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SB-1194 Water replenishment districts: competitive bidding.(2019-2020)

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Date Published: 02/20/2020 09:00 PM
SB1194:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2019–2020 REGULAR SESSION

Senate Bill
No. 1194


Introduced by Senator Archuleta

February 20, 2020


An act to amend Sections 60602, 60616, and 60622 of, to repeal Sections 60606, 60608, 60610, and 60612 of, and to repeal and add Section 60604 of, the Water Code, relating to water.


LEGISLATIVE COUNSEL'S DIGEST


SB 1194, as introduced, Archuleta. Water replenishment districts: competitive bidding.
The Water Replenishment District Act provides for the formation of water replenishment districts with prescribed powers for the purposes of replenishing the groundwater supplies within the district. The act requires a district to advertise for bids before making any contract totaling $25,000 or more within any 12-month period and, when work is to be done, to give notice calling for bids by publication, as prescribed.
This bill would revise and recast the provisions establishing the competitive bidding and related public notice procedures for water replenishment districts, including, among other revisions, deleting the requirement that a district advertise for bids before making any contract totaling $25,000 or more within any 12-month period, and instead requiring a district to advertise for bids before making any contract totaling $40,000 or more.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

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


SECTION 1.

 Section 60602 of the Water Code is amended to read:

60602.
 (a) Before A district shall advertise for bids before making any contract totaling twenty-five forty thousand dollars ($25,000) ($40,000) or more within any 12-month period, the district shall advertise for bids. more.

(b)Notwithstanding subdivision (a), if a proposed expenditure described in the annual district budget for any item of supplies or services equals or exceeds twenty-five thousand dollars ($25,000), the district shall advertise for bids before making any contract for that item during the year to which that budget applies.

(b) Consistent with subdivision (a), a district may prescribe methods for the construction of works and for the letting of contracts for any of the following purposes:
(1) The construction of works, structures, or equipment.
(2) The performance or furnishing of labor, materials, or supplies necessary or convenient for carrying out any of the purposes of this division.
(3) The acquisition or disposal of any real or personal property.
(c) This section does not apply to any of Notwithstanding subdivision (a), any of the following contracts: contracts may be let without calling for competitive bids:
(1) The recruitment, hiring, and dismissal of district employees and officers.
(2) Contracts with other public entities pursuant to subdivision (i) of Section 60230.
(3) Contracts for which only per diem and travel expenses are paid and there is no payment for services rendered.
(4) Contracts solely for the purpose of retaining expert witnesses for litigation.
(5) Contracts for proprietary information or systems.
(6) Contracts for professional services, including, but not limited to, architectural, engineering, environmental, land surveying, or construction project management services, that are let on the basis of demonstrated competence and on the professional qualifications necessary for the satisfactory performance of the services required pursuant to Chapter 10 (commencing with Section 4525) of Division 5 of Title 1 of the Government Code.
(7) Contracts for legal services that are let on the basis of demonstrated competence and on the professional qualifications necessary for the satisfactory performance of the services.
(8) Contracts for the acquisition or disposal of real property, for the acquisition or leasing of personal property, or for the maintenance or repair of district equipment or structures.
(d) The district may adopt other procurement, advertising, and bidding rules that are more restrictive than those contained in the Public Contract Code and those more restrictive rules shall govern the procurement, advertising, and bidding practices of the district.

SEC. 2.

 Section 60604 of the Water Code is repealed.
60604.

When work is to be done, the district shall give notice calling for bids by publication in a newspaper of general circulation in the county once a week for four consecutive weeks.

SEC. 3.

 Section 60604 is added to the Water Code, to read:

60604.
 (a) When the construction of works is not to be done by the district itself by force account, and the amount involved is forty thousand dollars ($40,000) or more, notice of any contract for the construction of works shall be made by the district with the lowest responsible bidder after publication pursuant to Section 6061 of the Government Code.
(b) The notice shall set forth all of the following information:
(1) Plans and specifications of the work to be done can be seen at the office of the district.
(2) The board will receive sealed bids.
(3) The contract will be let to the lowest responsible bidder.
(4) The bids will be opened in public at a given time and place.
(c) If less than the whole work provided for in the plans and specifications is to be done, the portion to be done shall be particularly described in the notice.
(d) All bids for construction work shall be presented under sealed cover and shall be accompanied by one of the following forms of bidder’s security:
(1) Cash.
(2) A cashier’s check made payable to the district.
(3) A certified check made payable to the district.
(4) A bidder’s bond executed by an admitted surety insurer, made payable to the district.
(e) Upon an award to the lowest bidder, the security of an unsuccessful bidder shall be returned in a reasonable period of time, but in no event shall that security be held by the district beyond 60 days from the time the award is made.
(f) The board may do any of the following:
(1) Let the work to the lowest responsible bidder.
(2) Reject any or all bids and readvertise for proposals.
(3) Proceed to construct the work under its own superintendence.

SEC. 4.

 Section 60606 of the Water Code is repealed.
60606.

If less than the whole work provided for in the plans and specifications is to be done, the portion to be done must be particularly described in the notice.

SEC. 5.

 Section 60608 of the Water Code is repealed.
60608.

The notice shall set forth all of the following information:

(a)Plans and specifications of the work to be done can be seen at the office of the district.

(b)The board will receive sealed bids.

(c)The contract will be let to the lowest responsible bidder.

(d)The bids will be opened in public at a given time and place.

SEC. 6.

 Section 60610 of the Water Code is repealed.
60610.

(a)All bids for construction work shall be presented under sealed cover and shall be accompanied by one of the following forms of bidder’s security:

(1)Cash.

(2)A cashier’s check made payable to the district.

(3)A certified check made payable to the district.

(4)A bidder’s bond executed by an admitted surety insurer, made payable to the district.

(b)Upon an award to the lowest bidder, the security of an unsuccessful bidder shall be returned in a reasonable period of time, but in no event shall that security be held by the district beyond 60 days from the time the award is made.

SEC. 7.

 Section 60612 of the Water Code is repealed.
60612.

The board may do any of the following:

(a)Let the work to the lowest responsible bidder.

(b)Reject any or all bids and readvertise for proposals.

(c)Proceed to construct the work under its own superintendence.

SEC. 8.

 Section 60616 of the Water Code is amended to read:

60616.
 Contracts for the purchase of materials materials, other than material for the maintenance or repair of district equipment or structures, only shall be awarded to the lowest responsible bidder, except that the board may reject any or all bids for the furnishing of materials only and thereafter either readvertise for bids or solicit offers from not less than three responsible persons to furnish materials.

SEC. 9.

 Section 60622 of the Water Code is amended to read:

60622.
 (a) All contracts and other documents executed by the district that require or authorize the district to expend ten thousand dollars ($10,000) or more shall be authorized by the board of directors and signed by the president and the secretary except that the board may, by resolution for a specific expenditure, authorize the district manager or other district representative to sign contracts and other documents in the name of the district, not to exceed twenty-five forty thousand dollars ($25,000). ($40,000).
(b) All contracts and other documents executed by the district that require or authorize the district to expend less than ten thousand dollars ($10,000) may be approved and signed by the district manager or other district representative authorized by the board of directors, provided, however, that the manager may not execute multiple contracts or documents on behalf of the district with the same person or entity within a one-year period that cumulatively total ten thousand dollars ($10,000) or more, without the board’s prior approval.