BILL NUMBER: AB 2069 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Solorio
FEBRUARY 23, 2012
An act to amend Sections 5473.8, 5473.11, and 5474.6 of the Health
and Safety Code, and to amend Section 37212 of the Water Code,
relating to property-related service charges.
LEGISLATIVE COUNSEL'S DIGEST
AB 2069, as introduced, Solorio. Sanitation, sewerage, and water
charges: collection.
Existing law authorizes various local public entities to prescribe
fees or other charges for services and facilities furnished by them
in connection with their water, sanitation, storm drainage, or
sewerage system, as well as for the privilege of connecting to these
sanitation or sewerage facilities. These charges, under specified
circumstances, may be collected on the tax roll in the same manner as
property taxes and the amount of the charges constitutes a lien
against the lot or parcel against which the charge has been imposed,
unless the real property has been transferred or conveyed to a bona
fide purchaser for value, or a lien of a bona fide encumbrancer for
value has been created and attached prior to the date upon which the
first installment of the property taxes would become delinquent.
This bill would instead require the transfer, conveyance, or
attachment to occur during the year preceding the date on which the
first installment of property taxes that evidence the charges appears
on the tax roll, in order to preclude the local public entity's lien
from attaching to the real property of the bona fide purchaser or
encumbrancer for value.
Existing law requires the charges for the above described services
and facilities to remain delinquent for 60 days and the imposing
entity to provide the assessee with notice of the delinquency, in
order for the charges to constitute a lien against the lot or parcel
of land for which the service was provided.
This bill would delete the 60 day delinquency and notice
requirements and, instead, authorize the amount of unpaid charges to
be secured at any time by filing a specified certificate in the
office of the county recorder. This bill would provide that the
amount required to be paid, with interest and a penalty, constitutes
a lien on all real property owned by the person or afterwards
acquired by him or her before the lien expires.
Existing law provides procedures for the collection of unpaid
charges by a water district for water or other services. These unpaid
charges become a lien on the parcel of land upon which the water and
other services were used, unless the real property has been
transferred or conveyed to a bona fide purchaser for value, or a lien
of a bona fide encumbrancer for value has been created and attached
prior to the date of which the first installment of taxes would
become delinquent.
This bill would require the transfer, conveyance, or attachment to
occur during the year preceding the date on which the first
installment of real property taxes that evidence the charges appears
on the tax roll, in order for the water district's lien to not attach
to the real property of the bona fide purchaser or encumbrancer for
value.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 5473.8 of the Health and Safety Code is amended
to read:
5473.8. All laws applicable to the levy, collection and
enforcement of general taxes of the entity, including, but not
limited to, those pertaining to the matters of delinquency,
correction, cancellation, refund and redemption, are applicable to
such the charges authorized
pursuant to this article , except that if any real property to
which such these charges relate has
been transferred or conveyed to a bona fide purchaser for value, or
if a lien of a bona fide encumbracer for value has been created and
attaches thereon, during the year prior to the date on
which the first installment of such the
general taxes would become delinquent
that include the charges that appear on the assessment roll ,
then the lien which would otherwise be imposed by Section 5473.5
shall not attach to such the real
property and the charges relating to such
this property shall be transferred to the unsecured roll of
collection.
SEC. 2. Section 5473.11 of the Health and Safety Code is amended
to read:
5473.11. (a) An entity shall notify the assessee shown on the
latest equalized assessment roll whenever delinquent and unpaid
charges for services which would become a lien on the property
pursuant to subdivision (b) remain delinquent and unpaid for 60 days.
(b) Notwithstanding any other provision of this article, charges
for services and facilities furnished by the entity shall constitute
a lien against the lot or parcel of land for which the service was
provided if the charges remain delinquent for a period of 60 days,
and the entity has notified the assessee of the property shown on the
latest equalized assessment roll of the delinquent charges pursuant
to subdivision (a) and the lien provided by this section.
(c) The lien provided herein shall have no force or effect until
a certificate specifying the amount of the unpaid charges is recorded
with the county recorder and when so recorded shall have the force,
effect and priority of a judgment lien and continue for three years
from the time of recording unless sooner released or otherwise
discharged.
(b) The amount of the unpaid charges may, in the discretion of the
district, be secured at any time by filing for record in the office
of the county recorder of any county, a certificate specifying the
amount of the unpaid charges and the name and address of the person
liable therefore. From the time of recordation of the certificate,
the amount required to be paid together with interest and a penalty
constitutes a lien upon all real property in the county owned by the
person or afterwards, and before the lien expires, acquired by him or
her. The lien shall have the force, priority, and effect of a
judgment lien and shall continue for 10 years from the date of the
filing of the certificate unless sooner released or otherwise
discharged. The lien may, within 10 years from the filing of the
certificate or within 10 years from the date of the last extension of
the lien in the manner herein provided, be extended by filing for
record a new certificate in the office of the county recorder of any
county and from the time of this filing the lien shall be extended to
the real property in this county for 10 years unless sooner released
or otherwise discharged.
