Amended in Senate April 16, 2015

Senate Bill No. 184

Introduced by Committee on Governance and Finance (Senators Hertzberg (Chair), Bates, Beall, Hernandez, Lara, Nguyen, and Pavley)

February 9, 2015

An act begin insert to amend Sections 27202, 27203, 27203.5, 27210, 27211, 27230, 27231, 27256, 27257, 27320, 27321, 27321.5, 27360, 66497, and 66499.7 of, and to repeal Section 27251 of, the Government Code, end insert to amend Sections 5473.4, 5474.4, and 5474.5 of the Health and Safety Code, begin insert to amend Sections 20200, 22010, 22014, 22015, 22017, 22034, 22036, 22039, 22043, and 22044 of, and to add Section 22042.5 to, the Public Contract Code, and to amend Section 35406 of the Water Code, end insert relating to local government.

LEGISLATIVE COUNSEL’S DIGEST

SB 184, as amended, Committee on Governance and Finance. Local government: omnibus bill.

begin delete

Existing

end delete

begin insert (1) end insert begin insert   end insert begin insert Existing end insert law authorizes specified local entities, including cities, counties, special districts, and other authorized public corporations, to collect fees, tolls, rates, rentals, or other charges for water, sanitation, storm drainage, or sewerage system services and facilities. Under existing law, a local entity may collect these charges on the property tax roll at the same time and in the same manner as its general property taxes. If the entity collects these charges in this way, existing law requires the entity to prepare and file with its clerk or secretary a report describing each parcel of property receiving the above-described services and the amount charged. Existing law requires the clerk or secretary to annually file the report with the auditor. Existing law also authorizes these local entities to fix fees or charges for the privilege of connecting parcels of property to their sanitation or sewerage facilities, subject to specified procedures. Existing law requires the legislative body of the local entity to annually file with the auditor a list of lots or parcels of land subject to these fees or charges and the amounts of the installments of the fees or charges to be entered against the affected lots or parcels of land. Existing law requires the auditor to enter on the assessment roll the amounts of installments of these fees or charges. Existing law defines the auditor, for the purposes of these provisions, as the financial officer of the local entity.

This bill would clarify that the above-described provisions relating to the authority and duties of the auditor apply only to the county auditor. The bill would also make technical, nonsubstantive changes to these provisions.

begin insert

(2) Existing law requires a county recorder, upon payment of proper fees and taxes, to accept for recordation any instrument, paper, or notice that is authorized or required to be recorded, as specified. Existing law authorizes a county recorder to make marginal notations to indicate whether internal revenue stamps were affixed to specified documents.

end insert begin insert

This bill would instead authorize the county recorder to make marginal notations on records as part of the recording process.

end insert begin insert

Existing law requires a county recorder to keep an index of the separate property of married women, as specified.

end insert begin insert

This bill would repeal this requirement.

end insert begin insert

Existing law authorizes a county recorder to keep a general grantor-grantee index of specified recorded documents relating to real property transfers.

end insert begin insert

This bill would authorize the recorder to combine the general grantor-grantee index in a computerized or electronic format, as provided.

end insert begin insert

Existing law establishes the procedures that a county recorder is required to follow to record an instrument that is authorized by law to be recorded and deposited in the recorder’s office, including, among other requirements, that the recorder endorse upon the document the name of the person who requested its recordation.

end insert begin insert

This bill would delete that endorsement requirement.

end insert begin insert

Existing law requires, before a recorder accepts it for recording, a deed or instrument executed to convey fee title to real property to note across the bottom of the first page the name and address to which future tax statements may be mailed.

end insert begin insert

This bill would delete the requirement that this information appear across the bottom of the page. The bill would also make technical changes to various provisions related to county recorders.

