BILL NUMBER: AB 1029	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Frazier

                        FEBRUARY 26, 2015

   An act to add Article 8 (commencing with Section 999.75) to
Chapter 6 of Division 4 of the Military and Veterans Code, relating
to veterans.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1029, as introduced, Frazier. Veterans: service providers.
   Existing law provides for certain services, protections, and
benefits for veterans. Existing law establishes a 3-percent
participation goal for disabled veteran business enterprises in state
procurement.
   This bill would require each entity of state government to give
preference to a qualified entity, as defined, when awarding a grant
or contract to provide social services to veterans. The bill would
require a qualified entity to submit with the application for the
grant or the bid for contract a certification, as provided, from the
Department of Veterans Affairs. The bill would also authorize the
Department of Veterans Affairs to conduct audits of qualified
entities, as specified.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Article 8 (commencing with Section 999.75) is added to
Chapter 6 of Division 4 of the Military and Veterans Code, to read:

      Article 8.  Veterans Preference For State Services Contracts


   999.75.  For purposes of this article, both of the following shall
apply:
   (a) A "qualified entity" means an entity that provides veterans
with services, as specified in subdivision (a) of Section 999.76, and
is capable of managing the grant moneys provided or the contract
funds allocated in a fiscally prudent manner, and that meets all of
the following requirements:
   (1) Demonstrates the knowledge, experience, and capacity to
provide desired services to veterans.
   (2) Demonstrates through audits and employment history the fiscal
and management capacity to capably perform public contracts.
   (3) Is a nonprofit organization that is exempt from federal income
taxation as an organization described in Section 501(c)(3) of the
Internal Revenue Code with the primary purpose of providing services
to veterans and their families.
   (4) Demonstrates that the majority of the entity's resources are
dedicated to serving the needs of veterans and their families.
   (5) Demonstrates that all required filings with the Secretary of
State, the office of the Attorney General, and the Franchise Tax
Board are current.
   (b) A qualified entity shall provide to the department all of the
following up-to-date documents:
   (1) Articles of incorporation and all amendments to the articles
of incorporation.
   (2) IRS Letter of Determination.
   (3) Taxpayer identification number.
   (4) Independent audit reports dating back three years.
   999.76.  (a) Notwithstanding any other law, each entity of state
government that awards grants to, or enters into contracts with,
nongovernmental agencies shall give preference to a qualified entity
when awarding a grant for a project that would provide to veterans,
or when entering into a contract to provide to veterans, social
services, including, but not limited to, housing services, mental
health services, or employment and job training services.
   (b) The qualified entity shall submit, with the application for
the grant or the bid for the contract, a certification from the
department.
   (c) (1) In order to obtain a certification as required by
subdivision (b), the qualified entity shall apply to the department,
in a form and manner as required by the department, for certification
of its status as a qualified entity.
   (2) The department shall process and approve or reject all
applications on the basis of the requirements set forth in Section
999.75.
   (d) The department may conduct an audit of qualified entities that
receive grant funds, as provided by this section, to ensure the
grant funds are being used to serve veterans. The results of an audit
shall be made available to the public. The department may comply
with the requirements of this subdivision by posting the results of
an audit on its Internet Web site.
   999.77.  (a) A certification approved by the department shall be
valid for two years from the date the department accepts credentials
for certification.
   (b) The department may accept current certifications and licenses
from any other state entity, agency, or department in order to
provide a certification to a qualified entity pursuant to
subdivisions (b) and (c) of Section 999.76.