The bill, introduced by Representative Coates, amends R.S. 38:2225.2.4(A)(3) to decrease the contract limit for hospital service districts regarding the use of construction management at risk (CMAR). Under current law, CMAR cannot be used for projects estimated to cost less than $5 million, and for hospital service districts, the limit is currently set at $2 million. The proposed legislation changes this limit for hospital service districts from $2 million to $1 million, thereby allowing these districts to utilize CMAR for projects with a lower estimated cost.

Additionally, the bill maintains the requirement for public entities to notify the House and Senate transportation, highways, and public works committees at least 60 days prior to proceeding with CMAR for any project estimated to cost less than $15 million. This notification must include the project name, description, and justification for using CMAR. The changes aim to streamline the contracting process for hospital service districts while ensuring legislative oversight for significant projects.

Statutes affected:
HB1233 Original: 38:4(A)(3)