end insert begin insert

(3) Existing law, the Subdivision Map Act, provides that the regulation and control of the design and improvement of subdivisions is vested in the legislative bodies of local agencies. Existing law requires that an engineer or surveyor making a survey for a final subdivision map or parcel map set sufficient durable monuments so that another engineer or surveyor may readily retrace the survey, as specified. Existing law authorizes a city or county to require a subdivider to provide a deposit to ensure the payment of various fees and services related to a final map or parcel map, including payment of the cost of setting the final monuments. Existing law requires that if an engineer or surveyor’s costs of setting final monuments are to be paid from the deposit held by the city or county, the payment be made by the city or county’s legislative body within a specified period of time.

end insert begin insert

This bill would allow the legislative body to authorize any public officer or employee to release or reduce the amount of the cash deposit to pay the engineer or surveyor for setting the final monuments.

end insert begin insert

The Subdivision Map Act and local ordinances authorize or require, under specified circumstances, the furnishing of specified types of security with respect to the performance of various acts or agreements subject to the act. Existing law, until January 1, 2016, also sets forth the specific requirements imposed on a local agency for the complete or partial release of a performance security furnished by a subdivider.

end insert begin insert

This bill would delete the repeal of the provisions relating to the requirements for releasing a performance security, thereby extending the operation of these provisions indefinitely and imposing a state-mandated local program.

end insert begin insert

(4) Existing law, the Uniform Public Construction Cost Accounting Act (UPCCAA), establishes the California Uniform Construction Cost Accounting Commission, which is responsible for recommending, for adoption by the Controller, uniform construction cost accounting procedures for implementation by public agencies in the construction of public projects. Existing law requires the commission to consist of 14 members, including 2 members who represent school districts, one with an average daily attendance over 25,000 and one with an average daily attendance under 25,000. Existing law requires that members of the commission hold office for terms of 3 years and until their successors are appointed, and requires the Controller to appoint a replacement to fill a vacancy on the commission within 90 days after the expiration of any term. Existing law requires that each member of the commission serve without compensation, but requires them to be reimbursed for travel and other expenses, as provided.

end insert begin insert

This bill would delete the requirement that the 2 members who represent school districts represent districts with an average daily attendance above and below 25,000. The bill would clarify that the Controller may reappoint members of the commission for subsequent three year terms, would authorize the Controller to appoint a successor for any commissioner after his or her 3-year term expires, and would require the Controller to fill any vacancy on the commission within 120 days, instead of 90 days, after the expiration of any term. The bill would also require reimbursement rates for travel by members of the commission to conform to the Controller’s travel guideline rates.

end insert begin insert

The UPCCAA requires each participating local agency to adopt an informal bidding ordinance that, among other things, specifies the manner in which notices inviting informal bids are to be sent to a list of qualified contractors, construction trade journals, or both.

end insert begin insert

This bill would clarify the requirements of that ordinance and would authorize notices inviting informal bids to be faxed or emailed to the appropriate contractors list or trade journals, as provided.

end insert begin insert

The UPCCAA requires the governing body of a participating local agency to adopt plans, specifications, and working details for public projects that exceed a specified value.

end insert begin insert

This bill would authorize that governing body to designate a representative to adopt those plans, specifications, and working details.

end insert begin insert

The UPCCAA requires the commission to review the accounting procedures of any participating public agency if an interested party presents evidence that the work undertaken by the public agency falls within specified categories, and provides procedures by which an interested party must make a request.

end insert begin insert

This bill would additionally require the commission to review the nonaccounting practices of any participating public agency if an interested party presents evidence that the public agency is not in compliance with the UPCCAA’s provisions, and would require that this request be in writing, sent by certified or registered mail.

end insert begin insert

The UPCCAA requires the commission to prepare written findings after it reviews an agency’s compliance with the act or uniform cost accounting procedures, requires the public agency to present the commission’s findings to its government body, and requires that governing body to conduct a public hearing regarding those findings within 30 days of receipt of the findings, as provided.

end insert begin insert

This bill, regarding review of compliance with the act or uniform cost accounting procedures, would require the commission to prepare its written findings within 30 business days, would require the public agency to present the commission’s findings to the governing body of that agency within 30 calendar days of the commission’s review, and would require that governing body to hold a public hearing regarding the commission’s findings within 60 days, instead of 30 days, of receiving those findings. The bill, for commission findings relating to nonaccounting practices, would require the agency to notify its governing body of the commission’s findings within 30 calendar days of receipt of written notice of the findings, and would require the agency to notify the commission in writing, within 60 calendar days, of the public agency’s efforts to comply, as specified.

