BILL NUMBER: SB 1022	ENROLLED
	BILL TEXT

	PASSED THE SENATE  JUNE 27, 2012
	PASSED THE ASSEMBLY  JUNE 27, 2012
	AMENDED IN ASSEMBLY  JUNE 25, 2012

INTRODUCED BY   Committee on Budget and Fiscal Review

                        FEBRUARY 6, 2012

   An act to amend Sections 15819.40, 15819.401, 15819.402,
15819.403, 15819.404, 15820.903, and 15820.913 of, to amend and
renumber the heading of Chapter 3.12 (commencing with Section
15820.100) of Part 10b of Division 3 of Title 2 of, to add Chapter
3.13 (commencing with Section 15820.92) to Part 10b of Division 3 of
Title 2 of, and to repeal Chapter 3.2.2 (commencing with Section
15819.41) of Part 10b of Division 3 of Title 2 of, the Government
Code, and to amend Section 7050 of, to repeal Section 7021 of, and to
repeal Chapter 9.8 (commencing with Section 6270) of Title 7 of Part
3 of, the Penal Code, relating to correctional facilities, and
making an appropriation therefor, to take effect immediately, bill
related to the budget.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1022, Committee on Budget and Fiscal Review. Correctional
facilities.
   Existing law, the Public Safety and Offender Rehabilitation
Services Act of 2007, authorizes certain revenue bond construction of
prison facilities. Under phase I of the act, the Department of
Corrections and Rehabilitation is authorized to design, construct, or
renovate housing units, support buildings, and programming space in
order to add up to 12,000 beds at facilities under its jurisdiction.
The department is also authorized to acquire land, design, construct,
and renovate reentry program facilities to provide housing for up to
6,000 inmates, as specified, and to design and construct new, or
renovate existing, buildings and any necessary ancillary
improvements, at facilities under the jurisdiction of the department
to provide medical, dental, and mental health treatment or housing
for up to 6,000 inmates. The provisions of phase I of the act
authorize the State Public Works Board to issue revenue bonds,
negotiable notes, or negotiable bond anticipation notes to finance
the acquisition, design, and construction pursuant to those
provisions, and provides that the authorized costs for the
acquisition, design, and construction shall not exceed
$1,800,000,000, $975,000,000, and $857,100,000, respectively, for the
costs of the projects specified above. The provisions of phase I
also authorize the board to borrow funds for project costs, including
acquisition, design, construction, and construction-related costs,
from the Pooled Money Investment Account, as specified.
   This bill would instead authorize the department to design and
construct new, or renovate existing, housing units, support
buildings, programming space, and any necessary ancillary
improvements in order to add capacity at facilities and to provide
medical, dental, and mental health treatment or housing to inmates,
and would specify the facilities and projects for which funds may be
used. The bill would revise the maximum amount of costs authorized
for the design and construction of the projects specified above. The
bill would delete the provisions authorizing the department to
acquire land, design, construct, and renovate reentry program
facilities.
   Existing law appropriates $300,000,000 from the General Fund for
capital outlay to be allocated to renovate, improve, or expand
infrastructure capacity at existing prison facilities. Existing law
authorizes the funds to be used for specified other purposes,
including for study and acquisition of options to purchase real
property for reentry facilities, as specified.
   This bill would eliminate the authorization to use the funds for
study and acquisition of options to purchase real property for
reentry facilities and would authorize the funds to be used for the
design and construction of improvements to medication distribution
facilities at state prison facilities. The bill would also revise
various reporting and accounting requirements with respect to the
funds.
   Under phase II of the act, the department is required to complete
site assessments at facilities where it intends to construct or
renovate additional housing units, support buildings, and programming
space in order to add up to 4,000 beds at facilities under its
jurisdiction. Those provisions authorize the department to design and
construct new, or renovate existing, buildings and any necessary
ancillary improvements at facilities to provide medical, dental, and
mental health treatment or housing for up to 2,000 inmates, and to
acquire land, design, construct, and renovate reentry program
facilities throughout the state that will house up to 10,000 inmates.
