HomeMy WebLinkAbout16 ADOPT RES 99-75 09-07-99 NO. 16
9-7-99
Inter-Cc m i-
DATE: SEPTEMBER 7, 1999 ~~~/
TO:
FROM:
SUBJECT:
WILLIAM A. HUSTON, CITY MANAGER
PUBLIC WORKS DEPARTMENT
ADOPTION OF RESOLUTION 99-75 SUPPORTING THE "FAIR COMPETITION AND
TAXPAYER SAVINGS INITIATIVE"
SUMMARY
Adopt ReSOlUtion 99,75 sUpporting the ',F air competitiOn and Taxpayer Savings Initiative" because of
the benefits to loCal agenCies and direct the City Clerk to forWard the resOlution to the League of
California Cities. :
RECOMMENDATION
Adopt Resolution 99-75 to support the "Fair Competition and Taxpayer Savings Initiative" and direct the
City Clerk to forward the City's position to the League of California Cities.
FISCAL IMPACT
There is no fiscal impact associated with this action.
BACKGROUND
The Professional Engineers in California Government (PECG) is a labor association representing engineers
. employed by the California Department of Transportation (Caltrans).
In several recent Superior (1998) and Supreme (1997) Court cases, PECG has successfully challenged State
contracting practices resulting in a variety of interpretations and applications to local contracting procedures
for professional services.
In 1998, PECG sponsored a successful signature gathering effort to place an initiative on the June 1998
ballot that was labeled the "Government Cost Savings and Taxpayer Protection Amendment". That
measure proposed that certain requirements be placed upon governmental agencies pertaining to contracts
for engineering, architectural, landscape architectural, surveying, environmental and geological services.
Specifically, it would have required State and local agencies (defined as all govermnental or quasi-
governmental agencies except UC, CSU and Community College systems) to obtain State approval 'before
contracts for professional services could be awarded. This measure was overwhelmingly defeated at the
polls.
DISCUSSION
In response to past PECG efforts, a group calling themselves "Taxpayers for Fair Competition" has drafted
a proposed initiative that is the antithesis of the PECG initiative. The initiative would amend the State
constitution to allow State and local agencies to award contracts involving State funds for a variety of
professional design and construction services without onerous State intervention or review. This initiative is
Adoption of Resolution 99-75 Supporting the "Fair Competition and Taxpayer Savings Initiative"
September 7, 1999
Page 2
intended to remove any ambiguity from current constitutional provisions, statutes and/or judicial opinions.
A copy of the initiative text is attached.
Many industry groups, cities, counties and other local agencies have taken a position of support for this
measure. A complete list of supporters for this initiative is included as an attachment to this report.
In conclusion, staff recommends that the City Council adopt Resolution No. 99-75 to support the "Fair
Competition and Taxpayer Savings Initiative" and authorize the City Clerk to convey the City' s position to
the League of California Cities.
FAIR COMPETITION AND TAXPAYER SAVINGS INITIATIVE
SECTION 1. TITLE.
This measure shall be known and may be cited as the "Fair
Competition and Taxpayer Savings Act."
SECTION 2.
PURPOSE ,MqD INTENT.
It is the intent of the people of the State of California in enacting this measur,:
(a) To remove existing restrictions on contracting for architectural and
engineering services and to allow state, regional and local governments to
use qualified private architectural and engineering firms to help deliver
transportation, schools, water, seismic retrofit and. other infrastructure
projects safely, cost effectively and on time;
(b) To encourage the kind of public/private partnerships necessary to ensure
that California taxpayers benefit from the use of private s~ctor experts to
deliver transportation, schools, water, seismic retrofit and other
infrastrucrare projects;
(c) To promote fair competition so that both public and private sector architects
and engineers work smarter, more efficiently and ultimately deliver better
value to taxpayers;
(d) To speed the completion of a multi-billion dollar backlog of highway,
bridge, transit and other projects;
(e) To ensure that contracting for architectural and engineering services occurs
through a fair, competitive selection process, free of undue political
influence, to obtain the best quality and value for California tsx'payers; and
(f) To ensure that private firms contracting for architectural and engineering
services with govmmmental entities meet established design and
SECTION 4.
state, regional, local or private, whether or not thc project is programmed by
a state, regional or local governmental entity, and whether or not the
completed project is a part of any State owned or State operated system or
f~cility.