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(5) Existing law authorizes a water district to execute, by its president and secretary, all contracts and other documents necessary to carry out the powers and purposes of the district.

end insert begin insert

This bill would authorize the governing board of a water district to delegate to district officers and employees the power to sign contracts on the district’s behalf.

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(6) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end insert begin insert

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

end insert

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

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

SECTION 1.  

(a) This act shall be known, and may be cited,
as the Local Government Omnibus Act of begin delete 2014 end delete begin insert 2015 end insert .

(b) The Legislature finds and declares that Californians want
their governments to be run efficiently and economically and that
public officials should avoid waste and duplication whenever
possible. The Legislature further finds and declares that it desires
to control its own costs by reducing the number of separate bills.
Therefore, it is the intent of the Legislature in enacting this act to
combine several minor, noncontroversial statutory changes relating
to the common theme, purpose, and subject of local government
into a single measure.

begin insert

begin insert SEC. 2. end insert   

end insert

begin insert Section 27202 of the end insert begin insert Government Code end insert begin insert is amended to
read: end insert

27202.  

Upon the request of any officer of the United States,
the county recorder shall record instruments to which the United
States is a party without payment of the recording fee in advance
and shall execute the proper government voucher for payment.
Upon begin delete payment of the fee he shall transmit it end delete begin insert payment, the fee shall
be transmitted end insert to the begin delete treasurer end delete begin insert Treasurer end insert with begin delete his end delete begin insert the recorder’s end insert
first settlement after the collection.

begin insert

begin insert SEC. 3. end insert   

end insert

begin insert Section 27203 of the end insert begin insert Government Code end insert begin insert is amended to
read: end insert

27203.  

begin insert (a) end insert begin insert   end insert Any recorder to whom an instrument proved or
acknowledged according to law or any paper or notice which may
by law be recorded is delivered for record is liable to the party
aggrieved for the amount of the damages occasioned thereby, if
he or she commits any of the following acts:

begin delete

(a) (1)

end delete

begin insert (1) end insert  Neglects or refuses to record the instrument, paper, or notice
within a reasonable time after receiving it. This subdivision shall
not apply to an instrument, paper, or notice that the recorder has
determined to be an unrecordable document pursuant to this
chapter. Nothing in this subdivision shall preclude the application
of Section 27201.

(2) The recorder may provide, to any person presenting a
document the recorder determines to be an unrecordable document,
a form stating that the person has the right to judicial review in a
court of competent jurisdiction of the recorder’s refusal to record
the document. The form shall include a section stating the
recorder’s reason for refusing the document. The form shall provide
notice that it is a public offense to further attempt to record the
document without an order of the court as provided by Section
27204. The recorder shall keep a correct copy of the refused
document. In the event the document is determined by the court
to be a recordable document, the recorder shall pay the filing fees
for the review, and shall record the document within a reasonable
time.

(b) Records any instrument, paper, or notice, willfully or
negligently, untruly, or in any manner other than that prescribed
by this chapter.

(c) Neglects or refuses to keep in his begin insert or her end insert office or to make
the proper entries in the indices required by this chapter.

(d) Alters, changes, obliterates or inserts any new matter in any
records deposited in begin delete his end delete begin insert the recorder’s end insert office. The recorder may
make marginal notations on begin delete the records in his office indicating the
affixing of internal revenue stamps to documents subsequent to
recordation or the affixing of such stamps to original deeds on file
in the office of the registrar of titles end delete begin insert records as part of the
recording process end insert .

begin insert

begin insert SEC. 4. end insert   

end insert

begin insert Section 27203.5 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27203.5.  