Phase II of the act authorizes the State Public Works Board to issue
revenue bonds, negotiable notes, or negotiable bond anticipation
notes to finance those projects.
   This bill would repeal phase II of the act.
   Existing law authorizes the Department of Corrections and
Rehabilitation, participating counties, and the State Public Works
Board to acquire, design, and construct local jail facilities
approved by the Corrections Standards Authority. Existing law
authorizes the State Public Works Board to issue revenue bonds,
notes, or bond anticipation notes in the amounts of $617,119,000 and
$602,881,000 to finance the acquisition, design, and construction,
and a reasonable construction reserve, of approved local jail
facilities, as specified. The funds derived from those revenue bonds,
notes, or bond anticipation notes are continuously appropriated for
the purposes described above.
   This bill would decrease the authorization for revenue bonds,
notes, or bond anticipation notes from $617,119,000 to $445,771,000
and increase the authorization of $602,881,000 to $774,229,000. By
increasing moneys deposited into a continuously appropriated fund,
this bill would make an appropriation.
   The bill would authorize the Board of State and Community
Corrections, the State Public Works Board, and a participating
county, as defined, to acquire, design, and construct an adult local
criminal justice facility approved by the Board of State and
Community Corrections, or to acquire a site or sites owned by, or
subject to a lease option to purchase held by, a participating
county. The bill would authorize the State Public Works Board to
issue up to $500,000,000 in revenue bonds, notes, or bond anticipate
notes to finance the acquisition, design, and construction of
approved adult local criminal justice facilities, and would
continuously appropriate the funds for those purposes.
   The bill would authorize the Department of Corrections and
Rehabilitation to design and construct 3 Level II dorm facilities
adjacent to specified institutions, including Folsom State Prison,
and would authorize the department to use specified funds previously
appropriated to complete site suitability studies at those locations.
The bill would authorize the State Public Works Board to issue up to
$810,000,000 in revenue bonds, notes, or bond anticipation notes to
finance design, construction, and construction-related costs for this
project, and would continuously appropriate those funds for purposes
relating to the project. The bill would also require the department,
after completion of 3 Level II dorm facilities, to remove all
inmates from, cease operations of, and close the California
Rehabilitation Center in Norco, as specified.
   The bill would also make nonsubstantive, technical changes.
   The bill would appropriate the sum of $1,000 from the General Fund
to the Department of Corrections and Rehabilitation for
administration.
   This bill would declare that it is to take effect immediately as a
bill providing for appropriations related to the Budget Bill.
   Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 15819.40 of the Government Code is amended to
read:
   15819.40.  (a) (1) (A) The Department of Corrections and
Rehabilitation may design and construct new, or renovate existing,
housing units, support buildings, programming space, and any
necessary ancillary improvements in order to add capacity at
facilities under its jurisdiction. The department shall complete site
assessments at facilities at which it intends to construct or
renovate additional housing units, support buildings, programming
space, or ancillary improvements. The department may use the funding
provided in Section 28 of Chapter 7 of the Statutes of 2007 to
complete these site assessments.
   (B) The authority contained in subparagraph (A) may be used to
develop new beds including appropriate programmatic space pursuant to
paragraph (2) and, together with the funds appropriated in Section
15819.403 for this purpose, shall constitute the scope of a single
capital outlay project for purposes of calculating augmentations
pursuant to Section 13332.11 or Section 13332.19 as described in
Section 15819.401.
   (2) Any new beds constructed pursuant to this section shall be
supported by rehabilitative programming for inmates, including, but
not limited to, education, vocational programs, substance abuse
treatment programs, employment programs, and prerelease planning.
   (3) The authority contained in this subdivision may be used to
develop beds and treatment space to serve inmates requiring mental
health or medical services. Any beds developed with a medical or
mental health purpose shall be supported with rehabilitative
programming, as defined in paragraph (2), that is consistent with the
medical or mental health services required by the inmates.
