BILL ANALYSIS Ó SB 944 Page 1 SENATE THIRD READING SB 944 (Torres) As Amended August 18, 2014 Majority vote SENATE VOTE :35-0 ADMINISTRATIVE REVIEW 12-1 LOCAL GOVERNMENT 6-1 ----------------------------------------------------------------- |Ayes:|Frazier, Achadjian, |Ayes:|Achadjian, Alejo, | | |Buchanan, | |Bradford, Frazier, | | |Ian Calderon, Cooley, | |Rendon, Waldron | | |Gorell, Hagman, | | | | |Lowenthal, Medina, Olsen, | | | | |Quirk-Silva, Salas | | | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Mansoor |Nays:|Levine | | | | | | ----------------------------------------------------------------- APPROPRIATIONS 15-2 ----------------------------------------------------------------- |Ayes:|Gatto, Bigelow, | | | | |Bocanegra, Bradford, Ian | | | | |Calderon, Campos, Eggman, | | | | |Gomez, Holden, Linder, | | | | |Pan, Quirk, | | | | |Ridley-Thomas, Wagner, | | | | |Weber | | | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Donnelly, Jones | | | | | | | | ----------------------------------------------------------------- SUMMARY : Prohibits the Lanterman Developmental Center (LDC), which has been declared surplus state property, from being pre-zoned, zoned, or re-zoned unless the change is requested or approved by the Department of General Services (DGS). Specifically, this bill : SB 944 Page 2 1)Prohibits the LDC, located in Pomona, CA, from being pre-zoned, zoned, or re-zoned unless DGS requests or approves the change. 2)Requires a local agency or affordable housing developer that wishes to be considered a priority buyer for the LDC property to demonstrate to DGS that the property, or a portion thereof, will be used for the development of projects that create sustainable jobs of benefit to the area and region where the LDC property is located. EXISTING LAW : 1)Authorizes DGS to dispose of state real property declared surplus by the Legislature by sale, lease, exchange, or any other manner, and upon terms deemed to be in the state's best interests. 2)Requires surplus property that is not needed by any state agency to first be offered to local agencies, and then to nonprofit affordable housing sponsors, before being offered for sale to private entities or individuals. FISCAL EFFECT : According to the Assembly Appropriations Committee, providing DGS authority to approve any re-zoning of the LDC property should preserve the state's ability to dispose of that property in the state's best interest. According to DGS, based on discussions to date with City of Pomona, the issue of re-zoning does not appear to be a concern for the department as it has been with other state properties. COMMENTS : The author states that, in the recent past, DGS has encountered situations where local governments have re-zoned state surplus property, resulting in a reduction of the value. The author is concerned that this might happen when the LDC surplus property in her district is sold. The author asserts that changes to the zoning of the property could potentially decrease the market value and be inconsistent with the long-term interests of the surrounding area and region, particularly the need to provide sustainable job creation in an area with high unemployment. According to DGS, the 302-acre LDC property was declared surplus in 1996. Currently, DGS reports that the state is considering SB 944 Page 3 whether any portions of the land could be used by California Polytechnic University before proceeding with additional development options. This bill prohibits the pre-zoning, zoning, or re-zoning of the LDC property unless DGS requests or approves the zoning change. This bill also requires a local agency or affordable housing developer seeking priority in purchasing the LDC property to demonstrate to DGS that the property will be used for the development of projects that create sustainable jobs of benefit to the local area and region. However, it does not specify how DGS would award priority in the bidding process to a local agency or affordable housing sponsor based on the creation of sustainable jobs. Analysis Prepared by : Cassie Royce / A. & A.R. / (916) 319-3600 FN: 0004780