BILL NUMBER: SB 548	CHAPTERED
	BILL TEXT

	CHAPTER  595
	FILED WITH SECRETARY OF STATE  OCTOBER 11, 2009
	APPROVED BY GOVERNOR  OCTOBER 11, 2009
	PASSED THE SENATE  SEPTEMBER 2, 2009
	PASSED THE ASSEMBLY  AUGUST 27, 2009
	AMENDED IN ASSEMBLY  JULY 15, 2009
	AMENDED IN SENATE  MAY 18, 2009
	AMENDED IN SENATE  APRIL 13, 2009

INTRODUCED BY   Senator Huff
   (Coauthors: Senators Florez, Price, and Wiggins)
   (Coauthors: Assembly Members Bill Berryhill, Cook, Logue,
Nestande, V. Manuel Perez, Portantino, Salas, and Silva)

                        FEBRUARY 27, 2009

   An act to amend Section 999.5 of the Military and Veterans Code,
relating to veterans.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 548, Huff. California Disabled Veteran Business Enterprise
Program.
   Under existing law, the Department of General Services, except in
the case of contracts for professional bond services, is the
administering agency of the California Disabled Veteran Business
Enterprise Program, which requires state agencies and all other state
entities contracting for materials, supplies, equipment, alteration,
repair, or improvement to have at least 3% participation goals for
disabled veteran business enterprises. Existing law specifies the
duties of the Department of General Services and the Department of
Veterans Affairs in meeting that requirement, and sets standards for
meeting the program's participation goals, as provided.
   This bill would require an awarding department, upon completion of
an awarded contract for which a commitment to achieve a disabled
veteran business enterprise goal was made, to require the prime
contractor that entered into a subcontract with a disabled veteran
business enterprise to certify to the awarding department certain
information pertaining to the contract, and that all payments under
the contract have been made to the disabled veteran business
enterprise. This bill would also require an awarding department to
keep that certification on file. This bill would specify that a
person or entity that knowingly provides false information is subject
to a civil penalty, as specified, and that an action for a civil
penalty may be brought by any public prosecutor in the name of the
people of the State of California.
   The bill would authorize a prime contractor, subject to the
approval of the Department of General Services, to replace a disabled
veteran business enterprise identified by the prime contractor in
its bid or offer, as provided, with another disabled veteran business
enterprise.



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

  SECTION 1.  Section 999.5 of the Military and Veterans Code is
amended to read:
   999.5.  (a) The administering agency for the California Disabled
Veteran Business Enterprise Program is the Department of General
Services, except in the case of contracts for professional bond
services. The Department of General Services shall consult with the
California Disabled Veteran Business Enterprise Program Advocate,
appointed by the Secretary of the Department of Veterans Affairs
pursuant to Section 999.11, on all matters relating to the California
Disabled Veteran Business Enterprise Program. The Director of
General Services shall adopt written policies and guidelines
establishing a uniform process for state contracting that would
provide a disabled veteran business enterprise participation
incentive to bidders. The incentive program shall be used by all
state agencies when awarding contracts.
   (b) The Department of Veterans Affairs shall do all of the
following:
   (1) Establish a method of monitoring adherence to the goals
specified in Sections 999.1 and 999.2.
   (2) Promote the California Disabled Veteran Business Enterprise
Program to the fullest extent possible.
   (3) Maintain complete records of its promotional efforts.
   (4) Establish a system to track the effectiveness of its efforts
to promote the California Disabled Veteran Business Enterprise
Program, which shall include regular, periodic surveys of newly
certified disabled veteran business enterprises to determine how they
learned of the program, why they became certified, and what their
experience with awarding departments has been.
   (c) An awarding department shall not credit toward the department'
s 3-percent goal state funds expended on a contract with a disabled
veteran business enterprise that does not meet and maintain the
certification requirements.
   (d) Upon completion of an awarded contract for which a commitment
to achieve a disabled veteran business enterprise goal was made, an
awarding department shall require the prime contractor that entered
into a subcontract with a disabled veteran business enterprise to
certify to the awarding department all of the following:
   (1) The total amount the prime contractor received under the
contract.
   (2) The name and address of the disabled veteran business
enterprise that participated in the performance of the contract.
   (3) The amount each disabled veteran business enterprise received
from the prime contractor.
   (4) That all payments under the contract have been made to the
disabled veteran business enterprise. An awarding department shall
keep that certification on file. A person or entity that knowingly
provides false information shall be subject to a civil penalty for
each violation in the minimum amount of two thousand five hundred
dollars ($2,500) and the maximum amount of twenty-five thousand
dollars ($25,000). An action for a civil penalty under this
subdivision may be brought by any public prosecutor in the name of
the people of the State of California and the penalty imposed shall
be enforceable as a civil judgment.
   (e) A prime contractor may, subject to the approval of the
Department of General Services, replace a disabled veteran business
enterprise identified by the prime contractor in its bid or offer,
pursuant to subdivision (a) of Section 999.10, with another disabled
veteran business enterprise.
   (f) The administering agency shall adopt rules and regulations,
including standards for good faith efforts, for the purpose of
implementing this section. Emergency regulations consistent with this
section may be adopted.