BILL NUMBER: SB 194 INTRODUCED
BILL TEXT
INTRODUCED BY Committee on Governance and Finance (Senators Wolk
(Chair), DeSaulnier, Fuller, Hancock, Hernandez, Huff, Kehoe, La
Malfa, and Liu)
FEBRUARY 8, 2011
An act to amend Sections 50057, 53601, 65353, 66426.5, 66428, and
66484.3 of, and to repeal Section 61041 of, the Government Code, to
amend and renumber Section 33320.51 of, and to repeal Section 33038
of, the Health and Safety Code, to amend Section 20395 of the Public
Contract Code, to amend Section 99243 of the Public Utilities Code,
and to amend Sections 2151 and 36522 of the Streets and Highways
Code, relating to local government.
LEGISLATIVE COUNSEL'S DIGEST
SB 194, as introduced, Committee on Governance and Finance. Local
government: omnibus bill.
(1) Existing law provides that money in the treasury of a local
agency or in the custody of a local agency officer that is unclaimed
for 3 years is the property of the local agency after newspaper
publication of notice if no verified complaint is filed and served.
The legislative body of the local agency may transfer that unclaimed
money from a special fund to the general fund. Existing law provides
that with respect to unclaimed items in the amount of $1,000 or less,
the legislative body of any county may authorize by resolution the
county treasurer to perform on its behalf the claiming and transfer
of unclaimed money, as described.
This bill would increase the maximum amount from $1,000 to $5,000.
(2) Existing law authorizes the legislative body of a local agency
that has a sinking fund or money in its treasury that is not
required for immediate needs to invest in specified investments,
including, among other things, negotiable certificates of deposit
issued by a state-licensed branch of a foreign bank.
This bill would authorize these specified legislative bodies of a
local agency to invest in negotiable certificates of deposit issued
by a federally licensed branch of a foreign bank.
(3) Existing law requires specified community services districts
that had a board of directors that consisted of 3 members to increase
the number of members on the board to 5 after January 1, 2006, as
specified.
This bill would repeal these provisions.
(4) Existing law requires a city or county planning commission,
which is authorized by local ordinance or resolution to review and
recommend action on a proposed general plan or proposed amendments to
the general plan, to hold at least one public hearing before
approving a recommendation on the adoption or amendment of a general
plan. Existing law requires that notice of the hearing be given in a
prescribed manner.
This bill would correct erroneous statutory cross-references
pertaining to the notice.
(5) The Subdivision Map Act provides that a conveyance of land to,
among other entities, a governmental agency, including a fee
interest, easement, or license, is not considered a division of land
for purposes of computing the number of parcels, and provides that a
parcel map is not required except under specified conditions.
This bill would provide that a conveyance of land to or from a
governmental agency, as specified, is not considered a division of
land for purposes of computing the number of parcels, unless a
showing is made in individual cases, upon substantial evidence, that
public policy necessitates a parcel map.
(6) The Subdivision Map Act provides that a parcel map is not
required for, among other things, land conveyed to or from a
governmental agency, public entity, or for land conveyed to a
subsidiary of a public utility for conveyance to that public utility
for rights-of-way, unless a showing is made in individual cases, upon
substantial evidence, that public policy necessitates a parcel map.
This bill would specify that these conveyances of land are not
considered a division of land for purposes of computing the number of
parcels.
(7) The Subdivision Map Act authorizes the Board of Supervisors of
the County of Orange and the city council or councils of any city or
cities in that county to impose a fee as a condition of approval of
a final map or as a condition of issuing a building permit for
purposes of defraying the actual or estimated cost of constructing
bridges over waterways, railways, freeways, and canyons, or
constructing major thoroughfares.
This bill would correct erroneous statutory cross-references in
those provisions.
(8) The Community Redevelopment Law authorizes the establishment
of redevelopment agencies in communities in order to address the
effects of blight, as defined, in those communities. Existing law
finds and declares that blighted areas include housing areas
constructed as temporary government-owned wartime housing projects
that meet the definition of blight.
This bill would repeal the provision relating to housing areas
constructed as temporary government-owned wartime housing projects.
(9) The Community Redevelopment Law contains provisions
authorizing the establishment of a redevelopment project area located
within the boundaries of a military base that has been closed
pursuant to the actions of the federal Defense Base Closure and
Realignment Commission.
This bill would renumber a provision relating to the base closures
and conversions contained in the Community Redevelopment Law and
correct an outdated statutory cross-reference.
(10) Existing law sets forth the procedures under which changes or
additions may be made in the work being performed under local
construction contracts, county highway contracts, local contracts for
works of improvement, and drainage district construction contracts.
Under these provisions, for contracts whose original cost is $250,000
or less, changes to the contract may be made in specified amounts.
Under these provisions, for contracts whose original cost exceeds
$250,000, the extra cost for any change or addition to the work so
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 any such
change or alteration exceed $150,000.
This bill would specify that, for contracts of $250,000 or less,
an additional cost may be approved for a change or addition to the
work for a contract, as specified. The bill would, for contracts that
have a cost that exceeds $250,000, increase the maximum permitted
amount for a change or alteration of the contract cost from $150,000
to $210,000.
(11) Existing law authorizes the City of South Lake Tahoe or the
City of Huntington Beach to select, for purposes of making certain
annual reports to the Controller on financial transactions and on
street and road spending, on a one-time basis, a fiscal year that
does not end on June 30.
This bill would, for purposes of these reports, also authorize the
City of El Segundo, the City of Inglewood, or the City of Long Beach
to select a fiscal year that does not end on June 30.
This bill would make legislative findings and declarations as to
the necessity of a special statute for these cities.
(12) Existing law, the Parking and Business Improvement Area Law
of 1989, authorizes local governmental entities to levy assessments
on businesses located and operating in a parking and business
improvement area. Existing law requires specified proceedings to
establish or modify a parking and business improvement area,
including the adoption of a resolution, with prescribed elements, by
the governing body and a public hearing.
This bill would make technical, nonsubstantive changes to the
provisions that establish the elements to be included in the
resolution of the governing body.
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. (a) This act shall be known and may be cited as the
Local Government Omnibus Act of 2011.
