BILL NUMBER: AB 1109 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 13, 2009
INTRODUCED BY Assembly Member Blakeslee
FEBRUARY 27, 2009
An act to amend Section 56001 of the Government Code,
relating to local government. An act to amend Section
56375 of, and to add Sections 56057.5 and 56858 to, the Government
Code, relating to local government.
LEGISLATIVE COUNSEL'S DIGEST
AB 1109, as amended, Blakeslee. The Cortese-Knox-Hertzberg Act of
2000.
The Cortese-Knox-Hertzberg Act of 2000 authorizes a local agency
formation commission to, among other things, initiate proceedings for
the consolidation, dissolution, and formation of new districts, as
specified.
This bill would authorize a commission to order the administration
of nonperforming districts. The bill would require the commission
to, upon placing a district under temporary administration, prepare a
performance study, as specified.
Existing law makes various findings and declarations regarding
boundaries, community development, available housing, and development
within the state.
This bill would make a technical, nonsubstantive change to this
provision.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 56057.5 is added to the
Government Code , to read:
56057.5. "Nonperforming district" means a district that meets the
following criteria as determined by the commission:
(a) The district provides a service that cannot be terminated
without a substantial adverse effect on public health or safety in
the territory of the district.
(b) The district is nonperforming. A district is nonperforming if
one or more of the following are occurring:
(1) The district is not currently providing the service at
minimally acceptable levels or is likely not to be able to provide
the service at minimally acceptable levels in the near future.
(2) The district's income and other resources are insufficient to
maintain the operations of the agency at minimally acceptable levels.
(3) The legislative body is unable to properly function due to
vacancies on the body.
(4) The district has not maintained adequate and properly trained
staff or contracted for services to provide the service at minimally
adequate levels.
SEC. 2. Section 56375 of the Government
Code is amended to read:
56375. The commission shall have all of the following powers and
duties subject to any limitations upon its jurisdiction set forth in
this part:
(a) (1) To review and approve or disapprove with or without
amendment, wholly, partially, or conditionally, proposals for changes
of organization or reorganization, consistent with written policies,
procedures, and guidelines adopted by the commission.
(2) The commission may initiate proposals for any of the
following:
(A) The consolidation of a district, as defined in Section 56036.
(B) The dissolution of a district.
(C) A merger.
(D) The establishment of a subsidiary district.
(E) The formation of a new district or districts.
(F) An order for administration of nonperforming districts.
(F)
(G) A reorganization that includes any of the changes
specified in subparagraph (A), (B), (C), (D), or
(E) , or (F) .
(3) A commission may initiate a proposal described in paragraph
(2) only if that change of organization or reorganization is
consistent with a recommendation or conclusion of a study prepared
pursuant to Section 56378, 56425, or 56430, and the commission makes
the determinations specified in subdivision (b) of Section 56881.
(4) A commission shall not disapprove an annexation to a city,
initiated by resolution, of contiguous territory that the commission
finds is any of the following:
(A) Surrounded or substantially surrounded by the city to which
the annexation is proposed or by that city and a county boundary or
the Pacific Ocean if the territory to be annexed is substantially
developed or developing, is not prime agricultural land as defined in
Section 56064, is designated for urban growth by the general plan of
the annexing city, and is not within the sphere of influence of
another city.
(B) Located within an urban service area that has been delineated
and adopted by a commission, which is not prime agricultural land, as
defined by Section 56064, and is designated for urban growth by the
general plan of the annexing city.
(C) An annexation or reorganization of unincorporated islands
meeting the requirements of Section 56375.3.
(5) As a condition to the annexation of an area that is
surrounded, or substantially surrounded, by the city to which the
annexation is proposed, the commission may require, where consistent
with the purposes of this division, that the annexation include the
entire island of surrounded, or substantially surrounded, territory.
(6) A commission shall not impose any conditions that would
directly regulate land use density or intensity, property
development, or subdivision requirements.
