BILL NUMBER: SB 613	AMENDED
	BILL TEXT
	AMENDED IN SENATE  APRIL 2, 2009
INTRODUCED BY   Senator Harman
                        FEBRUARY 27, 2009
    An act to amend Section 10.2 of the County Water
Authority Act (Chapter 545 of the Statutes of 1943), relating to
water.   An act to add Section 36447.15 to the Water
Code, relating to the Irvine Ranch Water District. 
	LEGISLATIVE COUNSEL'S DIGEST
   SB 613, as amended, Harman.  County water authority:
annexation: federal military reservation.   Irvine Ranch
Water District.  
   The California Water District Law provides for the formation and
operation of California water districts. That district law authorizes
the Irvine Ranch Water District, a California water district, to
form improvement districts and to issue and sell general obligation
bonds and consolidated general obligation bonds for improvement
districts of the district in accordance with specified requirements.
 
   This bill would authorize the Irvine Ranch Water District to
pledge and apply all or part of the revenues of the district to the
payment or security of any or all of the principal, redemption price,
and purchase price of general obligation bonds for improvement
districts and consolidated general obligation bonds for improvement
districts, and the interest thereon, in accordance with specified
requirements. The bill would make legislative findings and
declarations regarding the need for special legislation. 
   The County Water Authority Act authorizes county 2 or more public
agencies in any county to organize and incorporate a county water
authority. The act requires all powers, privileges, and duties vested
in or imposed upon a county water authority to be exercised and
performed by a board of directors. The act provides for among other
things, the annexation of territory within a federal military
reservation to a county water authority. The act provides procedures
for annexation of a military reservation and requires, on and after
the effective date of the annexation, the military reservation to be
a separate unit member of the county water authority entitled to one
representative on the board of directors.  
   This bill would make technical, nonsubstantive changes in the
provisions relating to annexation of a federal military reservation.
   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 36447.15 is added to the 
 Water Code   , to read:  
   36447.15.  (a) Notwithstanding Section 36447, this section applies
only to the Irvine Ranch Water District.
   (b) In connection with, or incidental to, the issuance or carrying
by the district of any general obligation bonds for improvement
districts or consolidated general obligation bonds for improvement
districts, the district may pledge and apply all or any part of the
revenues of the district to the payment or security of any or all of
the principal, redemption price, and purchase price of those bonds,
and the interest thereon, in the manner and upon terms that the board
may deem advisable.
   (c) In connection with the pledge, the board may provide in the
resolution, order, indenture, trust agreement, loan agreement, lease,
installment sale agreement, pledge agreement, or other document in
which the pledge is provided for or created, any covenants, promises,
restrictions, and provisions that the district may deem necessary or
desirable, including, but not limited to, covenants, promises,
restrictions, and provisions relating to the use of bond proceeds,
the maintenance, operation, and preservation of the district's
facilities, any rates and charges to be established and collected by
the district, including rates and charges for the services or
products furnished or provided by the district's facilities, the
incurring of additional indebtedness payable from the revenues, and
the establishment, maintenance, and use of reserve funds, sinking
funds, interest and redemption funds, maintenance and operation
funds, and other special funds for the payment or security of any or
all of the principal, redemption price, and purchase price of bonds
and the interest thereon.
   (d) For the purposes of carrying out this section, the board may
exercise, but shall not be limited to exercising, the powers
specified in the Revenue Bond Law of 1941 (Chapter 6 (commencing with
Section 54300) of Part 1 of Division 2 of Title 5 of the Government
Code).
   (e) Chapter 5.5 (commencing with Section 5450) of Division 6 of
Title 1 of the Government Code shall govern the creation of pledges
authorized by this section.
   (f) The authority granted by this section is in addition to, and
not in derogation of, any authority granted by other provisions of
law relating to the payment of the district's general obligation
bonds from the proceeds of assessments to be levied upon and
collected from lands of any improvement district or relating to the
levy and collection of the assessments. This section does not affect
any other law authorizing or providing for the issuance or carrying
of bonds by the district. This section shall be deemed to provide a
complete and supplemental method for exercising the powers authorized
by this section, and shall be deemed supplemental to the powers
conferred by other applicable laws. 
   SEC. 2.    The Legislature finds and declares that
this act, which is applicable only to the Irvine Ranch Water
District, is necessary because of the unique and special financing
requirements applicable to the district. It is, therefore, hereby
declared that a general law within the meaning of Section 16 of
Article IV of the California Constitution cannot be made applicable
to the district and the enactment of this special law is necessary to
enable the district to lower the financial burden of debt service
for the taxpayers of the district.  