(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 into a
single measure several minor, noncontroversial statutory changes
relating to the common theme, purpose, and subject of local
government.
SEC. 2. Section 50057 of the Government Code is amended to read:
50057. For individual items in the amount of one
thousand dollars ($1,000) five thousand dollars
($5,000) or less, the legislative body of any county may, by
resolution, authorize the county treasurer to perform on its behalf
any act required or authorized to be performed by it under Sections
50050, 50053, and 50055. The resolution shall require that the county
auditor be informed of each act performed under the authorization.
SEC. 3. Section 53601 of the Government Code, as amended by
Section 91 of Chapter 328 of the Statutes of 2010, is amended to
read:
53601. This section shall apply to a local agency that is a city,
a district, or other local agency that does not pool money in
deposits or investments with other local agencies, other than local
agencies that have the same governing body. However, Section 53635
shall apply to all local agencies that pool money in deposits or
investments with other local agencies that have separate governing
bodies. The legislative body of a local agency having moneys in a
sinking fund or moneys in its treasury not required for the immediate
needs of the local agency may invest any portion of the moneys that
it deems wise or expedient in those investments set forth below. A
local agency purchasing or obtaining any securities prescribed in
this section, in a negotiable, bearer, registered, or nonregistered
format, shall require delivery of the securities to the local agency,
including those purchased for the agency by financial advisers,
consultants, or managers using the agency's funds, by book entry,
physical delivery, or by third-party custodial agreement. The
transfer of securities to the counterparty bank's customer book entry
account may be used for book entry delivery.
For purposes of this section, "counterparty" means the other party
to the transaction. A counterparty bank's trust department or
separate safekeeping department may be used for the physical delivery
of the security if the security is held in the name of the local
agency. Where this section specifies a percentage limitation for a
particular category of investment, that percentage is applicable only
at the date of purchase. Where this section does not specify a
limitation on the term or remaining maturity at the time of the
investment, no investment shall be made in any security, other than a
security underlying a repurchase or reverse repurchase agreement or
securities lending agreement authorized by this section, that at the
time of the investment has a term remaining to maturity in excess of
five years, unless the legislative body has granted express authority
to make that investment either specifically or as a part of an
investment program approved by the legislative body no less than
three months prior to the investment:
(a) Bonds issued by the local agency, including bonds payable
solely out of the revenues from a revenue-producing property owned,
controlled, or operated by the local agency or by a department,
board, agency, or authority of the local agency.
(b) United States Treasury notes, bonds, bills, or certificates of
indebtedness, or those for which the faith and credit of the United
States are pledged for the payment of principal and interest.
(c) Registered state warrants or treasury notes or bonds of this
state, including bonds payable solely out of the revenues from a
revenue-producing property owned, controlled, or operated by the
state or by a department, board, agency, or authority of the state.
(d) Registered treasury notes or bonds of any of the other 49
United States in addition to California, including bonds payable
solely out of the revenues from a revenue-producing property owned,
controlled, or operated by a state or by a department, board, agency,
or authority of any of the other 49 United States, in addition to
California.
(e) Bonds, notes, warrants, or other evidences of indebtedness of
a local agency within this state, including bonds payable solely out
of the revenues from a revenue-producing property owned, controlled,
or operated by the local agency, or by a department, board, agency,
or authority of the local agency.
(f) Federal agency or United States government-sponsored
enterprise obligations, participations, or other instruments,
including those issued by or fully guaranteed as to principal and
interest by federal agencies or United States government-sponsored
enterprises.
(g) Bankers' acceptances otherwise known as bills of exchange or
time drafts that are drawn on and accepted by a commercial bank.
Purchases of bankers' acceptances shall not exceed 180 days' maturity
or 40 percent of the agency's moneys that may be invested pursuant
to this section. However, no more than 30 percent of the agency's
moneys may be invested in the bankers' acceptances of any one
commercial bank pursuant to this section.
This subdivision does not preclude a municipal utility district
from investing moneys in its treasury in a manner authorized by the
Municipal Utility District Act (Division 6 (commencing with Section
11501) of the Public Utilities Code).
(h) Commercial paper of "prime" quality of the highest ranking or
of the highest letter and number rating as provided for by a
nationally recognized statistical rating organization (NRSRO). The
entity that issues the commercial paper shall meet all of the
following conditions in either paragraph (1) or (2):
(1) The entity meets the following criteria:
(A) Is organized and operating in the United States as a general
corporation.
(B) Has total assets in excess of five hundred million dollars
($500,000,000).
(C) Has debt other than commercial paper, if any, that is rated "A"
or higher by an NRSRO.
(2) The entity meets the following criteria:
(A) Is organized within the United States as a special purpose
corporation, trust, or limited liability company.
(B) Has programwide credit enhancements including, but not limited
to, overcollateralization, letters of credit, or a surety bond.
(C) Has commercial paper that is rated "A-1" or higher, or the
equivalent, by an NRSRO.
Eligible commercial paper shall have a maximum maturity of 270
days or less. Local agencies, other than counties or a city and
county, may invest no more than 25 percent of their moneys in
eligible commercial paper. Local agencies, other than counties or a
city and county, may purchase no more than 10 percent of the
outstanding commercial paper of any single issuer. Counties or a city
and county may invest in commercial paper pursuant to the
concentration limits in subdivision (a) of Section 53635.
(i) Negotiable certificates of deposit issued by a nationally or
state-chartered bank, a savings association or a federal association
(as defined by Section 5102 of the Financial Code), a state or
federal credit union, or by a federally licensed or
state-licensed branch of a foreign bank. Purchases of negotiable
certificates of deposit shall not exceed 30 percent of the agency's
moneys that may be invested pursuant to this section. For purposes of
this section, negotiable certificates of deposit do not come within
Article 2 (commencing with Section 53630), except that the amount so
invested shall be subject to the limitations of Section 53638. The
legislative body of a local agency and the treasurer or other
official of the local agency having legal custody of the moneys are
prohibited from investing local agency funds, or funds in the custody
of the local agency, in negotiable certificates of deposit issued by
a state or federal credit union if a member of the legislative body
of the local agency, or a person with investment decisionmaking
authority in the administrative office manager's office, budget
office, auditor-controller's office, or treasurer's office of the
local agency also serves on the board of directors, or any committee
appointed by the board of directors, or the credit committee or the
supervisory committee of the state or federal credit union issuing
the negotiable certificates of deposit.
