BILL NUMBER: SB 894	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 12, 2010
	AMENDED IN SENATE  APRIL 7, 2010

INTRODUCED BY   Committee on Local Government (Cox (Chair), Aanestad,
DeSaulnier, Kehoe, and Price)

                        JANUARY 25, 2010

   An act to add Section 17624.5 to the Education Code, to amend
Sections 17600, 23110, 23124, 31010.5, 31479.1, 34873, 34875, 34900,
34901, 36508, 36511, 36515, 36516.1, 36516.5, 36804, 36811, 50271,
65063.7, 65920, 66000.5, and 66031 of, and to add Sections 56103.5,
65107, 65801, and 66499.38 to, the Government Code, to amend Sections
33080.2, 33445.1, 40225, 40326, 40751, 116183, and 117065 of, to
amend and repeal Sections 32121 and 32126 of, and to add Section
33501.9 to, the Health and Safety Code, to amend Sections 20142,
20405, and 20688.6 of, and to add Sections 20614 and 20998 to, the
Public Contract Code, to add Section 21167.9 to the Public Resources
Code, to add Section 21670.6 to the Public Utilities Code, to amend
Section 99.02 of the Revenue and Taxation Code, to amend Sections
35424, 50655, and 50656 of the Water Code, and to amend Section 3.2
of Chapter 283 of the Statutes of 1973, relating to local government.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 894, as amended, Committee on Local Government. Local
Government Omnibus Act of 2010.
   (1) Existing law authorizes the use of mediation in any action
brought in the superior court relating to the approval or denial by a
public agency of any development project, any act or decision of a
public agency made pursuant to the California Environmental Quality
Act, the failure of a public agency to meet the time limits specified
by the Permit Streamlining Act or the Subdivision Map Act, fees
levied against development projects by school districts or for
construction or reconstruction of school facilities, fees for
development projects, the adequacy of a general plan or specific
plan, the validity of any sphere of influence, urban service area,
change of organization or reorganization, or any other decision made
pursuant to the Cortese-Knox-Hertzberg Local Government
Reorganization Act of 2000, the adoption or amendment of a
redevelopment plan pursuant to the Community Redevelopment Law, the
validity of any specified zoning decision, or the validity of any
decision made pursuant by an Airport Land Use Commission, as
specified.
   This bill would include a cross-reference to this authorization in
each of the affected provisions.
   (2) Existing law requires the Commission on State Mandates to
report to the Legislature, at least twice each calendar year, the
number of mandates it has found and to identify in that report the
statewide costs estimated for each mandate and the reasons for
recommending the reimbursement.
   This bill would until January 1, 2015, also require the commission'
s report to include the status of pending parameters and guidelines
that include proposed reasonable reimbursement methodologies, the
status of joint proposals between the Department of Finance and a
local agency or school district to develop reasonable reimbursement
methodologies and statewide estimates of costs in lieu of parameters
or to develop legislatively determined mandate reimbursements, and
any delay in the process of developing those reimbursement
methodologies.
   (3) Existing law sets forth the boundaries of Merced and Fresno
Counties, as specified.
   This bill would revise those boundary descriptions to reflect the
current boundaries of those counties.
   (4) Existing law prohibits public officials from simultaneously
holding two public offices that are incompatible subject to certain
exceptions, including where the holding of a particular office is
expressly authorized by law. Existing law specifies that service as
an elected director of a recreation and park district is not
considered an incompatible office with service on a municipal
advisory council. Existing law also specifies that service as a
municipal advisory counsel is not incompatible with service on a
community services district board.
   This bill would clarify that service on a community service
district is not considered an incompatible office with service as a
member of a municipal advisory council.
   (5) Existing law specifies that any statutory reference to
"councilman" or "councilmen" also means and includes "councilwoman"
or "councilwomen." Under existing law, the terms "councilman" or
"councilmen" are used in various provisions, including, among others,
the election of councilmen by or from districts, appointments made
by councilmen, and service by councilmen on regional district boards.
Existing law refers to the mayor as "he" or "him" with regard to
attendance at meetings of a city selection committee.
   This bill would revise those provisions to instead refer to
"council member" and would refer to the mayor, only as "the mayor."
   (6) Existing law, the Local Health Care District Law, until
January 1, 2011, authorizes each local district to, among other
things, transfer, at fair market value, or lease any part of its
assets to one or more corporations to operate and maintain the assets
and requires the district to receive voter approval by the voters of
the district if the transfer or lease includes 50% or more of the
district's assets, as specified.
   This bill would eliminate that repeal date.
   Existing law, beginning January 1, 2011, authorizes each local
district to, among other things, transfer, at fair market value, or
lease any part of its assets to one or more nonprofit corporations to
operate and maintain the assets, and requires to district to receive
voter approval by the voters of the district if the transfer or
lease to one or more nonprofit corporations includes 50% or more of
the district's assets, as specified.
   This bill would repeal this provision.
   (7) Existing law requires a redevelopment agency to present an
annual report to its legislative body within 6 months of the end of
the agency's fiscal year, and inform the legislative body of any
major violations based on the independent financial audit report and
that failure to correct a major violation may result in the filing of
an action by the Attorney General.
   This bill would revise these provisions to instead refer to any
major audit violations.
   (8) The Community Redevelopment Law authorizes a redevelopment
agency, with the consent of the legislative body, to pay all or a
part of the value of the land for, and the cost of the installation
and construction of, any improvement that is publicly owned and is
located outside, and not contiguous to, the project area, if that
improvement is located within the community, and if the legislative
body makes specified findings. Existing law provides that this
authorization is inapplicable, if the financing, construction, or
installation of the land or improvement is an obligation of the
agency under specified contracts.
   This bill would modify that provision to instead provide that, if
the financing, construction, or installation of the land or
improvement is an obligation of the agency under specified contracts,
the agency is authorized to pay all or a part of the value of the
land and the cost of the installation and construction of the
improvement, but only in accordance with the requirements of another
specified provision of law.
   (9) Existing law directs the air pollution control officer of an
air pollution control district, subject to the direction of the
board, to appoint district personnel.
   This bill would direct the air pollution control officer, subject
to the direction of the board, to appoint district personnel,
including any deputies necessary for the prompt and faithful
discharge of the air pollution control officer's duties.
   (10) Existing law, until January 1, 2011, requires any state or
local agency responding to an outbreak of West Nile virus or other
mosquito-born disease with an abatement and surveillance program to
contract with a local mosquito and vector control agency that is
party to a cooperative agreement with the State Department of Public
Health or directly with that department, to ensure that outbreak
response is supervised appropriately and conducted by licensed
personnel using sound integrated mosquito management techniques.
   This bill would extend that requirement to January 1, 2012.
   (11) Existing law authorizes a public agency that owns and
operates a reservoir used for domestic or drinking water to post a
copy of its rules and regulations in the area opened to public
fishing and other recreational uses, and at least once in a newspaper
of general circulation, as specified.
   This bill would authorize an agency that amends its rules and
regulations to similarly publish a summary of its amended rules and
regulations, along with an Internet address and the physical location
where the complete text of the amended rules and regulations may be
viewed.
   (12) Existing law authorizes the board of supervisors of a county
to authorize the county engineer, or other county officer, to order
changes or additions in the work being performed under construction
contracts. For contracts whose original cost exceeds $250,000, the
extra cost for any change or addition to the work ordered may not
exceed $25,000 plus 5% of the amount of the original contract cost in
excess of $250,000, and in no event may a change or alteration cost
exceed $150,000.
   This bill would raise the maximum amount of the cost of the change
for a contract with an original cost in excess of $250,000 from
$150,000 to $210,000.
   (13) Existing law authorizes a board of supervisors to contract
for the construction, maintenance and repair of a county bridge or
subway by awarding the contract to the lowest responsible bidder, as
specified.
   This bill would authorize a board of supervisors in specified
counties to authorize the road commissioner or a registered civil
engineer under the direction of the county director of
transportation, to execute changes or additions to the work for any
contract. The bill would limit a change in contracts of less than
$50,000 to a change amount not to exceed $5,000, in contracts of more
than $50,000 but less than $250,000 not to exceed 10% of the amount
of the original contract, and for contracts of more than $250,000 not
to exceed $25,000 plus 5% of the cost of the original contract, and
not more than $210,000.
   (14) Existing law requires county waterworks districts to award
all contracts in excess of $3,500 to the lowest responsible bidder,
except that contracts under $7,500 may be awarded pursuant to
informal bidding procedures established by the board, as specified.
   This bill would authorize the board of supervisors of a county and
the board of directors of the district, to authorize the general
manager or other district officer to order changes or additions in
work being performed under contracts entered into by the district.
The bill would limit a change in contracts of less than $50,000 not
to exceed $5,000, in contracts of more than $50,000 but less than
$250,000 not to exceed 10% of the amount of the original contract,
and for contracts of more than $250,000 not to exceed $25,000 plus 5%
of the cost of the original contract, and in no event more than
$210,000.
   (15) Existing law, until January 1, 2016, authorizes a
redevelopment agency, with the approval of its duly constituted board
in a public hearing, to enter into design-build contracts for
projects, as defined, in excess of $1,000,000, in accordance with
specified provisions.
   This bill would correct an incorrect cross-reference in these
provisions.
   (16) Existing law requires the Los Angeles County Flood Control
District to let to the lowest bidder all contracts for more than
$25,000, as specified, and does not authorize change orders to those
contracts.
   This bill would authorize the Los Angeles County Flood Control
District to authorize the chief engineer or other district officer to
order changes or additions in work being performed under contracts
entered into by the district. The bill would limit a change in
contracts of less than $50,000 to a change amount not to exceed
$5,000, in contracts of more than $50,000 but less than $250,000 not
to exceed 10% of the amount of the original contract, and for
contracts of more than $250,000 not to exceed $25,000 plus 5% of the
cost of the original contract, and not more than $210,000.
   (17) Existing law, commencing with the 1985-86 fiscal year,
authorizes any local agency, by the adoption of a resolution of its
governing body or board, to exchange any portion of its property tax
revenues that is allocable to one or more tax rate areas within the
local agency with one or more other local agencies that have the same
tax rate areas, as specified, subject to specified restrictions.