§ 2. Nothing; contained in Article VII of this Constitugon shall be construed to
limit, restrict or prohibit thc State or any other 8overnmental entities,
includin& but not limited to, cities' counties, cities and counties, school
districts and other special districts, local and regional agencies and joint
power agencies, from contracting with private entities for the performance
of architectural and engineering services.
Chapter 10.1 is hereby added to Division 5 of Title 1 of the Government Code
to read:
§ 4S29.10. For purposes of Article XXII of the California Constitution and this
act, the term "architectural and engincerkig services" shall include all
architectural, landscape architectural, environmental, engineering, land
surveying, and construction project management services.
§ 4529.11. All projects included in thc State' Transportation Improvement
Program programmed and funded as interregional improvements or as
regional improvements shall be subject to Article XXII of the California
Constitution. The sponsoring govmuncntal entity shall have thc choice
and thc authority to contract .with qualified private entities for
architectural and cngineexing services. For projects programmed and
funded as regional improvements, the sponsoring governmental entity
shall be the regional or local project sponsor. For projects programmed
and funded as intcrrcgional improvements, the sponsoring governmental
entity shall be the State of California, unless there is a regional or local
project sponsor, in which case the sponsoring governmental entity shall
be the regional or local project sponsor. The regional or local project
sponsor shall be a regional or local governmental entity.
§ 4529.12, All architectural and engineering services shall be procurccl
pursuant to a fair, competit/ve selection process which prohibits
governmental agency employees from participating in the selection
process when they have a financial or business relationship with any
private entity seeking the contract, and the procedure shall require
compliance with all laws regarding political contributions, conflicts of
interest or unlawful activities.
§ 4529.13. Nothing contained in this act shall be construed to change project
design stan~ds, seismic safety standards or project construction
standards established by state, regional or local governmental entities.
.-Nor shall any provision of this act be construed to prohibit or restrict the
0002
authority of the Legislature to statmorily provide different procu~emen~
methods for design-build projects or design-build-and-operate projects.
§ 4529.14. Architectural and engineering services conlracts procured by public
agencies shall be subject to standard .accounting practices and may
require f-mancial and performance audits as necessary to ensure contract
services ar~ dcllvcrcd within the agr~cl schedule and budget.
§ 4529.15. This act only applies to architectural and engineering services
defined in Government Code section4529.10, lqo~_hlng contained in
this act shall be construed to expand or restrict the authority of
governmental enlities to conuact for fir~, ambulance, police, sheriff,
probation, corrections or other peace officer services. Nor shall
anything in this act be construed to expand or restrict'the authority of
governmental entities to contract for education services including
no! limited to, leaching services, services of classified school personnel
and school administrators.
§ 4529.16. This act shall not be applied in a manner that will result in uhe loss
of federal funding to any governmental cmtity.
§ 4529.17. Thc provisions of this act are severable. If any provision of this act
or its application is held invalid, that invalidity shall not affect other
provisions or applications that can be given effect without the invalid
provision or application.
§ 4529.18. If any act of the Legislature conflicts with the provisions of this act,
this act shall prevail.
§ 4529.19. This act shall be liberally construed to accomplish its purposes,
§ 4529.20. This act seeks to comprehensively regulate the matters which are
contained within its provisions. These are matters of statewide concern
and when enacted are intended to apply to charter cities as well as all
other government~ entities.
SECTION 5.
This initiative may be arnendcd to further its purposes by statute, passed in each
house by roll call vote entered in the journal, two-thirds of the mem~p
concurring, and signed by the Governor.
SECTION 6.
If there is a conflicting initiative measure on the same ballot, which addresses
and seeks to comprehensively regulate the same subject, only the provisions of
this measure shall become operative if this measure receives the highest
affirmative-vote.
