AB 2030, as introduced, Mullin. Transportation districts: contracts.
(1) Existing law requires contracts of the San Francisco Bay Area Transit District for the purchase of supplies, equipment, and materials to be let to the lowest responsible bidder or to the bidder who submits a proposal that provides best value, as defined, if the amount of the contract exceeds $100,000 and requires the district to obtain a minimum of 3 quotations for those contracts between $2,500 and $100,000. Existing law requires the district, if the contract is for the construction of facilities and works, to let the contract to the lowest responsible bidder if the amount of the contract exceeds $10,000 and to obtain a minimum of 3 quotations for those contracts between $2,500 and $10,000.
This bill would instead impose those bidding requirements with respect to district contracts for the purchase of supplies, equipment, and materials if the amount of the contracts exceeds $150,000 and would require a minimum of 3 quotations for those contracts between $5,000 and $150,000. The bill would also impose those bidding requirements with respect to district contracts for the construction of facilities or equipment if the amount of the contract exceeds $100,000 and would require a minimum of 3 quotations for those contracts between $5,000 and $100,000.
(2) Existing law requires contracts of the San Mateo County Transit District for the purchase of supplies, equipment, and materials to be let to the lowest responsible bidder or to the bidder who submits a proposal that provides best value, as defined, if the amount of the contract exceeds $100,000 and requires the district, to the extent practicable, to obtain a minimum of 3 quotations for those contracts between $2,500 and $100,000.
This bill would instead impose those bidding requirements if the amount of the contracts exceeds $150,000 and would require a minimum of 3 quotations for contracts between $5,000 and $150,000. The bill would require that $5,000 threshold to be adjusted to reflect changes in the Consumer Price Index.
Existing law requires the district, if the contract is for the construction of transit works or transit facilities, to let the contract to the lowest responsible bidder, except as provided, if the amount of the contract exceeds $10,000.
The bill would instead impose that bidding requirement if the amount of the contract exceeds $100,000 and would require that $100,000 threshold to be adjusted to reflect changes in the Consumer Price Index.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 20221 of the Public Contract Code is
2amended to read:
(a) The purchase of all supplies, equipment, and
4materials when the expenditure required exceeds one hundredbegin insert fiftyend insert
5 thousand dollarsbegin delete ($100,000)end deletebegin insert ($150,000)end insert shall be by contract let to
6the lowest responsible bidder or, in the district’s discretion, to the
7responsible bidder who submitted a proposal that provides the best
8value to the district on the basis of the factors identified in the
9solicitation. “Best value” means the overall combination of quality,
10price, and other elements of a proposal
that, when considered
11together, provide the greatest overall benefit in response to
12requirements described in the solicitation documents. The
13construction of facilities and works when the expenditure required
14exceedsbegin delete tenend deletebegin insert one hundredend insert thousand dollarsbegin delete ($10,000)end deletebegin insert ($100,000)end insert
P3 1 shall be by contract let to the lowest responsible bidder. Notice
2requesting bids shall be published at least once in a newspaper of
3general circulation. This publication shall be made at least 10 days
4before the bids are received. The board may reject any and all bids
5and readvertise in its discretion.
6(b) Whenever the expected procurement required exceedsbegin delete two begin insert
five thousandend insert dollars
7thousand five hundredend deletebegin delete ($2,500)end deletebegin insert ($5,000)end insert and,
8in the case of the construction of facilities and works, does not
9exceedbegin delete tenend deletebegin insert one hundredend insert thousand dollarsbegin delete ($10,000)end deletebegin insert ($100,000)end insert or,
10in the case of the purchase of supplies, equipment, or materials,
11does not exceed one hundredbegin insert fiftyend insert thousand dollarsbegin delete ($100,000),end delete
12begin insert
($150,000),end insert the district shall obtain a minimum of three quotations,
13either written or oral, that permit prices and terms to be compared.
14(c) Where the expenditure required by the bid price is less than
15one hundred thousand dollars ($100,000), the general manager
16may act for the board. When acting pursuant to this subdivision,
17the general manager shall, in each instance, promptly notify the
18board of the action taken.
Section 20331 of the Public Contract Code is amended
20to read:
begin insert(a)end insertbegin insert end insert Contracts for the construction of transit works or
22transit facilities in excess ofbegin delete tenend deletebegin insert one hundredend insert thousand dollars
23begin delete ($10,000)end deletebegin insert ($100,000)end insert shall be awarded to the lowest responsible
24bidder after
competitive bidding, except in emergency declared
25by the vote of seven members of the board. In the case of an
26emergency, if notice for bids to let contracts will not be given, the
27board shall comply with Chapter 2.5 (commencing with Section
2822050).
29(b) The amount specified in subdivision (a) shall be adjusted
30on January 1, 2018, to reflect the percentage change since January
311, 2016, in the California Consumer Price Index, and shall be
32adjusted each January 1 thereafter to reflect the annual percentage
33change in the California Consumer Price Index.
Section 103222 of the Public Utilities Code is amended
35to read:
(a) The purchase of all supplies, equipment, and
37materials, when the expenditure required exceeds one hundred
38begin insert fiftyend insert thousand dollarsbegin delete ($100,000),end deletebegin insert ($150,000),end insert shallbegin delete be, by contract,end delete
39begin insert be by contractend insert let to the lowest responsible bidder, or, in the
40district’s discretion, to the responsible bidder who submitted a
P4 1proposal that provides the best value
to the district on the basis of
2the factors identified in the solicitation. “Best value” means the
3overall combination of quality, price, and other elements of a
4proposal that, when considered together, provide the greatest
5overall benefit in response to the requirements described in the
6solicitation documents.
7(b) To the extent practicable, the district shall obtain a minimum
8of three quotations, either written or oral, that permit prices and
9terms to be compared whenever the expected expenditure required
10for the purchase of supplies, equipment, or materials exceedsbegin delete two begin insert five thousandend insert dollars
11thousand five hundredend deletebegin delete ($2,500),end deletebegin insert
($5,000),end insert
12 but does not exceed one hundredbegin insert fiftyend insert
thousand dollarsbegin delete ($100,000).end delete
13begin insert
($150,000).end insert
14(c) Notice requesting bids required by the section shall be
15published at least once in a newspaper of general circulation and
16on the district’s procurement Internet Web site, which publication
17shall be made at least 10 days before the bids are received. The
18board may reject any and all bids and readvertise at its discretion.
19(d) This section applies solely to the procurement of supplies,
20equipment, and materials, and shall not apply to construction
21contracts.
22(e) The five-thousand-dollar ($5,000) amount specified in
23subdivision (a) shall be adjusted on January 1, 2018, to reflect the
24percentage change since January 1, 2016, in the California
25Consumer Price Index, and shall be adjusted
each January 1
26thereafter to reflect the annual percentage change in the California
27Consumer Price Index.
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