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 |Add To My Favorites |Track Bill | Version: 06/24/26 - Amended Assembly
 02/11/26 - Introduced

 SB-1044 Public contracts: Small Business Procurement and Contract Act.(2025-2026)

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 Date Published: 06/24/2026 09:00 PM

SB1044:v98#DOCUMENTBill Start

 Amended
 IN 
 Assembly
 June 24, 2026

 CALIFORNIA LEGISLATURE—
 2025–2026 REGULAR SESSION

 Senate Bill

No. 1044

Introduced by Senator Reyes
(Coauthors: Senators Niello, Ochoa Bogh, Richardson, Seyarto, and Valladares)

February 11, 2026

 An act to amend Sections 14838.5 and 14838.64 of the Government Code, relating to public contracts. 

LEGISLATIVE COUNSEL'S DIGEST

SB 1044, as amended, Reyes.
 Public contracts: Small Business Procurement and Contract Act.

The Small Business Procurement and Contract Act permits a state agency or the California State University to award a contract for goods, services, or information technology with an estimated value between $5,000 and $250,000 to a certified small business, including a microbusiness and a disabled veteran business enterprise, without complying with specified competitive bidding requirements.

This bill would increase the maximum estimated value of a contract for goods, services, services or information technology awarded pursuant to the act from $250,000 to $350,000. Commencing January 1, 2029, and biennially thereafter, the bill would require the Director
 of General Services to conduct a review of that maximum value, and would authorize the director to adjust that value to reflect changes in the California Consumer Price Index.

Digest Key

 Vote:
 MAJORITY 
 Appropriation:
 NO 
 Fiscal Committee:
 YES 
 Local Program:
 NO 

Bill Text

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

SECTION 1.

 Section 14838.5 of the Government Code is amended to read:

14838.5.

 (a) (1) Notwithstanding the advertising, bidding, and protest provisions of Chapter 6 (commencing with Section 14825) of this part and Chapter 2 (commencing with Section 10290) and Chapter 3 (commencing with Section 12100) of Part 2 of Division 2 of the Public Contract Code, a state agency may award a contract for the acquisition of goods, services, or information technology that has an estimated value of greater than five thousand dollars ($5,000), but less than
 three hundred fifty thousand dollars ($350,000) specified in paragraph (2) to a certified small business, including a microbusiness, or to a disabled veteran business enterprise, as long as the agency obtains price quotations from two or more certified small businesses, including microbusinesses, or from two or more disabled veterans business enterprises.

(2) For purposes of paragraph (1), the following estimated values shall apply:

(A) For a contract for the acquisition of goods, an estimated value of greater than five thousand dollars ($5,000) but less than two hundred fifty thousand dollars ($250,000).

(B) For a contract for the acquisition of services or information technology, an estimated value of greater than five thousand dollars ($5,000) but less than three hundred fifty thousand dollars ($350,000).

 (2)

(3) Commencing January 1, 2029, and biennially thereafter, the Director of General Services shall conduct a review of the maximum estimated contract value specified in this subdivision
 subparagraph (B) of paragraph (2) and may adjust that value to reflect changes in the California Consumer Price Index.

(b) In carrying out subdivision (a), a state agency shall consider a responsive offer timely received from a responsible certified small business, including a microbusiness, or from a disabled veteran business enterprise.

(c) If the estimated cost to the state is less than five thousand dollars ($5,000) for the acquisition of goods, services, or information technology, or a greater amount as administratively established by the director, a state agency shall obtain at least two price quotations from responsible suppliers whenever there is reason to believe a response from a single source is not a fair and reasonable
 price.

SEC. 2.

 Section 14838.64 of the Government Code is amended to read:

14838.64.

 (a) (1) Notwithstanding any other law, including, but not limited to, the advertising, bidding, and protest provisions of Chapter 6 (commencing with Section 14825) of this part and Chapter 2.5 (comm