Bill Text: CA SB124 | 2013-2014 | Regular Session | Amended

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

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Bill Title: Human remains: Abbot Archimandrite Theodor Micka.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2014-03-25 - Chaptered by Secretary of State. Chapter 5, Statutes of 2014. [SB124 Detail]

Download: California-2013-SB124-Amended.html

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BILL NUMBER: SB 124	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 29, 2013
	AMENDED IN SENATE  APRIL 10, 2013

INTRODUCED BY   Senator Corbett
    (   Coauthor:   Senator   Correa
  ) 

                        JANUARY 18, 2013

   An act to amend Sections 4217.11 and 4217.16 of the Government
Code, and to add Section 10780.6 to, and to add Article 7 (commencing
with Section 10390) to Chapter 2 of Part 2 of Division 2 of, the
Public Contract Code, relating to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 124, as amended, Corbett. Public contracts: bid preferences:
clean energy.
   Existing law imposes various requirements with respect to
contracting by state agencies and the Trustees of the California
State University. Existing law requires state agencies and the
Trustees of the California State University to use a competitive
bidding process when contracting for goods and services. However,
existing law allows a public agency to award an energy service
contract if the governing body determines it is in the best interest
of the agency and costs will be reduced, as specified.
   This bill would require state agencies and the Trustees of the
California State University that accept bids or proposals for a
contract for the purchase or installation of a clean energy device,
technology, or system, as defined, to provide a 5% preference to a
bidder that certifies that all of the parts of the clean energy
device, technology, or system to be installed have been manufactured
 or assembled  in the state, in accordance with
specified criteria. This bill would authorize a public agency,
including, but not limited to, the Trustees of the California State
University, to award a contract based on the fact that a clean energy
device, technology, or system was manufactured  or assembled
 in the state if the contract is an energy service contract
determined to be in the best interest of the public agency.
   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.  The Legislature finds and declares all of the
following:
   (a) California faces the most severe economic downturn since the
Great Depression. Over two million Californians are out of work, and
California's unemployment rate is one of the highest in the nation.
   (b) At a time of scarce state resources, state purchases should be
used to stimulate our state economy and put people back to work.
   (c) The Green Building Executive Order (B-18-12) mandated that
state agencies evaluate the merits of using clean and renewable
onsite energy generation technologies in all new building or large
renovation projects.
   (d) California has several companies that manufacture clean energy
devices, technology, and systems in the state, employing
Californians and helping our economy.
   (e) California is the nation's largest clean economy. More than
12,000 clean technology companies call California home and are
creating jobs at nearly 10 times the rate of the state's other
industries. A number of these companies have developed novel
technologies, and it is in the interest of the state to incentivize
these companies to establish and grow manufacturing operations within
the state. This will create both construction and permanent
manufacturing jobs in California.
   (f) It is the intent of the Legislature that a preference should
be allowed for clean energy devices, technology, and systems
manufactured in California.
  SEC. 2.  Section 4217.11 of the Government Code is amended to read:

