AB 522

Under current law, the Department of Transportation (DOT) may engage

engineering, consulting, surveying, or other specialized services and this

engagement of services is exempt from certain provisions of law relating to state

procurement. Any engagement of services involving an expenditure of $3,000 or

more must be by formal contract approved by the governor. For an engagement of

services of more than $25,000, DOT must conduct a uniform cost-benefit analysis

before the engagement and must review periodically, and before any renewal, the

continued appropriateness of the engagement.

This bill eliminates the requirements that DOT: 1) conduct a uniform

cost-benefit analysis before an engagement of engineering, consulting, surveying,

or other specialized services involving an expenditure of more than $25,000; and 2)

review periodically and before any renewal the continued appropriateness of such an

engagement. The bill also requires DOT to annually submit a report to the

legislature limited to identifying, for the preceding fiscal year: 1) the total cost of

engineering services provided on projects performed predominantly by DOT

employees; 2) the total cost of engineering services provided on projects performed

predominantly through an engagement of engineering services; and 3) the total cost

of engineering services provided on projects performed jointly by DOT employees and

through an engagement of engineering services. The bill also includes requirements

for DOT to follow in computing the total cost of engineering services.