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S.B. 17

             1     

HIGHWAY CONSTRUCTION BID LIMIT

             2     
2001 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Sponsor: Peter C. Knudson

             5      This act modifies the Transportation Code to amend highway project bid limit provisions.
             6      This act affects sections of Utah Code Annotated 1953 as follows:
             7      AMENDS:
             8          72-6-107, as last amended by Chapter 365, Laws of Utah 1999
             9      Be it enacted by the Legislature of the state of Utah:
             10          Section 1. Section 72-6-107 is amended to read:
             11           72-6-107. Construction or improvement of highway -- Contracts -- Retainage.
             12          (1) (a) The department shall make plans, specifications, and estimates prior to the
             13      construction or improvement of any state highway.
             14          (b) Except as provided in Section 63-56-36.1 and except for construction or improvements
             15      performed with state prison labor, a construction or improvement project with an estimated cost
             16      exceeding [$40,000] the bid limit as defined in Section 72-6-109 for labor and materials shall be
             17      performed under contract awarded to the lowest responsible bidder.
             18          (c) The advertisement for bids shall be published in a newspaper of general circulation in
             19      the county in which the work is to be performed, at least once a week for two consecutive weeks,
             20      with the last publication at least ten days before bids are opened.
             21          (d) The department shall receive sealed bids and open the bids at the time and place
             22      designated in the advertisement. The department may then award the contract but may reject any
             23      and all bids.
             24          (e) If the department's estimates are substantially lower than any responsible bid received,
             25      the department may perform any work by force account.
             26          (2) If any payment on a contract with a private contractor for construction or improvement
             27      of a state highway is retained or withheld, the payment shall be retained or withheld and released


             28      as provided in Section 13-8-5 .
             28a      S (3) IF THE DEPARTMENT PERFORMS A CONSTRUCTION OR IMPROVEMENT PROJECT BY FORCE
             28b      ACCOUNT, THE DEPARTMENT SHALL:
             28c          (i) PROVIDE AN ACCOUNTING OF THE COSTS AND EXPENDITURES OF THE IMPROVEMENT
             28d      INCLUDING MATERIAL AND LABOR;
             28e          (ii) DISCLOSE THE COSTS AND EXPENDITURES TO ANY PERSON UPON REQUEST AND
             28f      ALLOW THE PERSON TO MAKE A COPY AND PAY FOR THE ACTUAL COST OF THE COPY; AND
             28g          (iii) PERFORM THE WORK USING THE SAME SPECIFICATIONS AND STANDARDS THAT
             28h      WOULD APPLY TO A PRIVATE CONTRACTOR.
             28i      (4) IN ACCORDANCE WITH TITLE 63, CHAPTER 46a, UTAH ADMINISTRATIVE RULEMAKING ACT, THE
             28j      DEPARTMENT SHALL ESTABLISH PROCEDURES FOR:
             28k          (a) HEARING EVIDENCE THAT A REGION WITHIN THE DEPARTMENT VIOLATED THIS
             28l      SECTION; AND
             28m          (b) ADMINISTERING SANCTIONS AGAINST THE REGION IF THE REGION IS FOUND IN
             28n      VIOLATION. s





Legislative Review Note
    as of 10-18-00 4:01 PM


A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel


Committee Note

The Transportation Interim Committee recommended this bill.


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