BILL NUMBER: AB 2126	ENROLLED
	BILL TEXT

	PASSED THE SENATE  AUGUST 18, 2016
	PASSED THE ASSEMBLY  MAY 9, 2016

INTRODUCED BY   Assembly Member Mullin

                        FEBRUARY 17, 2016

   An act to amend Section 6701 of the Public Contract Code, relating
to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2126, Mullin. Public contracts: Construction Manager/General
Contractor contracts.
   Existing law authorizes the Department of Transportation to use
the Construction Manager/General Contractor method on no more than 6
projects, and requires 4 out of the 6 projects to use department
employees or consultants under contract with the department to
perform all project design and engineering services, as specified.
Existing law requires specified information provided to the
department pursuant to these provisions to be verified under oath.
   This bill would authorize the department to use this method on 12
projects and would require 8 out of the 12 projects to use department
employees or consultants under contract with the department to
perform all project design and engineering services. By expanding
this authorization, the bill would expand the scope of the crime of
perjury, thus imposing 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 PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 6701 of the Public Contract Code is amended to
read:
   6701.  (a) The Construction Manager/General Contractor method
provided by this chapter may be used by the department, but is not
limited to, when it is anticipated that it will reduce project costs
or expedite project completion in a manner that is not achievable
through the design-bid-build method. Notwithstanding any other law,
for projects utilizing the Construction Manager/General Contractor
method provided by this chapter, the department shall advertise,
award, and administer the Construction Manager/General Contractor
contract. The department shall not delegate the contracting
authority.
   (b) The department may use the Construction Manager/General
Contractor method on no more than 12 projects, at least 10 of which
shall have construction costs greater than ten million dollars
($10,000,000).
   (c) On at least eight of the projects utilizing the Construction
Manager/General Contractor method provided by this chapter, the
department shall use department employees or consultants under
contract with the department to perform all project design and
engineering services related to design required for Construction
Manager/General Contractor project delivery consistent with Article
XXII of the California Constitution. On all 12 projects, the
department shall use department employees or consultants under
contract with the department to perform all construction inspection
services required for Construction Manager/General Contractor project
delivery consistent with Article XXII of the California
Constitution. Department resources, including personnel requirements,
necessary to perform all services described in this subdivision
shall be included in the department's capital outlay support program
for workload purposes in the annual Budget Act.
   (d) (1) The department shall prepare and submit to the
Legislature, no later than July 1 of each year during which any
project using the Construction Manager/General Contractor method is
ongoing, a report that describes each project and provides relevant
data, including, but not limited to, the stage of completion,
district, cost, description, status, and estimated time to
completion.
   (2) The department shall prepare and submit to the Legislature, no
later than July 1 of the year after any project using the
Construction Manager/General Contractor method has been completed, a
report that includes, in addition to the data in paragraph (1), all
of the following:
   (A) Data on initial cost estimates, actual cost upon completion,
and the reasons for any difference.
   (B) Estimated time for completion, actual time of completion, and
the reasons for any difference.
   (C) The number and dollar value of any change orders for all
projects completed using the Construction Manager/General Contractor
method.
   (e) (1) A report to be submitted pursuant to subdivision (d) shall
be submitted in compliance with Section 9795 of the Government Code.

   (2) Notwithstanding Section 10231.5 of the Government Code, the
requirement for submitting a report imposed under subdivision (d) is
inoperative on July 1 of the year following the submission of the
final report upon completion of the fourth project of the department
that uses the Construction Manager/General Contractor method.
  SEC. 2.  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.