BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                    AB 94|
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                                 THIRD READING


          Bill No:  AB 94
          Author:   Assembly Budget Committee 
          Amended:  4/11/11
          Vote:     27 - Urgency

           
          WITHOUT REFERENCE TO FILE

           PRIOR SENATE VOTES NOT RELEVANT
           
           SENATE BUDGET & FISCAL REVIEW COMMITTEE  :  Not available

           ASSEMBLY FLOOR  :  Not relevant


           SUBJECT  :    Criminal Justice Realignment:  AB 900 Bond 
          Funding for 
                      Jail Construction

           SOURCE  :     Author


           DIGEST  :    This bill makes technical changes to AB 111 
          (Assembly Budget Committee, Chapter 16, Statutes of 2011, 
          pertaining to public safety realignment.  These changes are 
          intended to make it easier for locals to access and utilize 
          jail construction funding authorized by AB 900 (Solorio), 
          Chapter 7, Statutes of 2007, which established a two-phase 
          construction plan for local jail facilities supported by 
          $1.22 billion in bond authority.  Adding jail capacity will 
          help mitigate the impact of increased public safety 
          responsibilities at the local level.  Specifically, this 
          bill (1) allows participating counties that received phase 
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          I conditional awards to relinquish the awards and reapply, 
          provided that no state moneys have been encumbered; (2) 
          adds a funding preference to counties that relinquish their 
          conditional awards, provided that those counties continue 
          to assist the state in siting reentry facilities; (3) 
          reduces county contribution of project costs from 25 
          percent to 10 percent; and (4) specifies that participating 
          counties shall not receive awards greater than $100 
          million.

          ANALYSIS  :    AB 900 (Solorio), Chapter 7, Statutes of 2007, 
          authorized $1.2 billion in state lease revenue bond funding 
          for the construction of local jail facilities.  The 
          original legislation split the funding into two phases.  
          The first phase of funding was allocated as conditional 
          awards in November 2009 and approximately $620 million was 
          awarded to the following counties:


           San Bernardino
           San Joaquin
           Kern
           Santa Barbara
           San Diego
           San Luis Obispo
           Solano
           Madera
           Calaveras
           Amador
           San Benito

          Phase I originally included $750 million, but since only 
            $620 million was awarded, the remaining funds were 
            shifted to phase II in AB 111 (Budget).  AB 111 also 
            removed requirements that 4,000 local jail beds and 2,000 
            reentry beds be constructed prior to making the phase II 
            jail funds available.  AB 111 also changed the 
            preferences for counties seeking jail construction 
            funding to the counties that have the largest percentage 
            of inmates in state prison in 2010.  Previously 
            preference had been given to counties that helped to site 
            reentry facilities, establish mental health day treatment 
            and crisis care, and establish continuum of care programs 
            for parolees.







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          Existing law authorizes the Department of Corrections and 
            Rehabilitation (CDCR), participating counties, and the 
            State Public Works Board (SPWB) to acquire, design, and 
            construct local jail facilities approved by the 
            Corrections Standards Authority (CSA).  Existing law 
            authorizes the SPWB to issue revenue bonds, notes, or 
            bond anticipation notes in specified amounts to finance 
            the acquisition, design, or construction, and a 
            reasonable construction reserve, of approved local jail 
            facilities, as specified.  Existing law requires a 
            minimum of 25% in county matching funds for projects 
            funded under these provisions and requires the CDCR and 
            CSA to give funding preference t counties that assist the 
            state in siting reentry facilities, as specified.  AB 111 
            of the 2011-12 Regular Session, if it becomes operative, 
            instead requires that the CDCR and the CSA give funding 
            preference to counties that committed the largest 
            percentage of inmates to state custody in relation to the 
            total inmate population of CDCR in 2010.  

          This bill, if AB 111 of the 2011-12 Regular Session becomes 
            operative, authorizes counties that have received a 
            conditional award under one specified jail facilities 
            financing program to relinquish that award and reapply 
            for a conditional award under a separate financing 
            program, as specified.  This bill lowers to 10 percent 
            the required county contribution and additionally 
            requires the CDCR and CSA to give funding preference to 
            those counties that relinquish those specified local jail 
            construction conditional awards and agree to continue to 
            assist the state in siting reentry facilities, as 
            specified.  This bill caps at $100,000,000 the amount a  
            county may receive in proceeds from SPWB's issuance of 
            bonds, notes, or bond anticipation notes under those 
            specified provisions.

          This bill appropriates $1,000 from the General Fund to the 
            CDCR for purposes of state operations to be used by the 
            CSA in the 2011-12 fiscal year.

          This bill declares that it is to take effect immediately as 
            an urgency statute and a bill providing for 
            appropriations related to the Budget Bill.







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           Comments

           This bill, along with AB 111 that was passed earlier this 
            year, is intended to provide counties greater access to 
            state bond funding for the construction of local jail 
            facilities.  These facilities will help counties deal 
            with the inmates being transitioned from state prison to 
            local jurisdictions by AB 109 public safety realignment.  
              

           Prior Legislation

           AB 111 (Assembly Budget Committee), Chapter 16, Statutes of 
            2011, passed the Senate (25-14) on March 17, 2011.

          AB 109 (Assembly Budget Committee), Chapter 15, Statutes of 
            2011, passed the Senate (24-16) on March 17, 2011.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
            Local:  No

          This bill does not have a direct fiscal effect.  However, 
            lowering the county contribution for project costs may 
            result in state bond funds being available for fewer 
            projects than was the case with the higher county match.  
            This may result in added fiscal pressure in future years 
            if it is determined that additional local jail facilities 
            are needed.  


          RJG:mw  4/11/11   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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