If the recorder willfully and maliciously commits any
of the acts described in Section 27203 or begin delete if he end delete derives a personal
financial benefit from committing any of those acts, begin delete he end delete begin insert the recorder end insert
is liable to the party aggrieved for three times the amount of
damages occasioned thereby.

begin insert

begin insert SEC. 5. end insert   

end insert

begin insert Section 27210 of the end insert begin insert Government Code end insert begin insert is amended to
read: end insert

27210.  

The county recorder may use a printed, stamped or
photographically reproduced facsimile signature in certifying to
a record in begin delete his end delete begin insert the recorder’s end insert office provided such certification
has the seal of begin delete his end delete begin insert the recorder’s end insert office affixed thereto.

begin insert

begin insert SEC. 6. end insert   

end insert

begin insert Section 27211 of the end insert begin insert Government Code end insert begin insert is amended to
read: end insert

27211.  

The recorder shall keep an official seal of begin delete his end delete begin insert the
recorder’s end insert office which shall, when embossed, stamped, impressed
or affixed to a certification, show legibly.

Such seal shall:

(a) Be circular in shape;

(b) Be not less than 11⁄4 inches and not more than two inches
in diameter;

(c) Have in the center any words or design adopted by the
recorder;

(d) Have inscribed around the central words or design,
“Recorder, ____ County, California,” inserting therein the name
of the county.

Nothing contained herein shall prohibit a recorder from
continuing to use a seal of a design different than that specified
herein if such seal has customarily been used.

begin insert

begin insert SEC. 7. end insert   

end insert

begin insert Section 27230 of the end insert begin insert Government Code end insert begin insert is amended to
read: end insert

27230.  

The recorder shall procure such books for records as
the business of begin delete his end delete begin insert the recorder’s end insert office requires, but orders for
the books shall first be obtained from the board of supervisors.
The books used may contain printed forms of deeds, mortgages,
or other instruments of general use.

begin insert

begin insert SEC. 8. end insert   

end insert

begin insert Section 27231 of the end insert begin insert Government Code end insert begin insert is amended to
read: end insert

27231.  

The recorder has the custody of, and shall keep all
books, records, maps, and papers deposited in begin delete his end delete begin insert the recorder’s end insert
office.

begin insert

begin insert SEC. 9. end insert   

end insert

begin insert Section 27251 of the end insert begin insert Government Code end insert begin insert is repealed. end insert

begin delete

27251.  

The recorder shall keep an index of the separate property
of married women, labeled: “Separate property,” each page divided
into five columns, headed respectively: “Names of married
women,” “Names of their husbands,” “Nature of instruments
recorded,” “When recorded,” and “Where recorded.”

end delete

begin insert

begin insert SEC. 10. end insert   

end insert

begin insert Section 27256 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27256.  

The recorder shall keep such other indices as are
required in the performance of begin delete his end delete official duties.

begin insert

begin insert SEC. 11. end insert   

end insert

begin insert Section 27257 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27257.  

Instead of those indices indicated in this division, the
recorder may utilize either of the following systems of indexing:

(a) The recorder may keep two indices, labeled respectively:
“General index of grantors” (names of grantors, defendants, and
first parties, who would otherwise be indexed in any of the other
indices specified in this article) and “General index of grantees”
(names of grantees, plaintiffs, and second parties, who would
otherwise be indexed in any of the other indices specified in this
article). Each page of the general index of grantors shall be divided
into seven columns, labeled respectively: “Date filed,” “Grantors
and defendants,” “Grantees and plaintiffs,” “Title,” “Document
number,” “Book,” and “Page.” Each page of the general index of
grantees shall be divided into seven columns, labeled respectively:
“Date filed,” “Grantees and plaintiffs,” “Grantors and defendants,”
“Title,” “Document number,” “Book,” and “Page”; or