   (b) The Department of Corrections and Rehabilitation is authorized
to design and construct new, or renovate existing, buildings and any
necessary ancillary improvements, at facilities under the
jurisdiction of the department to provide medical, dental, and mental
health treatment or housing and, together with the funds
appropriated in Section 15819.403 for this purpose, this shall
constitute the scope and cost of a single capital outlay project for
purposes of calculating augmentations pursuant to Section 13332.11 or
Section 13332.19 as described in Section 15819.401.
   (c) (1) The scope and cost of each project authorized by this
chapter shall be established individually by the board. The amount of
the total appropriations in Section 15819.403 that is necessary for
each project shall be allocated to each project. The appropriations
may be allocated based on current estimates. These allocations may be
adjusted commensurate to changes that occur during the progression
of the projects. As allocations are made or adjusted, the anticipated
deficit or savings shall be continuously tracked and reported. Once
the total appropriation has been allocated, any augmentation
necessary to fund an anticipated deficit shall be based on the total
applicable capital outlay appropriation in Section 15819.403 and
applied to each project allocation as necessary.
   (2) Concurrent with the request to the board to establish each
project in the Health Care Facility Improvement Program, the
department shall report the associated scope, cost, and schedule
information to the Joint Legislative Budget Committee.
   (3) The reporting requirements set forth in Sections 7000 to
7003.5, inclusive, of the Penal Code shall apply separately to each
project authorized pursuant to this chapter.
  SEC. 2.  Section 15819.401 of the Government Code is amended to
read:
   15819.401.  The scope and costs of the projects authorized by this
chapter shall be subject to approval and administrative oversight by
the board, including augmentations, pursuant to Section 13332.11 or
Section 13332.19. For purposes of this chapter, the availability of
an augmentation for each individual project allocation shall be
calculated based on the total applicable capital outlay appropriation
contained in Section 15819.403 and is not limited to 20 percent of
the individual project allocation.
  SEC. 3.  Section 15819.402 of the Government Code is amended to
read:
   15819.402.  For all projects authorized by this chapter, the board
may borrow funds for project costs, including studies, design,
construction, and construction-related costs from the Pooled Money
Investment Account pursuant to Sections 16312 and 16313. Except for
preliminary expenditures to develop the scope, budget, programming,
and scheduling for a project, project funds expended prior to project
approval by the board shall not be reimbursable from the proceeds of
the bonds.
  SEC. 4.  Section 15819.403 of the Government Code is amended to
read:
   15819.403.  (a) The board may issue revenue bonds, negotiable
notes, or negotiable bond anticipation notes pursuant to this part to
finance the design and construction, including, without limitation,
renovation, and the costs of interim financing of the projects
authorized in Section 15819.40. Authorized costs for design and
construction, including, without limitation, renovation, and
construction-related costs for all projects approved for financing by
the board shall not exceed one billion six million three hundred
sixty-nine thousand dollars ($1,006,369,000) for subdivision (a) of
Section 15819.40, and one billion forty-six million five hundred
seventy-nine thousand dollars ($1,046,579,000) for subdivision (b) of
Section 15819.40.
   (b) Notwithstanding Section 13340, funds derived from interim
financing, revenue bonds, negotiable notes, or negotiable bond
anticipation notes issued pursuant to this chapter are hereby
continuously appropriated to the board on behalf of the Department of
Corrections and Rehabilitation for the purposes specified in Section
15819.40.
   (c) For the purposes of this section, "construction-related costs"
shall include mitigation costs of local government and school
districts and shall be made available pursuant to subdivisions (c)
and (d) of Section 7005.5 of the Penal Code. It is the intent of the
Legislature that any payments made for mitigation shall be made in a
timely manner.
   (d) Notwithstanding any other law, the financing authorized in
this section for projects approved pursuant to subdivision (a) of
Section 15819.40 shall only be used for the California Health Care
Facility, Stockton project and the conversion of the DeWitt Nelson
Youth Correctional Facility to a semiautonomous annex facility to the
California Health Care Facility. In addition, the financing
authorized in this section for projects approved pursuant to
subdivision (b) of Section 15819.40 shall only be used for the
following projects:
   (1) The California Medical Facility, Vacaville: Intermediate Care
Facility.
   (2) The California Institution for Women, Chino:
Acute/Intermediate Care Facility.
