BILL ANALYSIS Ó
AB 1260
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Date of Hearing: April 28, 2015
ASSEMBLY COMMITTEE ON HIGHER EDUCATION
Jose Medina, Chair
AB 1260
(Thurmond) - As Amended March 26, 2015
SUBJECT: Joint Exercise of Powers Act
SUMMARY: Allows the University of California (UC) and the City
of Richmond, and any other public agency, to enter into a joint
powers agreement (JPA) focusing on the development of a Berkeley
Global Campus. Specifically, this bill:
1)Allows, notwithstanding any other law, the UC and the City of
Richmond, and any other public agency, to enter into a JPA for
the purpose of collaboration on the development of a Berkeley
Global Campus at Richmond Bay, located within the City of
Richmond, to be a new research and action hub with a focus on
global issues, culture, and collaboration.
2)Requires the agreement between the UC and the City of
Richmond, and any other public agency pursuant to 1), above,
to state the purpose of the agreement or the power to be
exercised, and may include any of the following:
a) A voluntary local-hire goal, to be based on the
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University of California, San Francisco, local-hire model,
for all construction and infrastructure improvements,
taking into consideration local-hire practices within the
City of Richmond;
b) Development of strategies that assist all small
businesses, including, but not limited to, small businesses
with a high-level of participation by women, minorities,
and veterans, to respond more effectively to available
contract opportunities for the development of the proposed
Berkeley Global Campus at Richmond Bay;
c) A requirement for third-party developers to pay
prevailing wages for construction contracts and meet the
local-hire goals of the UC at Berkeley (UCB), on buildings
that will be substantially occupied by UCB;
d) Development of best practices for proactive outreach and
marketing of procurement and employment opportunities for
the residents of the City of Richmond at the proposed
Berkeley Global Campus at Richmond Bay;
e) Development of strategies to work with community
organizations, small business development programs, and
workforce training programs to assist the residents of the
City of Richmond to respond effectively to opportunities at
University of California campuses and at the proposed
Berkeley Global Campus at Richmond Bay; and,
f) Collaboration with the Department of Employment and
Training of the City of Richmond to access contact and
work-readiness information for qualified trades workers and
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apprentices located within the City of Richmond.
3)Provides that the Legislature finds and declares that a
special law is necessary and that a general law cannot be made
applicable within the meaning of Section 16 of Article IV of
the California Constitution because of the unique
circumstances of developing the Berkeley Global Campus at
Richmond Bay, located within the City of Richmond.
EXISTING LAW:
1)Establishes UC as a public trust and confers the full powers
of the UC upon the UC Regents. The Constitution establishes
that the UC is subject to legislative control only to the
degree necessary to ensure the security of its funds and
compliance with the terms of its endowments. Judicial
decisions have held that there are three additional areas in
which there may be limited legislative intrusion into
university operations: authority over the appropriation of
state moneys; exercise of the general police power to provide
for the public health, safety and welfare; and, legislation on
matters of general statewide concern not involving internal
university affairs (Constitution of California, Article IX,
Section 9).
2)Authorizes, under the Joint Exercise of Powers Act, two or
more public agencies (i.e. federal government, any state, any
state department or agency, county, county board of education,
county superintendent of schools, city, public corporation,
public district, and regional transportation commission in any
state) to enter into a JPA to jointly exercise any power
common to the contracting parties, as specified, if authorized
by their legislative or other governing bodies (Government
Code Section 6502).
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FISCAL EFFECT: Unknown
COMMENTS: This measure was heard and approved by a vote of 6-2
in the Assembly Local Government Committee relating to issues
within its jurisdiction on April 22, 2015.
To note - Committee staff understands that there are continued
discussions with the author and the Assembly Local Government
Committee regarding potential amendments within the jurisdiction
of the Local Government Committee. This measure will be heard
today based on the March 26, 2015 version.
Background. JPAs have existed in the state for almost 100
years, and were originally created to allow multiple local
governments in a region to pool resources to meet common needs.
The Joint Exercise Powers Act authorizes state and local
agencies to create and use a joint powers agreement, which is a
legal document that allows the contracting parties to exercise
powers that are common to all of the contracting parties. A JPA
can be administered by one of the contracting agencies, or it
can be carried out by a new, separate public entity. Joint
powers agreements are an attractive tool for local governments
because they facilitate more efficient service provision through
collaboration, and they allow local entities to issue bonds
without voter ratification.
Purpose of this measure. According to the author, the intent of
this measure is to facilitate a partnership between the City of
Richmond and UCB with regards to the creation of a UCB Global
Campus in Richmond Bay. The author states, "The current version
of the bill speaks to the unique situation of the Global Campus
in terms of the needs of the City and the ability of the UC to
partner with the City on infrastructure and financing. The bill
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is working toward providing an efficient public financing
mechanism to fund the shared, critical infrastructure required
for development of the University of California at Berkeley
Global Campus and the complimentary City of Richmond South
Shoreline Specific Plan Area."
Structure for the creation of new campuses or centers for the
public postsecondary institutions of higher learning. Current
law declares legislative intent that sites for new institutions
or branches of the UC not be authorized or acquired unless
recommended by the California Postsecondary Education Commission
(CPEC) and that CPEC should advise the Legislature and the
Governor regarding the need for, and location of, new
institutions and campuses of public higher education. After
several years of declining budgets and then elimination of all
funding by the Governor in 2011-12, however, CPEC ceased
operations in Fall 2011.
CPEC's review process for a potential new campus or center of
the UC (or for the California State University or the community
colleges) involved several stages. The last step in the review
process required the segment to submit to CPEC a study providing
a justification for the campus or center on the site identified.
This needs study encompassed nine different areas (enrollment,
alternatives, academic planning, student services, costs,
accessibility, effects on other institutions, environmental
impact, and economic efficiency) according to which the proposal
was evaluated.
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Committee consideration. With the state no longer having a
coordinating body for higher education, how is the state going
to fulfill the former CPEC functions? Authorizing the City of
Richmond and the UC to enter into a JPA with the intent of
creating the UCB Global Campus appears to create an entirely new
process that is not aligned with the CPEC process, but absent a
coordinating body, what is the best method in determining how,
when, where, and why a new campus or center should be
established?
The Committee may want to consider whether or not it tasks
various entities with fulfilling the work of the former CPEC
and/or authorizing an entirely new process for the determination
of the establishment of a new campus or center, or halting all
projects that would otherwise be under the jurisdiction of the
former CPEC until the state creates a new higher education
coordinating body.
REGISTERED SUPPORT / OPPOSITION:
Support
None on file.
Opposition
None on file.
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Analysis Prepared by:Jeanice Warden / HIGHER ED. / (916)
319-3960