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  ****