California Legislature—2013–14 Regular Session

Assembly BillNo. 2728


Introduced by Assembly Member Perea

February 21, 2014


An act to add Section 10170 to the Public Contract Code, relating to public contracts.

LEGISLATIVE COUNSEL’S DIGEST

AB 2728, as introduced, Perea. Public contracts: public works: bids.

The State Contract Act provides a bidding process for public works projects, including the erection, construction, alteration, repair, or improvement of any state structure, building, road, or other state improvement of any kind that will exceed a total cost calculated, as provided, and generally requires a contract to be awarded based on best value or lowest responsible bid.

This bill would revise the calculation of the bid price, by excluding from that price, amounts equal to the sum of sales tax reimbursement and use tax.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P1    1

SECTION 1.  

Section 10170 is added to the Public Contract
2Code
, to read:

3

10170.  

For purposes of awarding a contract to the lowest
4responsible bidder under this chapter, the bid price shall be reduced
5by the amount equal to the sum of sales tax reimbursement and
P2    1use tax imposed by Part 1 (commencing with Section 6001) of
2Division 2 of the Revenue and Taxation Code.



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