BILL ANALYSIS Ó
SB 1580
Page 1
SENATE THIRD READING
SB 1580 (Governmental Organization Committee)
As Amended August 6, 2012
Majority vote
SENATE VOTE :37-0
BUSINESS & PROFESSIONS 9-0 APPROPRIATIONS 17-0
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|Ayes:|Hayashi, Bill Berryhill, |Ayes:|Fuentes, Harkey, |
| |Allen, Butler, | |Blumenfield, |
| |Eng, Hagman, Hill, Ma, | |Bradford, Charles |
| |Smyth | |Calderon, Campos, |
| | | |Davis, Donnelly, Gatto, |
| | | |Hall, Hill, |
| | | |Lara, Mitchell, Nielsen, |
| | | |Norby, |
| | | |Solorio, Wagner |
|-----+--------------------------+-----+--------------------------|
| | | | |
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SUMMARY : Authorizes the Department of General Services (DGS)
with the Adjutant General's approval, to sell specified armory
properties. Authorizes the DGS to dispose of all or any portion
of three specified parcels of state property and rescinds the
surplus authorization of two specified properties.
Specifically, this bill :
1)Authorizes the DGS, with the Adjutant General's approval, to
sell the following properties "as is" and subject to any local
governmental land use entitlement requirements:
a) Approximately 4.59 acres of real property, located at
2320 N. Parmelee Avenue, Compton, California, known as the
Compton Parmelee Armory;
b) Approximately 2.0 acres of real property, located at 900
Powell Avenue, Healdsburg, California, known as the
Healdsburg Armory;
c) Approximately 1.57 acres of real property, located at
14061 Nevada City Highway, Nevada City, California, known
as the Nevada City Armory; and,
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d) Approximately 2.84 acres of real property with
improvements made thereon, located at 950 West Laurel
Street, Willows, California, known as the Willows Armory.
2)Requires that the sale of armories authorized above shall not
constitute a sale or other disposition of surplus property and
requires the sale proceeds to be deposited in the Armory Fund
(Fund).
3)Requires the Military Department (MD) to reimburse the DGS for
any reasonable costs incurred in selling the specified
armories.
4)Authorizes DGS to dispose of all or any portion of the
following three specified parcels of state property:
a) Approximately 1.42 acres, formerly known as the
Employment Development Department (EDD) Field Office,
located at 135 West Fremont, in Stockton, San Joaquin
County. Proceeds from this sale shall be subject to the
reimbursement of federal equity financing, if any exists in
the property, as required under applicable state and
federal law;
b) Approximately 0.36 acres, known as the California
Department of Corrections and Rehabilitation (CDCR) Watts
Parole Center, located at 9110 S. Central Avenue, in Los
Angeles, Los Angeles County; and,
c) Approximately 0.6 acres, including a 1,113 square foot
residence and garage identified as Assessor Parcel Number
004-050-031-000, known as the CDCR Single Family Residence,
located on Sutter Lane, in Ione, Amador County.
5)Rescinds the surplus authorization of the following two
specified properties:
a) Approximately 2 acres, known as the Healdsburg Armory,
located at 900 Powell Avenue, Healdsburg, Sonoma County,
declared surplus in AB 1123 (Berg), Chapter 625, Statutes
of 2007; and,
b) Real property under the jurisdiction of the Department
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of Motor Vehicles (DMV), known as the DMV Santa Maria Field
Office, located at 523 South McClellan Street, Santa Maria,
Santa Barbara County, declared surplus in AB 358
(Blakeslee), Chapter 448, Statutes of 2007.
EXISTING LAW :
1)Specifies that the proceeds from the sale of armories must be
deposited in the Fund and are not required to be used to
retire bond debt resulting from the 2004 Economic Recovery
Bond Act. (Military and Veterans Code Section 435)
2)Authorizes the DGS to develop and review an inventory of
property surplus to the needs of the state in portions or
their entirety, and allows the DGS, subject to legislative
approval, to sell, lease, exchange, or transfer various
specified properties for current market value, or upon terms
and conditions as the DGS determines are in the state's best
interests.
3)Establishes criteria for state agencies to use in determining
and reporting excess lands. The law requires a state agency
to include:
a) Land not currently being utilized, or currently being
underutilized, for any existing or ongoing program;
b) Land for which the agency has not identified any
specific utilization relative to future needs; and,
c) Land not identified by the agency within its master plan
for facility development.
FISCAL EFFECT : According to the Assembly Appropriations
Committee:
1)Unknown net revenue to the Fund, conservatively in the
hundreds of thousands of dollars. Monies in the Fund area used
to pay the state's share of costs for repair, construction or
renovation of armories. The state also will realize minor
savings from no longer maintaining these properties, which the
MD indicates are currently vacant. (The MD has 103 active
armories throughout the state.)
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2)Unknown net revenue to the General Fund from disposition of
the CDCR properties and the EDD property. To the extent
federal funds contributed to development of the EDD facility,
a commensurate share of the proceeds from this sale will go to
the federal government.
COMMENTS : This bill is comprised of two parts - the first part
relates to the sale of four armories and the second part relates
to the disposition and rescission of state surplus properties.
This first part of this bill would authorize the DGS, with the
Adjutant General's approval, to dispose of four armories, with
the proceeds from the sale going towards the Fund to provide
financial support for the ongoing maintenance of active
armories. As this bill is written, the armories are not deemed
state surplus property.
The second part of this bill may be considered as the annual
surplus property bill sponsored by the DGS. Existing law
requires all state agencies to annually review and determine if
any lands under their jurisdiction are in excess of need. This
information is provided to DGS to annually report to the
Legislature the excess lands and request authorization to sell
those excess lands.
In November 2004, voters passed Proposition 60A, which requires
the proceeds of the sale of surplus property to be used to pay
down the $15 billion in deficit bonds included in the 2003-04
Budget. These payments are intended to accelerate the
retirement of the state's debt, and reduce future General Fund
payments to the bondholders.
Analysis Prepared by : Joanna Gin / B., P. & C.P. / (916)
319-3301
FN: 0004727