How do I find California government contracts?

California posts state procurement opportunities on Cal eProcure (caleprocure.ca.gov). You must create a vendor account and register your business to receive bid notifications. Individual departments also post opportunities on their own sites, but Cal eProcure is the primary hub for statewide solicitations above the informal bid threshold.

Do I need to register on Cal eProcure to bid on California contracts?

Yes. Registration on Cal eProcure is required to respond to formal solicitations and receive bid notifications. The process involves creating a vendor profile, entering your business information, and selecting relevant commodity codes. Registration is free and typically takes one to two business days to process.

What is the California DVBE program?

The Disabled Veteran Business Enterprise (DVBE) program requires state agencies to meet a 3% participation goal for contracts. DVBE-certified businesses receive preference in award decisions and can receive points in evaluation criteria. Certification is managed through the California Department of General Services and requires the business owner to be a veteran with a service-connected disability.

What is California's small business contracting threshold?

California uses informal competitive bidding for contracts between $5,000 and $249,999, requiring at least three written quotes. Contracts above $250,000 require a formal invitation for bid or request for proposal process through Cal eProcure. Micro purchases under $5,000 can be made without competitive bidding.

CAWest

California Government Contracts — Procurement Guide

Last updated: April 2026

Researched by the BidStride Research Team

LIVE — Opportunities monitored daily

California state agencies award approximately $15B+ in contracts annually across construction, technology, professional services, and operations. Contracts are posted through the Cal eProcure and require vendor registration before you can submit responses or receive bid notifications.

California has specific programs for small and disadvantaged businesses including California Small Business Certification. Understanding the state's set-aside programs and registration requirements before you bid is essential to competing effectively.

Procurement Portal

Portal Name: Cal eProcure
Annual Volume: $15B+

Small Business Programs

California Small Business Certification

DVBE (Disabled Veteran Business Enterprise)
SB (Small Business)
MB (Micro Business)
SBE (Small Business Enterprise)

Top California Procurement Agencies

These agencies represent the highest volume buyers in California state government. Targeting your business development efforts toward the agencies most relevant to your capabilities will yield the strongest results.

Caltrans
Department of General Services
California Health and Human Services Agency
Department of Technology
California Department of Corrections

Top NAICS Codes in California State Contracting

These NAICS codes appear most frequently in California state solicitations. Ensure your SAM.gov registration and state vendor profile include the codes relevant to your services.

Browse all NAICS codes →

How to Register and Bid on California Contracts

1
Register on Cal eProcure. Vendor registration is required to receive bid notifications and submit responses. Registration is typically free. Start registration →
2
Select your commodity codes. During registration, select the NIGP or product/service codes that match your offerings. This determines which solicitations you receive notifications for. The more accurately you code your capabilities, the more relevant your alerts will be.
3
Pursue California Small Business Certification certification if eligible. Certified small and disadvantaged businesses receive preference in evaluation and access to set-aside opportunities. Review eligibility criteria for DVBE (Disabled Veteran Business Enterprise) and apply before you bid.
4
Monitor solicitations and respond promptly. State procurement deadlines are firm. Late bids are typically rejected regardless of reason. Use BidStride to get daily alerts when newCalifornia opportunities matching your NAICS codes are posted.

Frequently Asked Questions — California Government Contracting

Licensing Requirements in California

Business License

Required

All businesses operating in California must register with the California Secretary of State and obtain a business license from the city or county where they operate. Sole proprietors must file a Fictitious Business Name (DBA) statement with the county clerk.

LLC
Corporation
Sole Proprietorship with DBA
Partnership

Apply for license

Contractor License

Required

California requires a contractor license issued by the Contractors State License Board (CSLB) for any project valued at $500 or more in combined labor and materials. There are over 40 license classifications covering general engineering (A), general building (B), and specialty trades (C).

Licensing Board: Contractors State License Board (CSLB)

Threshold: $500 or more in labor and materials

Licensing board info

California Procurement Thresholds

California's procurement thresholds vary by category. The Department of General Services sets thresholds for state agencies. Public works projects are governed by the Public Contract Code. Local agencies may have different thresholds under the Uniform Public Construction Cost Accounting Act (UPCCAA), which as of January 2025 (AB 2192) sets force account at $75,000 and informal bidding up to $220,000.

Category	Threshold
Micro Purchase	Up to $10,000
Informal Bidding	$10,001 - $100,000 (non-IT goods/services); up to $250,000 for IT
Formal Bidding	Above $100,000 (goods/services); above $250,000 (IT)
Public Works	Above $25,000 requires formal competitive bidding per Public Contract Code

California Contractor Certifications

These certifications can give your business a competitive advantage when bidding on California state contracts, including access to set-aside programs and evaluation preferences.

Small Business (SB)

California's primary small business certification, administered by the Department of General Services. Must be independently owned, California-based, with average annual gross receipts not exceeding $15 million (or microbusiness under $5 million).

Agency: Department of General Services (DGS), Office of Small Business and Disabled Veteran Business Enterprise Services (OSDS)

25% state contracting goal
5% bid preference on state contracts
Access to SB set-aside contracts

Apply for SB

DVBE

Disabled Veteran Business Enterprise

For businesses at least 51% owned by one or more disabled veterans. Must have service-connected disability and be a California resident.

Agency: Department of General Services (DGS)

3% state contracting participation goal
Bid incentive of 1-5% on competitively bid contracts
Direct award eligibility for contracts up to $250,000

Apply for DVBE

DBE

Disadvantaged Business Enterprise

Federally-mandated program for firms bidding on USDOT-assisted contracts. Must be at least 51% owned by socially and economically disadvantaged individuals. Personal net worth cap of $1.32 million.

