CA AB2620

Amends Section 114.5 of the Streets and Highways Code to require the Department of Transportation to be reimbursed when it performs capital outlay support services for public agencies or private entities.

Department shall be reimbursed for staff salaries and benefits, additional space, equipment, and materials needed to perform the services.

Department shall not be reimbursed for indirect overhead costs unless those costs can be solely attributed to the specific function and would not exist otherwise.

When the department uses contractors to provide capital outlay support services, the agency or entity shall reimburse the department for contractor costs plus direct costs associated with the contract, including advertising, awarding, inspection, and supervision.

Defines "capital outlay support services" to include project development, preliminary engineering, design services, construction inspection, surveying, materials testing, and related functions.