Public contracts: Department of Transportation: bid preferences: employee stock ownership plans.

Legislative status

1. Introduced
2. In Committee
3. Reported by Committee
4. Floor Vote Scheduled
5. Passed One Chamber
6. Passed Both Chambers
7. Sent to Executive
8. Signed into Law

Summary

Starting Jan. 1, 2028, Caltrans will award a small percentage preference to any contractor or subcontractor whose employee stock ownership plan (ESOP) owns at least 30% of the company when they bid on a state‑funded construction contract. The rule also creates civil penalties and possible suspension for fraud or false statements used to obtain the preference. It affects all firms bidding on Caltrans construction work and aims to encourage employee ownership.

AI-generated summary — may be incomplete or inaccurate. Verify against the official bill text.

Vote

Read third time. Passed. (Ayes 33. Noes 0. Page 4419.) Ordered to the Assembly. · May 22, 2026

Hearings

• Appropriations Committee Hearing
  Appropriations · Aug 13, 2026
• Appropriations Committee Hearing
  Appropriations · Aug 5, 2026
• Judiciary Committee Hearing
  Judiciary · Jun 30, 2026
• Judiciary Committee Hearing
  Judiciary · Jun 30, 2026
• Transportation Committee Hearing
  Transportation · Jun 22, 2026

History

1. Jun 1, 2026Referred to Coms. on TRANS. and JUD.
2. May 22, 2026Read third time. Passed. (Ayes 33. Noes 0.) Ordered to the Assembly.
3. May 22, 2026In Assembly. Read first time. Held at Desk.
4. May 20, 2026Ordered to special consent calendar.
5. May 14, 2026Read second time. Ordered to third reading.
6. May 14, 2026From committee: Do pass. (Ayes 7. Noes 0.) (May 14).
7. May 8, 2026Set for hearing May 14.
8. May 4, 2026May 4 hearing: Placed on APPR. suspense file.
9. Apr 24, 2026Set for hearing May 4.
10. Apr 22, 2026From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 13. Noes 0. Page 3978.) (April 21). Re-referred to Com. on APPR.
11. Apr 9, 2026Set for hearing April 21.
12. Apr 8, 2026From committee: Do pass and re-refer to Com. on JUD. with recommendation: To consent calendar. (Ayes 12. Noes 0. Page 3760.) (April 7). Re-referred to Com. on JUD.

The 12 most recent of 16 recorded actions.

Sponsors

• Suzette Valladares (R) · sponsor
• Valladares

Bill text

Opens the legislature’s own copy.

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