   (3) The California State Prison Los Angeles County, Lancaster:
Enhanced Outpatient Program Treatment and Office Space.
   (4) The California Men's Colony, San Luis Obispo: Mental Health
Crisis Beds Facility.
   (5) The California Medical Facility, Vacaville: Enhanced
Outpatient Program Treatment and Office Space.
   (6) The California State Prison, Sacramento: Psychiatric Services
Unit Treatment and Office Space.
   (7) The California State Prison, Corcoran: Administrative
Segregation Unit/Enhanced Outpatient Program Treatment and Office
Space.
   (8) The Salinas Valley State Prison, Soledad: Enhanced Outpatient
Program Treatment and Office Space.
   (9) The Central California Women's Facility, Chowchilla: Enhanced
Outpatient Program Treatment and Office Space.
   (10) All projects established by the board in the Health Care
Facility Improvement Program.
  SEC. 5.  Section 15819.404 of the Government Code is amended to
read:
   15819.404.  Notwithstanding Section 15819.403, the amount of
revenue bonds, negotiable notes, or negotiable bond anticipation
notes to be sold may include the following:
   (a) The cost of design and construction, including, without
limitation, renovation, or construction management and supervision,
and other costs related to the design and construction, including,
without limitation, renovation, of the facilities, including
augmentations.
   (b) Sums necessary to pay interim financing.
   (c) In addition to the amount authorized by Section 15819.403, any
additional amount as may be authorized by the board to establish a
reasonable construction reserve and to pay the costs of financing,
including the payment of interest prior to, during, and for a period
of six months after construction of the project, the cost of
financing a debt-service reserve fund, and the cost of issuance of
permanent financing for the project. This additional amount may
include interest payable on any interim loan for the facility from
the General Fund or the Pooled Money Investment Account pursuant to
Sections 16312 and 16313.
  SEC. 6.  Chapter 3.2.2 (commencing with Section 15819.41) of Part
10b of Division 3 of Title 2 of the Government Code is repealed.
  SEC. 7.  Section 15820.903 of the Government Code is amended to
read:
   15820.903.  (a) The SPWB may issue up to four hundred forty-five
million seven hundred seventy-one thousand dollars ($445,771,000) in
revenue bonds, notes, or bond anticipation notes, pursuant to Chapter
5 of Part 10b of Division 3 of Title 2 (commencing with Section
15830) to finance the acquisition, design, or construction, and a
reasonable construction reserve, of approved local jail facilities
described in Section 15820.901, and any additional amount authorized
under Section 15849.6 to pay for the cost of financing.
   (b) Proceeds from the revenue bonds, notes, or bond anticipation
notes may be utilized to reimburse a participating county for the
costs of acquisition, preliminary plans, working drawings, and
construction for approved projects.
   (c) Notwithstanding Section 13340, funds derived pursuant to this
section and Section 15820.902 are continuously appropriated for
purposes of this chapter.
   (d) This section shall become inoperative on June 30, 2017, and no
project may be commenced after that date; however, projects that
have already commenced by that date may be completed and financed
with bonds issued pursuant to this chapter.
  SEC. 8.  Section 15820.913 of the Government Code is amended to
read:
   15820.913.  (a) The SPWB may issue up to seven hundred
seventy-four million two hundred twenty-nine thousand dollars
($774,229,000) in revenue bonds, notes, or bond anticipation notes,
pursuant to Chapter 5 of Part 10b of Division 3 of Title 2
(commencing with Section 15830) to finance the acquisition, design,
or construction, and a reasonable construction reserve, of approved
local jail facilities described in Section 15820.911, and any
additional amount authorized under Section 15849.6 to pay for the
cost of financing.
   (b) Proceeds from the revenue bonds, notes, or bond anticipation
notes may be used to reimburse a participating county for the costs
of acquisition, preliminary plans, working drawings, and construction
for approved projects.
   (c) Notwithstanding Section 13340, funds derived pursuant to this
section and Section 15820.912 are continuously appropriated for
purposes of this chapter.