(b) The recorder may combine the general index of grantors
and the general index of grantees into a single index which shall
alphabetically combine the grantors and grantees as defined in
subdivision (a). Each page of the “General grantor-grantee index”
shall be divided into seven columns, labeled respectively: “Date
filed,” “Grantors-grantees,” begin delete “Grantees-granto rs,” end delete
begin insert “Grantees-grantors,” end insert “Title,” “Document number,” “Book,” and
“Page.” Where such a combined index is used, the names of the
grantors shall be distinguished from the names of the grantees, as
respectively defined in subdivision (a), by an easily recognizable
mark or symbol.

begin delete

Indexing

end delete

begin insert (c) end insert begin insert   end insert begin insert Indexing end insert as enumerated in subdivisions (a) and (b) above
may be in lieu of indexing in any of the other indices, and shall
impart notice in like manner and effect as the indexing would
otherwise impart in the other indices provided for in this division.
If the recorder keeps any other index, begin delete he end delete begin insert the recorder end insert shall not be
required to index those names in the general index as enumerated
in subdivisions (a) and (b) above. Nothing in this section shall
prevent the recorder from indexing any names which also appear
in any other of begin delete his end delete begin insert the recorder’s end insert indices.

begin delete

Where

end delete

begin insert (d) end insert begin insert   end insert begin insert Where end insert the method of subdivision (a) or (b) is utilized, and
in those counties where the recorder alphabetizes grantors’ and
grantees’ names by mechanical methods, fewer columnar headings
may be used in the indices, if adequate index reference to the
location of each document in the permanent file, book, or film
record is provided.

begin delete

The

end delete

begin insert (e) end insert begin insert   end insert begin insert The end insert alphabetical subdivisions in each of the general indices
shall be so arranged, as nearly as possible, that the entries to be
made in the indices will be equally apportioned. The alphabetical
subdivisions shall be sufficient in number to facilitate reference.

begin delete

The

end delete

begin insert (f) end insert begin insert   end insert begin insert The end insert recorder may keep in the same volume any two or more
of the indices enumerated in this article, and the several indices
shall be kept distinct from each other and the volume distinctly
marked on the outside so as to show all the indices kept in it,
provided that nothing in this section shall prohibit the recorder
from combining the general indices in one volume as enumerated
in subdivision (b). The names of the parties in the first column in
the several indices shall be arranged in alphabetical order.

begin insert

(g) The recorder may combine the general grantor-grantee
index in a computerized or electronic format. The names of the
grantors shall be distinguished from the names of the grantees, as
respectively defined in subdivision (a), by an easily recognizable
mark or symbol.

end insert

begin insert

begin insert SEC. 12. end insert   

end insert

begin insert Section 27320 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27320.  

When any instrument authorized by law to be recorded
is deposited in the recorder’s office for record, the recorder shall
endorse upon it in the order in which it is deposited, the year,
month, day, hour, and minute of its reception, and the amount of
fees for recording. The recorder shall record it without delay,
together with the acknowledgements, proofs, certificates, and prior
recording data written upon or annexed to it, with the plats, surveys,
schedules, and other papers thereto annexed, and shall note on the
record its identification begin delete number, and the name of the person at
whose request it is recorded end delete begin insert number end insert . Efforts shall be made to
assign identification numbers sequentially, but an assignment of
a nonsequential number may be made if not in violation of express
recording instructions regarding a group of concurrently recorded
instruments and if, in the discretion of the county recorder, such
assignment best serves the interest of expeditious recording.

begin insert

begin insert SEC. 13. end insert   

end insert

begin insert Section 27321 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27321.  

begin insert (a) end insert begin insert   end insert The recorder shall endorse upon each instrument
the identification number or book and page where it is recorded,
and shall thereafter begin delete mail, or if specified to the contrary deliver, end delete
begin insert mail end insert it to the person named in the instrument for return mail, begin delete and
if no such person is named, to the party leaving end delete begin insert or deliver it to the
party presenting end insert it for record.