(j) (1) Investments in repurchase agreements or reverse repurchase
agreements or securities lending agreements of securities authorized
by this section, as long as the agreements are subject to this
subdivision, including the delivery requirements specified in this
section.
(2) Investments in repurchase agreements may be made, on an
investment authorized in this section, when the term of the agreement
does not exceed one year. The market value of securities that
underlie a repurchase agreement shall be valued at 102 percent or
greater of the funds borrowed against those securities and the value
shall be adjusted no less than quarterly. Since the market value of
the underlying securities is subject to daily market fluctuations,
the investments in repurchase agreements shall be in compliance if
the value of the underlying securities is brought back up to 102
percent no later than the next business day.
(3) Reverse repurchase agreements or securities lending agreements
may be utilized only when all of the following conditions are met:
(A) The security to be sold using a reverse repurchase agreement
or securities lending agreement has been owned and fully paid for by
the local agency for a minimum of 30 days prior to sale.
(B) The total of all reverse repurchase agreements and securities
lending agreements on investments owned by the local agency does not
exceed 20 percent of the base value of the portfolio.
(C) The agreement does not exceed a term of 92 days, unless the
agreement includes a written codicil guaranteeing a minimum earning
or spread for the entire period between the sale of a security using
a reverse repurchase agreement or securities lending agreement and
the final maturity date of the same security.
(D) Funds obtained or funds within the pool of an equivalent
amount to that obtained from selling a security to a counterparty
using a reverse repurchase agreement or securities lending agreement
shall not be used to purchase another security with a maturity longer
than 92 days from the initial settlement date of the reverse
repurchase agreement or securities lending agreement, unless the
reverse repurchase agreement or securities lending agreement includes
a written codicil guaranteeing a minimum earning or spread for the
entire period between the sale of a security using a reverse
repurchase agreement or securities lending agreement and the final
maturity date of the same security.
(4) (A) Investments in reverse repurchase agreements, securities
lending agreements, or similar investments in which the local agency
sells securities prior to purchase with a simultaneous agreement to
repurchase the security may be made only upon prior approval of the
governing body of the local agency and shall be made only with
primary dealers of the Federal Reserve Bank of New York or with a
nationally or state-chartered bank that has or has had a significant
banking relationship with a local agency.
(B) For purposes of this chapter, "significant banking
relationship" means any of the following activities of a bank:
(i) Involvement in the creation, sale, purchase, or retirement of
a local agency's bonds, warrants, notes, or other evidence of
indebtedness.
(ii) Financing of a local agency's activities.
(iii) Acceptance of a local agency's securities or funds as
deposits.
(5) (A) "Repurchase agreement" means a purchase of securities by
the local agency pursuant to an agreement by which the counterparty
seller will repurchase the securities on or before a specified date
and for a specified amount and the counterparty will deliver the
underlying securities to the local agency by book entry, physical
delivery, or by third-party custodial agreement. The transfer of
underlying securities to the counterparty bank's customer book-entry
account may be used for book-entry delivery.
(B) "Securities," for purposes of repurchase under this
subdivision, means securities of the same issuer, description, issue
date, and maturity.
(C) "Reverse repurchase agreement" means a sale of securities by
the local agency pursuant to an agreement by which the local agency
will repurchase the securities on or before a specified date and
includes other comparable agreements.
(D) "Securities lending agreement" means an agreement under which
a local agency agrees to transfer securities to a borrower who, in
turn, agrees to provide collateral to the local agency. During the
term of the agreement, both the securities and the collateral are
held by a third party. At the conclusion of the agreement, the
securities are transferred back to the local agency in return for the
collateral.
(E) For purposes of this section, the base value of the local
agency's pool portfolio shall be that dollar amount obtained by
totaling all cash balances placed in the pool by all pool
participants, excluding any amounts obtained through selling
securities by way of reverse repurchase agreements, securities
lending agreements, or other similar borrowing methods.
(F) For purposes of this section, the spread is the difference
between the cost of funds obtained using the reverse repurchase
agreement and the earnings obtained on the reinvestment of the funds.
(k) Medium-term notes, defined as all corporate and depository
institution debt securities with a maximum remaining maturity of five
years or less, issued by corporations organized and operating within
the United States or by depository institutions licensed by the
United States or any state and operating within the United States.
Notes eligible for investment under this subdivision shall be rated
"A" or better by an NRSRO. Purchases of medium-term notes shall not
include other instruments authorized by this section and may not
exceed 30 percent of the agency's moneys that may be invested
pursuant to this section.
(l) (1) Shares of beneficial interest issued by diversified
management companies that invest in the securities and obligations as
authorized by subdivisions (a) to (k), inclusive, and subdivisions
(m) to (o), inclusive, and that comply with the investment
restrictions of this article and Article 2 (commencing with Section
53630). However, notwithstanding these restrictions, a counterparty
to a reverse repurchase agreement or securities lending agreement is
not required to be a primary dealer of the Federal Reserve Bank of
New York if the company's board of directors finds that the
counterparty presents a minimal risk of default, and the value of the
securities underlying a repurchase agreement or securities lending
agreement may be 100 percent of the sales price if the securities are
marked to market daily.
(2) Shares of beneficial interest issued by diversified management
companies that are money market funds registered with the Securities
and Exchange Commission under the Investment Company Act of 1940 (15
U.S.C. Sec. 80a-1 et seq.).
(3) If investment is in shares issued pursuant to paragraph (1),
the company shall have met either of the following criteria:
(A) Attained the highest ranking or the highest letter and
numerical rating provided by not less than two NRSROs.
(B) Retained an investment adviser registered or exempt from
registration with the Securities and Exchange Commission with not
less than five years' experience investing in the securities and
obligations authorized by subdivisions (a) to (k), inclusive, and
subdivisions (m) to (o), inclusive, and with assets under management
in excess of five hundred million dollars ($500,000,000).