   This bill would instead authorize a local agency to transfer any
portion of its property tax revenues that is allocable to one or more
tax rate areas within the local agency to one or more other local
agencies that have the same tax rate areas, as specified, subject to
specified restrictions.
   (18) Existing law specifies that if a water district had published
equitable rules and regulations for the distribution of water once a
week for 2 weeks in a newspaper of general circulation published in
each affected county, any violation of those rules and regulations is
a misdemeanor subject to a specified fine.
   This bill would authorize a water district to publish a summary of
amendments to the rules and regulations with an Internet address and
a physical location where the complete text of the amended rules and
regulations may be viewed.
   (19) Existing law requires the board of a reclamation district to
adopt a seal of the district, as specified, and requires all
documents that require approval by the board to bear that seal.
   This bill would instead authorize the board to adopt and alter a
seal, and would require all documents requiring approval by the board
to bear the signature of either a trustee or the secretary.
   (20) Existing law requires the board of the North Delta Water
Agency to consist of 5 members, one from each of the 5 divisions in
the agency, and each of whom must be an owner or legal representative
of real property within the division he represents.
   This bill would require board members to be elected by division,
and only by the voters of that division, and would prohibit elections
at large.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  (a) This act shall be known and may be cited as the
Local Government Omnibus Act of 2010.
   (b) The Legislature finds and declares that Californians want
their governments to run efficiently and economically and that public
officials should avoid waste and duplication whenever possible. The
Legislature further finds and declares that it desires to control its
own costs by reducing the number of separate bills. Therefore, it is
the intent of the Legislature in enacting this act to combine
several minor, noncontroversial statutory changes relating to the
common theme, purpose, and subject of local government into a single
measure.
  SEC. 2.  Section 17624.5 is added to the Education Code, to read:
   17624.5.  Any action brought in the superior court relating to
this chapter may be subject to a mediation proceeding conducted
pursuant to Chapter 9.3 (commencing with Section 66030) of Division 1
of Title 7 of the Government Code.
  SEC. 2.5.  Section 17600 of the Government Code is amended to read:

   17600.  (a) At least twice each calendar year the commission shall
report to the Legislature on the number of mandates it has found
pursuant to Article 1 (commencing with Section 17550) and the
estimated statewide costs of these mandates. This report shall
identify the statewide costs estimated for each mandate and the
reasons for recommending reimbursement.
   (b) The commission shall also include the following in the report
required by subdivision (a):
   (1) The status of pending parameters and guidelines that include
proposed reasonable reimbursement methodologies, as defined in
Section 17518.5.
   (2) The status of joint proposals between the Department of
Finance and a local agency or school district to develop reasonable
reimbursement methodologies and statewide estimates of costs in lieu
of parameters and guidelines, pursuant to Sections 17557.1 and
17557.2.
   (3) The status of joint proposals between the Department of
Finance and a local agency or school district to develop
legislatively determined mandate reimbursements, pursuant to Sections
17572 to 17574.5, inclusive.
   (4) Any delays in the processes described in paragraphs (1) to
(3), inclusive.
  SEC. 3.  Section 23110 of the Government Code is amended to read:
   23110.  The boundaries of Fresno County are as follows:
   Beginning on the south line of Merced at a point where said line
crosses the San Joaquin River; thence south, 45 degrees west, and on
the line of Merced, to the centerline of a drain in the Southwest
Quarter of the Southwest Quarter of Section 6, T. 11 S., R. 13 E.,
M.D.B.&M; thence along said centerline southeasterly to the
centerline of Colony East Ditch Canal; thence southerly along said
centerline to the south line of the north half of the Southeast
Quarter of Section 7, said Township and Range; thence westerly along
said south line to the northeast corner of the west half of the
Southwest Quarter of said section; thence southerly along the east
line of said west half to the south line of said Section; thence
westerly along said line to the North Quarter corner of Section 18,
said Township and Range; thence southerly along the north-south
centerline of Section 18 and Section 19 to the south line of Section
19; thence westerly along said south line and the south line of
Sections 24 & 23 & 22 & 21 in T. 11 S., R. 12 E. to a point that is
south 45 degrees west from said line of Merced; thence south 45
degrees west to the eastern boundary line of San Benito; thence
southeasterly along said boundary line to the southeast corner of T.
16 S. R. 12 E.; thence easterly along the south line of T. 16 S. to
the northeast corner of T. 17 S., R. 12 east; thence southerly along
the east line of R. 12 E. to the point where the summit line of the
Coast Range Mountains crosses the east line of R. 12 east and
continuing along said San Benito boundary along the summit line to
Monterey; thence continuing along the Monterey boundary and said
summit line in a southerly and southeasterly direction, to a point in
that boundary, which point is south 45 degrees west from the point
on Kings River where the northern line of T. 16 S. crosses the Kings
River; said point being the common corner of Fresno, Monterey, and
Kings; said corner point defined by survey recorded in Book 42 of
Record of Surveys at Pages 57 and 58, Fresno County Records; thence
along the Fresno-Kings boundary, as defined by said survey north 47o
12' 09" east, to the northwest corner of Section 19, T. 20 S., R. 19
E.; thence north along the west line of R. 19 E. to the north line of
T. 18 S.; thence east along the north line of T. 18 S. to the
centerline of Kings River; thence easterly along the centerline of
Kings River to the point that intersects the south 45 degrees west
boundary, said boundary is south 45 degrees west from the point on
Kings River where the northern line of T. 16 S. crosses the Kings
River; thence north 45 degrees east to the point on the Kings River
where the northern line of T. 16 S. crosses the Kings River; thence
east along the northern line of T. 16 S. and continuing on said line
to the northwest corner of T. 16 S., R. 25 E.; thence north to the
northwest corner of T. 15 S., R. 25 E.; thence east to the northeast
corner of T. 15 S., R. 27 E.; thence north to the northeast corner of
T. 14 S. of R. 27 E.; thence east on the line between T. 13 and 14
S. to the summit of the Sierra Nevada Mountains, being the western
line of Inyo; thence northwesterly, on the summit line and lines of
Inyo and Mono, to the common corner of Mono, Madera, and Fresno;
thence southwesterly along the boundary of Madera to the point where
the San Joaquin River crosses the south boundary line of T. 6 S., R.
24 E.; thence southwesterly and northwesterly following the
meanderings of said river to a point on the southerly boundary of
Merced, said point being the common corner of Fresno, Madera, and
Merced and the place of beginning.
  SEC. 4.  Section 23124 of the Government Code is amended to read:
   23124.  The boundaries of Merced County are as follows:
   Beginning at the northwest corner, being the southwest corner of
Stanislaus as shown on the survey map of A. J. Stakes, 1868; thence
northeasterly, on southern line of Stanislaus to common corner of
Tuolumne, Mariposa, Merced, and Stanislaus; thence southeasterly, by
direct line, being western line of Mariposa, to Phillips' ferry, on
Merced River; thence southeasterly, on line of Mariposa, being line
shown on "map of Mariposa County," to Newton's crossing on Chowchilla
Creek, forming the southeast corner; thence down the northern side
and on highwater mark, being on line of Madera to the lower clump of
cottonwood timber at the sink of said creek; thence south, 45 degrees
west, to the centerline of a drain in the Southwest Quarter of the
Southwest Quarter of Section 6, Township 11 South, Range 13 east,
M.D.B.&M; thence along said centerline southeasterly to the
centerline of Colony East Ditch Canal; thence southerly along said
centerline to the south line of the Northwest Quarter of the
Southeast Quarter of Section 7, said Township and Range; thence
westerly along said south line to the northeast corner of the west
half of the Southwest Quarter of said section; thence southerly along
the east line of said west half to the south line of said Section;
thence westerly along said line to the North Quarter corner of
Section 18, said Township and Range; thence southerly along the
north-south centerline of said Section and Section 19 to the south
line of Section 19; thence westerly along said south line and the
south line of Sections 24 & 23 & 22 & 21 in Township 11 south, Range
12 East to a point that is south 45 degrees west from said clump of
cottonwood timber; thence south 45 degrees west to the eastern line
of San Benito, forming the southwest corner; thence northwesterly, by
said line of San Benito and Santa Clara, to the place of beginning.
  SEC. 5.  Section 31010.5 of the Government Code is amended to read:

   31010.5.  (a) Service as a member of a governing board of a
special district named in subdivision (b) shall not be considered an
incompatible office with service on a municipal advisory council
established pursuant to Section 31010.
   (b) (1) A community services district established pursuant to the
Community Services District Law, Division 3 (commencing with Section
61000) of Title 6.
   (2) A recreation and park district established pursuant to the
Recreation and Park District Law, Chapter 4 (commencing with Section
5780) of Division 5 of the Public Resources Code.
  SEC. 6.  Section 31479.1 of the Government Code is amended to read:

   31479.1.  Notwithstanding Section 31479, an elective or appointive
county official may receive credit for service rendered as a city
councilmember even though that service was not compensated.
   This section shall not be operative in any county until it is
adopted by a majority vote of the board of supervisors.
  SEC. 7.  Section 34873 of the Government Code is amended to read:
   34873.  An ordinance enacted pursuant to this article may be
amended or repealed in the same manner; provided, the term of office
of any councilmember elected shall not be affected.
  SEC. 8.  Section 34875 of the Government Code is amended to read:
   34875.  The amendatory ordinance shall not be submitted to the
voters if (a) one or more of the legislative districts do not close,
(b) one or more entire legislative districts are eliminated prior to
the termination of the term of office of the councilmember of or from
the district, (c) the effect is that a greater number of
councilmembers will be qualified to hold office concurrently than are
authorized by this article or the amendatory ordinance.
  SEC. 9.  Section 34900 of the Government Code is amended to read:
   34900.  At any general municipal election, or at a special
election held for that purpose, the city council may submit to the
electors the question of whether electors shall thereafter elect a
mayor and four city councilmembers, and whether the mayor shall serve
a two-year or four-year term. In cities presently having elected
mayors, the city council may also submit to the electors the question
of whether the mayor shall thereafter serve a two-year or a
four-year term.
