Public Contract Code, 1981

Bidders on public projects over $10,000 must be allowed to inspect the project plans, specifications, and working details.

This section says the article does not apply to certain public construction projects, including juvenile forestry facilities and some projects using prisoners or job/work training program participants.

This section defines “public project” and states that the article generally does not apply to publicly owned water, power, or waste disposal systems, with listed building and infrastructure exceptions.

For public projects, expenditures may not include the costs of certain items listed in the section.

Public projects in the $4,000 to $10,000 range must be let using informal or formal bidding procedures, and projects of $10,000 or more must use formal bidding.

Each county must adopt ordinances or regulations that provide formal and informal bidding procedures for its public projects.

Counties using informal bidding procedures must notify county contractors about how to register for future notice of those proceedings, and they must do so as soon as practicable after contractors’ license renewal time.

A county must publish notice inviting informal bids, and may also mail or otherwise supplement the notice, follow specified publication rules, and include a closing date.

The county must include specific bid-opening details in formal bid notices and publish or post the notice on a required schedule before bids are opened.

The county may reject bids, but if all bids are rejected after the first round it must either abandon the project or readvertise; other fallback options apply if no bids are received or if tied low bids exist.

County supervisors must award covered construction contracts to the best-value bidder or reject all bids, and they must adopt and publish fair selection procedures.

This section defines terms used for county best value construction contracting and says counties must evaluate bidder qualifications using quantifiable measurements to the extent possible.

A qualifying county may use the cost-plus-time, or A+B, bidding procedure for certain projects tied to the specified budget item.

Counties must follow specific steps when awarding best value construction contracts, including written findings, bid solicitation, bidder prequalification, and protecting price information during final evaluation.

A best value contractor cannot be prequalified or shortlisted unless it gives the county an enforceable commitment to use a skilled and trained workforce for covered project work.

Counties must use a written, best-value process for awarding certain construction contracts, with committee evaluation, public notice, and no award if fewer than three responsive bids are received.

A county using this best-value contracting article generally may not withhold more than 5% retention from the selected best value contractor when a qualifying bond is required.

A participating county’s board of supervisors must submit a report to the Legislature’s appropriate policy committees and the Joint Legislative Budget Committee before March 1, 2029.

This section says the article does not change a county’s existing rules for letting a project contract to the lowest responsible bidder or rejecting all bids, except as otherwise provided in the article.

This article stays in effect only until January 1, 2030, and is repealed on that date.

This article applies to contracts awarded by cities subject to Title 4 of the Government Code.

This section defines “public project” for this chapter.

If a public project’s required expenditure exceeds $5,000, it must be contracted and awarded to the lowest responsible bidder after notice.

A person may not split a public work project into smaller work orders or projects to avoid the article’s competitive-bidding requirements.

The bid notice must set the bid-opening date, be first published or posted at least 10 days before opening, be published at least twice five days apart (or posted in designated public places if no qualifying newspaper exists), and clearly state the project.

If a bid notice names possible material locations for a construction project, it must include any conditions or changes required under Fish and Game Code Section 1603.

The legislative body may reject bids and readvertise, choose among tied lowest bids, or proceed without further complying with the chapter if no bids are received.

After rejecting bids, the legislative body may adopt a four-fifths resolution to do the project by day labor or buy materials in the open market, and then proceed without further complying with this chapter.

In an emergency, the legislative body may adopt a four-fifths resolution to authorize immediate emergency spending, and if bid notice will not be given, it must comply with Chapter 2.5.

In certain cities, the city council may contract to build or expand facilities for prisoner, parole violator, or ward transfers without the usual bidding and planning formalities, but only under the section’s conditions.

A city legislative body must publish a notice inviting bids and contract for legal-notice publication before the fiscal year starts when more than one qualifying newspaper exists; if only one such newspaper exists, it may contract without bidding.

All bids must be submitted under sealed cover and include one approved form of bidder’s security.

Bidder’s security must equal at least 10% of the bid amount, and a bid will not be considered unless a bidder’s security form is enclosed.

