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IN THE HOUSE OF REPRESENTATIVES
BY COMMERCE AND HUMAN RESOURCES COMMITTEE
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AN ACT
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CODE, TO REVISE PROVISIONS REGARDING THE AWARD OF CONTRACTS.
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amended to read as follows:
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54-4511. AWARD OF CONTRACTS -- DUAL CAPACITY. (1) Construction man-
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ager representative (CMR). A licensed construction manager and the firm of
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which he is a principal or full-time employee may be awarded a contract to act
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only as representative for an owner.
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(a) In soliciting bids or awarding contracts for public works construc-
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tion to be entered into by the owner, a licensed construction manager
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representative shall comply with all notice and bidding laws with which
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an owner would be required to comply if it were to do the same activities
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without the assistance of a construction manager.
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(b) A licensed construction manager representative and the firm of
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which he is a principal or employee shall not provide construction man-
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agement representative services for a construction project on which the
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licensed construction manager or his firm also provides design services
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or other construction-related services concurrently, whether as a con-
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tractor or subcontractor. Provided however, that this section shall
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not preclude a licensed architect or registered professional engineer
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from providing public works construction management services which
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that are normally provided by licensed architects or registered profes-
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sional engineers for a project on which the person or firm has provided
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design services. Such public works construction management services
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provided by a licensed architect or registered professional engineer
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required by law to be competitively bid for public works construction.
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(2) Construction manager/general contractor (CM/GC). A licensed con-
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struction manager and the firm of which he is a principal or full-time em-
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ployee may be awarded a contract to act as both construction manager and gen-
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eral contractor provided the construction manager/general contractor has a
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valid public works contractor license as a general contractor pursuant to
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(3a) A construction manager/general contractor (CM/GC) shall not be
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precluded from being awarded a contract for preconstruction profes-
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sional services, provided that the public solicitation and contract
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award are independent from the public solicitation and contract award
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for construction.
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(b) Compensation of a construction manager/general contractor shall be
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(4) At such time as the design of a project or a phase of a project is
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available, the construction work, materials and equipment for construction
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of a project may be incorporated into the construction manager/general con-
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tractor contract based upon bids solicited from licensed public works con-
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tractors and from suppliers for all construction work, materials and equip-
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ment.
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(5c) For each portion of the work, competitive bids shall be solicited
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from not less than three (3) contractors or suppliers deemed to be qual-
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ified by the construction manager/general contractor from licensed
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public works contractors as per published public notice requirements
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licly in the presence of a representative of the public entity for whom
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the project is undertaken and, once opened, bids shall be subject to the
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(6d) All construction work, materials, and equipment shall be awarded
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to the lowest responsive qualified bidder. For good cause, the public
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entity may approve the award of bids based upon fewer than three (3)
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bids.
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(7e) The construction manager/general contractor, or its subsidiaries
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and affiliated companies, may bid to perform construction work or to
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supply materials or equipment only if it holds a valid license pursuant
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forms or supplies such construction work, materials, or equipment; pro-
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vided, the public entity may limit the amount of work the construction
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manager/general contractor, including its subsidiaries and affiliated
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companies, may perform under the contract. Bids from the construction
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manager/general contractor and its subsidiaries or affiliated compa-
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nies must be opened at the opening of any other bids.
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(8) When bidding for all phases of the project has been completed, a
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guaranteed maximum price for the entire project may be negotiated by the pub-
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lic entity.
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(93) No public entity shall enter into a contract with any person or
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firm for construction management services as construction manager represen-
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tative or as construction manager/general contractor if such person or firm
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is required to be licensed under this chapter unless:
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(a) Such person holds a valid license or such firm holds a valid cer-
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tificate issued pursuant to this chapter;
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(b) The selection of such construction manager representative or
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construction manager/general contractor is made pursuant to section
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(c) All terms of the contract are agreed upon in writing, including, but
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not limited to, terms for management fees, incentive compensation and
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disposition of any contingency fund, if applicable, are agreed upon in
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writing and:
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(i) Management fees for CMR;
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(ii) Management fees for CM/GC preconstruction services; or
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(iii) Management fees and guaranteed maximum price.