Section 126.
Cal. Streets and Highways Code - SHC § 126.
in effect(a)
Notwithstanding the advertising and bidding provisions of Part 2 (commencing with Section 10100) of Division 2 of the Public Contract Code or Article 6 (commencing with Section 999) of Chapter 6 of Division 4 of the Military and Veterans Code, the department may enter into an agreement for the purchase of environmental mitigation credits in a mitigation credit agreement, or from a mitigation bank, conservation bank, or an in-lieu fee program, or other mitigation credit provider, if a state or federal regulatory agency requires the department to purchase credits from a particular mitigation credit provider.
(b)
Notwithstanding the advertising and bidding provisions of Part 2 (commencing with Section 10100) of Division 2 of the Public Contract
Code or Article 6 (commencing with Section 999) of Chapter 6 of Division 4 of the Military and Veterans Code, the department may use an alternative method to purchase environmental mitigation credits from a mitigation bank, conservation bank, or in-lieu fee program, mitigation credit agreement, or other mitigation credit provider for the purpose of fulfilling mitigation responsibilities for natural resources or for advance mitigation purposes, as specified in Section 800.6, if the environmental mitigation credits are solicited through a process, as determined by the department in cooperation with the Department of General Services, that includes a solicitation or evaluation of cost and the availability of environmental mitigation credits.
(c)
The department and a governmental entity, a special district, a nonprofit organization, a community foundation, or a congressionally chartered foundation may enter into a cooperative agreement at any time
to hold, manage, and invest an endowment for an environmental mitigation property, as defined in subdivision (k) of Section 104, and disburse payments from the endowment to the holder of the property consistent with the fund agreement.
(d)
For purposes of this section, the following definitions apply:
(1)
“Community foundation” has the same meaning as defined in Section 65965 of the Government Code.
(2)
“Congressionally chartered foundation” has the same meaning as defined in Section 65965 of the Government Code.
(3)
“Environmental mitigation credit” means a unit of mitigation as determined in a mitigation or conservation bank enabling instrument, as defined in Section 1797.5 of the Fish and Game Code, in-lieu fee program instrument, mitigation credit
agreement, or other agreement approved by a state or federal regulatory agency.
(4)
“In-lieu fee program” has the same meaning as provided in Section 332.2 of Title 33 of the Code of Federal Regulations or Section 230.92 of Title 40 of the Code of Federal Regulations.
(5)
“Mitigation bank” or “conservation bank” means an entity as defined in subdivision (d) or (f) of Section 1797.5 of the Fish and Game Code or as defined as a “mitigation bank” in Section 332.2 of Title 33 to the Code of Federal Regulations or Section 230.92 of Title 40 of the Code of Federal Regulations.
(6)
“Mitigation credit agreement” means a mitigation credit agreement approved by the Department of Fish and Wildlife pursuant to Chapter 9 (commencing with Section 1850) of Division 2 of the Fish and Game Code.
(7)
“Nonprofit organization” has the same meaning as defined in Section 65965 of the Government Code.
(e)
(1)
This section shall remain in effect only until December 31, 2033, and as of that date is repealed.
(2)
Endowments or other agreements entered into pursuant to this section before December 31, 2033, shall remain in effect beyond that date.
References
referencesCal. Public Contract Code - PCC § 10100.
referencesCal. Military and Veterans Code - MVC § 999.
referencesCal. Government Code - GOV § 65965.
referencesCal. Fish and Game Code - FGC § 1797.5.
referencesCal. Fish and Game Code - FGC § 1850.
referencesCal. Streets and Highways Code - SHC § 800.6.
referencesCal. Streets and Highways Code - SHC § 104.
referencesCal. Streets and Highways Code - SHC § 332.2.
referencesCal. Streets and Highways Code - SHC § 230.92.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026