   4217.11.  The following terms, whenever used in this chapter, have
the meanings given in this section, except where the context clearly
indicates otherwise:
   (a) "Clean energy device, technology, or system" means devices or
technologies used for a renewable electrical generation facility, as
defined in paragraph (1) of subdivision (a) of Section 25741 of the
Public Resources Code; a combined heat and power system, as defined
in Section 2840.2 of the Public Utilities Code; distributed
generation and energy storage technologies eligible under the
self-generation incentive program pursuant to Section 379.6 of the
Public Utilities Code, as determined by the Public Utilities
Commission; or a facility designed for the production of renewable
fuels the efficient use of which reduces the use of fossil or nuclear
fuels; and energy efficiency devices or technologies that reduce the
need for new electric generation and reduce emissions of toxic and
criteria pollutants and greenhouse gases.
   (b) "Conservation services" means the electrical, thermal, or
other energy savings resulting from conservation measures, which
shall be treated as a supply of that energy.
   (c) "Energy conservation facility" means clean energy devices,
technologies, or systems, or conservation measures located in public
buildings or on land owned by public agencies.
   (d) "Energy service contract" means a contract entered into by a
public agency with any person, pursuant to which the person will
provide electrical or thermal energy or conservation services to a
public agency from an energy conservation facility.
   (e) "Facility financing contract" means a contract entered into by
a public agency with any person whereby the person provides
financing for an energy conservation facility in exchange for
repayment of the financing and all costs and expenses related thereto
by the public agency. A facility financing contract may provide for
the person with whom the public agency contracts to provide any
combination of feasibility studies for, and design and construction
of, all or part of the energy conservation facility in addition to
the financing and other related services, and may provide for an
installment sale purchase, another form of purchase, or amortized
lease of the energy conservation facility by the public agency.
   (f) "Facility ground lease" means a lease of all, or any portion
of, land or a public building owned by, or under lease to, a public
agency to a person in conjunction with an energy service contract or
a facility financing contract. A facility ground lease may include,
in addition to the land on which energy conservation facilities will
be located, easements, rights-of-way, licenses, and rights of access,
for the construction, use, or ownership by the person of the
facility and all related utility lines not owned or controlled by the
interconnecting utility, and offsite improvements related thereto. A
facility ground lease may also include the addition or improvement
of utility lines and equipment owned by the interconnecting utility
that are necessary to permit interconnection between that utility and
an energy conservation facility.
   (g) "Person" means, but is not limited to, any individual,
company, corporation, partnership, limited liability company, public
agency, association, proprietorship, trust, joint venture, or other
entity or group of entities.
   (h) "Public agency" means the state, a county, city and county,
city, district, community college district, school district,
California State University, joint powers authority or other entity
designated or created by a political subdivision relating to energy
development projects, and any other political subdivision or public
corporation in the state.
   (i) "Public building" includes any structure, building, facility,
or work which a public agency is authorized to construct or use, and
automobile parking lots, landscaping, and other facilities, including
furnishings and equipment, incidental to the use of any structure,
building, facility, or work, and also includes the site thereof, and
any easements, rights-of-way appurtenant thereto, or necessary for
its full use.
  SEC. 3.  Section 4217.16 of the Government Code is amended to read:

   4217.16.  Prior to awarding or entering into an agreement or
lease, the public agency may request proposals from qualified
persons. After evaluating the proposals, the public agency may award
the contract on the basis of the experience of the contractor, the
type of technology employed by the contractor, the cost to the local
agency, whether the clean energy device or technology is manufactured
 or assembled  in California, and any other
relevant considerations. The public agency may utilize the pool of
qualified energy service companies established pursuant to Section
388 of the Public Utilities Code and the procedures contained in that
section in awarding the contract.
  SEC. 4.  Article 7 (commencing with Section 10390) is added to
Chapter 2 of Part 2 of Division 2 of the Public Contract Code, to
read:

      Article 7.  Preference for California-Manufactured Clean Energy
Devices, Technology, and Systems


