California 2023-2024 Regular Session

California Assembly Bill AB2812 Latest Draft

Bill / Chaptered Version Filed 06/14/2024

                            Assembly Bill No. 2812 CHAPTER 17An act to amend Section 20301 of the Public Contract Code, relating to public contracts. [ Approved by  Governor  June 14, 2024.  Filed with  Secretary of State  June 14, 2024. ] LEGISLATIVE COUNSEL'S DIGESTAB 2812, Kalra. Santa Clara Valley Transportation Authority.Existing law creates the Santa Clara Valley Transportation Authority, with various powers and duties relative to transportation projects and services and the operation of public transit in the County of Santa Clara. Other existing law, the Local Agency Public Construction Act, requires contracts of the Santa Clara Valley Transportation Authority for the purchase of supplies, equipment, and materials to be let to the lowest responsible bidder or to the bidder who submits a proposal that provides the best value, as defined, if the amount of the contract exceeds $150,000 and requires the authority to obtain a minimum of 3 quotations for those contracts between $3,500 and $150,000. This bill would increase the first threshold for bidding to apply for contracts that exceed $200,000 and would require the authority to obtain the minimum of 3 quotations for contracts between $5,000 and $200,000.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NO  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 20301 of the Public Contract Code is amended to read:20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.

 Assembly Bill No. 2812 CHAPTER 17An act to amend Section 20301 of the Public Contract Code, relating to public contracts. [ Approved by  Governor  June 14, 2024.  Filed with  Secretary of State  June 14, 2024. ] LEGISLATIVE COUNSEL'S DIGESTAB 2812, Kalra. Santa Clara Valley Transportation Authority.Existing law creates the Santa Clara Valley Transportation Authority, with various powers and duties relative to transportation projects and services and the operation of public transit in the County of Santa Clara. Other existing law, the Local Agency Public Construction Act, requires contracts of the Santa Clara Valley Transportation Authority for the purchase of supplies, equipment, and materials to be let to the lowest responsible bidder or to the bidder who submits a proposal that provides the best value, as defined, if the amount of the contract exceeds $150,000 and requires the authority to obtain a minimum of 3 quotations for those contracts between $3,500 and $150,000. This bill would increase the first threshold for bidding to apply for contracts that exceed $200,000 and would require the authority to obtain the minimum of 3 quotations for contracts between $5,000 and $200,000.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NO  Local Program: NO 

 Assembly Bill No. 2812 CHAPTER 17

 Assembly Bill No. 2812

 CHAPTER 17

An act to amend Section 20301 of the Public Contract Code, relating to public contracts.

 [ Approved by  Governor  June 14, 2024.  Filed with  Secretary of State  June 14, 2024. ] 

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 2812, Kalra. Santa Clara Valley Transportation Authority.

Existing law creates the Santa Clara Valley Transportation Authority, with various powers and duties relative to transportation projects and services and the operation of public transit in the County of Santa Clara. Other existing law, the Local Agency Public Construction Act, requires contracts of the Santa Clara Valley Transportation Authority for the purchase of supplies, equipment, and materials to be let to the lowest responsible bidder or to the bidder who submits a proposal that provides the best value, as defined, if the amount of the contract exceeds $150,000 and requires the authority to obtain a minimum of 3 quotations for those contracts between $3,500 and $150,000. This bill would increase the first threshold for bidding to apply for contracts that exceed $200,000 and would require the authority to obtain the minimum of 3 quotations for contracts between $5,000 and $200,000.

Existing law creates the Santa Clara Valley Transportation Authority, with various powers and duties relative to transportation projects and services and the operation of public transit in the County of Santa Clara. Other existing law, the Local Agency Public Construction Act, requires contracts of the Santa Clara Valley Transportation Authority for the purchase of supplies, equipment, and materials to be let to the lowest responsible bidder or to the bidder who submits a proposal that provides the best value, as defined, if the amount of the contract exceeds $150,000 and requires the authority to obtain a minimum of 3 quotations for those contracts between $3,500 and $150,000. 

This bill would increase the first threshold for bidding to apply for contracts that exceed $200,000 and would require the authority to obtain the minimum of 3 quotations for contracts between $5,000 and $200,000.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 20301 of the Public Contract Code is amended to read:20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.

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

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

SECTION 1. Section 20301 of the Public Contract Code is amended to read:20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.

SECTION 1. Section 20301 of the Public Contract Code is amended to read:

### SECTION 1.

20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.

20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.

20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.



20301. (a) The purchase of all supplies, equipment, and materials, when the expenditure required exceeds two hundred thousand dollars ($200,000) shall be by contract let to the lowest responsible bidder, or, in the authoritys discretion, to the responsible bidder who submitted a proposal that provides the best value to the authority on the basis of the factors identified in the solicitation. Best value means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents.

(b) To the extent practicable, the authority shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed two hundred thousand dollars ($200,000).

(c) Notice requesting bids shall be published at least once in a newspaper of general circulation and on the authoritys procurement internet website, which publication shall be made at least 10 days before the bids are received. The board may reject any and all bids and readvertise at its discretion.

(d) This section applies solely to the procurement of supplies, equipment, and materials, and shall not apply to construction contracts.