  SEC. 10.  Section 34901 of the Government Code is amended to read:
   34901.  The questions shall be printed on the ballots used at the
election in substantially the following form:
  "Shall the electors elect a mayor and four city councilmembers?"
  "Shall the term of office of mayor be two years?"
  "Shall the term of office of mayor be four years?"
The words "Yes" and "No" and "two years" and "four years" shall be so
printed on the ballots that the voters may express their choice. The
term of office of mayor shall be that preferred by a majority of
those voting on the proposition.
  SEC. 11.  Section 36508 of the Government Code is amended to read:
   36508.  At any municipal election, or a special election held for
that purpose, the city council may submit to the electors the
question whether the elective officers, or any of them except
councilmembers, shall be appointed by the city council; provided,
however, that the city council shall not submit such question to the
electors more often than once in an 11-month period.
  SEC. 12.  Section 36511 of the Government Code is amended to read:
   36511.  The petition for incorporation of a city may provide for
the appointment of the elective officers, or any of them except
councilmembers. If it does, a separate election upon the question
need not be held, and upon incorporation the city council shall
appoint such officers.
  SEC. 13.  Section 36515 of the Government Code is amended to read:
   36515.  The compensation of a city councilmember appointed or
elected to fill a vacancy is the same as that payable to the member
whose office was vacated.
  SEC. 14.  Section 36516.1 of the Government Code is amended to
read:
   36516.1.  A mayor elected pursuant to Sections 34900 to 34904,
inclusive, of the Government Code may be provided with compensation
in addition to that which he or she receives as a councilmember. That
additional compensation may be provided by an ordinance adopted by
the city council or by a majority vote of the electors voting on the
proposition at a municipal election.
  SEC. 15.  Section 36516.5 of the Government Code is amended to
read:
   36516.5.  A change in compensation does not apply to a
councilmember during the councilmember's term of office. This
prohibition shall not prevent the adjustment of the compensation of
all members of a council serving staggered terms whenever one or more
members of the city council becomes eligible for a salary increase
by virtue of the councilmember beginning a new term of office.
  SEC. 16.  Section 36804 of the Government Code is amended to read:
   36804.  If the city clerk is absent, the deputy city clerk shall
act. If there is none, the mayor shall appoint one of the
councilmembers as city clerk pro tempore.
  SEC. 17.  Section 36811 of the Government Code is amended to read:
   36811.  If all councilmembers are absent from any regular meeting,
the city clerk shall declare the meeting adjourned to a stated day
and hour. The city clerk shall cause a written notice of the
adjournment to be delivered personally to each councilmember at least
three hours before the adjourned meeting.
  SEC. 17.5.  Section 50271 of the Government Code is amended to
read:
   50271.  When the mayor is unable to attend a meeting of a city
selection committee, the mayor shall designate another member of the
city's legislative body to attend and vote at the meeting as the
mayor's representative.
  SEC. 18.  Section 56103.5 is added to the Government Code, to read:

   56103.5.  Any action brought in the superior court relating to
this division may be subject to a mediation proceeding conducted
pursuant to Chapter 9.3 (commencing with Section 66030) of Division 1
of Title 7.
  SEC. 19.  Section 65063.7 of the Government Code is amended to
read:
   65063.7.  No supervisor, mayor or city councilmember shall hold
office on the regional planning board after ceasing to hold the
office of supervisor, mayor or city councilmember, respectively, and
that person's membership on the board shall thereafter be considered
vacant, except that any mayor who continues to hold office as a city
councilmember, or city councilmember who continues to hold office as
mayor, shall not be considered to have ceased to hold office under
this section.
  SEC. 20.  Section 65107 is added to the Government Code, to read:
   65107.  Any action brought in the superior court relating to this
chapter may be subject to a mediation proceeding conducted pursuant
to Chapter 9.3 (commencing with Section 66030).
  SEC. 21.  Section 65801 is added to the Government Code, to read:
   65801.  Any action brought in the superior court relating to this
chapter may be subject to a mediation proceeding conducted pursuant
to Chapter 9.3 (commencing with Section 66030).
  SEC. 22.  Section 65920 of the Government Code is amended to read:
   65920.  (a) This chapter shall be known and may be cited as the
Permit Streamlining Act.
   (b) Notwithstanding any other provision of law, the provisions of
this chapter shall apply to all public agencies to the extent
specified in this chapter, except that the time limits specified in
Division 2 (commencing with Section 66410) of Title 7 shall not be
extended by operation of this chapter.
   (c) Any action brought in the superior court relating to this
chapter may be subject to a mediation proceeding conducted pursuant
to Chapter 9.3 (commencing with Section 66030).
  SEC. 23.  Section 66000.5 of the Government Code is amended to
read:
   66000.5.  (a) This chapter, Chapter 6 (commencing with Section
66010), Chapter 7 (commencing with Section 66012), Chapter 8
(commencing with Section 66016), and Chapter 9 (commencing with
Section 66020) shall be known and may be cited as the Mitigation Fee
Act.
   (b) Any action brought in the superior court relating to the
Mitigation Fee Act may be subject to a mediation proceeding conducted
pursuant to Chapter 9.3 (commencing with Section 66030).
  SEC. 24.  Section 66031 of the Government Code is amended to read:
   66031.  (a) Notwithstanding any other provision of law, any action
brought in the superior court relating to any of the following
subjects may be subject to a mediation proceeding conducted pursuant
to this chapter:
   (1) The approval or denial by a public agency of any development
project.
   (2) Any act or decision of a public agency made pursuant to the
California Environmental Quality Act (Division 13 (commencing with
Section 21000) of the Public Resources Code).
   (3) The failure of a public agency to meet the time limits
specified in Chapter 4.5 (commencing with Section 65920), commonly
known as the Permit Streamlining Act, or in the Subdivision Map Act
(Division 2 (commencing with Section 66410)).
   (4) Fees determined pursuant to Chapter 6 (commencing with Section
17620) of Division 1 of Part 10.5 of the Education Code or Chapter
4.9 (commencing with Section 65995).
   (5) Fees determined pursuant to the Mitigation Fee Act, Chapter 5
(commencing with Section 66000), Chapter 6 (commencing with Section
66010), Chapter 7 (commencing with Section 66012), Chapter 8
(commencing with Section 66016), and Chapter 9 (commencing with
Section 66020).
   (6) The adequacy of a general plan or specific plan adopted
pursuant to Chapter 3 (commencing with Section 65100).
   (7) The validity of any sphere of influence, urban service area,
change of organization or reorganization, or any other decision made
pursuant to the Cortese-Knox-Hertzberg Local Government
Reorganization Act of 2000 (Division 3 (commencing with Section
56000) of Title 5).
   (8) The adoption or amendment of a redevelopment plan pursuant to
the Community Redevelopment Law (Part 1 (commencing with Section
33000) of Division 24 of the Health and Safety Code).
   (9) The validity of any zoning decision made pursuant to Chapter 4
(commencing with Section 65800).
   (10) The validity of any decision made pursuant to Article 3.5
(commencing with Section 21670) of Chapter 4 of Part 1 of Division 9
of the Public Utilities Code.
   (b) Within five days after the deadline for the respondent or
defendant to file its reply to an action, the court may invite the
parties to consider resolving their dispute by selecting a mutually
acceptable person to serve as a mediator, or an organization or
agency to provide a mediator.
   (c) In selecting a person to serve as a mediator, or an
organization or agency to provide a mediator, the parties shall
consider the following:
   (1) The council of governments having jurisdiction in the county
where the dispute arose.
   (2) Any subregional or countywide council of governments in the
county where the dispute arose.
   (3) Any other person with experience or training in mediation
including those with experience in land use issues, or any other
organization or agency that can provide a person with experience or
training in mediation, including those with experience in land use
issues.
   (d) If the court invites the parties to consider mediation, the
parties shall notify the court within 30 days if they have selected a
mutually acceptable person to serve as a mediator. If the parties
have not selected a mediator within 30 days, the action shall
proceed. The court shall not draw any implication, favorable or
otherwise, from the refusal by a party to accept the invitation by
the court to consider mediation. Nothing in this section shall
preclude the parties from using mediation at any other time while the
action is pending.
  SEC. 25.  Section 66499.38 is added to the Government Code, to
read:
   66499.38.  Any action brought in the superior court relating to
this division may be subject to a mediation proceeding conducted
pursuant to Chapter 9.3 (commencing with Section 66030) of Division
1.
  SEC. 25.1.  Section 32121 of the Health and Safety Code, as amended
by Section 1 of Chapter 20 of the Statutes of 2007, is amended to
read:
   32121.  Each local district shall have and may exercise the
following powers:
   (a) To have and use a corporate seal and alter it at its pleasure.

   (b) To sue and be sued in all courts and places and in all actions
and proceedings whatever.
   (c) To purchase, receive, have, take, hold, lease, use, and enjoy
property of every kind and description within and without the limits
of the district, and to control, dispose of, convey, and encumber the
same and create a leasehold interest in the same for the benefit of
the district.
   (d) To exercise the right of eminent domain for the purpose of
acquiring real or personal property of every kind necessary to the
exercise of any of the powers of the district.
   (e) To establish one or more trusts for the benefit of the
district, to administer any trust declared or created for the benefit
of the district, to designate one or more trustees for trusts
created by the district, to receive by gift, devise, or bequest, and
hold in trust or otherwise, property, including corporate securities
of all kinds, situated in this state or elsewhere, and where not
otherwise provided, dispose of the same for the benefit of the
district.
   (f) To employ legal counsel to advise the board of directors in
all matters pertaining to the business of the district, to perform
the functions in respect to the legal affairs of the district as the
board may direct, and to call upon the district attorney of the
county in which the greater part of the land in the district is
situated for legal advice and assistance in all matters concerning
the district, except that if that county has a county counsel, the
directors may call upon the county counsel for legal advice and
assistance.
   (g) To employ any officers and employees, including architects and
consultants, the board of directors deems necessary to carry on
properly the business of the district.
