BILL NUMBER: AB 943	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 2, 2011
	AMENDED IN ASSEMBLY  MARCH 22, 2011

INTRODUCED BY   Assembly Member Williams

                        FEBRUARY 18, 2011

   An act to amend Sections  20723 and 20751  
22032 and 22034  of the Public Contract Code, relating to public
contracts.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 943, as amended, Williams. Public contracts: local contracts:
 port and harbor districts.   alternative
procedures.  
   Existing law governing public contracts establishes procedures
that public agencies, as defined, are required to follow when
performing public works projects. If public agencies voluntarily
elect to become subject to uniform construction cost accounting
procedures, projects of $125,000 or less may be let by contract by
informal procedures, and those worth more than $125,00 require formal
bids, as specified. If all of the informal bids received are in
excess of $125,000, the governing board of the public agency may
adopt a resolution, by a 4/5 vote, to award the contract at $137,500
or less to the lowest responsible bidder.  
   This bill would increase the above limits from $125,000 to
$175,000, and from $137,500 to $187,500, respectively.  

   Existing law governing contracts for harbor districts requires
that contracts for all work exceeding $5,000 be awarded upon
competitive bidding, except that work consisting solely of new
construction shall be awarded by competitive bidding only if it
exceeds $10,000.  
   This bill would instead require that contracts for all work,
including work consisting solely of new construction, for harbor
districts be awarded by competitive bidding if the cost of the
contract exceeds $35,000.  
   Existing law governing contracts for port districts requires that
contracts for new construction work exceeding $10,000, or the
purchase of supplies exceeding $25,000, or projects involving
building maintenance and improvements exceeding $10,000, be let by
the board of the port district by competitive bidding, in accordance
with specified procedures.  
   This bill would instead require that all of those types of
contracts for port districts be let by the board by competitive
bidding if the cost of the contract exceeds $35,000. 
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

   SECTION 1.    Section 22032 of the   Public
Contract Code   is amended to read: 
   22032.  (a) Public projects of thirty thousand dollars ($30,000)
or less may be performed by the employees of a public agency by force
account, by negotiated contract, or by purchase order.
   (b) Public projects of one hundred  twenty-five thousand
dollars ($125,000)   seventy-five thousand dollars
($175,000)  or less may be let to contract by informal
procedures as set forth in this article.
   (c) Public projects of more than one hundred  twenty-five
thousand dollars ($125,000   seventy-five thousand
dollars ($175,000  ) shall, except as otherwise provided in this
article, be let to contract by formal bidding procedure.
   SEC. 2.    Section 22034 of the   Public
Contract Code   is amended to read: 
   22034.  Each public agency that elects to become subject to the
uniform construction accounting procedures set forth in Article 2
(commencing with Section 22010) shall enact an informal bidding
ordinance to govern the selection of contractors to perform public
projects pursuant to subdivision (b) of Section 22032. The ordinance
shall include all of the following:
   (a) The public agency shall maintain a list of qualified
contractors, identified according to categories of work. Minimum
criteria for development and maintenance of the contractors list
shall be determined by the commission.
   (b) All contractors on the list for the category of work being bid
or all construction trade journals specified in Section 22036, or
both all contractors on the list for the category of work being bid
and all construction trade journals specified in Section 22036, shall
be mailed a notice inviting informal bids unless the product or
service is proprietary.
   (c) All mailing of notices to contractors and construction trade
journals pursuant to subdivision (b) shall be completed not less than
10 calendar days before bids are due.
   (d) The notice inviting informal bids shall describe the project
in general terms and how to obtain more detailed information about
the project, and state the time and place for the submission of bids.

   (e) The governing body of the public agency may delegate the
authority to award informal contracts to the public works director,
general manager, purchasing agent, or other appropriate person.
   (f) If all bids received are in excess of one hundred 
twenty-five thousand dollars ($125,000)   seventy-five
thousand dollars ($175,000)  , the governing body of the public
agency may, by adoption of a resolution by a four-fifths vote, award
the contract, at one hundred  thirty-seven thousand five
hundred dollars ($137,500)   eighty-seven thousand five
hundred dollars ($187,500)  or less, to the lowest responsible
bidder, if it determines the cost estimate of the public agency was
reasonable. 
  SECTION 1.    Section 20723 of the Public Contract
Code is amended to read:
   20723.  All work authorized to be done under this article,
exceeding in cost the sum of thirty-five thousand dollars ($35,000)
shall be awarded upon competitive bidding. Notice of the proposed
letting of such a contract shall be given by advertisement for a
period of two weeks or published pursuant to Section 6066 of the
Government Code, in a newspaper of general circulation, published,
printed, and circulated, in the district. The board may authorize
additional publication in other newspapers of general circulation in
the district when it deems that such publication would best serve the
public interest. The contract shall be awarded to the lowest
responsible bidder.
   The board may, without advertising for bids, negotiate with the
government of the United States for the purpose of assisting the
board in the performance of any of the work authorized by this
article, and the board may contribute to the United States all or any
portion of the estimated cost of any work authorized by this part
which is to be done by or under contract with the United States.
 
  SEC. 2.    Section 20751 of the Public Contract
Code is amended to read:
   20751.  Contracts for the doing of new construction work, the
purchasing of materials or supplies, or projects involving
maintenance of buildings and improvements, the cost of which exceeds
thirty-five thousand dollars ($35,000), shall be let by the board
upon competitive bidding.
   Notice of the proposed letting of contract shall be given by
publication pursuant to Section 6061 of the Government Code in the
county in which the district is located, at least five days before
the time fixed for opening bids. Bidding shall be by sealed proposals
filed with the district, upon forms furnished by it, and under such
rules and regulations as the board may prescribe. All bids shall be
publicly opened and declared under procedures established by the
board, and the award of the contract shall be made in open session of
the board to the lowest and best responsible bidder.