Bill Text: IN HB1191 | 2012 | Regular Session | Introduced


Bill Title: Costs of local public works projects.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Introduced - Dead) 2012-01-09 - First reading: referred to Committee on Local Government [HB1191 Detail]

Download: Indiana-2012-HB1191-Introduced.html


Introduced Version






HOUSE BILL No. 1191

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DIGEST OF INTRODUCED BILL



Citations Affected: IC 36-1-12-3.

Synopsis: Costs of local public works projects. Provides that for purposes of determining whether a political subdivision may perform a public works project with its own workforce, the cost of design, construction inspection, and other engineering work performed by the political subdivision's own employees is not included in the cost of the public works project.

Effective: July 1, 2012.





Culver, Wesco




    January 9, 2012, read first time and referred to Committee on Local Government.







Introduced

Second Regular Session 117th General Assembly (2012)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2011 Regular Session of the General Assembly.

HOUSE BILL No. 1191



    A BILL FOR AN ACT to amend the Indiana Code concerning local government.

Be it enacted by the General Assembly of the State of Indiana:

SOURCE: IC 36-1-12-3; (12)IN1191.1.1. -->     SECTION 1. IC 36-1-12-3, AS AMENDED BY P.L.172-2011, SECTION 138, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2012]: Sec. 3. (a) For purposes of this section, the cost of a public work project includes:
        (1) the actual cost of materials, labor, equipment, and rental;
        (2) a reasonable rate for use of trucks and heavy equipment owned; and
        (3) all other expenses incidental to the performance of the project, but not the costs of design, construction inspection, or other engineering work performed by a political subdivision's own employees.
    
(a) (b) The board may purchase or lease materials in the manner provided in IC 5-22 and perform any public work, by means of its own workforce, without awarding a contract whenever the cost of that public work project is estimated to be less than one hundred fifty thousand dollars ($150,000). Before a board may perform any work under this section by means of its own workforce, the political

subdivision or agency must have a group of employees on its staff who are capable of performing the construction, maintenance, and repair applicable to that work. For purposes of this subsection, the cost of a public work project includes:
        (1) the actual cost of materials, labor, equipment, and rental;
        (2) a reasonable rate for use of trucks and heavy equipment owned; and
        (3) all other expenses incidental to the performance of the project.
    (b) (c) This subsection applies only to a municipality or a county. The workforce of a municipality or county may perform a public work described in subsection (a) (b) only if:
        (1) the workforce, through demonstrated skills, training, or expertise, is capable of performing the public work; and
        (2) for a public work project under subsection (a) (b) whose cost is estimated to be more than one hundred thousand dollars ($100,000), the board:
            (A) publishes a notice under IC 5-3-1 that:
                (i) describes the public work that the board intends to perform with its own workforce; and
                (ii) sets forth the projected cost of each component of the public work as described in subsection (a); (a)(1) through (a)(3); and
            (B) determines at a public meeting that it is in the public interest to perform the public work with the board's own workforce.
A public work project performed by a board's own workforce must be inspected and accepted as complete in the same manner as a public work project performed under a contract awarded after receiving bids.
    (c) (d) When the project involves the rental of equipment with an operator furnished by the owner, or the installation or application of materials by the supplier of the materials, the project is considered to be a public work project and subject to this chapter. However, an annual contract may be awarded for equipment rental and materials to be installed or applied during a calendar or fiscal year if the proposed project or projects are described in the bid specifications.
    (d) (e) A board of aviation commissioners or an airport authority board may purchase or lease materials in the manner provided in IC 5-22 and perform any public work by means of its own workforce and owned or leased equipment, in the construction, maintenance, and repair of any airport roadway, runway, taxiway, or aircraft parking apron whenever the cost of that public work project is estimated to be less than one hundred thousand dollars ($100,000).


    (e) (f) Municipal and county hospitals must comply with this chapter for all contracts for public work that are financed in whole or in part with cumulative building fund revenue, as provided in section 1(c) of this chapter. However, if the cost of the public work is estimated to be less than fifty thousand dollars ($50,000), as reflected in the board minutes, the hospital board may have the public work done without receiving bids, by purchasing the materials and performing the work by means of its own workforce and owned or leased equipment.
    (f) (g) If a public works project involves a structure, an improvement, or a facility under the control of a department (as defined in IC 4-3-19-2(2)), the department may not artificially divide the project to bring any part of the project under this section.

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