   (h) To prescribe the duties and powers of the health care facility
administrator, secretary, and other officers and employees of any
health care facilities of the district, to establish offices as may
be appropriate and to appoint board members or employees to those
offices, and to determine the number of, and appoint, all officers
and employees and to fix their compensation. The officers and
employees shall hold their offices or positions at the pleasure of
the boards of directors.
   (i) To do any and all things that an individual might do that are
necessary for, and to the advantage of, a health care facility and a
nurses' training school, or a child care facility for the benefit of
employees of the health care facility or residents of the district.
   (j) To establish, maintain, and operate, or provide assistance in
the operation of, one or more health facilities or health services,
including, but not limited to, outpatient programs, services, and
facilities; retirement programs, services, and facilities; chemical
dependency programs, services, and facilities; or other health care
programs, services, and facilities and activities at any location
within or without the district for the benefit of the district and
the people served by the district.
   "Health care facilities," as used in this subdivision, means those
facilities defined in subdivision (b) of Section 32000.1 and
specifically includes freestanding chemical dependency recovery
units. "Health facilities," as used in this subdivision, may also
include those facilities defined in subdivision (d) of Section 15432
of the Government Code.
   (k) To do any and all other acts and things necessary to carry out
this division.
   (l) To acquire, maintain, and operate ambulances or ambulance
services within and without the district.
   (m) To establish, maintain, and operate, or provide assistance in
the operation of, free clinics, diagnostic and testing centers,
health education programs, wellness and prevention programs,
rehabilitation, aftercare, and any other health care services
provider, groups, and organizations that are necessary for the
maintenance of good physical and mental health in the communities
served by the district.
   (n) To establish and operate in cooperation with its medical staff
a coinsurance plan between the hospital district and the members of
its attending medical staff.
   (o) To establish, maintain, and carry on its activities through
one or more corporations, joint ventures, or partnerships for the
benefit of the health care district.
   (p) (1) To transfer, at fair market value, any part of its assets
to one or more corporations to operate and maintain the assets. A
transfer pursuant to this paragraph shall be deemed to be at fair
market value if an independent consultant, with expertise in methods
of appraisal and valuation and in accordance with applicable
governmental and industry standards for appraisal and valuation,
determines that fair and reasonable consideration is to be received
by the district for the transferred district assets. Before the
district transfers, pursuant to this paragraph, 50 percent or more of
the district's assets to one or more corporations, in sum or by
increment, the elected board shall, by resolution, submit to the
voters of the district a measure proposing the transfer. The measure
shall be placed on the ballot of a special election held upon the
request of the district or the ballot of the next regularly scheduled
election occurring at least 88 days after the resolution of the
board. If a majority of the voters voting on the measure vote in its
favor, the transfer shall be approved. The campaign disclosure
requirements applicable to local measures provided under Chapter 4
(commencing with Section 84100) of Title 9 of the Government Code
shall apply to this election.
   (2) To transfer, for the benefit of the communities served by the
district, in the absence of adequate consideration, any part of the
assets of the district, including, without limitation, real property,
equipment, and other fixed assets, current assets, and cash,
relating to the operation of the district's health care facilities to
one or more nonprofit corporations to operate and maintain the
assets.
   (A) A transfer of 50 percent or more of the district's assets, in
sum or by increment, pursuant to this paragraph shall be deemed to be
for the benefit of the communities served by the district only if
all of the following occur:
   (i) The transfer agreement and all arrangements necessary thereto
are fully discussed in advance of the district board decision to
transfer the assets of the district in at least five properly
                                    noticed open and public meetings
in compliance with Section 32106 and the Ralph M. Brown Act (Chapter
9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5
of the Government Code).
   (ii) The transfer agreement provides that the hospital district
shall approve all initial board members of the nonprofit corporation
and any subsequent board members as may be specified in the transfer
agreement.
   (iii) The transfer agreement provides that all assets transferred
to the nonprofit corporation, and all assets accumulated by the
corporation during the term of the transfer agreement arising out of,
or from, the operation of the transferred assets, are to be
transferred back to the district upon termination of the transfer
agreement, including any extension of the transfer agreement.
   (iv) The transfer agreement commits the nonprofit corporation to
operate and maintain the district's health care facilities and its
assets for the benefit of the communities served by the district.
   (v) The transfer agreement requires that any funds received from
the district at the outset of the agreement or any time thereafter
during the term of the agreement be used only to reduce district
indebtedness, to acquire needed equipment for the district health
care facilities, to operate, maintain, and make needed capital
improvements to the district's health care facilities, to provide
supplemental health care services or facilities for the communities
served by the district, or to conduct other activities that would
further a valid public purpose if undertaken directly by the
district.
   (B) A transfer of 10 percent or more but less than 50 percent of
the district's assets, in sum or by increment, pursuant to this
paragraph shall be deemed to be for the benefit of the communities
served by the district only if both of the following occur:
   (i) The transfer agreement and all arrangements necessary thereto
are fully discussed in advance of the district board decision to
transfer the assets of the district in at least two properly noticed
open and public meetings in compliance with Section 32106 and the
Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part
1 of Division 2 of Title 5 of the Government Code).
   (ii) The transfer agreement meets all of the requirements of
clauses (iii) to (v), inclusive, of subparagraph (A).
   (C) Before the district transfers, pursuant to this paragraph, 50
percent or more of the district's assets to one or more nonprofit
corporations, in sum or by increment, the elected board shall, by
resolution, submit to the voters of the district a measure proposing
the transfer. The measure shall be placed on the ballot of a special
election held upon the request of the district or the ballot of the
next regularly scheduled election occurring at least 88 days after
the resolution of the board. If a majority of the voters voting on
the measure vote in its favor, the transfer shall be approved. The
campaign disclosure requirements applicable to local measures
provided under Chapter 4 (commencing with Section 84100) of Title 9
of the Government Code shall apply to this election.
   (D) Notwithstanding the other provisions of this paragraph, a
hospital district shall not transfer any portion of its assets to a
private nonprofit organization that is owned or controlled by a
religious creed, church, or sectarian denomination in the absence of
adequate consideration.
   (3) If the district board has previously transferred less than 50
percent of the district's assets pursuant to this subdivision, before
any additional assets are transferred, the board shall hold a public
hearing and shall make a public determination that the additional
assets to be transferred will not, in combination with any assets
previously transferred, equal 50 percent or more of the total assets
of the district.
   (4) The amendments to this subdivision made during the 1991-92
Regular Session, and the amendments made to this subdivision and to
Section 32126 made during the 1993-94 Regular Session, shall only
apply to transfers made on or after the effective dates of the acts
amending this subdivision. The amendments to this subdivision made
during those sessions shall not apply to either of the following:
   (A) A district that has discussed and adopted a board resolution
prior to September 1, 1992, that authorizes the development of a
business plan for an integrated delivery system.
   (B) A lease agreement, transfer agreement, or both between a
district and a nonprofit corporation that were in full force and
effect as of September 1, 1992, for as long as that lease agreement,
transfer agreement, or both remain in full force and effect.
   (5) Notwithstanding paragraph (4), if substantial amendments are
proposed to be made to a transfer agreement described in subparagraph
(A) or (B) of paragraph (4), the amendments shall be fully discussed
in advance of the district board's decision to adopt the amendments
in at least two properly noticed open and public meetings in
compliance with Section 32106 and the Ralph M. Brown Act (Chapter 9
(commencing with Section 54950) of Part 1 of Division 2 of Title 5 of
the Government Code).
   (6) Notwithstanding paragraphs (4) and (5), a transfer agreement
described in subparagraph (A) or (B) of paragraph (4) that provided
for the transfer of less than 50 percent of a district's assets shall
be subject to the requirements of this subdivision when subsequent
amendments to that transfer agreement would result in the transfer,
in sum or by increment, of 50 percent or more of a district's assets
to the nonprofit corporation.
   (7) For purposes of this subdivision, a "transfer" means the
transfer of ownership of the assets of a district. A lease of the
real property or the tangible personal property of a district shall
not be subject to this subdivision except as specified in Section
32121.4 and as required under Section 32126.
   (8) Districts that request a special election pursuant to
paragraph (1) or (2) shall reimburse counties for the costs of that
special election as prescribed pursuant to Section 10520 of the
Elections Code.
   (9) (A) Nothing in this section, including subdivision (j), shall
be construed to permit a local district to obtain or be issued a
single consolidated license to operate a separate physical plant as a
skilled nursing facility or an intermediate care facility that is
not located within the boundaries of the district.
   (B) Notwithstanding subparagraph (A), Eastern Plumas Health Care
District may obtain and be issued a single consolidated license to
operate a separate physical plant as a skilled nursing facility or an
intermediate care facility that is located on the campus of the
Sierra Valley District Hospital. This subparagraph shall have no
application to any other district and is intended only to address the
urgent need to preserve skilled nursing or intermediate care
services within the rural County of Sierra.
   (C) Subparagraph (B) shall only remain operative until the Sierra
Valley District Hospital is annexed by the Eastern Plumas Health Care
District. In no event shall the Eastern Plumas Health Care District
increase the number of licensed beds at the Sierra Valley District
Hospital during the operative period of subparagraph (B).
   (10) A transfer of any of the assets of a district to one or more
nonprofit corporations to operate and maintain the assets shall not
be required to meet paragraphs (1) to (9), inclusive, of this
subdivision if all of the following conditions apply at the time of
the transfer:
   (A) The district has entered into a loan that is insured by the
State of California under Chapter 1 (commencing with Section 129000)
of Part 6 of Division 107.
   (B) The district is in default of its loan obligations, as
determined by the Office of Statewide Health Planning and
Development.
   (C) The Office of Statewide Health Planning and Development and
the district, in their best judgment, agree that the transfer of some
or all of the assets of the district to a nonprofit corporation or
corporations is necessary to cure the default, and will obviate the
need for foreclosure. This cure of default provision shall be
applicable prior to the office foreclosing on district hospital
assets. After the office has foreclosed on district hospital assets,
or otherwise taken possession in accordance with law, the office may
exercise all of its powers to deal with and dispose of hospital
property.
   (D) The transfer and all arrangements necessary thereto are
discussed in advance of the transfer in at least one properly noticed
open and public meeting in compliance with Section 32106 and the
Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part
1 of Division 2 of Title 5 of the Government Code). The meeting
referred to in this paragraph shall be noticed and held within 90
days of notice in writing to the district by the office of an event
of default. If the meeting is not held within this 90-day period, the
district shall be deemed to have waived this requirement to have a
meeting.
