Amended IN Assembly March 21, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2654Introduced by Assembly Member Vince FongFebruary 14, 2024 An act to amend Section 10120 of the Public Contract add Chapter 12 (commencing with Section 11900) to Part 1 of Division 3 of Title 2 of the Government Code, relating to public contracts. state government.LEGISLATIVE COUNSEL'S DIGESTAB 2654, as amended, Vince Fong. State Contract Act. Disbursements: fraud.Existing law establishes various programs and benefits through which state agencies disburse moneys to entities that are not state agencies, including the unemployment compensation system, the CalFresh program, and the CalWORKs program.This bill would require a state agency that disburses money to an entity or an individual that is not a state agency to use best efforts and practices to reduce disbursements based on fraudulent applications, as specified. The bill would require the state agency to annually submit a report to the Legislature that includes the amount of money that was disbursed based on fraudulent applications and the state agencys efforts to reduce disbursements based on fraudulent applications.Existing law, the State Contract Act, requires the Department of General Services, before entering into any contract for a project, to prepare full, complete, and accurate plans and specifications and estimates of costs, giving such directions as will enable any competent mechanic or other builder to carry them out.This bill would make a nonsubstantive change to these provisions.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Chapter 12 (commencing with Section 11900) is added to Part 1 of Division 3 of Title 2 of the Government Code, to read: CHAPTER 12. Fraudulent Application Disbursements11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000.(b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made.(c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following:(A) The amount of money that was disbursed based on fraudulent applications the prior calendar year.(B) The state agencys efforts to reduce disbursements based on fraudulent applications.(2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature.(3) A state agency shall submit the report required by this subdivision in compliance with Section 9795.SECTION 1.Section 10120 of the Public Contract Code is amended to read:10120.Before entering into any contract for a project, the department shall prepare full, complete, and accurate plans and specifications and estimates of cost, giving directions as will enable any competent mechanic or other builder to carry them out. Amended IN Assembly March 21, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2654Introduced by Assembly Member Vince FongFebruary 14, 2024 An act to amend Section 10120 of the Public Contract add Chapter 12 (commencing with Section 11900) to Part 1 of Division 3 of Title 2 of the Government Code, relating to public contracts. state government.LEGISLATIVE COUNSEL'S DIGESTAB 2654, as amended, Vince Fong. State Contract Act. Disbursements: fraud.Existing law establishes various programs and benefits through which state agencies disburse moneys to entities that are not state agencies, including the unemployment compensation system, the CalFresh program, and the CalWORKs program.This bill would require a state agency that disburses money to an entity or an individual that is not a state agency to use best efforts and practices to reduce disbursements based on fraudulent applications, as specified. The bill would require the state agency to annually submit a report to the Legislature that includes the amount of money that was disbursed based on fraudulent applications and the state agencys efforts to reduce disbursements based on fraudulent applications.Existing law, the State Contract Act, requires the Department of General Services, before entering into any contract for a project, to prepare full, complete, and accurate plans and specifications and estimates of costs, giving such directions as will enable any competent mechanic or other builder to carry them out.This bill would make a nonsubstantive change to these provisions.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO Amended IN Assembly March 21, 2024 Amended IN Assembly March 21, 2024 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 2654 Introduced by Assembly Member Vince FongFebruary 14, 2024 Introduced by Assembly Member Vince Fong February 14, 2024 An act to amend Section 10120 of the Public Contract add Chapter 12 (commencing with Section 11900) to Part 1 of Division 3 of Title 2 of the Government Code, relating to public contracts. state government. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 2654, as amended, Vince Fong. State Contract Act. Disbursements: fraud. Existing law establishes various programs and benefits through which state agencies disburse moneys to entities that are not state agencies, including the unemployment compensation system, the CalFresh program, and the CalWORKs program.This bill would require a state agency that disburses money to an entity or an individual that is not a state agency to use best efforts and practices to reduce disbursements based on fraudulent applications, as specified. The bill would require the state agency to annually submit a report to the Legislature that includes the amount of money that was disbursed based on fraudulent applications and the state agencys efforts to reduce disbursements based on fraudulent applications.Existing law, the State Contract Act, requires the Department of General Services, before entering into any contract for a project, to prepare full, complete, and accurate plans and specifications and estimates of costs, giving such directions as will enable any competent mechanic or other builder to carry them out.This bill would make a nonsubstantive change to these provisions. Existing law establishes various programs and benefits through which state agencies disburse moneys to entities