BILL ANALYSIS                                                                                                                                                                                                    



                                                                AB 466
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        CONCURRENCE IN SENATE AMENDMENTS
        AB 466 (Coto)
        As Amended  June 30, 2009
        Majority vote
         
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        |ASSEMBLY:  |73-0 |(May 14, 2009)  |SENATE: |32-1 |(August 27,    |
        |           |     |                |        |     |2009)          |
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         Original Committee Reference:   L. GOV.  

         SUMMARY  :  Makes various changes to the Santa Clara Valley Water  
        District's (District) enabling act.

         The Senate amendments  clarify the transition dates for when certain  
        board of the District (Board) seats will change over to the new  
        board make up and makes other clarifying changes.

         EXISTING LAW  :

        1)Specifies that, until January 1, 2010, the Board will consist of  
          seven members:  five elected, one elected member from each of the  
          supervisorial districts and two appointed directors.

        2)States that the two appointed members should represent the  
          District at large with one appointed director from the area that  
          previously consisted of the Gavilan Water Conservation District  
          and the other appointed director from the area that the Santa  
          Clara Valley Water Conservation District previously covered.

        3)States that as of January 1, 2010, the board of directors for the  
          District shall consist of the five elected members.

        4)States that, as of January 1, 2010, whenever there is a vacancy in  
          the office of a director, the vacancy will be filled by an  
          appointment from the board of directors of the District.

        5)Authorizes the District to provide an exemption from special taxes  
          levied by the District to residential parcels who are owned and  
          occupied by one or more taxpayers who are at least 
        65 years of age, if the total household income is less than an  
          amount that is approved by the voters of the District.

         AS PASSED BY THE ASSEMBLY  , this bill:








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        1)Provided that the individuals who serve on the board of the  
          District on December 31, 2008, shall continue to serve on the  
          Board, except as otherwise provided.

        2)Required that until noon on January 3, 2011, the Board consist of  
          the following directors:

           a)   Two appointed directors, representing the areas formerly  
             covered by the Gavilan Water Conservation District and the  
             Santa Clara Valley Water Conservation District; and,

           b)   Five directors, one elected from each of the supervisorial  
             districts.

        3)Required that all director elections shall be done in accordance  
          with the Uniform District Election Laws.

        4)Repealed the language regarding scheduled changes to the make-up  
          of the Board.

        5)Repealed unnecessary language regarding how a vacancy is filled on  
          the Board.

        6)Specified that the term of office for the two Board directors  
          elected in 2006, to represent the first and fourth supervisorial  
          districts, ends at noon on January 3, 2011.

        7)Specified that the term of office for the three Board directors  
          elected in 2008, to represent the second, third, and fifth  
          supervisorial districts, ends at noon on January 7, 2013.

        8)Provided that the two appointed directors shall serve on the Board  
          until noon on January 3, 2011.

        9)Required that at noon on January 3, 2011, the number of elected  
          directors on the Board be increased from five to seven members and  
          the appointed directors be reduced from two to zero.

        10)Required the Board, on or before June 30, 2010, to adopt a  
          resolution dividing the District into seven electoral districts.

        11)Required that the most recent census data be used as a basis for  
          dividing up the seven electoral districts, creating districts that  
          are nearly equal in population as possible.








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        12)Authorized the Board to consider the topography, geography,  
          cohesiveness, contiguity, integrity, compactness of territory, and  
          community of interest when establishing the boundaries of the  
          electoral districts.

        13)Required the election of the newly formed first, fourth, sixth,  
          and seventh electoral districts to take place on November 2, 2010.

        14)Required the election of the newly formed second, third, and  
          fifth electoral districts to take place on November 6, 2012.

        15)Provided that the term of office for each elected director shall  
          be for four years except as otherwise provided

        16)Required that elections be held following the Uniform District  
          Election Laws. 

        17)Required that a candidate for the Board be a resident in the  
          electoral district for which he or she is running.

        18)Required that a director continue to reside within that electoral  
          district during his or her term of office.

        19)Required that all elected directors exercise their independent  
          judgment on behalf of the interest of the entire district, in  
          furthering the purposes of the District.

        20)Provided a method for filling vacancies of the Board identical to  
          that used by other special districts.

        21)Clarified that any director of the Board may be recalled.

        22)Required that the Board review the boundaries of the seven  
          electoral districts before November 1 of the year following the  
          year in which each decennial census is taken and adjust those  
          boundaries as necessary.

        23)Prohibited a Board member from seeking or accepting compensated  
          employment with the District while serving as a member of the  
          Board and for one year immediately following the end of the  
          director's term of office. 

