AMENDED IN SENATE JUNE 1, 2026

AMENDED IN ASSEMBLY MARCH 23, 2026

CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION

97

Introduced by Assembly Member Fong

February 10, 2026

An act to amend Section 17596 of the Education Code, and to amend Sections 20655.23 and 20919.23 of, and to repeal Sections 20665.33 and 20919.33 of, 20665.23, 20665.33, 20919.23, 20919.31, and 20919.33 of the Public Contract Code, relating to public contracts.

Vote: majority   Appropriation: no   Fiscal committee: yes   Local program: yes

LEGISLATIVE COUNSEL’S DIGEST

(1) Existing law, the Local Agency Public Construction Act, authorizes job order contracting, as defined, for school districts until January 1, 2027. Existing law requires job order contractors to submit a questionnaire to the school district containing specified information verified under oath, under penalty of perjury.

This bill would delete the January 1, 2027, repeal date for these provisions, thereby making them operative indefinitely. extend the termination date for these provisions until January 1, 2037.

Existing law authorizes a school district to utilize job order contracting only if the school district has entered into a project labor agreement or agreements that will apply to all public works awarded through job order contracting and to all other public works of the school district that exceed a monetary threshold set by the school district until January 1, 2027, regardless of what contracting procedure is used to award that work.

This bill would delete the January 1, 2027, date for the above provisions, thereby making them operative indefinitely. extend the termination date for these provisions until January 1, 2037. The bill would also prohibit job order contracting by a school district if the district finds finds, based on criteria and methodology established by the school district, that it will increase the total cost of the project. project without sufficient documented justification.

Existing law requires a school district to prepare an execution plan for all modernization projects that may be eligible for job order contracting. Existing law requires the school district to select from that plan a sufficient number of projects to be initiated as job order contracts during each calendar year and to determine for each selected project that job order contracting will reduce the total cost of that project, as specified.

This bill would delete the above provisions.

Existing law also authorizes job order contracting for community college districts until January 1, 2027. Existing law requires job order contractors to submit a questionnaire to the community college district containing specified information verified under oath, under penalty of perjury.

This bill would delete the January 1, 2027, repeal date for these provisions, thereby making them operative indefinitely. extend the termination date for these provisions until January 1, 2037.

Existing law authorizes a community college district to utilize job order contracting only if the community college district has entered into a project labor agreement or agreements that will apply to all public works awarded through job order contracting and to all other public works of the district that exceed a monetary threshold set by the district until January 1, 2027, regardless of what contracting procedure is used to award that work.

This bill would delete the January 1, 2027, date for the above provisions, thereby making them operative indefinitely. extend the termination date for these provisions until January 1, 2037.

By extending the operation of those provisions that expand the crime of perjury, this bill would impose a state-mandated local program.

(2) Existing law authorizes continuing contracts for a school district to be made with an accepted vendor for work or services, or for apparatus or equipment, not to exceed 5 years, or for materials or supplies, not to exceed 3 years.

This bill would prohibit the duration of any task order procurement contract or job order contract issued pursuant to specified Public Contract Code provisions from exceeding 5 years. The bill would additionally provide that any individual task order or job order issued pursuant to those contracts shall remain valid and enforceable despite the expiration of the term of the task order procurement contract or job order contract pursuant to which the individual task order or job order was validly issued.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

The people of the State of California do enact as follows:

SECTION 1.

Section 17596 of the Education Code is amended to read:

17596.

(a) Continuing contracts for work to be done, services to be performed, or for apparatus or equipment to be furnished, sold, built, installed, or repaired for the district, or for materials or supplies to be furnished or sold to the district may be made with an accepted vendor as follows: for work or services, or for apparatus or equipment, not to exceed five years; for materials or supplies, not to exceed three years.