   (11) If a transfer under paragraph (10) is a lease, the lease
shall provide that the assets shall revert to the district at the
conclusion of the leasehold interest. If the transfer is a sale, the
proceeds shall be used first to retire the obligation insured by the
office, then to retire any other debts of the district. After
providing for debts, any remaining funds shall revert to the
district.
   (12) A health care district shall report to the Attorney General,
within 30 days of any transfer of district assets to one or more
nonprofit or for-profit corporations, the type of transaction and the
entity to whom the assets were transferred or leased.
   (q) To contract for bond insurance, letters of credit, remarketing
services, and other forms of credit enhancement and liquidity
support for its bonds, notes, and other indebtedness and to enter
into reimbursement agreements, monitoring agreements, remarketing
agreements, and similar ancillary contracts in connection therewith.
   (r) To establish, maintain, operate, participate in, or manage
capitated health care service plans, health maintenance
organizations, preferred provider organizations, and other managed
health care systems and programs properly licensed by the Department
of Insurance or the Department of Managed Care, at any location
within or without the district for the benefit of residents of
communities served by the district. However, that activity shall not
be deemed to result in, or constitute, the giving or lending of the
district's credit, assets, surpluses, cash, or tangible goods to, or
in aid of, any person, association, or corporation in violation of
Section 6 of Article XVI of the California Constitution.
   Nothing in this section shall be construed to authorize activities
that corporations and other artificial legal entities are prohibited
from conducting by Section 2400 of the Business and Professions
Code.
   Any agreement to provide health care coverage that is a health
care service plan, as defined in subdivision (f) of Section 1345,
shall be subject to Chapter 2.2 (commencing with Section 1340) of
Division 2, unless exempted pursuant to Section 1343 or 1349.2.
   A district shall not provide health care coverage for any employee
of an employer operating within the communities served by the
district, unless the Legislature specifically authorizes, or has
authorized in this section or elsewhere, the coverage.
   Nothing in this section shall be construed to authorize any
district to contribute its facilities to any joint venture that could
result in transfer of the facilities from district ownership.
   (s) To provide health care coverage to members of the district's
medical staff, employees of the medical staff members, and the
dependents of both groups, on a self-pay basis.
  SEC. 25.3.  Section 32121 of the Health and Safety Code, as amended
by Section 2 of Chapter 20 of the Statutes of 2007, is repealed.

  SEC. 25.5.    Section 32126 of the Health and
Safety Code, as added by Section 5 of Chapter 194 of the Statutes of
2005, is amended to read:
   32126.  (a) The board of directors may provide for the operation
and maintenance through tenants of the whole or any part of any
hospital acquired or constructed by it pursuant to this division, and
for that purpose may enter into any lease agreement that it believes
will best serve the interest of the district. A lease entered into
with one or more nonprofit corporations for the operation of 50
percent or more of the district's hospital, or that is part of, or
contingent upon, a transfer of 50 percent or more of the district's
assets, in sum or by increment, as described in subdivision (p) of
Section 32121, shall be subject to the requirements of subdivision
(p) of Section 32121. Any lease for the operation of any hospital
shall require the tenant or lessee to conform to, and abide by,
Section 32128. No lease for the operation of an entire hospital shall
run for a term in excess of 30 years. No lease for the operation of
less than an entire hospital shall run for a term in excess of 10
years.
   (b) Notwithstanding any other provision of law, a sublease, an
assignment of an existing lease, or the release of a tenant or lessee
from obligations under an existing lease in connection with an
assignment of an existing lease shall not be subject to the
requirements of subdivision (p) of Section 32121 so long as all of
the following conditions are met:
   (1) The sublease or assignment of the existing lease otherwise
remains in compliance with subdivision (a).
   (2) The district board determines that the total consideration
that the district shall receive following the assignment or sublease,
or as a result thereof, taking into account all monetary and other
tangible and intangible consideration to be received by the district,
including, without limitation, all benefits to the communities
served by the district, is no less than the total consideration that
the district would have received under the existing lease.
   (3) The existing lease was entered into on or before July 1, 1984,
upon approval of the board of directors following solicitation and
review of no less than five offers from prospective tenants.
   (4) If substantial amendments are made to an existing lease in
connection with the sublease or assignment of that existing lease,
the amendments shall be fully discussed in advance of the district
board's decision to adopt the amendments in at least two properly
noticed open and public meetings in compliance with Section 32106 and
the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of
Part 1 of Division 2 of Title 5 of the Government Code).
   (c) A health care district shall report to the Attorney General
within 30 days of any lease of district assets to one or more
nonprofit corporations, the type of transaction and the entity to
whom the assets were leased.
   SEC. 25.5.    Section 32126 of the   Health
and Safety Code   , as amended by Section 4 of Chapter 194
of the Statutes of 2005, is amended to read: 
   32126.  (a) The board of directors may provide for the operation
and maintenance through tenants of the whole or any part of any
hospital acquired or constructed by it pursuant to this division, and
for that purpose may enter into any lease agreement that it believes
will best serve the interest of the district. A lease entered into
with one or more corporations for the operation of 50 percent or more
of the district's hospital, or that is part of, or contingent upon,
a transfer of 50 percent or more of the district's assets, in sum or
by increment, as described in subdivision (p) of Section 32121, shall
be subject to the requirements of subdivision (p) of Section 32121.
Any lease for the operation of any hospital shall require the tenant
or lessee to conform to, and abide by, Section 32128. No lease for
the operation of an entire hospital shall run for a term in excess of
30 years. No lease for the operation of less than an entire hospital
shall run for a term in excess of 10 years.
   (b) Notwithstanding any other provision of law, a sublease, an
assignment of an existing lease, or the release of a tenant or lessee
from obligations under an existing lease in connection with an
assignment of an existing lease shall not be subject to the
requirements of subdivision (p) of Section 32121 so long as all of
the following conditions are met:
   (1) The sublease or assignment of the existing lease otherwise
remains in compliance with subdivision (a).
   (2) The district board determines that the total consideration
that the district shall receive following the assignment or sublease,
or as a result thereof, taking into account all monetary and other
tangible and intangible consideration to be received by the district
including, without limitation, all benefits to the communities served
by the district, is no less than the total consideration that the
district would have received under the existing lease.
   (3) The existing lease was entered into on or before July 1, 1984,
upon approval of the board of directors following solicitation and
review of no less than five offers from prospective tenants.
   (4) If substantial amendments are made to an existing lease in
connection with the sublease or assignment of that existing lease,
the amendments shall be fully discussed in advance of the district
board's decision to adopt the amendments in at least two properly
noticed open and public meetings in compliance with Section 32106 and
the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of
Part 1 of Division 2 of Title 5 of the Government Code).
   (c) A health care district shall report to the Attorney General,
within 30 days of any lease of district assets to one or more
corporations, the type of transaction and the entity to whom the
assets were leased. 
   (d) This section shall remain in effect only until January 1,
2011, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2011, deletes or extends
that date. 
  SEC. 25.7.  Section 32126 of the Health and Safety Code, as added
by Section 5 of Chapter 194 of the Statutes of 2005, is repealed.
  SEC. 26.  Section 33080.2 of the Health and Safety Code is amended
to read:
   33080.2.  (a) When the agency presents the annual report to the
legislative body pursuant to Section 33080.1, the agency shall inform
the legislative body of any major audit violations of this part
based on the independent financial audit report. The agency shall
inform the legislative body that the failure to correct a major audit
violation of this part may result in the filing of an action by the
Attorney General pursuant to Section 33080.8.
   (b) The legislative body shall review any report submitted
pursuant to Section 33080.1 and take any action it deems appropriate
on that report no later than the first meeting of the legislative
body occurring more than 21 days from the receipt of the report.
  SEC. 26.5.  Section 33445.1 of the Health and Safety Code is
amended to read:
   33445.1.  (a) Notwithstanding Section 33440, an agency may, with
the consent of the legislative body, pay all or a part of the value
of the land for and the cost of the installation and construction of
any building, facility, structure, or other improvement that is
publicly owned and is located outside and not contiguous to the
project area, but is located within the community, if the legislative
body finds, based on substantial evidence in the record, all of the
following:
   (1) The acquisition of the land or the installation or
construction of the buildings, facilities, structures, or other
improvements that are publicly owned are of primary benefit to the
project area.
   (2) The acquisition of the land or the installation or
construction of the buildings, facilities, structures, or other
improvements that are publicly owned benefits the project area by
helping to eliminate blight within the project area, or will directly
assist in the provision of housing for low- or moderate-income
persons.
   (3) No other reasonable means of financing the acquisition of the
land or the installation or construction of the buildings,
facilities, structures, or other improvements that are publicly
owned, are available to the community, including, but not limited to,
general obligation bonds, revenue bonds, special assessment bonds,
or bonds issued pursuant to the Mello-Roos Community Facilities Act
of 1982 (Chapter 2.5 (commencing with Section 53311) of Part 1 of
Division 2 of Title 5 of the Government Code). In determining whether
other means of financing are feasible, the legislative body may take
into account any relevant factors, including, but not limited to:
   (A) Legal factors, such as the eligibility of the improvements for
funding under the governing statutes.
   (B) Economic factors, such as prevailing interest rates and market
conditions.
   (C) Political factors, such as the priority of commitments of
other public funding sources, the ability or willingness of property
owners or taxpayers to bear the cost of any special assessments,
taxes, or other charges, and the likelihood of obtaining voter
approval, if required.
   (4) The payment of funds for the acquisition of land or the cost
of buildings, facilities, structures, or other improvements that are
publicly owned is consistent with the implementation plan adopted
pursuant to Section 33490.
   (5) The acquisition of land and the installation of each building,
facility, structure, or improvement that is publicly owned is
provided for in the redevelopment plan.
   (b) An agency shall not pay for the normal maintenance or
operations of buildings, facilities, structures, or other
improvements that are publicly owned. Normal maintenance or
operations do not include the construction, expansion, addition to,
or reconstruction of, buildings, facilities, structures, or other
improvements that are publicly owned otherwise undertaken pursuant to
this section.
