BILL ANALYSIS Ó
AB 18
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ASSEMBLY THIRD READING
AB
18 (Dodd)
As Amended March 12, 2015
2/3 vote. Urgency
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|Committee |Votes |Ayes |Noes |
| | | | |
| | | | |
|----------------+------+-----------------------+------------------|
|Governmental |21-0 |Gray, Linder, | |
|Organization | |Achadjian, Alejo, | |
| | |Bigelow, Campos, | |
| | |Cooley, Cooper, Daly, | |
| | |Cristina Garcia, | |
| | |Eduardo Garcia, | |
| | |Gipson, | |
| | | | |
| | | | |
| | |Roger Hernández, | |
| | |Jones-Sawyer, Levine, | |
| | |Mayes, Perea, Salas, | |
| | |Steinorth, Waldron, | |
| | |Wilk | |
| | | | |
|----------------+------+-----------------------+------------------|
|Appropriations |17-0 |Gomez, Bigelow, Bonta, | |
| | |Calderon, Chang, Daly, | |
| | |Eggman, Gallagher, | |
| | |Eduardo Garcia, | |
| | |Gordon, Holden, Jones, | |
AB 18
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| | |Quirk, Rendon, Wagner, | |
| | |Weber, Wood | |
| | | | |
| | | | |
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SUMMARY: This urgency measure, adds the South Napa Earthquake
that occurred on August 24, 2014, to the list of disasters
eligible for full state reimbursement of the local agency costs
under the California Disaster Assistance Act (CDAA).
Specifically, this bill:
1) Adds the South Napa Earthquake in August 2014, to the list of
disasters for which the state share of state eligible costs is
100% under CDAA.
2) Contains an urgency clause.
EXISTING LAW:
1) Provides under CDAA, that the state must pay 75% of the
non-federal share of eligible costs for any state-declared
emergency.
2) Prohibits the state share for any eligible project from
exceeding 75% of total state eligible costs unless the local
agency is located within a city, county, or city and county that
has adopted a local hazard mitigation plan, in accordance with the
federal Disaster Mitigation Act of 2000, as part of the safety
element of its general plan, as specified.
3) Provides for certain disasters that allow the state to cover
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up to 100% of the non-federal eligible costs. (e.g., 1989 Loma
Prieta earthquake, 1991 East Bay Fire, 1994 Northridge earthquake,
the 2001 Southern California wildfires, and the 2003 San Simeon
earthquake).
FISCAL EFFECT: According to the Assembly Appropriations
Committee, one-time costs (General Fund) in the range of $2
million to $3 million.
COMMENTS: CDAA is California's state disaster assistance program.
CDAA reimburses local governments for debris removal, emergency
work, and repair or replacement of public facilities damaged by a
disaster upon a Governor's proclamation. The state share of
eligible expenses is 75%, and local jurisdictions are responsible
for the remaining 25%. When there is a federal declaration, the
Federal Emergency Management Agency (FEMA) pays 75% and the state
pays 75% of the remaining 25%. In recent federally declared
disasters, it has been the Legislature's practice to increase CDAA
funding to 100% so that the state would pay the entire remaining
25% nonfederal share of eligible costs. The Legislature usually
has not increased the Act funding to 100% for state-only disasters
that are not federally declared.
In 2006, the Legislature enacted AB 2140 (Hancock) Chapter 739,
Statutes of 2006, which was designed to promote the adoption of
local hazard mitigation plans (LHMP) that meet specified federal
standards. Under this provision, a local jurisdiction is not
eligible for the 100% cost share under CDAA unless it is located
within a city and/or county that has adopted an LHMP as part of
the safety element of its general plan.
According to the author's office, Napa and Sonoma County have
adopted an LHMP pursuant to existing law, and are eligible to
receive the full 100% share of costs.
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Purpose of the bill: On August 24, 2014, a 6.1 magnitude
earthquake centered in Napa County caused severe damage in that
county and the surrounding counties of Solano and Sonoma. The
earthquake caused structural damage to public and private
buildings. The quake was the strongest to hit the San Francisco
Bay area since a magnitude-6.9 earthquake in 1989. The quake
damaged critical infrastructure, including power lines, water
mains and gas lines and sparked gas-fed fires that destroyed
several mobile homes. The worst damage came near the epicenter in
downtown Napa, where a post office, library and a 141-room hotel
were among 150 homes and buildings deemed unsafe to occupy.
On the day of the earthquake, Governor Brown issued an emergency
proclamation for the state of California due to the effects of the
earthquake and continued aftershocks. The Governor declared,
"Under the provisions of the California Government Code, I find
that conditions of extreme peril to the safety of persons and
property exists in Napa, Solano, and Sonoma counties due to these
events."
On September 11, 2014, President Obama declared an earthquake
emergency that made federal dollars available to public agencies
for earthquake damage. The federal government will pay 75% of
eligible costs. Of the remaining 25%, the state is to pay 75% and
local agencies 25%.
