GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

S	3 

SENATE BILL 51
Commerce Committee Substitute Adopted 2/23/99
House Committee Substitute Favorable 3/25/99

Short Title:  Highway Contract Bonding Req'ments.	(Public)

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Sponsors:

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Referred to:  

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February 8, 1999

A BILL TO BE ENTITLED
AN ACT TO AMEND THE LAW GOVERNING HIGHWAY SMALL PROJECT BIDDING.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 136-28.10(a) reads as rewritten:
"(a)	Notwithstanding the provisions of G.S. 136-28.4(b), for Highway Fund or Highway Trust Fund projects of five hundred thousand dollars ($500,000) or less, the Board of Transportation may, after soliciting at least three informal bids in writing from Small Business Enterprises, award contracts to the lowest responsible bidder.  The Department of Transportation may identify projects likely to attract increased participation by Small Business Enterprises, and restrict the solicitation and award to those bidders.  The Board of Transportation may delegate full authority to award contracts, adopt necessary rules, and administer the provisions of this section to the Secretary of Transportation."
Section 2. G.S. 136-28.1(a) reads as rewritten:
"(a)	All contracts over eight hundred thousand dollars ($800,000) that the Department of Transportation may let for construction or repair necessary to carry out the provisions of this Chapter shall be let to a responsible bidder after public advertising under rules and regulations to be made and published by the Department of Transportation. The right to reject any and all bids shall be reserved to the Board of Transportation. Contracts for construction or repair for federal aid projects entered into pursuant to this section shall not contain the standardized contract clauses prescribed by 23 U.S.C. § 112(e) and 23 C.F.R. § 635.131(a) for differing site conditions, suspensions of work ordered by the engineer or significant changes in the character of the work. The Department of Transportation shall use only the contract provisions provided in the North Carolina Department of Transportation, Standard Specifications for Roads and Structures, January 1, 1984, except as each may be changed or provided for by rule adopted by the Board of Transportation in accordance with the Administrative Procedure Act."
Section 3. G.S. 136-28.1(b) reads as rewritten:
"(b)	In those cases in which the amount of work to be let to contract for highway construction, maintenance, or repair is eight hundred thousand dollars ($800,000) or less, at least three informal bids shall be solicited. The term 'informal bids' is defined as bids in writing, received pursuant to a written request, without public advertising. All such contracts shall be awarded to the lowest responsible bidder. The Secretary of Transportation shall keep a record of all bids submitted, which record shall be subject to public inspection at any time after the bids are opened."
Section 4.  This act is effective when it becomes law.