BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 1961
                                                                  Page  1

          Date of Hearing:  April 2, 2014

                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                           K.H. "Katcho" Achadjian, Chair
                    AB 1961 (Eggman) - As Amended:  March 25, 2014
           
          SUBJECT  :  Land use: planning: sustainable farmland strategy

           SUMMARY  :  Requires counties to develop a sustainable farmland  
          strategy.  Specifically,  this bill  :  

          1)Requires the board of supervisors of any county, other than a  
            county with less than 4 percent of its land base in  
            agriculture, as specified, to develop a Sustainable Farmland  
            Strategy.

          2)Requires the Sustainable Farmland Strategy to include all of  
            the following:

             a)   A map and inventory of all agriculturally zoned lands  
               within the county as of February 21, 2014.  Allows a county  
               to use the county-level maps of agricultural land developed  
               by the Farmland Mapping and Monitoring Program of the  
               Department of Conservation, general plan maps, or other  
               available local and state maps and resources;

             b)   A description of the goals, strategies, and related  
               policies and ordinances to retain agriculturally zoned  
               land, where practical, and mitigate the loss of  
               agriculturally zoned lands to nonagricultural uses or  
               nonagricultural zones;

             c)   A page on the county's Internet Web site that assembles  
               all of the relevant documentation for the goals, strategies  
               and related policies, and ordinances, as specified in a)  
               and b), above, as well as reporting on the manner of  
               compliance, as specified.  Requires the board of  
               supervisors to also include, on the Internet Web site, a  
               table and map showing the location of lands enrolled in the  
               California Land Conservation Act (Williamson Act).

          3)Requires the board of supervisors of each county to consult  
            with cities located within their boundaries, and with their  
            local agency formation commission (LAFCO), on the development  
            of the sustainable farmland strategy for that county to assure  








                                                                  AB 1961
                                                                  Page  2

            that the plans and policies of the cities and LAFCO are taken  
            into consideration and are compatible to the maximum extent  
            feasible.

          4)Allows a county to comply with the requirements of this bill  
            by relying on existing inventories and maps of agricultural  
            lands, and existing goals, strategies, and related policies  
            and ordinances that substantially comply with the provisions  
            of 2), above.  Requires any county complying in this manner to  
            summarize and incorporate by reference on the county's  
            Internet Web site, a description of how each requirement has  
            been met.

          5)Requires the board of supervisors to update the Sustainable  
            Farmland Strategy as determined to be necessary by the board.

          6)Requires, on or before January 1, 2018, each county to affirm  
            compliance by one of the following means:

             a)   Developing and adopting a Sustainable Farmland Strategy  
               consistent with 2), above;

             b)   Adopting a resolution finding that the existing county  
               goals, policies and ordinances have a functionally  
               equivalent strategy that meets the requirements of 2),  
               above, pursuant to 4), above; or,

             c)   Adopting a resolution finding that the county's  
               agricultural land resources do not meet the threshold and  
               therefore the county is not required to develop a  
               sustainable farmland strategy.

          7)Requires the Governor's Office of Planning and Research (OPR),  
            when it adopts its next edition of general plan guidelines, to  
            include best practices that support agricultural land  
            retention and mitigation, including, but not limited to, the  
            following:

             a)   Right to farm ordinance with real estate disclosure;

             b)   Farmland mitigation ordinances;

             c)   Conservation easement purchase programs;

             d)   Economic incentives to promote local agriculture;








                                                                  AB 1961
                                                                  Page  3


             e)   Use of zoning to prevent nuisances and land use  
               conflicts, and to promote commercial agriculture by  
               limiting parcelization of agricultural lands;

             f)   Urban growth boundaries in coordination with  
               incorporated jurisdictions; and,

             g)   Locally adopted thresholds of significance for  
               California Environmental Quality Act (CEQA) review for  
               conservation of grazing lands and farmland of local  
               importance, in addition to existing thresholds for  
               conversion of prime farmland, unique farmland, and farmland  
               of statewide importance.

          8)Requires OPR to include in their next update of the General  
            Plan Guidelines recommendations on the role of LAFCOs in the  
            preservation of agriculturally zoned lands when considering  
            annexations of agriculturally zoned lands into cities and  
            service extensions onto agriculturally zoned lands.

