AB 550

Bill Subjects

Abstract

Existing law provides for various programs to encourage the participation of small businesses, as certified by the Department of General Services, in state agency contracts, and sets forth the duties of the Office of Small Business and Disabled Veteran Business Enterprise Services in this regard. This bill would require the head of a state agency to ensure that a state contracting program is administered in a manner that promotes small business participation. This bill would require the head of a state agency to annually review small business participation levels and to develop a plan for increasing small business participation levels within 60 days when participation levels are low. This bill would require the Department of General Services and the Office of the Small Business Advocate to serve as a resource to assist the heads of state agencies in identifying best practices for utilization of small businesses in their contracting programs. This bill would encourage independent state entities, as specified, to take all necessary actions to comply with the intent and the requirements of this bill. This bill would require a state agency to proactively pursue an annual 25% small business participation level in state contracting and, for an agency that does not achieve this level, to submit to the Governor's office, the Office of the Small Business Advocate, and the Legislature, within 60 days of the close of the calendar year, notice that the small business participation was not achieved and a plan for improving small business contracting. This bill would require the Department of General Services, and authorize the Office of the Small Business Advocate, to provide guidance to state agencies in developing a plan for, and taking the necessary actions toward, achieving the 25% participation level. This bill would not require an action that would result in the violation of a court order or a loss of eligibility for federal funding. This bill would also make findings and declarations regarding small business participation in state contracting.