AB 114 — Public works: building construction.

Summary

(1) Existing law, except as specified, prohibits any state agency from expending funds appropriated for design-build projects until the Department of Finance and the State Public Works Board have approved performance criteria or performance criteria and concept drawings for the project. Existing law, for these purposes, defines the term "performance criteria" to mean the information that fully describes the scope of the proposed project, as specified. Existing law, for these purposes, defines the term "concept drawings" to mean any schematic drawings or architectural renderings that are prepared, in addition to performance criteria, in the detail necessary to sufficiently describe the state's needs. This bill would revise the definition of "performance criteria," for these purposes, to include concept drawings, as specified. The bill would additionally make conforming changes. (2) Existing law establishes the State Public Works Board which consists of the Director of Finance, the Director of Transportation, and the Director of General Services. Existing law authorizes the Director of Transportation and the Director of General Services to appoint a deputy or assistant director in their respective departments to act in their place on the board, as specified. This bill would repeal that authorization. (3) Existing law requires the State Public Works Board to notify the Department of General Services whenever the revenues, rentals, or receipts from the operation of a public building that was acquired or constructed by the board are no longer required or pledged for the payment of principal or interest on any of the certificates or revenue bonds of the board. Existing law provides that thereafter, that public building is under the jurisdiction of, and operated and maintained by, the Department of General Services. This bill would repeal this notification requirement and instead require those buildings to return to the jurisdiction of, and be operated and managed by, the state agency that had jurisdiction of the property prior to the board's financing of the public building. The bill would additionally make conforming changes. Existing law exempts from these provisions any public buildings that are acquired by lease by the board from a state agency, for the purposes of leasing the public building back to the state agency, as specified, and public buildings constructed for lease purchase to the University of California, the Trustees of the California State University, the Board of Governors of the California Maritime Academy, or any community college district. Existing law provides that when the revenues, rentals, or receipts from the operation of any public facility or public building are no longer required or pledged for the payment of principal or interest on the certificates or revenue bonds of the board, title to the public building vests in the Regents of the University of California, the Trustees of the California State University, the Board of Governors of the California Maritime Academy, or the community college district. This bill would repeal these exemption and vesting provisions. (4) Existing law, until July 1, 2015, authorizes the State Public Works Board to acquire public buildings by lease from any state agency, and to lease those public buildings back to the state agency and pledge the revenues, rentals, or receipts to the lease to secure repayment of revenue bonds, notes, or certificates issued by the board for the purpose of facilitating the financing of public buildings, as specified. This bill would eliminate the repeal date and require the Department of Finance to report to the Legislature by June 30, 2017, on the effects of this repeal, as specified. (5) Existing law requires all revenue bonds issued for state building construction to bear the signature of the Governor, and the facsimile countersignature of the Controller and the Treasurer, as specified. Existing law requires all interest coupons attached to each bond to bear the facsimile signature of the Treasurer, as specified. Existing law specifies that the rate of interest to be born by the bonds need not be uniform for all bonds of the same issue or series or division and provides that the rate may be determined and fixed by the State Public Works Board by resolution adopted at or after the sale of the bonds. This bill would eliminate the requirement that all interest coupons attached to each bond bear the facsimile signature of the Treasurer and all references to interest coupons in these provisions. The bill would additionally provide that a "not to exceed" interest rate may be determined and fixed by the board by resolution adopted prior to or after the sale of the bonds. (6) Existing law requires the highest bid received on the sale of the bonds to be determined by deducting the total amount of the premium bid, if any, from the total amount of the interest that the state would be required to pay from the date of the bonds or the last preceding interest payment date, whichever is latest, to the respective maturity date of the bonds, as specified, and requires the award to be made on the basis of the lowest net interest cost to the state. Existing law requires the Treasurer, upon receipt of a resolution of the State Public Works Board authorizing the issuance of bonds, to provide for the preparation of the bonds in accordance with the resolution. In the case of a public sale, existing law authorizes the Treasurer to sell the bonds at the time, and with the notice, determined by the Treasurer, upon sealed bids, to the bidder whose bid will result in the lowest net interest cost on account of the bonds. This bill would instead authorize the Treasurer, for a public sale, to set forth the form and means of bids, and to sell to the bidder whose bid will result in the lowest interest cost to the state on account of the bonds. The bill would set forth the procedures the Treasurer may use to determine the lowest interest cost to the state, including the net interest cost of each bid, or the true interest cost of each bid, as defined. (7) Existing law authorizes the Department of Corrections and Rehabilitation, participating counties, and the State Public Works Board to acquire, design, and construct local jail facilities approved by the Board of State and Community Corrections (BSCC) . Existing law authorizes the State Public Works Board to issue revenue bonds, notes, or bond anticipation notes in the amounts of $365,771,000 and $854,229,000, in 2 phases, to finance the acquisition, design, and construction, and a reasonable construction reserve, of approved local jail facilities, as specified. Existing law authorizes the State Public Works Board to issue revenue bonds, notes, or bond anticipation notes in the amount of $500,000,000 to finance the acquisition, design, and construction, and a reasonable construction reserve, of approved adult local criminal justice facilities, as defined. The funds derived from those revenue bonds, notes, or bond anticipation notes are continuously appropriated for the purposes described above. This bill would decrease the authorization for revenue bonds, notes, or bond anticipation notes in the first phase from $365,771,000 to $340,866,000 and increase the authorization of the 2nd phase from $854,229,000 to $870,074,000. The bill would also increase the authorization to be used for adult local criminal justice facilities from $500,000,000 to $509,060,000. (8) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.

