[§103D-411]  Value engineering clauses. 
The State shall insert clauses providing for value engineering incentives in
all public works contracts for amounts in excess of $250,000.  The clauses
shall provide:



(1)  That cost reduction proposals submitted by
contractors:



(A)  Must require, in order to be applied to
the contract, a change order thereto; and



(B)  Must result in savings to the State or
county, as the case may be, by providing less costly items than those specified
in the contract without impairing any of their essential functions and
characteristics such as service life, reliability, substitutability, economy of
operation, ease of maintenance, and necessary standardized features; and



(2)  That accepted cost reduction proposals shall
result in an equitable adjustment of the contract price so that the contractor
will share a portion of the realized cost reduction. [L 1999, c 149, pt of §2]