California Senate Bill 1340
Session 20252026
Small business liaison: contract information: small business procurement participation: disabled veteran business enterprise participation.
Active
Passed Senate on May 22, 2026
Origin Chamber
Senate
Type
Bill
Bill Number
1340
State
California
Session
20252026
Motion Text
Special Consent
Senate Roll Call Votes
Yes
Yes
Other
Yes
Other
Yes
Other
Other
Yes
Other
Yes
Other
Yes
Other
Yes
Summary
Existing law establishes the Office of Small Business Advocate within the Governor's Office of Business and Economic Development, led by the Small Business Advocate, and sets forth its powers and duties relating to advocacy on behalf of small businesses and providing small businesses with the information they need to survive in the marketplace.
Existing law requires a state agency that significantly regulates small business or that significantly impacts small business to designate at least one person to serve as a small business liaison for the agency. Existing law requires these state agencies to notify the Office of Small Business Advocate within the Governor's Office of Business and Economic Development and the Department of General Services of specified information, including the name and contact information of the agency's small business liaison.
This bill would require the small business liaison for each state agency to annually submit specified contract information to the Office of Small Business Advocate, including, among other things, a list of all contracts of the state agency that include a subcontract with a small business. The bill would require the Office of Small Business Advocate to post that contract information on its internet website.
Existing law requires the directors of state departments and other agencies that enter into contracts for the provision of goods, information technology, and services to the state, and in the construction, including alteration, demolition, repair, or improvement, of state facilities to, among other things, establish a minimum goal for procurement participation for small businesses, provide for small business preference, and give special consideration and assistance to small businesses, as specified.
This bill would require a contractor awarded a state contract pursuant to these provisions to utilize the listed small business or microbusiness subcontractor identified in a bid proposal for goods and services specified in a contract described above unless otherwise approved by the awarding state agency. The bill would prohibit a contractor awarded a state contract pursuant to these provisions from substituting, replacing, or terminating a listed small business or microbusiness subcontractor without approval of the awarding state agency or department. The bill would require an awarding state department or agency, upon the completion of an awarded contract for which a commitment to achieve a small business goal was made, to require the prime contractor that entered into a subcontract with a small business to certify certain information including, among other things, that all payments under the contract have been made to the small business, and require the prime contractor, upon request by the awarding state department or agency, to provide proof of payment for the work. By expanding the scope of the crime of perjury, this bill would impose a state-mandated local program.
Existing law, the California Disabled Veteran Business Enterprise Program, sets disabled veteran business enterprise statewide participation goals of a minimum of 3 % of total contract value expended each year for contracts awarded by any state agency, department, officer, or other state governmental entity, as specified.
This bill would require a contractor awarded a state contract pursuant to the program to utilize the listed disabled veteran business enterprise subcontractor identified in a bid proposal for goods and services specified in the contract unless otherwise approved by the awarding state agency. The bill would prohibit a contractor awarded a state contract pursuant to the program from substituting, replacing, or terminating a listed disabled veteran business enterprise subcontractor without approval of the awarding state agency or department.
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.
02/20/26 - Introduced
February 20, 2026
06/18/26 - Amended Assembly
June 18, 2026
03/19/26- Senate Governmental Organization
March 19, 2026
04/10/26- Senate Business, Professions and Economic Development
April 10, 2026
04/24/26- Senate Appropriations
April 24, 2026
05/14/26- Sen. Floor Analyses
May 14, 2026
06/22/26- Assembly Economic Development, Growth, and Household Impact
June 22, 2026
Sort by most recent
06/23/2026
Assembly
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 8. Noes 0.) (June 23). Re-referred to Com. on APPR.
06/23/2026
Assembly
Coauthors revised.
06/18/2026
Assembly
From committee with author's amendments. Read second time and amended. Re-referred to Com. on E.D., G., & H.I.
06/01/2026
Assembly
Referred to Com. on E.D., G., & H.I.
05/22/2026
Assembly
In Assembly. Read first time. Held at Desk.
05/22/2026
Senate
Read third time. Passed. (Ayes 33. Noes 0.) Ordered to the Assembly.
05/20/2026
Senate
Ordered to special consent calendar.
05/14/2026
Senate
Read second time. Ordered to third reading.
05/14/2026
Senate
From committee: Do pass. (Ayes 7. Noes 0.) (May 14).
05/08/2026
Senate
Set for hearing May 14.
04/27/2026
Senate
April 27 hearing: Placed on APPR. suspense file.
04/17/2026
Senate
Set for hearing April 27.
04/13/2026
Senate
From committee: Do pass and re-refer to Com. on APPR. (Ayes 11. Noes 0. Page 3841.) (April 13). Re-referred to Com. on APPR.
04/08/2026
Senate
Set for hearing April 13.
03/24/2026
Senate
From committee: Do pass and re-refer to Com. on B. P. & E.D. with recommendation: To consent calendar. (Ayes 14. Noes 0. Page 3658.) (March 24). Re-referred to Com. on B. P. & E.D.
03/18/2026
Senate
Set for hearing March 24.
03/04/2026
Senate
Referred to Coms. on G.O. and B. P. & E.D.
02/23/2026
Senate
Read first time.
02/23/2026
Senate
From printer. May be acted upon on or after March 23.
02/20/2026
Senate
Introduced. To Com. on RLS. for assignment. To print.
Sources
Record Created
Feb 21, 2026 8:35:25 AM
Record Updated
Jun 24, 2026 8:53:14 AM