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 subdivisions 2 to 14 and sections 412.491 to 412.531, 
  1.13  429.041, 471.35, or other law to the contrary, a municipality 
  1.14  may:  
  1.15     (1) prepare specifications that may be used to advertise 
  1.16  for proposals and award contracts for designing and constructing 
  1.17  public facilities and equipment, including public buildings and 
  1.18  playground equipment; and 
  1.19     (2) employ qualified persons, firms, or corporations, 
  1.20  however organized, to perform all or part of the functions of 
  1.21  architect, engineer, construction manager, or contractor for 
  1.22  both design and construction of all or part of a project.  
  1.23     (b) Contractors shall be selected through a request for 
  1.24  proposals or request for qualifications process that evaluates 
  1.25  the proposals based on design, cost, quality, and other 
  1.26  selection criteria specified by the municipality in its requests 
  2.1   for proposals or qualifications.  The municipality may limit the 
  2.2   requests to those persons, firms, or corporations that the 
  2.3   municipality determines to possess sufficient expertise to 
  2.4   perform the intended functions, provided that such limitation 
  2.5   shall not reduce the number of potential respondents to fewer 
  2.6   than three.  A person, firm, or corporation selected shall 
  2.7   certify, before the contracts are finally signed, a construction 
  2.8   price and completion date to the municipality.  It shall post a 
  2.9   bond in an amount at least equal to 100 percent of the certified 
  2.10  price, to cover costs that may be incurred over and above the 
  2.11  certified price, including but not limited to costs incurred by 
  2.12  the municipality or loss of revenues resulting from incomplete 
  2.13  construction on the completion date.  The municipality shall 
  2.14  secure surety bonds as required in section 574.26, securing 
  2.15  payment of just claims in connection with public work undertaken 
  2.16  by it.  Persons entitled to the protection of the bonds may 
  2.17  enforce them as provided in sections 574.28 to 574.32, but are 
  2.18  not entitled to a lien on any property of the municipality under 
  2.19  sections 514.01 to 514.16. 
  2.20     Sec. 2.  [EFFECTIVE DATE.] 
  2.21     Section 1 is effective the day following final enactment.