   (c) An action to challenge the findings required by this section
shall be filed and served within 60 days after the date of the
resolution containing the findings.
   (d) The provisions of this section shall not apply and the
provisions of Section 33445 shall apply if the financing,
construction, or installation of the land, buildings, facilities,
structures, or other improvements is an obligation of the agency
under a contract existing on December 31, 2009, specifically
described in the implementation plan prepared by the agency as of
July 1, 2009, pursuant to Section 33490, or specifically provided for
in the redevelopment plan as of December 31, 2009.
  SEC. 27.  Section 33501.9 is added to the Health and Safety Code,
to read:
   33501.9.  Any action brought in the superior court relating to the
adoption or amendment of a redevelopment plan may be subject to a
mediation proceeding conducted pursuant to Chapter 9.3 (commencing
with Section 66030) of Division 1 of Title 7 of the Government Code.
  SEC. 28.  Section 40225 of the Health and Safety Code is amended to
read:
   40225.  No supervisor, mayor, or city councilmember shall hold
office on the bay district board for a period of more than three
months after ceasing to hold the office of supervisor, mayor, or city
councilmember, respectively, and his or her membership on the bay
district board shall thereafter be considered vacant, except that any
mayor who continues to hold office as a city councilmember, or any
city councilmember who continues to hold office as a mayor, shall not
be considered to have ceased to hold office under this section.
  SEC. 29.  Section 40326 of the Health and Safety Code is amended to
read:
   40326.  No supervisor, mayor, or city councilmember shall hold
office on a regional district board for a period of more than three
months after ceasing to hold the office of supervisor, mayor, or city
councilmember, respectively, and his or her membership on the
regional district board shall thereafter be considered vacant, except
that any mayor who continues to hold office as a city councilmember,
or any city councilmember who continues to hold office as a mayor,
shall not be considered to have ceased to hold office under this
section.
  SEC. 29.5.  Section 40751 of the Health and Safety Code is amended
to read:
   40751.  Subject to the direction of the district board, the air
pollution control officer shall appoint district personnel, including
any deputies necessary for the prompt and faithful discharge of the
air pollution control officer's duties.
  SEC. 29.7.  Section 116183 of the Health and Safety Code is amended
to read:
   116183.  (a) The Legislature finds and declares that cooperative
agreements between the State Department of Public Health and local
vector control districts help to ensure that all state and federal
requirements regarding the use of pesticides are met and provide
participating agencies with the flexibility to perform their legally
mandated role to control mosquito and other public health vectors.
   (b) To ensure public health and safety, any state or local agency
responding to an outbreak of West Nile virus or other mosquito-borne
disease with an abatement and surveillance program shall, and any
federal agency so responding is encouraged to, contract with a local
mosquito and vector control agency that is party to a cooperative
agreement with the State Department of Public Health or shall consult
directly with the State Department of Public Health to ensure that
outbreak response is supervised appropriately and conducted by
licensed personnel using sound integrated mosquito management
techniques.
   (c) For the purposes of this section, "outbreak" means the
occurrence of cases of a disease or illness above the expected or
baseline level, usually over a given period of time, in a geographic
area or facility, or in a specific population group. The number of
cases indicating the presence of an outbreak will vary according to
the disease agent, size and type of population exposed, previous
exposure to the agent, and the time and place of exposure.

        (d) This section shall remain in effect only until January 1,
2012, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2012, deletes or extends
that date.
  SEC. 30.  Section 117065 of the Health and Safety Code is amended
to read:
   117065.  The public agency shall cause a copy of the rules and
regulations to be posted upon the area opened to public fishing and
other recreational uses, and it shall cause the rules and regulations
to be published at least once in a newspaper of general circulation
published in the county in which the reservoir is in whole or in part
situated, if there be a newspaper, otherwise in a newspaper of
general circulation published within the area of the public agency.
If a public agency amends its rules and regulations, the public
agency shall similarly publish a summary of its amended rules and
regulations, along with an Internet address and the physical location
where the complete text of the amended rules and regulations may be
viewed. Posting and publication shall be sufficient notice to all
persons. The affidavit of the secretary, clerk, or corresponding
officer of the public agency that the rules and regulations have been
so posted and published is prima facie evidence thereof. A copy of
the rules and regulations, attested by the secretary, clerk, or
corresponding officer of the public agency shall be prima facie
evidence that the regulations have been made by the public agency as
provided by law.
  SEC. 31.  Section 20142 of the Public Contract Code is amended to
read:
   20142.  (a) The board of supervisors may, by ordinance,
resolution, or board order, authorize the county engineer, or other
county officer, to order changes or additions in the work being
performed under construction contracts. When so authorized, any
change or addition in the work shall be ordered in writing by the
county engineer, or other designated officer, and the extra cost to
the county for any change or addition to the work so ordered shall
not exceed five thousand dollars ($5,000) when the total amount of
the original contract does not exceed fifty thousand dollars
($50,000), nor 10 percent of the amount of any original contract that
exceeds fifty thousand dollars ($50,000), but does not exceed two
hundred fifty thousand dollars ($250,000).
   (b) For contracts whose original cost exceeds two hundred fifty
thousand dollars ($250,000), the extra cost for any change or
addition to the work so ordered shall not exceed twenty-five thousand
dollars ($25,000), plus 5 percent of the amount of the original
contract cost in excess of two hundred fifty thousand dollars
($250,000). In no event shall any such change or alteration exceed
two hundred ten thousand dollars ($210,000).
  SEC. 32.  Section 20405 of the Public Contract Code is amended to
read:
   20405.  (a) The board shall afford all bidders an opportunity to
examine the plans, specifications, and working details, and shall
award the contract to the lowest responsible bidder. The board may
provide by resolution that the bids be opened, examined, and declared
by an officer designated in the resolution. The resolution shall
require that the bids be opened at a public meeting called by the
officer and that the results of the bidding be reported to the board
at a subsequent regular board meeting. The notice inviting bids shall
state the time and place of the public meeting and the name of the
designated officer.
   (b) All bids for construction work shall be presented under sealed
cover and shall be accompanied by one of the following forms of
bidder's security:
   (1) Cash.
   (2) A cashier's check made payable to the county.
   (3) A certified check made payable to the county.
   (4) A bidder's bond executed by an admitted surety insurer, made
payable to the county.
   Upon an award to the lowest bidder, the security of an
unsuccessful bidder shall be returned in a reasonable period of time,
but in no event shall that security be held by the county beyond 60
days from the time the award is made.
   (c) The person to whom the contract is awarded shall execute a
bond, approved by the board, for the faithful performance of the
contract. The person shall perform the work in accordance with the
plans, specifications, and working details, unless all or any of them
are modified by a four-fifths vote of the members of the board. In
that case, if the cost of the work is reduced by reason of the
modification, the person to whom the contract is awarded shall make
an allowance on the contract price to the extent of the reduction.
   (d) In any county that has appointed a road commissioner pursuant
to Section 2006 of the Streets and Highways Code, or in any county
that has abolished the office of road commissioner and complied with
Section 2006.1 of the Streets and Highways Code, the board may
authorize the road commissioner, or a registered civil engineer under
the direction of the county director of transportation, to execute
changes or additions to the work for any contract made pursuant to
this article in an amount not to exceed:
   (1) For contracts whose original cost is less than fifty thousand
dollars ($50,000), the amount of the change or addition shall not
exceed five thousand dollars ($5,000).
   (2) For contracts whose original cost is fifty thousand dollars
($50,000), but less than two hundred fifty thousand dollars
($250,000), the amount of the change or addition shall not exceed 10
percent of the amount of the cost of the original contract.
   (3) For contracts whose original cost is two hundred fifty
thousand dollars ($250,000) or more, the amount of the change or
addition shall not exceed twenty-five thousand dollars ($25,000),
plus 5 percent of the amount of the cost of the original contract
that is in excess of two hundred fifty thousand dollars ($250,000).
In no event shall any change or addition exceed two hundred ten
thousand dollars ($210,000).
  SEC. 33.  Section 20614 is added to the Public Contract Code, to
read:
   20614.  The board of supervisors and the board of directors of the
district, if any, may, by ordinance, resolution, or board order,
authorize the general manager or other district officer to order
changes or additions in the work being performed under contracts made
pursuant to this article in an amount not to exceed:
   (a) For contracts whose original cost is less than fifty thousand
dollars ($50,000), the amount of the change or addition shall not
exceed five thousand dollars ($5,000).
   (b) For contracts whose original cost is fifty thousand dollars
($50,000), but less than two hundred fifty thousand dollars
($250,000), the amount of the change or addition shall not exceed 10
percent of the amount of the cost of the original contract.
   (c) For contracts whose original cost is two hundred fifty
thousand dollars ($250,000) or more, the amount of the change or
addition shall not exceed twenty-five thousand dollars ($25,000),
plus 5 percent of the amount of the cost of the original contract
that is in excess of two hundred fifty thousand dollars ($250,000).
In no event shall any change or addition exceed two hundred ten
thousand dollars ($210,000).
  SEC. 34.  Section 20688.6 of the Public Contract Code is amended to
read:
   20688.6.  (a) (1) Notwithstanding any other law, an agency, with
approval of its duly constituted board in a public hearing, may
utilize an alternative procedure for bidding on projects in the
community in excess of one million dollars ($1,000,000) and may award
the project using either the lowest responsible bidder or by best
value.
   (2) Only 10 design-build projects shall be authorized under this
section.
   (b) (1) It is the intent of the Legislature to enable entities as
provided in Part 1 (commencing with Section 33000) of Division 24 of
the Health and Safety Code to utilize design-build for those
infrastructure improvements authorized in Sections 33421, 33445, and
33445.1 of the Health and Safety Code and subject to the limitations
on that authority described in Section 33421.1 of the Health and
Safety Code.
   (2) The Legislature also finds and declares that utilizing a
design-build contract requires a clear understanding of the roles and
responsibilities of each participant in the design-build process.