  SEC. 9.  Chapter 3.13 (commencing with Section 15820.92) is added
to Part 10b of Division 3 of Title 2 of the Government Code, to read:

      CHAPTER 3.13.  FINANCING OF ADULT LOCAL CRIMINAL JUSTICE
FACILITIES


   15820.92.  For purposes of this chapter, "participating county"
means any county, or regional consortium of counties, within the
state that has been certified to the State Public Works Board (the
board) by the Board of State and Community Corrections (BSCC) as
having satisfied all of the requirements set forth in Section
15820.925 for financing an adult local criminal justice facility
pursuant to this chapter. For purposes of this chapter, an adult
local criminal justice facility may include any custodial housing,
reentry, program, mental health, or treatment space necessary to
manage the adult offender population consistent with the legislative
intent described in Sections 17.5 and 3450 of the Penal Code under
the jurisdiction of the sheriff or county department of corrections,
as may be applicable, to be further defined by the BSCC in duly
adopted regulations.
   (a) The BSCC, a participating county, and the board are authorized
to acquire, design, and construct an adult local criminal justice
facility approved by the BSCC pursuant to Section 15820.925, or to
acquire a site or sites owned by, or subject to a lease or option to
purchase held by, a participating county. For the purposes of this
chapter, acquisition shall include, but is not limited to,
acquisition of completed facilities through a build-to-suit purchase.
Facilities financed pursuant to this chapter may be delivered
through either a design-bid-build or a design-build process. The
ownership interest of a participating county in the site or sites for
an adult local criminal justice facility shall be determined by the
board to be adequate for purposes of its financing in order to be
eligible under this chapter.
   (b) Notwithstanding Section 14951, the participating county may
assign an inspector during the construction of the adult local
criminal justice facility.
   (c) The BSCC, a participating county, and the board shall enter
into an agreement for each adult local criminal justice facility that
shall provide, at a minimum, performance expectations of the parties
related to the acquisition, design, and construction, including,
without limitation, renovation, of the adult local criminal justice
facility; guidelines and criteria for use and application of the
proceeds of revenue bonds, notes, or bond anticipation notes issued
by the board to pay for the cost of the approved adult local criminal
justice facility; and ongoing maintenance and staffing
responsibilities for the term of the financing.
   (d) The agreement shall include a provision that the participating
county agrees to indemnify, defend, and hold harmless the State of
California for any and all claims and losses arising out of the
acquisition, design, and construction of the adult local criminal
justice facility. The agreement may also contain additional terms and
conditions that facilitate the financing by the board.
   (e) The scope and cost of the adult local criminal justice
facilities shall be subject to approval and administrative oversight
by the board.
   (f) For purposes of compliance with the California Environmental
Quality Act (Division 13 (commencing with Section 21000) of the
Public Resources Code), neither the board nor the BSCC shall be
deemed a lead or responsible agency and the participating county
shall be the lead agency.
   15820.921.  Upon a participating county's receipt of responsive
construction bids or design-build proposals, or a participating
county's notification to the board of its intent to exercise a
purchase option, the board and the BSCC may borrow funds for project
costs after the adult local criminal justice facility has been
certified pursuant to Section 15820.92 from the Pooled Money
Investment Account pursuant to Sections 16312 and 16313, or from any
other appropriate source. In the event any of the revenue bonds,
notes, or bond anticipation notes authorized by this chapter are not
sold, the BSCC shall commit a sufficient amount of its support
appropriation to repay any loans made for an approved adult local
criminal justice facility.
   15820.922.  (a) The board may issue up to five hundred million
dollars ($500,000,000) in revenue bonds, notes, or bond anticipation
notes, pursuant to Chapter 5 (commencing with Section 15830) to
finance the acquisition, design, and construction, including, without
limitation, renovation, and a reasonable construction reserve, of
approved adult local criminal justice facilities described in Section
15820.920, and any additional amount authorized under Section
15849.6 to pay for the cost of financing.
   (b) Proceeds from the revenue bonds, notes, or bond anticipation
notes may be used to reimburse a participating county for the costs
of acquisition, design, and construction, including, without
limitation, renovation, for approved adult local criminal justice
facilities.
