construction firm that possesses a:
33-24 (1) License as a general contractor pursuant to the provisions
33-25 of chapter 624 of NRS; and
33-26 (2) Certificate of eligibility to receive a preference in bidding
33-27 on public works.
33-28 4. The State Contractors’ Board shall issue a certificate of
33-29 eligibility to receive a preference in bidding on public works to a
33-30 specialty contractor who is licensed pursuant to the provisions of
33-31 chapter 624 of NRS and submits to the Board an affidavit from a
33-32 certified public accountant setting forth that the specialty contractor
33-33 has, while licensed as a specialty contractor in this state:
33-34 (a) Paid directly, on his own behalf:
33-35 (1) The sales and use taxes pursuant to chapters 372, 374 and
33-36 377 of NRS on materials used for construction in this state,
33-37 including, without limitation, construction that is undertaken or
33-38 carried out on land within the boundaries of this state that is
33-39 managed by the Federal Government or is on an Indian reservation
33-40 or Indian colony, of not less than $5,000 for each consecutive
33-41 12-month period for 60 months immediately preceding the
33-42 submission of the affidavit from the certified public accountant;
33-43 (2) The governmental services tax imposed pursuant to
33-44 chapter 371 of NRS on the vehicles used in the operation of his
33-45 business in this state of not less than $5,000 for each consecutive
34-1 12-month period for 60 months immediately preceding the
34-2 submission of the affidavit from the certified public accountant; or
34-3 (3) Any combination of such sales and use taxes and
34-4 governmental services tax; or
34-5 (b) Acquired, by purchase, inheritance, gift or transfer through a
34-6 stock option plan, all the assets and liabilities of a viable, operating
34-7 construction firm that possesses a:
34-8 (1) License as a specialty contractor pursuant to the
34-9 provisions of chapter 624 of NRS; and
34-10 (2) Certificate of eligibility to receive a preference in bidding
34-11 on public works.
34-12 5. For the purposes of complying with the requirements set
34-13 forth in paragraph (a) of subsection 3 and paragraph (a) of
34-14 subsection 4, a contractor shall be deemed to have paid:
34-15 (a) Sales and use taxes and governmental services taxes paid in
34-16 this state by an affiliate or parent company of the contractor, if the
34-17 affiliate or parent company is also a general contractor or specialty
34-18 contractor, as applicable; and
34-19 (b) Sales and use taxes paid in this state by a joint venture in
34-20 which the contractor is a participant, in proportion to the amount of
34-21 interest the contractor has in the joint venture.
34-22 6. A contractor who has received a certificate of eligibility to
34-23 receive a preference in bidding on public works from the State
34-24 Contractors’ Board pursuant to subsection 3 or 4 shall, at the time
34-25 for the annual renewal of his contractor’s license pursuant to NRS
34-26 624.283, submit to the Board an affidavit from a certified public
34-27 accountant setting forth that the contractor has, during the
34-28 immediately preceding 12 months, paid the taxes required pursuant
34-29 to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as
34-30 applicable, to maintain his eligibility to hold such a certificate.
34-31 7. A contractor who fails to submit an affidavit to the Board
34-32 pursuant to subsection 6 ceases to be eligible to receive a
34-33 preference in bidding on public works unless he reapplies for and
34-34 receives a certificate of eligibility pursuant to subsection 3 or 4, as
34-35 applicable.
34-36 8. If a contractor holds more than one contractor’s license, he
34-37 must submit a separate application for each license pursuant to
34-38 which he wishes to qualify for a preference in bidding. Upon
34-39 issuance, the certificate of eligibility to receive a preference in
34-40 bidding on public works becomes part of the contractor’s license
34-41 for which the contractor submitted the application.
34-42 9. If a contractor who applies to the State Contractors’ Board
34-43 for a certificate of eligibility to receive a preference in bidding on
34-44 public works submits false information to the Board regarding the
34-45 required payment of taxes, the contractor is not eligible to receive a
34-46 preference in bidding on public works for a period of 5 years after
35-1 the date on which the Board becomes aware of the submission of the
35-2 false information.
35-3 10. If any federal statute or regulation precludes the granting of
35-4 federal assistance or reduces the amount of that assistance for a
35-5 particular public work because of the provisions of subsection 2,
35-6 those provisions do not apply insofar as their application would
35-7 preclude or reduce federal assistance for that work. [The provisions
35-8 of subsection 2 do not apply to any contract for a public work
35-9 which is expected to cost less than $250,000.]
35-10 11. If a bid is submitted by two or more contractors as a joint
35-11 venture or by one of them as a joint venturer, [the provisions of
35-12 subsection 2 apply] the bid may be deemed a best bid only if both
35-13 or all of the joint venturers separately meet the requirements of
35-14 [that subsection.] subsection 2.
35-15 12. The State Contractors’ Board shall adopt regulations and
35-16 may assess reasonable fees relating to the certification of
35-17 contractors for a preference in bidding on public works.
35-18 13. A person or entity who believes that a contractor
35-19 wrongfully holds a certificate of eligibility to receive a preference
35-20 in bidding on public works may challenge the validity of the
35-21 certificate by filing a written objection with the [public body] local
35-22 government to which the contractor has submitted a bid [or
35-23 proposal] on a contract for the [completion] construction of a
35-24 public work. A written objection authorized pursuant to this
35-25 subsection must:
35-26 (a) Set forth proof or substantiating evidence to support the
35-27 belief of the person or entity that the contractor wrongfully holds a
35-28 certificate of eligibility to receive a preference in bidding on public
35-29 works; and
35-30 (b) Be filed with the [public body at or after the time at which
35-31 the contractor submitted the bid or proposal to the public body and
35-32 before the time at which the public body awards the contract for
35-33 which the bid or proposal was submitted.
