2nd Sub. H.B. 503
         CONSTRUCTION AMENDMENTS

House Floor Amendments

Amendment 2 February 28, 2012 11:25 AM



Representative Michael T. Morley proposes the following amendments:

1.    Page 1, Line 21 :    

             21              .    any other entity that provides or collects for labor;
{   and   }

  . requires a construction contract to contain a differing site conditions clause; and      


2.    Page 8, Lines 228 through 239 :    

             228          53A-20-109. Required contract terms.
             229          
{   (1) As used in this section," differing site conditions clause" means a clause in a

             230      construction contract that provides for an equitable adjustment to the contract in the event that
             231      the contractor discovers, and promptly reports to the government entity that contracted for the
             232      construction, the existence on the construction site of any of the following that were not known
             233      by the contractor at the time the contract was executed:
             234          (a) subsurface or latent physical conditions that differ materially from the conditions
             235      indicated in the contract; or
             236          (b) physical conditions of an unusual nature that differ materially from those ordinarily
             237      encountered for the type of construction or for the location of the construction site.
             238          (2) A contract for the construction of a school building shall contain a differing site
             239      conditions clause.  
}

  A contract for the construction of a school building shall contain a clause that addresses the rights of the parties when, after the contract is executed, site conditions are discovered that:

(1) the contractor did not know existed, and should not have known existed, at the time that the contract was executed; and
(2) materially impacts the costs of construction.  


3.    Page 11, Lines 308 through 319 :    

             308          
{   (6) (a) As used in this Subsection (6), "differing site conditions clause" means a clause

             309      in a construction contract that provides for an equitable adjustment to the contract in the event
             310      that the contractor discovers, and promptly reports to the public procurement unit that
             311      contracted for the construction, the existence on the construction site of any of the following
             312      that were not known by the contractor at the time the contract was executed:
             313          (i) subsurface or latent physical conditions that differ materially from the conditions
             314      indicated in the contract; or
             315          (ii) physical conditions of an unusual nature that differ materially from those ordinarily


             316      encountered for the type of construction or for the location of the construction site.
             317          (b) Notwithstanding any provision of this chapter to the contrary, a contract for
             318      construction entered into by a public procurement unit shall contain a differing site conditions
             319      clause.  
}

  (6) A contract for construction entered into by a public procurement unit shall contain a clause that addresses the rights of the parties when, after the contract is executed, site conditions are discovered that:

(a) the contractor did not know existed, and should not have known existed, at the time that the contract was executed; and
(b) materially impacts the costs of construction.  


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