GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2015

S                                                                                                                                                     4

SENATE BILL 330

Education/Higher Education Committee Substitute Adopted 4/22/15

Finance Committee Substitute Adopted 4/28/15
Fourth Edition Engrossed 4/29/15

Short Title:        Change Orders on School Construction Projects.	(Public)
Sponsors:
Referred to:

March 19, 2015

A BILL TO BE ENTITLED

AN ACT to amend the law regarding change orders on school construction projects.

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 115C‑521 is amended by adding a new subsection to read:

"(h) All change orders involving school construction contracts shall be approved by the local board of education, except as provided in a policy adopted by a local board of education under this subsection. A change order must be submitted by architect to the superintendent. If a change order that is required to be approved by the local board of education must be approved before the next regularly scheduled board meeting due to (i) a health or safety issue; (ii) a delay of the construction project; or (iii) the risk of increased cost, as determined by the superintendent, the chair of the local board of education or the chair's designee from among the other board members may approve the order at the request of the superintendent. The superintendent shall report the change order to the local board of education at its next regularly scheduled meeting. If the chair of the local board of education or the chair's designee does not approve the change order, a special board meeting shall be called. The local board of education shall adopt a policy providing change orders are not subject to approval by the local board of education but may be approved by the superintendent or superintendent's designee for change orders that do not exceed the following amounts:

(1) In a local school administrative unit that has had an average of at least fifty million dollars ($50,000,000) of school construction projects over the prior five years, the amount may not exceed one hundred thousand dollars ($100,000).

(2) In a local school administrative unit that has had an average of less than fifty million dollars ($50,000,000) of school construction projects over the prior five years, the amount may not exceed twenty‑five thousand dollars ($25,000)."

SECTION 2.  This act becomes effective October 1, 2015.