State Codes and Statutes

Statutes > California > Gov > 4530-4535.3

GOVERNMENT CODE
SECTION 4530-4535.3



4530.  This chapter shall be known as the "Target Area Contract
Preference Act."



4531.  The Legislature hereby declares that it serves a public
purpose, and is of benefit to the state, to encourage and facilitate
job maintenance and job development in distressed and declining areas
of cities and towns in the state. It is the intent of the
Legislature to further these goals by providing appropriate
preferences to California based companies submitting bids or
proposals for state contracts to be performed at worksites in
distressed areas by persons with a high risk of unemployment when the
contract is for goods or services in excess of one hundred thousand
dollars ($100,000).



4532.  As used in this chapter:
   (a) "Block group" means the smallest area for which the United
States Department of Commerce, Bureau of the Census provides data on
personal income.
   (b) "Urbanized area" means a central city or cities and
surrounding closely settled territory, as defined by the United
States Department of Commerce, Bureau of the Census in the Federal
Register, Vol. 39, Number 85, for Wednesday, May 1, 1974, at pages
15202-15203 and as periodically updated.
   (c) "Cluster of block groups" means one or more contiguous block
groups.
   (d) "Distressed" means an urbanized area, within the State of
California and as identified by the Office of Planning and Research,
which contains at least 3,000 people in a cluster of block groups,
each of which meet at least five of the following criteria according
to the most recent available census information compared to the last
statewide census:
   (1) The percentage of the block group's population over age 25
with less than a high school education was within the upper quartile
of all block groups.
   (2) The unemployment rate of the block group was within the upper
quartile of all block groups.
   (3) The per capita income of the block group was within the lower
quartile of all block groups.
   (4) The percentage of the block group's households which were
female-headed households in poverty with children present was within
the upper quartile of all block groups.
   (5) The percentage of the block group's population over 65 who
were in poverty was within the upper quartile of all block groups.
   (6) The percentage of the block group's households with more than
1.01 persons per room was within the upper quartile of all block
groups.
   (7) The percentage of the block group's population younger than 18
who were in poverty was within the upper quartile of all block
groups.
   (8) The percentage of the block group's population who were
nonwhite or hispanic was within the upper quartile of all block
groups.
   (e) "Approved special census" means a special census approved by
the Population Research Unit of the Department of Finance.
   (f) "Person with a high risk of unemployment" means a person who:
   (1) As a member of one of the eligible groups defined in Section
321 of Public Law 95-600, qualifies an employer who hires him or her
for the Targeted Jobs Tax Credit. These groups are: economically
disadvantaged youth, economically disadvantaged Vietnam-era veterans,
economically disadvantaged ex-convicts, vocational rehabilitation
referrals, youth participating in a qualified cooperative education
program, recipients of supplemental security income benefits under
Title XVI of the Social Security Act, and general assistance
recipients.
   (2) Would have qualified an employer hiring him or her for the
Work Incentive/Welfare Tax Credit authorized by Section 322 of Public
Law 95-600. These persons include applicants and recipients of aid
to families with dependent children who would have registered for the
Work Incentive Program, and aid to families with dependent children
recipients who have been receiving welfare for at least 90 days.
   (g) "Poverty" means the poverty level, as defined by the United
States Department of Commerce, Bureau of the Census in the Federal
Register, Volume 43, Number 87, for Thursday, May 4, 1978, at pages
19260-19269, and as periodically updated.
   (h) "California based company" means either of the following:
   (1) A business or corporation whose principal office is located in
California, and the owners, or officers if the entity is a
corporation, are domiciled in California.
   (2) A business or corporation that has a major office or
manufacturing facility located in California and that has been
licensed by the state on a continuous basis to conduct business
within the state and has continuously employed California residents
for work within the state during the three years prior to submitting
a bid or proposal for a state contract.
   (i) "Worksite" means either of the following:
   (1) A business located within a distressed area.
   (2) A business located in directly adjoining census tract blocks
that when attached to the distressed area forms a contiguous
boundary. A company that intends to perform the work at a worksite
described in this paragraph shall submit a map with the bid or
proposal identifying where the worksite is located.



