State follows private sector on Dept. of Transportation purchases

By CMTA Staff

Capitol Update, Sept. 18, 2014 Share this on FacebookTweet thisEmail this to a friend

One bill that received little public attention, but substantial CMTA support, this year is AB 1857. The bill allows for the “best value” in construction vehicle purchases made by the California Department of Transportation. Translation: the state must now use similar marginal cost analyses that the private sector uses when purchasing these types of vehicles and equipment.

It’s one thing to purchase the lowest cost item but it’s another to ensure that public dollars are spent wisely, for the long term, taking into account all the costs and benefits of particular procurement options.  

The bill was signed by Gov. Brown this week and it deserves some attention for improving California’s procurement system and perhaps setting a trend. This is a step in the right direction and CMTA will advocate for more of this in other state government budgeting processes.

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