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. (a) A county, with approval of the board of supervisors, may
utilize construction manager at-risk construction contracts for the
erection, construction, alteration, repair, or improvement of any
building owned or leased by the county. A construction manager
at-risk construction contract may be used only for projects in the
county in excess of one million dollars ($1,000,000) and may be
awarded using either the lowest responsible bidder or best value
method to a construction manager at-risk entity that possesses or
that obtains sufficient bonding to cover the contract amount for
construction services and risk and liability insurance as may be
required by the county. Any payment or performance bond written for
the purposes of this section shall be written using a bond form
developed by the county.
(b) For purposes of this section, the following definitions apply:
(1) "Best value" means a value determined by objective criteria
related to the experience of the entity and project personnel,
project plan, financial strength of the entity, safety record of the
entity, and price.
(2) "Construction manager at-risk contract" means a competitively
procured contract by a county with an individual, partnership, joint
venture, corporation, or other recognized legal entity, that is
appropriately licensed in this state, including a contractor's
license issued by the Contractors' State License Board, and that
guarantees the cost of a project and furnishes construction
management services, including, but not limited to, preparation and
coordination of bid packages, scheduling, cost control, value
engineering, evaluation, preconstruction services, and construction
administration.
(c) Subcontractors that were not listed by a construction manager
at-risk entity as partners, general partners, or association members
in a partnership, limited partnership, or association in the entity's
construction manager at-risk bid submission shall be awarded by the
construction manager at-risk entity in accordance with the process
set forth by the county. All subcontractors bidding on contracts
pursuant to this section shall be afforded the protections contained
in Chapter 4 (commencing with Section 4100) of Part 1. The
construction manager at-risk entity shall do both of the following:
(1) Provide public notice of the availability of work to be
subcontracted in accordance with the publication requirements
applicable to the competitive bidding process of the county.
(2) Provide a fixed date and time on which the subcontracted work
will be awarded in accordance with the procedure established pursuant
to this section.
(d) A county that elects to proceed under this section and uses a
construction manager at-risk contract for a building project shall
make a copy of the contract available for public inspection on its
Internet Web site and notify the appropriate policy committees of the
Legislature with instructions on finding and accessing the stored
contract.
(e) (1) If the county elects to award a project pursuant to this
section, retention proceeds withheld by the county from the
construction manager at-risk entity shall not exceed 5 percent if a
performance and payment bond issued by an admitted surety insurer is
required in the solicitation of bids.
(2) In a contract between the construction manager at-risk entity
and any subcontractor, and in a contract between a subcontractor and
any subcontractor thereunder, the percentage of the retention
proceeds withheld may not exceed the percentage specified in the
contract between the county and the construction manager at-risk
entity. If the construction manager at-risk entity provides written
notice to any subcontractor that is not a member of the construction
manager at-risk entity, prior to or at the time the bid is requested,
that a bond may be required and the subcontractor subsequently is
unable or refuses to furnish a bond to the construction manager
at-risk entity, then the construction manager at-risk entity may
withhold retention proceeds in excess of the percentage specified in
the contract between the county and the construction manager at-risk
entity from any payment made by the construction manager at-risk
entity to the subcontractor.
(f) If the county elects to award a project pursuant to this
section, the contract between the county and construction manager
at-risk entity shall be subject to the provisions of subdivision (b)
of Section 2782 of the Civil Code. Any contract between the
construction manager at-risk entity and a contractor or subcontractor
shall be subject to provisions of Section 2782.05 of the Civil Code.
(g) This section shall remain in effect only until January 1,
2018, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2018, deletes or extends
that date.