AB 213 — Revises provisions governing public works projects. (BDR 28-816)

(b) Discharging an obligation to pay wages in a manner that violates the provisions of NRS 338.035.

“Public body” means the State, county, city, town, school district or any public agency of this State or its political subdivisionssub[19.] sponsoring21. or financing a public work.

- *AB213_R1* – 6 – [19.] 21.

(g)- Publicly83rd ownedSession water(2025) mains– 6 – (h) Public parks and playgrounds;d sewers;

(h) Public parks and playgrounds;

and (b) A project for the construction or installation of a storm drain, including facilities appurtenant thereto,  that is not located at the site of a public work for the design and construction of which a public body is authorized to contract with a design-build team pursuant to subsection 2 of NRS 338.1711.338.1711.ct with a [22.] 24.

[22.] 24.

“Supplier” means a person who provides materials, equipmentequ[25.] or27. supplies for a construction project.

[25.]“Vertical 27.construction” means any construction, alteration, repair, renovation, demolition or remodeling necessary to complete a public work for any building, structure or other improvement that is predominantly vertical, including, without limitation, a building, structure or improvement for the support, shelter and enclosure of persons, animals, chattels or movable property of any kind, and any other work or improvement appurtenant thereto.

“Vertical construction” means any construction, alteration, repair, renovation, demolition or remodeling necessary to - *AB213_R1* – 7 – complete a public work for any building, structure or other improvement that is predominantly vertical, including, without limitation, a building, structure or improvement for the support, shelter and enclosure of persons, animals, chattels or movable property of any kind, and any other work or improvement appurtenant thereto.

(a)- 83rd Session (2025) – 7 – (b) The basicamount hourlyof ratepension, health and welfare, vacation and holiday pay, the cost of pay;apprenticeship training or other bona fide fringe benefits which are a benefit to the worker.

and (b) The amount of pension, health and welfare, vacation and holiday pay, the cost of apprenticeship training or other bona fide fringe benefits which are a benefit to the worker.

To qualify to receive a preference in bidding pursuant to subsection 2 of NRS 338.1389, subsection 2 of NRS 338.147, subsection 3 of NRS 338.1693, subsection 3 of NRS 338.1727 or subsection 2 of NRS 408.3886, a contractor, an applicant or a design-build team, respectively, must submit to the public body sponsoring or financing a public work a signed affidavit which certifies that, for the duration of the project, collectively, and not on any specific day:

(c) If applying to receive a preference in bidding pursuant to subsection 3 of NRS 338.1727 or subsection 2 of NRS 408.3886, at least 50 percent of the design professionals working on the public work, including, without limitation, employees of the design-build team and of any subcontractor or consultant engaged in the design of the public work, will have a valid driver’s license or - *AB213_R1* – 8 – identification card issued by the Department of Motor Vehicles of the State of Nevada;

and (e)- If83rd theSession public(2025) work– requires8 the– procurement of any nonstandard good or material and is located in a county whose population is 100,000 or more, the contractor, applicant or design- build team and any subcontractor engaged on the public work will:

(a) Include a provision in the contract that substantially incorporates the requirements of paragraphs (a) to [(d),] (e), inc(b) Provide that a failure to comply with any requirement of paragraphs (a) to [(d),] (e), inclusive, of subsection 1;1 entitles the public body to a penalty only as provided in subsections 5 and 6.

and (b) Provide that a failure to comply with any requirement of paragraphs (a) to [(d),] (e), inclusive, of subsection 1 entitles the public body to a penalty only as provided in subsections 5 and 6.

A written objection authorized pursuant to this subsection must set forth proof or substantiating evidence to support the belief of the person or entity that the contractor, applicant or design-build team has failed to comply with a requirement of paragraphs (a) to [(d),] (e), inclusive, of sub4.ctiIf a public body receives a written objection pursuant to subsection 1.3, the public body shall determine whether the objection is accompanied by the proof or substantiating evidence required pursuant to that subsection.

4.If the public body determines that the objection is not accompanied by the required proof or substantiating evidence, the public body shall dismiss the objection.