Agency: California Unified Certification Program (CUCP), administered by Caltrans

Access to DBE set-aside subcontracting goals on federally-funded transportation projects
Statewide DBE goal typically 10-12% of federal transportation dollars

Apply for DBE

MBE

Minority Business Enterprise

While California does not have a formal state MBE certification (Proposition 209 prohibits racial preferences in state contracting), many local agencies and federal pass-through programs recognize MBE certifications from other entities.

Agency: Various (NMSDC, local agencies)

Eligibility for federal pass-through subcontracting goals
Local agency programs that track MBE participation

Apply for MBE

WBE

Women Business Enterprise

Similar to MBE, California's Proposition 209 limits state-level WBE preferences, but federal pass-through contracts and local programs recognize WBE status.

Agency: Various (WBENC, local agencies)

Eligibility for federal pass-through subcontracting goals
Local agency WBE participation tracking

Apply for WBE

California Set-Aside Programs

Small Business Preference

Goal: 25%

California mandates a 25% small business participation goal for state contracts. Certified SBs receive a 5% bid preference. Gov. Code 14835-14843.

Disabled Veteran Business Enterprise (DVBE) Participation

Goal: 3%

State agencies must achieve a 3% DVBE participation goal. Mil. & Vet. Code 999-999.13.

Small Business / DVBE Option

Goal: N/A

Contracts under $250,000 may be awarded directly to certified SBs or DVBEs without competitive bidding under the SB/DVBE option.

How to Protest a California Contract Award

Filing Deadline: 5 working days after bid opening or notice of intent to award (whichever is applicable)
Filing Body: Department of General Services, Office of Administrative Hearings for formal protests
Process: Protests must be filed in writing with the contracting agency. The protest must state the grounds for protest, including legal and factual basis. The agency must respond within 5 working days. Appeals of agency decisions go to DGS or the courts. Public works protests follow Public Contract Code procedures.

California Payment Terms for Contractors

Days (Standard)

Yes

Prompt Payment Act

Above $50 underpayment: 10% per annum or 0.25% per day for the first 30 days, then statutory rate

Late Interest Rate

California's Prompt Payment Act (Gov. Code 927-927.15) requires the state to pay undisputed invoices within 45 days. If late, the state must pay a late payment penalty. For public works, retention is limited to 5% and must be released within 60 days of project completion.

California Bonding Requirements

California Civil Code sections 9550-9566 govern payment bond requirements. Public Contract Code requires performance bonds on public works. Some agencies may require bonds on service contracts as well.

Bond Type	Requirement
Bid Bond	Typically 10% of bid amount for public works projects
Performance Bond	100% of contract value for public works projects over $25,000
Payment Bond	100% of contract value for public works projects over $25,000

Threshold: Public works contracts over $25,000 require both performance and payment bonds (Civil Code 9550-9566)

California Insurance Requirements

General Liability: $1 million per occurrence / $2 million aggregate is the most common state contract requirement
Workers' Compensation: Required for all employers — statutory limits per California Labor Code. Penalties for non-compliance include misdemeanor charges and $10,000+ fines.
Additional Requirements: Auto liability ($1 million), professional liability/E&O (varies by contract), umbrella/excess policies for large contracts. The State of California must typically be named as additional insured.

Unique Contracting Rules in California

Prevailing Wage: California requires prevailing wages on all public works projects over $1,000 (Labor Code 1720-1861). Rates are set by the Department of Industrial Relations.
Proposition 209: Prohibits state agencies from granting preferential treatment based on race, sex, color, ethnicity, or national origin in public contracting. This limits MBE/WBE preference programs at the state level.
Skilled and Trained Workforce: Certain public works projects require contractors to employ a skilled and trained workforce, meaning a percentage of workers must be graduates of apprenticeship programs (Public Contract Code 2600-2602).
Buy Clean California Act: State agencies must consider the global warming potential (GWP) of certain construction materials including steel, glass, and mineral wool insulation. (Public Contract Code 3500-3505) [VERIFY current material list].
Apprenticeship Requirements: Contractors on public works projects over $30,000 must employ apprentices in applicable trades (Labor Code 1777.5).
SB 854: All contractors and subcontractors must register with the DIR and pay an annual fee before bidding on public works projects.
Local Hire Requirements: Some local agencies (e.g., City of Los Angeles) impose local hire requirements of 30-50% of project labor hours.

California Government Contracting — Key Facts

California spends over $20 billion annually on state and local government procurement, making it the largest state procurement market in the U.S.
The California Department of General Services manages over $10 billion in annual procurement across state agencies.
Over 24,000 businesses are certified as California Small Businesses or DVBEs.
Caltrans awards approximately $8-10 billion in construction contracts annually.
California's prevailing wage rates are among the highest in the nation, often 20-40% above federal Davis-Bacon rates.

Cities & Counties in California

Explore local procurement guides for cities and counties in California. Each guide covers registration, certifications, key departments, and bidding thresholds specific to that jurisdiction.

Alameda CountyCounty

Pop: 1.7 million | $1.8 billion (estimated) procurement

Los AngelesCity

Pop: 3.9 million | $8 billion [VERIFY] procurement

Los Angeles CountyCounty

Pop: 10 million | $12 billion (estimated) procurement

Orange CountyCounty

Pop: 3.2 million | $2 billion (estimated) procurement

Riverside CountyCounty

Pop: 2.4 million | $2 billion (estimated) procurement

Sacramento CountyCounty

Pop: 1.6 million | $1.5 billion (estimated) procurement