BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON APPROPRIATIONS
                             Senator Ricardo Lara, Chair
                            2015 - 2016  Regular  Session

          AB 219 (Daly) - Public works: concrete delivery.
          
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          |Version: June 1, 2015           |Policy Vote: L. & I.R. 4 - 1    |
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          |Urgency: No                     |Mandate: Yes                    |
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          |Hearing Date: August 27, 2015   |Consultant: Robert Ingenito     |
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          *********** ANALYSIS ADDENDUM - SUSPENSE FILE ***********
             The following information is revised to reflect amendments 
                     adopted by the committee on August 27, 2015


          Bill  
          Summary: AB 219 would expand the definition of public works to  
          include the hauling and delivery of ready-mixed concrete to  
          carry out a public works contract.


          Fiscal  
            Impact: 
           The California Department of Transportation (CalTrans)  
            estimates that this bill would result in increased costs of  
            $21 million to $42 million (special funds), which include  
            impacts to materials costs, compliance and administration. 

           The Department of Industrial Relations (DIR) would incur  
            first-year costs of $127,000 and $119,000 in the out-years  
            (special funds) monitor and enforce the bill's prevailing wage  
            requirements for non-CalTrans projects. To the extent that DIR  
            issues additional fines, special funds revenues would  







          AB 219 (Daly)                                          Page 1 of  
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            increase. The magnitude is unknown.  

           While the bill would impact CalTrans disproportionately at the  
            state level, it could also potentially result in increased  
            administrative, materials and compliance costs to other  
            departments that use ready-mix concrete, including the High  
            Speed Rail Authority, the Department of Water Resources, the  
            Department of Corrections and Rehabilitation, the Department  
            of General Services, and the three segments of higher  
            education (the University of California, California State  
            University, and the California Community Colleges). The  
            magnitudes are unknown.


          Author  
          Amendments: Specify (1) that entities hauling ready-mix concrete  
          shall be considered subcontractors, and (2) that the bill is  
          effective for contracts awarded after July 1, 2016.


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