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