   10390.  For the purposes of this article:
   (a) "Clean energy device, technology, or system" means devices or
technologies used for a renewable electrical generation facility, as
defined in paragraph (1) of subdivision (a) of Section 25741 of the
Public Resources Code; a combined heat and power system, as defined
in Section 2840.2 of the Public Utilities Code; distributed
generation and energy storage technologies eligible under the
self-generation incentive program pursuant to Section 379.6 of the
Public Utilities Code, as determined by the Public Utilities
Commission; or a facility designed for the production of renewable
fuels, the efficient use of which reduces the use of fossil or
nuclear fuels; and energy efficiency devices or technologies that
reduce the need for new electric generation and reduce emissions of
toxic and criteria pollutants and greenhouse gases.
   (b) "Power purchase agreement" means a financial arrangement in
which a third-party developer owns, operates, and maintains a clean
energy device, technology, or system, and a state agency agrees to
site the device, technology, or system on its roof or elsewhere on
its property and purchases the device, technology, or system's
electric output, not the device, technology, or system itself, from
the third-party developer for a predetermined period of time.
   10391.  (a) A state agency that accepts bids or proposals for a
contract for the purchase or installation of a clean energy device,
technology, or system through a power purchase agreement or a direct
purchase shall provide a preference of 5 percent to a bidder that
certifies that all of the parts of the clean energy device,
technology, or system to be installed have been manufactured 
or assembled in this state. The preference shall be
provided as follows:
   (1) For solicitations to be awarded to the lowest responsible
bidder meeting specifications, the preference to a bidder that
certifies that all of the parts of the clean energy device,
technology, or system to be installed have been manufactured 
or assembled  in this state shall be 5 percent of the bid
price of the lowest responsible bidder meeting specifications.
   (2) For solicitations to be awarded to the highest scored bidder
based on evaluation factors in addition to price, the preference to a
bidder that certifies that all of the parts of the clean energy
device, technology, or system to be installed have been manufactured
 or assembled  in this state shall be 5 percent of
the total score of the highest scored bidder.
   (3) A preference awarded pursuant to paragraph (1) or (2) shall
not be awarded to a noncompliant bidder and shall not be used to
satisfy any applicable minimum requirements.
   (4) In order to be eligible for the 5-percent preference
authorized pursuant to this section, a bidder shall submit all
required substantiating documentation and information needed by the
state agency to determine if the bidder is eligible for the
preference, including, but not limited to, documentation regarding
the identity of the manufacturer  or assembler  of
the clean energy device, technology, or system and the location or
locations where the parts of the clean energy device, technology, or
system will be manufactured or assembled  .
   (5) If, after application of the preferences set forth in this
section, more than one bid qualified as the lowest responsible bid or
the highest scored bid, the state agency shall award the contract to
the bidder that has the highest number of full-time employees who
 assemble or  manufacture the parts of the clean
energy device, technology, or system in the state when the contract
is let.
   (b) The Department of General Services shall establish a process
to verify that a bidder meets the criteria for the 5-percent
preference.
  SEC. 5.  Section 10780.6 is added to the Public Contract Code, to
read:
   10780.6.  (a) For purposes of this section, "clean energy device,
technology, or system" means devices or technologies used for a
renewable electrical generation facility, as defined in paragraph (1)
of subdivision (a) of Section 25741 of the Public Resources Code; a
combined heat and power system, as defined in Section 2840.2 of the
Public Utilities Code; distributed generation and energy storage
technologies eligible under the self-generation incentive program
pursuant to Section 379.6 of the Public Utilities Code, as determined
by the Public Utilities Commission; or a facility designed for the
production of renewable fuels, the efficient use of which reduces the
use of fossil or nuclear fuels; and energy efficiency devices or
technologies that reduce the need for new electric generation and
reduce emissions of toxic and criteria pollutants and greenhouse
gases.
   (b) The trustees that accept bids or proposals for a contract for
the purchase or installation of a clean energy device, technology, or
system through a power purchase agreement or a direct purchase shall
provide a preference of 5 percent to a bidder that certifies that
all of the parts of the clean energy device, technology, or system to
be installed have been manufactured  or assembled 
in this state. The preference shall be provided as follows:
   (1) For solicitations to be awarded to the lowest responsible
bidder meeting specifications, the preference to a bidder that
certifies that all of the parts of the clean energy device,
technology, or system to be installed have been manufactured 
or assembled  in this state shall be 5 percent of the bid
price of the lowest responsible bidder meeting specifications.
   (2) For solicitations to be awarded to the highest scored bidder
based on evaluation factors in addition to price, the preference to a
bidder that certifies that all of the parts of the clean energy
device, technology, or system to be installed have been manufactured
 or assembled  in this state shall be 5 percent of
the total score of the highest scored bidder.
   (3) A preference awarded pursuant to paragraph (1) or (2) shall
not be awarded to a noncompliant bidder and shall not be used to
satisfy any applicable minimum requirements.
   (4) In order to be eligible for the 5-percent preference
authorized pursuant to this section, a bidder shall submit all
required substantiating documentation and information needed by the
trustees to determine if the bidder is eligible for the preference,
including, but not limited to, documentation regarding the identity
of the manufacturer  or assembler  of the clean
energy device, technology, or system and the location or locations
where the parts of the clean energy device, technology, or system
will be manufactured  or assembled  .
   (5) If, after application of the preferences set forth in this
section, more than one bid qualifies as the lowest responsible bid or
the highest scored bid, the trustees shall award the contract to the
bidder that has the highest number of full-time employees who
 assemble or  manufacture the parts of the clean
energy device, technology, or system in the state when the contract
is let.
   (c) The Department of General Services shall establish a process
to verify that a bidder meets the criteria for the 5-percent
preference.