Bill Text: CA AB2376 | 2013-2014 | Regular Session | Chaptered

California Assembly Bill 2376 (Prior Session Legislation)

Bill Title: State construction projects: insurance.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Passed) 2014-07-10 - Chaptered by Secretary of State - Chapter 115, Statutes of 2014. [AB2376 Detail]

Download: California-2013-AB2376-Chaptered.html

BILL NUMBER: AB 2376	CHAPTERED
	BILL TEXT

	CHAPTER  115
	FILED WITH SECRETARY OF STATE  JULY 10, 2014
	APPROVED BY GOVERNOR  JULY 10, 2014
	PASSED THE SENATE  JUNE 26, 2014
	PASSED THE ASSEMBLY  MAY 8, 2014
	AMENDED IN ASSEMBLY  APRIL 10, 2014

INTRODUCED BY   Assembly Member Weber

                        FEBRUARY 21, 2014

   An act to amend Section 11007 of the Government Code, relating to
state construction projects.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2376, Weber. State construction projects: insurance.
   Existing law generally prohibits property belonging to the state
from being insured against risk of damage or destruction by fire,
with specified exceptions.
   Existing law, notwithstanding this general prohibition, authorizes
the Director of General Services to establish a master builders'
risk insurance program for all state construction projects during
construction. Existing law requires a deductible from a contractor of
at least $25,000 for a master policy issued under the master
builders' risk insurance program.
   This bill would instead require the contractor's deductible under
a master policy to be outlined in the request for bids or proposals.




THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 11007 of the Government Code is amended to
read:
   11007.  (a) Except as expressly authorized by law or as
specifically authorized by the Director of General Services, property
belonging to the state shall not be insured against risk of damage
or destruction by fire, and the policies of fire insurance upon any
property belonging to the state shall not be renewed. This section is
not applicable to the State Compensation Insurance Fund nor to
property owned by it.
   (b) Notwithstanding the provisions of subdivision (a), the
Director of General Services may establish a master builders' risk
insurance program for all state construction projects during
construction.
   (c) Insurance authorized by this section shall be procured
utilizing insurance procurement procedures approved by the Director
of General Services.
   (d) The master builders' risk insurance program established
pursuant to subdivision (b) shall provide that if a master policy is
issued, that policy shall require a deductible from the contractor,
as outlined in the request for bids or proposals.