   (3) (A) For contracts awarded prior to the effective date of
either the regulations adopted by the Department of Industrial
Relations pursuant to subdivision (b) of Section 1771.55 of the Labor
Code or the fees established by the department pursuant to
subparagraph (B), if the board elects to proceed under this section,
the board shall establish and enforce for design-build projects a
labor compliance program containing the requirements outlined in
Section 1771.5 of the Labor Code, or it shall contract with a third
party to operate a labor compliance program containing the
requirements outlined in Section 1771.5 of the Labor Code. This
requirement shall not apply to any project where the agency or the
design-build entity has entered into any collective bargaining
agreement or agreements that bind all of the contractors performing
work on the projects.
   (B) For contracts awarded on or after the effective date of both
the regulations adopted by the Department of Industrial Relations
pursuant to subdivision (b) of Section 1771.55 of the Labor Code and
the fees established by the department pursuant to this subparagraph,
if the board elects to proceed under this section it shall pay a fee
to the department, in an amount that the department shall establish,
and as it may from time to time amend, sufficient to support the
department's costs in ensuring compliance with and enforcing
prevailing wage requirements on the project, and labor compliance
enforcement as set forth in subdivision (b) of Section 1771.55 of the
Labor Code. All fees collected pursuant to this subdivision shall be
deposited in the State Public Works Enforcement Fund, created by
Section 1771.3 of the Labor Code, and shall be used only for
enforcement of prevailing wage requirements on those projects.
   (C) The Department of Industrial Relations may waive the fee set
forth in subdivision (b) for a board that has previously been granted
approval by the director to initiate and operate a labor compliance
program on its projects, and that requests to continue to operate the
labor compliance program on its projects in lieu of labor compliance
by the department pursuant to subdivision (b) of Section 1771.55.
This fee shall not be waived for a board that contracts with a third
party to initiate and enforce labor compliance programs on the board'
s projects.
   (c) As used in this section:
   (1) "Best value" means a value determined by objective criteria
related to price, features, functions, and life-cycle costs.
   (2) "Design-build" means a procurement process in which both the
design and construction of a project are procured from a single
entity.
   (3) "Design-build entity" means a partnership, corporation, or
other legal entity that is able to provide appropriately licensed
contracting, architectural, and engineering services as needed
pursuant to a design-build contract.
   (4) "Project" means those infrastructure improvements authorized
in Sections 33421, 33445, and 33445.1 of the Health and Safety Code
and subject to the limitations and conditions on that authority
described in Article 10 (commencing with Section 33420) and Article
11 (commencing with Section 33430) of Chapter 4 of Part 1 of Division
24 of the Health and Safety Code.
   (d) Design-build projects shall progress in a four-step process,
as follows:
   (1) (A) The agency shall prepare a set of documents setting forth
the scope of the project. The documents may include, but are not
limited to, the size, type, and desired design character of the
public improvement, performance specifications covering the quality
of materials, equipment, and workmanship, preliminary plans or
building layouts, or any other information deemed necessary to
describe adequately the agency's needs. The performance
specifications and any plans shall be prepared by a design
professional who is duly licensed and registered in California.
   (B) Any architect or engineer retained by the agency to assist in
the development of the project specific documents shall not be
eligible to participate in the preparation of a bid with any
design-build entity for that project.
   (2) (A) Based on the documents prepared as described in paragraph
(1), the agency shall prepare a request for proposals that invites
interested parties to submit competitive sealed proposals in the
manner prescribed by the agency. The request for proposals shall
include, but is not limited to, the following elements:
   (i) Identification of the basic scope and needs of the project or
contract, the expected cost range, and other information deemed
necessary by the agency to inform interested parties of the
contracting opportunity, to include the methodology that will be used
by the agency to evaluate proposals and specifically if the contract
will be awarded to the lowest responsible bidder.
   (ii) Significant factors that the agency reasonably expects to
consider in evaluating proposals, including cost or price and all
nonprice-related factors.
   (iii) The relative importance of the weight assigned to each of
the factors identified in the request for proposals.
   (B) With respect to clause (iii) of subparagraph (A), if a
nonweighted system is used, the agency shall specifically disclose
whether all evaluation factors other than cost or price when combined
are:
   (i) Significantly more important than cost or price.
   (ii) Approximately equal in importance to cost or price.
   (iii) Significantly less important than cost or price.
   (C) If the agency chooses to reserve the right to hold discussions
or negotiations with responsive bidders, it shall so specify in the
request for proposal and shall publish separately or incorporate into
the request for proposal applicable rules and procedures to be
observed by the agency to ensure that any discussions or negotiations
are conducted in good faith.
   (3) (A) The agency shall establish a procedure to prequalify
design-build entities using a standard questionnaire developed by the
agency. In preparing the questionnaire, the agency shall consult
with the construction industry, including representatives of the
building trades and surety industry. This questionnaire shall require
information including, but not limited to, all of the following:
   (i) If the design-build entity is a partnership, limited
partnership, or other association, a listing of all of the partners,
general partners, or association members known at the time of bid
submission who will participate in the design-build contract,
including, but not limited to, mechanical subcontractors.
   (ii) Evidence that the members of the design-build entity have
completed, or demonstrated the experience, competency, capability,
and capacity to complete, projects of similar size, scope, or
complexity, and that proposed key personnel have sufficient
experience and training to competently manage and complete the design
and construction of the project, as well as a financial statement
that assures the agency that the design-build entity has the capacity
to complete the project.
   (iii) The licenses, registration, and credentials required to
design and construct the project, including information on the
revocation or suspension of any license, credential, or registration.

   (iv) Evidence that establishes that the design-build entity has
the capacity to obtain all required payment and performance bonding,
liability insurance, and errors and omissions insurance.
   (v) Any prior serious or willful violation of the California
Occupational Safety and Health Act of 1973, contained in Part 1
(commencing with Section 6300) of Division 5 of the Labor Code, or
the federal Occupational Safety and Health Act of 1970 (P.L. 91-596),
settled against any member of the design-build entity, and
information concerning workers' compensation experience history and
worker safety program.
   (vi) Information concerning any debarment, disqualification, or
removal from a federal, state, or local government public works
project. Any instance in which an entity, its owners, officers, or
managing employees submitted a bid on a public works project and were
found to be nonresponsive, or were found by an awarding body not to
be a responsible bidder.
   (vii) Any instance in which the entity, or its owners, officers,
or managing employees, defaulted on a construction contract.
   (viii) Any violations of the Contractors' State License Law
(Chapter 9 (commencing with Section 7000) of Division 3 of the
Business and Professions Code), including alleged violations of
federal or state law including the payment of wages, benefits,
apprenticeship requirements, or personal income tax withholding, or
of Federal Insurance Contributions Act (FICA) withholding
requirements settled against any member of the design-build entity.
   (ix) Information concerning the bankruptcy or receivership of any
member of the design-build entity, including information concerning
any work completed by a surety.
   (x) Information concerning all settled adverse claims, disputes,
or lawsuits between the owner of a public works project and any
member of the design-build entity during the five years preceding
submission of a bid pursuant to this section, in which the claim,
settlement, or judgment exceeds fifty thousand dollars ($50,000).
Information shall also be provided concerning any work completed by a
surety during this period.
   (xi) In the case of a partnership, joint venture, or an
association that is not a legal entity, a copy of the agreement
creating the partnership or association and specifying that all
general partners, joint venturers, or association members agree to be
fully liable for the performance under the design-build contract.
   (B) The information required pursuant to this subdivision shall be
verified under oath by the entity and its members in the manner in
which civil pleadings in civil actions are verified. Information that
is not a public record pursuant to the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1
of the Government Code) shall not be open to public inspection.
   (4) The agency shall establish a procedure for final selection of
the design-build entity. Selection shall be based on either of the
following criteria:
   (A) A competitive bidding process resulting in lump-sum bids by
the prequalified design-build entities. Awards shall be made to the
lowest responsible bidder.
   (B) An agency may use a design-build competition based upon best
value and other criteria set forth in paragraph (2). The design-build
competition shall include the following elements:
   (i) Competitive proposals shall be evaluated by using only the
criteria and selection procedures specifically identified in the
request for proposal. However, the following minimum factors shall
each represent at least 10 percent of the total weight of
consideration given to all criteria factors: price, technical design
and construction expertise, life-cycle costs over 15 years or more,
skilled labor force availability, and acceptable safety record.
   (ii) Once the evaluation is complete, the top three responsive
bidders shall be ranked sequentially from the most advantageous to
the least.
   (iii) The award of the contract shall be made to the responsible
bidder whose proposal is determined, in writing, to be the most
advantageous.
   (iv) Notwithstanding any provision of this code, upon issuance of
a contract award, the agency shall publicly announce its award,
identifying the contractor to whom the award is made, along with a
written decision supporting its contract award and stating the basis
of the award. The notice of award shall also include the agency's
second- and third-ranked design-build entities.
   (v) For purposes of this paragraph, skilled labor force
availability shall be determined by the existence of an agreement
with a registered apprenticeship program, approved by the California
Apprenticeship Council, which has graduated apprentices in each of
the preceding five years. This graduation requirement shall not apply
to programs providing apprenticeship training for any craft that has
been deemed by the Department of Labor and the Department of
Industrial Relations to be an apprenticeable craft in the five years
prior to enactment of this act.
   (vi) For purposes of this paragraph, a bidder's safety record
shall be deemed acceptable if its experience modification rate for
the most recent three-year period is an average of 1.00 or less, and
its average total recordable injury/illness rate and average lost
work rate for the most recent three-year period does not exceed the
applicable statistical standards for its business category or if the
bidder is a party to an alternative dispute resolution system as
provided for in Section 3201.5 of the Labor Code.
   (e) (1) Any design-build entity that is selected to design and
build a project pursuant to this section shall possess or obtain
sufficient bonding to cover the contract amount for nondesign
services, and errors and omission insurance coverage sufficient to
cover all design and architectural services provided in the contract.
This section does not prohibit a general or engineering contractor
from being designated the lead entity on a design-build entity for
the purposes of purchasing necessary bonding to cover the activities
of the design-build entity.
   (2) Any payment or performance bond written for the purposes of
this section shall be written using a bond form developed by the
agency.