If the successful bidder fails to execute the contract, the bidder’s security is forfeited to the city, unless a later-provided exception applies.

Cash or proceeds must be deposited into the fund that pays for preparing and printing plans and specifications, cost estimates, and notice publication.

If the successful bidder refuses or fails to sign the contract, the city council may award it to the next lowest responsible bidder.

The City of Elk Grove may use construction manager at-risk contracts for its zoo project if the city council approves, and the contractor must meet workforce, bonding, notice, and retention rules.

This section says the article applies to local agency contracts for earthquake relief, subject to Government Code Article 5 starting at Section 54125.

A resolution authorizing bonds may state that the bonds are issued under this chapter.

A bond’s face-reference to a resolution by its adoption date incorporates that resolution, and this chapter also incorporates the bonds and their coupons.

People who take the bonds, and later holders of the bonds or coupons, may rely on the resolution and chapter and must follow their terms.

Local agencies must return an unsuccessful bidder’s security after an award to the lowest bidder, and may not keep it for more than 60 days.

This article applies to contracts covered by the Municipal Utility District Act.

A district operating utility works may accept loans from any person, firm, or corporation to finance specified district buildings and related sites, and the indebtedness evidence counts as a negotiable instrument.

For qualifying district construction over $2,000, the district must prepare plans, seek bids, and award the contract to the lowest responsible bidder, with sealed bids and bidder security required.

This article applies to contracts that are subject to the Public Utility District Act.

Projects over $15,000 in materials, supplies, and labor must be awarded to the lowest responsible bidder, and the board must adopt project documents and advertise for bids.

Construction bids must be submitted in sealed cover and include one of the listed bidder security forms. If the award goes to the lowest bidder, the district must return an unsuccessful bidder’s security within a reasonable time and cannot hold it longer than 60 days after the award.

This article applies to contracts made by public utility districts.

A district may make contracts, employ labor, and do other acts necessary to carry out its powers.

Bidders must be allowed to examine the plans and specifications, and the board must award the contract to the lowest responsible bidder.

The awarded contractor must execute a performance bond, and the board must approve it.

Construction bids under this article must be sealed and include one of the listed security forms; unsuccessful bidders’ security must be returned within a reasonable time and not held beyond 60 days after award.

If there is an emergency and no bid notice will be given, the board must respond under Chapter 2.5.

The board may have the district do ordinary repairs, upkeep, or maintenance directly, without using a contract.

If the board decides by a two-thirds vote that all bids are unsatisfactory or excessive, the district may do the work itself and spend what is necessary instead of contracting.

Once adopted, plans and specifications cannot be changed in a way that increases the project cost unless the board approves the change by majority vote.

Contracts under this article cannot be changed unless the board first approves the change by a two-thirds vote and the contractor consents.

The board may annually advertise for sealed bids to furnish the district with listed supplies, and any advertisement must be published in the county where most of the district is located, following Government Code Section 6062.

Bids must use a clerk-prepared schedule, and any person may bid on an article separately.

Notices of proposals for furnishing articles must mention the articles generally, say where the conditions and schedule can be found, and allow delivery only at the times, quantities, and manner the board designates.

The clerk must provide printed blanks for all proposals and contracts.

The board may accept or reject bids, but each article must be awarded to the lowest bidder for that article.

Supplies furnished to the district or its officers must not cost more than the price stated in the accepted bid.

The board must open all bids at the stated hour and place, with attending bidders present, and attending bidders may inspect the bids.

Construction-contract bidders must provide performance bonds, and contracts must be awarded to the lowest responsible bidder.

This section defines “advertising” for the district and sets rules for how district advertising is handled and measured.

District officers and employees may not order any article or make any publication unless it is expressly authorized by the division or the board.

The board may buy articles without advertising or letting contracts if the purchase is $10,000 or less; if the cost is more than $10,000, it must advertise for sealed bids.

A transit district may negotiate buying from or selling to federal, state, or local public agencies for real or personal property.

This section says the article applies to contracts made by transit districts in Alameda or Contra Costa counties.

The district must use competitive contracting rules for purchases, construction, and bid notices above specified dollar amounts.

