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AB-717 Public contracts: armored courier services.(2019-2020)

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Date Published: 04/24/2019 09:00 PM
AB717:v96#DOCUMENT

Amended  IN  Assembly  April 24, 2019
Amended  IN  Assembly  April 03, 2019
Amended  IN  Assembly  March 21, 2019

CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Assembly Bill No. 717


Introduced by Assembly Member Nazarian
(Coauthors: Assembly Members Jones-Sawyer and McCarty)

February 19, 2019


An act to add Section 10338 to the Public Contract Code, relating to public contracts.


LEGISLATIVE COUNSEL'S DIGEST


AB 717, as amended, Nazarian. Public contracts: armored courier services.
Existing law authorizes state agencies, as defined, to acquire goods and services, subject to specified requirements, including a competitive bidding process for public contracts.
This bill would authorize a state agency, in consultation with the Treasurer’s office, to contract with an armored car service provider to pick up, count, and transport to a bank or financial institution the cash remits of any state-imposed taxes and fees that are administered by that state agency from participating businesses in California, including cannabis-related businesses. The bill would require specified armored car service providers to enter into, or have already entered into, a labor peace agreement, as defined, in order to contract with a state agency. The bill would also authorize the state agency to enter into an agreement with a local government, special district, or other local entity imposing a tax or fee to provide the armored car service. The bill would authorize a state agency to enter into an agreement with a participating business to that effect, and to charge a participating business a fee to cover the reasonable costs to the state agency of providing the armored car service.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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


SECTION 1.

 The Legislature finds and declares all of the following:
(a) The use of armored courier services would eliminate the need for state agencies to directly handle large sums of cash at branch offices or open deposit accounts at banks.
(b) The use of armored courier services would also decrease the number of barriers to the collection of tax and fee payments, thereby increasing taxpayer and feepayer compliance, would result in increased safety for employees of the state, and would not require banks and financial institutions to engage in activities that expose those institutions to risks.

SEC. 2.

 Section 10338 is added to the Public Contract Code, to read:

10338.
 (a) A state agency, in consultation with the Treasurer’s office, may contract with an armored car service provider to pick up, count, and transport to a bank or financial institution the cash remits of any state-imposed taxes and fees that are administered by that state agency from participating businesses in California, including cannabis-related businesses.
(b) Notwithstanding any other provision of law, a state agency may enter into an agreement with a local government, special district, or other local entity imposing a tax or fee to provide the armored car service described in subdivision (a) for cash remits of taxes and fees imposed by the local government, special district, or other local entity. The agreement shall include a method by which the local government, special district, or other local entity would reimburse the state for its costs.
(c) A state agency may enter into an agreement with any person that remits cash to the agency for the payment of any state-imposed taxes and fees that are administered by that agency to provide the armored car service governed by this section. The state agency may include in that agreement a provision requiring the participating business to pay a fee to cover the reasonable costs to the state agency of providing the armored car service.
(d) For purposes of this section:
(1) In order to enter into a contract with a state agency pursuant to this section, an armored car service provider that employs 20 or more employees shall provide a statement to the state agency that the provider will enter into, or demonstrate that it has already entered into, and abide by the terms of a labor peace agreement.
(2) “Armored car” has the same meaning as defined in Section 115 of the Vehicle Code.
(3) “Labor peace agreement” means an agreement between a licensee an armored car service provider and any bona fide labor organization that, at a minimum, protects the state’s proprietary interests by prohibiting labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with the applicant’s provider’s business. This agreement means that the applicant has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the applicant’s provider’s employees. The agreement shall provide a bona fide labor organization access at reasonable times to areas in which the applicant’s provider’s employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under state law, and terms and conditions of employment. This type of agreement shall not mandate a particular method of election or certification of the bona fide labor organization.
(4) “Participating business” means a person who has entered into an agreement with a state agency for the state agency to provide armored car service, pursuant to subdivision (c).