Amended in Assembly March 17, 2016

California Legislature—2015–16 Regular Session

Assembly Bill No. 1740

Introduced by Assembly Member Alejo

February 1, 2016

An act to begin delete amend Section 8169 of end delete begin insert add Section 8924.7 to, and to add Chapter 1.5 (commencing with Section 8050) to Division 1 of Title 2 of, end insert the Government Code, relating to state begin delete property. end delete begin insert government. end insert

LEGISLATIVE COUNSEL’S DIGEST

AB 1740, as amended, Alejo. begin delete State property: Capitol Area Plan. end delete begin insert California Law Fellowship Program. end insert

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Existing law authorizes certain internship and fellowship programs in state government.

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This bill would establish the California Law Fellowship Program for the purpose of offering licensed attorneys and other qualifying law school graduates limited-term placements in public sector positions within state government as California Law Fellows, and encouraging each participant fellow to seek permanent public-sector employment at the conclusion of his or her fellowship, as specified.

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Existing law, commonly known as the Code of Ethics, prohibits a Member of the Legislature or an employee of either house of the Legislature from receiving or agreeing to receive, directly or indirectly, any compensation, reward, or gift from any source except the State of California for any service, advice, assistance, or other matter related to the legislative process, except for specified circumstances.

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This bill would provide that the services of a participant in the California Law Fellowship Program Fellow are not compensation, a reward, or a gift to a Member of the Legislature for purposes of the so-called Code of Ethics. The bill would also provide that a participant in the program is not an employee of either house of the Legislature for purposes of the Code of Ethics.

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Existing law designates the Capitol Area Plan approved by the Director of General Services as the official state master plan for development in the City of Sacramento’s central city area. Existing law requires the plan to be used as a guide for the location of state buildings and other facilities in the metropolitan area. Existing law governs the lease or sale of real property covered by the plan that is owned by the state and not under the jurisdiction of any other state agency.

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This bill would make nonsubstantive changes to those lease and sale provisions.

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Vote: majority. Appropriation: no. Fiscal committee:  begin delete no end delete begin insert yes end insert . State-mandated local program: no.

The people of the State of California do enact as follows:

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begin insert SECTION 1. end insert   

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The Legislature finds and declares all of the
following:

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(a) California has the eighth largest economy in the world, and
its laws have a far-reaching impact on individuals, entities, and
organizations within the state and throughout the world.

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(b) Because of its extraordinary economic impact and leadership
on timely issues, California’s statutory framework and legal
structures have a national and global impact.

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(c) Rapid technological and societal advances require the
development of public policy in new and evolving areas.

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(d) State government officials must make informed policy
decisions about issues that have increasingly complex and
interrelated legal components.

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(e) California is home to some of the world’s most prestigious
universities and law schools.

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(f) California is currently facing one of the largest surpluses of
recent law school graduates in the nation, and the unique education
and training of these skilled graduates could greatly assist the
state government in its work.

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(g) Only approximately 5 percent of attorneys nationwide work
for state governments, meaning that the nation’s state governments
derive insufficient benefit from those attorneys’ legal training and
expertise.

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(h) Approximately 36 percent of attorneys working for the State
of California are 55 years of age or older; therefore, California
must encourage attorneys to enter public service to fill vacancies
as those attorneys retire.

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(i) The establishment of a law fellowship program in California
will enable the state to capitalize on the experience of its law school
graduates for the betterment of its government.

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begin insert SEC. 2. end insert   

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begin insert Chapter 1.5 (commencing with Section 8050) is added
to Division 1 of Title 2 of the end insert begin insert Government Code end insert begin insert , to read: end insert

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Chapter   begin insert 1.5. end insert California Law Fellowship Program

 

begin insert 8050. end insert   

(a) The California Law Fellowship Program is hereby
established.

(b) The purpose of the program is to offer licensed attorneys
and other qualifying law school graduates limited-term placements
in public sector positions within state government.

(c) The program shall provide each California Law Fellow with
the opportunity to work in the public sector and shall encourage
each participant to seek permanent public-sector employment at
the conclusion of the fellowship.

(d) The Legislature requests that The University of the Pacific
McGeorge School of Law, in consultation with California law
schools accredited by the American Bar Association, and with any
other appropriate person or entity, do all of the following with
respect to the California Law Fellowship Program:

(1) Create the program to provide law graduates a
post-graduate educational experience and provide the Legislature
and other governmental entities with legal assistance and advice.