35-34 14. If a public body] local government not later than 3
35-35 business days after the opening of the bids by the local
35-36 government or its authorized representative.
35-37 14. If a local government receives a written objection pursuant
35-38 to subsection 13, the [public body] local government shall
35-39 determine whether the objection is accompanied by the proof or
35-40 substantiating evidence required pursuant to paragraph (a) of that
35-41 subsection. If the [public body] local government determines that
35-42 the objection is not accompanied by the required proof or
35-43 substantiating evidence, the [public body] local government shall
35-44 dismiss the objection and the local government or its authorized
35-45 representative may proceed immediately to award the contract. If
35-46 the [public body] local government determines that the objection is
36-1 accompanied by the required proof or substantiating evidence, the
36-2 [public body] local government shall determine whether the
36-3 contractor qualifies for the certificate pursuant to the provisions of
36-4 this section and the local government or its authorized
36-5 representative may proceed to award the contract accordingly.
36-6 Sec. 29. NRS 338.148 is hereby amended to read as follows:
36-7 338.148 1. A local government or its authorized
36-8 representative may award a contract for [the construction,
36-9 alteration or repair of] a public work to a specialty contractor
36-10 pursuant to NRS 338.143, 338.145 and 338.147 if:
36-11 (a) The majority of the work to be performed on the [project]
36-12 public work to which the contract pertains consists of specialty
36-13 contracting for which the specialty contractor is licensed; and
36-14 (b) The [project] public work to which the contract pertains is
36-15 not part of a larger public work.
36-16 2. If a local government or its authorized representative
36-17 awards a contract to a specialty contractor pursuant to NRS
36-18 338.143, 338.145 and 338.147, all work to be performed on the
36-19 [project] public work to which the contract pertains that is outside
36-20 the scope of the license of the specialty contractor must be
36-21 performed by a subcontractor who is licensed to perform such
36-22 work.
36-23 Sec. 30. NRS 338.150 is hereby amended to read as follows:
36-24 338.150 1. [Any agency of this state and any political
36-25 subdivision, municipal corporation or district and any public officer
36-26 or person] Except as otherwise provided in subsection 3, any
36-27 public body charged with the drafting of specifications for [the
36-28 construction, alteration or repair of public works,] a public work
36-29 shall include in the specifications a clause permitting arbitration of
36-30 a dispute arising between the [agency and a] public body and the
36-31 contractor engaged on a public work if the dispute cannot
36-32 otherwise be settled.
36-33 2. Any dispute requiring arbitration must be handled in
36-34 accordance with the construction industry’s rules for arbitration as
36-35 administered by the American Arbitration Association or the
36-36 Nevada Arbitration Association.
36-37 3. The provisions of subsection 1 do not require the
36-38 Department of Transportation to include such a clause in any
36-39 contract entered into by the Department.
36-40 Sec. 31. NRS 338.155 is hereby amended to read as follows:
36-41 338.155 [1.] If a public body enters into a contract with a
36-42 design professional who is not a member of a design-build team, for
36-43 the provision of services in connection with a public work, the
36-44 contract:
36-45 [(a)] 1. Must set forth:
36-46 [(1)] (a) The specific period within which the public body
36-47 must pay the design professional.
37-1 [(2)] (b) The specific period and manner in which the public
37-2 body may dispute a payment or portion thereof that the design
37-3 professional alleges is due.
37-4 [(3)] (c) The terms of any penalty that will be imposed upon
37-5 the public body if the public body fails to pay the design
37-6 professional within the specific period set forth in the contract
37-7 pursuant to [subparagraph (1).
37-8 (4)] paragraph (a).
37-9 (d) That the prevailing party in an action to enforce the contract
37-10 is entitled to reasonable attorney’s fees and costs.
37-11 [(b)] 2. May set forth the terms of any discount that the public
37-12 body will receive if the public body pays the design professional
37-13 within the specific period set forth in the contract pursuant to
37-14 [subparagraph (1) of] paragraph (a) [.
37-15 (c)] of subsection 1.
37-16 3. May set forth the terms by which the design professional
37-17 agrees to name the public body, at the cost of the public body, as an
37-18 additional insured in an insurance policy held by the design
37-19 professional.
37-20 [(d)] 4. Except as otherwise provided in [paragraph (e),]
37-21 subsection 5, must not require the design professional to defend,
37-22 indemnify or hold harmless the public body or the employees,
37-23 officers or agents of that public body from any liability, damage,
37-24 loss, claim, action or proceeding caused by the negligence, errors,
37-25 omissions, recklessness or intentional misconduct of the employees,
37-26 officers or agents of the public body.
37-27 [(e)] 5. May require the design professional to defend,
37-28 indemnify and hold harmless the public body, and the employees,
37-29 officers and agents of the public body from any liabilities, damages,
37-30 losses, claims, actions or proceedings, including, without limitation,
37-31 reasonable attorneys’ fees, that are caused by the negligence, errors,
37-32 omissions, recklessness or intentional misconduct of the design
37-33 professional or the employees or agents of the design professional
37-34 in the performance of the contract.
37-35 [2. Any provision of a contract that is in violation of paragraph
37-36 (d) of subsection 1 is declared to be contrary to the public policy of
37-37 this state and is void.]
37-38 Sec. 32. NRS 338.1711 is hereby amended to read as follows:
37-39 338.1711 1. Except as otherwise provided in this section, a
37-40 public body shall contract with a prime contractor for the
37-41 construction of a public work for which the estimated cost exceeds
37-42 $100,000.
