Request for Letters – CSAC Sponsored Bills/Legislative Update
June 8, 2023
The last day for bills to pass out of the house of origin was June 2nd. Policy committees resumed on June 5th, meaning that every bill that passed out of the first house is now in the second house. Any bill that did not pass out of the house of origin is now a two-year bill. As a reminder, position letters on legislation must be updated every time a bill moves to a different committee.
The Legislature will break for Summer Recess on July 14th and will reconvene on August 14th. They will work from August 14th until September 14th, when they recess the first year of the two-year session. October 14th will be the last day for the Governor to sign or veto bills passed by the Legislature before September 14th and in the Governor’s possession on or after September 14th.
CSAC-Sponsored Public Works Bills
AB 400 would allow local governments to continue the utilization of existing state law which allows them to use the Design-Build (DB) procurement process for qualifying public works projects. This bill was amended on May 1st to extend the existing January 1, 2025 sunset date to January 1, 2031 on the statutory DB authority. SB 706 would allow counties, cities and special districts to use the Progressive Design-Build (PDB) project delivery method for construction contracts.
AB 400 (Rubio) Local agency design-build projects: authorization.
Existing statute enacts more uniform provisions authorizing most local agencies, counties included, to use the DB procurement process for specified public works projects within Public Contract Codes Sections 22160-22169, which excludes roads but includes buildings, utility improvements associated with buildings, flood control, underground utility improvements, and bridges.
The DB method is an approach to delivering public works projects in which both the design and construction of a project are procured from a single entity. Under design-build, the owner contracts with a single entity to both design and construct a project at a fixed price. Simultaneously, contractors are provided with more flexibility over project design, materials and construction methods. This promotes project design and construction innovation, which can result in higher quality, as well as cost savings. The approach also reduces the county and local agencies risk and results in fewer litigation claims for all parties involved.
AB 400 will be set to be heard in the Senate Governance and Finance Committee on June 21st at 1:30 (note date change), the Committee’s letter deadline is Thursday, June 15th at Noon. A fact sheet for AB 400 (Rubio) is available here, CSAC’s coalition letter is available here.
SB 706 (Caballero) Public contracts: progressive design-build: local agencies.
SB 706 would allow counties, cities and special districts to use the Progressive Design-Build (PDB) project delivery method for construction contracts.
PDB allows public agencies to complete public works projects more quickly and at a lower cost, allowing public dollars to provide greater benefits to the public—especially federal dollars with strict use-it-or-lose-it timelines—without sacrificing important protections the public expects. PDB entails use of a two-part award system allowing for confirmation of full scope of work, with fewer ambiguities, less time and cost in procurement, and more competitive pricing from trades. This bill will allow local agencies throughout the state to attract more proposers for their projects by significantly reducing the cost of responding to RFPs compared to alternative contracting methods. In addition to offering the advantage of a reduced project schedule and cost, it also increases partnering between the agency and contractor through the design process during the initial phase.
SB 706 is set to be heard in the Assembly Local Government Committee on June 21st at 1:30, the Committee’s letter deadline is Thursday, June 15th at 5:00 PM. The coalition letter for SB 706 is available here.