BILL NUMBER: SB 975	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MARCH 17, 2014

INTRODUCED BY   Senator Lieu

                        FEBRUARY 11, 2014

   An act to add Section 10343 to the Public Contract Code, relating
to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 975, as amended, Lieu. Service contracts: legal compliance.
   The State Contract Act requires an applicable state department to
require a prospective bidder on a public works project to answer
questions inquiring whether, and if applicable explain the
circumstances, the prospective bidder has ever been disqualified,
removed, or otherwise prevented from bidding on, or completing a
federal, state, or local government project because of a violation of
law or a safety regulation. Existing law requires the questionnaire
to be completed under the penalty of perjury. Existing law authorizes
the department to reject the bid of a bidder who has been
disqualified, removed, or otherwise prevented from bidding on, or
completing a federal, state, or local project because of a violation
of law or a safety regulation.
   Existing law requires a competitive bidding process for certain
contracts, including amendments, entered into by any state agency for
services to be rendered to the state, whether or not the services
involve the furnishing or use of equipment, materials, or supplies,
or are performed by an independent contractor.
   This bill would require the Department of General Services or a
state agency, as defined, to require a bidder for a service contract
to pledge compliance, under the penalty of perjury, with all
applicable state taxes, and all laws and regulations relating to
health and safety, labor and employment, and licensing relevant to
the bidder's employees, worksite,  and  bid  ,
and contract  . The bill would prohibit the department or a
state agency from awarding a service contract to a bidder who does
not affirmatively pledge compliance, as specified. The bill would
also prohibit the department or a state agency from awarding a
contract to a bidder with an adjudicated record of repeated
noncompliance with applicable state taxes, laws, and regulations. By
expanding the  score   scope  of the crime
of perjury, the bill would impose a state-mandated local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


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

  SECTION 1.  Section 10343 is added to the Public Contract Code, to
read:
   10343.  (a) (1) A state agency or the department shall require
from a bidder the completion, under penalty of perjury, of a standard
form pledging compliance of the bidder with all applicable state
taxes, and all laws and regulations relating to health and safety,
labor and employment, and licensing relevant to the bidder's
employees, worksite,  and  bid  , and contract
 .
   (2) A state agency or the department shall not award a contract to
a bidder who does not affirmatively pledge, under penalty of
perjury, compliance pursuant to subdivision (a).
   (b) A state agency or the department shall not award a contract to
a bidder with an adjudicated record of repeated noncompliance with
applicable state taxes, or with laws and regulations relating to the
health and safety, labor and employment, and licensing relevant to
the bidder's employees, worksite, and bid.
  SEC. 2.  No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.