(2) House and administer the program, including managing
funding and processing applications.

(3) Give preference to applicants who are either of the
following:

(A) Current members of the United States military.

(B) Former members of the United States military who were
honorably discharged.

(e) A California Law Fellow’s placement with a state agency
shall be contingent on that agency’s acceptance of the fellow,
according to criteria adopted by the participating state agency for
purposes of the program.

(f) (1) It is the intent of the Legislature that participation in the
program by an attorney or other qualifying law school graduate,
by a state agency, or by a public official within a state agency
shall not constitute a gift of public money or thing of value for
purposes of Section 6 of Article XVI of the California Constitution,
a gift for purposes of the Political Reform Act of 1974 (Title 9
(commencing with Section 81000)), or a gift, bequest, or favor for
purposes of the Code of Judicial Ethics adopted pursuant to
subdivision (m) of Section 18 of Article VI of the California
Constitution.

(2) To the extent feasible, the program shall be designed and
administered to accomplish the Legislature’s intent as specified
in this subdivision.

(g) State funds shall not be used to administer the program.

(h) For purposes of this section:

(1) “California Law Fellow” means a participant in the
program.

(2) “Program” means the California Law Fellowship Program.

(3) “Qualifying law school graduate” means a recipient of a
law degree from a law school accredited by the American Bar
Association.

begin insert 8924.7. end insert   

(a) The Legislature finds and declares that the
California Law Fellowship Program, established pursuant to
Chapter 1.5 (commencing with Section 8050) of Division 1,
establishes a formal fellowship program that provides substantial
public benefits to the Legislature as a participating state agency.

(b) The services of a participant in the California Law
Fellowship Program California Law Fellow , whose placement
with the Legislature is accepted duly authorized by the Senate
Committee on Rules, the Assembly Committee on Rules, or the
Joint Committee on Rules, as appropriate, are not compensation,
a reward, or a gift to a Member of the Legislature for purposes of
paragraph (4) of subdivision (b) of Section 8920.

(c) A participant in the California Law Fellowship Program
California Law Fellow , whose placement with the Legislature is
accepted duly authorized by the Senate Committee on Rules, the
Assembly Committee on Rules, or the Joint Committee on Rules,
as appropriate, is not an employee of either house of the
Legislature for purposes of this article.

(d) For purposes of this section, a California Law Fellow is
“duly authorized by the Senate Committee on Rules, the Assembly
Committee on Rules, or the Joint Committee on Rules” only if both
of the following requirements are satisfied:

(1) The California Law Fellow has been selected according to
criteria, and pursuant to a process, approved by the Senate
Committee on Rules, the Assembly Committee on Rules, or the
Joint Committee on Rules.

(2) The program has executed an agreement with the Senate
Committee on Rules, the Assembly Committee on Rules, or the
Joint Committee on Rules whereby the California Law Fellow is
bound to abide by standards of conduct, economic interest
disclosure requisites, and other requirements specified by the
Senate Committee on Rules, the Assembly Committee on Rules, or
the Joint Committee on Rules.

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SECTION 1.  

Section 8169 of the Government Code is amended
to read:

8169.  

(a) The director may lease the real property owned by
the state within the core area, and not under the jurisdiction of any
other state agency, for purposes consistent with the Capitol Area
Plan and the management thereof, for the term and upon terms and
conditions that the director deems to be appropriate. A lease shall
provide that any property subsequently leased by a joint powers
authority for which a lease or rental for a period of five years or
more is contemplated, shall be advertised and awarded utilizing
for the purpose the same procedure followed by the director for
other state properties. The director’s authority to lease real property
under this section shall include, but not be limited to, the authority
to lease portions of buildings and facilities occupied or to be
occupied in part by state agencies, to private parties, and other
public agencies for office, residential, parking, and commercial
uses consistent with the Capitol Area Plan.

