Definitions.

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A. The Public Construction Management Act for Political Subdivisions shall apply to political subdivisions of this state.

B. As used in the Public Construction Management Act for Political Subdivisions:

1. "Agency construction management" means the construction entity provides services to the owner without taking on financial risks for the execution of the actual construction and/or time of performance, and the owner contracts directly with those awarded trade contracts for the work;

2. "At-risk construction management" means the construction entity, after providing agency services during the preconstruction period:

  • a.takes on the financial obligation to timely carry out construction under a specified cost agreement, and
  • b.enters into written subcontracts for the work in accordance with the Construction Management Procedures for Political Subdivisions;

3. "Construction management" means a public construction project delivery method based on an agreement whereby the owner acquires from a construction entity a series of services that include, but are not necessarily limited to, design review, scheduling, cost control, value engineering, constructability evaluation, preparation and coordination of bid packages and construction administration. Construction management includes:

  • a.agency construction management, and
  • b.at-risk construction management; and

4. "Political subdivision" or "subdivision" means any local governmental body formed pursuant to the laws of this state, including, but not limited to, school districts, vocational education districts, cities, counties, public trusts, public authorities, commissions or other local governmental bodies exercising their authority to contract for public construction delivery services. The term also applies to quasi-governmental and nongovernmental organizations delivering construction services using public funds or on behalf of a political subdivision.

Added by Laws 2019, c. 299, § 9, eff. Jan. 1, 2020.


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