California 2023 2023-2024 Regular Session

California Senate Bill SB1325 Introduced / Bill

Filed 02/16/2024

                    CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Senate Bill No. 1325Introduced by Senator DurazoFebruary 16, 2024 An act to add Section 2004 to the Public Contract Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGESTSB 1325, as introduced, Durazo. Public contracts: best value procurement: equipment.Existing law imposes requirements on, and authorizes procedures for, public contracting for equipment and services, among other things, by local and state agencies. Existing law authorizes certain procurements to be facilitated through a lowest responsible bidder requirement.This bill would authorize a state or local agency, as defined, to award contracts through a best value procurement method, as describe, for the purchase of equipment with a base value of $250,000 or more. The bill would require the agency to adopt and publish procedures and guidelines for evaluating the qualifications of the bidders to ensure the best value selections are conducted in a fair and impartial manner, as described. The bill would authorize the procedures and guidelines to include the adoption of a high road jobs plan policy that evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, as specified. This bill would require the solicitation document to include certain information and would direct the agency to use a scoring method based on price and the factors described in the solicitation document, as specified. The bill would require the agency to let any contract for these projects to the selected bidder that represents the best value or reject all bids.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 2004 is added to the Public Contract Code, to read:2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.(b) For purposes of this section, the following definitions apply:(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:(A) Product performance, productivity, and safety standards.(B) The suppliers ability to perform the contract requirements.(C) Environmental benefits, including the reduction of greenhouse gas emissions.(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.(E) Job quality benefits, as determined by a high road jobs plan policy.(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.(C) Pay increases tied to new skills gained and trainings completed.(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.(8) Targeted hiring program means a program that meets all of the following conditions:(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.

 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Senate Bill No. 1325Introduced by Senator DurazoFebruary 16, 2024 An act to add Section 2004 to the Public Contract Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGESTSB 1325, as introduced, Durazo. Public contracts: best value procurement: equipment.Existing law imposes requirements on, and authorizes procedures for, public contracting for equipment and services, among other things, by local and state agencies. Existing law authorizes certain procurements to be facilitated through a lowest responsible bidder requirement.This bill would authorize a state or local agency, as defined, to award contracts through a best value procurement method, as describe, for the purchase of equipment with a base value of $250,000 or more. The bill would require the agency to adopt and publish procedures and guidelines for evaluating the qualifications of the bidders to ensure the best value selections are conducted in a fair and impartial manner, as described. The bill would authorize the procedures and guidelines to include the adoption of a high road jobs plan policy that evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, as specified. This bill would require the solicitation document to include certain information and would direct the agency to use a scoring method based on price and the factors described in the solicitation document, as specified. The bill would require the agency to let any contract for these projects to the selected bidder that represents the best value or reject all bids.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO 





 CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION

 Senate Bill 

No. 1325

Introduced by Senator DurazoFebruary 16, 2024

Introduced by Senator Durazo
February 16, 2024

 An act to add Section 2004 to the Public Contract Code, relating to public contracts. 

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 1325, as introduced, Durazo. Public contracts: best value procurement: equipment.

Existing law imposes requirements on, and authorizes procedures for, public contracting for equipment and services, among other things, by local and state agencies. Existing law authorizes certain procurements to be facilitated through a lowest responsible bidder requirement.This bill would authorize a state or local agency, as defined, to award contracts through a best value procurement method, as describe, for the purchase of equipment with a base value of $250,000 or more. The bill would require the agency to adopt and publish procedures and guidelines for evaluating the qualifications of the bidders to ensure the best value selections are conducted in a fair and impartial manner, as described. The bill would authorize the procedures and guidelines to include the adoption of a high road jobs plan policy that evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, as specified. This bill would require the solicitation document to include certain information and would direct the agency to use a scoring method based on price and the factors described in the solicitation document, as specified. The bill would require the agency to let any contract for these projects to the selected bidder that represents the best value or reject all bids.

Existing law imposes requirements on, and authorizes procedures for, public contracting for equipment and services, among other things, by local and state agencies. Existing law authorizes certain procurements to be facilitated through a lowest responsible bidder requirement.

This bill would authorize a state or local agency, as defined, to award contracts through a best value procurement method, as describe, for the purchase of equipment with a base value of $250,000 or more. The bill would require the agency to adopt and publish procedures and guidelines for evaluating the qualifications of the bidders to ensure the best value selections are conducted in a fair and impartial manner, as described. The bill would authorize the procedures and guidelines to include the adoption of a high road jobs plan policy that evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, as specified.

 This bill would require the solicitation document to include certain information and would direct the agency to use a scoring method based on price and the factors described in the solicitation document, as specified. The bill would require the agency to let any contract for these projects to the selected bidder that represents the best value or reject all bids.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 2004 is added to the Public Contract Code, to read:2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.(b) For purposes of this section, the following definitions apply:(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:(A) Product performance, productivity, and safety standards.(B) The suppliers ability to perform the contract requirements.(C) Environmental benefits, including the reduction of greenhouse gas emissions.(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.(E) Job quality benefits, as determined by a high road jobs plan policy.(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.(C) Pay increases tied to new skills gained and trainings completed.(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.(8) Targeted hiring program means a program that meets all of the following conditions:(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.

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 2004 is added to the Public Contract Code, to read:2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.(b) For purposes of this section, the following definitions apply:(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:(A) Product performance, productivity, and safety standards.(B) The suppliers ability to perform the contract requirements.(C) Environmental benefits, including the reduction of greenhouse gas emissions.(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.(E) Job quality benefits, as determined by a high road jobs plan policy.(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.(C) Pay increases tied to new skills gained and trainings completed.(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.(8) Targeted hiring program means a program that meets all of the following conditions:(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.