   (f) All subcontractors that were not listed by the design-build
entity in accordance with clause (i) of subparagraph (A) of paragraph
(3) of subdivision (d) shall be awarded by the design-build entity
in accordance with the design-build process set forth by the agency
in the design-build package. All subcontractors bidding on contracts
pursuant to this section shall be afforded the protections contained
in Chapter 4 (commencing with Section 4100) of Part 1. The
design-build entity shall do both of the following:
   (1) Provide public notice of the availability of work to be
subcontracted in accordance with the publication requirements
applicable to the competitive bidding process of the agency.
   (2) Provide a fixed date and time on which the subcontracted work
will be awarded in accordance with the procedure established pursuant
to this section.
   (g) The minimum performance criteria and design standards
established pursuant to paragraph (1) of subdivision (d) shall be
adhered to by the design-build entity. Any deviations from those
standards may only be allowed by written consent of the agency.
   (h) The agency may retain the services of a design professional or
construction project manager, or both, throughout the course of the
project in order to ensure compliance with this section.
   (i) Contracts awarded pursuant to this section shall be valid
until the project is completed.
   (j) Nothing in this section is intended to affect, expand, alter,
or limit any rights or remedies otherwise available at law.
   (k) (1) If the agency elects to award a project pursuant to this
section, retention proceeds withheld by the agency from the
design-build entity shall not exceed 5 percent if a performance and
payment bond, issued by an admitted surety insurer, is required in
the solicitation of bids.
   (2) In a contract between the design-build entity and the
subcontractor, and in a contract between a subcontractor and any
subcontractor thereunder, the percentage of the retention proceeds
withheld shall not exceed the percentage specified in the contract
between the agency and the design-build entity. If the design-build
entity provides written notice to any subcontractor who is not a
member of the design-build entity, prior to or at the time the bid is
requested, that a bond may be required and the subcontractor
subsequently is unable or refuses to furnish a bond to the
design-build entity, then the design-build entity may withhold
retention proceeds in excess of the percentage specified in the
contract between the agency and the design-build entity from any
payment made by the design-build entity to the subcontractor.
   (l) Each agency that elects to proceed under this section and uses
the design-build method on a public works project shall submit to
the Legislative Analyst's Office before December 1, 2014, a report
containing a description of each public works project procured
through the design-build process after January 1, 2010, and before
November 1, 2014. The report shall include, but shall not be limited
to, all of the following information:
   (1) The type of project.
   (2) The gross square footage of the project.
   (3) The design-build entity that was awarded the project.
   (4) Where appropriate, the estimated and actual length of time to
complete the project.
   (5) The estimated and actual project costs.
   (6) A description of any written protests concerning any aspect of
the solicitation, bid, proposal, or award of the design-build
project, including the resolution of the protests.
   (7) An assessment of the prequalification process and criteria.
   (8) An assessment of the effect of retaining 5-percent retention
on the project.
   (9) A description of the labor force compliance program and an
assessment of the project impact, where required.
   (10) A description of the method used to award the contract. If
best value was the method, the report shall describe the factors used
to evaluate the bid, including the weighting of each factor and an
assessment of the effectiveness of the methodology.
   (11) An assessment of the project impact of skilled labor force
availability.
   (12) An assessment of the design-build dollar limits on agency
projects. This assessment shall include projects where the agency
wanted to use design-build and was precluded by the dollar
limitation. This assessment shall also include projects where the
best value method was not used due to dollar limitations.
   (13) An assessment of the most appropriate uses for the
design-build approach.
   (m) (1) In order to comply with paragraph (2) of subdivision (a),
the State Public Works Board is required to maintain the list of
agencies that have applied and are eligible to be qualified for this
authority.
   (2) Each agency that is interested in proceeding under the
authority in this section must apply to the State Public Works Board.
The application to proceed shall be in writing and contain such
information that the State
   Public Works Board may require.
   (3) The State Public Works Board shall approve or deny an
application, in writing, within 90 days of the submission of a
complete application. The authority to deny an application shall only
be exercised if the condition set forth in paragraph (2) of
subdivision (a) has been satisfied.
   (4) An agency that has applied for this authorization shall, after
it determines it no longer is interested in using this authority,
notify the State Public Works Board in writing within 30 days of its
determination. Upon notification, the State Public Works Board may
contact any previous applicants, denied pursuant to paragraph (2) of
subdivision (a), to inform them of the availability to proceed under
this section.
   (5) The State Public Works Board may authorize no more than 10
projects. The board shall not authorize or approve more than two
projects for any one eligible redevelopment agency that submits a
completed application.
   (6) The State Public Works Board shall notify the Legislative
Analyst's Office when 10 projects have been approved.
   (n) On or before January 1, 2015, the Legislative Analyst shall
report to the Legislature on the use of the design-build method by
agencies pursuant to this section, including the information listed
in subdivision (l). The report may include recommendations for
modifying or extending this section.
   (o) Except as provided in this section, nothing in this act shall
be construed to affect the application of any other law.
   (p) This section shall remain in effect only until January 1,
2016, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2016, deletes or extends
that date.
  SEC. 35.  Section 20998 is added to the Public Contract Code, to
read:
   20998.  The board of supervisors of the district may, by
ordinance, resolution, or board order, authorize the chief engineer
or other district officer to order changes or additions in the work
being performed under contracts made pursuant to this article in an
amount not to exceed:
   (a) For contracts whose original cost is less than fifty thousand
dollars ($50,000), the amount of the change or addition shall not
exceed five thousand dollars ($5,000).
   (b) For contracts whose original cost is fifty thousand dollars
($50,000), but less than two hundred fifty thousand dollars
($250,000), the amount of the change or addition shall not exceed 10
percent of the amount of the cost of the original contract.
   (c) For contracts whose original cost is two hundred fifty
thousand dollars ($250,000) or more, the amount of the change or
addition shall not exceed twenty-five thousand dollars ($25,000),
plus 5 percent of the amount of the cost of the original contract
that is in excess of two hundred fifty thousand dollars ($250,000).
In no event shall any change or addition exceed two hundred ten
thousand dollars ($210,000).
  SEC. 36.  Section 21167.9 is added to the Public Resources Code, to
read:
   21167.9.  Any action brought in the superior court relating to
this division may be subject to a mediation proceeding conducted
pursuant to Chapter 9.3 (commencing with Section 66030) of Division 1
of Title 7 of the Government Code.
  SEC. 37.  Section 21670.6 is added to the Public Utilities Code, to
read:
   21670.6.  Any action brought in the superior court relating to
this article may be subject to a mediation proceeding conducted
pursuant to Chapter 9.3 (commencing with Section 66030) of Division 1
of Title 7 of the Government Code.
  SEC. 37.5.  Section 99.02 of the Revenue and Taxation Code is
amended to read:
   99.02.  (a) For the purposes of the computations required by this
chapter for the 1985-86 fiscal year and fiscal years thereafter, in
the case of any transfer of property tax revenues between local
agencies that is adopted and approved in conformity with subdivisions
(b) and (c), the auditor shall adjust the allocation of property tax
revenue determined pursuant to Section 96.1 or its predecessor
section, or the annual tax increment determined pursuant to Section
96.5 or its predecessor section, for those local agencies whose
allocation would be altered by the transfer.
   (b) Commencing with the 1985-86 fiscal year, any local agency may,
by the adoption of a resolution of its governing body or governing
board, determine to transfer any portion of its property tax revenues
which is allocable to one or more tax rate areas within the local
agency to one or more other local agencies having the same tax rate
area or tax rate areas. Upon the local agency's adoption of the
resolution, the local agency shall notify the board of supervisors of
the county or the city council of the city within which the transfer
of property tax revenues is proposed.
   (c) If the board of supervisors or the city council concurs with
the proposed transfer of property tax revenue, the board or council
shall, by resolution, notify the county auditor of the approved
transfer.
   (d) Upon receipt of notification from the board of supervisors or
the city council, the county auditor shall make the necessary
adjustments specified in subdivision (a).
   (e) Prior to the adoption or approval by any local agency of a
transfer of property tax revenues pursuant to this section, each
local agency that will be affected by the proposed transfer shall
hold a public hearing to consider the effect of the proposed transfer
on fees, charges, assessments, taxes, or other revenues. Notice of
the hearing shall be published pursuant to Section 6061 of the
Government Code in one or more newspapers of general circulation
within each affected local agency.
   (f) No local agency shall transfer property tax revenue pursuant
to this section unless each of the following conditions exists:
   (1) The transferring agency determines that revenues are available
for this purpose.
   (2) The transfer will not result in any increase in the ratio
between the amount of revenues of the transferring agency that are
generated by regulatory licenses, use charges, user fees, or
assessments and the amount of revenues of the transferring agency
used to finance services provided by the transferring agency.
   (3) The transfer will not impair the ability of the transferring
agency to provide existing services.
   (4) The transfer will not result in a reduction of property tax
revenues to school entities.
  SEC. 38.  Section 35424 of the Water Code is amended to read:
   35424.  After equitable rules and regulations for the distribution
of water have been published once a week for two weeks in a
newspaper of general circulation published in each affected county,
any violation thereof is a misdemeanor and the violator shall, upon
conviction thereof, be subject to a fine of not less than fifty
dollars ($50) nor more than two hundred dollars ($200). When
equitable rules and regulations for the distribution of water are
amended, the district may publish a summary of the amendments to the
rules and regulations with an Internet address and a physical
location where the complete text of the amended rules and regulations
may be viewed.
  SEC. 39.  Section 50655 of the Water Code is amended to read:
   50655.  The board may adopt and alter a seal.
  SEC. 40.  Section 50656 of the Water Code is amended to read:
   50656.  All documents requiring approval by the board shall bear
the signature of either a trustee or the secretary.
  SEC. 41.  Section 3.2 of the North Delta Water Agency Act (Chapter
283 of the Statutes of 1973) is amended to read:
  SEC. 3.2.  The board shall consist of five members, one from each
of the five divisions in the agency, and each of whom shall be an
owner of real property, or the legal representative of real property,
within the respective division he or she represents. The board
members shall be elected by divisions, elected only by the voters of
that division, and not at large.