(b) The duration of any task order procurement contract issued pursuant to Article 3.1 (commencing with Section 20118.5) of Chapter 1 of Part 3 of Division 2 of the Public Contract Code, or job order contract issued pursuant to Article 60.4 (commencing with Section 20919.20) of Chapter 1 of Part 3 of Division 2 of the Public Contract Code, shall not exceed five years. Any individual task order or job order issued pursuant to these contracts shall remain valid and enforceable despite the expiration of the term of the task order procurement contract or job order contract pursuant to which the individual task order or job order was validly issued.

SEC. 2.

Section 20665.23 of the Public Contract Code is amended to read:

20665.23.

(a) A community college district may utilize job order contracting pursuant to this article only if the community college district has entered into a project labor agreement or agreements that will apply to all public works awarded through job order contracting and to all other public works of the community college district that exceed a monetary threshold set by the community college district, until January 1, 2037, regardless of what contracting procedure is used to award that work.

(b) A community college district shall prepare an execution plan for all modernization projects that may be eligible for job order contracting pursuant to this article. The community college district shall select from that plan a sufficient number of projects to be initiated as job order contracts during each calendar year and shall determine for each selected project that job order contracting will reduce the total cost of that project. Job order contracting shall not be used if the community college district finds that it will increase the total cost of the project.

(c) (1) An entity awarded a job order contract in excess of twenty-five thousand dollars ($25,000) shall provide an enforceable commitment to the community college district that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the job order contract that falls within an apprenticeable occupation in the building and construction trades, in accordance with Chapter 2.9 (commencing with Section 2600) of Part 1.

(2) Paragraph (1) shall not apply if the job order contract is subject to a project labor agreement that will bind all contractors and subcontractors performing work on the job order contract to use a skilled and trained workforce to perform the job order contract.

SEC. 3.

Section 20665.33 of the Public Contract Code is amended to read:

20665.33.

This article shall remain in effect only until January 1, 2027, 2037, and as of that date is repealed.

SEC. 4.

Section 20919.23 of the Public Contract Code is amended to read:

20919.23.

(a) The school district may utilize job order contracting pursuant to this article only if the school district has entered into a project labor agreement or agreements that will apply to all public works awarded through job order contracting and to all other public works of the school district that exceed a monetary threshold set by the school district, district until January 1, 2037, regardless of what contracting procedure is used to award that work.

(b) Job order contracting shall not be used if the school district finds finds, based on criteria and methodology established by the school district, that it will increase the total cost of the project. project without sufficient documented justification.

(c) (1) An entity awarded a job order contract in excess of twenty-five thousand dollars ($25,000) shall provide an enforceable commitment to the school district that the entity and its subcontractors at every tier will use a skilled and trained workforce to perform all work on the job order contract that falls within an apprenticeable occupation in the building and construction trades, in accordance with Chapter 2.9 (commencing with Section 2600) of Part 1.

(2) Paragraph (1) shall not apply if the job order contract is subject to a project labor agreement that will bind all contractors and subcontractors performing work on the job order contract to use a skilled and trained workforce to perform the job order contract.

SEC. 5.

Section 20919.31 of the Public Contract Code is amended to read:

20919.31.

In order to prevent fraud, waste, and abuse, the school district adopting job order contracting shall do all of the following:

(a) Prepare for each individual job order developed under a job order contract an independent school district estimate. The estimate will shall be prepared prior to the receipt of the contractor’s offer to perform work and will be compared to the contractor’s proposed price to determine the reasonableness of that price before issuance of any job order. proposal. The basis for any adjustments to the school district estimate is to be documented. In the event that the contractor’s proposal for a given job order is found to be unreasonable, not cost effective, or undesirable, the school district is under no obligation to issue the job order to the job order contractor, and may instead utilize any other available procurement procedures.

(b) The school district shall not issue a job order until the job order has been reviewed and approved by the appropriate level of management.

(c) Once a job order has been issued, all documents pertaining to preparation and approval of the job order, including the independent school district estimate, shall be available for public review.

SEC. 6.

Section 20919.33 of the Public Contract Code is amended to read:

20919.33.

This article shall remain in effect only until January 1, 2027, 2037, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2027, deletes or extends that date. repealed.

SEC. 6.SEC. 7.

No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.