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AB 2187

Public contracts: contracts for services.

2025-2026 Regular Session Introduced by James Ramos

Extends bidding exemptions to federally recognized California Native American tribes for certain consulting contracts, with limited sovereign immunity waiver and market-cost justif

From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 14. Noes 0.) (June 23). Re-referred to Com. on APPR.
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Bill Summary · AB 2187

Summary of AB 2187 (2025-2026) – Public contracts: contracts for services

Author: Assembly Member James Ramos (sponsor)

Status: Introduced February 19, 2026. As of latest action, reported from committees with a Do Pass recommendation and moved to Consent Calendar (APPR and G.O. committees). The bill text is focused on amending the Public Contract Code to modify advertising/bidding requirements for certain consulting services contracts and related subcontracting, with specific protections for federally recognized California Native American tribes and tribal cultural resources.

Purpose and intent
- The bill aims to broaden and clarify exemptions from advertising and competitive bidding requirements for certain consulting services contracts, specifically adding federally recognized California Native American tribes as eligible to receive exemptions.
- It also creates conditions under which tribes can participate in interagency agreements via subcontracting, while requiring limited waiver of sovereign immunity and a market-equivalence justification of costs.
- Additionally, the bill clarifies protections for tribal cultural resources contracts awarded to California Native American tribes.

Key provisions and changes

1) Definitions and exemptions for consulting services contracts (Public Contract Code sections 10335.5 and related)
- Expands existing exemptions from advertising and bidding for consulting services contracts to include contracts that can only be performed by:
- A federally recognized California Native American tribe (in addition to previously listed categories such as public entities).
- Maintains existing exemptions (e.g., temporary/nontesting civil service appointments, expert witnesses, legal services, contracts under $5,000, certain Government Code provisions).

2) Competitive bidding requirements (Section 10340)
- Maintains the general rule that state agencies must secure at least three competitive bids or proposals for each contract, with specified exceptions.
- Adds a new subsection allowing a contract with a federally recognized California Native American tribe to be exempt from the three-bid requirement, under conditions similar to other exemptions.
- Allows a federally recognized tribe to include a subcontract with subdivisions/subsidiaries wholly owned by the tribe for interagency agreements, provided:
- The contracting tribe offers a limited waiver of sovereign immunity.
- The tribe provides a justification of cost to show market equivalence of similar services.

3) Restrictions on bidders and conflicts of interest for consultants and their affiliates (Section 10365.5)
- Prohibits a person or entity awarded a consulting services contract from bidding on or being awarded subsequent contracts for services/goods related to the end product of the consulting contract.
- Adds a specific exemption for:
- California Native American tribes awarded a consulting services contract for tribal cultural resources purposes (tribal cultural resources defined per the Public Resources Code).
- Maintains a narrow exception for subcontracting up to 10% of the total value of a consulting services contract.

4) Tribal involvement in interagency and intergovernmental work
- Authorizes federally recognized tribes to participate in interagency agreements via subcontracting to fulfill obligations, conditional on:
- Limited sovereign immunity waiver.
- Demonstrable cost and market-equivalent justification for the services.

Who is affected

  • State agencies procuring services: potential exemptions from advertising/bidding when contracting with federally recognized California Native American tribes for eligible consulting services.
  • Federally recognized California Native American tribes: potential eligibility to enter consulting services contracts exempt from advertising/bidding; ability to include subsides/subcontracting arrangements with tribal entities for interagency work, subject to cost-justification and sovereign immunity considerations.
  • Subcontracting entities (tribal subdivisions/subsidiaries): may participate as part of interagency agreements under tribal covenants.
  • Vendors bidding on consulting services: general prohibition on bidding on related end-product contracts if previously awarded a consulting services contract (with exceptions).

Significant procedural and timeline aspects

  • Legislative process timeline (as of current status):
    • Referred to committees (Judiciary and Government Organization) on 2026-03-16.
    • Passed from committees with Do Pass (Jud/GO) and subsequently from APPR and G.O. to Consent Calendar (April 2026 actions noted).
  • No appropriation requested (fiscal impact not requested in the Digest).
  • Provisions would take effect upon enactment, applying to contracts entering bidding/advertising processes after the bill’s effective date (standard for Public Contract Code amendments).

Notes for readers
- The bill is explicit in expanding exemptions to include federally recognized California Native American tribes, but requires a limited waiver of sovereign immunity and cost-based market-equivalence justification for tribal interagency subcontracting.
- The tribal-specific tribal cultural resources provisions tailor the scope of exemptions to cultural resource projects, aligning with tribal governance and resource management concerns.

Compiled from official sources — confirm details with the bill’s official record.

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