          9)Adds to the list of factors to be considered by a LAFCO in the  
            review of a proposal for a change or organization or  
            reorganization a sustainable farmland strategy, if one has  
            been developed pursuant to the provisions of the bill.

          10)Defines "agriculturally zoned land" to mean land that is  
            determined by a county to be designated in agriculture as the  
            primary purpose of use of the zone.

          11)Makes a number of findings and declarations related to the  
            importance of conservation of agricultural land resources.

          12)Declares the certain actions by local agencies, including  
            those to protect natural resources and the environment, have  
            been identified by OPR as classes of projects that do not have  
            a significant effect on the environment, and are therefore not  
            subject to the California Environmental Quality Act, and  
            declares that the adoption of a sustainable farmland strategy  
            would be considered to be an action to protect natural  
            resources or the environment.

          13)Provides that no reimbursement is required by the bill's  
            provisions because a local agency or school district has the  
            authority to levy service charges, fees, or assessments  








                                                                  AB 1961
                                                                  Page  4

            sufficient to pay for the program or level of service.

           EXISTING LAW  :

          1)Requires that each city and county in California must prepare  
            a comprehensive, long term general plan to guide its future.  

          2)Requires a general plan to include seven mandatory elements,  
            including a land use, circulation, housing, conservation, open  
            space, noise, and safety.

          3)Allows the general plan to include other elements or address  
            any other subjects which, in the judgment of the legislative  
            body, relate to the physical development of the county or  
            city.

          4)Requires OPR to adopt and periodically revise guidelines for  
            the preparation and content of local general plans.

          5)Establishes the procedures for the organization and  
            reorganization of cities, counties, and special districts  
            under the Cortese-Knox-Hertzberg Local Reorganization Act of  
            2000.

          6)Establishes, in each county, a LAFCO and declares the purposes  
            of LAFCOs are to discourage urban sprawl, preserve open-space  
            and prime agricultural lands, efficiently provide government  
            services, and encourage the orderly formation and development  
            of local agencies based upon local conditions and  
            circumstances.

          7)Lists and specifies 15 factors that a LAFCO must consider in  
            the review of a proposal for a change of organization or  
            reorganization, including the following (for full list see  
            Government Code Section 56668):

             a)   A regional transportation plan adopted pursuant to  
               Section 65080;

             b)   The sphere of influence of any local agency which may be  
               applicable to the proposal being reviewed;

             c)   The extent to which the proposal will affect a city or  
               cities and the county in achieving their respective fair  
               shares of the regional housing needs as determined by the  








                                                                  AB 1961
                                                                  Page  5

               appropriate council of governments; and,

             d)   Any information relating to existing land use  
               designations.

           FISCAL EFFECT :   This bill is keyed fiscal.



           COMMENTS  :   

           1)Purpose of this bill  .  This bill requires most counties, by  
            January 1, 2018, to develop a Sustainable Farmland Strategy to  
            include maps of agriculturally-zoned lands and local goals,  
            policies, and ordinances for the retention and mitigation of  
            agriculturally-zoned lands.  The bill allows a county to  
            comply by using existing inventories and maps, existing goals,  
            strategies and policies that the county has already adopted.   
            The bill also requires OPR to include, in its next update of  
            the General Plan Guidelines, best practices that support  
            farmland conservation, and additionally requires a LAFCO, when  
            considering a proposal for a change organization or  
            reorganization, to consider a sustainable farmland strategy  
            developed by a county, in addition to other factors already  
            required in existing law.  
             
             This bill is co-sponsored by American Farmland Trust,  
            California Climate and Agriculture Network, and Community  
            Alliance with Family Farmers.

           2)Author's statement  .  According to the author, "California is  
            the nation's leader in food production and contributes  
            significantly to our food security and our economy.   
            California agriculture is also positioned to provide climate  
            benefits by reducing greenhouse gas emissions.  Research  
            funded by the California Energy Commission's Public Interest  
            Research (PIER) program found that an acre of urban land emits  
            70 times more greenhouse gas emission than an acre of  
            irrigated cropland. Over the past 30 years, an average of  
            approximately 30,000 acres of California agricultural land was  
            permanently converted to non-agricultural uses annually."