that are not state agencies, including the unemployment compensation system, the CalFresh program, and the CalWORKs program. This bill would require a state agency that disburses money to an entity or an individual that is not a state agency to use best efforts and practices to reduce disbursements based on fraudulent applications, as specified. The bill would require the state agency to annually submit a report to the Legislature that includes the amount of money that was disbursed based on fraudulent applications and the state agencys efforts to reduce disbursements based on fraudulent applications. Existing law, the State Contract Act, requires the Department of General Services, before entering into any contract for a project, to prepare full, complete, and accurate plans and specifications and estimates of costs, giving such directions as will enable any competent mechanic or other builder to carry them out. This bill would make a nonsubstantive change to these provisions. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. Chapter 12 (commencing with Section 11900) is added to Part 1 of Division 3 of Title 2 of the Government Code, to read: CHAPTER 12. Fraudulent Application Disbursements11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000.(b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made.(c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following:(A) The amount of money that was disbursed based on fraudulent applications the prior calendar year.(B) The state agencys efforts to reduce disbursements based on fraudulent applications.(2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature.(3) A state agency shall submit the report required by this subdivision in compliance with Section 9795.SECTION 1.Section 10120 of the Public Contract Code is amended to read:10120.Before entering into any contract for a project, the department shall prepare full, complete, and accurate plans and specifications and estimates of cost, giving directions as will enable any competent mechanic or other builder to carry them out. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. Chapter 12 (commencing with Section 11900) is added to Part 1 of Division 3 of Title 2 of the Government Code, to read: CHAPTER 12. Fraudulent Application Disbursements11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000.(b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made.(c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following:(A) The amount of money that was disbursed based on fraudulent applications the prior calendar year.(B) The state agencys efforts to reduce disbursements based on fraudulent applications.(2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature.(3) A state agency shall submit the report required by this subdivision in compliance with Section 9795. SECTION 1. Chapter 12 (commencing with Section 11900) is added to Part 1 of Division 3 of Title 2 of the Government Code, to read: ### SECTION 1. CHAPTER 12. Fraudulent Application Disbursements11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000.(b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made.(c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following:(A) The amount of money that was disbursed based on fraudulent applications the prior calendar year.(B) The state agencys efforts to reduce disbursements based on fraudulent applications.(2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature.(3) A state agency shall submit the report required by this subdivision in compliance with Section 9795. CHAPTER 12. Fraudulent Application Disbursements11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000.(b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made.(c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following:(A) The amount of money that was disbursed based on fraudulent applications the prior calendar year.(B) The state agencys efforts to reduce disbursements based on fraudulent applications.(2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature.(3) A state agency shall submit the report required by this subdivision in compliance with Section 9795. CHAPTER 12. Fraudulent Application Disbursements CHAPTER 12. Fraudulent Application Disbursements 11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000.(b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made.(c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following:(A) The amount of money that was disbursed based on fraudulent applications the prior calendar year.(B) The state agencys efforts to reduce disbursements based on fraudulent applications.(2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature.(3) A state agency shall submit the report required by this subdivision in compliance with Section 9795. 11900. (a) For purposes of this chapter, state agency has the same meaning as defined in Section 11000. (b) A state agency that disburses money to an entity or an individual that is not a state agency shall use best efforts and practices to reduce disbursements based on fraudulent applications, which may include, but are not limited to, verification of identity, employment, or eligibility prior to a disbursement being made. (c) (1) A state agency shall annually submit a report to the Legislature that includes both of the following: (A) The amount of money that was disbursed based on fraudulent applications the prior calendar year. (B) The state agencys efforts to reduce disbursements based on fraudulent applications. (2) A state agency may submit the report required by this subdivision as part of any other annual report the state agency is required to submit to the Legislature. (3) A state agency shall submit the report required by this subdivision in compliance with Section 9795. Before entering into any contract for a project, the department shall prepare full, complete, and accurate plans and specifications and estimates of cost, giving directions as will enable any competent mechanic or other builder to carry them out.