(7) The decision of the commission with regard to a proposal to
annex territory to a city shall be based upon the general plan and
prezoning of the city. When the development purposes are not made
known to the annexing city, the annexation shall be reviewed on the
basis of the adopted plans and policies of the annexing city or
county. A commission shall require, as a condition to annexation,
that a city prezone the territory to be annexed or present evidence
satisfactory to the commission that the existing development
entitlements on the territory are vested or are already at build-out,
and are consistent with the city's general plan. However, the
commission shall not specify how, or in what manner, the territory
shall be prezoned.
(b) With regard to a proposal for annexation or detachment of
territory to, or from, a city or district or with regard to a
proposal for reorganization that includes annexation or detachment,
to determine whether territory proposed for annexation or detachment,
as described in its resolution approving the annexation, detachment,
or reorganization, is inhabited or uninhabited.
(c) With regard to a proposal for consolidation of two or more
cities or districts, to determine which city or district shall be the
consolidated successor city or district.
(d) To approve the annexation of unincorporated, noncontiguous
territory, subject to the limitations of Section 56742, located in
the same county as that in which the city is located, and that is
owned by a city and used for municipal purposes and to authorize the
annexation of the territory without notice and hearing.
(e) To approve the annexation of unincorporated territory
consistent with the planned and probable use of the property based
upon the review of general plan and prezoning designations. No
subsequent change may be made to the general plan for the annexed
territory or zoning that is not in conformance to the prezoning
designations for a period of two years after the completion of the
annexation, unless the legislative body for the city makes a finding
at a public hearing that a substantial change has occurred in
circumstances that necessitate a departure from the prezoning in the
application to the commission.
(f) With respect to the incorporation of a new city or the
formation of a new special district, to determine the number of
registered voters residing within the proposed city or special
district or, for a landowner-voter special district, the number of
owners of land and the assessed value of their land within the
territory proposed to be included in the new special district. The
number of registered voters shall be calculated as of the time of the
last report of voter registration by the county elections official
to the Secretary of State prior to the date the first signature was
affixed to the petition. The executive officer shall notify the
petitioners of the number of registered voters resulting from this
calculation. The assessed value of the land within the territory
proposed to be included in a new landowner-voter special district
shall be calculated as shown on the last equalized assessment roll.
(g) To adopt written procedures for the evaluation of proposals,
including written definitions consistent with existing state law. The
commission may adopt standards for any of the factors enumerated in
Section 56668. Any standards adopted by the commission shall be
written.
(h) To adopt standards and procedures for the evaluation of
service plans submitted pursuant to Section 56653 and the initiation
of a change of organization or reorganization pursuant to subdivision
(a).
(i) To make and enforce regulations for the orderly and fair
conduct of hearings by the commission.
(j) To incur usual and necessary expenses for the accomplishment
of its functions.
(k) To appoint and assign staff personnel and to employ or
contract for professional or consulting services to carry out and
effect the functions of the commission.
(l) To review the boundaries of the territory involved in any
proposal with respect to the definiteness and certainty of those
boundaries, the nonconformance of proposed boundaries with lines of
assessment or ownership, and other similar matters affecting the
proposed boundaries.
(m) To waive the restrictions of Section 56744 if it finds that
the application of the restrictions would be detrimental to the
orderly development of the community and that the area that would be
enclosed by the annexation or incorporation is so located that it
cannot reasonably be annexed to another city or incorporated as a new
city.
(n) To waive the application of Section 22613 of the Streets and
Highways Code if it finds the application would deprive an area of a
service needed to ensure the health, safety, or welfare of the
residents of the area and if it finds that the waiver would not
affect the ability of a city to provide any service. However, within
60 days of the inclusion of the territory within the city, the
legislative body may adopt a resolution nullifying the waiver.
(o) If the proposal includes the incorporation of a city, as
defined in Section 56043, or the formation of a district, as defined
in Section 2215 of the Revenue and Taxation Code, the commission
shall determine the property tax revenue to be exchanged by the
affected local agencies pursuant to Section 56810.
(p) To authorize a city or district to provide new or extended
services outside its jurisdictional boundaries pursuant to Section
56133.