The City of Napa estimates the earthquake caused at least $300
million in damage to privately owned homes and commercial
properties, and $58 million in damage to public infrastructure.
According to information provided by the author's office, the
remaining 25% of non-federally reimbursed costs to Napa and Solano
Counties, as well as the Cities of Vallejo and Napa, could
approach $5 million. Without disaster relief assistance, it will
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be difficult for the impacted cities to pay for damage repairs
that are were not covered by federal and state disaster
assistance.
According to the author's office, this bill will continue a
well-established practice of the state that has been in place
after previous major disasters, such as the Loma Prieta and
Northridge earthquakes, as well as the 1991 East Bay Fire. This
recent disaster came at a time when local governments are
financially strapped and this measure is intended to ensure that
local costs are reimbursed for the events surrounding the
earthquake. It is only fitting that the state covers the costs of
the local agencies in this disaster as has been done in many
previous disasters in other areas.
Prior legislation: AB 1429 (Chesbro), of 2011, vetoed by Governor
Brown. Would have added the tsunami that affected Del Norte
County in March 2011 to the list of disasters eligible for full
state reimbursement of the local agency costs under CDAA.
Governor Brown's veto message stated:
This measure would require the state pay 100 percent of
the total state eligible costs for damages sustained to
Del Norte County by the March 2011 tsunami. The state
has not paid for a local government's share of disaster
costs since 2006 and this measure would cost the state
over $1 million. In addition, if I sign this measure,
other counties that sustain similar damages would likely
request the same relief-a precedent that the state
currently cannot afford.
SB 1537 (Kehoe), Chapter 355, Statutes of 2008. Added the
wildfires that occurred in southern California, commencing on or
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about October 20, 2007, to the list of disasters eligible for full
state reimbursement of local agency costs under CDAA.
SB 1764 (Kehoe), of 2008. Would have required a local agency, on
or after January 1, 2010, to obtain an annual certification by the
State Fire Marshal (SFM) to be eligible to receive a percentage
for a state share in excess of 75%. Also, would have required the
SFM to specify the possible percentage a local agency may receive
in excess of the 75% based upon certain criteria and regulations
to be promulgated by SFM on or before July 1, 2009. (Vetoed by
Governor Schwarzenegger)
SB 1308 (Cox), Chapter 400, Statutes of 2008. Included the Angora
Fire, which occurred in the Lake Tahoe Basin commencing June 24,
2007, to the list of disasters eligible for full state
reimbursement of local agency costs under CDAA.
AB 49 (Arambula), of 2007. Would have amended the CDAA by adding
the extreme cold weather that occurred throughout California
during the month of January 2007 to the list of specific events
eligible for full state reimbursement of local agency costs.
(Held in the Assembly Appropriations Committee.)
AB 1798 (Berg), Chapter 896, Statutes of 2006. Added the severe
rainstorms that occurred in selected counties in Northern
California from December 17, 2005, to January 3, 2006, to the list
of disasters eligible for full state reimbursement of local agency
costs under CDAA.
AB 2140 (Hancock), Chapter 739, Statutes of 2006. Prohibited the
state share for any eligible project from exceeding 75% of total
state eligible costs unless the local agency is located within a
city, county, or city and county that has adopted a local hazard
mitigation plan as part of the safety element of its general plan,
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as specified.
AB 2735 (Nava), Chapter 897, Statutes of 2006. Added the severe
rainstorms that occurred in selected counties in Northern
California from December 17, 2005, to January 3, 2006, to the list
of disasters eligible for full state reimbursement of local agency
costs under CDAA.
AB 164 (Nava and Bass), Chapter 623, Statutes of 2005. Added the
severe storms, flooding, debris flows, and mudslides that occurred
in the Counties of Kern, Los Angeles, Santa Barbara and Ventura in
December 2004, January 2005, February 2005, and March 2005, to the
list of disasters eligible for full state reimbursement of local
agency costs under CDAA.
SB 457 (Kehoe), Chapter 622, Statutes of 2005. Added the severe
rainstorms, floods, mudslides, and other events that occurred in
the Counties of Orange, Riverside, San Bernardino, and San Diego
during December 2004, January 2005, February 2005, March 2005, and
June 2005 to the list of disasters eligible for full state
reimbursement of local agency costs under CDAA.
AB 1510 (Kehoe), Chapter 772, Statutes of 2004. Added the
Southern California wildfires that occurred during October and
November 2003 and the San Simeon earthquake that occurred during
December 2003 to the list of disasters eligible for full state
reimbursement of local agency costs under CDAA.
SB 438 (Soto), of 2004. Would have added the wildfires that
occurred in Southern California beginning October 21, 2003, and
the December 22, 2003, San Simeon earthquake to the list of
disasters eligible for full state reimbursement of local agency
costs. (Vetoed by Governor Schwarzenegger)
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Analysis Prepared by:
Eric Johnson / G.O. / (916) 319-2531 FN: 0000565