BILL NUMBER: AB 1200 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 19, 2015
AMENDED IN ASSEMBLY APRIL 7, 2015
INTRODUCED BY Assembly Member Gordon
FEBRUARY 27, 2015
An act to amend Section 82002 of , and to add Section 86205.5
to, the Government Code, relating to the Political Reform Act
of 1974.
LEGISLATIVE COUNSEL'S DIGEST
AB 1200, as amended, Gordon. Political Reform Act of 1974:
lobbying: procurement contracts.
Existing provisions of the Political Reform Act of 1974 regulate
the activities of lobbyists, lobbying firms, and lobbyist employers,
as defined, in connection with attempts to influence legislative and
administrative action by legislative and other state officials,
including requirements that lobbyists, lobbying firms, and lobbyist
employers register and file periodic reports with the Secretary of
State. The act also prohibits a lobbyist or lobbying firm from
engaging in certain activities, including, among others, accepting
any payment that is contingent upon the defeat, enactment,
or outcome of any proposed legislative or administrative action.
For purposes of these provisions, "administrative action" is
defined to include the proposal, drafting, development,
consideration, amendment, enactment, or defeat by any state agency of
any rule, regulation, or other action in any ratemaking proceeding
or any quasi-legislative proceeding.
This bill would additionally define the term "administrative
action" to include governmental procurement, which would be defined
to include various actions regarding procurement contracts,
a state procurement contract for which the total
estimated cost exceeds $250,000, thereby making the
above-described lobbying requirements applicable to actions that
attempt to influence governmental procurement. The bill would
also exclude certain actions from the definition of
"government procurement," including submitting a bid,
testifying at a public hearing relating to a procurement contract, or
any activity undertaken by bona fide salesperson, as defined.
This bill would also authorize a lobbyist to be compensated on a
commission basis for lobbying activities related to influencing
administrative action relating to governmental procurement, as
specified.
Because a willful violation of the act's provisions is punishable
as a misdemeanor, this 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.
The Political Reform Act of 1974, an initiative measure, provides
that the Legislature may amend the act to further the act's purposes
upon a 2/3 vote of each house and compliance with specified
procedural requirements.
This bill would declare that it furthers the purposes of the act.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 82002 of the Government Code is amended to
read:
82002. (a) "Administrative action" means any of the following:
(1) The proposal, drafting, development, consideration, amendment,
enactment, or defeat by any state agency of any rule, regulation, or
other action in any ratemaking proceeding or any quasi-legislative
proceeding, which shall include any proceeding governed by Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2.
(2) With regard only to placement agents, the decision by any
state agency to enter into a contract to invest state public
retirement system assets on behalf of a state public retirement
system.
(3) Governmental procurement.
(b) "Ratemaking proceeding" means, for purposes of a proceeding
before the Public Utilities Commission, any proceeding in which it is
reasonably foreseeable that a rate will be established, including,
but not limited to, general rate cases, performance-based ratemaking,
and other ratesetting mechanisms.
(c) "Quasi-legislative proceeding" means, for purposes of a
proceeding before the Public Utilities Commission, any proceeding
that involves consideration of the establishment of a policy that
will apply generally to a group or class of persons, including, but
not limited to, rulemakings and investigations that may establish
rules affecting an entire industry.
(d) (1) "Governmental procurement" means any
of the following with respect to a state procurement contract
for which the total estimated cost exceeds two hundred fifty thousand
dollars ($250,000) :
(1)
(A) Preparing the terms, specifications, bid documents,
request for proposals, or evaluation criteria for a
the procurement contract.
(2)
(B) Soliciting for a the
procurement contract.
(3)
(C) Evaluating a the
procurement contract.
(4)
(D) Awarding, approving, denying, or disapproving
a the procurement contract.
(5)
(E) Approving or denying an assignment, amendment,
other than an amendment authorized and payable under the terms of
a the procurement contract as the
procurement contract was finally awarded or approved, renewal, or
extension of a the procurement
contract, or any other material change in a
the procurement contract resulting in financial benefit to the
offeror.
(2) "Governmental procurement" does not include any of the
following with respect to a state procurement contract for which the
total estimated cost exceeds two hundred fifty thousand dollars
($250,000):
(A) Submitting a bid on the state procurement contract.
(B) Testifying at a public hearing regarding the state procurement
contract.
(C) Any activity, including those described in paragraph (1),
undertaken by a bona fide salesperson of an article of procurement.
For purposes of this subparagraph, a "bona fide salesperson" is an
individual who satisfies each of the following:
(i) The primary purpose of the individual's employment is to cause
or promote the sale of, or to influence or induce another to make a
purchase of, an article of procurement.
(ii) The primary purpose of the individual's employment is not to
influence the actions of a public officer or state agency in regards
to selecting vendors to supply articles of procurement under a state
procurement contract.
(iii) The individual does not engage in any other activity that
would qualify him or her as a lobbyist.
SEC. 2 . Section 86205.5 is added to
the Government Code , to read:
86205.5. Notwithstanding Section 86205, a lobbyist may be
compensated on a commission basis only with respect to lobbying
activities related to influencing administrative action for
governmental procurement, as defined in subdivision (d) of Section
82002.
SEC. 2. SEC. 3. 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.
SEC. 3. SEC. 4. The Legislature
finds and declares that this bill furthers the purposes of the
Political Reform Act of 1974 within the meaning of subdivision (a) of
Section 81012 of the Government Code.