BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON ENERGY, UTILITIES AND COMMUNICATIONS
                              Senator Ben Hueso, Chair
                                2015 - 2016  Regular 

          Bill No:          AB 1119           Hearing Date:    6/16/2015
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          |Author:    |Rendon                                               |
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          |Version:   |5/11/2015    As Amended                              |
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          |Urgency:   |No                     |Fiscal:      |No              |
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          |Consultant:|Nidia Bautista                                       |
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          SUBJECT: Public utilities:  municipal corporations:  rights of  
          way

            DIGEST:    This bill would provide that a county has the right  
          to require an agreement on the terms and conditions for a  
          proposed utility infrastructure project that is owned,  
          constructed and operated by a municipal corporation within  
          unincorporated county territory. 
                    
          ANALYSIS:
          
          Existing law:
          
          1)Grants to every municipal corporation the right to construct,  
            operate, and maintain utility infrastructure (including water  
            and gas pipes, mains conduits, electric light and power lines,  
            telephone and telegraph lines, sewers and sewer mains) across,  
            along, in, under, over, or upon any road street alley avenue,  
            or highway, and across, under, or over any railway, canal  
            ditch, or flume which the route of the works intersect crosses  
            or runs along. (Public Utilities Code §10101)

          2)Requires municipal corporations exercising their rights under  
            §10101 to restore the street, alley, avenue, highway, etc. to  
            its former useful state and shall locate its use to interfere  
            as little as possible with other existing uses. (Public  
            Utilities Code §10102)

          3)Requires a municipal corporation, before using a street,  
            highway, etc., within any other municipal corporation to first  
            request an agreement on the location of the use and terms and  







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            conditions. (Public Utilities Code §10103)

          4)Provides that if the two municipal corporations are unable to  
            agree on the terms and conditions and location within three  
            months after a proposal, the municipal corporation proposing  
            the project may bring action in the superior court of the  
            county of the proposed project. (Public Utilities Code §10104)

          5)Provides that a grant of authority is not necessary when the  
            proposed works is in unincorporated territory and is a  
            necessary and convenient part of the route of the project.  
            (Public Utilities Code §10105)

          This bill:

          1)Requires that a county has the same rights to require an  
            agreement should a municipal corporation propose a utility  
            infrastructure project that is owned, constructed and operated  
            within county territory. 

          2)Provides that if an agreement hasn't been reached within three  
            months, the municipal corporation can bring action in superior  
            court to define the terms and conditions of an agreement. 

          3)Repeals language that stipulated a municipal corporation did  
            not need authority or an agreement from a county for a project  
            located in unincorporated county territory.

          Background
          
          Under the existing Public Utilities Code, a county is not  
          afforded the same rights as a municipal corporation in relation  
          to the siting of utility infrastructure projects in neighboring  
          territory. Specifically, there are current statutes in the  
          Public Utilities Code that date back to the early 20th Century  
          which stipulate that municipal corporations do not need  
          authority or an agreement from a county when the municipal  
          corporation proposes a utility infrastructure project within the  
          county territory. 

          The distinctions between county and city rights became apparent  
          in a legal case between the City of Los Angeles and County of  
          Los Angeles related to the siting of a sewer line in  
          unincorporated county territory.  The City of LA selected a  
          route for the project that would require construction within the  








          AB 1119 (Rendon)                                   Page 3 of ?
          
          
          unincorporated areas of the county affecting the community of  
          Marina Del Rey. LA County brought legal suit in superior court  
          to challenge the City's decision. However, the appeals court  
          sided with the City of LA stating that the statute expressly  
          excuses a party from obtaining an agreement for a project that  
          extends into unincorporated county territory. 

          This bill proposes to change the law in order to affect future  
          decisions related to proposed utility projects. This bill will  
          not affect the outcome of the specific legal case noted above. 

          Double referral. Should this bill be approved by the committee,  
          it will be re-referred to the Senate Committee on Governance and  
          Finance for its consideration. 

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


            ASSEMBLY VOTES:
          
          Assembly Floor                          (77-0)
          Assembly Local Government Committee(9-0)
          Assembly Utilities and Commerce Committee(14-0)
            
          SUPPORT:  

          County of Los Angeles (Source)
          California State Association of Counties
          Urban Counties Caucus

          OPPOSITION:

          None received

          ARGUMENTS IN SUPPORT:   In proposing this legislation, Los  
          Angeles County seeks parity with the City of Los Angeles and  
          other municipal corporations to require an agreement on the  
          terms and conditions for a proposed utility project within  
          county territory. The Los Angeles County Department of Public  
          Works indicates that this bill would "balance the interests of  
          local public entities to build utility projects using streets  
          and highways, including those located within other  
          jurisdictions, with the interests of residents and businesses  
          that may be impacted by projects initiated by officials in  








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          another jurisdiction who do not represent them."
          

          

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