4533.  Whenever the state prepares a solicitation for a contract for
goods in excess of one hundred thousand dollars ($100,000), except a
contract in which the worksite is fixed by the provisions of the
contract, the state shall award a 5-percent preference to
California-based companies who demonstrate and certify under penalty
of perjury that of the total labor hours required to manufacture the
goods and perform the contract, at least 50 percent of the hours
shall be accomplished at an identified worksite or worksites located
in a distressed area.


4533.1.  Where a bidder complies with the provisions of Section
4533, or the worksite or worksites where at least 50 percent of the
labor required to perform the contract is within commuting distance
of a distressed area, the state shall award a 1-percent preference
for bidders who certify under penalty of perjury to hire persons with
high risk of unemployment equal to 5 to 9 percent of its work force
during the period of contract performance; a 2-percent preference for
bidders who shall agree to hire persons with high risk of
unemployment equal to 10 to 14 percent of its work force during the
period of contract performance; a 3-percent preference for bidders
who shall agree to hire persons with high risk of unemployment equal
to 15 to 19 percent of its work force during the period of contract
performance; and a 4-percent preference for bidders who shall agree
to hire persons with high risk of unemployment equal to 20 or more
percent of its work force during the period of contract performance.



4534.  In evaluating proposals for contracts for services in excess
of one hundred thousand dollars ($100,000), except a contract in
which the worksite is fixed by the provisions of the contract, the
state shall award a 5-percent preference on the price submitted by
California-based companies who demonstrate and certify under penalty
of perjury that not less than 90 percent of the total labor hours
required to perform the contract shall be accomplished at an
identified worksite or worksites located in a distressed area.



4534.1.  Where a bidder complies with the provisions of Section
4534, the state shall award the additional preferences as set forth
in Section 4533.1 as appropriate.



4535.  All state contracts issued to bidders who are awarded
preferences under this chapter shall contain conditions to ensure
that the contractor performs the contract at the location specified
and meets any commitment to employ persons with high risk of
unemployment.



4535.1.  A business that requests and is given the preference
provided for in Section 4533, 4533.1, 4534, or 4534.1 by reason of
having furnished a false certification, and which by reason of that
certification has been awarded a contract to which it would not
otherwise have been entitled, shall be subject to all of the
following:
   (a) Pay to the state any difference between the contract amount
and what the state's cost would have been if the contract had been
properly awarded.
   (b) In addition to the amount specified in subdivision (a), be
assessed a penalty in an amount of not more than 10 percent of the
amount of the contract involved.
   (c) Be ineligible to directly or indirectly transact any business
with the state for a period of not less than six months and not more
than 36 months.
   Prior to the imposition of any sanction under this chapter, the
contractor or vendor shall be entitled to a public hearing and to
five days' notice of the time and place thereof. The notice shall
state the reasons for the hearing.


4535.2.  (a) The maximum preference and incentive a bidder may be
awarded pursuant to this chapter and any other provision of law shall
be 15 percent. However, in no case shall the maximum preference and
incentive cost under this chapter exceed fifty thousand dollars
($50,000) for any bid, nor shall the combined cost of preferences and
incentives granted pursuant to this chapter and any other provision
of law exceed one hundred thousand dollars($100,000). In those cases
where the 15-percent cumulated preference and incentive cost would
exceed the one hundred thousand dollar ($100,000) maximum preference
and incentive cost limit, the one hundred thousand dollar ($100,000)
maximum preference and incentive cost limit shall apply.
   (b) Notwithstanding the provisions of this chapter, small business
bidders qualified in accordance with Section 14838 shall have
precedence over nonsmall business bidders in that the application of
any bidder preference for which nonsmall business bidders may be
eligible, including the preference contained in this chapter, shall
not result in the denial of the award to a small business bidder.
This subdivision shall apply to those cases where the small business
bidder is the lowest responsible bidder, as well as to those cases
where the small business bidder is eligible for award as the result
of application of the 5-percent small business bidder preference and
incentive.


4535.3.  The Department of General Services, with the cooperation of
the Employment Development Department, the Department of Industrial
Relations and the Office of Planning and Research, and under the
direction of the State and Consumer Services Agency, shall adopt
appropriate rules, regulations, and guidelines to implement this
chapter.