  SECTION 1.    Section 10.2 of the County Water
Authority Act (Chapter 545 of the Statutes of 1943), as amended by
Section 38 of Chapter 506 of the Statutes of 2000, is amended to
read:
   Sec. 10.2.  (a) Notwithstanding any other provisions of this act,
territory within a federal military reservation may be annexed to any
county water authority organized under this act as a single member
of an authority in the manner provided in this section. As used in
this section, "federal military reservation" or "military reservation"
means a single federal military reservation or separate but
contiguous federal military reservations which are jointly annexed to
a county water authority as a single member agency of an authority.
   (b) Proceedings for the annexation of territory within a military
reservation shall be initiated by the adoption by the board of
directors of an authority of a resolution proposing annexation of
territory within a military reservation to an authority as a member
of an authority.
   (c) The resolution proposing the annexation may provide that the
annexation shall include one or more separate areas, which may be
separately identified for assessing and tax collecting purposes, and
that each of those areas may be subject to one or more of the
following terms and conditions:
   (1) The fixing and establishment of priorities for the use of, or
right to use, water, or capacity rights in any public improvement or
facilities, and the determination of, or limitation on, the quantity
of, the purposes for which, and the places where, water may be
delivered by the authority to the military reservation for military
purposes and uses incidental thereto, as well as for nonmilitary
purposes.
   (2) The levying by the authority of special taxes upon any private
leasehold, possessory interest, or other taxable property within the
territory annexed, and the imposition and collection of special fees
or charges prior to the annexation.
   (3) If portions of any area annexed under this section are
subsequently made available for nonmilitary purposes not in existence
at the time of the annexation of the area, the board of directors of
the authority may impose new terms and conditions for any subsequent
service of water, directly or indirectly, by the authority to that
area, including the separation of the area for assessing and tax
collecting purposes and the levying by the authority of special taxes
on those portions.
   (4) The effective date of the annexation.
   (5) Any other matters necessary or incidental to any of the terms
and conditions in paragraphs (1) to (4), inclusive.
   (d) A certified copy of the resolution proposing annexation shall
be sent to the official in authority over the military reservation.
If the military reservation consents in writing to the annexation and
to the terms and conditions established by the board of directors,
the board may, by resolution, order the annexation to the authority
of the territory situated within the military reservation, subject to
those terms and conditions.
   (e) A certificate of proceedings taken under this section shall be
made by the secretary of the authority and filed with the county
clerk of the county in which the county water authority is situated.
Upon the filing in his or her office of the certificate of
proceedings, the county clerk of the county in which the county water
authority is situated shall, within 10 days, issue a certificate
reciting the filing of those papers in his or her office and the
annexation of the territory to the authority. The county clerk of the
county in which the county water authority is situated shall
transmit the original of said certificate to the secretary of the
authority.
   (f) Upon the filing of the certificate of proceedings with the
county clerk of the county in which the county water authority is
situated, or upon the effective date of the annexation provided for
in the terms and conditions, whichever is later, the territory within
the military reservation shall become and be an integral part of the
authority. The taxable property within that territory shall be
subject to taxation thereafter for the purposes of the authority,
including the payment of bonds and other obligations of the authority
at the time authorized or outstanding. The board of directors of the
authority shall be empowered to do all things necessary to enforce
and make effective the terms and conditions of annexation fixed as
authorized pursuant to this section.
   (g) On and after the effective date of the annexation, the
military reservation shall be a separate unit member of the authority
and shall be entitled to one representative on the board of
directors of the authority. For the purposes of this act, a military
reservation shall be deemed a public agency. The representative shall
be designated and appointed by the official in authority over the
military reservation, shall hold office for a term of six years or
until his or her successor is appointed and qualified, and may be
recalled by the official with authority over the military
reservation.
   (h) The transfer of ownership of the fee title of a military
reservation, or of any portion thereof, to nonmilitary ownership
after annexation to the authority pursuant to this section shall
result in the automatic exclusion from the authority of the territory
transferred to that ownership.
   (i) If a county water authority is a member public agency of a
metropolitan water district organized under the Metropolitan Water
District Act (Chapter 200 of the Statutes of 1969), that metropolitan
water district may impose any or all of the terms and conditions
that may be imposed by a county water authority pursuant to
subdivisions (a) through (h) of this section in any resolution fixing
the terms and conditions for the concurrent annexation of territory
in a military reservation.