37-43 2. A public body may contract with a design-build team for the
37-44 design and construction of a public work that is a discrete project if
37-45 the public body determines that:
37-46 (a) The public work is:
38-1 (1) A plant or facility for the treatment and pumping of water
38-2 or the treatment and disposal of wastewater or sewage, the estimated
38-3 cost of which exceeds $100,000,000; or
38-4 (2) Any other type of public work, except a stand-alone
38-5 underground utility project, the estimated cost of which exceeds
38-6 $30,000,000; and
38-7 (b) Contracting with a design-build team will enable the public
38-8 body to:
38-9 (1) Design and construct the public work at a cost that is
38-10 significantly lower than the cost that the public body would incur to
38-11 design and construct the public work using a different method;
38-12 (2) Design and construct the public work in a shorter time
38-13 than would be required to design and construct the public work
38-14 using a different method, if exigent circumstances require that the
38-15 public work be designed and constructed within a short time; or
38-16 (3) Ensure that the design and construction of the public
38-17 work is properly coordinated, if the public work is unique, highly
38-18 technical and complex in nature.
38-19 3. Each state agency and each local government may contract
38-20 with a design-build team once in each fiscal year for the design and
38-21 construction of a public work if the [governing body of the entity]
38-22 public body that is responsible for financing the public work
38-23 determines that:
38-24 (a) The estimated cost of the public work is:
38-25 (1) At least $250,000 but less than $30,000,000 if the public
38-26 work is the construction of a park and appurtenances thereto, the
38-27 rehabilitation or remodeling of a public building, or the
38-28 construction of an addition to a public building;
38-29 (2) At least $500,000 but less than $30,000,000 if the public
38-30 work is the construction of a new public building;
38-31 (3) At least $5,000,000 but less than $100,000,000 if the
38-32 public work is the construction, alteration or repair of a plant or
38-33 facility for the treatment and pumping of water or the treatment and
38-34 disposal of wastewater or sewage; or
38-35 (4) At least $5,000,000 but less than $30,000,000 if the
38-36 public work is the construction, alteration or repair of any other
38-37 fixed works as described in subsection 2 of NRS 624.215; and
38-38 (b) Contracting with a design-build team will enable the public
38-39 body to:
38-40 (1) Design and construct the public work at a cost that is
38-41 significantly lower than the cost that the public body would incur to
38-42 design and construct the public work using a different method;
38-43 (2) Design and construct the public work in a shorter time
38-44 than would be required to design and construct the public work
38-45 using a different method, if exigent circumstances require that the
38-46 public work be designed and constructed within a short time; or
39-1 (3) Ensure that the design and construction of the public
39-2 work is properly coordinated, if the public work is unique, highly
39-3 technical and complex in nature.
39-4 4. Notwithstanding the provisions of subsections 1, 2 and 3, a
39-5 public body may contract with:
39-6 (a) A nonprofit organization for the design and construction of a
39-7 project to restore, enhance or develop wetlands.
39-8 (b) A prime contractor or design-build team with respect to a
39-9 public work if the public body determines that the public work is:
39-10 (1) Not part of a larger public work; and
39-11 (2) Limited in scope to:
39-12 (I) Removal of asbestos;
39-13 (II) Replacement of equipment or systems for heating,
39-14 ventilation and air-conditioning;
39-15 (III) Replacement of a roof;
39-16 (IV) Landscaping; or
39-17 (V) Restoration, enhancement or development of
39-18 wetlands.
39-19 5. A public body that is required to contract with a prime
39-20 contractor pursuant to subsection 1 or elects to contract with a
39-21 prime contractor pursuant to subsection 4 shall select the prime
39-22 contractor in accordance with the procedures for bidding that are
39-23 set forth in:
39-24 (a) The provisions of NRS 338.1375 to 338.139, inclusive; or
39-25 (b) NRS 338.143 to 338.148, inclusive, if the public body is a
39-26 local government that elects to award a contract for a public work
39-27 in accordance with paragraph (b) of subsection 1 of
39-28 NRS 338.1373.
39-29 6. As used in this section, “state agency” includes an agency,
39-30 bureau, board, commission, department, division or any other unit
39-31 of the Legislative Department, Judicial Department or Executive
39-32 Department of State Government or the University and Community
39-33 College System of Nevada.
39-34 Sec. 33. NRS 338.1713 is hereby amended to read as follows:
39-35 338.1713 1. A public body shall not contract with a design
39-36 -build team with respect to a public work unless the [governing
39-37 body of the] public body makes the determinations, at a public
39-38 hearing, that are required pursuant to subsection 2, 3 or 4 of NRS
39-39 338.1711, as applicable.
39-40 2. A public body that is required to hold a public hearing
39-41 pursuant to this section shall publish notice of the hearing in a
39-42 newspaper [of] qualified pursuant to chapter 238 of NRS that is
39-43 published in the county where the work will be performed. If no
39-44 qualified newspaper is published in the county where the public
39-45 work will be performed, the required advertisement must be
40-1 published in some qualified newspaper that is printed in the State
40-2 of Nevada and has a general circulation in [this state.] the county.
40-3 Sec. 34. NRS 338.1715 is hereby amended to read as follows:
40-4 338.1715 [1. A public body that is required to contract with a
40-5 prime contractor pursuant to subsection 1 of NRS 338.1711 or
40-6 elects to contract with a prime contractor pursuant to subsection 4
40-7 of NRS 338.1711 shall select the prime contractor in accordance
40-8 with the procedures for bidding that are set forth in:
40-9 (a) The provisions of NRS 338.1375 to 338.139, inclusive; or
40-10 (b) NRS 338.143 to 338.148, inclusive, if the public body is a
40-11 local government that elects to award a contract for a public work
40-12 in accordance with paragraph (b) of subsection 1 of NRS 338.1373.
