BILL NUMBER: AB 150	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 4, 2011

INTRODUCED BY   Assembly Member Perea

                        JANUARY 18, 2011

   An act to add Section 14838.8 to the Government Code, relating to
public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 150, as amended, Perea. Public contracts: small business 
and disabled veteran business enterprise  participation.
   Existing law, the Small Business Procurement and Contract Act,
requires the Director of General Services and the heads of other
state agencies that enter into contracts for the provision of goods,
services, and information technology and for the construction of
state facilities to establish goals for the participation of small
businesses in these contracts, to provide for small business
preference in the award of these contracts, to give special
consideration and special assistance to small businesses, and,
whenever possible, to make awards to small businesses, as specified.
   This bill would, on and after July 1, 2012, authorize the
Department of General Services to direct all state agencies,
departments, boards, and commissions to establish the goal to achieve
 not less than  25% small business participation  and
not less than 3% disabled veteran business enterprise participation
 in state procurements and contracts. The bill also would
require the heads of those state agencies, departments, boards, and
commissions to implement and administer the state's procurement and
contract processes in order to meet or exceed the  goal
  goals  , and to report to the Director of General
Services statistics regarding small business  and disabled
veteran business enterprise  participation in those agencies'
procurements and contracts.
   The bill would authorize the Department of General Services to
establish policies and procedures to monitor the progress of the
agencies toward meeting the goal of  not less than  25%
small business participation  and not less than 3% disabled
veteran business enterprise participation  and to provide this
information to the Office of Small Business Advocate.
   The bill would also authorize the Department of General Services
to require a state agency, department, board, or commission that has
not achieved its fiscal year  goal   goals 
to submit an implementation and corrective action plan, and to
submit such a plan every year thereafter, as long as that agency
fails to meet or exceed the  goal   goals 
. The bill would also authorize the department to establish criteria
for such a plan, as specified. The bill would authorize the
department to undertake reasonable means to assist agencies in
improving small business  and disabled veteran business
enterprise  participation in those agencies' contracting.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 14838.8 is added to the Government Code, to
read:
   14838.8.  In order to encourage small business  and disabled
veteran business enterprise  participation in state contracts,
the Department of General Services may direct all state agencies,
departments, boards, and commissions to establish the goal to achieve
 not less than  25 percent small business participation
 and not less than 3 percent disabled veteran business enterprise
participation  in state procurements and contracts. If the
department gives this direction, all of the following apply:
   (a) Notwithstanding any other provision of this chapter, the heads
of all state agencies, departments, boards, and commissions shall
implement procurement and contract processes in order to meet the
goal of  not less than  25 percent small business
participation  and not less than 3 percent disabled veteran
business enterprise participation  , and shall report to the
Director of General Services statistics regarding the annual
participation of small businesses  and disabled veteran business
enterprises  in the agency's procurements and contracts.
   (b) The Department of General Services may establish policies and
procedures to monitor the progress of all state agencies,
departments, boards, and commissions toward meeting the goal 
of   not less than  25 percent small business
participation  and not less than 3 percent disabled veteran
business enterprise participation  . The department may
regularly share information with the Office of Small Business
Advocate on the progress of each individual agency, department,
board, and commission in meeting the annual goal, including, but not
limited to, providing copies of corrective action plans.
   (c) (1) The Department of General Services may require a state
agency, department, board, or commission that has not achieved its
fiscal year goal of  not less than  25 percent small
business participation  or not less than 3 percent disabled
veteran business enterprise participation  to submit an
implementation and corrective action plan, and to submit such a plan
annually thereafter, as long as that agency fails to meet or exceed
the goal. The department may establish criteria for such a plan and
publish those criteria in the State Administrative Manual.
   (2) The Department of General Services may undertake reasonable
means to assist agencies in improving small business participation in
their contracting, including entering into memoranda of
understanding with the agencies that have not met the goal.
   (d) The Department of General Services shall establish in the
State Administrative Manual and the State Contracting Manual policies
for all state agencies, departments, boards, and commissions to use
the contracting procedure authorized in Section 14838 to contract
with small businesses  and disabled veteran business enterprises
 .
   (e) The Department of General Services shall actively promote
small business  and disabled veteran business enterprise 
certification.
   (f) This section shall become operative on July 1, 2012.