BILL ANALYSIS Ó
AB 1907
Page 1
ASSEMBLY THIRD READING
AB
1907 (Daly)
As Amended May 27, 2016
Majority vote
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|Committee |Votes|Ayes |Noes |
| | | | |
| | | | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Agriculture |8-0 |Dodd, Mathis, Eggman, | |
| | |Gray, Irwin, | |
| | |Jones-Sawyer, Quirk, | |
| | |Salas | |
| | | | |
|----------------+-----+----------------------+--------------------|
|Appropriations |19-0 |Gonzalez, Bigelow, | |
| | |Bloom, Bonilla, | |
| | |Bonta, Calderon, | |
| | |Chang, Daly, Eggman, | |
| | | | |
| | | | |
| | |Eduardo Garcia, | |
| | | | |
| | | | |
| | |Roger Hernández, | |
| | |Holden, Jones, | |
| | |Obernolte, Quirk, | |
| | |Santiago, Wagner, | |
| | |Weber, Wood | |
AB 1907
Page 2
| | | | |
| | | | |
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SUMMARY: Repeals the authorization for the Department of
General Services (DGS) to sell the Orange County Fair & Event
Center property (OCF) and remove OCF from the list of state
assets to be sold.
EXISTING LAW:
1)Divides the state into agricultural districts, which may form
district agricultural associations (DAAs).
2)Creates DAA 32a, the Orange County Fair, and authorizes DGS to
sell all or any portion of the real property that composes
OCF.
FISCAL EFFECT: According to the Assembly Appropriations
Committee, this bill has forgone potential one-time General Fund
(GF) revenues in the range of $100 million. However, DGS is not
currently planning to sell OCF so any foregone revenue is
uncertain.
COMMENTS: In 2009, the Legislature, along with Governor
Schwarzenegger, approved legislation to facilitate the sale of
the OCF, as part of an effort to close a state budget deficit of
$42 billion. An auction was held in late 2010, with the winning
bid submitted by Facilities Management West; however, the
original sale price was deemed too low. While a new bid was
renegotiated, it was never approved by the Legislature.
In 2011, a three-judge appellate panel halted the sale of the
OCF, overturning a lower court's decision that rejected an
injunction to stop the sale of the property. In its decision,
the court cited flaws in the bidding process, as well as a lack
AB 1907
Page 3
of approval and oversight from the Legislature. Since that
time, Governor Brown has voiced his opposition to the sale of
the OCF. Since 2011, the OCF has been self-sustaining, thus
operating at no cost to taxpayers, and has drawn more than 1.3
million visitors every year.
This bill would strike two provisions that authorized DGS to
sell the property, and would formalize policy in place with the
Brown administration.
Analysis Prepared by:
Victor Francovich / AGRI. / (916) 319-2084 FN:
0003136