            "Counties have jurisdiction over the majority of the state's  
            agricultural land and play a vital role in regulating the use  
            of land, including the development and conservations of  








                                                                  AB 1961
                                                                  Page  6

            agricultural lands through appropriate zoning and planning  
            activities, as well as determinations of the potential  
            environmental impacts of proposed land use changes."

           3)City and county general plans and OPR's general plan  
            guidelines  .  Existing law requires that each city and county  
            in California prepare a comprehensive, long term general plan  
            to guide its future.  General plans include seven mandatory  
            elements, including housing, conservation, circulation, open  
            space, noise, safety and land use.  A city or county may also  
            include optional elements in a general plan - and there are  
            several counties in California that have adopted an optional  
            "ag element" as part of their general plan in order to deal  
            with special concerns and interests of the agricultural  
            community.
             
             To that end, OPR provides advice to local governments and the  
            public on application of the state's general plan law and  
            periodically revises and publishes the general plan  
            guidelines.  OPR, since the start of this year, has been  
            working on the update of the next general plan guidelines.
             
             This bill requires counties, outside of the general plan, to  
            develop a sustainable farmland strategy.  Additionally, the  
            bill requires OPR, upon its next update of the general plan  
            guidelines, to include best practices that support  
            agricultural land retention and mitigation.

           4)Role of LAFCOs  .  Existing law establishes a LAFCO in each  
            county and declares the purposes of LAFCOs are to discourage  
            urban sprawl, preserve open-space and prime agricultural  
            lands, efficiently provide government services, and encourage  
            the orderly formation and development of local agencies based  
            upon local conditions and circumstances.
             
             This bill contains several references to LAFCOs.  First, the  
            bill requires the board of supervisors of each county to  
            consult with the cities located in their boundaries, and with  
            their LAFCO, on the development of the sustainable farmland  
            strategy.  Second, the bill requires OPR to include in their  
            next update of the General Plan Guidelines recommendations on  
            the roles of LAFCOs in the preservation of agriculturally  
            zoned lands when considering annexations of agriculturally  
            zoned lands into cities and service extensions onto  
            agricultural zoned lands.  Third, the bill adds a sustainable  








                                                                  AB 1961
                                                                  Page  7

            farmland strategy to the list of factors to be considered by a  
            LAFCO in the review of a proposal for a change or organization  
            or reorganization.

            LAFCOs currently have a list of 15 specified factors that the  
            must consider when they are making boundary decisions.  This  
            section of LAFCO law was most recently updated by SB 215  
            (Wiggins), Chapter 570, Statutes of 2009.  SB 215 added a  
            "regional transportation plan adopted pursuant to Government  
            Code 65080."  The goal of SB 215 was to bring the specified  
            factors that LAFCO considers in line with provisions of SB 375  
            (Steinberg).

            This bill builds upon the provisions of SB 215 to require  
            LAFCOs to additionally consider a sustainable farmland  
            strategy, if one has been adopted by the county, prior to the  
            LAFCO making a decision about boundary changes.

           5)Policy considerations  .  A number of concerns have been raised  
            by interested parties, including the following:

              a)   Sustainable farmland strategy outside of the General  
               Plan  .  The Committee may wish to ask the author to explain  
               whether this new duty for counties to develop a sustainable  
               farmland strategy might be better handled in the relevant  
               elements of a county's general plan or in an optional ag  
               element, especially in light of the bill's requirement for  
               OPR to include new information in its General Plan  
               Guidelines related to ag land retention and provide best  
               practices to be used by cities in counties in their general  
               plans.

              b)   New duties for OPR  .  The Committee may wish to ask the  
               author to discuss why OPR, and why the General Plan  
               Guidelines specifically, are the appropriate mechanism to  
               discuss the role of LAFCOs in the preservation of  
               agriculturally zoned lands.   LAFCOs are guided by the  
               statutes contained in the Cortese-Knox-Hertzberg Act, not  
               by the General Plan Guidelines.
                
               c)   Mandate disclaimer  .  This bill contains a problematic  
               mandate disclaimer.  In Section 5, the bill provides that  
               "no reimbursement is required by this act?because a local  
               agency or school district has the authority to levy service  
               charges, fees, or assessments sufficient to pay for the  








                                                                  AB 1961
                                                                  Page  8

               program or level of service mandated by this act."

