BILL ANALYSIS Ó AB 522 Page 1 GOVERNOR'S VETO AB 522 (Burke) As Enrolled September 14, 2015 2/3 vote -------------------------------------------------------------------- |ASSEMBLY: |78-0 |(June 2, 2015) |SENATE: |28-10 |(September 9, | | | | | | |2015) | | | | | | | | | | | | | | | -------------------------------------------------------------------- -------------------------------------------------------------------- |ASSEMBLY: |80-0 |(September 10, | | | | | | |2015) | | | | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: A. & A.R. SUMMARY: Requires the Director of the Department of Technology (CalTech) to develop a standardized contractor performance assessment report system to evaluate the performance of a contractor on any information technology (IT) contract or project reportable to CalTech. AB 522 Page 2 The Senate amendments: 1)Require multiple evaluations of a contractor before the final evaluation. 2)Specify that the contractor will have at least 30 days to respond to the final evaluation. 3)Clarify that the standardized contractor performance assessment report system will be used to evaluate only IT contracts or projects that are reportable to CalTech. EXISTING LAW provides that CalTech is responsible for the approval and oversight of specified types of IT projects. FISCAL EFFECT: According to the Senate Appropriations Committee: 1)CalTech estimates annual costs of approximately $350,000 to develop a performance assessment system, and to maintain the information received from evaluations of contractors and vendors. (General Fund) 2)Unknown ongoing costs to state departments or agencies acquiring IT projects to perform contractor evaluations. These costs are likely to be built into overall contract costs. (General Fund or special funds, as applicable) COMMENTS: The prior version of this bill did not specify that a contractor would have an opportunity to respond to the evaluation. AB 522 Page 3 GOVERNOR'S VETO MESSAGE: This bill requires the Director of Technology to develop a standardized performance assessment system for information technology contracts. While holding technology contractors accountable for their performance is important, this bill is not necessary because it duplicates what the Department of Technology is already doing. Analysis Prepared by:Scott Herbstman / A. & A.R. / (916) 319-3600 FN: 0002465