BILL NUMBER: SB 1087	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  SEPTEMBER 1, 2005
	AMENDED IN ASSEMBLY  AUGUST 25, 2005
	AMENDED IN ASSEMBLY  JULY 12, 2005
	AMENDED IN ASSEMBLY  JULY 1, 2005
	AMENDED IN ASSEMBLY  JUNE 23, 2005
	AMENDED IN SENATE  MAY 31, 2005
	AMENDED IN SENATE  MAY 11, 2005
	AMENDED IN SENATE  APRIL 26, 2005

INTRODUCED BY   Senator Florez

                        FEBRUARY 22, 2005

   An act to amend Section 65589.7 of the Government Code, and to add
Section 10631.1 to the Water Code, relating to housing.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1087, as amended, Florez  Housing elements: services.
   (1) The Planning and Zoning Law requires each city, county, or
city and county to prepare and adopt a general plan for its
jurisdiction that contains certain mandatory elements, including a
housing element. One part of the housing element is an assessment of
housing needs and an inventory of resources and constraints relevant
to meeting those needs. That law also requires that the housing
element adopted by the legislative body of the city, county, or city
and county and any amendments made to that element be delivered to
all public agencies or private entities that provide water services
at retail or sewer services within the territory of the legislative
body.
   The Planning and Zoning Law also requires each public agency or
private entity providing these services to grant a priority for the
provision of available and future resources or services to proposed
housing developments that help meet the legislative body's share of
the regional housing need for lower income households as identified
in the housing element and any amendments to the housing element.
   This bill would require that the adopted housing element and any
amendments be delivered immediately to all public agencies or private
entities that provide water or sewer services, as specified, would
apply these provisions to proposed developments that include housing
units affordable to lower income households, and would require, on or
before July 1, 2006, that these public agencies or private entities
adopt written policies and procedures, and at least once every 5
years thereafter, with specific objective standards for provision of
these services in conformance with these provisions.  The bill
would also require the Public Utilities Commission to adopt written
policies and procedures for use by private water and sewer  
companies regulated by the commission in a manner consistent with
these provisions. By increasing the duties of local public
officials, the bill would impose a state-mandated local program.
   This bill would also provide that a provider of water or sewer
services may not deny or condition the approval of an application for
services, or reduce the amount of the services applied for, if the
proposed development includes housing affordable to lower income
households, except upon making specified findings.
   The bill would make these provisions applicable to charter cities.

   (2) The Urban Water Management Planning Act requires urban water
suppliers to prepare and adopt urban water management plans for
submission to the Department of Water Resources, which identify and
quantify the existing and planned sources of water available to the
water supplier's service area based on specified factors.
   This bill would also require that the water use projections
required by these provisions include the projected water use for
single-family and multifamily residential housing for lower income
households as identified in the housing element of any city, county,
or city and county in the service area of the supplier.
  (3) 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 with regard to certain mandates no
reimbursement is required by this act for a specified reason.
   With regard to any other mandates, this bill would provide that,
if the Commission on State Mandates determines that the bill contains
costs so mandated by the state, reimbursement for those costs shall
be made pursuant to the statutory provisions noted above.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 65589.7 of the Government Code is amended to
read:
   65589.7.  (a) The housing element adopted by the legislative body
and any amendments made to that element shall be immediately
delivered to all public agencies or private entities that provide
water or sewer services for municipal and industrial uses, including
residential, within the territory of the legislative body. Each
public agency or private entity providing water or sewer services
shall grant a priority for the provision of these services to
proposed developments that include housing units affordable to lower
income households.
   (b) A public agency or private entity providing water or sewer
services shall adopt written policies and procedures, not later than
July 1, 2006, and at least once every five years thereafter, with
specific objective standards for provision of services in conformance
with this section.  For private water and sewer companies
regulated by the Public Utilities Commission, the commission shall
adopt written policies and procedures for use by those companies in a
manner consistent with this section.  The policies and
procedures shall take into account  any   all
 of the following:
   (1) Regulations and restrictions adopted pursuant to Chapter 3
(commencing with Section 350) of Division 1 of the Water Code,
relating to water shortage emergencies.
   (2) The availability of water supplies  or sewer capacity
 as determined by the public agency or private entity
pursuant to an urban water management plan adopted pursuant to Part
2.6 (commencing with Section 10610) of Division 6 of the Water Code.

