BILL NUMBER: SB 974	CHAPTERED  10/13/01

	CHAPTER  832
	FILED WITH SECRETARY OF STATE  OCTOBER 13, 2001
	APPROVED BY GOVERNOR  OCTOBER 12, 2001
	PASSED THE SENATE  SEPTEMBER 4, 2001
	PASSED THE ASSEMBLY  AUGUST 30, 2001
	AMENDED IN ASSEMBLY  AUGUST 23, 2001
	AMENDED IN ASSEMBLY  JUNE 11, 2001
	AMENDED IN SENATE  APRIL 16, 2001

INTRODUCED BY   Senator Torlakson
   (Coauthor:  Assembly Member Wiggins)

                        FEBRUARY 23, 2001

   An act to add Section 1100.7 to the Public Contract Code, relating
to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 974, Torlakson.  Public contracts:  cities.
   The Public Contract Code contains various definitions of a "public
entity," all of which include a city as a public entity.  Under the
California Constitution, a city may, as an alternative to being
entirely subject to the general law of the state, elect to operate
pursuant to a charter that authorizes the enactment of ordinances and
regulations superseding the general law of the state with respect to
municipal affairs.
   This bill would state that the Public Contract Code is the basis
of contracts between most public entities and their contractors and
subcontractors.  This bill would further state, with regard to
charter cities, that this code applies in the absence of an express
exemption or a city charter provision or ordinance that conflicts
with that code.
   The bill would state that these provisions are declaratory of
existing law.


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


  SECTION 1.  Section 1100.7 is added to the Public Contract Code, to
read:
   1100.7.  This code is the basis of contracts between most public
entities in this state and their contractors and subcontractors.
With regard to charter cities, this code applies in the absence of an
express exemption or a city charter provision or ordinance that
conflicts with the relevant provision of this code.
  SEC. 2.  The Legislature finds and declares that Section 1100.7 of
the Public Contract Code, as added by this act, is declaratory of
existing law as set forth in the holding in Howard Contracting, Inc.
v. G.A.  MacDonald Construction Co. (1998) 71 Cal.App.4th 38.