40-13 2.] A public body that contracts with a design-build team
40-14 pursuant to NRS 338.1711 and 338.1713 shall select the design
40-15 -build team in accordance with the provisions of NRS 338.1721 to
40-16 338.1727, inclusive.
40-17 Sec. 35. NRS 338.1717 is hereby amended to read as follows:
40-18 338.1717 A public body may employ a registered architect ,
40-19 landscape architect or licensed professional engineer as a
40-20 consultant to assist the public body in overseeing the construction
40-21 of a public work. An architect , landscape architect or engineer so
40-22 employed shall not:
40-23 1. Construct the public work; or
40-24 2. Assume overall responsibility for ensuring that the
40-25 construction of the public work is completed in a satisfactory
40-26 manner.
40-27 Sec. 36. NRS 338.1723 is hereby amended to read as follows:
40-28 338.1723 1. A public body shall advertise for preliminary
40-29 proposals for the design and construction of a public work by a
40-30 design-build team in a newspaper [of] qualified pursuant to
40-31 chapter 238 of NRS that is published in the county where the
40-32 public work will be performed. If no qualified newspaper is
40-33 published within the county where the public will be performed,
40-34 the required advertisement must be published in some qualified
40-35 newspaper that is printed in the State of Nevada and has a general
40-36 circulation in [this state.] the county.
40-37 2. A request for preliminary proposals published pursuant to
40-38 subsection 1 must include, without limitation:
40-39 (a) A description of the public work to be designed and
40-40 constructed;
40-41 (b) Separate estimates of the costs of designing and constructing
40-42 the public work;
40-43 (c) The dates on which it is anticipated that the separate phases
40-44 of the design and construction of the public work will begin and
40-45 end;
41-1 (d) The date by which preliminary proposals must be submitted
41-2 to the public body, which must not be less than 30 days after the
41-3 date that the request for preliminary proposals is first published in a
41-4 newspaper pursuant to subsection 1; and
41-5 (e) A statement setting forth the place and time in which a
41-6 design-build team desiring to submit a proposal for the public work
41-7 may obtain the information necessary to submit a proposal,
41-8 including, without limitation, the information set forth in
41-9 subsection 3.
41-10 3. A public body shall maintain at the time and place set forth
41-11 in the request for preliminary proposals the following information
41-12 for inspection by a design-build team desiring to submit a proposal
41-13 for the public work:
41-14 (a) The extent to which designs must be completed for both
41-15 preliminary and final proposals and any other requirements for the
41-16 design and construction of the public work that the public body
41-17 determines to be necessary;
41-18 (b) A list of the requirements set forth in NRS 338.1721;
41-19 (c) A list of the factors that the public body will use to evaluate
41-20 design-build teams who submit a proposal for the public work,
41-21 including, without limitation:
41-22 (1) The relative weight to be assigned to each factor pursuant
41-23 to NRS 338.1727; and
41-24 (2) A disclosure of whether the factors that are not related to
41-25 cost are, when considered as a group, more or less important in the
41-26 process of evaluation than the factor of cost;
41-27 (d) Notice that a design-build team desiring to submit a proposal
41-28 for the public work must include with its proposal the information
41-29 used by the public body to determine finalists among the design
41-30 -build teams submitting proposals pursuant to subsection 2 of NRS
41-31 338.1725 and a description of that information;
41-32 (e) A statement that a design-build team whose prime contractor
41-33 holds a certificate of eligibility to receive a preference in bidding on
41-34 public works issued pursuant to NRS 338.1389 or 338.147 should
41-35 submit a copy of the certificate of eligibility with its proposal; and
41-36 (f) A statement as to whether a design-build team that is selected
41-37 as a finalist pursuant to NRS 338.1725 but is not awarded the
41-38 design-build contract pursuant to NRS 338.1727 will be partially
41-39 reimbursed for the cost of preparing a final proposal and, if so, an
41-40 estimate of the amount of the partial reimbursement.
41-41 Sec. 37. NRS 338.1727 is hereby amended to read as follows:
41-42 338.1727 1. After selecting the finalists pursuant to NRS
41-43 338.1725, the public body shall provide to each finalist a request
41-44 for final proposals for the public work. The request for final
41-45 proposals must:
42-1 (a) Set forth the factors that the public body will use to select a
42-2 design-build team to design and construct the public work, including
42-3 the relative weight to be assigned to each factor; and
42-4 (b) Set forth the date by which final proposals must be
42-5 submitted to the public body.
42-6 2. Except as otherwise provided in this subsection, in assigning
42-7 the relative weight to each factor for selecting a design-build team
42-8 pursuant to subsection 1, the public body shall assign, without
42-9 limitation, a relative weight of 5 percent to the possession of a
42-10 certificate of eligibility to receive a preference in bidding on public
42-11 works and a relative weight of at least 30 percent to the proposed
42-12 cost of design and construction of the public work. If any federal
42-13 statute or regulation precludes the granting of federal assistance or
42-14 reduces the amount of that assistance for a particular public work
42-15 because of the provisions of this subsection relating to preference in
42-16 bidding on public works, those provisions of this subsection do not
42-17 apply insofar as their application would preclude or reduce federal
42-18 assistance for that public work.
42-19 3. A final proposal submitted by a design-build team pursuant
42-20 to this section must be prepared thoroughly, be responsive to the
42-21 criteria that the public body will use to select a design-build team to
42-22 design and construct the public work described in subsection 1 and
42-23 comply with the provisions of NRS 338.141.
42-24 4. After receiving the final proposals for the public work, the
42-25 public body , at a regularly scheduled meeting, shall:
42-26 (a) Select the most cost-effective and responsive final proposal,
42-27 using the criteria set forth pursuant to subsections 1 and 2; or
42-28 (b) Reject all the final proposals.
