CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 247Introduced by Senator Smallwood-CuevasJanuary 30, 2025 An act to amend Section 2500.5 of the Public Contract Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGESTSB 247, as introduced, Smallwood-Cuevas. Construction: workforce development: public contracts.Existing law, on or after January 1, 2026, authorizes a state agency to use, enter into, or require contractors to enter into, a project labor agreement that applies to a project or set of projects with aggregate construction costs in excess of $35,000,000 only if the agreement also includes provisions to address community benefits, as described.This bill would make nonsubstantive changes to those provisions.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 2500.5 of the Public Contract Code is amended to read:2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.
CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 247Introduced by Senator Smallwood-CuevasJanuary 30, 2025 An act to amend Section 2500.5 of the Public Contract Code, relating to public contracts. LEGISLATIVE COUNSEL'S DIGESTSB 247, as introduced, Smallwood-Cuevas. Construction: workforce development: public contracts.Existing law, on or after January 1, 2026, authorizes a state agency to use, enter into, or require contractors to enter into, a project labor agreement that applies to a project or set of projects with aggregate construction costs in excess of $35,000,000 only if the agreement also includes provisions to address community benefits, as described.This bill would make nonsubstantive changes to those provisions.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION
Senate Bill
No. 247
Introduced by Senator Smallwood-CuevasJanuary 30, 2025
Introduced by Senator Smallwood-Cuevas
January 30, 2025
An act to amend Section 2500.5 of the Public Contract Code, relating to public contracts.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 247, as introduced, Smallwood-Cuevas. Construction: workforce development: public contracts.
Existing law, on or after January 1, 2026, authorizes a state agency to use, enter into, or require contractors to enter into, a project labor agreement that applies to a project or set of projects with aggregate construction costs in excess of $35,000,000 only if the agreement also includes provisions to address community benefits, as described.This bill would make nonsubstantive changes to those provisions.
Existing law, on or after January 1, 2026, authorizes a state agency to use, enter into, or require contractors to enter into, a project labor agreement that applies to a project or set of projects with aggregate construction costs in excess of $35,000,000 only if the agreement also includes provisions to address community benefits, as described.
This bill would make nonsubstantive changes to those provisions.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 2500.5 of the Public Contract Code is amended to read:2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.
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 2500.5 of the Public Contract Code is amended to read:2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.
SECTION 1. Section 2500.5 of the Public Contract Code is amended to read:
### SECTION 1.
2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.
2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.
2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.
2500.5. (a) A state agency may use, enter into, or require contractors to enter into, a project labor agreement agreement, pursuant to this chapter chapter, that applies to a project or set of projects with aggregate construction costs in excess of thirty-five million dollars ($35,000,000) only if the agreement also includes provisions to address community benefits. Community benefits may include partnerships with high road construction careers programs, as defined in Section 14005 of the Unemployment Insurance Code, local hire goals, coordination with programs that assist veterans in transitioning to civilian employment, job fairs for construction apprenticeship or preapprenticeship programs, or other methods agreed upon by the parties to promote employment and training opportunities for veterans and individuals who reside in economically disadvantaged areas.
(b) This section shall apply to project labor agreements entered into on or after January 1, 2026.