BILL NUMBER: SB 288	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Negrete McLeod

                        FEBRUARY 14, 2011

   An act to amend Sections 53952 and 53961 of, and to add Chapter
6.5 (commencing with Section 60225) to Division 1 of Title 6 of, the
Government Code, relating to local government.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 288, as introduced, Negrete McLeod. Local government:
independent special districts.
   (1) Existing law authorizes the governing board of a special
district, by resolution, to provide for the establishment of a
revolving fund, in an amount not to exceed $1,000, to be used to make
change and pay small bills directly, and requires the resolution
establishing the fund to make specified designations relating to the
purposes for which the fund may be expended, the district officer
with authority and responsibility over the fund, the necessity for
the fund, and the maximum amount of the fund.
   The Cortese-Knox-Hertzberg Local Government Reorganization Act of
2000 sets forth the definition of an independent special district.
   This bill would additionally authorize the governing board of an
independent special district, as defined, to provide, by resolution,
for the establishment of a revolving fund in an amount not to exceed
110% of 1/12 of the independent special district's adopted budget for
that fiscal year, and would require the resolution establishing the
fund to make specified designations relating to the purposes for
which the fund may be expended, the district officer with authority
and responsibility over the fund, the necessity for the fund, and the
maximum amount of the fund.
   (2) The Fire Protection District Law of 1987 authorizes the board
of a fire protection district to appoint a district treasurer, and to
establish the duties and compensation of the district treasurer, by
resolution. That law authorizes the district treasurer, or any other
person authorized by the board, to draw checks or warrants to pay
demands that have been audited and approved in the manner prescribed
by the board. That law requires the county treasurer to serve as the
district treasurer if the district board does not appoint a district
treasurer.
   This bill would authorize the governing body of an independent
special district, as defined, to invest that district's surplus funds
outside of the county treasury without the approval of the county
treasurer, even if the county treasurer concurrently serves as the
treasurer of that district.
   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 53952 of the Government Code is amended to
read:
   53952.   (a)    The governing board of a special
district may, by resolution, provide for the establishment of a
revolving fund in an amount not to exceed one thousand dollars
($1,000) to be used to make change and pay small bills directly. The
resolution which establishes the district revolving fund shall
designate all of the following: 
   (a) 
    (1)  The purposes for which the fund may be expended.

   (b) 
    (2)  The officer of the district who shall have
authority to make disbursements from the fund and be responsible for
keeping account of all receipts and disbursements from the fund.

   (c) 
    (3)  The necessity for the fund. 
   (d) 
    (4)  The maximum amount of the fund. 
   (b) In addition to the authority granted by subdivision (a), an
independent special district, as defined in Section 56044, may by
resolution provide for the establishment of a revolving fund in an
amount not to exceed 110 percent of one-twelfth of the district's
adopted budget for that fiscal year. The fund may be used to pay any
authorized expenditures of the independent special district. The
resolution that established the district revolving fund shall conform
with the designations required by subdivision (a). 
  SEC. 2.  Section 53961 of the Government Code is amended to read:
   53961.  The governing board of a mosquito abatement district or a
vector control district organized pursuant to the Mosquito Abatement
and Vector Control District Law, Chapter 1 (commencing with Section
2000) of Division 8 of the Health and Safety Code, may by resolution
provide for the establishment of a revolving fund in an amount not to
exceed 110 percent of one-twelfth of the district's adopted budget
for that fiscal year. This fund, which shall replace the fund
authorized  in   by subdivision (a) of 
Section 53952, may be used to pay any authorized expenditures of the
district. The resolution that established the district revolving fund
shall conform with the designations required  in 
 by subdivision (a) of  Section 53952.
  SEC. 3.  Chapter 6.5 (commencing with Section 60225) is added to
Division 1 of Title 6 of the Government Code, to read:
      CHAPTER 6.5.  INDEPENDENT SPECIAL DISTRICTS


   60225.  The governing body of an independent special district, as
defined in Section 56044, may invest the district's surplus funds
outside of the county treasury without the approval of the county
treasurer, even if the county treasurer concurrently serves as the
treasurer of that district.