Assembly Bill No. 534–Committee on
Commerce and Labor

 

CHAPTER..........

 

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

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

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

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

    Sec. 2.  “Board” means the State Public Works Board.

    Sec. 3.  “Manager” means the Manager appointed pursuant

to NRS 341.100.

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

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

Manager or his designated representative may issue an order to

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

structure based on health or safety reasons or for violations of

applicable building codes or other laws or regulations.

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

1, the person shall immediately cease work on the building or

structure or portion thereof.

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

issued pursuant to subsection 1 or who willfully encourages

another person to refuse to comply or assists another person in

refusing to comply with such an order is guilty of a misdemeanor

and shall be punished as provided in NRS 193.150. Any penalties

collected pursuant to this subsection must be deposited with the

State Treasurer for credit to the State General Fund.

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

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

than $1,000 per day for each day that a person violates

subsection 3.

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

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

district court. The court shall give such a proceeding priority over

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

action brought pursuant to this subsection does not stay

enforcement of the order unless the district court orders otherwise.

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

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

name of the State of Nevada in district court to compel compliance

and to collect any administrative penalties imposed pursuant to

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

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

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

and any penalties collected in the action must be deposited with

the State Treasurer for credit to the State General Fund.

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

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

Manager or any officers, employees or agents of the Board in

carrying out the provisions of this section.

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

and a governmental subdivision, agency or instrumentality.

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

    341.010  As used in this chapter, unless the context otherwise

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

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

meanings ascribed to them in those sections.

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

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

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

Governor may remove the Manager for inefficiency, neglect of duty,

malfeasance or for other just cause.

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

deputy for professional services and a deputy for administrative,

fiscal and constructional services. In addition, the Manager may

appoint such other technical and clerical assistants as may be

necessary to carry into effect the provisions of this chapter.

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

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

Manager and each deputy shall devote his entire time and attention

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

or occupation or hold any other office of profit.

    4.  The Manager and his deputy for professional services must

each be a licensed professional engineer pursuant to the provisions

of chapter 625 of NRS or an architect registered pursuant to the

provisions of chapter 623 of NRS. The deputy manager for

administrative, fiscal and constructional services must have a

comprehensive knowledge of principles of administration and a

working knowledge of principles of engineering or architecture as

determined by the Board.

    5.  The Manager shall:

    (a) Serve as the Secretary of the Board.

    (b) Manage the daily affairs of the Board.

    (c) Represent the Board before the Legislature.

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

recommended priority for proposed capital improvement projects

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

    (e) Make recommendations to the Board for the selection of

architects, engineers and contractors.

    (f) Make recommendations to the Board concerning the

acceptance of completed projects.

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

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

the progress of all public works projects which are a part of the

approved capital improvement program.

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

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

of the State Government.

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

    341.145  The Board:

    1.  Has final authority to approve the architecture of all

buildings, plans, designs, types of construction, major repairs and

designs of landscaping.

    2.  Shall determine whether any rebates are available from a

public utility for installing devices in any state building which are

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

rebate is available, the Board shall apply for the rebate.

    3.  Shall solicit bids for and let all contracts for new

construction or major repairs.

    4.  May negotiate with the lowest responsible and responsive

bidder on any contract to obtain a revised bid if:

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

Legislature for that building project; and

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

building project as established by the Board by more than 10

percent.

    5.  May reject any or all bids.

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

construction and major repairs. The cost of supervision and

inspection must be financed from the capital construction program

approved by the Legislature.

    7.  Shall obtain approval from the Interim Finance Committee

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

Legislature by concurrent resolution when the Legislature is in

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

or construction of a project as that project was authorized by the

Legislature. The Board shall adopt by regulation criteria for

determining whether a change in the scope of the design or

construction of a project requires such approval.

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

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

the total awarded contract price.

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

exceed in the aggregate 10 percent of the total awarded contract

price, where the change represents an increase in that price.

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

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

exceeding the amount of the total awarded contract price.

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

period within which the design professional must prepare and

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

design professional. As used in this subsection, “design

professional” means a person with a professional license or

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

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

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

any division of the State Government as completed or to require

necessary alterations to conform to the contract[,] or to codes

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

certificate of occupancy for the building or structure.

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

    341.146  1.  The Board shall establish funds for projects of

capital construction necessary to account for the program of capital

construction approved by the Legislature. These funds must be used

to account for all revenues, appropriations and expenditures

restricted to constructing buildings and other projects which come

under the supervision of the Board.

    2.  If a state department, board, commission or agency

provides to the Board money that has not been appropriated by the

Legislature for a capital improvement project, any interest earned

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

determination by the Board that the project is completed, the

Board shall return any principal and interest remaining on that

money to the department, board, commission or agency that had

provided the money to the Board.

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

actually received by the Board for a capital improvement project

includes money from more than one source, the money must be

expended in the following order:

    (a) Money received for the project from the Federal

Government;

    (b) Money generated by the state department, board,

commission or agency for whom the project is being performed;

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

project during a previous biennium that has been reallocated

during the current biennium for the project;

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

    (e) Money from the State General Fund; and

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

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

any money from the Federal Government for the project is

conditioned upon a different order of expenditure.

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

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

Board shall advertise in a newspaper of general circulation in the

State of Nevada for separate sealed bids for each construction

project. Approved plans and specifications for the construction must

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

inspection of all persons desiring to bid thereon and for other

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

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

separate contracts for different and separate portions of any project,

or a combination contract for structural, mechanical and electrical

construction if savings will result to [the lowest responsible and

responsive bidder.] this state.

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

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

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

licensed contractors doing business in the area and may award the

contract to the lowest responsible and responsive bidder or reject all

bids.

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

    341.153  1.  The Legislature hereby finds as facts:

    (a) That the construction of public buildings is a specialized

field requiring for its successful accomplishment a high degree of

skill and experience not ordinarily acquired by public officers and

employees whose primary duty lies in some other field.

    (b) That this construction involves the expenditure of large

amounts of public money which, whatever their particular

constitutional, statutory or governmental source, involve a public

trust.

    (c) That the application by state agencies of conflicting

standards of performance results in wasteful delays and increased

costs in the performance of public works.

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

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

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

supervised by, and final authority for its completion and acceptance

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

341.141 to 341.148, inclusive.

    Sec. 11.  This act becomes effective upon passage and

approval.

 

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