Bill Text: CA AB2708 | 2009-2010 | Regular Session | Introduced

California Assembly Bill 2708 (Prior Session Legislation)

Introduced

Bill Title: State contracts: procurement practices: small businesses.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2010-04-12 - In committee: Set, first hearing. Hearing canceled at the request of author. [AB2708 Detail]

Download: California-2009-AB2708-Introduced.html

BILL NUMBER: AB 2708	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Bill Berryhill

                        FEBRUARY 19, 2010

   An act to add Sections 14838.8 and 14838.9 to the Government Code,
relating to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2708, as introduced, Bill Berryhill. State contracts:
procurement practices: small businesses.
    The Small Business Procurement and Contract Act (hereafter the
Act) requires the directors of the Department of General Services and
other state agencies entering into contracts for the provision of
goods, information technology, and services to the state, and in the
construction of state facilities, to provide for a preference, as
specified, for any bid to small businesses and microbusinesses, under
specified circumstances.
   This bill would prohibit the Director of General Services and the
directors of other state departments or offices that enter into
contracts from engaging in bundling of contracts. This bill would
also require the director or any agency, department, board, or
commission to provide for the participation of subcontractors that
are small businesses and microbusinesses in awarding contracts for
goods and services by directly contracting with a small business or
microbusiness. The bill would specify that the Act is not implemented
by awarding a contract for goods to a prime contractor that engages
a small business or microbusiness as a subcontractor.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 14838.8 is added to the Government Code, to
read:
   14838.8.  (a) It is the intent of the Legislature that state
agencies and departments shall prevent unnecessary and unjustified
bundling of contract specifications and requirements that exclude
certified small businesses from direct participation as prime
contractors in contracts for goods.
   (b) Notwithstanding any other law, in order to facilitate the
participation of small businesses, including microbusinesses, in the
provision of goods to the state, the Director of General Services and
the directors of other state departments or agencies that enter into
contracts within their respective areas of responsibility shall not
engage in bundling of contracts, which has the effect of restricting
or excluding small businesses from the state contracting process.
   (c) As used in this section, the following terms apply:
    (1) "Bundling of contracts" means a use of solicitation for a
single contract or a multiple award contract to satisfy two or more
requirements of any state agency, department, board, or commission
for goods that restricts competition or limits the number of
suppliers by being likely unsuitable for award to a small business
due to any one or more of the following:
   (A) The diversity, size, or specialized nature of the elements of
the performance specified.
   (B) The aggregate dollar value of the anticipated award.
   (C) The geographical dispersion of the contract performance sites.

   (D) Restrictive contract requirements or any other similar
procurement strategy or factor that limits the ability of a
responsible small business to compete or otherwise participate as a
prime contractor in the procurement process.
   (2) "Contract" includes miscellaneous contracts.
  SEC. 2.  Section 14838.9 is added to the Government Code, to read:
   14838.9.  Notwithstanding any other law, the director or any
agency, department, board, or commission shall provide for the
participation of subcontractors that are certified small businesses
and microbusinesses in awarding contracts for goods by directly
contracting with a small business or microbusiness. The director or
any agency, department, board, or commission does not facilitate or
provide for small business or microbusiness participation within the
meaning of chapter by awarding a contract for goods to a prime
contractor that engages a small business or microbusiness as a
subcontractor on that contract.