Bill Text: CA AB1424 | 2017-2018 | Regular Session | Introduced

California Assembly Bill 1424 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: University of California: Best Value Construction Contracting Program.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2017-10-15 - Chaptered by Secretary of State - Chapter 850, Statutes of 2017. [AB1424 Detail]

Download: California-2017-AB1424-Introduced.html

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill

No. 1424

Introduced by Assembly Member Levine
(Coauthor: Senator Allen)

February 17, 2017

An act to amend Section 10506.4 of, and to repeal Section 10506.9 of, the Public Contract Code, relating to best value contracts.

LEGISLATIVE COUNSEL'S DIGEST

AB 1424, as introduced, Levine. University of California: Best Value Construction Contracting Program.

Existing law creates a Best Value Construction Contracting Pilot Program for the Regents of the University of California to award construction contracts based on the best value procedures, as specified. Existing law requires the Regents of the University of California to adopt and publish procedures and required criteria, as specified, that ensure that all selections are conducted in a fair and impartial manner. Existing law requires bidders to verify specified information under oath. Existing law repeals these provisions on January 1, 2018.

This bill would eliminate the repeal date, and by doing so, would extend the requirement that bidders verify specified information under oath, and impose a state-mandated local program by expanding the scope of an existing crime.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YES

The people of the State of California do enact as follows:

SECTION 1.

Section 10506.4 of the Public Contract Code is amended to read:

10506.4.

(a) This article provides the Best Value Construction Contracting ~~Pilot~~ Program for the Regents of the University of California for projects over one million dollars ($1,000,000).

(b) The Regents of the University of California shall let any contract for a project pursuant to this article to the lowest responsible bidder or else reject all bids.

(c) The lowest responsible bidder may be selected on the basis of the best value to the university, as defined in Section 10506.5. In order to implement this method of selection, the Regents of the University of California shall adopt and publish procedures and required guidelines for evaluating the qualifications of the bidders that ensure that best value selections by the university are conducted in a fair and impartial manner. These procedures and guidelines shall conform to the requirements of Sections 10506.6 and 10506.7 and shall be mandatory for the university when using best value selection.

(d) If one or more of the bids is substantially equal to the lowest bid, and at least one of those bidders is a disadvantaged business enterprise, a women business enterprise, or a disabled veteran business enterprise, the regents may award the contract in accordance with the policies and procedures adopted pursuant to Section 10500.5.

(e) If the regents deem it to be for the best interest of the university, the regents may, on the refusal or failure of the successful bidder for a project to execute a tendered contract, award it to the second lowest responsible bidder. If the second lowest bidder fails or refuses to execute the contract, the regents may likewise award it to the third lowest responsible bidder.

SEC. 2.

Section 10506.9 of the Public Contract Code is repealed.

10506.9.
~~This article shall remain in effect only until January 1, 2018, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2018, deletes or extends that date.~~

SEC. 3.

No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.