After rejecting bids and making a four-fifths vote declaration, the board may buy the supplies, equipment, and materials in the open market.

In an emergency, the board may approve urgent spending by a four-fifths vote and can contract or spend without following normal contract, bid, or notice rules.

Construction bids must be submitted under sealed cover and include one listed form of bidder’s security. If a lowest-bid award is made, the district must return an unsuccessful bidder’s security within a reasonable time and may not keep it longer than 60 days after the award.

This section sets rules for certain transportation agency contracts using competitive negotiation, including public disclosure, conflict-of-interest limits, no ex parte communications, a 15-day wait before award, and recordkeeping.

Transit agencies may use competitive negotiation for certain transit-related purchases if the board makes the required finding, and the section sets out notice, evaluation, award, and protest procedures.

This article applies to contracts made by the San Francisco Bay Area Rapid Transit District.

The district must use competitive contract procedures for certain purchases and construction work, with bid, quotation, and notice rules tied to spending thresholds.

The district board may choose to design and build all or part of the airport transit extension, but if it does, it must follow specific procurement steps.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it approves the move by a two-thirds vote of all its members.

In an emergency, the board may approve immediate spending and contracts by a two-thirds resolution, and it may do so without the usual contract, bid, or notice requirements.

If urgent repair or damage-recovery measures are needed and regular procurement is inadequate, the general manager may authorize spending previously appropriated board money for direct purchases of goods and services.

Bids for construction work must be sealed and include one of the listed bidder security forms. The district must return an unsuccessful bidder’s security after award and cannot hold it more than 60 days after the award.

The general manager may establish districtwide purchasing standards.

The board may authorize prototype equipment or modifications for testing, but only after a two-thirds board finding and without following contract, bid, or notice requirements.

The board may authorize buying supplies, equipment, or material without contracts, bids, or notice if two-thirds of the board finds there is only one source and the purchase is only to duplicate or replace items already in use.

The district may use its own personnel for certain interconnection and related work in specified transit projects when track-clearance, system-interference, and safety conditions are met; otherwise the district policy remains to do interconnection work by competitive bidding.

The district may set percentage participation goals for minority-owned and women-owned businesses in subcontracts and subsupply contracts for nonfederally funded contracts.

The board may use competitive negotiation to buy certain equipment and related work if two-thirds of the board finds the usual procurement rules are not adequate.

This article applies to contracts made by the Southern California Rapid Transit District.

This section lets the board use competitive negotiation for certain district purchases instead of competitive bidding, but only after a two-thirds vote and a qualifying finding.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if two-thirds of all members determine and declare that the open-market price is lower.

In an emergency, the board may approve immediate spending or contracts by a two-thirds resolution, without following the usual contract, bid, or notice rules.

Construction bids must be submitted in sealed cover and include one of the listed bidder security forms. Unsuccessful bidder security must be returned after an award, and the district may not hold it longer than 60 days from the award.

This section says Article 10 applies to contracts made by the Orange County Transit District.

The Orange County Transit District must buy services, supplies, equipment, and materials, and build facilities and works, using the same procedure and limits that apply to the County of Orange under state law.

Bids for construction work must be submitted in sealed cover and include one of the listed forms of bidder’s security.

This article applies to contracts by the San Joaquin Regional Transit District.

The district must use contract bidding rules for certain purchases and construction, with different thresholds and options based on the amount spent.

Construction bids must be sealed and include bidder’s security. If a low-bid award is made, the district must return an unsuccessful bidder’s security within a reasonable time and may not hold it for more than 60 days after the award.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it votes by four-fifths to declare that this would be cheaper.

In an emergency, the board may approve immediate spending and contracts by a four-fifths vote, and it may do so without the usual contract, bid, or notice requirements.

This section says the article applies to contracts made by the Marin County Transit District.

The Marin County Transit District must buy supplies, equipment, and materials, and build facilities and works using the same procedures and limits that apply to the County of Marin under state law and county ordinance, as later amended.

Bids for construction work must be sealed and include specified bidder’s security; unsuccessful bidders’ security must be returned after award, and not held more than 60 days.