(4) If investment is in shares issued pursuant to paragraph (2),
the company shall have met either of the following criteria:
(A) Attained the highest ranking or the highest letter and
numerical rating provided by not less than two NRSROs.
(B) Retained an investment adviser registered or exempt from
registration with the Securities and Exchange Commission with not
less than five years' experience managing money market mutual funds
with assets under management in excess of five hundred million
dollars ($500,000,000).
(5) The purchase price of shares of beneficial interest purchased
pursuant to this subdivision shall not include commission that the
companies may charge and shall not exceed 20 percent of the agency's
moneys that may be invested pursuant to this section. However, no
more than 10 percent of the agency's funds may be invested in shares
of beneficial interest of any one mutual fund pursuant to paragraph
(1).
(m) Moneys held by a trustee or fiscal agent and pledged to the
payment or security of bonds or other indebtedness, or obligations
under a lease, installment sale, or other agreement of a local
agency, or certificates of participation in those bonds,
indebtedness, or lease installment sale, or other agreements, may be
invested in accordance with the statutory provisions governing the
issuance of those bonds, indebtedness, or lease installment sale, or
other agreement, or to the extent not inconsistent therewith or if
there are no specific statutory provisions, in accordance with the
ordinance, resolution, indenture, or agreement of the local agency
providing for the issuance.
(n) Notes, bonds, or other obligations that are at all times
secured by a valid first priority security interest in securities of
the types listed by Section 53651 as eligible securities for the
purpose of securing local agency deposits having a market value at
least equal to that required by Section 53652 for the purpose of
securing local agency deposits. The securities serving as collateral
shall be placed by delivery or book entry into the custody of a trust
company or the trust department of a bank that is not affiliated
with the issuer of the secured obligation, and the security interest
shall be perfected in accordance with the requirements of the Uniform
Commercial Code or federal regulations applicable to the types of
securities in which the security interest is granted.
(o) A mortgage passthrough security, collateralized mortgage
obligation, mortgage-backed or other pay-through bond, equipment
lease-backed certificate, consumer receivable passthrough
certificate, or consumer receivable-backed bond of a maximum of five
years' maturity. Securities eligible for investment under this
subdivision shall be issued by an issuer having an "A" or higher
rating for the issuer's debt as provided by an NRSRO and rated in a
rating category of "AA" or its equivalent or better by an NRSRO.
Purchase of securities authorized by this subdivision may not exceed
20 percent of the agency's surplus moneys that may be invested
pursuant to this section.
(p) Shares of beneficial interest issued by a joint powers
authority organized pursuant to Section 6509.7 that invests in the
securities and obligations authorized in subdivisions (a) to (o),
inclusive. Each share shall represent an equal proportional interest
in the underlying pool of securities owned by the joint powers
authority. To be eligible under this section, the joint powers
authority issuing the shares shall have retained an investment
adviser that meets all of the following criteria:
(1) The adviser is registered or exempt from registration with the
Securities and Exchange Commission.
(2) The adviser has not less than five years of experience
investing in the securities and obligations authorized in
subdivisions (a) to (o), inclusive.
(3) The adviser has assets under management in excess of five
hundred million dollars ($500,000,000).
SEC. 4. Section 61041 of the Government Code is repealed.
61041. Notwithstanding subdivision (a) of Section 65040, this
section applies only to those districts that on December 31, 2005,
had boards of directors that consisted of three members. Those
districts shall continue to have boards of directors that consist of
three members until the next general district election after January
1, 2006, after which date those districts shall have boards of
directors that consist of five members. At that election, the voters
shall fill the two vacancies on the board of directors. Those two
members of the board of directors shall serve for the terms of office
determined pursuant to Section 10506 of the Elections Code.
SEC. 5. Section 65353 of the Government Code is amended to read:
65353. (a) When the city or county has a planning commission
authorized by local ordinance or resolution to review and recommend
action on a proposed general plan or proposed amendments to the
general plan, the commission shall hold at least one public hearing
before approving a recommendation on the adoption or amendment of a
general plan. Notice of the hearing shall be given pursuant to
Section 65090.
(b) If a proposed general plan or amendments to a general plan
would affect the permitted uses or intensity of uses of real
property, notice of the hearing shall also be given pursuant to
paragraphs (1) and (2) (3) of
subdivision (a) of Section 65091.
(c) If the number of owners to whom notice would be mailed or
delivered pursuant to subdivision (b) is greater than 1,000, a local
agency may, in lieu of mailed or delivered notice, provide notice by
publishing notice pursuant to paragraph (3)
(4) of subdivision (a) of Section 65091.
(d) If the hearings held under this section are held at the same
time as hearings under Section 65854, the notice of the hearing may
be combined.
SEC. 6. Section 66426.5 of the Government Code is amended to read:
66426.5. Any conveyance of land to or from a
governmental agency, public entity, public utility or subsidiary of a
public utility for conveyance to that public utility for
rights-of-way shall not be considered a division of land for purposes
of computing the number of parcels , unless a showing is made
in individual cases, upon substantial evidence, that public policy
necessitates a parcel map . For purposes of this section, any
conveyance of land to or from a governmental agency shall
include a fee interest, a leasehold interest, an easement, or a
license.
SEC. 7. Section 66428 of the Government Code is amended to read:
66428. (a) Local ordinances may require a tentative map where a
parcel map is required by this chapter. A parcel map shall be
required for subdivisions as to which a final or parcel map is not
otherwise required by this chapter, unless the preparation of the
parcel map is waived by local ordinance as provided in this section.
A parcel map shall not be required for either of the following:
(1) Subdivisions of a portion of the operating right-of-way of a
railroad corporation, as defined by Section 230 of the Public
Utilities Code, that are created by short-term leases (terminable by
either party on not more than 30 days' notice in writing).
