California 2009 2009-2010 Regular Session

California Senate Bill SB43 Amended / Bill

Filed 07/14/2009

 BILL NUMBER: SB 43AMENDED BILL TEXT AMENDED IN ASSEMBLY JULY 14, 2009 AMENDED IN ASSEMBLY JUNE 30, 2009 AMENDED IN SENATE MAY 19, 2009 AMENDED IN SENATE APRIL 20, 2009 INTRODUCED BY Senator Alquist (Principal coauthor: Assembly Member Torrico)  (   Coauthors:   Assembly Members   Beall   and Coto   )  JANUARY 6, 2009 An act to add Section 6532 to the Government Code, relating to joint powers agencies. LEGISLATIVE COUNSEL'S DIGEST SB 43, as amended, Alquist. Joint powers agencies: City of Santa Clara. Under existing law, 2 or more public agencies may enter into an agreement to jointly exercise any power common to the contracting parties, as specified. This bill would authorize a joint powers agency  ,  that includes the City of Santa Clara and the Redevelopment Agency of the City of Santa Clara formed to construct, operate, or maintain a stadium for use by a professional football team  ,  to let a design-build contract without utilizing the competitive bid process for the stadium construction project, as specified. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 6532 is added to the Government Code, to read: 6532. (a) The Legislature finds and declares that it is in the best interest of the communities located within the City of Santa Clara that a joint powers agency that includes the City of Santa Clara and the Redevelopment Agency of the City of Santa Clara formed to construct, operate, or maintain a stadium for use by a professional football team be authorized to let a sole source contract for the stadium construction project to a qualified design-build contractor. This authorization may enable that joint powers agency to prevent cost overruns, improve efficiency, and benefit from specialized expertise. (b) Notwithstanding any other provision of law, and subject to subdivision (c), a joint powers agency including the City of Santa Clara and the Redevelopment Agency of the City of Santa Clara formed to construct, operate, or maintain a stadium for use by a professional football team may award a design-build contract related to that stadium to a qualified design-build contractor without utilizing an otherwise applicable competitive bid process, provided that the governing body of the joint powers agency determines that the cost of the contract is reasonable and that award of the contract without utilizing the competitive bid process is in the best interest of the joint powers agency. (c) A joint powers agency that includes the City of Santa Clara and the Redevelopment Agency of the City of Santa Clara shall not award a design-build contract pursuant to subdivision (b) unless all of the following conditions are met: (1) The design-build contract does not require expenditure of money from the general fund of the City of Santa Clara. (2) The obligation of the Redevelopment Agency of the City of Santa Clara to contribute funding toward amounts due under the design-build contract is limited to a specified maximum amount, provided that the specified maximum amount need not apply to debt service and other financing costs. (3) A private party will be responsible for any construction cost overruns. (d) A joint powers agency awarding a design-build contract pursuant to this section shall require that subcontract work be awarded through a competitive process established by the joint powers agency. (e) Notwithstanding Section 3248 of the Civil Code, for design-build contracts awarded pursuant to this section, the joint powers agency may specify that the payment bond shall be in a sum not less than one-half of the contract price or three hundred million dollars ($300,000,000), whichever is less.  (f) Each joint powers agency that elects to proceed under this section and uses the design-build method to construct, operate, or maintain a stadium for use by a professional football team shall submit to the Legislative Analyst's Office, before December 1, 2014, a report containing a description of each project procured through the design-build process after January 1, 2010, and before November 1, 2014. The report shall include, but shall not be limited to, all of the following information:   (1) The type of project.   (2) The gross square footage of the project.   (3) The design-build entity that was awarded the project.   (4) Where appropriate, the estimated and actual length of time to complete the project.   (5) The estimated and actual project costs.   (6) A description of any written protests concerning any aspect of the solicitation, bid, proposal, or award of the design-build project, including the resolution of the protests.   (7) An assessment of the prequalification process and criteria.   (8) An assessment of the effect of retaining 5-percent retention on the project.   (9) A description of the labor force compliance program, as defined in Section 20133 of the Public Contract Code, and an assessment of the project impact, where required.   (10) A description of the method used to award the contract. If best value, as defined in Section 20133 of the Public Contract Code, was the method, the report shall describe the factors used to evaluate the bid, including the weighting of each factor and an assessment of the effectiveness of the methodology.   (11) An assessment of the project impact of skilled labor force availability, as defined in Section 20133 of the Public Contract Code.   (12) An assessment of the design-build dollar limits on the joint powers agency's projects. This assessment shall include projects where the agency wanted to use the design-build method but was precluded by the dollar limitation. This assessment shall also include projects where the best value method was not used due to dollar limitations.   (13) An assessment of the most appropriate uses for the design-build method.  SEC. 2. The Legislature finds and declares that Section 1 of this act,  which   that  adds Section 6532 to the Government Code, is a special law which is necessary because a general law cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances of the City of Santa Clara. In that respect, the City of Santa Clara needs to address the unemployment rate in and around the City of Santa Clara and the San Francisco Bay  Area   area  .