Bill Text

• Chaptered 06/24/15 - Chaptered Current pdf June 24, 2015
• Enrolled 06/15/15 - Enrolled pdf June 15, 2015
• Amended 06/11/15 - Amended Senate pdf June 11, 2015
• Introduced 01/09/15 - Introduced pdf January 09, 2015
• AB114 View text html

Action History

1. June 24, 2015

   Chaptered by Secretary of State - Chapter 14, Statutes of 2015.

2. June 24, 2015

   Approved by the Governor.

3. June 19, 2015

   Enrolled and presented to the Governor at 3 p.m.

4. June 15, 2015

   Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 78. Noes 2. Page 1994.).

5. June 15, 2015

   Assembly Rule 63 suspended. (Page 1994.)

6. June 15, 2015

   Assembly Rule 77 suspended. (Page 1994.)

7. June 15, 2015

   In Assembly. Concurrence in Senate amendments pending. May be considered on or after June 17 pursuant to Assembly Rule 77.

8. June 15, 2015

   Read third time. Passed. Ordered to the Assembly. (Ayes 36. Noes 3. Page 1428.).

9. June 15, 2015

   Ordered to third reading.

10. June 15, 2015

    From committee: Do pass. (Ayes 15. Noes 0.) (June 15).

11. June 11, 2015

    From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on B. & F.R.

12. March 23, 2015

    Referred to Com. on B. & F.R.

13. March 23, 2015

    In Senate. Read first time. To Com. on RLS. for assignment.

14. March 23, 2015

    Read third time. Passed. Ordered to the Senate. (Ayes 51. Noes 27. Page 641.)

15. March 19, 2015

    Read second time. Ordered to third reading.

16. March 19, 2015

    Ordered to second reading.

17. March 19, 2015

    Withdrawn from committee.

18. March 19, 2015

    Assembly Rule 63 suspended. (Ayes 51. Noes 25. Page 611.)

19. March 19, 2015

    Assembly Rule 96 suspended. (Ayes 51. Noes 25. Page 611.)

20. January 16, 2015

    Referred to Com. on BUDGET.

21. January 12, 2015

    From printer. May be heard in committee February 11.

22. January 12, 2015

    Read first time.

23. January 09, 2015

    Introduced. To print.

Sponsors

• Committee on Budget · Primary

Votes

Subjects