BILL NUMBER: SB 975	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 27, 2014
	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   19138.1 to the Government
Code, relating to personal services contracts  .


	LEGISLATIVE COUNSEL'S DIGEST


   SB 975, as amended, Lieu.  Service   Personal
services  contracts: legal compliance. 
   The California Constitution establishes that the civil service
includes every officer and employee of the state, except as otherwise
provided in the California Constitution, and requires civil service
appointment to be made under a general system based on merit
ascertained by competitive examination.  
   The State Civil Service Act establishes standards for the use of
personal services contracts by state agencies, consistent with those
provisions of the California Constitution relating to civil service,
and authorizes personal services contracts when prescribed conditions
are met. 
   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
  personal services  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, bid, and contract. The bill would prohibit the department
or a state agency from awarding a  service  
personal services  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 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.  
   SECTION 1.    Section 19138.1 is added to the 
 Government Code   , to read: 
    19138.1.   (a) (1) A state agency or the department
shall require from a bidder  for a personal services contract
 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, bid, and contract.
   (2) A state agency or the department shall not award a 
personal services  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 
personal services  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.