Bill Text: CA AB450 | 2011-2012 | Regular Session | Enrolled


Bill Title: California State University: food service contracts.

Spectrum: Partisan Bill (Democrat 8-0)

Status: (Vetoed) 2011-10-08 - Vetoed by Governor. [AB450 Detail]

Download: California-2011-AB450-Enrolled.html
BILL NUMBER: AB 450	ENROLLED
	BILL TEXT

	PASSED THE SENATE  AUGUST 30, 2011
	PASSED THE ASSEMBLY  SEPTEMBER 2, 2011
	AMENDED IN SENATE  AUGUST 15, 2011
	AMENDED IN SENATE  JULY 13, 2011
	AMENDED IN SENATE  JUNE 28, 2011
	AMENDED IN ASSEMBLY  MAY 2, 2011

INTRODUCED BY   Assembly Member Wieckowski
   (Coauthors: Assembly Members Blumenfield, Fuentes, Gatto, Lara,
Mendoza, and Portantino)
   (Coauthor: Senator Vargas)

                        FEBRUARY 15, 2011

   An act to amend Section 89036 of the Education Code, relating to
the California State University.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 450, Wieckowski. California State University: food service
contracts.
   Existing law authorizes the Trustees of the California State
University to enter into agreements for the performance of acts or
for the furnishing of services, facilities, materials, goods,
supplies, or equipment, under certain conditions. The trustees are
required to prescribe policies and procedures for the acquisition of
services, facilities, materials, goods, supplies, or equipment,
subject to specified criteria.
   This bill would require the policies and procedures for the
acquisition of food services to ensure a service contractor fully
discloses to the campus, auxiliary organization, or other unit of the
California State University all discounts, rebates, allowances, and
incentives received by the service contractor from its suppliers, as
specified, and to disclose and pay to the campus, auxiliary
organization, or other unit of the university the full amount of the
discount, rebate, or applicable credit, as specified. This bill would
require the policies and procedures for the acquisition of services
be available for review as part of any audit conducted under
specified provisions. The bill would require any necessary changes to
the policies and procedures for the acquisition of services be
implemented upon the renewal, extension, or amendment of an existing
agreement or as part of any new service agreement.


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

  SECTION 1.  Section 89036 of the Education Code is amended to read:

   89036.  (a) (1) The trustees may enter into agreements with any
public or private agency, officer, person, or institution,
corporation, association, or foundation for the performance of acts
or for the furnishing of services, facilities, materials, goods,
supplies, or equipment by or for the trustees or for the joint
performance of an act or function or the joint furnishing of services
and facilities by the trustees and the other party to the agreement.

   (2) (A) Notwithstanding any other provision of law, the trustees
shall prescribe policies and procedures for the acquisition of
services, facilities, materials, goods, supplies, or equipment. The
policies and procedures of the trustees for the acquisition of
materials, goods, supplies, or equipment shall include competitive
means for obtaining best value while complying with legislative
intent regarding competitive bids or proposals as it is expressed in
Article 3 (commencing with Section 10300) of Chapter 2 of Part 2 of
Division 2 of the Public Contract Code, and may include the use of
financing arrangements.
   (B) The policies and procedures for the acquisition of food
services shall ensure that a service contractor fully discloses to
the California State University campus, auxiliary organization, or
other unit of the California State University all discounts, rebates,
allowances, and incentives received by the service contractor from
its suppliers. If the service contractor receives a discount, rebate,
allowance, or other incentive from any supplier, the service
contractor shall disclose and pay to the California State University
campus the full amount of the discount, rebate, or applicable credit
that is received based on the purchases made on behalf of the
California State University campus, auxiliary organization, or other
unit of the California State University. Language stating this
requirement shall be placed in agreements covered by this section.
All discounts, rebates, allowances, and incentives shall be paid to
the California State University campus, auxiliary organization, or
other unit of the California State University during a mutually
agreed upon time frame, and be available for review as part of any
audit conducted pursuant to Section 89045 or 12440.1 of the
Government Code. Any changes required pursuant to this section shall
be implemented upon the renewal, extension, or amendment of an
existing agreement or as part of any new service agreement.
   (3) The trustees may enter into agreements with the federal
government or any agency thereof in accordance with the procedures
prescribed by the federal government or agency in order to receive
the benefits of any federal statute extending benefits to the
California State University or to California State University
students, including, but not necessarily limited to, both of the
following:
   (A) Agreements with any agency of the federal government for the
education of persons in the service of the federal government.
   (B) Agreements with any agency of the federal government for the
education of veterans. These agreements shall provide for payment of
the maximum amount permitted under the act, or acts, of Congress
under which the agreement is entered into.
   (4) Notwithstanding any other provision of law, the trustees have
all power necessary to perform any acts, and comply with conditions,
required or imposed by the federal government in order to receive the
benefits. The trustees are vested with all necessary power and
authority to cooperate with any agency of the federal government in
the administration of any applicable act of Congress and rules and
regulations adopted thereunder.
   (b) Notwithstanding any other law, the trustees have all power
necessary to award contracts to one or more contractors, at any one
or more campuses, for the collection of delinquent educational loans
required to be repaid under federal law.
   (c) As used in this section, the following terms have the
following meanings:
   (1) "Auxiliary organization" means those entities defined in
Section 89901.
   (2) "Rebate" includes any return of monetary value, including, but
not limited to, any volume discounts, allowances, or discount
purchase incentives.    
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