HOUSE BILL 543

46th legislature - STATE OF NEW MEXICO - second session, 2004

INTRODUCED BY

Joseph Cervantes

 

 

 

 

 

AN ACT

RELATING TO PROCUREMENT; PROVIDING FOR QUALIFICATIONS AND PURPOSE OF CONSTRUCTION MANAGERS; ALLOWING FOR RISK OF CONSTRUCTION MANAGERS.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

     Section 1. Section 13-1-40.1 NMSA 1978 (being Laws 1997, Chapter 171, Section 1) is amended to read:

     "[Section] 13-1-40.1. [DEFINITION] DEFINITIONS--CONSTRUCTION MANAGEMENT AND CONSTRUCTION MANAGER.--

          A. "Construction management" means consulting services related to the process of management applied to a public works project for any duration from conception to completion of the project for the purpose of controlling time, cost and quality of the project.

          B. "Construction manager" means a [person] licensed general commercial contractor who [acts as an agent of the state agency or local public body for] provides construction management [for whom the] under a professional services contract with a state agency or local public body [shall assume all the risks and responsibilities]."

     Section 2. Section 13-1-100.1 NMSA 1978 (being Laws 1997, Chapter 171, Section 3) is amended to read:

     "13-1-100.1. CONSTRUCTION CONTRACTS--CONSTRUCTION MANAGEMENT SERVICES--SUBCONTRACTING.--

          A. A construction management services contract may be entered into for any construction or state or local public works project when a state agency or local public body makes a determination that it is in the public's interest to [utilize] use construction management services. Construction management services shall not duplicate and are in addition to the normal scope of separate architect or engineer contracts, the need for which may arise due to the complexity or unusual requirements of a project as requested by a state agency or local public body. A state agency or local public body may require a construction manager to have subcontracts with subcontractors or oversee direct prime contracts with the state agency or local public body. When a construction manager has subcontracts with subcontractors, the construction management services contract with the state agency or local public body may specify a guaranteed maximum price for the construction project. A construction management services contract between a state agency or local public body and a construction manager may allow the construction manager to perform work with its own work force.

          B. To [insure] ensure fair, uniform, clear and effective procedures that will strive for the delivery of a quality project, on time and within budget, the secretary, in conjunction with the appropriate and affected professional associations and contractors, shall promulgate [regulations] rules, which shall be adopted by the governing bodies of all using agencies and shall be followed by all using agencies when procuring construction management services as authorized in Subsection A of this section.

          C. A state agency shall make the decision on a construction management services contract for a state public works project and a local public body shall make that decision for a local public works project. A state agency shall not make the decision on a construction management services contract for a local public works project."

     Section 3. A new section of the Procurement Code is enacted to read:

     "[NEW MATERIAL] CONSTRUCTION MANAGER QUALIFICATIONS AND DUTIES.--

          A. A state agency or local public body shall require that any construction manager it contracts with has demonstrated ability, indicated by past construction management experience on projects comparable in design, scope and complexity, including:

                (1) recommendations in writing from owners for whom comparable services were performed, including their recommendations pertaining to the construction manager's ability to work cooperatively with state agency or local public body personnel;

                (2) demonstration of adequate financial resources, bonding capacity and ability to assume a financial risk required by the state agency or local public body;

                (3) qualifications of in-house staff of the construction manager who will manage the proposed public works project; and

                (4) demonstration of capability to perform work on the public works project with the construction manager's own work force if it is advantageous to the project.

          B. The purpose of contracting with a construction manager is to deliver a public works project within the optimum time for the most economical cost with the required quality, including:

                (1) integrating the design and construction phases;

                (2) controlling time through the development of schedules;

                (3) providing project construction cost estimates;

                (4) analyzing alternative designs;

                (5) studying labor conditions;

                (6) providing advice concerning construction techniques;

                (7) performing value engineering; and

                (8) coordinating and communicating the activities of owners, architects, engineers and other consultants."

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