BILL ANALYSIS
AB 815
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Date of Hearing: May 5, 2009
ASSEMBLY COMMITTEE ON JUDICIARY
Mike Feuer, Chair
AB 815 (Ma) - As Introduced: February 26, 2009
As Proposed to be Amended
SUBJECT : Public Contracts: Plans and Specifications
KEY ISSUE : SHOULD THE LEGISLATURE STATE ITS INTENT TO CONSIDER
CERTAIN ISSUES REGARDING THE RIGHTS AND DUTIES OF PARTIES
REGARDING PUBLIC CONSTRUCTION PLANS AND SPECIFICATIONS?
FISCAL EFFECT : As currently in print this bill is keyed
non-fiscal.
SYNOPSIS
As proposed to be amended, this is a non-controversial measure
that simply states the Legislature's intent to consider certain
issues related to the rights and responsibilities of parties in
public construction projects depending on the outcome of a case
currently pending before the California Supreme Court, which may
be decided in the current legislative session.
SUMMARY : States Legislative intent regarding certain public
construction statutes. Specifically, this bill provides that it
is the intent of the Legislature to consider the issues raised
in Los Angeles Unified School District v. Great American Ins.
Co. (2008)163 Cal. App. 4th 944, review granted, 193 P.3d 280;
84 Cal. Rptr. 3d 35 (2008) as needed once they are ripe for
consideration after the California Supreme Court has rendered a
decision interpreting the parties rights and obligations under
existing law.
EXISTING LAW :
1)Prohibits a local public entity, charter city, or charter
county, from requiring a bidder on a public works project to
assume responsibility for the completeness and accuracy of
architectural or engineering plans and specifications on
public works projects, except on clearly designated
design-build projects. (Public Contract Code Section 1104.)
AB 815
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2)Permits a local public entity, charter city, or charter county
to require a bidder to review architectural or engineering
plans and specifications prior to submission of a bid, and
report any errors and omissions noted by the contractor to the
architect or owner. (Id.)
3)With respect to state agencies, provides that before entering
into any contract for a project, the department shall prepare
full, complete, and accurate plans and specifications and
estimates of cost, giving such directions as will enable any
competent mechanic or other builder to carry them out.
(Public Contract Code Section 10120.)
COMMENTS : This measure is substantively identical to AB 983
(Ma) of 2008, which was vetoed by the Governor with the
following message:
This bill would require a local public entity before
entering into a design-bid-build contract, to provide full,
complete, and accurate plans, specifications and estimates
of cost that would enable any competent mechanic or other
builder to carry them out.
This bill is premature. The California Supreme Court
recently agreed to review the case, Los Angeles Unified
School District v. Great American Insurance Co., et. al.,
that involves the issues raised by this bill. I believe it
is prudent for the court to rule on current law before
making any unnecessary or ill-advised changes.
In anticipation of a possible ruling by the court during this
legislative session, the author has introduced this bill. In
light of the prior veto and the substantial opposition, however,
and in order to allow the bill to meet legislative deadlines
while maintaining flexibility regarding the precise proposal
that may be needed to respond to the important issues raised by
the case, depending on the outcome of Supreme Court's decision,
the author has judiciously agreed to substitute the intent
language below.
Author's Amendment. Substitute the following language for the
current contents of the bill:
It is the intent of the Legislature to consider the issues
raised in Los Angeles Unified School District v. Great American
AB 815
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Ins. Co. (2008)163 Cal. App. 4th 944, review granted, 193 P.3d
280; 84 Cal. Rptr. 3d 35 (2008) as needed once they are ripe for
consideration after the California Supreme Court has rendered a
decision interpreting the parties rights and obligations under
existing law.
REGISTERED SUPPORT / OPPOSITION :
Support (Prior to Proposed Amendments)
None on file
Opposition (Prior to Proposed Amendments)
Advancement Project
Association of California Water Agencies
California School Boards Association
California Special Districts Association
City of Costa Mesa
City of Palm Desert
Coalition for Adequate School Housing
Eastern Municipal Water District
Governor's Office of Planning and Research
League of California Cities
Analysis Prepared by : Kevin G. Baker / JUD. / (916) 319-2334