BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 117| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 117 Author: Beall (D) Amended: 7/7/08 in Senate Vote: 21 SENATE TRANSPORTATION & HOUSING COMM : 12-0, 5/13/08 AYES: Lowenthal, Ashburn, Cedillo, Corbett, Harman, Hollingsworth, Kehoe, Maldonado, Oropeza, Simitian, Torlakson, Yee NO VOTE RECORDED: McClintock SENATE APPROPRIATIONS COMMITTEE : 13-0, 6/23/08 AYES: Torlakson, Cox, Aanestad, Ashburn, Cedillo, Corbett, Dutton, Florez, Kuehl, Oropeza, Ridley-Thomas, Simitian, Yee NO VOTE RECORDED: Runner, Wyland ASSEMBLY FLOOR : Not relevant SUBJECT : Procurement of supplies, equipment and material SOURCE : Santa Clara Valley Transportation Authority DIGEST : This bill revises the procurement requirements for the purchase of supplies, equipment, and materials by the Santa Clara Valley Transportation Authority, the Alameda-Contra Costa Transit District, the San Mateo County Transit District, and the Golden Gate Bridge, Highway and Transportation District. CONTINUED AB 117 Page 2 Senate Floor Amendments of 7/7/08 state that the Alameda-Contra Costa Transit District, Santa Clara Valley Transportation Authority, the San Mateo County Transit District, and the Golden Gate Bridge, Highway and Transportation District have authority to levy service charges, fees, or assessments sufficient to pay for the procurement activities mandated by this act. ANALYSIS : Existing law, with respect to the purchase of supplies, equipment, and materials that exceed $25,000 by the Santa Clara Valley Transportation Authority (VTA), the Alameda-Contra Costa Transit District (ACCTD), the San Mateo County Transit District (SAMTRANS), and that exceed $20,000 by the Golden Gate Bridge, Highway and Transportation District (GG District), requires the contract to be awarded to the lowest responsible bidder after a competitive procurement process. SAMTRANS is excluded from this process in emergencies, as specified, and the governing board of SAMTRANS is authorized to allow the general manager to act on its behalf if the value of the contract is $50,000 or less. This bill makes the following changes to the procurement requirements for purchases of supplies, equipment, and materials by these entities: 1.Authorizes the award contracts with a value greater than $100,000 on the basis of either lowest responsible bidder or "best value," defined as the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the bid solicitation documents. 2.Requires VTA, ACCTD, and SAMTRANS to obtain a minimum of three quotations, either written or oral, that permit price comparison for contracts with a value of $2,500 to $100,000, and requires the GG District to do this to the extent practicable. These contracts would still go to the lowest responsible bidder, but relieves the entities from conforming with formal bidding requirements. 3.Authorizes the general manager of SAMTRANS to act on behalf of the board for contracts of $100,000 or less, and requires notification to the board, as specified. AB 117 Page 3 FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: Yes SUPPORT : (Verified 7/8/08) Santa Clara Valley Transportation Authority (source) Alameda-Contra Costa Transportation Authority San Mateo County Transit District Golden Gate Bridge, Highway and Transportation District JJA:nl 7/9/08 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END ****