This section says the article applies to contracts made by the San Diego County Transit District.

For covered purchases or construction work over $5,000, the contract must go to the lowest responsible bidder, with bid notice published at least 10 days before bids are received.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it declares by a two-thirds vote that the open market price is lower.

In an emergency, the board may authorize immediate spending or emergency contracts by a two-thirds resolution, and it may do so without the usual contract, bid, or notice rules.

Construction bids must be submitted under sealed cover and include one approved form of bidder’s security. If a bid is unsuccessful, the district must return that security within a reasonable time and never keep it longer than 60 days after the award.

This section says the article applies to contracts made by the Santa Barbara Metropolitan Transit District.

Large purchases and construction must be awarded by contract to the lowest responsible bidder; bid notices must be published at least 10 days before bids are received.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it approves the move by a four-fifths vote and believes the open market price is lower.

In an emergency, the board may authorize immediate spending or contracts to protect life, health, or property, and it must follow Chapter 2.5 if it will not give bid notice.

Construction bids must be sealed and include bidder’s security; unsuccessful bidders’ security must be returned within 60 days after award.

This section says the article applies to contracts made by the Santa Cruz Metropolitan Transit District.

This section sets bidding and quotation rules for the district’s purchases and construction contracts above certain dollar amounts.

After rejecting bids, the board may buy the supplies, equipment, and materials in the open market if it makes the required four-fifths vote determination.

In an emergency, the board may vote by resolution to authorize immediate spending for life, health, or property, and may contract or spend without the usual contract, bid, or notice requirements.

Construction bids must be sealed and include bidder’s security. If a bidder is unsuccessful, the district must return that security after the award, and it may not hold it more than 60 days from the award.

This article applies to contracts made by the Santa Clara Valley Transportation Authority.

For purchases of supplies, equipment, and materials above $200,000, the authority must contract with the lowest responsible bidder or may choose the responsible bidder offering the best value. For purchases over $5,000 and up to $200,000, it should get at least three quotations when practicable, and bid notices must be published at least 10 days before bids are received.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it votes by two-thirds and finds the open market price is lower.

In an emergency, the board may spend or contract for needed emergency funds without following the usual contract, bid, or notice rules if it adopts a four-fifths vote resolution; if no bid notice will be given, it must comply with Chapter 2.5.

The board may authorize buying supplies, equipment, or materials without contracts, bids, or notice if it finds by a two-thirds vote that there is only one source and the purchase is only to duplicate or replace items already in use.

Construction bids must be sealed and include bidder security, and the authority must return unsuccessful bidders’ security within a reasonable time and no later than 60 days after award.

This section lets the board use competitive negotiation for certain purchases, but it also sets notice, evaluation, award, and protest procedures the district must follow.

This article applies to contracts made by the Golden Empire Transit District.

For certain local agency construction and procurement, the board must use competitive procedures above stated dollar thresholds, including lowest responsible bidder rules, bid notice publication, and seeking at least three quotations in some cases.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it votes by four-fifths and declares the open market price is lower.

In an emergency, the board may approve emergency spending and contracts for needed public money without following contract, bid, or notice requirements, if it votes by four-fifths and finds the emergency protects life, health, or property.

Bids for construction work must be submitted in sealed cover and include one approved form of bidder’s security. If a bidder is unsuccessful, its security must be returned after award, and the district may not hold it more than 60 days.

This section says the article applies to contracts made by the Sacramento Regional Transit District.

Contracts over $5,000 for transit works or transit facilities must be awarded to the lowest responsible bidder after competitive bidding, unless the district board declares an emergency by a four-fifths vote.

Construction bids must be sealed and include one approved form of bidder security. If there is an award to the lowest bidder, the district must return an unsuccessful bidder’s security within a reasonable time and not keep it longer than 60 days after the award.

The Sacramento Regional Transit District may use competitive negotiation for certain equipment purchases if the board finds ordinary purchasing rules are not adequate, and the section sets required RFP, award, and protest procedures.