If athe public body receivesdetermines athat writtenthe objection pursuantis accompanied by the required proof or substantiating evidence or if the public body determines on its own initiative that proof or substantiating evidence of a failure to - 83rd Session (2025) – 9 – of subsection 3,1 exists, the public body shall determine whether thethee, objectioncontractor, isapplicant accompaniedor bydesign-build team has failed to comply with a requirement of paragraphs (a) to [(d),] (e), inclusive, of subsection and the proofpublic body or substantiatingits evidenceauthorized requiredrepresentative pursuantmay proceed to thataward subsection.the contract accordingly or, if the contract has already been awarded, seek the remedy authorized in subsection 5.

If the public body determines that the objection is not accompanied by the required proof or substantiating - *AB213_R1* – 9 – evidence, the public body shall dismiss the objection.

If the public body determines that the objection is accompanied by the required proof or substantiating evidence or if the public body determines on its own initiative that proof or substantiating evidence of a failure to comply with a requirement of paragraphs (a) to [(d),] (e), inclusive, of subsection 1 exists, the public body shall determine whether the contractor, applicant or design-build team has failed to comply with a requirement of paragraphs (a) to [(d),] (e), inclusive, of subsection 1 and the public body or its authorized representative may proceed to award the contract accordingly or, if the contract has already been awarded, seek the remedy authorized in subsection 5.

The Board shall maintain this information for not less than 6 years.

(b) The right to recover the amount determined pursuant to paragraph (a) by the public body pursuant to subsection 5 may be enforced by the public body directly against the party that caused the failure to comply with a requirement of paragraphs (a) to [(d),] (e), inclusive, of subsection 1;

- *AB213_R1* – 10 – 7.

A public body that awards a contract for a public work to a contractor, applicant or design-build team who submits the affidavit described in subsection 1 and who receives a preference in bidding - 83rd Session (2025) – 10 – described in subsection 1 shall, on or before July 31 of each year, submit a written report to the Director of the Legislative Counsel Bureau for transmittal to the Legislative Commission.

The report must include information on each contract for a public work awarded to a contractor, applicant or design-build team who submits the affidavit described in subsection 1 and who receives aao submits preference in bidding described in subsection 1, including, without limitation, the name of the contractor, applicant or design-build team who was awarded the contract, the cost of the contract, a brief description of the public work and a description of the degree to which the contractor, applicant or design-build team and each subcontractor complied with the requirements of paragraphs (a) to [(d),] (e), inclusive, of subsection 1.

338.020State 1.is a party, requiring the employment of skilled mechanics, skilled workers, semiskilled mechanics, semiskilled workers , [or] unskilled labor or workers who perform custom fabrication in the performance of a public work, must contain in express terms the hourly and daily rate of wages to be paid each of the classes of mechanics and workers.

Every contract to which a public body of this State is a party, requiring the employment of skilled mechanics, skilled workers, semiskilled mechanics, semiskilled workers , [or] unskilled labor or workers who perform custom fabrication in the performance of a public work, must contain in express terms the hourly and daily rate of wages to be paid each of the classes of mechanics and workers.

When public work is performed by day labor, the prevailing wage for each class of mechanics and workers so employed applies - *AB213_R1*83rd Session (2025) – 11 – andemployed.be must be stated clearly to such mechanics and workers when employed.3.

3.

or (b) Eight hours in any workday that the mechanic or worker was employed by the contractor or subcontractor, including, without limitation, hours worked for the contractor or subcontractor on work other than the public work, unless by mutual agreement the mechanic or worker works a scheduled 10 hours per day for 4 calendarcal4. days within any scheduled week of work.

4.

Nothing in this section prevents an employer who is signatorywork toin aaccordance collectivewith bargainingestablished agreementpractice.t from assigning such workSec. in accordance with established practice.

2.2.

NRS 338.040 is hereby amended to read as follows:

338.040 1.

Except as otherwise provided by specific statute, workers who are:

(a) Employed at the site of a public work;

and (b) Necessary in the execution of the contract for the public work,  are deemed to be employed on public works.