42-29 5. If a public body selects a final proposal pursuant to
42-30 paragraph (a) of subsection 4, the public body shall, at [its next] a
42-31 regularly scheduled meeting:
42-32 (a) Review and ratify the selection.
42-33 (b) Award the design-build contract to the design-build team
42-34 whose proposal is selected.
42-35 (c) Partially reimburse the unsuccessful finalists if partial
42-36 reimbursement was provided for in the request for preliminary
42-37 proposals pursuant to paragraph (f) of subsection 3 of NRS
42-38 338.1723. The amount of reimbursement must not exceed, for each
42-39 unsuccessful finalist, 3 percent of the total amount to be paid to the
42-40 design-build team as set forth in the design-build contract.
42-41 (d) Make available to the public a summary setting forth the
42-42 factors used by the public body to select the successful design-build
42-43 team and the ranking of the design-build teams who submitted final
42-44 proposals. The public body shall not release to a third party, or
42-45 otherwise make public, financial or proprietary information
42-46 submitted by a design-build team.
43-1 6. A contract awarded pursuant to this section:
43-2 (a) Must specify:
43-3 (1) An amount that is the maximum amount that the public
43-4 body will pay for the performance of all the work required by the
43-5 contract, excluding any amount related to costs that may be
43-6 incurred as a result of unexpected conditions or occurrences as
43-7 authorized by the contract;
43-8 (2) An amount that is the maximum amount that the public
43-9 body will pay for the performance of the professional services
43-10 required by the contract; and
43-11 (3) A date by which performance of the work required by the
43-12 contract must be completed.
43-13 (b) May set forth the terms by which the design-build team
43-14 agrees to name the public body, at the cost of the public body, as an
43-15 additional insured in an insurance policy held by the design-build
43-16 team.
43-17 (c) Except as otherwise provided in paragraph (d), must not
43-18 require the design professional to defend, indemnify or hold
43-19 harmless the public body or the employees, officers or agents of
43-20 that public body from any liability, damage, loss, claim, action or
43-21 proceeding caused by the negligence, errors, omissions,
43-22 recklessness or intentional misconduct of the employees, officers
43-23 and agents of the public body.
43-24 (d) May require the design-build team to defend, indemnify and
43-25 hold harmless the public body, and the employees, officers and
43-26 agents of the public body from any liabilities, damages, losses,
43-27 claims, actions or proceedings, including, without limitation,
43-28 reasonable attorneys’ fees, that are caused by the negligence, errors,
43-29 omissions, recklessness or intentional misconduct of the design
43-30 -build team or the employees or agents of the design-build team in
43-31 the performance of the contract.
43-32 7. [Any provision of a contract that is in violation of paragraph
43-33 (c) of subsection 6 is declared to be contrary to the public policy of
43-34 this state and is void.
43-35 8.] A design-build team to whom a contract is awarded
43-36 pursuant to this section shall:
43-37 (a) Assume overall responsibility for ensuring that the design
43-38 and construction of the public work is completed in a satisfactory
43-39 manner; and
43-40 (b) Use the workforce of the prime contractor on the design
43-41 -build team to construct at least 15 percent of the public work.
43-42 Sec. 38. NRS 338.175 is hereby amended to read as follows:
43-43 338.175 A public body shall notify the State Board of
43-44 Architecture, Interior Design and Residential Design or the State
43-45 Board of Landscape Architecture, as applicable, in writing if a
44-1 registered architect, interior designer , [or] residential designer[:] or
44-2 landscape architect:
44-3 1. Submits plans for a project which are substantially
44-4 incomplete; or
44-5 2. Submits plans for the same project which are rejected by the
44-6 public body at least three times.
44-7 Sec. 39. NRS 338.177 is hereby amended to read as follows:
44-8 338.177 1. Real property acquired by the governing body of
44-9 a local government for a public work may be leased, pending the
44-10 completion of the public work but for not more than 5 years, upon
44-11 such terms and conditions as the governing body [of the local
44-12 government] prescribes.
44-13 2. The governing body [of the local government] shall:
44-14 (a) Adopt the procedures for entering into such a lease at a
44-15 public hearing held thereon; and
44-16 (b) Offer to lease the property to the person from whom it was
44-17 acquired before offering to lease the property to any other person.
44-18 3. Except as otherwise provided in this subsection, revenue
44-19 from the lease must be used to maintain the property in order to
44-20 mitigate any adverse effect upon the adjacent area. Any revenue
44-21 from the lease that is not needed to maintain the property must be
44-22 used to offset the cost of the public work for which the property
44-23 was acquired.
44-24 Sec. 40. NRS 338.180 is hereby amended to read as follows:
44-25 338.180 1. The Legislature of the State of Nevada declares
44-26 that:
44-27 (a) The primary purpose of this section is to provide, subject to
44-28 the limitations set forth in this section, for the removal and
44-29 elimination of architectural barriers to the physically handicapped
44-30 in public buildings and facilities designed after July 1, 1973, in
44-31 order to encourage and facilitate the employment of the physically
44-32 handicapped and to make public buildings accessible to and usable
44-33 by the physically handicapped; and
44-34 (b) It is the intent of the Legislature that insofar as possible all
44-35 buildings and facilities used by the public be accessible to, and
44-36 functional for, the physically handicapped, without loss of function,
44-37 space or facility where the general public is concerned.
