California Legislature—2015–16 Regular Session

Assembly BillNo. 1445


Introduced by Assembly Member Brown

February 27, 2015


An act to amend Section 14838.5 of the Government Code, relating to public contracts.

LEGISLATIVE COUNSEL’S DIGEST

AB 1445, as introduced, Brown. Public contracts: small business contracts.

The Small Business Procurement and Contract Act permits a state agency to award a contract for goods, services, or information technology with a value of between $5,000 and $250,000 to a certified small business, including a microbusiness, or to a disabled veteran business enterprise, without complying with specified competitive bidding requirements.

This bill would increase the upper limit of the value of those contracts to $500,000.

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

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

P1    1

SECTION 1.  

Section 14838.5 of the Government Code is
2amended to read:

3

14838.5.  

(a) Notwithstanding the advertising, bidding, and
4protest provisions of Chapter 6 (commencing with Section 14825)
5of this part and Chapter 2 (commencing with Section 10290) and
6Chapter 3 (commencing with Section 12100) of Part 2 of Division
P2    12 of the Public Contract Code, a state agency may award a contract
2for the acquisition of goods, services, or information technology
3that has an estimated value of greater than five thousand dollars
4($5,000), but less thanbegin delete two hundred fiftyend deletebegin insert five hundredend insert thousand
5dollarsbegin delete ($250,000),end deletebegin insert ($500,000),end insert to a certified small business,
6including a microbusiness, or to a disabled veteran business
7enterprise, as long as the agency obtains price quotations from two
8or more certified small businesses, including microbusinesses, or
9from two or more disabled veterans business enterprises.

10(b) In carrying out subdivision (a), a state agency shall consider
11a responsive offer timely received from a responsible certified
12small business, including a microbusiness, or from a disabled
13veteran business enterprise.

14(c) If the estimated cost to the state is less than five thousand
15dollars ($5,000) for the acquisition of goods, services, or
16information technology, or a greater amount as administratively
17established by the director, a state agency shall obtain at least two
18price quotations from responsible suppliers whenever there is
19reason to believe a response from a single source is not a fair and
20reasonable price.



O

    99