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AB-778 • 2026

Local Agency Public Construction Act: internet website posting.

Local Agency Public Construction Act: internet website posting.

Education
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Chen
Last action
2026-02-02
Official status
From committee: Filed with the Chief Clerk pursuant to Joint Rule 56.
Effective date
Not listed

Plain English Breakdown

The bill summary and digest do not provide specific details on the consequences for local agencies without websites or reimbursement procedures.

Local Agency Public Construction Act: Internet Website Posting

This law requires local agencies with websites to post information about construction project payments online, similar to state agency requirements.

What This Bill Does

  • Requires local agencies that maintain an internet website to post details of their construction project payments on the internet within 10 days after making those payments.
  • Lists specific details like the name of the contractor, payment date, and amount that must be posted online.
  • Exempts contracts under $25,000 from this requirement.
  • Prohibits local agencies from withholding any retention proceeds if they do not follow these rules.

Who It Names or Affects

  • Local agencies in California with websites managing construction projects.
  • Construction contractors and companies working on local agency projects.

Terms To Know

Retention proceeds
Money kept by a local agency until the end of a construction project to ensure all work is completed properly.
State-mandated local program
A program that requires local agencies to do something because it was ordered by the state government.

Limits and Unknowns

  • The bill does not specify what happens if a local agency doesn't have a website.
  • It's unclear how much this will cost local agencies and whether they will be reimbursed for these costs.

Bill History

  1. 2026-02-02 California Legislative Information

    From committee: Filed with the Chief Clerk pursuant to Joint Rule 56.

  2. 2026-01-31 California Legislative Information

    Died pursuant to Art. IV, Sec. 10(c) of the Constitution.

  3. 2025-03-03 California Legislative Information

    Referred to Com. on L. GOV.

  4. 2025-02-19 California Legislative Information

    From printer. May be heard in committee March 21.

  5. 2025-02-18 California Legislative Information

    Read first time. To print.

Official Summary Text

AB 778, as introduced, Chen.
Local Agency Public Construction Act: internet website posting.
Existing law, the Local Agency Public Construction Act, sets forth the requirements for the payment of construction projects by local agencies. Existing law, the State Contract Act, imposes specified requirements on state agencies regarding payment of construction contracts, including requiring, within 10 days of making a construction contract payment, a state agency that maintains an internet website to post on its internet website the project for which the payment was made, the name of the construction contractor or company paid, the date the payment was made or the date the state agency transmitted instructions to the Controller or other payer to make the payment, the payment application number or other identifying information, and the amount of the payment. Existing law exempts from these provisions, among other things, construction contracts valued below $25,000.
This bill would require a local agency that maintains an internet website to post on its internet website the information described above. The bill would exempt from these provisions construction contracts valued below $25,000. The bill would prohibit a local agency that fails to comply with these provisions from withholding any retention proceeds from any remaining payment, as specified. By adding to the duties of local agencies, the bill would impose a state-mandated local program.
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, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant
to the statutory provisions noted above.

Current Bill Text

Read the full stored bill text 
Download Bill PDF