Bill Text: CA AB2009 | 2023-2024 | Regular Session | Introduced

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

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Bill Title: School districts: public contracts.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-04-03 - In committee: Set, second hearing. Hearing canceled at the request of author. [AB2009 Detail]

Download: California-2023-AB2009-Introduced.html

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CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Assembly Bill

No. 2009

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Introduced by Assembly Member Rendon

January 31, 2024

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An act to amend Sections 20111 and 20114 of the Public Contract Code, relating to public contracts.

LEGISLATIVE COUNSEL'S DIGEST

AB 2009, as introduced, Rendon. School districts: public contracts.

Existing law requires the governing board of a school district to let contracts involving an expenditure of more than $50,000 for the purchase of equipment, materials, or supplies to be furnished, leased, sold, or leased to the school district, services other than construction services, and certain repairs to the lowest responsible bidder who gives security as the governing board requires. Existing law requires the Superintendent of Public Instruction to annually adjust the $50,000 amount, commencing on January 1, 1997, as specified.

Existing law also requires the governing board to let contracts for public projects, as defined, involving an expenditure of $15,000 or more, to the lowest responsible bidder who gives security as the governing board requires.

This bill would instead require the governing board to let contracts for public projects when the expenditure is $34,500 or more to the above-described lowest responsible bidder. The bill would additionally require the Superintendent of Public Instruction to annually adjust the $34,500 amount, commencing on January 1, 2026.

Existing law authorizes the governing board of a school district having an average daily attendance of 35,000 or greater to make repairs to school buildings, grounds, apparatus, or equipment and perform maintenance by day labor or force account, whenever the total numbers of hours on the job does not exceed 750 hours or when the total cost of material does not exceed $21,000, as specified.

This bill would instead authorizes the governing board of a school district to make repairs and perform maintenance by day labor or force account, as described above, when the total cost of material does not exceed $43,000. The bill would require adjustment of the $43,000 amount to reflect the percentage change in the California Consumer Price Index, beginning on January 1, 2026, and each January 1 thereafter.

Digest Key

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

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Bill Text

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

SECTION 1.

 Section 20111 of the Public Contract Code is amended to read:

20111.

 (a) (1) The governing board of any a school district, in accordance with any requirement established by that governing board pursuant to subdivision (a) of Section 2000, shall let any contracts a contract involving an expenditure of more than fifty thousand dollars ($50,000) for any of the following:

(A) The purchase of equipment, materials, or supplies to be furnished, sold, or leased to the district.

(B) Services, except construction services.

(C) Repairs, including maintenance as defined in Section 20115, that are not a public project as defined in subdivision (c) of Section 22002.

(2) The governing board shall let the contract to the lowest responsible bidder who shall give security as the board requires, or else reject all bids.

(b) (1) The governing board shall let any a contract for a public project, as defined in subdivision (c) of Section 22002, involving an expenditure of fifteen thousand dollars ($15,000) thirty-four thousand five hundred dollars ($34,500) or more, to the lowest responsible bidder who shall give security as the board requires, or else reject all bids. All bids A bid for construction work shall be presented under sealed cover, and shall be accompanied by one of the following forms of bidder’s security:

(A) Cash.

(B) A cashier’s check made payable to the school district.

(C) A certified check made payable to the school district.

(D) A bidder’s bond executed by an admitted surety insurer, made payable to the school district.

(2) Upon award to the lowest bidder, the security of an unsuccessful bidder shall be returned in a reasonable period of time, but in no event shall that security be held by the school district beyond 60 days from the time the award is made.

(c) Procurement bid solicitations and awards made by a school district approved to operate at least one federal nonprofit child nutrition program for purchases in support of those programs shall be consistent with the federal procurement standards in Sections 200.318 to 200.326, inclusive, of Part 200 of Title 2 of the Code of Federal Regulations. These awards shall be let to the most responsive and responsible party. The price shall be the primary consideration, but not the only determining factor.

(d) This section applies to all equipment, materials, or supplies, whether patented or otherwise, and to contracts awarded pursuant to subdivision (a) of Section 2000. This section shall not apply to professional services or advice, insurance services, or any other purchase or service otherwise exempt from this section, or to any work done by day labor or by force account pursuant to Section 20114.

(e) (1) Commencing January 1, 1997, the Superintendent of Public Instruction shall annually adjust the dollar amounts specified in paragraph (1) subdivision (a) to reflect the percentage change in the annual average value of the Implicit Price Deflator for State and Local Government Purchases of Goods and Services for the United States, as published by the United States Department of Commerce for the 12-month period ending in the prior fiscal year. The annual adjustments shall be rounded to the nearest one hundred dollars ($100).

(2) Commencing January 1, 2026, the Superintendent of Public Instruction shall annually adjust the dollar amounts specified in paragraph (1) of subdivision (b) to reflect the percentage change in the annual average value of the Implicit Price Deflator for State and Local Government Purchases of Goods and Services for the United States, as published by the United States Department of Commerce for the 12-month period ending in the prior fiscal year. The annual adjustments shall be rounded to the nearest one hundred dollars ($100).

SEC. 2.

 Section 20114 of the Public Contract Code is amended to read:

20114.

 (a) In each a school district, the governing board may make repairs, alterations, additions, or painting, repainting, or decorating upon school buildings, repair or build apparatus or equipment, make improvements on the school grounds, erect new buildings, and perform maintenance maintenance, as defined in Section 20115 20115, by day labor, or by force account, whenever the total number of hours on the job does not exceed 350 hours. Moreover, in any

(b) (1) In a school district having an average daily attendance of 35,000 or greater, the governing board may, in addition, may make repairs to school buildings, grounds, apparatus, or equipment, including painting or repainting, and perform maintenance, as defined in Section 20115, by day labor or by force account whenever the total number of hours on the job does not exceed 750 hours, or when the cost of material does not exceed twenty-one thousand dollars ($21,000). forty-three thousand dollars ($43,000).

(2) Beginning on January 1, 2026, and each January 1 thereafter, the amount specified in paragraph (1) shall be adjusted to reflect the percentage change in the California Consumer Price Index for all items from January of the prior year to January of the current year, as determined by the Department of Industrial Relations.

(b)

(c) For purposes of this section, day labor shall include the use of maintenance personnel employed on a permanent or temporary basis.