               This bill creates an additional duty for most counties to  
               develop a Sustainable Farmland Strategy.  However, there is  
               no project applicant for a county to charge a fee to, as  
               there would be in other instances where a developer, for  
               instance, is charged a fee by the local agency that is  
               levied on a new development to cover the cost of  
               infrastructure or facilities necessitated by that  
               development.

               The Committee may wish to consider whether the new duties  
               in this bill constitute an unfunded mandate and ask the  
               author to explain who the counties are going to levy fees  
               on to cover their costs.

           6)Arguments in support  .    Supporters argue that counties have  
            jurisdiction over the majority of the state's agricultural  
            land and play a vital role in regulating the use of the land,  
            including the development and conservation of agricultural  
            lands, and that this bill creates the opportunity at the  
            county level to discuss and plan for the future of our  
            agricultural lands.  Additionally, supporters note that the  
            Sustainable Farmland Strategy Act respects the local control  
            of land use planning decisions, while creating the opportunity  
            for a statewide discussion of the importance of agricultural  
            lands.

           7)Arguments in opposition  .  A coalition including the California  
            Building Industry Association, California Business Properties  
            Association, California Chamber of Commerce, California  
            Apartment Association, Orange County Business Council, Large  
            Scale Solar Association, California Association of Realtors,  
            and the American Council of Engineering Companies writes that  
            the bill "invites the restrictive zoning to be applied to  
            significantly lesser quality lands that are not critical to  
            the maintenance of the agricultural economy and are not  
            necessary to the protection of the state's food supply or  
            necessary for food security."  Also, the bill "contains a  
            statement buried in the finds and declares section [of the  
            bill] stating that the [sustainable farmland strategy] is an  
            act to protect natural resources and the environment and  
            therefore is exempt from CEQA" and that this is a "clear  
            usurpation of the role and responsibility traditionally left  
            to the local lead agency to determine whether or not an action  








                                                                  AB 1961
                                                                  Page  9

            qualifies for an exemption."

           8)Double-referral  .  This bill is double-referred to the  
            Agriculture Committee.
           





















          REGISTERED SUPPORT / OPPOSITION  :   

           Support
           
           American Farmland Trust [CO-SPONSOR]
          California Climate and Agricultural Network [CO-SPONSOR]
          Community Alliance with Family Farmers [CO-SPONSOR]
          Agricultural-Natural Resources Trust
          California Association of Resource Conservation Districts
          California Center for Rural Policy, Humboldt State University
          California Farm Bureau Federation
          Catholic Charities, Diocese of Stockton
          Farmland Working Group
          Friends Committee on Legislation of California
          Knoll Farms
          LandWatch Monterey County
          Marin Agricultural Land Trust
          Peninsula Open Space Trust
          Potrero Nuevo Farm








                                                                  AB 1961
                                                                  Page  10

          Rincon-Vitova Insectaries
          Rominger Brothers Farms, Inc.
          San Mateo County Farm Bureau
          Sequoia Riverlands Trust
          Sierra Nevada Alliance
          Silicon Valley Land Conservancy
          Supervisor Louis R. Calcagno, 2nd District, County of Monterey
          Supervisor Don Horsley, 3rd District, County of San Mateo
          Sierra Orchards
          Sonoma Land Trust
          The Land Trust of Santa Cruz County
          The Nature Conservancy
          Trust for Public Land
          Valley Land Alliance

           Opposition 
           
          American Council of Engineering Companies of California
          California Association of Realtors
          California Apartment Association
          California Building Industry Association
          California Business Properties Association
          California Chamber of Commerce
          Counties of Humboldt and Kern
          Large Scale Solar Association
          League of California Cities (unless amended)
          Orange County Business Council
           
          Analysis Prepared by  :    Debbie Michel / L. GOV. / (916)  
          319-3958