BILL NUMBER: AB 2135 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 5, 2014
AMENDED IN ASSEMBLY APRIL 21, 2014
AMENDED IN ASSEMBLY MARCH 28, 2014
INTRODUCED BY Assembly Member Ting
FEBRUARY 20, 2014
An act to amend Sections 54221, 54223, 54225,
54226, and 54227 of the Government Code, relating to surplus
property.
LEGISLATIVE COUNSEL'S DIGEST
AB 2135, as amended, Ting. Local agencies: surplus land:
affordable housing.
(1) Existing law prescribes requirements for the disposal of
surplus land by local agencies, which are defined to include
districts. Existing law requires an agency disposing of surplus land
to negotiate in good faith with an entity providing notice that it
desires to purchase or lease the land and, if the price or terms
cannot be agreed upon within a period of not less than 60 days, the
agency may dispose of the land without fulfilling further
requirements, as specified. Existing law authorizes a local agency
selling surplus property for specified purposes, including for low-
and moderate-income housing, to provide for a payment period of up to
20 years in a sales contract or trust deed. Existing law requires a
local agency disposing of surplus land to give first priority in a
purchase or lease to an entity agreeing to use the site for housing
for persons of low or moderate income, except as specified. Existing
law specifies that these and other related provisions are not to be
interpreted to empower a local agency to sell or lease surplus land
at less than fair market value.
This bill would specify that transportation districts are included
within the definition of a district with regard to requirements for
the disposal of surplus land by local agencies. The
The bill would increase the minimum time that an agency
disposing of surplus land is required to conduct negotiations from
60 to 90 days. The bill would require, if the disposed land is to be
used for residential development, that the sales contract or lease
agreement provide that not less than 25% of the units in the
development have rents or sale prices that are affordable for persons
and families of low or moderate income. The bill would permit the
payment period for surplus land sold for low- and moderate-income
housing purposes to exceed 20 years, subject to limits related to
land use requirements for low- or moderate-income housing. The bill
would revise the priority given to an entity proposing to use the
site for low- and moderate-income housing to give priority to the
entity agreeing to use the site for housing for which 100% of the
units have rents or sales prices that are affordable for low- and
moderate-income persons. The bill would delete the statement that
these provisions are not to be interpreted to empower a local agency
to sell or lease surplus land at less than fair market value. By
increasing the duties of local officials in connection with sales and
leases of surplus land, this bill would impose a state-mandated
local program.
(2) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 54221 of the Government Code
is amended to read:
54221. (a) As used in this article, the term "local agency" means
every city, whether organized under general law or by charter,
county, city and county, and district, including transportation
districts and school districts of any kind or class, empowered to
acquire and hold real property.
(b) As used in this article, the term "surplus land" means land
owned by any local agency, that is determined to be no longer
necessary for the agency's use, except property being held by the
agency for the purpose of exchange.
(c) As used in this article, the term "open-space purposes" means
the use of land for public recreation, enjoyment of scenic beauty, or
conservation or use of natural resources.
(d) As used in this article, the term "persons and families of low
or moderate income" means the same as provided under Section 50093
of the Health and Safety Code.
(e) As used in this article, the term "exempt surplus land" means
either of the following:
(1) Surplus land that is transferred pursuant to Section 25539.4.
(2) Surplus land that is (A) less than 5,000 square feet in area,
(B) less than the minimum legal residential building lot size for the
jurisdiction in which the parcel is located, or 5,000 square feet in
area, whichever is less, or (C) has no record access and is less
than 10,000 square feet in area; and is not contiguous to land owned
by a state or local agency that is used for park, recreational,
open-space, or low- and moderate-income housing purposes and is
located neither within an enterprise zone pursuant to Section 7073
nor a designated program area as defined in Section 7082. If the
surplus land is not sold to an owner of contiguous land, it is not
considered exempt surplus land and is subject to this article.
(f) Notwithstanding subdivision (e), the following properties are
not considered exempt surplus land and are subject to this article:
(1) Lands within the coastal zone.
(2) Lands within 1,000 yards of a historical unit of the State
Parks System.
(3) Lands within 1,000 yards of any property that has been listed
on, or determined by the State Office of Historic Preservation to be
eligible for, the National Register of Historic Places.
(4) Lands within the Lake Tahoe region as defined in Section
66905.5.
SEC. 2. SECTION 1. Section 54223 of
the Government Code is amended to read:
54223. After the disposing agency has received notice from the
entity desiring to purchase or lease the land, the disposing agency
and the entity shall enter into good faith negotiations to determine
a mutually satisfactory sales price or lease terms. If the price or
terms cannot be agreed upon after a good faith negotiation period of
not less than 90 days, the land may be disposed of without further
regard to this article. If the disposed land is to be used for
residential development, including residential development with rents
or sale prices that are affordable for persons or families of
low- or moderate-income, low or moderate
income, the sales contract or lease agreement shall provide
that not less than 25 percent of the total number of units in the
development have rents or sale prices that are affordable for persons
and families of low or moderate income.
SEC. 3. SEC. 2. Section 54225 of the
Government Code is amended to read:
54225. Any public agency selling surplus land to an entity
described in Section 54222 for park or recreation purposes, for
open-space purposes, for school purposes, or for low- and moderate-
income housing purposes may provide for a payment period of up to 20
years in any contract of sale or sale by trust deed for the land. The
payment period for surplus land sold for housing for person
persons and families of low and moderate income
may exceed 20 years, but the payment period shall not exceed the term
that the land is required to be used for low- or moderate-income
housing.
SEC. 4. SEC. 3. Section 54226 of the
Government Code is amended to read:
54226. Nothing in this article shall be interpreted to limit the
power of any local agency to sell or lease surplus land at fair
market value or at less than fair market value. No provision of this
article shall be applied when it conflicts with any other provision
of statutory law.
SEC. 5. SEC. 4. Section 54227 of the
Government Code is amended to read:
54227. In the event that any local agency disposing of surplus
land receives offers for the purchase or lease of that land from more
than one of the entities to which notice and an opportunity to
purchase or lease shall be given pursuant to this article, the local
agency shall give first priority to the entity that agrees to use the
site for housing for which 100 percent of the units are to have
rents or sale prices that are affordable for persons and families of
low or moderate income, except that first priority shall be given to
an entity that agrees to use the site for park or recreational
purposes if the land being offered is already being used and will
continue to be used for park or recreational purposes, or if the land
is designated for park and recreational use in the local general
plan and will be developed for that purpose.
SEC. 6. SEC. 5. If the Commission on
State Mandates determines that this act contains costs mandated by
the state, reimbursement to local agencies and school districts for
those costs shall be made pursuant to Part 7 (commencing with Section
17500) of Division 4 of Title 2 of the Government Code.