The Sacramento Regional Transit District board may use a design-build approach for the Folsom Corridor Light Rail Extension and Double Tracking Project, but if it does so, it must follow specified prequalification, notice, bidding, and award procedures and may not give special preference to contractors involved in the initial designs.

This article applies to contracts made by the San Mateo County Transit District.

Transit construction contracts over $10,000 must be awarded to the lowest responsible bidder after competitive bidding, unless an emergency is declared by seven board members.

Construction bids must be submitted in sealed cover with one approved form of bidder security, and an unsuccessful bidder’s security must be returned after award.

This section says the article applies to contracts made by the San Diego Metropolitan Transit Development Board.

Transit Development Board construction contracts over $50,000 must go to the lowest responsible bidder after competitive bidding, unless a two-thirds board vote declares an emergency.

Construction bids must be sealed and include bidder security; unsuccessful bidder security must be returned after award and not kept beyond 60 days.

This section says Article 21 applies to contracts by the North San Diego County Transit Development Board.

Construction contracts over $10,000 must be awarded through competitive bidding to the lowest responsible bidder, unless there is an emergency declared by a two-thirds board vote. The North County Transit District may choose to opt in to the Uniform Public Construction Cost Accounting Act.

Construction bids must be sealed and include one approved form of bidder security. If the award goes to the lowest bidder, an unsuccessful bidder’s security must be returned within a reasonable time and may not be held by the board for more than 60 days after the award.

This article applies to contracts made by the Sonoma-Marin Area Rail Transit District.

The district must use competitive contracting rules for purchases and construction over specified dollar thresholds, including lowest responsible bidder or best value for larger purchases, at least three quotations for mid-range purchases, public bid notice, and the ability to reject bids.

If the district rejects bids and decides the items can be bought for less in the open market, it may buy the supplies, equipment, and materials there without following the contract, bid, or notice requirements.

In an emergency, the board may declare an emergency by a two-thirds vote and spend or contract for needed emergency expenditures without following contract, bid, or notice rules, but it must also follow Chapter 2.5 if bid notice will not be given.

The general manager may authorize emergency spending for direct purchases of goods and services if certain damage and inadequacy findings are made, and must later report to the board.

Construction bids must be submitted in sealed cover and include one approved form of bidder’s security.

The board may approve procurement of prototype equipment or modifications for operational testing if two-thirds of all board members find the proposed purchase is not an adequate procurement method for district facilities or equipment.

The district may use competitive negotiation to buy certain rail transit and electronic equipment if the board makes the required finding, and it must follow specified request-for-proposal, notice, award, and protest procedures.

This article applies to contracts made by the Fresno Metropolitan Transit District.

Purchases and construction over $3,000 must be awarded by contract to the lowest responsible bidder, with notice published at least 10 days before bids are received.

After rejecting bids, the board may buy supplies, equipment, and materials in the open market if it declares by a four-fifths vote that the open-market price would be lower.

In a great public calamity, the board may declare an emergency by a four-fifths vote and spend or contract for needed sums without following contract, bid, or notice requirements.

Construction bids must be sealed and include bidder security; unsuccessful bidder security must be returned after award and not held more than 60 days.

This section says the article applies to contracts made by the West Bay Rapid Transit Authority.

The authority may build the system, buy needed property, do the work itself, and make construction contracts on terms it considers advisable.

This section says the Los Angeles County Metropolitan Transportation Authority may use a job order contracting procurement method for public works projects, and the article applies only to that authority.

This section defines “Los Angeles County Metropolitan Transportation Authority” or “authority” for this article.

The authority may use job order contracting, but it must follow specified bidding, labor, and solicitation rules.

This section limits job order contract amounts and time periods, and bars splitting work to avoid the cost limits.

Job order contractors who use subcontractors must verify the subcontractor’s licenses and credentials; the authority can take enforcement action if a violation is found after due process review.

Job order contracts must identify who ensures Labor Code compliance, job order contractors must pay prevailing wages for all ordered work, and the authority must name one monitor on request.

The authority must prepare an independent cost estimate for each job order, compare it with the contractor’s estimate before issuing the job order, and may decline to issue the job order if the contractor’s estimate is unreasonable, not cost effective, or undesirable.

