BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 1816| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 1816 Author: Dahle (R), et al. Amended: 5/24/16 in Senate Vote: 21 SENATE GOVERNANCE & FIN. COMMITTEE: 6-0, 6/15/16 AYES: Hertzberg, Nguyen, Beall, Hernandez, Lara, Moorlach NO VOTE RECORDED: Pavley ASSEMBLY FLOOR: 77-0, 5/5/16 - See last page for vote SUBJECT: Tulelake Irrigation District SOURCE: Tulelake Irrigation District DIGEST: This bill allows certain non-residents to serve on the Tulelake Irrigation District Board of Directors. ANALYSIS: Existing law: 1)Establishes the powers, governance structure, and election requirements for irrigation districts. 2)Requires that each voter of an irrigation district be a resident registered to vote in the district. AB 1816 Page 2 3)Requires that each director of an irrigation district be a voter, a landowner in the district, and a resident of the division of the district that he or she represents at the time of nomination or appointment and through the entire term, unless elected at a formation hearing. 4)Creates, under the Cortese-Knox-Hertzberg Act, a local agency formation commission (LAFCO) in each county to control the boundaries of cities, county service areas, and most special districts. This bill: 1)Authorizes the Tulelake Irrigation District (TID) board of directors to adopt a resolution that authorizes a person to be a director if the person: a) Is a registered voter in California, b) Lives within the "residency area," defined as the land within the district's boundaries or within one mile of any boundary, and c) Owns property within the division or is a property owner's legal representative. 2)Defines legal representative to mean the person authorized to act on behalf of a corporation that is allowed to own property in California. 3)Requires a legal representative to present to the district a copy of his or her authority to represent the corporation prior to declaring candidacy or being appointed to the board. AB 1816 Page 3 4)Requires that, upon written request by at least 25% of the registered voters in the district, all directors must meet the requirements in current law for directors of irrigation districts. Background California's 93 irrigation districts function under a collection of statutes known as the Irrigation District Law that describe their governance structure and authority. In general, these districts are governed by a five-member board of directors, with each member representing a division within the district. In most cases, registered voters are eligible to vote in district elections, but directors (also referred to as board members) must be voters, landowners, and residents in the division of the district they represent. The Legislature has provided specific exemptions from the residency requirement for directors by enacting special legislation for four districts: Pixley Irrigation District, Hills Valley Irrigation District, Stratford Irrigation District, and Byron-Bethany Irrigation District. The Legislature authorized all of these districts to have non-resident directors in 1994. The TID spans 96,000 acres of land in both Modoc and Siskiyou counties, near the Oregon border. The District was formed in 1952 to deliver water to TID lands from U.S. Bureau of Reclamation projects. In 1957, TID took over operation and maintenance of existing water infrastructure that landowners had already constructed. TID only provides water services for agricultural purposes and is financed by assessments on landowners, based on the number of acres owned. TID's governing body is a five-member board of directors, each representing a division of the district. Currently, TID directors must meet all the criteria required by irrigation district statutes, such as being a resident and landowner in the division that he or she AB 1816 Page 4 represents. TID currently encompasses about 400 landowners. However, 158 of them reside outside of the district's boundaries, including 16 landowners that reside within one mile of the district's boundaries, along a surrounding ridge. Because they live outside of the district, these landowners are ineligible to serve on the board. The TID board of directors wants to expand the pool of candidates that are eligible to sit on the board of directors. Comments 1)Purpose of the bill. Currently, directors of the TID must be residents, landowners, and registered voters in the division that they represent. These stringent requirements, coupled with the unique topography of TID and the surrounding area, have drastically reduced the number of candidates that are eligible to serve on the board. Specifically, more than one third of the landowners in the district reside outside of the boundaries of the district, making them ineligible. In one division, there are currently only two potential candidates for a division seat. AB 1816 allows landowners who reside within one mile of TID's boundaries to sit on the board of directors, expanding the pool of candidates while maintaining a close connection between the directors and the agricultural activities in the district. These simple changes are consistent with previous efforts to allow more candidates to run for irrigation board seats and promote democratic ideals by ensuring robust electoral competition. 2)Close, but no cigar. With rare exceptions, elected officials must reside within the boundaries of the agency that they represent. Of the 93 irrigation districts in California, only four allow for directors to reside outside the district that they represent. LAFCOs were formed in each county to act as an arm of the Legislature to determine boundaries while considering local conditions. While the current TID boundaries may limit the pool of candidates, Modoc LAFCO has the ability to expand its boundaries to encompass the AB 1816 Page 5 residency area described in AB 1816, or to include any other relevant territory based on local conditions. For example, the LAFCO might determine that there are more logical changes to TID's boundaries than simply expanding the district one mile in all directions. Yet TID has not applied to Modoc LAFCO to increase its jurisdiction. Moreover, all of the other districts that allow directors to reside outside of the district were given that authority prior to the comprehensive changes to local government boundary-setting that the Cortese-Knox-Hertzberg Act enacted. AB 1816 chips away at the role of LAFCOs, potentially setting an undesired precedent. Is this bill necessary given the option to pursue a boundary change through LAFCO? FISCAL EFFECT: Appropriation: No Fiscal Com.:NoLocal: No SUPPORT: (Verified6/17/16) Tulelake Irrigation District (source) Association of California Water Agencies Ben DuVal Farms, Inc. City of Tulelake Frey Farms Gold Dust Potato Processors, Inc. Jeff and Leslie Boyd Farms JW Farming, LLC Klamath Water Users Association McKoen & Son Modoc County Board of Supervisors Modoc County Farm Bureau Potato Karma Seus Family Farms, Inc. Siskiyou County Board of Supervisors Staunton Farms Tally Ho Farms WJB, LLC One individual farmer AB 1816 Page 6 OPPOSITION: (Verified6/17/16) None received ASSEMBLY FLOOR: 77-0, 5/5/16 AYES: Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Frazier, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Quirk, Ridley-Thomas, Rodriguez, Salas, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Rendon NO VOTE RECORDED: Eggman, Beth Gaines, Santiago Prepared by:Anton Favorini-Csorba / GOV. & F. / (916) 651-4119 6/17/16 15:03:50 **** END ****