   (3) Plans, documents, and information relied upon by the public
agency or private entity that is not an "urban water supplier," as
defined in Section 10617 of the Water Code, or that provides sewer
service, that provide a reasonable basis for making service
determinations.
   (c) A public agency or private entity that provides water or sewer
services shall not deny or condition the approval of an application
for services to, or reduce the amount of services applied for by, a
proposed development that includes housing units affordable to lower
income households unless the public agency or private entity makes
specific written findings that the denial, condition, or reduction is
necessary due to the existence of one or more of the following:
   (1) The public agency or private entity providing water service
does not have "sufficient water supply," as defined in paragraph (2)
of subdivision (a) of Section 66473.7, or is operating under a water
shortage emergency as defined in Section 350 of the Water Code, or
does not have sufficient water treatment or distribution capacity, to
serve the needs of the proposed development, as demonstrated by a
written engineering analysis and report.
   (2) The public agency or private entity providing water service is
subject to a compliance order issued by the State Department of
Health Services that prohibits new water connections.
   (3) The public agency or private entity providing sewer service
does not have sufficient treatment or collection capacity, as
demonstrated by a written engineering analysis and report on the
condition of the treatment or collection works, to serve the needs of
the proposed development.
   (4) The public agency or private entity providing sewer service is
under an order issued by a regional water quality control board that
prohibits new sewer connections.
   (5) The applicant has failed to agree to reasonable terms and
conditions relating to the provision of service generally applicable
to development projects seeking service from the public agency or
private entity, including, but not limited to, the requirements of
local, state, or federal laws and regulations or payment of a fee or
charge imposed pursuant to Section 66013.
   (d) The following definitions apply for purposes of this section:

   (1) "Proposed developments that include housing units affordable
to lower income households" means that dwelling units shall be sold
or rented to lower income households, as defined in Section 50079.5
of the Health and Safety Code, at an affordable housing cost, as
defined in Section 50052.5 of the Health and Safety Code, or an
affordable rent, as defined in Section 50053 of the Health and Safety
Code.
   (2) "Water or sewer services" means supplying service through a
pipe or other constructed conveyance for a residential purpose, and
does not include the sale of water for human consumption by a water
supplier to another water supplier for resale. As used in this
section, "water service" provided by a public agency or private
entity applies only to water supplied from public water systems
subject to Chapter 4 (commencing with Section 116275) of Part 12 of
Division 104 of the Health and Safety Code.
   (e) This section is intended to neither enlarge nor diminish the
existing authority of a city, county, or city and county in adopting
a housing element. Failure to deliver a housing element adopted by
the legislative body or amendments made to that element, to a public
agency or private entity providing water or sewer services shall
neither invalidate any action or approval of a development project
nor exempt a public agency or private entity from the obligations
under this section. The special districts which provide water or
sewer services related to development, as defined in subdivision (e)
of Section 56426, are included within this section.
   (f) The Legislature finds and declares that this section shall be
applicable to all cities and counties, including charter cities,
because the Legislature finds that the lack of affordable housing is
a matter of vital statewide importance.
  SEC. 2.  Section 10631.1 is added to the Water Code, to read:
   10631.1.  (a) The water use projections required by Section 10631
shall include projected water use for single-family and multifamily
residential housing needed for lower income households, as defined in
Section 50079.5 of the Health and Safety Code, as identified in the
housing element of any city, county, or city and county in the
service area of the supplier.
   (b) It is the intent of the Legislature that the identification of
projected water use for single-family and multifamily residential
housing for lower income households will assist a supplier in
complying with the requirement under Section 65589.7 of the
Government Code to grant a priority for the provision of service to
housing units affordable to lower income households.
  SEC. 3.  The Legislature finds and declares that Sections 65104 and
66014 of the Government Code provide local agencies with authority
to levy fees sufficient to pay for the program or level of service
mandated by this act.
  SEC. 4.   No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because a
local agency or school district has the authority to levy service
charges, fees, or assessments sufficient to pay for the program or
level of service mandated by this act, within the meaning of Section
17556 of the Government Code.
   However, if the Commission on State Mandates determines that this
act contains other costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division 4 of
Title 2 of the Government Code.