BILL NUMBER: AB 2181	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 10, 2010
	AMENDED IN ASSEMBLY  APRIL 12, 2010

INTRODUCED BY   Assembly Member Hagman

                        FEBRUARY 18, 2010

   An act to amend Sections 10106, 10107, and 10108 of the Public
Contract Code, relating to public contracts.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2181, as amended, Hagman. State Contract Act: contracting by
state agencies.
   The State Contract Act requires projects that are not under the
jurisdiction of specified departments to be under the charge and
control of the Department of Transportation.
   This bill would instead have those projects under the charge and
control of the Department of General Services.
    The State Contract Act authorizes those departments, where the
nature of the work in the opinion of the department is such that its
services in connection with a project are not required, to permit the
carrying out of the project directly by the state agency concerned
with the project, if the estimated project cost does not exceed
$400,000, except as provided.
   This bill would increase that cost limit to  $800,000
  $600,000  , as provided.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 10106 of the Public Contract Code is amended to
read:
   10106.  For purposes of this chapter:
   (a) "Department" means any of the following:
   (1) The Department of Water Resources as to any project under the
jurisdiction of that department.
   (2) The Department of Transportation as to any project under the
jurisdiction of that department.
   (3) The Department of Boating and Waterways as to any project
under the jurisdiction of that department pursuant to Article 2.5
(commencing with Section 65) of Chapter 2 of Division 1 of the
Harbors and Navigation Code.
   (4) The Department of Corrections and Rehabilitation with respect
to any project under its jurisdiction pursuant to Chapter 11
(commencing with Section 7000) of Title 7 of Part 3 of the Penal
Code.
   (5) The Military Department as to any project under the
jurisdiction of that department.
   (6) The Department of General Services as to all other projects.
   (b) "Director" means the director of each department as defined
herein respectively.
  SEC. 2.  Section 10107 of the Public Contract Code is amended to
read:
   10107.  Whenever provision is made by law for any project that is
not under the jurisdiction of the Department of Water Resources, the
Department of Boating and Waterways pursuant to Article 2.5
(commencing with Section 65) of Chapter 2 of Division 1 of the
Harbors and Navigation Code, the Department of Corrections and
Rehabilitation pursuant to Chapter 11 (commencing with Section 7000)
of Title 7 of Part 3 of the Penal Code, the Department of
Transportation, or the Military Department, the project shall be
under the sole charge and direct control of the Department of General
Services.
  SEC. 3.  Section 10108 of the Public Contract Code is amended to
read:
   10108.  Where the nature of the work in the opinion of the
department is such that its services in connection therewith are not
required, it may authorize the carrying out of the project directly
by the state agency concerned therewith if the estimated cost does
not exceed  eight hundred thousand dollars ($800,000)
  six hundred thousand dollars ($600,000)  , except
that the  eight hundred thousand dollar ($800,000) 
 six hundred   thousand dollar ($600,000) 
limitation shall not apply to a project of a district agricultural
association or a project of the State Lands Commission. Any capital
outlay project with a total value that does not exceed  eight
hundred thousand dollars ($800,000)   six hundred
thousand dollars ($600,000)  may be budgeted as a minor capital
outlay project. This limit shall be adjusted pursuant to subdivision
(b) of Section 10105.
   If the estimated total cost of any construction project or work
carried out under this section exceeds twenty-five thousand dollars
($25,000), the district or agency shall solicit bids in writing and
shall award the work to the lowest responsible bidder or reject all
bids. However, the director may authorize the district or agency to
carry out work in excess of twenty-five thousand dollars ($25,000)
under the provisions of this section by day labor if he or she deems
that the award of a contract, the acceptance of bids, or the
acceptance of further bids is not in the best interests of the state.
In no event shall the amount of work performed by day labor under
this section exceed the sum of fifty thousand dollars ($50,000) in
the case of district agricultural association fair projects, or
thirty-five thousand dollars ($35,000) in other cases.