SB 117, as introduced, Vidak. City property: leases.
Existing law generally prohibits a city from leasing property that it owns or controls for a period exceeding 55 years, but permits a city to lease property that it owns or controls for a period not to exceed 99 years if specified conditions are met.
This bill would make technical, nonsubstantive changes to these provisions.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 719 of the Civil Code is amended to read:
Notwithstanding the 55-year limitation imposed by Section
3718, property owned by, or held by, or under the management and
4control of, any city, or any department or board thereof, may be
5leased for a periodbegin delete whichend deletebegin insert thatend insert exceeds 55 yearsbegin insert,end insert but does not
6exceed 99 years, if all of the following conditions are met:
7(a) The lease shall be subject to periodic review by the city and
8shall take into consideration the then current market conditions.
9The local
legislative body may, prior to final execution of the lease,
10establish the lease provisionsbegin delete whichend deletebegin insert thatend insert will periodically be
11reviewed, and determine when those provisions are to be reviewed.
P2 1(b) Any lease entered into by any city pursuant to this section
2shall be authorized by an ordinance adopted by the legislative
3body. The ordinance shall be subject to referendum in the manner
4prescribed by law for ordinances of cities.
5(c) Prior to adopting an ordinance authorizing a lease, the
6legislative body shall hold a public hearing. Notice of the time and
7place of the hearing shall be published pursuant to Section 6066
8of the Government Code, in one or more newspapers of general
9circulation within
the city and shall be mailed to any person
10requesting special notice, to any present tenant of the public
11property, and to all owners of land adjoining the property.
12(d) Any lease shall be awarded to the bidderbegin delete whichend deletebegin insert whoend insert, in the
13determination of the legislative body, offers the greatest economic
14return to the city, after competitive bidding conducted in the
15manner determined by the legislative body. Notice inviting bids
16shall be published pursuant to Section 6066 in one or more
17newspapers of general circulation within the city.
18(e) The provisions of subdivisions (b), (c), and (d) of this section
19do not apply to any charter city, which may utilize a procedure as
20specified by charter or adopted
by ordinance in accordance with
21its charter.
22(f) This section shall not apply to leases of property acquired
23for park purposes; to leases for the purpose of producing mineral,
24oil, gas, or other hydrocarbon substances; nor to leases of tidelands
25or submerged lands or improvements thereon.
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