44-38 2. All plans and specifications for the construction of public
44-39 buildings and facilities owned by [the State of Nevada or by a
44-40 political subdivision thereof] a public body must, after July 1, 1973,
44-41 provide facilities and features for the physically handicapped so
44-42 that buildings which are normally used by the public are
44-43 constructed with entrance ramps, toilet facilities, drinking
44-44 fountains, doors and public telephones accessible to and usable by
44-45 the physically handicapped. In addition, all plans and specifications
44-46 for the construction or alteration of public buildings and facilities
44-47 owned by
45-1 [the State of Nevada or a political subdivision thereof] a public body
45-2 must comply with the applicable requirements of the:
45-3 (a) Americans with Disabilities Act of 1990, 42 U.S.C. §§
45-4 12101 et seq., and the regulations adopted pursuant thereto,
45-5 including, without limitation, the Americans with Disabilities Act
45-6 Accessibility Guidelines for Buildings and Facilities set forth in
45-7 Appendix A of Part 36 of Title 28 of the Code of Federal
45-8 Regulations;
45-9 (b) Minimum Guidelines and Requirements for Accessible
45-10 Design, 36 C.F.R. §§ 1190.1 et seq.; and
45-11 (c) Fair Housing Act, 42 U.S.C. § 3604, and the regulations
45-12 adopted pursuant thereto.
45-13 The requirements of paragraph (a) of this subsection are not
45-14 satisfied if the plans and specifications comply solely with the
45-15 Uniform Federal Accessibility Standards set forth in Appendix A of
45-16 Part 101-19.6 of Title 41 of the Code of Federal Regulations.
45-17 3. [The State of Nevada and each political subdivision thereof]
45-18 All public bodies shall, in the design, construction and alteration of
45-19 public buildings and facilities comply with the applicable
45-20 requirements of the:
45-21 (a) Americans with Disabilities Act of 1990, 42 U.S.C. §§
45-22 12101 et seq., and the regulations adopted pursuant thereto,
45-23 including, without limitation, the Americans with Disabilities Act
45-24 Accessibility Guidelines for Buildings and Facilities set forth in
45-25 Appendix A of Part 36 of Title 28 of the Code of Federal
45-26 Regulations;
45-27 (b) Minimum Guidelines and Requirements for Accessible
45-28 Design, 36 C.F.R. §§ 1190.1 et seq.; and
45-29 (c) Fair Housing Act, 42 U.S.C. § 3604, and the regulations
45-30 adopted pursuant thereto.
45-31 The requirements of paragraph (a) of this subsection are not
45-32 satisfied if the [State of Nevada or a political subdivision thereof]
45-33 public body complies solely with the Uniform Federal Accessibility
45-34 Standards set forth in Appendix A of Part 101-19.6 of Title 41 of
45-35 the Code of Federal Regulations.
45-36 4. In each public building and facility owned by [this state or a
45-37 political subdivision of this state,] a public body, each entrance to a
45-38 corridor which leads to a toilet facility must be marked with a sign
45-39 which:
45-40 (a) Conforms to the requirements related to signage contained in
45-41 §§ 4.30 et seq. of the Americans with Disabilities Act Accessibility
45-42 Guidelines for Buildings and Facilities set forth in Appendix A of
45-43 Part 36 of Title 28 of the Code of Federal Regulations; and
45-44 (b) Uses symbols, raised letters and Braille to:
45-45 (1) Identify the toilet facility and the gender of persons who
45-46 may use the toilet facility; and
46-1 (2) If the toilet facility is for the exclusive use of persons of
46-2 one gender:
46-3 (I) Indicate that the toilet facility is for the exclusive use
46-4 of persons of that gender; and
46-5 (II) Provide direction to a toilet facility that may be used
46-6 by persons of the other gender.
46-7 5. The State Public Works Board shall verify that all public
46-8 buildings and facilities owned by the State of Nevada conform with
46-9 the requirements of this section. Each political subdivision shall
46-10 verify that all public buildings and facilities owned by the political
46-11 subdivision conform with the requirements of this section.
46-12 6. A person may report a violation of this section to the
46-13 Attorney General.
46-14 7. Upon receiving a report pursuant to subsection 6, the
46-15 Attorney General shall notify the public body responsible for the
46-16 alleged violation. Not later than 30 days after receiving such a
46-17 notification, the public body shall:
46-18 (a) Present evidence to the Attorney General that it is in
46-19 compliance with this section; or
46-20 (b) Begin any action necessary to comply with the requirements
46-21 of this section and notify the Attorney General of the date on which
46-22 it will be in compliance with those requirements.
46-23 8. If the public body responsible for the alleged violation fails
46-24 to comply with this section, the Attorney General shall take such
46-25 action as is necessary to ensure compliance with this section,
46-26 including, without limitation, commencing proceedings in a court
46-27 of competent jurisdiction, if appropriate.
46-28 Sec. 41. NRS 338.1907 is hereby amended to read as follows:
46-29 338.1907 1. The governing body of a local government may
46-30 designate one or more energy retrofit coordinators for the buildings
46-31 occupied by the local government.
46-32 2. If such a coordinator is designated, upon request by or
46-33 consultation with an officer or employee of the local government
46-34 who is responsible for the budget of a department, board,
46-35 commission or other entity of the local government, the coordinator
46-36 may request the approval of the governing body to advertise a
46-37 request for proposals to retrofit a building, or any portion thereof,
46-38 that is occupied by the department, board, commission or other
46-39 entity, to make the use of energy in the building, or portion thereof,
46-40 more efficient.
46-41 3. Upon approval of the governing body, the coordinator shall
46-42 prepare a request for proposals for the retrofitting of one or more
46-43 buildings, or any portion thereof, which includes:
46-44 (a) The name and location of the coordinator;
46-45 (b) A brief description of the requirements for the initial audit of
46-46 the use of energy and the retrofitting;
47-1 (c) Where and how specifications of the requirements for the
47-2 initial audit of the use of energy and the retrofitting may be
47-3 obtained;
47-4 (d) The date and time not later than which proposals must be
47-5 received by the coordinator; and
47-6 (e) The date and time when responses will be opened.