   (c) Notwithstanding Section 13340, funds derived pursuant to this
section and Section 15820.921 are continuously appropriated for
purposes of this chapter.
   15820.923.  In support of this state financing, the Legislature
finds and declares all of the following:
   (a) The county adult criminal justice system needs more housing,
program, and treatment space to manage the adult offender population
under its jurisdiction.
   (b) Appropriate county adult criminal justice housing, program,
and treatment space will enhance public safety throughout the state
by providing increased access to appropriate programs or treatment.
   (c) By expanding county adult criminal justice capacity, this
financing will serve a critical state purpose by promoting public
safety.
   (d) This purpose represents valuable consideration in exchange for
this state action.
   15820.924.  With the consent of the board, the BSCC and a
participating county are authorized to enter into leases or
subleases, as lessor or lessee, for any property or approved adult
local criminal justice facility and are further authorized to enter
into contracts or other agreements for the use, maintenance, and
operation of the adult local criminal justice facility in order to
facilitate the financing authorized by this chapter. In those leases,
subleases, or other agreements, the participating county shall agree
to indemnify, defend and hold harmless the State of California for
any and all claims and losses accruing and resulting from or arising
out of the participating county's use and occupancy of the adult
local criminal justice facility.
   15820.925.  (a) The BSCC shall adhere to its duly adopted
regulations for the approval or disapproval of adult local criminal
justice facilities. The BSCC shall also consider cost-effectiveness
in determining approval or disapproval. No state moneys shall be
encumbered in contracts let by a participating county until one of
the following occur:
   (1) Final architectural plans and specifications have been
approved by the BSCC, and subsequent construction bids have been
received.
   (2) Documents prepared by a participating county pursuant to
paragraph (1) of subdivision (d) of Section 20133 of the Public
Contract Code have been approved by the BSCC, and subsequent
design-build proposals have been received pursuant to that section.
   (3) The participating county has notified the board of its intent
to exercise an option to purchase the completed facility pursuant to
Section 15820.921.
   (b) The review and approval of plans, specifications, or other
documents by the BSCC are for the purpose of ensuring the proper
administration of moneys and the determination of whether the adult
local criminal justice facility specifications comply with law and
regulation. The BSCC may require changes in construction materials to
enhance safety and security if materials proposed at the time of
final plans and specifications are not essential and customary as
used statewide for facilities of the same security level.
Participating counties are responsible for the acquisition, design,
construction, staffing, operation, repair, and maintenance of the
adult local criminal justice facility.
   (c) The BSCC shall establish minimum standards, funding schedules,
and procedures, which shall take into consideration, but not be
limited to, the following:
   (1) Certification by a participating county of control of the
adult local criminal justice facility site through either fee simple
ownership of the site or comparable long-term possession of the site,
and right of access to the adult local criminal justice facility
sufficient to ensure undisturbed use and possession.
   (2) Documentation of the need for the adult local criminal justice
facility.
   (3) A written adult local criminal justice facility proposal.
   (4) Submittal of a staffing plan for the adult local criminal
justice facility, including operational cost projections and
documentation that the adult local criminal justice facility will be
able to be safely staffed and operated within 90 days of completion,
as may be applicable.
   (5) Submittal of architectural drawings, which shall be approved
by the BSCC for compliance with minimum adult detention facility
standards and that shall also be approved by the State Fire Marshal
for compliance with fire safety and life safety requirements.
   (6) Documentation evidencing compliance with the California
Environmental Quality Act.
   (7) Provisions intended to maintain the tax-exempt status of the
bonds, notes, or bond anticipation notes issued by the board.
   15820.926.  (a) The participating county contribution for adult
local criminal justice facilities financed under this chapter shall
be a minimum of 10 percent of the total project costs. The BSCC may
reduce contribution requirements for participating counties with a
general population below 200,000 upon petition by a participating
county to the BSCC requesting a lower level of contribution.