(q) To enter into an agreement with the commission for an
adjoining county for the purpose of determining procedures for the
consideration of proposals that may affect the adjoining county or
where the jurisdiction of an affected agency crosses the boundary of
the adjoining county.
SEC. 3. Section 56858 is added to the
Government Code , to read:
56858. (a) Upon receipt by the commission of a proposed change of
organization or reorganization that includes a request for
administration of a district, the executive officer shall place the
proposal on the agenda for the next available commission meeting for
preliminary consideration and shall transmit a copy of the proposal
to the subject district and to the potential administrator agency.
(b) After considering any comments received at the preliminary
hearing, the commission shall do one of the following:
(1) Determine that the agency does not meet the criteria for
consideration for administration and terminate the proceedings.
(2) Direct commission staff to explore alternatives to
administration.
(3) Direct the executive officer to commence preparation of a
performance study of the district operations for formal hearing and
consideration by the commission.
(c) If the commission determines at the preliminary hearing that
the nonperformance of the district constitutes an imminent threat to
public health and safety, it may order immediate placement of the
district under temporary administration. The commission shall appoint
an administrator immediately. The administrator shall assume
immediate control of the agency. The commission shall prepare a
performance study, pursuant to subdivision (d), and make a final
determination of whether to continue the temporary administration on
a longer term basis.
(d) The executive officer shall prepare, or cause to be prepared,
a performance study of the district to provide information to the
commission to determine whether to place the district under
administration by another agency. The study shall include, but is not
limited to, all of the following:
(1) A financial analysis of district income and expenses and a
two-year projection of the district's income and expenses.
(2) An analysis of services being provided and an evaluation of
whether the services meet and are likely to continue to meet
minimally acceptable levels of service.
(3) An analysis of board, management, and staffing functionality.
(4) An identification of the likely agency to assume
administration if ordered.
(5) An evaluation of the feasibility of alternatives to
administration.
(6) Any other information as the commission or executive officer
deems necessary.
(e) If the commission, at its preliminary hearing, decides to
proceed with consideration of placing the district under
administration, it may order that the district operations be limited
as provided in paragraph (4) of subdivision (a) of Section 56885.5
pending the commission determination.
SECTION 1. Section 56001 of the Government Code
is amended to read:
56001. The Legislature finds and declares that it is the policy
of the state to encourage orderly growth and development which are
essential to the social, fiscal, and economic well-being of the
state. The Legislature recognizes that the logical formation and
determination of local agency boundaries is an important factor in
promoting orderly development and in balancing that development with
sometimes competing state interests of discouraging urban sprawl,
preserving open-space and prime agricultural lands, and efficiently
extending government services. The Legislature also recognizes that
providing housing for persons and families of all incomes is an
important factor in promoting orderly development. Therefore, the
Legislature further finds and declares that this policy should be
effected by the logical formation and modification of the boundaries
of local agencies, with a preference granted to accommodating
additional growth within, or through the expansion of, the boundaries
of those local agencies which can best accommodate and provide
necessary governmental services and housing for persons and families
of all incomes in the most efficient manner feasible.
The Legislature recognizes that urban population densities and
intensive residential, commercial, and industrial development
necessitate a broad spectrum and high level of community services and
controls. The Legislature also recognizes that when areas become
urbanized to the extent that they need the full range of community
services, priorities are required to be established regarding the
type and levels of services that the residents of an urban community
need and desire; that community service priorities be established by
weighing the total community service needs against the total
financial resources available for securing community services; and
that those community service priorities are required to reflect local
circumstances, conditions, and limited financial resources. The
Legislature finds and declares that a single multipurpose
governmental agency is accountable for community service needs and
financial resources and, therefore, may be the best mechanism for
establishing community service priorities especially in urban areas.
However, the Legislature recognizes the critical role of many limited
purpose agencies, especially in rural communities. The Legislature
also finds that, whether governmental services are proposed to be
provided by a single-purpose agency, several agencies, or a
multipurpose agency, responsibility should be given to the agency or
agencies that can best provide government services.