{"data":{"id":"us-ok/okla.-stat.-tit.-61-61-217","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 61, § 61-217","heading":"Construction managers – Written contract required –","body":"Procedure for awarding work.\n\nA. Construction managers shall be selected by the political\n\nsubdivision following the requirements set forth in subsection K of\n\nSection 62 of Title 61 of the Oklahoma Statutes.\n\nB. A written contract between the political subdivision and the\n\nconstruction manager shall set forth the obligations of the parties,\n\nwhich, at a minimum, shall include the construction manager's scope\n\nof services, fees and expenses, as follows:\n\n1. A construction management fee, which may be based on a\n\npercentage of the construction cost or as defined in the contract;\n\n2. The cost or basis of cost expenses incurred by the\n\nconstruction manager to be reimbursed by the subdivision for normal\n\ngeneral conditions and general requirements necessary for the work\n\nbut not applicable to a particular subcontractor, trade contractor\n\nor supplier; and\n\n3. Other project-related expenses as set forth in the contract.\n\nC. The procedures for awarding work under agency construction\n\nmanagement are as follows:\n\n1. The construction manager, with the advice of the design\n\nconsultant and subdivision, will develop individual bid packages for\n\npublic bidding;\n\n2. Public bidding on individual bid packages will comply with\n\nthe requirements of the Public Competitive Bidding Act of 1974;\n\n3. The construction manager shall evaluate all bids and\n\nrecommend the lowest responsible bidder to the subdivision, who\n\nshall accept or reject the bids. The construction manager may\n\nassist the subdivision with the preparation of contracts and the\n\nreceipt of insurance and bonds as required for public construction\n\ncontracts by state law;\n\n4. After trade contracts are awarded, the construction manager\n\nwill perform contract administrative services as set forth in the\n\nagreement and may assist the subdivision with the review and\n\nprocessing of progress and final payments to the subcontractors.\n\nHowever, under no circumstances shall construction managers receive\n\nfunds from subdivisions for payments of trade contractors;\n\n5. The owner shall pay all trade contractors as required by the\n\nFair Pay for Construction Act; and\n\n6. Contracts awarded under an agency construction management\n\ndelivery system shall not be modified such to permit the assignment\n\nof subcontracts and/or trade packages to the construction manager.\n\nD. The procedures for awarding work under at-risk construction\n\nmanagement are as follows:\n\n1. The construction manager, with the advice of the design\n\nconsultant and subdivision, will develop individual bid packages for\n\npublic bidding;\n\n2. Whenever the estimated cost of the contract exceeds Fifty\n\nThousand Dollars ($50,000.00), bid packages shall be let and awarded\n\npursuant to the Public Competitive Bidding Act of 1974 and this\n\nsection;\n\n3. Bid packages with a value less than or equal to Fifty\n\nThousand Dollars ($50,000.00) may be awarded by the political\n\nsubdivision based on written comparative quotes. Bid packages with\n\na value less than or equal to Twenty-five Thousand Dollars\n\n($25,000.00) may be awarded by the political subdivision to any\n\nqualified vendor;\n\n4. Once the bids are accepted by the construction manager and\n\nawards made by the subdivision and the subdivision indicates its\n\nbonding preference, as noted below, but before written agreements\n\nare executed, the construction manager will prepare a guaranteed\n\nmaximum price (GMP) for the project or relevant portion of the work,\n\nas an amendment to the contract. After the subdivision approves the\n\nconstruction manager's GMP amendment, the construction manager shall\n\nenter into written subcontractor and supplier agreements for the\n\nwork previously awarded by the subdivision. Upon receiving a notice\n\nto proceed with the work from the subdivision or its designee, the\n\nsubdivision shall have the option, but not mandate, to require the\nendment to the contract. After the subdivision approves the\n\nconstruction manager's GMP amendment, the construction manager shall\n\nenter into written subcontractor and supplier agreements for the\n\nwork previously awarded by the subdivision. Upon receiving a notice\n\nto proceed with the work from the subdivision or its designee, the\n\nsubdivision shall have the option, but not mandate, to require the\n\nconstruction manager to provide performance, payment and maintenance\n\nbonds, or any combination, in an amount equal to one hundred percent\n\n(100%) of the value of the work, excluding the construction\n\nmanager's fee, general conditions, reimbursements and insurances.\n\n\"Payment bond\", \"performance bond\" and \"maintenance bond\", as used\n\nherein, mean and refer to those bonds as defined in the Public\n\nCompetitive Bidding Act of 1974;\n\n5. The construction manager may require bonds from\n\nsubcontractors or suppliers in an amount equal to one hundred\n\npercent (100%) of the value of their bid packages for subcontractors\n\nor suppliers not subject to bonding requirements of the Public\n\nCompetitive Bidding Act of 1974. In such cases, the bonding\n\nrequirements shall be set forth in the bidding documents;\n\n6. The construction manager's work performed under this section\n\nmay be on a lump-sum basis and subject to the change order\n\nlimitations for a public construction contract as set forth in the\n\nPublic Competitive Bidding Act of 1974 or may be performed under a\n\ncost-plus basis as determined by the subdivision;\n\n7. The subdivision may withhold retainage from the construction\n\nmanager's progress pay applications as set forth in the Public\n\nCompetitive Bidding Act of 1974. The owner shall pay the\n\nconstruction manager as required by the Fair Pay for Construction\n\nAct; and\n\n8. If a construction manager at-risk wishes to self-perform\n\nportions of the work to be performed, it may do so, provided the\n\nconstruction manager at-risk competitively bids the work under the\n\nsame terms and conditions as the other bidders and the construction\n\nmanager at-risk is the lowest responsible bidder for the work scope\n\non which the bid was submitted.\n\nE. When bids for a public construction project have been\n\nreceived from general contractors pursuant to the Public Competitive\n\nBidding Act of 1974 and the lowest responsible bid is within the\n\nsubdivision's available funding, the subdivision shall not reject\n\nall bids and subsequently award the project to a construction\n\nmanager.","path":["OK Code","Title 61"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os61.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"ff92e35232d9a8c8489b1e9e875a94f906c0cdc54db90ae156b91b91a379bd9a","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-61-61-216","next":"us-ok/okla.-stat.-tit.-61-61-220.1"},"notice":"GroundRules: Original legal text. Not legal advice."}