(b) (1) The director may sell real property that is owned by the
state within the Capitol Area Plan area that is not under the
jurisdiction of any other state agency and that is designated for
residential and commercial purposes in the 1997 update of the
plan. If the director sells property under this section, that property
shall be sold at its fair market value to the joint powers authority
created pursuant to Section 8169.4 for resale and use in the
development of residential and commercial properties consistent
with the Capitol Area Plan. In addition, any property sold under
this section shall not diminish the number of existing dwelling
units or subsequently developed units that are required to be made
available to low-income households pursuant to Section 8193. For
the purposes of Section 8193, an existing residential dwelling unit
or a subsequently developed unit located on land sold pursuant to
this section shall continue to be included in the determination of
the total number of dwelling units located on property leased by
the joint powers authority created pursuant to Section 8169.4.

(2) The director shall not sell any existing residential properties
pursuant to this subdivision that are under the management of the
joint powers authority created pursuant to Section 8169.4 unless
that sale is part of an overall development plan that will lead to a
net increase in residential units on the affected site or sites.

(3) In addition, the director shall not sell any existing residential
properties pursuant to this subdivision that are under the
management of the joint powers authority created pursuant to
Section 8169.4 unless a deed restriction is recorded against the
properties that contains an express condition and covenant that the
real property conveyed shall be used only for residential purposes
for a period of at least 45 years. “Residential purposes” means the
same or substantially similar multifamily, single-family, or
condominium use, or a mixed use, with the same or greater number
of residential units on the affected site. The terms of the restriction
are for the benefit of the public at large and for the benefit of all
parcels of land located within the boundaries of the Capitol Area
Plan. The residential use required by this subdivision shall bind
all successive owners of the property for a period of 45 years from
the date the property is conveyed by the joint powers authority.

(c) With respect to residential leases, the director’s authority
included in this section shall not extend beyond the Capitol area.
The director shall ensure that tenants residing within the Capitol
area are not involuntarily displaced as a result of leases executed
after January 1, 1978. The director’s authority shall also include
the authority to enter into long-term leases not to exceed 60 years
and to pledge, subordinate, hypothecate, or to permit the
assignment of these leases in connection with financing to be
obtained by any lessee or sublessee.

(d) The director shall not execute a sales agreement or lease
agreement for a term lease of more than five years between the
state and another entity, enter into a joint powers agreement, or
issue revenue bonds or notes of evidences of indebtedness offered
by the joint powers authority, if the agreement concerns
state-owned property in the County of Sacramento or the County
of Yolo, unless not less than 30 days prior to its execution he or
she notifies and provides an economic analysis of the proposed
sale to the Members of the Legislature who represent the Capitol
area and the chairman of the committee in each house of the
Legislature that considers appropriations, the chairman of the
appropriate policy committee in each house, and the Chairman of
the Joint Legislative Budget Committee, or his or her designee, in
writing of his or her intention to execute such an agreement. The
chairman of the committee or his or her designee may determine
a lesser notification period prior to execution. The director shall
provide a copy of the notice to any person who requests the director
in writing for the notice.

(e) The Legislature hereby finds that it will be of broad public
benefit to stimulate development of residential and commercial
components of the Capitol Area Plan. Therefore, the director may
sell property to the joint powers authority created pursuant to
Section 8169.4 at a price that is determined to be its fair market
value and terms that have been determined to be appropriate to
stimulate timely development to meet the goals set forth by the
Legislature in the 1997 update of the Capitol Area Plan. The
Capitol Area Development Authority may request these sales after
providing the director with appropriate economic analysis in
support of the value at which property is to be conveyed. The
director may approve the sale of the property if he or she concurs
with the economic analysis.

(f) The Legislature hereby finds that it will be of broad public
benefit to lease some residential units in the Capitol area to persons
and families of low or moderate income, as defined by Section
50093 of the Health and Safety Code, for less than prevailing
market rental rates. Therefore, the director may rent or provide for
the rental of residential facilities to persons and families of low or
moderate income for less than market rental rates and enter into
long-term ground leases at nominal or below market rental rates
when the director deems it will benefit these persons and families.

(g) All leases of state-owned property in the core area to any
private person for other than parking shall be subject to possessory
interest taxes in accordance with Chapter 1 (commencing with
Section 101) of Part 1 of Division 1 of the Revenue and Taxation
Code.

(h) The net proceeds of any moneys received from the
disposition of any state parcels sold pursuant to subdivision (b)
shall be deposited into the General Fund. The department shall be
reimbursed for any cost or expense incurred in the disposition of
any parcels.

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