BILL NUMBER: AB 2358AMENDED BILL TEXT AMENDED IN SENATE JUNE 21, 2016 AMENDED IN ASSEMBLY MAY 27, 2016 INTRODUCED BY Assembly Members Bigelow and Wood FEBRUARY 18, 2016 An act to amend Section 14838.5 of the Government Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGEST AB 2358, as amended, Bigelow. Public contracts: small business contracts. The Small Business Procurement and Contract Act permits a state agency to award a contract for goods, services, or information technology with an estimated value of between $5,000 and $250,000 to a certified small business, including a microbusiness, or to a disabled veteran business enterprise, without complying with specified competitive bidding requirements. This bill would increase the upper limit of the value of those contracts for a disabled veteran business enterprise to$300,000.$500,000. 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 14838.5 of the Government Code is amended to read: 14838.5. (a) Notwithstanding the advertising, bidding, and protest provisions of Chapter 6 (commencing with Section 14825) of this part and Chapter 2 (commencing with Section 10290) and Chapter 3 (commencing with Section 12100) of Part 2 of Division 2 of the Public Contract Code, a state agency may award a contract for the acquisition of goods, services, or information technologythatas follows: (1) A contract that has an estimated value of greater than five thousand dollars ($5,000), but less thanthree hundred thousand dollars ($300,000),two hundred fifty thousand dollars ($250,000), may be awarded to a certified small business, including a microbusiness,or to a disabled veteran business enterprise, as long asif the agency obtains price quotations from two or more certified small businesses, includingmicrobusinesses, or from two or more disabled veterans business enterprises.microbusinesses. (2) A contract that has an estimated value of greater than five thousand dollars ($5,000), but less than five hundred thousand dollars ($500,000), may be awarded to a disabled veteran business enterprise, if the agency obtains price quotations from two or more disabled veteran business enterprises. (b) In carrying out subdivision (a), a state agency shall consider a responsive offer timely received from a responsible certified small business, including a microbusiness, or from a disabled veteran business enterprise. (c) If the estimated cost to the state is less than five thousand dollars ($5,000) for the acquisition of goods, services, or information technology, or a greater amount as administratively established by the director, a state agency shall obtain at least two price quotations from responsible suppliers whenever there is reason to believe a response from a single source is not a fair and reasonable price.