AN ACT to make permanent the law providing for construction and design supervisory authority for certain projects of the UNIVERSITY of north carolina and to require reports on actions taken under that law.

The General Assembly of North Carolina enacts:

SECTION 1.  Section 14(a) of S.L. 2001‑496 reads as rewritten:
"SECTION 14.(a)  Sections 8(a) through 8(e) of this act become effective July 1, 2001. Section 11.1 of this act becomes effective March 1, 2002. The remaining sections of Parts I and II of this act become effective January 1, 2002, and apply to construction projects for which bids or proposals are solicited on or after that date. The remainder of this act is effective when it becomes law."
SECTION 2.  G.S. 116‑31.11 reads as rewritten:
"§ 116‑31.11.  Powers of Board regarding certain fee negotiations, contracts, and capital improvements.
(a)	Notwithstanding G.S. 143‑341(3) and G.S. 143‑135.1, the Board shall, with respect to the design, construction, or renovation of buildings, utilities, and other property developments of The University of North Carolina requiring the estimated expenditure of public money of two million dollars ($2,000,000) or less:
(1)	Conduct the fee negotiations for all design contracts and supervise the letting of all construction and design contracts.
(2)	Develop procedures governing the responsibilities of The University of North Carolina and its affiliated and constituent institutions to perform the duties of the Department of Administration and the Director or Office of State Construction under G.S. 133‑1.1(d) and G.S. 143‑341(3).
(3)	Develop procedures and reasonable limitations governing the use of open‑end design agreements, subject to G.S. 143‑64.34 and the approval of the State Building Commission.
(b)	The Board may delegate its authority under subsection (a) of this section to a constituent or affiliated institution if the institution is qualified under guidelines adopted by the Board and approved by the State Building Commission and the Director of the Budget.
(c)	The University shall use the standard contracts for design and construction currently in use for State capital improvement projects by the Office of State Construction of the Department of Administration.
(d)	A contract may not be divided for the purpose of evading the monetary limit under this section.
(e)	Notwithstanding any other provision of this Chapter, the Department of Administration shall not be the awarding authority for contracts awarded pursuant to this section.
(f)	The Board of Governors shall annually report to the State Building Commission the following:
(1)	A list of projects governed by this section.
(2)	The estimated cost of each project along with the actual cost.
(3)	The name of each person awarded a contract under this section.
(4)	Whether the person or business awarded a contract under this section meets the definition of 'minority business' or 'minority person' as defined in G.S. 143‑128.2(g)."
SECTION 3.  This act is effective when it becomes law.
In the General Assembly read three times and ratified this the 11th day of August, 2005.

	s/	 Beverly E. Perdue
	 President of the Senate

	s/	 James B. Black
	 Speaker of the House of Representatives

	s/	 Michael F. Easley
	 Governor

Approved 3:01 p.m. this 22nd day of August, 2005