SECTION 1. Section 2004 is added to the Public Contract Code, to read:

### SECTION 1.

2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.(b) For purposes of this section, the following definitions apply:(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:(A) Product performance, productivity, and safety standards.(B) The suppliers ability to perform the contract requirements.(C) Environmental benefits, including the reduction of greenhouse gas emissions.(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.(E) Job quality benefits, as determined by a high road jobs plan policy.(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.(C) Pay increases tied to new skills gained and trainings completed.(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.(8) Targeted hiring program means a program that meets all of the following conditions:(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.

2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.(b) For purposes of this section, the following definitions apply:(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:(A) Product performance, productivity, and safety standards.(B) The suppliers ability to perform the contract requirements.(C) Environmental benefits, including the reduction of greenhouse gas emissions.(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.(E) Job quality benefits, as determined by a high road jobs plan policy.(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.(C) Pay increases tied to new skills gained and trainings completed.(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.(8) Targeted hiring program means a program that meets all of the following conditions:(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.

2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.(b) For purposes of this section, the following definitions apply:(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:(A) Product performance, productivity, and safety standards.(B) The suppliers ability to perform the contract requirements.(C) Environmental benefits, including the reduction of greenhouse gas emissions.(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.(E) Job quality benefits, as determined by a high road jobs plan policy.(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.(C) Pay increases tied to new skills gained and trainings completed.(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.(8) Targeted hiring program means a program that meets all of the following conditions:(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.



2004. (a) Notwithstanding any law requiring a state or local agency to award contracts to the lowest responsible bidder, a state or local agency may use the best value procurement method for the purchase of equipment with a base value of two hundred fifty thousand dollars ($250,000) or more, in accordance the following:

(1) To use the procurement method described in this subdivision, the state or local agency shall adopt and publish procedures and guidelines for evaluating the qualifications of bidders that ensure the best value selections are conducted in a fair and impartial manner. These procedures and guidelines may include, but are not limited to, the adoption of a high road jobs plan policy.

(2) In addition to disclosure of the minimum requirements for qualification, the solicitation document shall specify what criteria, in addition to price, shall be given a weighted value. The state or local agency shall use a scoring method based on those factors and price in determining the successful bid. Any evaluation and scoring method shall ensure substantial weight is given to the contract price.

(3) The state or local agency shall let any contract for a project pursuant to this section to the selected bidder that represents the best value or shall reject all bids.

(b) For purposes of this section, the following definitions apply:

(1) Best value procurement means a process by which a contract award is determined by objective criteria related to price, quality, and other qualifications, including, but not limited to, the following:

(A) Product performance, productivity, and safety standards.

(B) The suppliers ability to perform the contract requirements.

(C) Environmental benefits, including the reduction of greenhouse gas emissions.

(D) Community benefits, including the bidders participation in or commitments to a community benefits agreement, targeted hiring program, or high road training program.

(E) Job quality benefits, as determined by a high road jobs plan policy.

(2) Community benefits agreement means a legally binding contract between a private entity and a partner entity that details specific, measurable, and enforceable commitments to a specified community. The partner entity shall be a public entity, nonprofit, or labor organization whose purpose aligns with the purported goal of the community benefits agreement.

(3) High road jobs plan means a component of an application submitted by applicants for public contracts where bidders are required to state, at a minimum, all of the following:

(A) The minimum number of full-time equivalent jobs that will be retained and created if awarded the contract.

(B) The minimum wage and benefit amounts by job classification for nonsupervisory workers on the contract.

(C) The minimum number of jobs that will be specifically retained and created for individuals facing barriers to employment if awarded the contract.

(D) Detailed information regarding any targeted hiring programs, community benefits agreements, high road training programs, or registered apprenticeship programs.

(E) A statement that all workers are properly classified pursuant to Section 2775 of the Labor Code and an acknowledgment that knowingly submitting false information is a violation of Article 9 (commencing with Section 12650) of Chapter 6 of Part 2 of Division 3 of Title 2 of the Government Code.

(4) High road jobs plan policy means a policy by which a state or local agency evaluates bidders high road jobs plan commitments as part of the overall score for the public contract, and incorporates these commitments into the selected applicants final contract as a material term.

(5) High road training program means a program that provides comprehensive, equitable, and standardized training to a diverse set of participants, including, but not limited to, the following:

(A) A program that includes a standardized curriculum resulting in an industry-recognized credential, that includes measurable goals, regular reporting, and accountability standards to assess program effectiveness.

(B) Wages and stipends for program participants, including assistance with tuition, supplies, and materials.

(C) Pay increases tied to new skills gained and trainings completed.

(D) Formalized agreements with a public entity, nonprofit, or labor organization to support the training program, whose purpose aligns with the programs goals.

(6) Local agency means a city, whether general law or chartered, county, or city and county, school district, or other district. For purposes of this paragraph, district means an agency of the state formed for the local performance of governmental or proprietary functions within limited boundaries.

(7) State agency means any department, division, board, bureau, commission, or agency of the executive branch of government in the state.

(8) Targeted hiring program means a program that meets all of the following conditions:

(A) Meaningful outreach and recruitment activities and measurable hiring goals specifically targeted to individuals facing barriers to employment or displaced workers.

(B) Hiring practices developed to provide fair access to and support the hiring of individuals facing barriers to employment.

(C) Collaboration with community groups or public entities to directly support skill and career development for individuals facing barriers to employment, as well as provide wraparound services as needed by particular communities, such as transportation assistance or childcare vouchers.