BILL NUMBER: AB 1575	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Pan

                        JANUARY 30, 2014

   An act to add Section 10377 to the Public Contract Code, relating
to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1575, as introduced, Pan. Public contracts for services:
reports: termination of service contracts.
   Existing law sets forth requirements for the acquisition of goods
and services by state agencies and sets forth the various
responsibilities of the Department of General Services and other
state agencies in overseeing and implementing state contracting
procedures and policies.
   This bill would require contracts for personal services to include
specific performance criteria and cost parameters, require reports
by the contractor, and provide for cancellation by the contracting
agency if the contractor fails to comply with contract requirements
or the law.
   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 10377 is added to the Public Contract Code, to
read:
   10377.  Any service contract shall incorporate specific
performance criteria and cost parameters, and the contractor shall
submit quarterly reports to the state agency's contracting official
on the contractor's compliance with the performance criteria and
actual costs incurred. The service contract may be cancelled if the
contractor fails to comply with the performance criteria and other
requirements set out in the contract and if annual costs exceed those
established by the contract. The contract may be cancelled at any
time if the contractor fails to comply with all applicable local,
state, and federal laws, regulations, and statutes.