Amended in Senate August 31, 2015

Amended in Senate June 29, 2015

Amended in Assembly April 8, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 429


Introduced by Assembly Member Dahle

(Principal coauthor: Assembly Member Wood)

February 19, 2015


An act to add Section 12405 to the Public Contract Code, relating to public contracts.

LEGISLATIVE COUNSEL’S DIGEST

AB 429, as amended, Dahle. Public contracts: preferences: forest products.

Existing law generally requires state agencies to comply with competitive bidding procedures in soliciting and evaluating bids for public works projects. Existing law authorizes bidding preferences for certain categories of businessbegin delete owners, including businesses owned by disabled veterans.end deletebegin insert owners.end insert

Existing law also requires the Department of General Services, in consultation with the California Environmental Protection Agency, members of the public, industry, and public health and environmental organizations, to provide state agencies with information and assistance regarding environmentally preferable purchasing.

The Z’berg-Nejedly Forest Practice Act of 1973 prohibits a person from conducting timber operations on timberland unless a timber harvesting plan has been prepared by a registered professional forester and has been submitted to the Department of Forestry and Fire Protection and approved by the Director of Forestry and Fire Protection or the State Board of Forestry and Fire Protection.

The California Global Warming Solutions Act of 2006 designates the State Air Resources Board as the state agency charged with monitoring and regulating sources of emissions of greenhouse gases and requires the board to adopt a statewide greenhouse gas emissions limit equivalent to the statewide greenhouse gas emissions level in 1990 to be achieved by 2020. Under existing law, the board is required to consult with other states, the federal government, and other nations to identify the most effective strategies and methods to, among other things, reduce greenhouse gases and imposes limitations on any link, as defined, between the state and another state, province, or country for purposes of a market-based compliance mechanism, as specified.

This bill would require a state agency, as specified, that contracts for, or acquires, lumber or other solid wood products, excluding paper and other types of secondary manufactured goods, to give preference, to the extent consistent with federal law, if price, fitness, and quality are equal, based upon verifiable, self-certification frombegin delete suppliers,end deletebegin insert the supplier,end insert to lumber and other solid wood products that are harvestedbegin delete pursuant toend deletebegin insert in compliance withend insert the Z’berg-Nejedly Forest Practice Act ofbegin delete 1973 or verified under a Compliance Offset Protocol for U.S. Forest Projects adopted by the State Air Resources Board or any other offset protocol linked by the board, as specified, to implement the California Global Warming Solutions Act of 2006.end deletebegin insert 1973, rules governing federal timber sales, or a forest certification program identified by the Director of the Department of Forestry and Fire Protection, as prescribed. The bill would authorize the Director of the Department of Forestry and Fire Protection to identify, after consideration at a public hearing, a forest certification program or programs that may be used for the purpose of purchasing preferences for lumber and solid wood products. The bill would require the Director of the Department of Forestry and Fire Protection to notify the Department of General Services of this identification in writing.end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

The Legislature finds and declares all of the
2following:

P3    1(a) It is a priority in California to protect the wildlife, rivers,
2streams, and soil that make up the state’s rich forest ecosystems
3covering 40 percent of the state’s entire land area.

4(b) Forested lands in California do all of the following:

5(1) Provide significant environmental benefits, including serving
6as the source of more than half the state’s supply of drinking water
7and habitat for numerous wildlife and plant species, some of which
8are rare, threatened, or endangered.

9(2) Serve as the source of extensive recreational opportunities
10for millions of Californians.

11(3) Provide a signature landscape that identifies California to
12people worldwide.

13(4) Reduce the amount of carbon dioxide in the atmosphere,
14replacing it with clean, fresh air. According to the California
15Environmental Protection Agency, forestry is the only sector in
16California that reduces atmospheric carbon. Sequestered carbon
17is stored in the forest in trees, soil, wood debris on the forest floor,
18and in long-lasting products made from harvested wood.

19(c) Forested lands in California also provide the source of raw
20materials for the timber products industry, and a source of jobs for
21those who are employed in that industry. Forested lands in
22California are an essential economic resource in rural communities
23across the state.

