BILL NUMBER: AB 2030	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Mullin
   (Coauthor: Assembly Member Bonilla)

                        FEBRUARY 16, 2016

   An act to amend Sections 20221 and 20331 of the Public Contract
Code, and to amend Section 103222 of the Public Utilities Code,
relating to transportation.


	LEGISLATIVE COUNSEL'S DIGEST


   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 1.  Section 20221 of the Public Contract Code is amended to
read:
   20221.  (a) The purchase of all supplies, equipment, and materials
when the expenditure required exceeds one hundred  fifty 
thousand dollars  ($100,000)  ($150,000) 
shall be by contract let to the lowest responsible bidder or, in the
district's discretion, to the responsible bidder who submitted a
proposal that provides the best value to the district on the basis of
the factors identified in the solicitation. "Best value" means the
overall combination of quality, price, and other elements of a
proposal that, when considered together, provide the greatest overall
benefit in response to requirements described in the solicitation
documents. The construction of facilities and works when the
expenditure required exceeds  ten   one hundred
 thousand dollars  ($10,000)   ($100,000)
 shall be by contract let to the lowest responsible bidder.
Notice requesting bids shall be published at least once in a
newspaper of general circulation. This publication shall be made at
least 10 days before the bids are received. The board may reject any
and all bids and readvertise in its discretion.
   (b) Whenever the expected procurement required exceeds 
two thousand five hundred   five thousand  dollars
 ($2,500)   ($5,000)  and, in the case of
the construction of facilities and works, does not exceed 
ten   one hundred  thousand dollars 
($10,000)   ($100,000)  or, in the case of the
purchase of supplies, equipment, or materials, does not exceed one
hundred  fifty  thousand dollars  ($100,000),
  ($150,000),  the district shall obtain a minimum
of three quotations, either written or oral, that permit prices and
terms to be compared.
   (c) Where the expenditure required by the bid price is less than
one hundred thousand dollars ($100,000), the general manager may act
for the board. When acting pursuant to this subdivision, the general
manager shall, in each instance, promptly notify the board of the
action taken.
  SEC. 2.  Section 20331 of the Public Contract Code is amended to
read:
   20331.   (a)    Contracts for the construction
of transit works or transit facilities in excess of  ten
  one hundred  thousand dollars  ($10,000)
  ($100,000)  shall be awarded to the lowest
responsible bidder after competitive bidding, except in emergency
declared by the vote of seven members of the board. In the case of an
emergency, if notice for bids to let contracts will not be given,
the board shall comply with Chapter 2.5 (commencing with Section
22050). 
   (b) The amount specified in subdivision (a) shall be adjusted on
January 1, 2018, to reflect the percentage change since January 1,
2016, in the California Consumer Price Index, and shall be adjusted
each January 1 thereafter to reflect the annual percentage change in
the California Consumer Price Index. 
  SEC. 3.  Section 103222 of the Public Utilities Code is amended to
read:
   103222.  (a) The purchase of all supplies, equipment, and
materials, when the expenditure required exceeds one hundred 
fifty  thousand dollars  ($100,000),  
($150,000),  shall  be, by contract,   be
by contract  let to the lowest responsible bidder, or, in the
district's discretion, to the responsible bidder who submitted a
proposal that provides the best value to the district on the basis of
the factors identified in the solicitation. "Best value" means the
overall combination of quality, price, and other elements of a
proposal that, when considered together, provide the greatest overall
benefit in response to the requirements described in the
solicitation documents.
   (b) To the extent practicable, the district shall obtain a minimum
of three quotations, either written or oral, that permit prices and
terms to be compared whenever the expected expenditure required for
the purchase of supplies, equipment, or materials exceeds 
two thousand five hundred   five thousand  dollars
 ($2,500),   ($5,000),  but does not exceed
one hundred  fifty  thousand dollars  ($100,000).
  ($150,000). 
   (c) Notice requesting bids required by the section shall be
published at least once in a newspaper of general circulation and on
the district's procurement Internet Web site, which publication shall
be made at least 10 days before the bids are received. The board may
reject any and all bids and readvertise at its discretion.
   (d) This section applies solely to the procurement of supplies,
equipment, and materials, and shall not apply to construction
contracts. 
   (e) The five-thousand-dollar ($5,000) amount specified in
subdivision (a) shall be adjusted on January 1, 2018, to reflect the
percentage change since January 1, 2016, in the California Consumer
Price Index, and shall be adjusted each January 1 thereafter to
reflect the annual percentage change in the California Consumer Price
Index.