California Assembly Bill AB2684 Amended / Bill

 BILL NUMBER: AB 2684AMENDED BILL TEXT AMENDED IN ASSEMBLY APRIL 8, 2010 INTRODUCED BY Assembly Member Emmerson FEBRUARY 19, 2010 An act to amend Section  5800   5956.5  of the Government Code, relating to  local securities.   infrastructure financing.  LEGISLATIVE COUNSEL'S DIGEST AB 2684, as amended, Emmerson.  Local securities: sales.   Infrastructure financing: contract selection.   Existing law requires the governmental agency soliciting proposals and entering into agreements with private entities for the studying, planning, design, developing, financing, construction, maintenance, rebuilding, improvement, repair, or operation, or any combination thereof, by private entities for fee-producing infrastructure projects to ensure that the contractor is selected pursuant to a competitive negotiation process, which must use as the primary selection criteria, the demonstrated competence and qualifications for the studying, planning, design, developing, financing, construction, maintenance, rebuilding, improvement, repair, or operation, or any combination thereof, of the facility.   This bill would instead require the governmental agency to use as a primary selection criterion, the demonstrated competence and qualifications of the private entity to perform the services required under the agreement, including prior experience in performing similar services.   Existing law regulates the sale of securities by local entities, including cities, counties, and public districts. Existing law defines "nonprofit corporation," in this regard, as a nonprofit corporation that proposes to aid any public body by issuing securities to finance public projects.   This bill would make a nonsubstantive, technical change in these provisions.  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.   Section 5956.5 of the   Government Code   is amended to read:  5956.5. Notwithstanding Chapter 10 (commencing with Section 4525) of Division 5, or Part 2 (commencing with Section 10100) or Part 3 (commencing with Section 20100) of Division 2 of the Public Contract Code, the governmental agency soliciting proposals and entering into agreements with private entities for the studying, planning, design, developing, financing, construction, maintenance, rebuilding, improvement, repair, or operation, or any combination thereof, by private entities for fee-producing infrastructure projects shall ensure that the contractor is selected pursuant to a competitive negotiation process. Projects may be proposed by the private entity and selected by the governmental agency at the discretion of the governmental agency. Projects may be proposed and selected individually or as part of a related or larger project. The competitive negotiation process shall utilize, as  the primary selection criteria, the demonstrated competence and qualifications for the studying, planning, design, developing, financing, construction, maintenance, rebuilding, improvement, repair, or operation, or any combination thereof, of the facility   a primary selection criterion, the demonstrated competence and qualifications of the private entity to perform the services required under the agreement, including prior experience in performing similar services  . The selection criteria shall also ensure that the facility be operated at fair and reasonable prices to the user of the infrastructure facility services. The competitive negotiation process shall not require competitive bidding. The competitive negotiation process shall specifically prohibit practices that may result in unlawful activity including, but not limited to, rebates, kickbacks, or other unlawful consideration, and shall specifically prohibit governmental agency employees from participating in the selection process when those employees have a relationship with a person or business entity seeking a contract under this section that would subject those employees to the prohibition of Section 87100. Other than these criteria and applicable provisions related to providing security for  the   any required  construction and completion of the facility, the governmental agency soliciting proposals is not subject to any other provisions of the Public Contract Code  or   ,  this code  , or any other statutory provision  that relates to public procurements.  SECTION 1.   Section 5800 of the Government Code is amended to read: 5800. As used in this chapter, "nonprofit corporation" means any nonprofit corporation formed under the Corporations Code, or otherwise, which proposes to aid any public body by issuing securities to finance one or more public projects.