The authority must submit a report on job order contracting to the Legislature’s appropriate policy and fiscal committees by January 1, 2028.

This article expires and is repealed on January 1, 2029.

This article applies to contracts made by boards of supervisors for county highway construction, repair, or maintenance.

The board must publish a sealed-bid notice, refer to the project documents in the notice, set a bid-opening time, and publish the notice in a qualifying county newspaper the required number of times.

Construction bids must be submitted in sealed cover with bidder’s security, and an unsuccessful bidder’s security must be returned within a reasonable time and no later than 60 days after the award.

The board must open bids at the time stated in the notice and award the contract to the lowest responsible bidder, unless it finds the bids are too high and day labor would be cheaper.

If the board finds county highway work will cost $25,000 or less, the board or the purchasing agent may handle the work without calling for bids.

For county highway work estimated at $50,000 or less, the board or purchasing agent may contract for the work if notice is published on time, and the successful bidder must provide a bond.

In a county with a competent engineer serving as road commissioner, the board of supervisors may choose to do the work itself or award contracts for the work under the State Contract Act.

In certain large counties with a registered engineer serving as road commissioner, the board of supervisors may authorize moving, relocating, or reestablishing detention camps by force account or day labor if the board finds it is more economical and satisfactory than contracting and the materials cost does not exceed $5,000.

This article applies to contracts made by boards of supervisors for constructing, maintaining, or repairing a county bridge or subway.

If a bridge construction or repair project will cost more than $2,000, it must be done by contract, unless Sections 20406 to 20408 apply.

If the board of supervisors finds county bridge work will cost $10,000 or less, the board or purchasing agent may award the work without bids.

If advised that the work can be done for less than the lowest responsible bid, the board of supervisors may reject all bids and order the work done by day labor.

In a great emergency, the board may immediately replace or repair bridges without plans, specifications, strain sheets, working details, contracts, or bids.

The board of supervisors may let the road commissioner hire workers, buy materials and equipment, and do bridge construction or repair work, without plans, working details, or bidding, when necessary.

This article applies to contracts made by legislative bodies for work, materials, supplies, and equipment under the Improvement Act of 1911.

Before awarding certain authorized contracts, the legislative body must first pass a resolution ordering the work.

A notice must be posted and published inviting sealed bids or proposals for the work or supplies, and the bid opening date must be at least 10 days after the first publication or posting.

Construction bids must be sealed and include bidder’s security, and the security must be at least 10% of the bid.

Bids must be delivered to the clerk or designated officer, opened and examined publicly, and may not be considered unless they include a satisfactory check or bond.

The legislative body may reject bids or proposals in the public interest, must reject bids other than the lowest regular proposal or bid of a responsible bidder, may award the contract to the lowest responsible bidder, and must return the bidder’s check or bond if bids are rejected.

If assessed costs would be more than 15% above the engineer’s estimate, the legislative body must direct the clerk to send notice by mail of the increase.

If bids are rejected or none are received, the legislative body may readvertise for proposals or bids and then continue under the chapter.

The clerk must hold the bidder’s check or bond after an accepted bid, then return it when the contract is entered into; if the bidder does not sign the contract, the security is forfeited to the city.

If a public agency contributes labor or materials to a construction project, the contract covers only the items not contributed. If the order is cancelled with 24 hours’ notice, the successful bidder is paid only for used items at the contract’s unit rates, and the contractor must take back unused materials.

The clerk must publish notice of the contract award and, after the statutory fee is paid, record that notice with the county recorder.

Some qualifying landowners, or their agents, do not have to submit sealed bids and may elect to take the work by written contract within 10 days after notice of award is published or posted.

If the owners do not elect to take the work, sign a written contract within 10 days, or start and diligently complete the work within the required time, the superintendent of streets must contract with the original bidder at the bid prices.

If the original bidder does not sign the contract within 25 days after notice of award, the legislative body must re-advertise and award the work to the lowest regular bidder.

If no bids come in after a second call for bids, the legislative body may advertise again, receive bids, and award the contract to the lowest bidder.