(2) Land conveyed Any
conveyance of land to or from a governmental agency, public
entity, public utility, or for land conveyed to a subsidiary of a
public utility for conveyance to that public utility for
rights-of-way shall not be considered a division of land for
purposes of computing the number of parcels , unless a showing
is made in individual cases, upon substantial evidence, that public
policy necessitates a parcel map. For purposes of this subdivision,
and conveyance of land conveyed to or
from a governmental agency shall include a fee interest, a leasehold
interest, an easement, or a license.
(b) A local agency shall, by ordinance, provide a procedure for
waiving the requirement for a parcel map, imposed by this division,
including the requirements for a parcel map imposed by Section 66426.
The procedure may include provisions for waiving the requirement for
a tentative and final map for the construction of a condominium
project on a single parcel. The ordinance shall require a finding by
the legislative body or advisory agency, that the proposed division
of land complies with requirements established by this division or
local ordinance enacted pursuant thereto as to area, improvement and
design, floodwater drainage control, appropriate improved public
roads, sanitary disposal facilities, water supply availability,
environmental protection, and other requirements of this division or
local ordinance enacted pursuant thereto. In any case, where the
requirement for a parcel map is waived by local ordinance pursuant to
this section, a tentative map may be required by local ordinance.
(c) If a local ordinance does not require a tentative map where a
parcel map is required by this division, the subdivider shall have
the option of submitting a tentative map, or if he or she desires to
obtain the rights conferred by Chapter 4.5 (commencing with Section
66498.1), a vesting tentative map.
SEC. 8. Section 66484.3 of the Government Code is amended to read:
66484.3. (a) Notwithstanding Section 53077.5
66007 , the Board of Supervisors of the County of Orange
and the city council or councils of any city or cities in that county
may, by ordinance, require the payment of a fee as a condition of
approval of a final map or as a condition of issuing a building
permit for purposes of defraying the actual or estimated cost of
constructing bridges over waterways, railways, freeways, and canyons,
or constructing major thoroughfares.
(b) The local ordinance may require payment of fees pursuant to
this section if:
(1) The ordinance refers to the circulation element of the general
plan and, in the case of bridges, to the transportation provisions
or flood control provisions of the general plan which identify
railways, freeways, streams, or canyons for which bridge crossings
are required on the general plan or local roads, and in the case of
major thoroughfares, to the provisions of the circulation element
which identify those major thoroughfares whose primary purpose is to
carry through traffic and provide a network connecting to or which is
part of the state highway system, and
the circulation element, transportation
provisions, or flood control provisions have been adopted by the
local agency 30 days prior to the filing of a map or application for
a building permit. Bridges which are part of a major thoroughfare
need not be separately identified in the transportation or flood
control provisions of the general plan.
(2) The ordinance provides that there will be a public hearing
held by the governing body for each area benefited. Notice shall be
given pursuant to Section 65905. In addition to the requirements of
Section 65905, the notice shall contain preliminary information
related to the boundaries of the area of benefit, estimated cost, and
the method of fee apportionment. The area of benefit may include
land or improvements in addition to the land or improvements which
are the subject of any map or building permit application considered
at the proceedings.
(3) The ordinance provides that at the public hearing, the
boundaries of the area of benefit, the costs, whether actual or
estimated, and a fair method of allocation of costs to the area of
benefit and fee apportionment are established. The method of fee
apportionment, in the case of major thoroughfares, shall not provide
for higher fees on land which abuts the proposed improvement except
where the abutting property is provided direct usable access to the
major thoroughfare. A description of the boundaries of the area of
benefit, the costs, whether actual or estimated, and the method of
fee apportionment established at the hearing shall be incorporated in
a resolution of the governing body, a certified copy of which shall
be recorded by the governing body conducting the hearing with the
recorder of the County of Orange. The resolution may subsequently be
modified in any respect by the governing body. Modifications shall be
adopted in the same manner as the original resolution, except that
the resolution of a city or county which has entered into a joint
exercise of powers agreement pursuant to subdivision (f), relating to
constructing bridges over waterways, railways, freeways, and canyons
or constructing major thoroughfares by the joint powers agency, may
be modified by the joint powers agency following public notice and a
public hearing, if the joint powers agency has complied with all
applicable laws, including Chapter 5 (commencing with Section 66000)
of Division 1. Any modification shall be subject to the protest
procedures prescribed by paragraph (6). The resolution may provide
for automatic periodic adjustment of fees based upon the California
Construction Cost Index prepared and published by the Department of
Transportation, without further action of the governing body,
including, but not limited to, public notice or hearing. The
apportioned fees shall be applicable to all property within the area
of benefit and shall be payable as a condition of approval of a final
map or as a condition of issuing a building permit for any of the
property or portions of the property. Where the area of benefit
includes lands not subject to the payment of fees pursuant to this
section, the governing body shall make provision for payment of the
share of improvement costs apportioned to those lands from other
sources, but those sources need not be identified at the time of the
adoption of the resolution.
(4) The ordinance provides that payment of fees shall not be
required unless the major thoroughfares are in addition to, or a
reconstruction or widening of, any existing major thoroughfares
serving the area at the time of the adoption of the boundaries of the
area of benefit.
(5) The ordinance provides that payment of fees shall not be
required unless the planned bridge facility is an original bridge
serving the area or an addition to any existing bridge facility
serving the area at the time of the adoption of the boundaries of the
area of benefit. Fees imposed pursuant to this section shall not be
expended to reimburse the cost of existing bridge facility
construction, unless these costs are incurred in connection with the
construction of an addition to an existing bridge for which fees may
be required.
(6) The ordinance provides that if, within the time when protests
may be filed under its provisions, there is a written protest, filed
with the clerk of the legislative body, by the owners of more than
one-half of the area of the property to be benefited by the
improvement, and sufficient protests are not withdrawn so as to
reduce the area represented to less than one-half of that to be
benefited, then the proposed proceedings shall be abandoned, and the
legislative body shall not, for one year from the filing of that
written protest, commence or carry on any proceedings for the same
improvement or acquisition under this section, unless the protests
are overruled by an affirmative vote of four-fifths of the
legislative body.
Nothing in this section shall preclude the processing and
recordation of maps in accordance with other provisions of this
division if proceedings are abandoned.
Any protests may be withdrawn in writing by the owner who filed
the protest, at any time prior to the conclusion of a public hearing
held pursuant to the ordinance.
