BILL NUMBER: AB 532	CHAPTERED  10/04/05

	CHAPTER  509
	FILED WITH SECRETARY OF STATE  OCTOBER 4, 2005
	APPROVED BY GOVERNOR  OCTOBER 4, 2005
	PASSED THE SENATE  SEPTEMBER 6, 2005
	PASSED THE ASSEMBLY  MAY 19, 2005
	AMENDED IN ASSEMBLY  APRIL 20, 2005

INTRODUCED BY   Assembly Member Levine

                        FEBRUARY 16, 2005

   An act to add Section 20118.2 to the Public Contract Code,
relating to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 532, Levine  Public contracts: schools: procurement.
   Existing law sets forth the requirements for competitive bidding
on various types of contracts awarded by state and local agencies.
Existing law authorizes a school district to contract with suppliers
to obtain materials, supplies, equipment, and services, including
technological supplies and equipment.
   This bill would authorize a school district to utilize alternative
competitive negotiation methods for procuring bids for the
acquisition of specified technological supplies and equipment.



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


  SECTION 1.  Section 20118.2 is added to the Public Contract Code,
to read:
   20118.2.  (a) Due to the highly specialized and unique nature of
technology, telecommunications, related equipment, software, and
services, because products and materials of that nature are
undergoing rapid technological changes, and in order to allow for the
introduction of new technological changes into the operations of the
school district, it is in the public's best interest to allow a
school district to consider, in addition to price, factors such as
vendor financing, performance reliability, standardization,
life-cycle costs, delivery timetables, support logistics, the
broadest possible range of competing products and materials
available, fitness of purchase, manufacturer's warranties, and
similar factors in the award of contracts for technology,
telecommunications, related equipment, software, and services.
   (b) This section applies only to a school district's procurement
of computers, software, telecommunications equipment, microwave
equipment, and other related electronic equipment and apparatus. This
section does not apply to contracts for construction or for the
procurement of any product that is available in substantial
quantities to the general public.
   (c) Notwithstanding Section 20118.1, a school district may, after
a finding is made by the governing board that a particular
procurement qualifies under subdivision (b), authorize the
procurement of the product through competitive negotiation as
described in subdivision (d).
   (d) For purposes of this section, competitive negotiation
includes, but is not limited to, all of the following requirements:
   (1) A request for proposals shall be prepared and submitted to an
adequate number of qualified sources, as determined by the school
district, to permit reasonable competition consistent with the nature
and requirement of the procurement.
   (2) Notice of the request for proposals shall be published at
least twice in a newspaper of general circulation, at least 10 days
before the date for receipt of the proposals.
   (3) The school district shall make every effort to generate the
maximum feasible number of proposals from qualified sources and shall
make a finding to that effect before proceeding to negotiate if only
a single response to the request for proposals is received.
   (4) The request for proposals shall identify all significant
evaluation factors, including price, and their relative importance.
   (5) The school district shall provide reasonable procedures for
the technical evaluation of the proposals received, the
identification of qualified sources, and the selection for the award
of the contract.
   (6) Award shall be made to the qualified bidder whose proposal
meets the evaluation standards and will be most advantageous to the
school district with price and all other factors considered.
   (7) If award is not made to the bidder whose proposal contains the
lowest price, the school district shall make a finding setting forth
the basis for the award.
   (e) The school district, at its discretion, may reject all
proposals and request new proposals.
   (f) Provisions in any contract concerning utilization of small
business enterprises, that are in accordance with the request for
proposals, shall not be subject to negotiation with the successful
proposer.