1.1                          A bill for an act 
  1.2             relating to local government; authorizing 
  1.3             municipalities to provide for contract bid 
  1.4             specifications, design, and construction standards; 
  1.5             amending Minnesota Statutes 1996, section 471.345, by 
  1.6             adding a subdivision. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1996, section 471.345, is 
  1.9   amended by adding a subdivision to read: 
  1.10     Subd. 2a.  [AUTHORIZATION OF BID SPECIFICATIONS, DESIGN, 
  1.11  AND CONSTRUCTION STANDARDS.] (a) Notwithstanding the provisions 
  1.12  of this section, sections 412.491 to 412.531, 429.041, 471.35, 
  1.13  or other law to the contrary, a municipality may:  
  1.14     (1) prepare specifications that may be used to advertise 
  1.15  for proposals and award contracts for designing and constructing 
  1.16  public facilities and equipment, including public buildings and 
  1.17  playground equipment; and 
  1.18     (2) employ persons, firms, or corporations, however 
  1.19  organized, to perform all or part of the functions of architect, 
  1.20  engineer, construction manager, or contractor for both design 
  1.21  and construction of all or part of a project.  
  1.22     (b) Contractors shall be selected through a request for 
  1.23  proposals or request for qualifications process that evaluates 
  1.24  the proposals based on design, cost, quality, and other 
  1.25  selection criteria specified by the municipality in its requests 
  1.26  for proposals or qualifications.  The municipality may limit the 
  2.1   requests to those persons, firms, or corporations that the 
  2.2   municipality determines to possess sufficient expertise to 
  2.3   perform the intended functions.  A person, firm, or corporation 
  2.4   selected shall certify, before the contracts are finally signed, 
  2.5   a construction price and completion date to the municipality.  
  2.6   It shall post a bond in an amount at least equal to 100 percent 
  2.7   of the certified price, to cover costs that may be incurred over 
  2.8   and above the certified price, including but not limited to 
  2.9   costs incurred by the municipality or loss of revenues resulting 
  2.10  from incomplete construction on the completion date.  The 
  2.11  municipality shall secure surety bonds as required in section 
  2.12  574.26, securing payment of just claims in connection with 
  2.13  public work undertaken by it.  Persons entitled to the 
  2.14  protection of the bonds may enforce them as provided in sections 
  2.15  574.28 to 574.32, but are not entitled to a lien on any property 
  2.16  of the municipality under sections 514.01 to 514.16. 
  2.17     Sec. 2.  [EFFECTIVE DATE.] 
  2.18     Section 1 is effective the day following final enactment.