If any majority protest is directed against only a portion of the
improvement then all further proceedings under the provisions of this
section to construct that portion of the improvement so protested
against shall be barred for a period of one year, but the legislative
body shall not be barred from commencing new proceedings not
including any part of the improvement or acquisition so protested
against. Nothing in this section shall prohibit the legislative body,
within the one-year period, from commencing and carrying on new
proceedings for the construction of a portion of the improvement so
protested against if it finds, by the affirmative vote of four-fifths
of its members, that the owners of more than one-half of the area of
the property to be benefited are in favor of going forward with that
portion of the improvement or acquisition.
If the provisions of this paragraph (6) , or
provisions implementing this paragraph contained in any ordinance
adopted pursuant to this section, are held invalid, that invalidity
shall not affect other provisions of this section or of the ordinance
adopted pursuant thereto, which can be given effect without the
invalid provision, and to this end the provisions of this section and
of an ordinance adopted pursuant thereto are severable.
(c) Fees paid pursuant to an ordinance adopted pursuant to this
section shall be deposited in a planned bridge facility or major
thoroughfare fund. A fund shall be established for each planned
bridge facility project or each planned major thoroughfare project.
If the benefit area is one in which more than one bridge or major
thoroughfare is required to be constructed, a fund may be so
established covering all of the bridge or major thoroughfare projects
in the benefit area. Except as otherwise provided in subdivision
(g), moneys in the fund shall be expended solely for the construction
or reimbursement for construction of the improvement serving the
area to be benefited and from which the fees comprising the fund were
collected, or to reimburse the county or a city for the cost of
constructing the improvement.
(d) An ordinance adopted pursuant to this section may provide for
the acceptance of considerations in lieu of the payment of fees.
(e) The county or a city imposing fees pursuant to this section
may advance money from its general fund or road fund to pay the cost
of constructing the improvements and may reimburse the general fund
or road fund from planned bridge facilities or major thoroughfares
funds established to finance the construction of the improvements.
(f) The county or a city imposing fees pursuant to this section
may incur an interest-bearing indebtedness for the construction of
bridge facilities or major thoroughfares. The sole security for
repayment of the indebtedness shall be moneys in planned bridge
facilities or major thoroughfares funds. A city or county imposing
fees pursuant to this section may enter into joint exercise of powers
agreements with other local agencies imposing fees pursuant to this
section, for the purpose of, among others, jointly exercising as a
duly authorized original power established by this section, in
addition to those through a joint exercise of powers agreement, those
powers authorized in Chapter 5 (commencing with Section 31100) of
Division 17 of the Streets and Highways Code for the purpose of
constructing bridge facilities and major thoroughfares in lieu of a
tunnel and appurtenant facilities, and, notwithstanding Section 31200
of the Streets and Highways Code, may acquire by dedication, gift,
purchase, or eminent domain, any franchise, rights, privileges,
easements, or other interest in property, either real or personal,
necessary therefor on segments of the state highway system,
including, but not limited to, those segments of the state highway
system eligible for federal participation pursuant to Title 23 of the
United States Code.
An entity constructing bridge facilities and major thoroughfares
pursuant to this section shall design and construct the bridge
facilities and major thoroughfares to the standards and
specifications of the Department of Transportation then in effect,
and may, at any time, transfer all or a portion of the bridge
facilities and major thoroughfares to the state subject to the terms
and conditions as shall be satisfactory to the Director of the
Department of Transportation. Any of these bridge facilities and
major thoroughfares shall be designated as a portion of the state
highway system prior to its transfer. The participants in a joint
exercise of powers agreement may also exercise as a duly authorized
original power established by this section the power to establish and
collect toll charges only for paying for the costs of construction
of the major thoroughfare for which the toll is charged and for the
costs of collecting the tolls, except that a joint powers agency,
which is the lending agency, may, notwithstanding subdivision (c),
make toll revenues and fees imposed pursuant to this section
available to another joint powers agency, which is the borrowing
agency, established for the purpose of designing, financing, and
constructing coordinated and interrelated major thoroughfares, in the
form of a subordinated loan, to pay for the cost of construction and
toll collection of major thoroughfares other than the major
thoroughfares for which the toll or fee is charged, if the lending
agency has complied with all applicable laws, including Chapter 5
(commencing with Section 66000) of Division 1, and if the borrowing
agency is required to pay interest on the loan to the lending agency
at a rate equal to the interest rate charged on funds loaned from the
Pooled Money Investment Account. Prior to executing the loan, the
lending agency shall make all of the following findings:
(1) The major thoroughfare for which the toll or fee is charged
will benefit from the construction of the major thoroughfare to be
constructed by the borrowing agency or will benefit financially by a
sharing of revenues with the borrowing agency.
(2) The lending agency will possess adequate financial resources
to fund all costs of construction of existing and future projects
that it plans to undertake prior to the final maturity of the loan,
after funding the loan, and taking into consideration its then
existing funds, its present and future obligations, and the revenues
and fees it expects to receive.
(3) The funding of the loan will not materially impair its
financial condition or operations during the term of the loan.
Major thoroughfares from which tolls are charged shall utilize the
toll collection equipment most capable of moving vehicles
expeditiously and efficiently, and which is best suited for that
purpose, as determined by the participants in the joint exercise of
powers agreement. However, in no event shall the powers authorized in
Chapter 5 (commencing with Section 31100) of Division 17 of the
Streets and Highways Code be exercised unless a resolution is first
adopted by the legislative body of the agency finding that adequate
funding for the portion of the cost of constructing those bridge
facilities and major thoroughfares not funded by the development fees
collected by the agency is not available from any federal, state, or
other source. Any major thoroughfare constructed and operated as a
toll road pursuant to this section shall only be constructed parallel
to other public thoroughfares and highways.