State Codes and Statutes

Statutes > California > Gov > 4530-4535.3

GOVERNMENT CODE
SECTION 4530-4535.3



4530.  This chapter shall be known as the "Target Area Contract
Preference Act."



4531.  The Legislature hereby declares that it serves a public
purpose, and is of benefit to the state, to encourage and facilitate
job maintenance and job development in distressed and declining areas
of cities and towns in the state. It is the intent of the
Legislature to further these goals by providing appropriate
preferences to California based companies submitting bids or
proposals for state contracts to be performed at worksites in
distressed areas by persons with a high risk of unemployment when the
contract is for goods or services in excess of one hundred thousand
dollars ($100,000).



4532.  As used in this chapter:
   (a) "Block group" means the smallest area for which the United
States Department of Commerce, Bureau of the Census provides data on
personal income.
   (b) "Urbanized area" means a central city or cities and
surrounding closely settled territory, as defined by the United
States Department of Commerce, Bureau of the Census in the Federal
Register, Vol. 39, Number 85, for Wednesday, May 1, 1974, at pages
15202-15203 and as periodically updated.
   (c) "Cluster of block groups" means one or more contiguous block
groups.
   (d) "Distressed" means an urbanized area, within the State of
California and as identified by the Office of Planning and Research,
which contains at least 3,000 people in a cluster of block groups,
each of which meet at least five of the following criteria according
to the most recent available census information compared to the last
statewide census:
   (1) The percentage of the block group's population over age 25
with less than a high school education was within the upper quartile
of all block groups.
   (2) The unemployment rate of the block group was within the upper
quartile of all block groups.
   (3) The per capita income of the block group was within the lower
quartile of all block groups.
   (4) The percentage of the block group's households which were
female-headed households in poverty with children present was within
the upper quartile of all block groups.
   (5) The percentage of the block group's population over 65 who
were in poverty was within the upper quartile of all block groups.
   (6) The percentage of the block group's households with more than
1.01 persons per room was within the upper quartile of all block
groups.
   (7) The percentage of the block group's population younger than 18
who were in poverty was within the upper quartile of all block
groups.
   (8) The percentage of the block group's population who were
nonwhite or hispanic was within the upper quartile of all block
groups.
   (e) "Approved special census" means a special census approved by
the Population Research Unit of the Department of Finance.
   (f) "Person with a high risk of unemployment" means a person who:
   (1) As a member of one of the eligible groups defined in Section
321 of Public Law 95-600, qualifies an employer who hires him or her
for the Targeted Jobs Tax Credit. These groups are: economically
disadvantaged youth, economically disadvantaged Vietnam-era veterans,
economically disadvantaged ex-convicts, vocational rehabilitation
referrals, youth participating in a qualified cooperative education
program, recipients of supplemental security income benefits under
Title XVI of the Social Security Act, and general assistance
recipients.
   (2) Would have qualified an employer hiring him or her for the
Work Incentive/Welfare Tax Credit authorized by Section 322 of Public
Law 95-600. These persons include applicants and recipients of aid
to families with dependent children who would have registered for the
Work Incentive Program, and aid to families with dependent children
recipients who have been receiving welfare for at least 90 days.
   (g) "Poverty" means the poverty level, as defined by the United
States Department of Commerce, Bureau of the Census in the Federal
Register, Volume 43, Number 87, for Thursday, May 4, 1978, at pages
19260-19269, and as periodically updated.
   (h) "California based company" means either of the following:
   (1) A business or corporation whose principal office is located in
California, and the owners, or officers if the entity is a
corporation, are domiciled in California.
   (2) A business or corporation that has a major office or
manufacturing facility located in California and that has been
licensed by the state on a continuous basis to conduct business
within the state and has continuously employed California residents
for work within the state during the three years prior to submitting
a bid or proposal for a state contract.
   (i) "Worksite" means either of the following:
   (1) A business located within a distressed area.
   (2) A business located in directly adjoining census tract blocks
that when attached to the distressed area forms a contiguous
boundary. A company that intends to perform the work at a worksite
described in this paragraph shall submit a map with the bid or
proposal identifying where the worksite is located.