- 83rd Session (2025) – 12 – the circumstances under which a worker is:egulations to define (a) Employed at the site of a public work;

and (b) Necessary in the execution of the contract for the public work.

3.

Workers who perform custom fabrication for a public work are deemed to be employed on the public work regardless of the location at which the workers perform the custom fabrication.

4.

The Labor Commissioner may adopt regulations to define the circumstances under which a worker is performing custom fabrication for a public work.

2.subsection 11, the lowest bid that is:n subsection 10 or limited by (a) Submitted by a responsive and responsible contractor who:

Except(1) asHas otherwisebeen provideddetermined inby subsectionthe 10public orbody limitedto bybe subsectiona 11,qualified thebidder lowestpursuant bidto thatNRS is:338.1379 or 338.1382;

(a) Submitted by a responsive and responsible contractor who:

- *AB213_R1* – 12 – (1) Has been determined by the public body to be a qualified bidder pursuant to NRS 338.1379 or 338.1382;

(1) Does not provide, at the time he or she submits the bid, a valid certificate of eligibility to receive a preference in bidding on public works issued to him or her by the State Contractors’ BoardBoardng on pursuant to subsection 3 or 4;

3.- 83rd Session (2025) – 13 – eligibility to receive a preference in bidding on public works to a general contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the Board an affidavit from a certified public accountant setting forth that the general contractor has, while licensed as a general contractor in this State:

The State Contractors’ Board shall issue a certificate of eligibility to receive a preference in bidding on public works to a general contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the Board an affidavit from a certified public accountant setting forth that the general contractor has, while licensed as a general contractor in this State:

(2) The governmental services tax imposed pursuant to chapter 371 of NRS on the vehicles used in the operation of his or her business in this State of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

or - *AB213_R1* – 13 – (3) Any combination of such sales and use taxes and governmental services tax;

The State Contractors’ Board shall issue a certificate of eligibility to receive a preference in bidding on public works to a specialty contractor who is licensed pursuant to the provisions of chapter 624 of NRS and submits to the Board an affidavit from a certified public accountant setting forth that the specialty contractor has, while licensed as a specialty contractor in this State:

(1) The sales and use taxes pursuant to chapters 372, 374 and 377 of NRS on materials used for construction in this State, including, without limitation, construction that is undertaken or carried out on land within the boundaries of this State that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12- - 83rd Session (2025) – 14 – month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

(2) The governmental services tax imposed pursuant to chapter 371 of NRS on the vehicles used in the operation of his or her business in this State of not less than $5,000 for each consecutive 12-month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

(a) Sales and use taxes and governmental services taxes that were paid in this State by an affiliate or parent company of the - *AB213_R1* – 14 – contractor, if the affiliate or parent company is also a general contractor or specialty contractor, as applicable;

6.receive a preference in bidding on public works from the Statelity to Contractors’ Board pursuant to subsection 3 or 4 shall, at the time for the renewal of his or her contractor’s license pursuant to NRS 624.283, submit to the Board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as applicable, to maintain eligibility to hold such a certificate.

A contractor who has received a certificate of eligibility to receive a preference in bidding on public works from the State Contractors’ Board pursuant to subsection 3 or 4 shall, at the time for the renewal of his or her contractor’s license pursuant to NRS 624.283, submit to the Board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as applicable, to maintain eligibility to hold such a certificate.

If a contractor holds more than one contractor’s license, the contractor must submit a separate application for each license pursuant- to83rd whichSession the(2025) contractor– wishes15 to– qualify for a preference in bidding.

10.federal assistance or reduces the amount of that assistance for ag of particular public work because of the provisions of subsection 2, those provisions do not apply insofar as their application would preclude or reduce federal assistance for that work.

If any federal statute or regulation precludes the granting of federal assistance or reduces the amount of that assistance for a particular public work because of the provisions of subsection 2, those provisions do not apply insofar as their application would preclude or reduce federal assistance for that work.

