BILL NUMBER: AB 2403 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 26, 2010
INTRODUCED BY Assembly Member Audra Strickland
FEBRUARY 19, 2010
An act relating to public contracts. An
act to add Sections 11004.5, 11004.6, 11004.7, and 11004.8 to the
Government Code, relating to state government.
LEGISLATIVE COUNSEL'S DIGEST
AB 2403, as amended, Audra Strickland. Public contracts:
study: accountability. State government: audits and
contracts: reporting.
Existing law authorizes state agencies to contract on behalf of
the state, and to terminate, amend, or modify the contract, as
specified. Existing law requires the State Auditor to examine and
report annually upon the financial statements prepared by the
executive branch, and to perform audits that are mandated by statute.
This bill would requires each state agency to post on the state's
Reporting Transparency in Government Internet Web site, by February
15, 2011, every audit of its operations finalized between January 1,
2008, and December 31, 2010, and every contract entered with a total
value of $5,000 or more entered into by a state agency between
January 1, 2008, and December 31, 2010, and commencing January 1,
2011, post audit results on that site within 15 days of completion of
an audit, and every contract with a value of $5,000 or more, entered
into by a state agency. The bill would also require the Chief
Information Officer, commencing January 1, 2011, to post specified
information relating to new contracts entered into by a state agency,
and would require the office of the Governor to post every statement
of economic interest and travel and expense report of its staff,
agency secretaries, department heads, and any official under the
direct supervision of the Governor on the site.
Existing law Act establishes procedures for state agencies to
enter into contracts for public works and to acquire goods and
services.
This bill would set forth the Legislature's intent to enact
legislation requiring a study of the state's procedures regarding its
contracts with private businesses for the purpose of making
recommendations to improve accountability.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. (a) Transparency is fundamental to
promoting efficiency and effectiveness in state government and
strengthening the democratic process by giving citizens enough
information to reach their own conclusions about how their tax
dollars are being spent.
(b) Audits of state agencies and their operations can provide
objective and measurable performance reviews and identify and correct
inefficient or wasteful practices.
(c) Californians seeking information on state governmental
operations are often frustrated because a myriad of oversight
entities perform audits of state agencies, and the information can be
difficult to access due to the lack of a Web-based, central
inventory of audits.
(d) Many internal audits that state agencies perform on their own
operations are finalized but never made public.
(e) Billions of dollars in state contracts are entered into each
year to purchase goods and services for the people of California, and
posting contracts on the Internet is an effective way to help ensure
that taxpayers are getting the best value and services are being
provided in an efficient manner.
(f) The Legislature's continuing commitment to promoting
transparency in state government is especially critical while
California's economy continues to struggle.
SEC. 2. Section 11004.5 is added to the
Government Code , to read:
11004.5. (a) On or before February 15, 2011, each state agency
shall post to the state's Reporting Transparency in Government
Internet Web site every audit of its operations finalized between
January 1, 2008, and December 31, 2010.
(b) On and after January 1, 2011, each state agency shall, within
15 calendar days of finalization of any audit, post to the state's
Reporting Transparency in Government Internet Web site every audit of
its operations finalized from January 1, 2011.
(c) For purposes of this section, "audit" means any review or
evaluation performed by a state agency on itself or by another
entity, including, but not limited to, the Bureau of State Audits,
the Controller, the Department of Finance, a federal agency with
oversight responsibility of the operations of the state agency, or
any other nongovernmental organization that monitors or oversees the
state agency and that has received public funds.
(d) The Department of General Services and the office of the State
Chief Information Officer shall assist each state agency to comply
with the requirements of this section.
(e) This section shall not be construed to require the posting of
information in an audit, including, but not limited to, the identity
of any undisclosed expert consultant, that is confidential pursuant
to a court order, the attorney client privilege, or the attorney work
product exception, information, that, if posted, would jeopardize
peace officer safety, criminal intelligence information, ongoing
investigatory activities, or any security procedure, or any
information the disclosure of which is prohibited by law. Nothing in
this section shall be construed to limit the rights of the public to
access information pursuant to the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of Title
1), or Section 3 of Article I of the California Constitution. Any
information withheld from posting shall be replaced with the phrase,
"CPRA exemption claimed."
SEC. 3. Section 11004.6 is added to the
Government Code , to read:
11004.6. (a) On or before February 15, 2011, the Department of
General Services and the office of the State Chief Information
Officer shall post any contract awarded by the state between January
1, 2008, and December 31, 2010, with a total contract value of five
thousand dollars ($5,000) or higher to the state's Reporting
Transparency in Government Internet Web site.
(b) Within 15 calendar days of signing by all parties to the
contract, each state agency party to a contract shall post to the
state's Reporting Transparency in Government Internet Web site any
contract it awarded from January 1, 2011, and forward with a total
contract value of five thousand dollars ($5,000) or higher.
(c) The Department of General Services and the office of the State
Chief Information Officer shall assist each state agency to comply
with the requirements of this section.
(d) This section shall not be construed to require the posting of
information in a contract, including, but not limited to, the
identity of any undisclosed expert consultant, that is confidential
pursuant to a court order, the attorney client privilege, or the
attorney work product exception, information, that, if posted, would
jeopardize peace officer safety, criminal intelligence information,
ongoing investigatory activities, or any security procedure, or any
information the disclosure of which is prohibited by law. Nothing in
this section shall be construed to limit the rights of the public to
access information pursuant to the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of Title
1), or Section 3 of Article I of the California Constitution. Any
information withheld from posting shall be replaced with the phrase,
"CPRA exemption claimed."
SEC. 4. Section 11004.7 is added to the
Government Code , to read:
11004.7. Commencing January 1, 2011, the Department of General
Services and the Chief Information Officer shall post the following
information for each contract entered into, renewed, or amended by
any state entity:
(a) The name and contact information of the entity or person with
which the state proposes to contract.
(b) The organizational character of the entity, whether public or
private and whether for profit or nonprofit.
(c) The specific purpose or purposes of the contract.
(d) The total value of the contract.
(e) The distribution of the allocated funds for each purpose of
the contract.
(f) A list of all parties who have an interest in the entity,
including owners, board or directors and officers, auditors, internal
and external accountants, and all managers who will receive or
manage state funds.
SEC. 5. Section 11004.8 is added to the
Government Code , to read:
11004.8. The office of the Governor shall post every statement of
economic interest and travel and expense report of its staff, agency
secretaries, department heads, and any official under the direct
supervision of the Governor to the Reporting Transparency in
Government Internet Web site.
SECTION 1. It is the intent of the Legislature
to enact legislation requiring a study of the state's procedures
regarding its contracts with private businesses for the purpose of
making recommendations to improve accountability.