        24) Required the Board, by July 1, 2010, to adopt regulations  
          governing the activities of persons who lobby the District.








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        25)Specified that the lobbying regulations must include provisions  
          requiring registration of lobbyists, report requirements governing  
          the activities of lobbyists and communication with Board members,  
          and disclosure by directors of contact with lobbyists prior to  
          voting on matters related to this contact.

        26)Prohibited a Board member from contacting staff on behalf of a  
          party who is bidding or intends to bid on a district contract or  
          who has or intends to submit a response for a proposal or request  
          for qualifications.

        27)Prohibited a Board member from inquiring about the identity of  
          bidders or proposers prior to the time that staff has made a  
          recommendation for selection of a contract, vendor, or consultant.  


        28)Specified that the above listed prohibitions do not preclude a  
          Board member from making general inquiries about the status of a  
          particular procurement, or from providing a member of the public  
          with information about the appropriate staff contact concerning  
          procurement of goods and services by the district. 

        29)Prohibited the Board from authorizing severance pay for a  
          Board-appointed employee of the District when the employee  
          voluntarily separates from District employment. 

        30)Specified that "severance pay" does not include any otherwise  
          lawful payment required to be paid by the District under a  
          preexisting employment agreement or under a separation and release  
          agreement resolving a claim. 

        31)Prohibited the board from agreeing to amend an employment  
          contract after the employee announces or requests a voluntary  
          separation, except upon a Board determination, in open session,  
          that an adjustment in compensation is required to retain the  
          employee and is in the best interest of the District. 

        32)Specified timelines on when various reports issued by the  
          District must be available to the public. 

        33)Required that on a quarterly basis, a report of the travel  
          reimbursements to each Board member must be placed on an open  
          session board meeting for review to determine whether the travel  
          complies with the District's travel policy.








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        34)Authorized the District to provide an exemption from special  
          taxes levied by the District to residential parcels who are owned  
          and occupied by one or more taxpayers who qualify as totally  
          disabled under the federal Social Security Act, if the total  
          household income is less than an amount that is approved by the  
          voters of the District.

         FISCAL EFFECT  :  According to the Assembly Appropriations Committee,  
        there are no state mandate-related costs.  Any local costs  
        associated with establishing new districts and conducting an  
        election are not reimbursable because the legislative authority was  
        requested by the water district.

         COMMENTS  :  Currently the District's governing Board consists of five  
        Board members elected by supervisorial district and two at-large  
        Board members appointed by the County Board of Supervisors.  The two  
        appointed Board member seats are scheduled to end on December 31,  
        2009, under the provisions of AB 2435 (Coto), Chapter 279, Statutes  
        of 2006.  The District Board has, for the past year, discussed  
        whether to retain a seven-member Board and, if so, what form the  
        Board structure should take.  This process culminated in February  
        2008 with a series of well-publicized public meetings throughout  
        Santa Clara County with community stakeholders, residents, and other  
        interested parties to solicit input on potential changes to the  
        Board structure and the District Act.  One of the biggest pieces of  
        information considered was the fact that the population of Santa  
        Clara County has nearly doubled since the current Board structure  
        was created in 1967; today, each part-time elected Board member  
        represents more than 350,000 persons.  The consensus of the Board  
        and public was to retain a seven-member governing Board, but to  
        change the composition of the Board from five members elected and  
        two appointed members, to seven members elected from seven equally  
        divided districts.

        The author believes that creating smaller districts will provide  
        greater opportunity for competitive elections by making it less  
        expensive to run for public office.  The author also feels that it  
        will also provide for greater geographic representation which may  
        better reflect the geographic, social and economic diversity that  
        exists within Santa Clara County.  This bill provides for the  
        creation of a seven-member elected Board starting with the November  
        2010 general election, following a redistricting process based on  
        the most recent census data.  Until then, the Board will remain the  
        same with five elected and two appointed members.  








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        According to the author's office, various audits and studies of the  
        District have identified several areas for improvement or  
        modification of current practices in governance and operations.  The  
        author believes that this bill proactively incorporates good  
        governance recommendations from these studies and others to make the  
        District more transparent and accountable, and increase the public's  
        ability to engage on District issues.

        This bill also expands the District's ability to provide an  
        exemption from special taxes.  
        AB 88 (Alquist), Chapter 63, Statutes of 2001, authorized the  
        District to provide an exemption from special taxes for residential  
        parcels owned by low-income seniors.  This bill would expand the  
        ability to provide exemptions to low-income individuals who qualify  
        as totally disabled under the Social Security Act.
         

        Analysis Prepared by  :    Katie Kolitsos / L. GOV. / (916) 319-3958 


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