24(d) The economic pressures faced by the timberbegin delete industry, caused
25in part by globalization and imported timber products,end delete
begin insert industryend insert
26 have resulted in financial losses to the California timber industry
27and private landowners.

28(e) It is appropriate for the State of California to officially
29support the continued economic vitality of the California timber
30productsbegin delete industry by directing its agencies to purchase timber
31products harvested from California, when appropriate.end delete
begin insert industry.end insert

begin delete

32(f) A purchasing preference will contribute to stabilizing the
33California timber industry.

34(g)

end delete

35begin insert(f)end insert Laws and regulations governing forestry in California
36represent the commitment of the state to strive for the highest
37environmental standards for industrial forestry anywhere in the
38world. The state may express its preference for timber products
39reflecting that commitment.

begin delete

40(h)

end delete

P4    1begin insert(g)end insert Currently, approximately 70 percent of California’s timber
2products must be imported to meet the demand of the state’s
3population of 38 million people. California’s population is
4projected to increase to 49 million people by 2025, further
5intensifying our consumption of, and demand for, timber products
6from other states and abroad.

begin delete

7(i)

end delete

8begin insert(h)end insert The import and export of goods, including timber products,
9are and will remain part of the state’s economy. The import and
10export of all goods have contributed to the diverse economic base
11of California.

begin delete

12(j)

end delete

13begin insert(i)end insert When price, quality, and fitness are equal and when the
14marketplace provides timber products that are acceptable for use
15by state agencies, the State of California has a responsibility to
16purchasebegin delete California grownend deletebegin insert sustainableend insert forest products.

17

SEC. 2.  

Section 12405 is added to the Public Contract Code,
18to read:

19

12405.  

(a) Consistent with all applicable provisions of this
20code, and to the extent consistent with federalbegin delete law,end deletebegin insert law as
21determined by the courts,end insert
when price, fitness, and quality are equal,
22a state agency that contracts for, or acquires, lumber or other solid
23wood products, excluding paper and other types of secondary
24manufactured goods, shall, if price, fitness, and quality are equal,
25based upon verifiable, self-certification frombegin delete suppliers,end deletebegin insert the supplier
26to the project that is selling directly to state agencies,end insert
give
27preference to lumber and other solid wood products that are
28harvested in compliance withbegin delete the Z’berg-Nejedly Forest Practice
29Act of 1973 (Chapter 8 (commencing with Section 4511) of Part
302 of Division 4 of the Public Resources Code) or verified under a
31Compliance Offset Protocol for U.S. Forest Projects adopted by
32the State Air Resources Board or any other offset protocol linked
33by the State Air Resources Board, pursuant to Section 12894 of
34the Government Code, to implement the California Global
35Warming Solutions Act of 2006 (Division 25.5 (commencing with
36Section 38500) of the Health and Safety Code).end delete
begin insert one of the
37following:end insert

begin insert

38(1) Z’berg-Nejedly Forest Practice Act of 1973 (Chapter 8
39(commencing with Section 4511) of Part 2 of Division 4 of the
40Public Resources Code).

end insert
begin insert

P5    1(2) Rules governing federal timber sales.

end insert
begin insert

2(3) A forest certification program that has been identified by
3the Director of the Department of Forestry and Fire Protection,
4pursuant to subdivision (b).

end insert
begin insert

5(b) The Director of the Department of Forestry and Fire
6Protection, after consideration at a public hearing, may identify
7a forest certification program or programs that may be used for
8the purpose of purchasing preferences for lumber and solid wood
9products. The Director of the Department of Forestry and Fire
10Protection shall notify the Department of General Services of this
11identification in writing.

end insert
begin delete

12(b)

end delete

13begin insert(c)end insert Subdivision (a) applies only to a state agency that directly
14contracts for specified lumber and other wood products pursuant
15to Article 3 (commencing with Section 10300) of Chapter 2 of
16Part 2 of Division 2 of this code.

begin insert

17(d) Subdivision (a) shall be applied in a manner consistent with
18the state’s obligations under any applicable international
19agreement.

end insert


O

    96