BILL NUMBER: SB 61 CHAPTERED 09/30/08 CHAPTER 688 FILED WITH SECRETARY OF STATE SEPTEMBER 30, 2008 APPROVED BY GOVERNOR SEPTEMBER 30, 2008 PASSED THE SENATE AUGUST 11, 2008 PASSED THE ASSEMBLY JULY 3, 2008 AMENDED IN ASSEMBLY JUNE 30, 2008 AMENDED IN ASSEMBLY JUNE 17, 2008 AMENDED IN SENATE MAY 1, 2007 INTRODUCED BY Senator Runner JANUARY 16, 2007 An act to amend Section 5.1 of the Castaic Lake Water Agency Law (Chapter 28 of the Statutes of 1962, First Extraordinary Session), relating to the Castaic Lake Water Agency. LEGISLATIVE COUNSEL'S DIGEST SB 61, Runner. Castaic Lake Water Agency. The Castaic Lake Water Agency Law creates the Castaic Lake Water Agency and generally requires the board of that agency to be comprised of 7 elected directors and 4 appointed directors that are nominated by specified retail water distributors. The agency law requires the term of office of a director appointed by a private water purveyor that is acquired by the agency to terminate, with a certain exception, at 12 o'clock noon on the first Monday after January 1 of the year following the acquisition, and, subject to that exception, provides for the election of the successor to that director by agency voters at the statewide general election held in November of the even-numbered year following the acquisition. The agency law requires the successor to hold that office for the term of 2 years and each director elected thereafter to that office to hold that office for the term of 4 years. This bill, instead, would require the successor to hold that office for the term of 4 years. The bill would make other technical nonsubstantive changes to obsolete provisions of law. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 5.1 of the Castaic Lake Water Agency Law (Chapter 28 of the Statutes of 1962, First Extraordinary Session) is amended to read: SEC. 5.1. (a) (1) Notwithstanding any other provision of the Castaic Lake Water Agency Law, the number of directors on the board shall be as follows: (2) One nominee for the office of appointed director shall be nominated by each purveyor and submitted in writing to the board of directors. The board of directors shall appoint each nominee within 30 days after the nomination is submitted, or may within the same time period by resolution reject any nominee for cause which is documented in the resolution by a detailed statement of reasons. If the board of directors rejects a nominee of any purveyor, the affected purveyor shall promptly submit a second and different nominee to the board of directors. The board of directors shall appoint the second nominee within 30 days after the second nomination is submitted, or may within the same time period likewise by resolution reject that second nominee for cause which is documented in the resolution by a detailed statement of reasons. If the board of directors rejects any second nominee of any purveyor, the affected purveyor shall select a third and still different nominee, which nominee shall be entitled without further board action to take an oath of office as required by law and to thereafter serve as an appointed director of the agency. (3) A nominee of a purveyor may be a shareholder, director, officer, agent, or employee of the nominating purveyor, and shall be a registered voter within Los Angeles County or Ventura County. Any nominee of a purveyor who is the chief executive officer, chief operating officer, or the general manager of the purveyor shall be rejected for appointment only on the ground that the nominee is legally disqualified from holding the office of director by reason of a provision of law applicable to appointed directors of the agency. (4) The term of office of an appointed director is four years. (5) Upon expiration of an initial term of office of an appointed director, the office of that appointed director shall be filled pursuant to Section 5.2. If a vacancy occurs in the office of an appointed director, it shall be filled in the same manner as is provided in subdivisions (a) and (b) of Section 5.2 for the appointment of a successor appointed director, except that the purveyor or its successor in interest to which the vacancy relates shall within not more than 60 days of the occurrence of the vacancy nominate a person for appointment to the vacant office, and the vacant office shall be filled by the board of directors not later than 30 days after that nomination. (6) An incumbent in the office of appointed director shall be subject to recall by the voters of the entire agency in accordance with Division 11 (commencing with Section 11000) of the Elections Code, except that any vacancy created by a successful recall shall be filled in accordance with the procedure provided by this section for a vacancy created other than by a recall election. (b) (1) Notwithstanding any other provision of the Castaic Lake Water Agency Law, if the agency acquires a private water purveyor, the term of office of the director appointed by the private purveyor shall terminate at 12 o'clock noon on the first Monday after January 1 of the year following the acquisition. (2) The successor to the director described in paragraph (1) shall be elected at-large by agency voters at the statewide general election held in November of the even-numbered year following the acquisition, and shall take office at 12 o'clock noon on the first Monday after January 1 of the year following the election. The successor and each elected director thereafter to hold the office described in this subdivision shall hold office for the term of four years from the date of taking office and until the election and qualification of the next director to hold that office. (3) The elected office described in paragraph (2) shall cease to exist upon the abolishment of the offices of appointed directors pursuant to subdivision (c) of Section 5.2. (4) Paragraph (1) shall not be effective with respect to the director appointed by the Santa Clarita Water Company until a court of competent jurisdiction issues a final decision holding that the agency acquired the company.