(g) The term "construction," as used in this section, includes
design, acquisition of rights-of-way, and actual construction,
including, but not limited to, all direct and indirect environmental,
engineering, accounting, legal, administration of construction
contracts, and other services necessary therefor. The term
"construction" also includes reasonable general agency administrative
expenses, not exceeding three hundred thousand dollars ($300,000) in
any calendar year after January 1, 1986, as adjusted annually for
any increase or decrease in the Consumer Price Index of the Bureau of
Labor Statistics of the United States Department of Labor for all
Urban Consumers, Los Angeles-Long Beach-Anaheim, California
(1967=100), as published by the United States Department of Commerce,
by each agency created pursuant to Article 1 (commencing with
Section 6500) of Chapter 5 of Division 7 of Title 1 for the purpose
of constructing bridges and major thoroughfares. "General agency
administrative expenses" means those office, personnel, and other
customary and normal expenses associated with the direct management
and administration of the agency, but not including costs of
construction.
(h) Fees paid pursuant to an ordinance adopted pursuant to this
section may be utilized to defray all direct and indirect financing
costs related to the construction of the bridges and major
thoroughfares by the joint powers agency. Because the financing costs
of bridges and major thoroughfares for which a toll charge shall be
established or collected represent a necessary element of the total
cost of those bridges and major thoroughfares, the joint powers
agency constructing those facilities may include a charge for
financing costs in the calculation of the fee rate. The charge shall
be based on the estimated financing cost of any eligible portion of
the bridges and major thoroughfares for which tolls shall be
collected. The eligible portion shall be any or all portions of the
major thoroughfare for which a viable financial plan has been adopted
by the joint powers agency on the basis of revenues reasonably
expected by the joint powers agency to be available to the
thoroughfare, after consultation with representatives of the fee
payers. For purposes of calculating the charge, financing costs shall
include only reasonable allowances for payments and charges for
principal, interest, and premium on indebtedness, letter of credit
fees and charges, remarketing fees and charges, underwriters'
discount, and other costs of issuance, less net earnings on bridge
and major thoroughfare funds by the joint powers agency prior to the
opening of the facility to traffic after giving effect to any
payments from the fund to preserve the federal income tax exemption
on the indebtedness. For purposes of calculating the charge for
financing costs in the calculation of the fee rate only, financing
costs shall not include any allowance for the cost of any interest
paid on indebtedness with regard to each eligible portion after the
estimated opening of the portion to traffic as established by the
joint powers agency. Any and all challenges to any financial plan or
financing costs adopted or calculated pursuant to this section shall
be governed by subdivision (k).
(i) Nothing in this section shall be construed to preclude the
County of Orange or any city within that county from providing funds
for the construction of bridge facilities or major thoroughfares to
defray costs not allocated to the area of benefit.
(j) Any city within the County of Orange may require the payment
of fees in accordance with this section as to any property in an area
of benefit within the city's boundaries, for facilities shown on its
general plan or the county's general plan, whether the facilities
are situated within or outside the boundaries of the city, and the
county may expend fees for facilities or portions thereof located
within cities in the county.
(k) The validity of any fee required pursuant to this section
shall not be contested in any action or proceeding unless commenced
within 60 days after recordation of the resolution described in
paragraph (3) of subdivision (b). The provisions of Chapter 9
(commencing with Section 860) of Title 10 of Part 2 of the Code of
Civil Procedure shall be applicable to any such action or proceeding.
This subdivision shall also apply to modifications of fee programs.
(l) If the County of Orange and any city within that county have
entered into a joint powers agreement for the purpose of constructing
the bridges and major thoroughfares referred to in Sections 50029
and 66484.3 66484 , and if a proposed
change of organization or reorganization includes any territory of an
area of benefit established pursuant to Sections 50029 and
66484.3 66484 , within a successor local agency,
the local agency shall not take any action that would impair, delay,
frustrate, obstruct, or otherwise impede the construction of the
bridges and major thoroughfares referred to in this section.
(m) Nothing in this section prohibits the succession of all
powers, obligations, liabilities, and duties of any joint powers
agency created pursuant to subdivision (l) to an entity with
comprehensive countywide transportation planning and operating
authority which is statutorily created in the County of Orange and
which is statutorily authorized to assume those powers, obligations,
liabilities, and duties.
SEC. 9. Section 33038 of the Health and Safety Code is repealed.
33038. It is found and declared that blighted areas may include
housing areas constructed as temporary government-owned wartime
housing projects, and that such areas may be characterized by one or
more of the conditions enumerated in Sections 33031 to 33034,
inclusive.
SEC. 10. Section 33320.51 of the Health and Safety Code is amended
and renumbered to read:
33320.51. 33492.43. (a) Any
redevelopment plan, or any amendment to an existing redevelopment
plan adopted on or after July 1, 1993, that is subject to Section
33320.5 33492.40 , may utilize as the
base year either the year it was adopted or the 1994-95 fiscal year,
at the option of the adopting agency, as referenced by a duly adopted
ordinance of the governing board. If the governing board adopts the
1994-95 fiscal year as the base year, that designation shall remain
in effect only until the time that the county assessor certifies that
assessed values for the redevelopment project area equal or exceed
the assessed value in the initial base year. When that certification
is made by the county assessor, the base year shall revert to the
initial base year at the time of plan adoption.
(b) To the extent any adjustment in the base year pursuant to
this section creates a negative fiscal impact on the state, the
governing board shall, on or before the expiration of five years from
the date of the adjustment of the base year pursuant to this
section, remit to the State Controller the total amount of increased
aid to schools received from the state as a result of the adjustment
in the base year as determined by the Department of Finance in
consultation with the governing board.
SEC. 11. Section 20395 of the Public Contract Code is amended to
read:
20395. 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 have any work upon county highways done under his
or her supervision and direction. The work may be done in any of the
following ways:
(a) By letting a contract covering both work and material. In that
event, the contract shall be let to the lowest responsible bidder as
provided in this article.
(b) By purchasing the material and letting a contract for the
performance of the work. In that event, the material shall be bought
at the lowest possible cost and the contract let to the lowest
responsible bidder as provided in this article.
(c) By purchasing the material and having the work done by day
labor, in which case advertising for bids is not required.
