BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON TRANSPORTATION AND HOUSING
                              Senator Jim Beall, Chair
                                2015 - 2016  Regular 

          Bill No:          AB 349            Hearing Date:    6/23/2015 
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          |Author:   |Gonzalez                                              |
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          |Version:  |6/17/2015                                             |
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          |Urgency:  |Yes                    |Fiscal:      |No              |
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          |Consultant|Alison Dinmore                                        |
          |:         |                                                      |
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          SUBJECT:  Common interest developments:  property use and  
          maintenance


            DIGEST:  This bill voids, or makes unenforceable, any provision  
          of a common interest development (CID) governing document or  
          architectural or landscaping guidelines or policies that  
          prohibit the use of artificial turf or any other synthetic  
          surface that resembles grass. 

          ANALYSIS:
          
          A CID is a form of real estate in which each homeowner has an  
          exclusive interest in a unit or lot and a shared or undivided  
          interest in common-area property.  Condominiums, planned unit  
          developments, stock cooperatives, community apartments, and many  
          resident-owned mobilehome parks all fall under the umbrella of  
          common interest developments.  CIDs are governed by a homeowners  
          association (HOA).  The Davis-Stirling Common Interest  
          Development Act provides the legal framework under which CIDs  
          are established and operate.  In addition to the requirements of  
          the act, each CID is governed according to the recorded  
          declarations, bylaws, and operating rules of the association,  
          collectively referred to as the governing documents.

          The Davis-Stirling Act provides that the covenants and  
          restrictions in the declaration are "enforceable equitable  
          servitudes, unless unreasonable."  In Narhstedt v. Lakeside  
          Village (1994), the United States Supreme Court interpreted this  
          provision to mean that CID governing documents "should be  







          AB 349 (Gonzalez)                                  Page 2 of ?
          
          
          enforced unless they are wholly arbitrary, violate a  
          fundamentally public policy, or impose a burden on the use of  
          affected land that far outweighs any benefit."

          Existing law:
          
          1)Voids, or makes unenforceable, any provision of a CID  
            governing document or architectural or landscaping guidelines  
            or policies that:
             a)   Prohibit, or include conditions that have the effect of  
               prohibiting, the use of low water-using plants as a group  
               or as a replacement of existing turf;  
             b)   Restrict compliance with a water-efficient landscape  
               ordinance adopted by a local government; or
             c)   Prohibit compliance with any regulation or restriction  
               on the use of water due to severe water shortage. 

          2)Permits an HOA to apply landscaping rules in the governing  
            documents, so long as the rules conform with the provisions in  
            1), above.

          This urgency bill:

          1)Voids, or makes unenforceable, any provision of a CID  
            governing document or architectural or landscaping guidelines  
            or policies that prohibit the use of artificial turf or any  
            other synthetic surface that resembles grass.

          2)Prohibits a CID from requiring a homeowner to reverse or  
            remove water-efficient landscaping measures upon the  
            conclusion of a state of emergency due to drought, that were  
            installed during that state of emergency.  
          
          COMMENTS:

          1)Purpose of the bill.  According to the author, this year was  
            the lowest snowpack ever recorded, and California is in the  
            fourth year of a historic, prolonged, and potentially  
            devastating drought.  Governor Brown issued an Executive Order  
            on April 1, 2015, which, for the first time ever in California  
            history, directs the State Water Resources Control Board to  
            implement mandatory water reductions across the state to  
            reduce water usage by 25%.  Given the extent of this drought  
            situation, Californians should explore every option they have  
            to improve their water efficiency.  According to the  








          AB 349 (Gonzalez)                                  Page 3 of ?
          
          
            Department of Water Resources, landscape irrigation represents  
            43% of urban water use, and the installation of artificial  
            turf or synthetic grass, in lieu of conventional lawns and  
            landscapes, can directly reduce outdoor water use to help meet  
            the Governor's mandated 25% statewide water use reduction.  

            Today, Californians may elect to install artificial turf or  
            synthetic grass in their single-family residential landscapes.  
             Many homeowners within CIDs, however, have complained that  
            their HOAs have stymied their freedom to conserve through  
            synthetic turf installation by promulgating unreasonable  
            restrictions, including exorbitant fines for homeowners who  
            choose to replace their lawns.
            
          2)Permitting artificial grass.  This bill would prohibit an HOA  
            from preventing a homeowner from installing artificial turf or  
            synthetic grass.  Existing law allows an HOA to apply  
            landscaping rules that are included in the governing  
            documents, so long as those rules do not prohibit or have the  
            effect of prohibiting the use of low-water using plants or  
            prevent a homeowner from complying with a local  
            water-efficient landscaping ordinance.  This bill would extend  
            those protections to artificial turf or grass.  This means an  
            HOA may establish reasonable restrictions about the type of  
            artificial grass that a homeowner may use so long as those  
            restrictions do not, in effect, prevent a homeowner from  
            installing artificial grass. 

          3)If at first you don't succeed.  In 2011, Governor Brown vetoed  
            SB 759 (Lieu), which contained identical language as this  
            bill.  The Governor's veto message stated:

          The decision about choosing synthetic turf instead of natural  
          vegetation should be left to individual homeowners associations,  
          not mandated by state law.  For this reason, I am returning this  
          bill.

            Governor Schwarzenegger also vetoed AB 1793 (Saldana), also  
            containing identical language to this bill, in 2010.  The  
            Governor's veto message stated:

               CIDs provide a system of self-governance through a  
               community association, responsible for managing,  
               maintaining, and repairing the common areas, and have the  
               authority to enforce special rules. Decisions such as these  








          AB 349 (Gonzalez)                                  Page 4 of ?
          
          
               regarding the use of artificial turf can be made by the  
               homeowners and amended into their governing documents.

          4)Opposition.  The Educational Community for Homeowners (ECHO)  
            opposes this bill because decisions made regarding landscaping  
            in CIDs is, and should continue to be, made by the community  
            and their elected board of directors.  ECHO therefore resists  
            attempts by the state to legislate a "one-size-fits-all"  
            approach to CID governance.  Additionally, ECHO is concerned  
            about possible unknown health impacts that could be caused by  
            synthetic turf.  
          
          5)Double-referral. The Rules Committee has referred this bill to  
            both this committee and the Judiciary Committee.

          Assembly Votes:

            Floor:    73-3
            HC&D:       7-0
          Related Legislation:
          
          SB 759 (Lieu, Statutes of 2011) - would have voided, or made  
          unenforceable, any provision of a CID governing document or  
          architectural or landscaping guidelines or policies that  
          prohibit the use of artificial turf or any other synthetic  
          surface that resembles grass.  This bill was vetoed by Governor  
          Brown. 

          AB 1793 (Saldana, Statutes of 2010) - would have voided, or made  
          unenforceable, any provision of a CID governing document or  
          architectural or landscaping guidelines or policies that  
          prohibit the use of artificial turf or any other synthetic  
          surface that resembles grass.  This bill was vetoed by Governor  
          Schwarzenegger.  

          FISCAL EFFECT:  Appropriation:  No    Fiscal Com.:  No    Local:  
           No


            POSITIONS:  (Communicated to the committee before noon on  
          Wednesday,
                          June 17, 2015.)
          
            SUPPORT:  









          AB 349 (Gonzalez)                                  Page 5 of ?
          
          
          San Diego Water Authority (sponsor)
          California Association of Realtors
          California Municipal Communities Association 
          California Landscape Contractors Association (CLCA)
          Coastal Environmental Rights Foundation
          Metropolitan Water District of Southern California
          San Diego Coastkeeper

          OPPOSITION:

          Educational Community for Homeowners 

          
          
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