   (b) The BSCC shall determine the funding criteria. Funding
consideration shall be given to counties that are seeking to replace
existing compacted, outdated, or unsafe housing capacity or are
seeking to renovate existing or build new facilities that provide
adequate space for the provision of treatment and rehabilitation
services, including mental health treatment. Funding preference shall
be given to counties that are most prepared to proceed successfully
with this financing in a timely manner. The determination of
preparedness to proceed shall include, but not be limited to,
counties providing documentation of adequate, available matching
funds authorized by the county board of supervisors from a source or
sources compatible with this financing authority as determined by the
State Public Works Board in its sole discretion. A participating
county may only add housing capacity using this financing authority
if the requesting county clearly documents an existing housing
capacity deficiency. Any county requesting to add housing capacity
using this financing authority shall be required to certify and
covenant in writing that the county is not and will not be leasing
housing capacity to any other public or private entity for a period
of 10 years beyond the completion date of the adult local criminal
justice facility.
  SEC. 10.  The heading of Chapter 3.12 (commencing with Section
15820.100) of Part 10b of Division 3 of Title 2 of the Government
Code, as added by Section 1 of Chapter 245 of the Statutes of 2007,
is amended and renumbered to read:
      CHAPTER 3.14.  FINANCING OF SAN QUENTIN STATE PRISON CENTRAL
HEALTH SERVICES FACILITIES


  SEC. 11.  Chapter 9.8 (commencing with Section 6270) of Title 7 of
Part 3 of the Penal Code is repealed.
  SEC. 12.  Section 7021 of the Penal Code is repealed.
  SEC. 13.  Section 7050 of the Penal Code is amended to read:
   7050.  (a) (1) Section 28 of Chapter 7 of the Statutes of 2007
contains an appropriation of three hundred million dollars
($300,000,000) for capital outlay to be allocated to renovate,
improve, or expand infrastructure capacity at existing prison
facilities. The funds appropriated by that section may be used for
land acquisition, environmental services, architectural programming,
engineering assessments, schematic design, preliminary plans, working
drawings, and construction.
   (2) These funds may also be used to address deficiencies related
to utility systems owned by local government entities and serving
state prison facilities subject to the provisions of Section 54999 of
the Government Code. The department shall report on any funds to be
expended for this purpose to the Joint Legislative Budget Committee.
If the committee fails to take any action with respect to each
notification within 20 days after submittal, this inaction shall be
deemed to be approval for purposes of this section.
   (3) These funds may also be used for the design and construction
of improvements to dental facilities at state prison facilities.
   (4) These funds may also be used for the design and construction
of improvements to medication distribution facilities at state prison
facilities.
   (5) This subdivision authorizes the scope and cost of a single
capital outlay project for purposes of calculating augmentations
pursuant to Section 13332.11 or 13332.19.
   (b) The scope and costs of the projects described in subdivision
(a) of this section shall be subject to approval and administrative
oversight by the State Public Works Board, including augmentations,
pursuant to Section 13332.11 or 13332.19 of the Government Code. The
availability of an augmentation for each individual project
allocation shall be based on the total applicable capital outlay
appropriation contained in Section 28 of Chapter 7 of the Statutes of
2007 and is not limited to 20 percent of the individual project
allocation. These requirements shall be applied separately to each
institution. All of the necessary infrastructure improvements at each
institution may be treated as one project such that there would be
one infrastructure improvement project at each institution. The scope
and cost of each infrastructure improvement project shall be
established by the board individually. The amount of the total
appropriation in Section 28 of Chapter 7 of the Statutes of 2007 that
is necessary for each infrastructure improvement project shall be
allocated by institution. The appropriation may be allocated based on
current estimates. These initial allocations may be adjusted
commensurate to changes that occur during the progression of the
projects. As allocations are made or adjusted, the anticipated
deficit or savings shall be continuously tracked and reported. Once
the total appropriation has been allocated, any augmentation
necessary to fund an anticipated deficit shall be based on the total
appropriation and allocated to each project as necessary. Concurrent
with the request to the board to establish each project authorized
pursuant to this section, the Department of Corrections and
Rehabilitation shall report the associated scope, cost, and schedule
information to the Joint Legislative Budget Committee.