SEC. 3. Section 5474.6 of the Health and Safety Code is amended to
read:
5474.6. (a) The tax collector shall include the
amounts of the installments of fees or charges and the interest on
bills for taxes levied against the respective lots and parcels of
land. Thereafter, all laws applicable to the levy, collection and
enforcement of taxes of the entity, including penalties and interest
thereon and cancellation or refund thereof, shall be applicable to
such those installments of fees or
charges and interest, except that if , during the
year preceding the date on which the first installment of real
property taxes which evidence the fees or charges appears on the
roll, any real property to which such
the fees or charges relate has been transferred or conveyed to
a bona fide purchaser for value, or if a lien of a bona fide
encumbrancer for value has been created and attaches thereon, prior
to the date on which the first installment of such
those taxes would become delinquent, then the lien which
would otherwise be imposed by Section 5474.5 shall not attach to such
real property and the fees or charges and interest shall be
transferred to the unsecured roll for collection.
(b) The amount of the unpaid installments of fees or charges and
interest may, in the discretion of the entity, be secured at any time
by filing for record in the office of the county recorder of any
county, a certificate specifying the amount of the fees or charges
and interest and the name and address of the person liable therefore.
From the time of recordation of the certificate, the amount required
to be paid together with interest and penalty constitutes a lien
upon all real property in the county owned by the person or
afterwards, and before the lien expires, acquired by him or her. The
lien has the force, priority, and effect of a judgment lien and shall
continue for 10 years from the date of the filing of the certificate
unless sooner released or otherwise discharged. The lien may, within
10 years from the filing of the certificate or within 10 years from
the date of the last extension of the lien in the manner herein
provided, be extended by filing for record a new certificate in the
office of the county recorder of any county and from the time of this
filing the lien shall be extended to the real property in this
county for 10 years unless sooner released or otherwise discharged.
SEC. 4. Section 37212 of the Water Code is amended to read:
37212. In case any charges for water or other services, or
either, remain unpaid:
(a) If unpaid for 60 days or more on July 1st, the district board
may, by resolution, order the secretary to do each of the following:
(1) Prepare a list of the parcels of land upon which water and
other services, or either, requested in writing by the owner of the
property, was used, and for which the charges remain unpaid.
(2) Certify that such the list is
true and correct.
(3) Submit such the list of unpaid
charges and parcels to the county auditor no later than five days
after the estimate of the district board was furnished pursuant to
Section 37206.
Upon receipt by the county auditor of such
the list and a certified copy of such
the resolution, the amount of the unpaid charges attributed to
each parcel mentioned in such the list
shall constitute a special assessment against such
the parcel, and shall be a lien on that property for
such that amount. Such
The lien attaches upon recordation in the office
of the county recorder of the county in which the property is
situated of a certified copy of such the
resolution of the district board accompanied by a certified copy of
such the list specifically describing
the real property by a legal description or reference to an assessor'
s parcel number and specifying the amount applicable to each parcel.
The assessment shall be collected at the same time and in the same
manner as ordinary municipal ad valorem taxes are collected, and
shall be subject to the same penalties, and the same procedure and
sale in case of delinquency as provided for such
the taxes. All laws applicable to the levy, collection and
enforcement of municipal ad valorem taxes shall be applicable to
such the assessment, except that if
, during the year preceding the date on which the
first installment of real property taxes which evidence the charges
appears on the roll, any real property to which such
the lien would attach has been transferred or
conveyed to a bona fide purchaser for value, or if a lien of a bona
fide encumbrancer for value has been created and attached thereon,
prior to the date on which the first installment of such
the taxes would become delinquent, then the lien
which would otherwise be imposed by this section shall not attach to
such real property and the delinquent and unpaid charges, as
certified, relating to such the
property shall be transferred to the unsecured roll for collection.
The county shall deduct from the charges collected an amount
sufficient to compensate the county for costs incurred in collecting
such the delinquent and unpaid charges.
The amount of such this compensation
shall be fixed by agreement between the board of supervisors and the
district's board of directors.
(b) The amount of the unpaid charges may, in the discretion of the
district, be secured at any time by filing for record in the office
of the county recorder of any county, a certificate specifying the
amount of such the charges and the name
and address of the person liable therefor.
From the time of recordation of the certificate, the amount
required to be paid together with interest and penalty constitutes a
lien upon all real property in the county owned by the person or
afterwards, and before the lien expires, acquired by him or her
. The lien has the force, priority, and effect of a judgment
lien and shall continue for 10 years from the date of the filing of
the certificate unless sooner released or otherwise discharged. The
lien may, within 10 years from the filing of the certificate or
within 10 years from the date of the last extension of the lien in
the manner herein provided, be extended by filing for record a new
certificate in the office of the county recorder of any county and
from the time of such the filing the
lien shall be extended to the real property in such
this county for 10 years unless sooner released
or otherwise discharged.