Legislation

Nebraska Design & Construction Industry Council

Legislation

The Political Subdivisions Construction Alternatives Act

What is The Political Subdivisions Construction Alternatives Act?

In brief, the act allows cities, villages, counties, community colleges and state colleges to use Design-Build (D-B) and Construction Management at Risk (CM@R) contracts as delivery methods in addition to the traditional Design-Bid-Build (D-B-B) approach. Prior to 2008 the only public entities that have been allowed to use such methods in Nebraska were the public schools, under a previously passed bill.

In order to use either alternative method the governing board of the public entity must adopt a policy identifying an alternative delivery method and pass such policy by a two-thirds vote. When an alternative delivery method has passed a governing's board the act provides step-by-step selection and execution procedures to carry out the project.

1. If D-B is selected the public owner must first hire a "Performance Criteria Developer" (PCD). The PCD must be a licensed architect or engineer and will assist the public body in the development of project performance criteria and the request for proposals (RFP). The PCD will also assist in the evaluation of proposals, selection of the D-B firm, evaluation of the construction and any additional services requested by the owner.

(Please note that Nebraska Law requires a "Coordinating Professional" whom MUST be a licensed professional member of the design team to act as a project liaison with the governing building official(s). Please refer to Title 110 of Nebraska Administrative Code for further information)

2. If CM@R is selected for a building project the public owner issues two separate RFP's and hires a compatible Architect and General Contractor/Construction Manager, each under separate contracts with the owner.

*The act does NOT apply to the construction of road, street, highway, water, wastewater, utility, or sewer construction, except that Omaha may use a D-B or CM@R for contracts to meet state or federal requirements to control or minimize overflows from combined sewers.

For additional information on the act please view the resources below:
LB889 Final Bill (In Full)
NDCIC LB889 Brochure
Alternative Ways to Design and Construct Building Projects for Political Subdivisions in Nebraska