4533.  Whenever the state prepares a solicitation for a contract for
goods in excess of one hundred thousand dollars ($100,000), except a
contract in which the worksite is fixed by the provisions of the
contract, the state shall award a 5-percent preference to
California-based companies who demonstrate and certify under penalty
of perjury that of the total labor hours required to manufacture the
goods and perform the contract, at least 50 percent of the hours
shall be accomplished at an identified worksite or worksites located
in a distressed area.


4533.1.  Where a bidder complies with the provisions of Section
4533, or the worksite or worksites where at least 50 percent of the
labor required to perform the contract is within commuting distance
of a distressed area, the state shall award a 1-percent preference
for bidders who certify under penalty of perjury to hire persons with
high risk of unemployment equal to 5 to 9 percent of its work force
during the period of contract performance; a 2-percent preference for
bidders who shall agree to hire persons with high risk of
unemployment equal to 10 to 14 percent of its work force during the
period of contract performance; a 3-percent preference for bidders
who shall agree to hire persons with high risk of unemployment equal
to 15 to 19 percent of its work force during the period of contract
performance; and a 4-percent preference for bidders who shall agree
to hire persons with high risk of unemployment equal to 20 or more
percent of its work force during the period of contract performance.



4534.  In evaluating proposals for contracts for services in excess
of one hundred thousand dollars ($100,000), except a contract in
which the worksite is fixed by the provisions of the contract, the
state shall award a 5-percent preference on the price submitted by
California-based companies who demonstrate and certify under penalty
of perjury that not less than 90 percent of the total labor hours
required to perform the contract shall be accomplished at an
identified worksite or worksites located in a distressed area.



4534.1.  Where a bidder complies with the provisions of Section
4534, the state shall award the additional preferences as set forth
in Section 4533.1 as appropriate.



4535.  All state contracts issued to bidders who are awarded
preferences under this chapter shall contain conditions to ensure
that the contractor performs the contract at the location specified
and meets any commitment to employ persons with high risk of
unemployment.



4535.1.  A business that requests and is given the preference
provided for in Section 4533, 4533.1, 4534, or 4534.1 by reason of
having furnished a false certification, and which by reason of that
certification has been awarded a contract to which it would not
otherwise have been entitled, shall be subject to all of the
following:
   (a) Pay to the state any difference between the contract amount
and what the state's cost would have been if the contract had been
properly awarded.
   (b) In addition to the amount specified in subdivision (a), be
assessed a penalty in an amount of not more than 10 percent of the
amount of the contract involved.
   (c) Be ineligible to directly or indirectly transact any business
with the state for a period of not less than six months and not more
than 36 months.
   Prior to the imposition of any sanction under this chapter, the
contractor or vendor shall be entitled to a public hearing and to
five days' notice of the time and place thereof. The notice shall
state the reasons for the hearing.


4535.2.  (a) The maximum preference and incentive a bidder may be
awarded pursuant to this chapter and any other provision of law shall
be 15 percent. However, in no case shall the maximum preference and
incentive cost under this chapter exceed fifty thousand dollars
($50,000) for any bid, nor shall the combined cost of preferences and
incentives granted pursuant to this chapter and any other provision
of law exceed one hundred thousand dollars($100,000). In those cases
where the 15-percent cumulated preference and incentive cost would
exceed the one hundred thousand dollar ($100,000) maximum preference
and incentive cost limit, the one hundred thousand dollar ($100,000)
maximum preference and incentive cost limit shall apply.
   (b) Notwithstanding the provisions of this chapter, small business
bidders qualified in accordance with Section 14838 shall have
precedence over nonsmall business bidders in that the application of
any bidder preference for which nonsmall business bidders may be
eligible, including the preference contained in this chapter, shall
not result in the denial of the award to a small business bidder.
This subdivision shall apply to those cases where the small business
bidder is the lowest responsible bidder, as well as to those cases
where the small business bidder is eligible for award as the result
of application of the 5-percent small business bidder preference and
incentive.


4535.3.  The Department of General Services, with the cooperation of
the Employment Development Department, the Department of Industrial
Relations and the Office of Planning and Research, and under the
direction of the State and Consumer Services Agency, shall adopt
appropriate rules, regulations, and guidelines to implement this
chapter.



