BILL ANALYSIS                                                                                                                                                                                                    



                                                                       


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          |SENATE RULES COMMITTEE            |                   SB 937|
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                                 THIRD READING


          Bill No:  SB 937
          Author:   Margett (R)
          Amended:  1/17/02
          Vote:     21

           
           SENATE GOVERNMENTAL ORG. COMMITTEE  : 9-0, 1/15/02
          AYES: Vincent, Chesbro, Dunn, Karnette, Knight, Machado,  
            Morrow, Perata, Soto

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8


           SUBJECT  :    Public contracts:  bids and disputes

           SOURCE  :     Engineering Contractors Association


           DIGEST  :    This bill makes clarifying and technical changes  
          to provisions of existing law relating to the public works  
          contract bidding process.

           ANALYSIS  :    Existing law, the Subletting and  
          Subcontracting Fair Practices Act, requires a public entity  
          taking bids for construction of a public improvement to  
          establish a date for submission of bids by prime  
          contractors.  Existing law applicable to local agencies  
          requires that any bids that are submitted after the bid  
          submittal deadline must be returned unopened to the bidder.

          This bill modifies existing bid submittal deadline  
          provisions by requiring the entity taking bids to specify  
          the "place" bids are to be received and the "time" by which  
          they must be received.  It also requires that late bids on  
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          state public works contracts be returned unopened.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

           SUPPORT  :   (Verified  1/24/02)

          Engineering Contractors' Association (source)
          California Chapter of the American Fence Contractors'  
          Association
          California Fence Contractors' Association
          California Landscape Contractors Association
          Construction Industry Legislative Counsel
          Flasher/Barricade Association
          Marin Builders' Exchange
          Sacramento Builders' Exchange

           ARGUMENTS IN SUPPORT  :    The sponsor of this bill notes  
          that the changes incorporated in Section 1 of this bill are  
          intended to require state agencies to comply with a law  
          that has applied to local agencies for several years.   
          Specifically, that law (found in Section 53068 of the  
          Government Code) provides, among other things, that any  
          bids received by a local agency after the time specified in  
          the notice shall be returned to the bidder unopened.


          TSM:cm  1/24/02   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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