2015 Regular Session ENROLLED
SENATE BILL NO. 162
BY SENATOR GARY SMITH
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
1 AN ACT
2 To amend and reenact R.S. 38:2225.2.4(A)(3), (F)(5), and (G)(5), relative to public
3 contracts; to authorize a construction management at risk pilot program; to provide
4 for selection of a construction management at risk contractor; to provide for entry
5 into a construction management at risk contract by an owner; and to provide for
6 related matters.
7 Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 38:2225.2.4(A)(3), (F)(5), and (G)(5) are hereby amended and
9 reenacted to read as follows:
10 ยง2225.2.4. Construction management at risk; public entity
11 A. * * *
12 (3) CMAR shall not be used for any project that is estimated to cost less than
13 twenty-five million dollars. except for any project in the CMAR pilot program.
14 A pilot program is hereby established that authorizes a public entity to use
15 CMAR for only one project which is estimated to cost three million dollars or
16 more, provided that the CMAR pilot program is limited to no more than ten
17 projects on a first-come, first-served basis. Prior to proceeding to use CMAR,
18 a public entity shall submit a proposed CMAR pilot project by name, together
19 with the reason to use CMAR, to the House and Senate transportation,
20 highways, and public works committees for review and approval.
21 * * *
22 F. * * *
Page 1 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 162 ENROLLED
1 (5) If the The benefits of using the CMAR method reduce as the design
2 process progresses, the. The owner shall select the CMAR contractor either before,
3 but not later than, when the in the professional opinion of the owner's design
4 professional, the design professional's design of the project is not more than thirty
5 percent complete.
6 G. After award and execution of the contract with the CMAR contractor, the
7 following actions shall proceed:
8 * * *
9 (5) Once a guaranteed maximum price is agreed upon, the owner may
10 authorize contract with the CMAR contractor to undertake construction services.
11 Additionally, the owner may determine and authorize contract with the CMAR
12 contractor to undertake specific items of construction services prior to agreement
13 upon a GMP for such items, provided such undertaking is for the benefit of the
14 project and a GMP for the undertaking can be agreed upon between the owner and
15 CMAR contractor. Such items may benefit the project, including but not limited to
16 items that require a long lead time, may further the understanding of unknown site
17 conditions, or other items.
18 * * *
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
Page 2 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.