   (c) The projects authorized pursuant to this section shall be part
of the Department of Corrections and Rehabilitation's master plan,
as defined in Section 7000.
      (d) The reporting requirements set forth in Sections 7000 to
7003.5, inclusive, shall apply separately to each project authorized
pursuant to this section.
  SEC. 14.  (a) (1) The Department of Corrections and Rehabilitation
is authorized to design and construct three Level II dorm facilities
adjacent to one or more of the following institutions: Folsom State
Prison; California State Prison, Sacramento; California Medical
Facility; California State Prison, Solano; Mule Creek State Prison;
California Institution for Men; and Richard J. Donovan Correctional
Facility. The Department of Corrections and Rehabilitation may use
funding appropriated in Section 28 of Chapter 7 of the Statutes of
2007 to complete site suitability studies at these locations.
   (2) The Department of Corrections and Rehabilitation shall notify
the State Public Works Board of its proposed siting locations and the
State Public Works Board shall authorize the final siting of the
facilities authorized in this section. Concurrent with this
notification to the State Public Works Board, the Department of
Corrections and Rehabilitation shall report to the Joint Legislative
Budget Committee the scope and cost information associated with the
proposed final siting of the facilities.
   (3) The Department of Corrections and Rehabilitation is authorized
to use design-build project delivery for the project authorized in
this section pursuant to the provisions of Section 14661.1 of the
Government Code. The project authorized in this section shall
constitute a single prison facility for purposes of the limitation in
Section 14661.1 of the Government Code. The provisions of Section
13332.19 of the Government Code shall apply to this project.
   (4) It is the intent of the Legislature that these facilities will
be designed to provide flexible housing for various inmate
subpopulations, including, but not limited to, those with
disabilities, intermediate medical needs, or mental health treatment
needs.
   (5) The State Public Works Board shall not be deemed a lead or
responsible agency for purposes of the California Environmental
Quality Act (Division 13 (commencing with Section 21000) of the
Public Resources Code) for any activities under the State Building
Construction Act of 1955 (Part 10b (commencing with Section 15800) of
Division 3 of Title 2 of the Government Code). This paragraph does
not exempt the Department of Corrections and Rehabilitation from the
requirements of the California Environmental Quality Act. This
paragraph is declaratory of existing law.
   (b) The State Public Works Board may borrow funds for project
costs from the Pooled Money Investment Account pursuant to Sections
16312 and 16313 of the Government Code. In the event any of the
revenue bonds, notes, or bond anticipation notes authorized by this
section are not sold, the Department of Corrections and
Rehabilitation shall commit a sufficient amount of its support
appropriation to repay any loans made for the project authorized in
this section.
   (c) (1) The State Public Works Board may issue up to eight hundred
ten million dollars ($810,000,000) in revenue bonds, notes, or bond
anticipation notes, pursuant to Chapter 5 (commencing with Section
15830) of Part 10b of Division 3 of Title 2 of the Government Code to
finance the design, construction, and construction-related costs for
the project authorized in this section.
   (2) The Department of Corrections and Rehabilitation and the State
Public Works Board are authorized and directed to execute and
deliver any and all leases, contracts, agreements, or other documents
necessary or advisable to consummate the sale of bonds or otherwise
effectuate the financing for the project authorized in this section.
   (3) Notwithstanding Section 13340 of the Government Code, funds
derived pursuant to this section are hereby continuously appropriated
for the purposes of this section.
  SEC. 15.  The Department of Corrections and Rehabilitation shall
remove all inmates from, cease operations of, and close the
California Rehabilitation Center located in Norco, California, no
later than either December 31, 2016, or six months after construction
of the three Level II dorm facilities authorized in Section 14 of
this act, whichever is earlier.
  SEC. 16.  The sum of one thousand dollars ($1,000) is hereby
appropriated from the General Fund to the Department of Corrections
and Rehabilitation for administration.
  SEC. 17.  This act is a bill providing for appropriations related
to the Budget Bill within the meaning of subdivision (e) of Section
12 of Article IV of the California Constitution, has been identified
as related to the budget in the Budget Bill, and shall take effect
immediately.