0O03
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WHO SUPPORTS "THE FAIR COMPETITION AND TAXPAYER
SAVINGS ACT"?
Legislation and Initiative (. o~ ~)
California Chamber of Commerce
California Taxpayers Association*
California Business Roundtable
Operating Engineers, Local Union No. 3 (AFL-CIO)
Operating Engineers, Local Union No. 12 (AFL-CIO)
American Subcontracts Association, California Chapter
Western Growers Association
National Federation of Independent Business
Associated General Contractors*
Californians for Better Transportation
California Building Industry Association
California MinOrity and Women's Business Coalition
California Manufacturers Association
California Business Properties Association
Civil Justice Association of California
California Groundwater Association
Coalition for Project Delivery
California Cement Promotion Council
California Chapter, American Planning Association
California Contract Cities Association
Califomia Trucking Association
Western States Petroleum Association
California Park & Recreation Society
California Fence Contractors Association
California Taxpayer Protection Committee
Califomia Travel Parks Association
Alliance of California Taxpayers and Involved Voters
Responsible Voters for Lower Taxes
United Californians for Tax Reform
Local and Regional Organizations
Waste Watchers
Contra Costa Taxpayers Association
Kern County Taxpayers Association
League of Placer County Taxpayers
Butte County Citizens for Better Government
Orange County Taxpayers Association*
San Diego County Taxpayers Association
Santa Barbara County Taxpayers Association
Shasta County Taxpayers Association
Sonoma County Taxpayers Association
Bay Area Council
Greater San Diego Chamber of Commerce
Northern California Engineering Contractors Association
North Coast Builders Exchange
Orange County Business Council
Orange County Transportation Coalition
San Jose Silicon Valley Chamber of Commerce
Santa Barbara County Association of Governments
Silicon Valley Manufacturing Group*
Southern California Contractors Association
Local Government and Education
City' of Oakland
City of Irvine
City of Newport Beach
City of Del Mar
City of Richmond
City of Palm Springs
City of Fresno
City of Rancho Cucamonga
City of Visalia*
City of Belmont
City of Bellflower'
City of Colfax
City of Cotati
City of Arcadia
City of Claremont*
City of Emeryville
City of Orland
City of Kerman
City of Highland
City of Dublin
City of Lancaster
City of Loma Linda
City of Westminster
City of Rohnert Park
City of Belvedere
City Of.Ft. Sragg
City Of Ceres
City of Chino Hills'
City of Arroyo Grande
City of Clayton
City of Daly City
City of Millbrae
City, of Exeter
City of Poway
City of Sebastopol
City of Temecula
City of Santa Rosa
City of Fortuna
City of Hermosa Beach
City of Livingston
City of Gardena
City of Sunnyvale*
City of Eureka
,'
City of Saratoga
City of San Juan Capistrano
City of Tulare
City of Taft
City of Santa Clarita
City of Ukiah
City of Santa Cruz
Town of Tiburon
Arcata City Public Works Department
Kings County
Lake County
Humboldt County
~.
Madera County
Mono County
Sonoma County
Stanislaus County
Livermore/Amador Valley Transit District
Metropolitan Transportation Commission*
Contra Costa Transportation Authority
Lake County Flood Control & Water Conservation District
Eisinore Water District
Los Alisos Water District
San Bemardino Valley Water Conservation District
Westborough Water District
Heritage Ranch Community Services Distdct
Vista Irrigation District
Lake County Sanitation District
Ironhouse Sanitary District
Alum Rock School District
San Juan Unified School District
West Fresno School District
Engineering and Architectural Organizations
Consulting Engineers and Land Surveyors of California
American Institute of Architects, California Chapter
Engineering and Utility Contractors Association
Engineering and General Contractors Association
Bay Counties Civil Engineers' and Land Surveyors Association
Society for Hispanic ~rofessional Engineers
Society for Hispanic Professional Engineers, Greater Los Angeles Area Chapter
Structural Engineers Association of Northern California
* Legislation only at this time.