If a bid is submitted by two or more contractors as a joint venture or by one of them as a joint venturer, the bid may receive a - *AB213_R1* – 15 – preference in bidding only if both or all of the joint venturers separately meet the requirements of subsection 2.

A person who submitted a bid on the public work or an entity who believes that the contractor who was awarded the contract for the public work wrongfully holds a certificate of eligibility to receive a preference in bidding on public works may challenge the validity of the certificate by filing a written objection with the public body to which the contractor has submitted a bid onontion a contract for the construction of a public work.

and (b)- Be83rd filedSession with(2025) the– public16 body– not later than 3 business days after the opening of the bids by the public body or its authorizedauthorizeds representative.

338.147and 1.NRS 338.143, 338.1442 and 338.1446, a local government or10 its authorized representative shall award a contract for a public work for which the estimated cost exceeds $250,000 to the contractor who submits the best bid.

Except as otherwise provided in subsection 10 and NRS 338.143, 338.1442 and 338.1446, a local government or its authorized representative shall award a contract for a public work for which the estimated cost exceeds $250,000 to the contractor who submits the best bid.

- *AB213_R1* – 16 – (2) At the time the contractor submits his or her bid, provides a valid certificate of eligibility to receive a preference in bidding on public works issued to the contractor by the State Contractors’ Board pursuant to subsection 3 or 4;

and (3) Within 2 hours after the completion of the opening of the bids by the local government or its authorized representative, submits a signed affidavit that meets the requirements of subsection 1 of NRS 338.0117;

andandavit that meets the requirements of subsection (b) Not more than 5 percent higher than the bid submitted by the lowest responsive and responsible bidder who:

or (2) Does not submit, within 2 hours after the completion of the opening of the bids by the public body or its authorized representative,- a83rd signedSession affidavit(2025) certifying– that17 he– or she will comply with the requirements of paragraphs (a) to [(d),] (e),(e),will inclusive, of subsection 1 of NRS 338.0117 for the duration of the contract,  shall be deemed to be the best bid for the purposes of this section.

(1) The sales and use taxes imposed pursuant to chapters 372, 374 and 377 of NRS on materials used for construction in this State, including, without limitation, construction that is undertaken or carried out on land within the boundaries of this State that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12- month period for 60 months immediately preceding the submissionsubmission12- of the affidavit from the certified public accountant;

or - *AB213_R1* – 17 – (b) Acquired, by purchase, inheritance, gift or transfer through a stock option plan, all the assets and liabilities of a viable, operating construction firm that possesses a:

and (2)on Certificatepublic works.ficate of eligibility to receive a preference in bidding on4. public works.

4.

(1)- The83rd salesSession and(2025) use– taxes18 pursuant– to chapters 372, 374 and 377 of NRS on materials used for construction in this State, 374 and including, without limitation, construction that is undertaken or carried out on land within the boundaries of this State that is managed by the Federal Government or is on an Indian reservation or Indian colony, of not less than $5,000 for each consecutive 12- month period for 60 months immediately preceding the submission of the affidavit from the certified public accountant;

or (b) Acquired, by purchase, inheritance, gift or transfer through a stockconstruction optionfirm plan,that allpossesses thea:nd assets and liabilities of a viable, operating construction(1) firmLicense thatas possessesa a:specialty contractor pursuant to the provisions of chapter 624 of NRS;

(1) License as a specialty contractor pursuant to the provisions of chapter 624 of NRS;

and - *AB213_R1* – 18 – (b) Sales and use taxes paid in this State by a joint venture in which the contractor is a participant, in proportion to the amount of interest the contractor has in the joint venture.

6.receive a preference in bidding on public works from the Statelity to Contractors’ Board pursuant to subsection 3 or 4 shall, at the time for the renewal of his or her contractor’s license pursuant to NRS 624.283, submit to the Board an affidavit from a certified public accountant setting forth that the contractor has, during the immediately preceding 12 months, paid the taxes required pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as applicable, to maintain eligibility to hold such a certificate.