State Codes and Statutes

State Codes and Statutes

Statutes > California > Gov > 4530-4535.3

GOVERNMENT CODE
SECTION 4530-4535.3



4530.  This chapter shall be known as the "Target Area Contract
Preference Act."



4531.  The Legislature hereby declares that it serves a public
purpose, and is of benefit to the state, to encourage and facilitate
job maintenance and job development in distressed and declining areas
of cities and towns in the state. It is the intent of the
Legislature to further these goals by providing appropriate
preferences to California based companies submitting bids or
proposals for state contracts to be performed at worksites in
distressed areas by persons with a high risk of unemployment when the
contract is for goods or services in excess of one hundred thousand
dollars ($100,000).



4532.  As used in this chapter:
   (a) "Block group" means the smallest area for which the United
States Department of Commerce, Bureau of the Census provides data on
personal income.
   (b) "Urbanized area" means a central city or cities and
surrounding closely settled territory, as defined by the United
States Department of Commerce, Bureau of the Census in the Federal
Register, Vol. 39, Number 85, for Wednesday, May 1, 1974, at pages
15202-15203 and as periodically updated.
   (c) "Cluster of block groups" means one or more contiguous block
groups.
   (d) "Distressed" means an urbanized area, within the State of
California and as identified by the Office of Planning and Research,
which contains at least 3,000 people in a cluster of block groups,
each of which meet at least five of the following criteria according
to the most recent available census information compared to the last
statewide census:
   (1) The percentage of the block group's population over age 25
with less than a high school education was within the upper quartile
of all block groups.
   (2) The unemployment rate of the block group was within the upper
quartile of all block groups.
   (3) The per capita income of the block group was within the lower
quartile of all block groups.
   (4) The percentage of the block group's households which were
female-headed households in poverty with children present was within
the upper quartile of all block groups.
   (5) The percentage of the block group's population over 65 who
were in poverty was within the upper quartile of all block groups.
   (6) The percentage of the block group's households with more than
1.01 persons per room was within the upper quartile of all block
groups.
   (7) The percentage of the block group's population younger than 18
who were in poverty was within the upper quartile of all block
groups.
   (8) The percentage of the block group's population who were
nonwhite or hispanic was within the upper quartile of all block
groups.
   (e) "Approved special census" means a special census approved by
the Population Research Unit of the Department of Finance.
   (f) "Person with a high risk of unemployment" means a person who:
   (1) As a member of one of the eligible groups defined in Section
321 of Public Law 95-600, qualifies an employer who hires him or her
for the Targeted Jobs Tax Credit. These groups are: economically
disadvantaged youth, economically disadvantaged Vietnam-era veterans,
economically disadvantaged ex-convicts, vocational rehabilitation
referrals, youth participating in a qualified cooperative education
program, recipients of supplemental security income benefits under
Title XVI of the Social Security Act, and general assistance
recipients.
   (2) Would have qualified an employer hiring him or her for the
Work Incentive/Welfare Tax Credit authorized by Section 322 of Public
Law 95-600. These persons include applicants and recipients of aid
to families with dependent children who would have registered for the
Work Incentive Program, and aid to families with dependent children
recipients who have been receiving welfare for at least 90 days.
   (g) "Poverty" means the poverty level, as defined by the United
States Department of Commerce, Bureau of the Census in the Federal
Register, Volume 43, Number 87, for Thursday, May 4, 1978, at pages
19260-19269, and as periodically updated.
   (h) "California based company" means either of the following:
   (1) A business or corporation whose principal office is located in
California, and the owners, or officers if the entity is a
corporation, are domiciled in California.
   (2) A business or corporation that has a major office or
manufacturing facility located in California and that has been
licensed by the state on a continuous basis to conduct business
within the state and has continuously employed California residents
for work within the state during the three years prior to submitting
a bid or proposal for a state contract.
   (i) "Worksite" means either of the following:
   (1) A business located within a distressed area.
   (2) A business located in directly adjoining census tract blocks
that when attached to the distressed area forms a contiguous
boundary. A company that intends to perform the work at a worksite
described in this paragraph shall submit a map with the bid or
proposal identifying where the worksite is located.



