BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 946
                                                                  Page  1

          Date of Hearing:  June 4, 2014

                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                           K.H. "Katcho" Achadjian, Chair
                   SB 946 (Huff) - As Introduced:  February 5, 2014

           SENATE VOTE  :  37-0
           
          SUBJECT  :  Community facilities: consolidated sanitation  
          district.

           SUMMARY  :  Makes changes to the composition of the board of  
          directors of a consolidated sanitation district in Orange  
          County.  Specifically,  this bill  :   

          1)Modifies the composition of the board of directors of a  
            consolidated sanitation district in Orange County, by removing  
            the current representation of the one member from the Yorba  
            Linda city-council and instead adding representation for one  
            member of the Yorba Linda Water District's governing board.  

          2)Finds and declares that a special law is necessary because of  
            the special circumstances surrounding the change in  
            composition of the governing body of the consolidated  
            sanitation district in Orange County resulting from the  
            transfer of sanitation duties from the City of Yorba Linda to  
            the Yorba Linda Water District.  

           EXISTING LAW  :

          1)Requires the governing body of the Orange County consolidated  
            sanitation district, as specified, to be a board of directors  
            composed of all of the following:

             a)   One member of the city council of each city located  
               wholly or partially within the district's boundaries,  
               however, a city within the consolidated district, the  
               sewered portion of which city lies entirely within another  
               sanitary district, shall have no representation on the  
               board;

             b)   One member of the county board of supervisors;

             c)   One member of the governing board of each sanitary  
               district, the whole or part of which is included in the  








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               consolidated sanitation district; and,

             d)   One member of the governing body of a public agency  
               empowered to and engaged in the collection, transportation,  
               treatment, or disposal of sewage and which was a member  
               agency of a sanitation district consolidated into a  
               consolidated sanitation district.

          2)Allows the governing body of the county and each city,  
            sanitary district, and public agency that is a member agency  
            having a representative on the board of directors of the  
            consolidated sanitation district to designate one of its  
            members to act in the place of its regular member in his or  
            her absence or his or her inability to act.  

          3)Prohibits any action from being taken at any board of  
            directors meeting unless a majority of all authorized members  
            of the board are in attendance.  
           FISCAL EFFECT  :  None

           COMMENTS  :   

           1)Orange County Sanitation District (OCSD)  .  AB 769 (Baugh),  
            Chapter 51, Statutes of 1997, established the composition of a  
            governing board of a sanitation district created by  
            consolidation in Orange County.  Supporters of AB 769 argued  
            for a specific governance structure for OCSD to ensure equal  
            and fair representation of all municipalities and water and  
            sanitary districts within the consolidated sanitary district's  
            boundaries.  Following the passage of AB 769, in 1998, nine  
            sanitation districts in Orange County consolidated into a  
            single agency, known as OCSD.  

            According to OCSD, they are responsible for safely collecting,  
            treating and disposing of the wastewater generated by 2.5  
            million people living in a 479-square-mile area of central and  
            northwest Orange County.  The stated purpose of OCSD's  
            wastewater management program is to protect the public's  
            health, preserve the beneficial uses of the coastal waters,  
            and maintain air quality.  The stated objective of operating  
            the treatment plants are to process and dispose of the treated  
            wastewater and the separated solids in accordance with  
            federal, state, and local laws.  

            OCSD is currently governed by a 25-member board of directors  








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            comprised of one county supervisor, 20 city council members,  
            three sanitary district members, and one water district  
            member.  

           2)Purpose of this bill  .  This bill makes changes to the  
            composition of the board of directors of a consolidated  
            sanitation agency in Orange County to remove one member, a  
            Yorba Linda city-council representative, and add one member, a  
            Yorba Linda Water District representative.  

           3)Author's statement  .  According to the author, "The OCSD Board  
            of Directors is comprised of 25 members, representing  
            municipalities, water and wastewater agencies throughout North  
            and Central Orange County.  The City of Yorba Linda held a  
            seat on the OCSD Board of Directors to represent ratepayers  
            within the City of Yorba Linda.  However, in 2010 the City of  
            Yorba Linda transferred sewer service and responsibility to  
            the Yorba Linda Water District through a formal agreement.  In  
            addition to transferring service and responsibility to the  
            Yorba Linda Water District, the City also agreed to relinquish  
            the OCSD Board seat to the Water District.  By mutual  
            agreement of all parties involved including the OCSD, the City  
            of Yorba Linda and the Yorba Linda Water District, OCSD seeks  
            to substitute the Board seat held by the City of Yorba Linda  
            to allow representation for the residents of Yorba Linda by  
            the Yorba Linda Water District."  

           4)Committee amendments  .  The Committee may wish to ask the  
            author to accept an amendment to clarify that the governance  
            structure established in current law that this bill is seeking  
            to amend only applies to OCSD.  When AB 769 was signed into  
            law, the Orange County Local Agency Formation Commission had  
            not consolidated the nine sanitary districts.  However, now  
            that OCSD is one consolidated district, the Committee may wish  
            to encourage the author to update existing law to reflect  
            that. 

           5)Arguments in support  .  Supporters argue that this bill  
            reflects a local agreement and provides an appropriate  
            solution to a governance issue created by the transfer of  
            local sewer services.  

           6)Arguments in opposition  .  None on file.  

           REGISTERED SUPPORT / OPPOSITION  :








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           Support 
           
          Association of California Cities - Orange County
          City of Yorba Linda
          Orange County Sanitation District
          Yorba Linda Water District
           
            Opposition 
           
          None on file

           Analysis Prepared by  :    Misa Yokoi-Shelton / L. GOV. / (916)  
          319-3958