47-7 4. The request for proposals must be published in [at least one
47-8 newspaper of] a newspaper qualified pursuant to chapter 238 of
47-9 NRS that is published in the county where the work will be
47-10 performed. If no qualified newspaper is published in the county
47-11 where the public work will be performed, the required
47-12 advertisement must be published in some qualified newspaper
47-13 that is printed in the State of Nevada and has a general circulation
47-14 in the county [in which the local government is located.] where the
47-15 work will be performed.
47-16 5. After receiving the proposals but before making a decision
47-17 on the proposals, the coordinator shall consider:
47-18 (a) The best interests of the local government;
47-19 (b) The experience and financial stability of the persons
47-20 submitting the proposals;
47-21 (c) Whether the proposals conform with the terms of the request
47-22 for proposals;
47-23 (d) The prices of the proposals; and
47-24 (e) Any other factor disclosed in the request for proposals.
47-25 6. The coordinator shall determine the relative weight of each
47-26 factor before a request for proposals is advertised. The weight of
47-27 each factor must not be disclosed before the date proposals are
47-28 required to be submitted to the coordinator.
47-29 7. After reviewing the proposals, if the coordinator determines
47-30 that sufficient energy could be saved to justify retrofitting the
47-31 building or buildings, or portion thereof, the coordinator shall select
47-32 the best proposal and request the approval of the governing body to
47-33 award the contract. The request for approval must include the
47-34 proposed method of financing the audit and retrofit, which may
47-35 include an installment contract, a shared savings contract or any
47-36 other contract for a reasonable financing arrangement. Such a
47-37 contract may commit the local government to make payments
47-38 beyond the fiscal year in which the contract is executed or beyond
47-39 the terms of office of the governing body, or both.
47-40 8. Before approving a retrofit pursuant to this section, the
47-41 governing body shall evaluate any projects that would utilize shared
47-42 savings as a method of payment or any method of financing that
47-43 would commit the local government to make payments beyond the
47-44 fiscal year in which the contract is executed or beyond the terms of
47-45 office of the governing body to ensure that:
48-1 (a) The amount of energy to be saved will likely justify the cost
48-2 of the retrofit; and
48-3 (b) The local government is likely to continue to occupy the
48-4 building for the entire period required to recoup the cost of the
48-5 retrofit in energy savings.
48-6 9. Upon approval of the governing body, the coordinator shall
48-7 execute the contract and notify each officer or employee who is
48-8 responsible for the budget of a department, board, commission or
48-9 other entity which occupies a portion of a building that will be
48-10 retrofitted of the amount of money it will be required to pay
48-11 annually for its portion of the retrofit.
48-12 10. NRS 338.1385 and 338.143 do not apply to a project for
48-13 which a request for proposals is advertised and the contract is
48-14 awarded pursuant to the provisions of this section.
48-15 Sec. 42. NRS 338.515 is hereby amended to read as follows:
48-16 338.515 1. Except as otherwise provided in NRS 338.525, a
48-17 public body and its officers or agents awarding a contract for a
48-18 public work shall pay or cause to be paid to a contractor the
48-19 progress payments due under the contract within 30 days after the
48-20 date the public body receives the progress bill or within a shorter
48-21 period if the provisions of the contract so provide. Not more than
48-22 90 percent of the amount of any progress payment may be paid
48-23 until 50 percent of the work required by the contract has been
48-24 performed. Thereafter the public body may pay any of the
48-25 remaining progress payments without withholding additional
48-26 retainage if, in the opinion of the public body, satisfactory progress
48-27 is being made in the work.
48-28 2. Except as otherwise provided in NRS 338.525, a public
48-29 body shall identify in the contract and pay or cause to be paid to a
48-30 contractor the actual cost of the supplies, materials and equipment
48-31 that:
48-32 (a) Are identified in the contract;
48-33 (b) Have been delivered and stored at a location, and in the time
48-34 and manner, specified in a contract by the contractor or a
48-35 subcontractor or supplier for use in [the construction, repair or
48-36 reconstruction of the] a public work; and
48-37 (c) Are in short supply or were specially made for the public
48-38 work,
48-39 within 30 days after the public body receives a progress bill from
48-40 the contractor for those supplies, materials or equipment.
48-41 3. A public body shall pay or cause to be paid to the contractor
48-42 at the end of each quarter interest for the quarter on any amount
48-43 withheld by the public body pursuant to NRS 338.400 to 338.645,
48-44 inclusive, at a rate equal to the rate quoted by at least three financial
48-45 institutions as the highest rate paid on a certificate of deposit whose
48-46 duration is approximately 90 days on the first day of the quarter. If
49-1 the amount due to a contractor pursuant to this subsection for any
49-2 quarter is less than $500, the public body may hold the interest until:
49-3 (a) The end of a subsequent quarter after which the amount of
49-4 interest due is $500 or more;
49-5 (b) The end of the fourth consecutive quarter for which no
49-6 interest has been paid to the contractor; or
49-7 (c) The amount withheld under the contract is due pursuant to
49-8 NRS 338.520,
49-9 whichever occurs first.
49-10 4. If the Labor Commissioner has reason to believe that an
49-11 employee has a valid and enforceable claim for wages against a
49-12 contractor[,] or subcontractor, he may require the public body to
49-13 withhold from any payment due the contractor under this section
49-14 and pay the Labor Commissioner instead, an amount equal to the
49-15 amount claimed by the employee. This amount must be paid to the
49-16 employee by the Labor Commissioner if the claim is resolved in
49-17 his favor, otherwise it must be returned to the public body for
49-18 payment to the contractor.
