BILL NUMBER: SB 1527	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 14, 2008
	AMENDED IN SENATE  JUNE 24, 2008
	AMENDED IN SENATE  MAY 20, 2008
	AMENDED IN SENATE  APRIL 22, 2008

INTRODUCED BY   Senator Yee
   (Principal coauthor: Senator Denham)
   (Coauthor: Senator Wyland)

                        FEBRUARY 22, 2008

   An act to add Section 19622.5 to the Business and Professions
Code, and to add Section 11011.27 to the Government Code, relating to
state property, making an appropriation therefor, and declaring the
urgency thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1527, as amended, Yee. State property: sale.
   Existing law authorizes the Director of General Services to
dispose of state surplus property, subject to specified conditions,
including authorization by the Legislature.
   This bill would require the director, prior to January 1, 2009, to
 enter into negotiations to  sell, at fair market value,
upon those terms and conditions determined by the director, a
specified parcel of state property located in the County of San Mateo
and the City and County of San Francisco to any interested 
parties  3rd party,  with the Daly City
Redevelopment Agency afforded the right of first refusal, as
specified. The net proceeds of the conveyance would be paid into the
Fair and Exposition Fund, a continuously appropriated fund, for the
benefit of a specified district agricultural association, as
provided, thereby making an appropriation. The bill would require
reimbursement to the Department of General Services for any cost or
expense incurred in the disposition of the property from the 
purchaser or the  Daly City Redevelopment Agency  or
other purchaser  . This bill would also declare the Legislature'
s findings that the sale of this state property does not constitute a
sale of surplus state property, as set forth in specified existing
law.
   The bill would declare that it would take effect immediately as an
urgency statute.
   Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 19622.5 is added to the Business and
Professions Code, to read:
   19622.5.  (a) Pursuant to subdivision (c) of Section 19622.3,
within 30 days of enactment of this section, the Department of Food
and Agriculture, until June 1, 2013, shall assume only the rights,
duties, and powers of the board of directors of the District 1-A
Agricultural Association associated with negotiating the sale of the
real property of the District 1-A Agricultural Association.
   (b) The Department of Food and Agriculture in coordination with
the Department of General Services, no later than June 1, 2013, shall
provide to the Legislature a report analyzing the business
operations of the District 1-A Agricultural Association for the
previous five years and make recommendations identifying the best use
of the property. Recommendations may include, but are not limited
to, continued operation as a district agricultural association or the
sale or lease of any and all parcels.
  SEC. 2.  Section 11011.27 is added to the Government Code, to read:

   11011.27.  (a) The Director of General Services in consultation
with the Department of Food and Agriculture, prior to January 1,
 2009, shall sell at fair market value to any interested
party, with   2009, shall enter into negotiations to
sell, at fair market value with an all cash sale or cash equivalent
without any conditions relating to entitlements, to any interested
third party, with  the Daly City Redevelopment Agency afforded
the right of first refusal, upon those terms and conditions and
subject to those reservations and exceptions that the director
determines are in the best interests of the state, the following real
property:
   Parcel A: Beginning at a point on the southerly line of Walbridge
Street, now Geneva Avenue, with the easterly line of Carter Street
(in the City and County of San Francisco); thence running easterly
along the southerly line of Walbridge Street 980 feet; thence at a
right angle south 19*35' west 600 feet; thence at a right angle north
70*25' west 720 feet; thence at a right angle south 19*35' west 60
feet; thence at a right angle north 70*25' west 260 feet; thence at a
right angle north 19*35' east 660 feet along the easterly line of
Carter Street to the point of beginning.
   (b) Notwithstanding the terms and conditions negotiated pursuant
to subdivision (a), the director shall not sell the property
identified in subdivision (a) for less than its fair market value.

   (c) Upon acceptance by the Department of General Services of any
bid, offer, or proposal, the Daly City Redevelopment Agency shall
have the right of first refusal. If the Department of General
Services rejects all bids, proposals, or offers obtained in the open
market, then the department shall enter into negotiations to sell the
subject parcel to the Daly City Redevelopment Agency at fair market
value.  
   (d) If the Daly City Redevelopment Agency exercises its right of
first refusal or enters into negotiations with the Department of
General Services pursuant to subdivisions (a) and (b), then, within
90 days, the Daly City Redevelopment Agency and the Director of
General Services shall enter into a written agreement to complete the
sale of the property described in subdivision (a) at least at its
fair market value but for no less than the accepted bid, proposal, or
offer.  
   (e) Fair market value shall be evaluated at the highest and best
use of the property as entitled with its existing zone designation,
generally required for all real estate appraisals and as governed by
the Uniform Standards of Professional Appraisal Practice (USPAP).
 
   (f) If the Daly City Redevelopment Agency and the Department of
General Services have not entered into a written agreement for the
purchase of the property within the time limit specified in
subdivision (d) without unreasonable delay, the Director of General
Services may sell, transfer, or otherwise dispose of the property as
provided by law.  
   (c) 
    (g)  An agreement for the sale of the property
identified in subdivision (a) shall require a purchaser to develop
the property for uses consistent with the general plan of the City of
Daly City, any amendment to that general plan, any specific plan
amendments to any specific plan, and the Bayshore Revitalization
Redevelopment Plan. 
   (d) 
    (h)  The Department of General Services shall be
reimbursed for any cost or expense incurred in the disposition of the
property described in subdivision (a) from the Daly City
Redevelopment Agency or other purchaser. 
   (e) 
    (i)  The net proceeds of any moneys received from the
disposition of any parcel of property described in subdivision (a)
shall be paid into the Fair and Exposition Fund for the benefit of
the District 1-A Agricultural Association. 
   (f) If the Daly City Redevelopment Agency exercises its right of
first refusal pursuant to subdivision (a), then, within 90 days, the
Daly City Redevelopment Agency and the Director of General Services
shall enter into a written agreement to complete the sale of the
property described in subdivision (a) at its fair market value but
for no less than the highest bid. 
  SEC. 3.  The Legislature finds and declares that the disposition of
state property authorized in Section 2 of this act does not
constitute a sale or other disposition of surplus state property as
set forth in Section 9 of Article III of the California Constitution
or subdivision (g) of Section 11011 of the Government Code.
  SEC. 4.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order for the Director of General Services to sell the property
described in Section 2 of this act at the earliest possible time, it
is necessary that this act take effect immediately.