A- contractor83rd whoSession has(2025) received– a19 certificate– of eligibility to receive a preference in bidding on public works from the State Contractors’ Board pursuant to subsection 36 orceases 4 shall, at the time for the renewal of his or her contractor’s license pursuant to NRSbe 624.283,eligible submit to thereceive Boarda anpreference affidavitin frombidding aon certified public accountantworks settingunless forth that the contractor has,reapplies duringfor theand immediatelyreceives precedinga 12certificate months,of paideligibility the taxes required pursuant to paragraph (a) of subsection 3 or paragraph (a) of subsection 4, as applicable,applicable. to maintain eligibility to hold such a certificate.

7.

A contractor who fails to submit an affidavit to the Board pursuant to subsection 6 ceases to be eligible to receive a preference in bidding on public works unless the contractor reapplies for and receives a certificate of eligibility pursuant to subsection 3 or 4, as applicable.

(a) Submits false information to the Board regarding the required payment of taxes, the contractor is not eligible to receive a preference in bidding on public works for a period of 5 years after the date on which the Board becomes aware of the submission of thether false information;

-may *AB213_R1*assess –reasonable 19fees –relating 12.to the certification of contractors for a preference in bidding on public works.

The State Contractors’ Board shall adopt regulations and may assess reasonable fees relating to the certification of contractors for a preference in bidding on public works.

A person who submitted a bid on the public work or an entity who believes that the contractor who was awarded the contract for the public work wrongfully holds a certificate of eligibility to receive a preference in bidding on public works may challenge the validity of the certificate by filing a written objection with the local government to which the contractor has submitted a - 83rd Session (2025) – 20 – bid on a contract for the construction of a public work.

(a) Set forth proof or substantiating evidence to support the belief of the person or entity that the contractor wrongfully holds a certificate of eligibility to receive a preference in bidding on public works;

andande of eligibility to receive a preference in bidding on public (b) Be filed with the local government not later than 3 business days after the opening of the bids by the local government or its authorized representative.

If a performance contract entered into pursuant to NRS 332.300 to 332.440, inclusive, requires the employment of skilled mechanics, skilled workers, semiskilled mechanics, semiskilled workers , [or] unskilled labor or workers who perform custom fabrication to perform the performance contract, thetheerform performance contract must include a provision relating to the prevailing wage as required pursuant to NRS 338.013 to 338.090, inclusive.

The local government, the qualified service company, any contractor who is awarded a contract or enters into an agreement to perform the work for the performance contract, and any subcontractor who performs any portion of that work shall comply with the provisions of NRS 338.013 to 338.090, inclusive, in the - *AB213_R1* – 20 – same manner as if the local government had undertaken the work or had awarded the contract.

Before a qualified service company enters into a performance contract pursuant to NRS 332.300 to 332.440, inclusive, that exceeds $100,000, the qualified service company must furnish to the contracting body any bonds required pursuant to - 83rd Session (2025) – 21 – NRS 339.025.

(a) “Custom fabrication” means the manufacture, assembly or other production of any nonstandard good or material that is manufactured, assembled or otherwise produced for a specific performance contract.

(a) “Custom fabrication” means the manufacture, assembly or other production of any nonstandard good or material that is manufactured, assembled or otherwise produced for a specific performanceper(b) contract.“Nonstandard good or material” has the meaning ascribed to it in NRS 338.010.

(b) “Nonstandard good or material” has the meaning ascribed to it in NRS 338.010.

Requires the employment of skilled mechanics, skilled workers, semiskilled mechanics, semiskilled workers , - *AB213_R1* – 21 – [or] unskilled labor or workers who perform custom fabrication, as defined in NRS 338.010, to perform the project;

and - 83rd Session (2025) – 22 – 2.

Does not qualify as a public work, as defined in NRS 338.010,  the contract or agreement for the project must include a provision requiring the payment of prevailing wages in compliance with the provisions of NRS 338.013 to 338.090, inclusive, in the same manner as if the Authority hadhad090, undertaken the project or had awarded the contract or agreement.

anySec. contract to which the provisions of:this act do not apply to 1.

6.

The amendatory provisions of this act do not apply to any contract to which the provisions of:

1.

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