(d) (1) By authorizing the county 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 pursuant to this section in an amount not to
exceed five thousand dollars ($5,000) for contracts of fifty thousand
dollars ($50,000) or less, or 10 percent for contracts over fifty
thousand dollars ($50,000) but not to exceed two hundred fifty
thousand dollars ($250,000). In no event shall any change or
addition to the work exceed a net total addition of twenty-five
thousand dollars ($25,000).
(2) 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 costs cost in excess of two
hundred fifty thousand dollars ($250,000). In no event shall any
change or alteration exceed one hundred fifty thousand
dollars ($150,000) two hundred ten thousand
dollars ($210,000) .
(e) By purchasing the material and letting a contract for the work
or by letting a contract covering both work and material without
advertising for bids when the estimated cost of emergency work
necessitated by the imminence or occurrence of a landslide, flood,
storm damage, or other emergency exceeds twenty-five thousand dollars
($25,000) and the public interest and necessity demand immediate
action to safeguard life, health, or property.
SEC. 12. Section 99243 of the Public Utilities Code is amended to
read:
99243. (a) The Controller, in cooperation with the department and
the operators, shall design and adopt a uniform system of accounts
and records, from which the operators shall prepare and submit annual
reports of their operation to the transportation planning agencies
having jurisdiction over them and to the Controller within 90 days of
the end of the fiscal year. If the report is filed in electronic
format as prescribed by the Controller, the report shall be furnished
within 110 days after the close of each fiscal year. The report
shall specify (1) the amount of revenue generated from each source
and its application for the prior fiscal year and (2) the data
necessary to determine which section, with respect to Sections
99268.1, 99268.2, 99268.3, 99268.4, 99268.5, and 99268.9, the
operator is required to be in compliance with in order to be eligible
for funds under this article.
(b) As a supplement to the annual report prepared pursuant to
subdivision (a), each operator shall include an estimate of the
amount of revenues to be generated from each source and its proposed
application for the next fiscal year, and a report on the extent to
which it has contracted with the Prison Industry Authority, including
the nature and dollar amounts of all contracts entered into during
the reporting period and proposed for the next reporting period.
(c) The Controller shall instruct the county auditor to withhold
payments from the fund to an operator that has not submitted its
annual report to the Controller within the time specified by
subdivision (a).
(d) In establishing the uniform system of accounts and records,
the Controller shall include the data required by the United States
Department of Transportation and the department.
(e) Notwithstanding any other law or any regulation, including any
California Code of Regulations provision, the City of South
Lake Tahoe and the City of Huntington Beach El
Segundo, the City of Huntington Beach, the City of Inglewood, the
City of Long Beach, or the City of South Lake Tahoe may select,
for purposes of this chapter, on a one-time basis, a fiscal year
that does not end on June 30. After the city has sent a written
notice to the Secretary of Business, Transportation and Housing and
the Controller that the city has selected a fiscal year other than
one ending on June 30, the fiscal year selected by the city shall be
its fiscal year for all reports required by the state under this
chapter.
SEC. 13. Section 2151 of the Streets and Highways Code is amended
to read:
2151. On or before the first day of October of each year, the
governing body of each county and city shall cause to be made and
filed with the Controller a complete report of the expenditures for
street or road purposes during the preceding fiscal year ending on
the 30th day of June. However, the City of South Lake Tahoe
and the City of Huntington Beach of El Segundo
, the City of Huntington Beach, the City of Inglewood, the City
of Long Beach, or the City of South Lake Tahoe may send, on a
one-time basis, a written notice to the Controller that it has
selected a fiscal year ending on a date other than June 30, and, in
that case, the fiscal year selected by the city shall be its fiscal
year for reports under this section.
The Controller shall prescribe the form and contents of the
report. The report shall show the amount expended for construction by
contract, maintenance by contract, construction by day labor, and
maintenance by day labor. For construction and maintenance by day
labor, the amount shall include the cost of material, labor,
equipment, and overhead for work performed thereunder.
The board of supervisors of each county shall by appropriate
action, at any regular or special meeting, designate either the
county road commissioner or the county auditor as the person
responsible for making and signing the report required by this
section. When the road commissioner is designated to make and sign
the report, the county auditor shall certify the report before it is
filed with the
Controller. When the county auditor is designated to make and sign
the report, the road commissioner shall certify the report before it
is filed with the Controller. Reports made by each city shall be
certified by the city's fiscal officer.
SEC. 14. Section 36522 of the Streets and Highways Code is amended
to read:
36522. Proceedings to establish a parking and business
improvement area shall be instituted by the adoption by the city
council of a resolution of intention to establish the area. The
resolution of intention shall do all of the following:
(a) State that a parking and business improvement area is proposed
to be established pursuant to this chapter and describe the
boundaries of the territory proposed to be included in the area and
the boundaries of each separate benefit zone to be established within
the area. The boundaries of the area may be described by reference
to a map on file in the office of the clerk, showing the proposed
area.
(b) State the name of the proposed area.
(c) State the type or types of improvements and activities
proposed to be funded by the levy of assessments on businesses in the
area. The resolution of intention shall specify any improvements to
be acquired.
(d) State that, except where funds are otherwise available, an
assessment will be levied annually to pay for all improvements and
activities within the area.
(e) State the proposed method and basis of levying the assessment
in sufficient detail to allow each business owner to estimate the
amount of the assessment to be levied against his or her business.
(f) State whether new businesses will be exempt from the levy of
the assessment, pursuant to Section 36531.
(g) Fix a time and place for a public hearing on the establishment
of the parking and business improvement area and the levy of
assessments, which shall be consistent with the requirements of
Section 54954.6 of the Government Code.
(h) State that at the hearing the testimony of all interested
persons for or against the establishment of the area, the extent of
the area, or the furnishing of specified types of improvements or
activities will be heard. The notice shall also describe, in
(i) Describe, in summary, the
effect of protests made by business owners against the establishment
of the area, the extent of the area, and the furnishing of a
specified type of improvement or activity, as provided in Section
36524.
SEC. 15. The Legislature finds and declares that a special law is
necessary and that a general law cannot be made applicable within the
meaning of Section 16 of Article IV of the California Constitution
because of the unique circumstances of the fiscal years used by the
City of El Segundo, the City of Inglewood, and the City of Long
Beach.