Nevada Code § 338.16995

Contract between construction manager at risk and subcontractor to provide labor, materials or equipment on project: Authority to enter into; procedure for awarding subcontracts of certain estimated value; substitution of subcontractor on such subcontracts; availability of certain information to applicants and public
Open in Lexace · Ask the AI about this section
1. If a public body enters into a contract
with a construction manager at risk for the construction of a public work
pursuant to NRS 338.1696 , the
construction manager at risk may enter into a subcontract for the provision of
labor, materials and equipment necessary for the construction of the public
work only as provided in this section.
2. The provisions of this section apply
only to a subcontract for which the estimated value is at least 1 percent of
the total cost of the public work or $50,000, whichever is greater.
3. After the design and schedule for the
construction of the public work is sufficiently detailed and complete to allow
a subcontractor to submit a meaningful and responsive proposal, and not later
than 21 days before the date by which a proposal for the provision of labor,
materials or equipment by a subcontractor must be submitted, the construction
manager at risk shall notify in writing each subcontractor who was determined
pursuant to NRS 338.16991 to be
qualified to submit such a proposal of a request for such proposals and shall
provide to each such subcontractor a form prepared by the construction manager
at risk and approved by the public body on which any proposal in response to
the request for proposals must be submitted. A copy of the notice required
pursuant to this subsection must be provided to the public body.
4. The notice required pursuant to
subsection 3 must include, without limitation:
(a) A description of the design for the public
work and a statement indicating where a copy of the documents relating to that
design may be obtained;
(b) A description of the type and scope of labor,
equipment and materials for which subcontractor proposals are being sought;
(c) The dates on which it is anticipated that
construction of the public work will begin and end;
(d) If a preproposal meeting regarding the scope
of the work to be performed by the subcontractor is to be held, the date, time
and place at which the preproposal meeting will be held;
(e) The date and time by which proposals must be
received, and to whom they must be submitted;
(f) The date, time and place at which proposals
will be opened for evaluation;
(g) A description of the bonding and insurance
requirements for subcontractors;
(h) Any other information reasonably necessary
for a subcontractor to submit a responsive proposal; and
(i) A statement in substantially the following
form:
Notice: For a proposal for a
subcontract on the public work to be considered:
1. The
subcontractor must be licensed pursuant to chapter
624 of NRS;
2. The proposal
must be submitted on the form provided by the construction manager at risk and
be timely received;
3. If a preproposal
meeting regarding the scope of the work to be performed by the subcontractor is
held, the subcontractor must attend the preproposal meeting; and
4. The
subcontractor may not modify the proposal after the date and time the proposal
is received.
5. A subcontractor may not modify a
proposal after the date and time the proposal is received.
6. To be considered responsive, a proposal
must:
(a) Be submitted on the form provided by the
construction manager at risk pursuant to subsection 3;
(b) Be timely received by the construction
manager at risk; and
(c) Substantially and materially conform to the
details and requirements included in the proposal instructions and for the
finalized bid package for the public work, including, without limitation, details
and requirements affecting price and performance.
7. The opening of the proposals must be
attended by an authorized representative of the public body. The public body
may require the architect or engineer responsible for the design of the public
work to attend the opening of the proposals. The opening of the proposals is
not otherwise open to the public.
8. At the time the proposals are opened,
the construction manager at risk shall compile and provide to the public body
or its authorized representative a list that includes, without limitation, the
name and contact information of each subcontractor who submits a timely
proposal.
9. Not more than 10 working days after
opening the proposals and before the construction manager at risk submits a guaranteed
maximum price, a fixed price or a fixed price plus reimbursement pursuant to NRS 338.1696 , the construction manager at
risk shall:
(a) Evaluate the proposals and determine which proposals
are responsive.
(b) Select the subcontractor who submits the
proposal that the construction manager at risk determines is the best proposal.
Subject to the provisions of subparagraphs (1), (2) and (3), if only one
subcontractor submits a proposal, the construction manager at risk may select
that subcontractor. The subcontractor must be selected from among those:
(1) Who attended the preproposal meeting
regarding the scope of the work to be performed by the subcontractor, if such a
preproposal meeting was held;
(2) Who submitted a responsive proposal;
and
(3) Whose names are included on the list
compiled and provided to the public body or its authorized representative
pursuant to subsection 8.
(c) Inform the public body or its authorized
representative which subcontractor has been selected.
10. The public body or its authorized
representative shall ensure that the evaluation of proposals and selection of
subcontractors are done pursuant to the provisions of this section and
regulations adopted by the State Public Works Board.
11. A subcontractor selected pursuant to
subsection 9 need not be selected by the construction manager at risk solely on
the basis of lowest price.
12. Except as otherwise provided in
subsections 13 and 15, the construction manager at risk shall enter into a
subcontract with a subcontractor selected pursuant to subsection 9 to provide
the labor, materials or equipment described in the request for proposals.
13. A construction manager at risk shall
not substitute a subcontractor for any subcontractor selected pursuant to
subsection 9 unless:
(a) The public body or its authorized
representative objects to the subcontractor, requests in writing a change in
the subcontractor and pays any increase in costs resulting from the change; or
(b) The substitution is approved by the public
body after the selected subcontractor:
(1) Files for bankruptcy or becomes
insolvent;
(2) After having a reasonable opportunity,
fails or refuses to execute a written contract with the construction manager at
risk which was offered to the selected subcontractor with the same general
terms that all other subcontractors on the project were offered;
(3) Fails or refuses to perform the
subcontract within a reasonable time;
(4) Is unable to furnish a performance
bond and payment bond pursuant to NRS
339.025 , if required for the public work; or
(5) Is not properly licensed to provide
that labor or portion of the work.
14. If a construction manager at risk
substitutes a subcontractor for any subcontractor selected pursuant to
subsection 9 without complying with the provisions of subsection 13, the
construction manager at risk shall forfeit, as a penalty to the public body, an
amount equal to 1 percent of the total amount of the contract.
15. If a construction manager at risk does
not select a subcontractor pursuant to subsection 9 to perform a portion of
work on a public work, the construction manager at risk shall notify the public
body that the construction manager at risk intends to perform that portion of
work. If, after providing such notification, the construction manager at risk
substitutes a subcontractor to perform the work, the construction manager at
risk shall forfeit, as a penalty to the public body, the lesser of, and
excluding any amount of the contract that is attributable to change orders:
(a) An amount equal to 2.5 percent of the total
amount of the contract; or
(b) An amount equal to 35 percent of the estimate
by the engineer of the cost of the work the construction manager at risk
selected himself or herself to perform on the public work.
16. The construction manager at risk shall
make available to the public the name of each subcontractor who submits a proposal.
17. If a public work is being constructed
in phases, and a construction manager at risk selects a subcontractor pursuant
to subsection 9 for the provision of labor, materials or equipment for any
phase of that construction, the construction manager at risk may select that
subcontractor for the provision of labor, materials or equipment for any other
phase of the construction without following the requirements of subsections 3
to 11, inclusive.
18. As used in this section, general
terms has the meaning ascribed to it in NRS
338.141 .

‹ Prev All Nevada sections Next ›


Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.