BILL NUMBER: AB 350 CHAPTERED 09/14/06 CHAPTER 261 FILED WITH SECRETARY OF STATE SEPTEMBER 14, 2006 APPROVED BY GOVERNOR SEPTEMBER 14, 2006 PASSED THE ASSEMBLY AUGUST 24, 2006 PASSED THE SENATE AUGUST 10, 2006 AMENDED IN SENATE AUGUST 8, 2006 AMENDED IN SENATE JUNE 15, 2006 AMENDED IN SENATE JULY 7, 2005 AMENDED IN ASSEMBLY MAY 26, 2005 INTRODUCED BY Assembly Member Houston (Coauthor: Senator Torlakson) FEBRUARY 10, 2005 An act to amend Section 20812 of the Public Contract Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGEST AB 350, Houston Fire protection district boards: contract bidding procedures. Existing law permits a fire protection district board to contract for special services in specified fields and other services incidental to the district's operation. Existing law requires fire protection districts with a final budget less than $1,000,000 to award contracts for special services exceeding $10,000 to the lowest responsible bidder after notice. Existing law allows fire protection districts the option to award special services contracts pursuant to the contracting and purchasing procedures that apply to their principal county's government. This bill would increase the threshold amount for special services contracts from $10,000 to $25,000. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 20812 of the Public Contract Code is amended to read: 20812. (a) A district board may contract for special services. These contracts shall be with persons specially trained, experienced, expert, and competent to perform the special services. The special services shall be limited to the fields of accounting, administration, ambulance, architecture, custodial, economics, engineering, finance, insurance, labor relations, law, maintenance, mechanics, medicine, planning, science, technology, and other services which are incidental to the operation of the district. (b) In the case of a district which has a final budget in excess of one million dollars ($1,000,000), the district shall follow the contracting and purchasing procedures which apply to the county government of its principal county or the procedures in subdivision (c). (c) In the case of a district which has a final budget less than one million dollars ($1,000,000), the district shall follow the procedures of this subdivision. (1) When the expenditure required for the service contract exceeds twenty-five thousand dollars ($25,000), it shall be contracted for and let to the lowest responsible bidder. If two or more bids are the same and the lowest, the district board may accept the one it chooses. (2) The notice inviting bids shall set a date for the opening of bids. The first publication or posting of the notice shall be at least 10 days before the date of opening the bids. Notice shall be published at least twice, at least five days apart, in a newspaper of general circulation in the district, or if there is none, it shall be posted in at least three public places in the district. The notice shall distinctly state the service to be performed. (3) The district board may reject any bids. If the district board rejects all bids, it may either readvertise or adopt a resolution, by two-thirds vote, declaring that the service can be performed more economically by the district's employees or obtained at a lower price in the open market. Upon adoption of the resolution, the district board may undertake the service contract without further complying with this section. (4) If no bids are received, the district board may undertake the service contract without further complying with this section. (5) In the case of an emergency, the district board shall respond to the emergency pursuant to Chapter 2.5 (commencing with Section 22050) if notice for bids to let contracts will not be given.