AB 173 — Revises provisions governing public works. (BDR 28-735)

(Reprinted with amendments adopted on April 20, 2023) FIRST REPRINT A.B.

Existing law requires a prime contractor who submits a bid for certain public a certain portion of the work on the public work to the prime contractor.contractor for whichor the first tier subcontractor will be paid an amount exceeding $250,000.

Existing law further requires that if any one of the contractors who submitted one of the three lowest bids will employ a first tier subcontractor who will provide labor or a portion of the work on the public work to the prime contractor for which that first tier subcontractor will not be paid an1 amountpercent exceedingof $250,000, the firstprime tiercontractor’s total bid or $50,000, whichever is greater.

(NRS 338.141) This billbill: revises this payment requirement to00, be not less than $50,000.

THE(1) PEOPLEremoves OFthis THEpayment STATErequirement; OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

and (2) revises the requirement for a prime contractor who submits a bid for certain public work to include the names of each first tier subcontractor who will provide labor or a certain portion of the work on the public work to the prime contractor for which the first tier subcontractor will be paid an amount exceeding $100,000, instead of an amount exceeding $250,000.

- *AB173_R1* – 2 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Except as otherwise provided in NRS 338.1727, each bid submitted to a public body for any public work to which paragraph (a) of subsection 1 of NRS 338.1385, paragraph (a) of - *AB173* – 2 – subsection 1 of NRS 338.143 or NRS 408.327 applies, must include:include [:

or (b) If the public body does not provide a list of the labor or portions of the public work which are estimated by the public body to exceed 3 percent of the estimated cost of the public work,work,] the name of each first tier subcontractor who will provide labor or a portion of the work on the public work to the prime contractor for which the first tier subcontractor will be paid an amount exceeding 5 percent of the prime contractor’s total bid.

If[If the bid is submitted pursuant to this paragraph, withinwithin] Within 2 hours after the completion of the opening of the bids, the contractors who submitted the three lowest bids must submit a list containing:

(1)[(1)] (a) The name of each first tier subcontractor who will provide labor or a portion of the work on the public work to the prime contractor for which the first tier subcontractor will be paid an amount exceeding $250,000.[$250,000.

(2) If any one of the contractors who submitted one of the three lowest bids will employ a first tier subcontractor who will provide labor or a portion of the work on the public work to the prime contractor for which the first tier subcontractor will not be paid an amount exceeding $250,000, the name of each first tier subcontractor who will provide labor or a portion of the work on the public work to the prime contractor for which the first tier subcontractor will be paid [11 percent of the prime contractor’s total bid or]or not$50,000, lesswhichever thanis $50,000greater. .

[,(3)] whichever$100,000. is greater.] (3) For each first tier subcontractor whose name is listed pursuant to subparagraph (1) or (2), the number of the license issued to the first tier subcontractor pursuant to chapter 624 of NRS.

2.(b) For each first tier subcontractor whose name is listed pursuant to [subparagraph (1) or (2),] paragraph (a), the number of the license issued , if applicable, to the first tier subcontractor pursuant to chapter 624 of NRS.

The- lists*AB173_R1* required– by3 subsection– 12. must include a description of the labor or portion of the work which each first tier subcontractor named in the list will provide to the prime contractor.

The [lists] list required by subsection 1 must include a description of the labor or portion of the work which each first tier subcontractor named in the list will provide to the prime contractor.

A prime contractor shall include his or her name on a list required by paragraph[paragraph (a) or (b) ofof] subsection 1.

If the prime contractor will perform any work which is more than 1 percent of the prime contractor’s total bid and which is not being performed by a subcontractor listed pursuant to paragraph[paragraph (a) or (b) ofof] subsection 1, the prime contractor shall also include on the list:

or - *AB173* – 3 – (b) A statement that the prime contractor will perform all work other than that being performed by a subcontractor listed pursuant to paragraph[paragraph (a) or (b) ofof] subsection 1.

- *AB173_R1* – 4 – (3) The named subcontractor fails or refuses to perform his or her subcontract within a reasonable time or is unable to furnish a performance bond and payment bond pursuant to NRS 339.025;

- *AB173* – 4 – 6.

(a) An amount equal to 2.5 percent of the total amount of the contract;

orountor equal to 2.5 percent of the total amount of the (b) An amount equal to 35 percent of the estimate by the engineer of the cost of the work the prime contractor indicated pursuant to subsection 3 that he or she would perform on the public work.

H - *AB173**AB173_R1*