4533.  Whenever the state prepares a solicitation for a contract for
goods in excess of one hundred thousand dollars ($100,000), except a
contract in which the worksite is fixed by the provisions of the
contract, the state shall award a 5-percent preference to
California-based companies who demonstrate and certify under penalty
of perjury that of the total labor hours required to manufacture the
goods and perform the contract, at least 50 percent of the hours
shall be accomplished at an identified worksite or worksites located
in a distressed area.


4533.1.  Where a bidder complies with the provisions of Section
4533, or the worksite or worksites where at least 50 percent of the
labor required to perform the contract is within commuting distance
of a distressed area, the state shall award a 1-percent preference
for bidders who certify under penalty of perjury to hire persons with
high risk of unemployment equal to 5 to 9 percent of its work force
during the period of contract performance; a 2-percent preference for
bidders who shall agree to hire persons with high risk of
unemployment equal to 10 to 14 percent of its work force during the
period of contract performance; a 3-percent preference for bidders
who shall agree to hire persons with high risk of unemployment equal
to 15 to 19 percent of its work force during the period of contract
performance; and a 4-percent preference for bidders who shall agree
to hire persons with high risk of unemployment equal to 20 or more
percent of its work force during the period of contract performance.



4534.  In evaluating proposals for contracts for services in excess
of one hundred thousand dollars ($100,000), except a contract in
which the worksite is fixed by the provisions of the contract, the
state shall award a 5-percent preference on the price submitted by
California-based companies who demonstrate and certify under penalty
of perjury that not less than 90 percent of the total labor hours
required to perform the contract shall be accomplished at an
identified worksite or worksites located in a distressed area.



4534.1.  Where a bidder complies with the provisions of Section
4534, the state shall award the additional preferences as set forth
in Section 4533.1 as appropriate.



4535.  All state contracts issued to bidders who are awarded
preferences under this chapter shall contain conditions to ensure
that the contractor performs the contract at the location specified
and meets any commitment to employ persons with high risk of
unemployment.



4535.1.  A business that requests and is given the preference
provided for in Section 4533, 4533.1, 4534, or 4534.1 by reason of
having furnished a false certification, and which by reason of that
certification has been awarded a contract to which it would not
otherwise have been entitled, shall be subject to all of the
following:
   (a) Pay to the state any difference between the contract amount
and what the state's cost would have been if the contract had been
properly awarded.
   (b) In addition to the amount specified in subdivision (a), be
assessed a penalty in an amount of not more than 10 percent of the
amount of the contract involved.
   (c) Be ineligible to directly or indirectly transact any business
with the state for a period of not less than six months and not more
than 36 months.
   Prior to the imposition of any sanction under this chapter, the
contractor or vendor shall be entitled to a public hearing and to
five days' notice of the time and place thereof. The notice shall
state the reasons for the hearing.


4535.2.  (a) The maximum preference and incentive a bidder may be
awarded pursuant to this chapter and any other provision of law shall
be 15 percent. However, in no case shall the maximum preference and
incentive cost under this chapter exceed fifty thousand dollars
($50,000) for any bid, nor shall the combined cost of preferences and
incentives granted pursuant to this chapter and any other provision
of law exceed one hundred thousand dollars($100,000). In those cases
where the 15-percent cumulated preference and incentive cost would
exceed the one hundred thousand dollar ($100,000) maximum preference
and incentive cost limit, the one hundred thousand dollar ($100,000)
maximum preference and incentive cost limit shall apply.
   (b) Notwithstanding the provisions of this chapter, small business
bidders qualified in accordance with Section 14838 shall have
precedence over nonsmall business bidders in that the application of
any bidder preference for which nonsmall business bidders may be
eligible, including the preference contained in this chapter, shall
not result in the denial of the award to a small business bidder.
This subdivision shall apply to those cases where the small business
bidder is the lowest responsible bidder, as well as to those cases
where the small business bidder is eligible for award as the result
of application of the 5-percent small business bidder preference and
incentive.


4535.3.  The Department of General Services, with the cooperation of
the Employment Development Department, the Department of Industrial
Relations and the Office of Planning and Research, and under the
direction of the State and Consumer Services Agency, shall adopt
appropriate rules, regulations, and guidelines to implement this
chapter.