BILL ANALYSIS                                                                                                                                                                                                    Ó


          |SENATE RULES COMMITTEE            |                   AB 806|
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                                 THIRD READING

          Bill No:  AB 806
          Author:   Torres (D)
          Amended:  1/4/12 in Senate
          Vote:     21

           SENATE TRANSPORTATION & HOUSING COMM.  :  9-0, 1/10/12
          AYES:  DeSaulnier, Gaines, Harman, Huff, Kehoe, Lowenthal, 
            Pavley, Rubio, Simitian

           SENATE JUDICIARY COMMITTEE  :  5-0, 6/19/12
          AYES:  Evans, Harman, Blakeslee, Corbett, Leno
          ASSEMBLY FLOOR  :  73-0, 5/2/11 (Consent) - See last page for 

           SUBJECT  :    Common interest developments

           SOURCE  :     California Law Revision Commission 

           DIGEST  :    This bill makes technical and conforming 
          corrections of cross-references to the Davis-Stirling 
          Common Interest Development Act, which is proposed to be 
          revised and recast by AB 805 (Torres, 2012).

           ANALYSIS  :    Existing law, the Davis-Stirling Common 
          Interest Development Act, establishes the rules and 
          regulations governing the operation of a common interest 
          development (CID) and the respective rights and duties of a 
          homeowners association and its members.  (Civil Code 
          Section 1350 et seq.)


                                                                AB 806

          This bill, operative January 1, 2014, makes technical and 
          conforming changes to reflect the reorganization and 
          recodification of the Davis-Stirling Common Interest 
          Development Act proposed by AB 805.


          In California, CIDs are governed by the Davis-Stirling 
          Common Interest Development Act (Davis-Stirling Act).  
          Owners of separate property in CIDs have an undivided 
          interest in the common property of the development and are 
          subject to the CIDs covenants, conditions and restrictions. 
           CIDs are also governed by a homeowners association, which 
          is run by volunteer directors that may or may not have 
          prior experience managing an association.  

          In response to concerns that the Davis-Stirling Act is not 
          well organized or easy to use, the California Law Revision 
          Commission (CLRC) recommended that the existing 
          Davis-Stirling Act be repealed and replaced with a revised 
          version that would continue the substance of existing law 
          in a more logical and user-friendly form.  CLRC's original 
          recommendation for recodification was introduced in 2008, 
          but was held in the Senate Transportation and Housing 
          Committee.  The CLRC revisited the issue and formulated a 
          subsequent recommendation, which was introduced in this 
          bill and AB 805 (Torres, 2012).  While AB 805 revises and 
          recasts the Davis-Stirling Act and makes noncontroversial 
          substantive changes to its text, this bill makes the 
          technical and conforming changes to other statutes 
          necessary to correct cross-references that are affected by 
          the proposed reorganization.

           Contingent language  .  This bill becomes operative on 
          January 1, 2014, only if AB 805 becomes operative on or 
          before that date.  That contingent enactment language 
          ensures that the proposed changes to cross-references in 
          other statutes will not go into effect unless the companion 
          bill, AB 805, also goes into effect.

          Furthermore, this bill includes a subordination clause to 
          ensure that any other bill chaptered this year that does 
          not also have a subordination clause is not chaptered out 


                                                                AB 806

          by the technical changes proposed by this bill.

           Related legislation  .  AB 805 (Torres) is on the Senate 
          Third Reading File.

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

           SUPPORT  :   (Verified  6/21/12)

          California Law Revision Commission (source)
          Executive Council of Homeowners 

           ARGUMENTS IN SUPPORT  :    According to the author, "AB 806 
          (Torres) is a companion bill to AB 805. AB 806 makes the 
          technical and conforming changes ? needed so that all 
          cross-references to the Davis-Stirling Common Interest 
          Development Act Ý(Davis-Stirling Act)] are consistent with 
          the comprehensive reorganization and recodification of that 
          Act, as proposed by AB 805.  AB 806 is contingent upon the 
          enactment of AB 805."

           ASSEMBLY FLOOR  :  73-0, 5/02/11
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, 
            Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Campos, Carter, Cedillo, 
            Chesbro, Conway, Cook, Davis, Dickinson, Donnelly, Eng, 
            Feuer, Fletcher, Fong, Furutani, Garrick, Gatto, Gordon, 
            Grove, Hagman, Halderman, Hall, Harkey, Hayashi, Hill, 
            Huber, Hueso, Huffman, Jeffries, Jones, Knight, Lara, 
            Logue, Bonnie Lowenthal, Ma, Mansoor, Miller, Mitchell, 
            Monning, Morrell, Nestande, Nielsen, Norby, Olsen, Pan, 
            Perea, V. Manuel Pérez, Portantino, Silva, Skinner, 
            Smyth, Solorio, Swanson, Torres, Valadao, Wagner, 
            Wieckowski, Williams, Yamada, John A. Pérez
          NO VOTE RECORDED:  Charles Calderon, Fuentes, Galgiani, 
            Gorell, Roger Hernández, Mendoza, Vacancy

          RJG:m  6/21/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE


                                                                AB 806

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