49-19 Sec. 43. NRS 338.560 is hereby amended to read as follows:
49-20 338.560 1. A contractor may withhold from a progress
49-21 payment or retainage payment an amount sufficient to pay [the] :
49-22 (a) The expenses the contractor reasonably expects to incur as a
49-23 result of the failure of his subcontractor or supplier to comply with
49-24 the subcontract or applicable building code, law or regulation.
49-25 (b) An amount withheld from payment to the contractor by a
49-26 public body pursuant to subsection 4 of NRS 338.515 for a claim
49-27 for wages against the subcontractor.
49-28 2. A contractor shall, within 10 days after he receives:
49-29 (a) A progress payment or retainage payment from the public
49-30 body for an amount that is less than the amount set forth in the
49-31 applicable progress bill or retainage bill; or
49-32 (b) A progress bill or retainage bill from his subcontractor or
49-33 supplier,
49-34 give a written notice to his subcontractor or supplier of any amount
49-35 that will be withheld pursuant to this section.
49-36 3. The written notice must:
49-37 (a) Set forth:
49-38 (1) The amount of the progress payment or retainage
49-39 payment that will be withheld from his subcontractor or supplier;
49-40 and
49-41 (2) A detailed explanation of the reason the contractor will
49-42 withhold that amount, including, without limitation, a specific
49-43 reference to the provision or section of the subcontract, or
49-44 documents related thereto, or applicable building code, law or
49-45 regulation with which his subcontractor or supplier has failed to
49-46 comply; and
50-1 (b) Be signed by an authorized agent of the contractor.
50-2 4. The contractor shall pay to his subcontractor or supplier the
50-3 amount withheld by the public body or the contractor within 10
50-4 days after:
50-5 (a) The contractor receives a written notice of the correction of
50-6 the condition that is the reason for the withholding, signed by an
50-7 authorized agent of the subcontractor or supplier; or
50-8 (b) The public body pays to the contractor the amount
50-9 withheld,
50-10 whichever occurs later.
50-11 Sec. 44. NRS 338.595 is hereby amended to read as follows:
50-12 338.595 1. If a subcontractor and another subcontractor or
50-13 supplier enter into a subcontract for a public work, the
50-14 subcontractor may withhold as retainage not more than 10 percent
50-15 from the amount of any progress payment due under a subcontract
50-16 which is made before 50 percent of the work has been completed
50-17 under the subcontract. The subcontractor shall pay any additional
50-18 progress payments due under the subcontract without withholding
50-19 any additional retainage if, in the opinion of the subcontractor,
50-20 satisfactory progress is being made in the work under the
50-21 subcontract. The payment must be equal to that paid by the
50-22 contractor to him for the work performed or supplies provided by
50-23 his subcontractor or supplier.
50-24 2. If the subcontractor receives a payment of interest earned on
50-25 the retainage or an amount withheld from a progress payment, he
50-26 shall, within 10 days after receiving the money, pay to each of his
50-27 subcontractors or suppliers that portion of the interest received from
50-28 the contractor which is attributable to the retainage or amount
50-29 withheld from a progress payment by [him to] the subcontractor to
50-30 his subcontractor or supplier.
50-31 Sec. 45. NRS 338.600 is hereby amended to read as follows:
50-32 338.600 1. A subcontractor may withhold from a progress
50-33 payment or retainage payment an amount sufficient to pay the
50-34 expenses the subcontractor reasonably expects to incur as a result of
50-35 the failure of his subcontractor or supplier to comply with the
50-36 subcontract or applicable building code, law or regulation.
50-37 2. A subcontractor shall, within 10 days after he receives:
50-38 (a) A progress payment or retainage payment from a contractor
50-39 for an amount that is less than the amount set forth in the applicable
50-40 progress bill or retainage bill; or
50-41 (b) A progress bill or retainage bill from his subcontractor or
50-42 supplier,
50-43 give a written notice to his subcontractor or supplier of any amount
50-44 that will be withheld pursuant to this section.
50-45 3. The written notice must:
50-46 (a) Set forth:
51-1 (1) The amount of the progress payment or retainage
51-2 payment that will be withheld from his subcontractor or supplier;
51-3 and
51-4 (2) A detailed explanation of the reason the subcontractor
51-5 will withhold that amount, including, without limitation, a specific
51-6 reference to the provision or section of the subcontract, or
51-7 documents related thereto, or applicable building code, law or
51-8 regulation with which the subcontractor or supplier has failed to
51-9 comply; and
51-10 (b) Be signed by an authorized agent of the subcontractor.
51-11 4. The subcontractor shall pay to his subcontractor or supplier
51-12 the amount withheld by the public body, contractor or subcontractor
51-13 within 10 days after:
51-14 (a) The subcontractor receives a written notice of the correction
51-15 of the condition that is the reason for the withholding, signed by an
51-16 authorized agent of his subcontractor or supplier; or
51-17 (b) The contractor pays to [him] the subcontractor the amount
51-18 withheld,
51-19 whichever occurs later.
51-20 Sec. 46. NRS 338.1383 is hereby repealed.
51-21 Sec. 47. 1. This section and sections 1 to 18, inclusive, 20 to
51-22 25, inclusive, and 27 to 46, inclusive, of this act become effective
51-23 on July 1, 2003.
51-24 2. Sections 18 and 25 of this act expire by limitation on
51-25 April 30, 2013.
51-26 3. Sections 19 and 26 of this act become effective on May 1,
51-27 2013.
51-28 20~~~~~03