SB 953, as amended, Lara. Central Basin Municipal Water District.
Existing law, the Municipal Water District Law of 1911, authorizes the formation of a municipal water district to acquire and sell water. The district law authorizes a municipal water district to make contracts.
This bill would prohibit the Central Basin Municipal Water District from using sole source contracts, except as prescribed. This bill would require the district to rebid a contract if the district significantly changes the scope of work of the contract. This bill would require the general manager of the district to submit a quarterly report to the district’s board detailing all of the district’s contracts, contract amendments, and contract and amendment dollar amounts. By imposing new duties on a municipal water district, this bill would impose a state-mandated local program.
The district law
requires the board of directors of a municipal water district to consist of 5begin delete membersend deletebegin insert members,end insert and each member is required to be a resident of the division from which he or she is elected.
This bill would require the board of directors of the Central Basin Municipal Water District to consist of 7 members, 5 members elected and 2 members with certain qualifications appointed by the board of supervisors of the County of Los Angeles, as prescribed. This bill would prohibit the Central Basin Municipal Water District from providing any member of its board of directors with district funds to conduct community outreach activities.
This bill would make legislative findings and declarations as to the necessity of a special statute for the Central Basin Municipal Water District.
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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.
The people of the State of California do enact as follows:
Article 2 (commencing with Section 71730) is
2added to Chapter 5 of Part 5 of Division 20 of the Water Code, to
3read:
4
(a) For the purposes of this article, “district” means
8the Central Basin Municipal Water District.
9(b) It is the intent of the Legislature in enacting this article that
10the district make better use of the funds it spends on services, that
11it does not unnecessarily use amendments that limit competitive
12bidding for its contracts, and that its contract amendments reflect
13the authorization of the district’s board.
(a) The district shall not use sole source contracts unless
15one of the following conditions is met:
16(1) The contract is limited to an emergency circumstance.
17(2) The circumstances are that only one vendor can meet the
18district’s needs.
19(b) Before executing a sole source contract, the district shall
20provide written justification demonstrating the reasons for not
21competitively bidding the services. The justification shall include
22all of the following information:
P3 1(1) The background of the purchase.
2(2) A description of the vendor’s uniqueness.
3(3) An explanation of the consequences of not purchasing from
4the vendor.
5(4) Market research to substantiate a lack of competition.
6(5) An analysis of pricing and alternatives.
The district shall rebid a contract if the district
8significantly changes the scope of work of the contract. Significant
9changes include, but are not limited to, changes to the nature of
10the services or work products.
The general manager of the district shall submit a
12quarterly report to the district’s board detailing all of the district’s
13contracts, contract amendments, and contract and amendment
14dollar amounts.
Part 11.6 (commencing with Section 72770) is added
16to Division 20 of the Water Code, to read:
17
For the purposes of this part,begin delete “district”end deletebegin insert the following
22terms have the following meanings:end insert
23begin insert(a)end insertbegin insert end insertbegin insert“District”end insert means the Central Basin Municipal Water District.
begin insert
24
(b) “Water purveyor” means any person who furnishes water
25service to another person.
Notwithstanding any other provision of this division,
27the board of directors of the district shall consist of seven members
28who shall each serve four-year terms. The members of the board
29of directors shall be selected as follows:
30(a) Five members of the board of directors shall be elected in
31accordance with Part 3 (commencing with Section 71250) and Part
324 (commencing with Section 71450). Members of the board of
33directors of the district who were elected on or before January 1,
342018, shall continue to serve theirbegin delete termend deletebegin insert termsend insert
as provided in Section
3571252.
36(b) (1) Two members of the board of directors shall be
37appointed by the board of supervisors of the County of Los Angeles
38in a public meeting. The board of supervisors shall consider any
39nominations of candidates for appointment made by a waterbegin delete retailerend delete
40begin insert purveyorend insert that purchases water from the district, if any, and may
P4 1also consider other qualified candidates for appointment. Each
2member of the board of directors appointed pursuant to this
3subdivision shall possess the following qualifications:
4(A) Residence within the boundaries of the district.
5(B) Knowledge of the waterbegin delete industryend deletebegin insert
industry, with at least five
6years of water industry experience,end insert and familiarity with the role
7and responsibilities of a municipal water district.
8
(C) Current employment or representation of a water purveyor,
9including a water retailer, that purchases water from the district
10and that is a member of the Central Basin Municipal Water District
11purveyor advisory group.
12(2) If a member of the board of directors appointed pursuant to
13this subdivision is unable to serve for the duration of his or her
14term, the board of supervisors shall appoint a member to fill that
15vacancy in the same manner specified in paragraph (1).
The district shall not provide any member of its board
17of directors with district funds to conduct community outreach
18activities.
The Legislature finds and declares that a special law
20is necessary and that a general law cannot be made applicable
21within the meaning of Section 16 of Article IV of the California
22Constitution because of the unique circumstances of the Central
23Basin Municipal Water District as described in the California State
24Auditor’s December 3, 2015, report number 2015-102.
If the Commission on State Mandates determines that
26this act contains costs mandated by the state, reimbursement to
27local agencies and school districts for those costs shall be made
28pursuant to Part 7 (commencing with Section 17500) of Division
294 of Title 2 of the Government Code.
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