215 Beltway widening contract sparks controversy

By Jeff Pope

Published Tuesday, April 21, 2009 | 7:56 p.m.

Updated Wednesday, April 22, 2009 | 12:32 p.m.

UPDATED STORY: Company that lost 215 Beltway paving bid sues county

Construction to widen the northern 215 Beltway hit a bump in the road Tuesday.

The Clark County Commission went against the advice of its staff and a deputy district attorney and threw out the lowest bid of $112.2 million submitted by Fisher Sand and Gravel Co. It awarded the contract to Las Vegas Paving, whose bid came in $4.6 million higher.

Las Vegas Paving had filed a protest with the county claiming two of Fisher’s subcontractors lacked the necessary licenses to perform highway construction.

Attorneys for both companies and the county weighed in on their interpretation of the Nevada Administrative Code that requires general contractors to carry the A-2 license — an engineering subclassification allowing work on highways.

At question is whether the code requires subcontractors to also carry a general contractor’s license.

Wade Gochnour, attorney for Las Vegas Paving, argued that it does.

“In order to do this type of work on highways, they need to have that specialized engineering knowledge,” he said.

The state’s code is vague, said Commissioner Steve Sisolak, who proffered the recommendation to throw out Fisher’s bid.

“It’s got to be a responsible bid and I think I wasn’t getting clear enough legal advice ... whether or not the subcontractors need the A-2 license in their specialty,” he said. “It doesn’t seem like the guy who would excavate for a pipe is the same guy who would do excavating for a freeway.”

Las Vegas Paving also sought a decision from the Nevada State Contractors Board but withdrew its request yesterday.

Fisher’s attorney, Bill Curran, said his client likely will take its case to District Court.

Curran said he was stunned by the commission’s decision, in part because the protest was filed after the five-day window set by state law.

“Not only was there a $4.6 million difference in the bid amount but, purely on the grounds of procedure, the protest was filed too late,” he said.

The law was enacted in 2003 to prevent bid protests from delaying projects.

If the commission’s decision stands, it would require subcontractors to carry a general contractor’s license.

“If I was a subcontractor in any kind of work, I’d be worried,” Curran said.

Court action could delay the start of the project of converting the existing roadway into a four-lane highway from Tenaya Way to Decatur Boulevard with interchanges at Jones and Decatur.

Commissioner Larry Brown said he hopes the courts would expedite any proceedings in the interest of a public project.

Brown cast the lone vote against awarding the contract to Las Vegas Paving, saying Deputy District Attorney Mary Miller confirmed the bid met the standard criteria.

“There’s no question as soon as we opened that agenda today that there was going to be litigation on either side regardless of the decision,” he said. “I just want to get the job on the streets, create the jobs and get the beltway going.”