AB880 Advances: State Grant & Contract Payment Rules + Indirect Cost Recovery
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Summary
AB880, which addresses payment of claims on state government grants and contracts and grantees' indirect cost recovery, passed the California Senate 39-0 and is returning to the Assembly for concurrence. The bill likely modifies how indirect costs (overhead rates) are calculated, reimbursed, or negotiated on state-funded contracts and grants, which would directly affect consulting firms and contractors working on CA HSR and related state programs.
Details
If enacted, AB880 could improve indirect cost recovery rates or streamline payment claims for consulting firms and contractors engaged with CHSRA, making state HSR contracts more financially viable and potentially opening the program to a broader vendor pool.
Potentially expands or standardizes indirect cost reimbursement to grantees and contractors from state agencies, including CHSRA-funded contracts
California Legislature California State Senate California Assembly California High-Speed Rail Authority (as a state grantee/contracting agency) Consultants and contractors on state programs
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