BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 208
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          Date of Hearing:   April 13, 2011

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                    AB 208 (Fuentes) - As Amended:  April 7, 2011 

          Policy Committee:                              Housing and 
          Community Development                         Vote: 7-0
                        Local Government                      9-0

          Urgency:     Yes                  State Mandated Local Program: 
          Yes    Reimbursable:              No

           SUMMARY
           
          This bill: 

          1)Extends by 24 months the expiration date of any tentative map, 
            vesting tentative map or parcel map for which a tentative map 
            or tentative vesting map has been approved that has not 
            expired when the bill becomes effective and that will expire 
            before January 1, 2014.  Also extends the expiration date by 
            24 months for any legislative, administrative or other 
            approval by a state agency relating to a development project 
            included in a map that is extended.

          2)Provides that the determination on whether or not a 
            subdivision map expires before January 1, 2014,  shall take 
            into account previous discretionary extensions, but not 
            include extensions because of litigation stays and development 
            moratoria.

          3)Reduces from five years to three years the time during which 
            add additional requirements cannot be added on a building 
            permit after a final map is recorded for maps extended 
            pursuant to this measure.

          4)Specifies that an extension pursuant to this measure does not 
            prohibit levying a fee or imposing a condition that requires 
            the payment of a fee upon the issuance of a building permit, 
            including fees related to the Mitigation Fee Act. 

           FISCAL EFFECT  









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          No state costs.  Local costs for extending expiration dates, if 
          any, would not be reimbursable because local agencies have 
          authority to levy fees and charges to cover their costs.

           COMMENTS  

           1)Background  .  The California Subdivision Map Act establishes a 
            statewide regulatory framework for controlling the subdividing 
            of land.  As a first step toward development of the land, the 
            developer is required to receive approval by the city or 
            county of a tentative map. The tentative map generally expires 
            after a specified period of time.

            In the early 1990s, many projects for which maps had been 
            approved were postponed due to the housing collapse and 
            generally weak economic conditions.  As a result, many maps 
            were set to expire.  In order to avoid the time and expense 
            associated with a new application process, the Legislature 
            enacted SB 428 (Thompson), Chapter 407/1993.  The measure 
            provided a 24-month extension to all maps that had not expired 
            as of the bill's effective date.

            The latest downturn in the housing market has again led to 
            calls for relief.  The Legislature passed SB 1185 (Lowenthal), 
            Chapter 1284/2008, which granted a one-time 12-month extension 
            for tentative and parcel maps that had not expired as of the 
            enacting legislation's chaptering date of July 15, 2008.  In 
            addition, SB 1185 let local officials grant an additional 
            year, at their discretion.  In 2009 the Legislature passed AB 
            333 (Fuentes), Chapter 18, Statutes of 2009, to allow for an 
            additional two-year extension on maps that had not expired 
            before July 15, 2009.

            Two years later, the housing industry remains depressed and 
            real estate developers face the prospect of their tentative 
            and parcel maps expiring before they can build. 

           2)Rationale  .  The purpose of this bill is to provide an 
            additional extension in recognition of depressed markets and 
            financing challenges facing developers at this time.  
            According to the bill's sponsor, the California Building 
            Industry Association (CBIA), there are an estimated 2,500 
            tentative tract maps representing approximately 325,750 
            housing units that would be affected by the provisions of AB 
            208.  The bill spares developers affected by the recession the 








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            added time and expense of obtaining new maps when the economic 
            picture brightens.


           Analysis Prepared by  :    Roger Dunstan / APPR. / (916) 319-2081