begin delete

Where

end delete

begin insert (b) end insert begin insert   end insert begin insert Where end insert any recorded instrument or document effectuating a
change in ownership is not accompanied by a change in ownership
statement, the recorder shall either include with the return of any
such recorded instrument or document a change in ownership
statement as provided in Section 480 of the Revenue and Taxation
Code or specifically identify those recorded documents not
accompanied by an ownership statement when providing the
assessor with a copy of the transfer of ownership document
pursuant to Section 255.7 of the Revenue and Taxation Code.

begin insert

begin insert SEC. 14. end insert   

end insert

begin insert Section 27321.5 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27321.5.  

Before acceptance for recording, in addition to the
address required on each document for delivery by the recorder begin insert ,
all of the following shall apply end insert :

(a) Every deed or instrument executed to convey fee title to real
property shall have noted begin delete across the bottom of end delete begin insert on end insert the first page begin insert or
sheet end insert thereof the name and address to which future tax statements
may be begin delete mailed; and, end delete begin insert mailed. end insert

(b) Every deed of trust or mortgage with power of sale upon
real property, shall specify the address of the trustor or mortgagor,
or if more than one, the address of any one of them, and shall
contain a request by the trustor or mortgagor that a copy of any
notice of default and a copy of any notice of sale thereunder shall
be mailed to one trustor or mortgagor designated for the purpose
of receiving such notice at the address so begin delete specified; end delete begin insert specified. end insert

begin delete

However, the

end delete

begin insert (c) end insert begin insert   end insert begin insert The end insert failure to begin delete so note, end delete begin insert note, pursuant to subdivision (a) or
(b), end insert or any error in noting, any such name or address or request
shall not affect the validity of the deed, instrument, deed of trust
or mortgage or the notice otherwise imparted by recording. begin delete The
provisions of this end delete begin insert This end insert section begin delete shall end delete begin insert does end insert not apply to the State
Lands Commission.

begin insert

begin insert SEC. 15. end insert   

end insert

begin insert Section 27360 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

27360.  

For services performed by begin delete him, end delete begin insert the recorder’s office, end insert
the county recorder shall charge and collect the fees fixed in this
article.

begin insert

begin insert SEC. 16. end insert   

end insert

begin insert Section 66497 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

66497.  

begin insert (a) end insert begin insert   end insert Within five days after the final setting of all
monuments has been completed, the engineer or surveyor shall
give written notice to the subdivider, and to the city engineer or
the county surveyor or any other public official or employee
authorized to receive these notices, that the final monuments have
been set.

begin delete

Upon

end delete

begin insert (b) end insert begin insert   end insert begin insert Upon end insert payment to the engineer or surveyor for setting the
final monuments, the subdivider shall present to the legislative
body evidence of the payment and receipt thereof by the engineer
or surveyor. In the case of a cash deposit, the legislative body shall
pay the engineer or surveyor for the setting of the final monuments
from the cash deposit, if so requested by the depositor.

begin delete

If

end delete

begin insert (c) end insert begin insert   end insert begin insert If end insert the subdivider does not present evidence to the legislative
body that the engineer or surveyor has been paid for the setting of
the final monuments, and if the engineer or surveyor notifies the
legislative body that payment has not been received from the
subdivider for the setting of the final monuments, the legislative
body shall, within three months from the date of the notification,
pay to the engineer or surveyor from any deposit the amount due.

begin insert

(d) The legislative body may authorize any public officer or
employee to release or reduce the amount of the cash deposit to
pay the engineer or surveyor for setting the final monuments
pursuant to the conditions specified in this section. The legislative
body may prescribe additional rules related to this authorization.

end insert

begin insert

begin insert SEC. 17. end insert   

end insert

begin insert Section 66499.7 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

66499.7.  

The security furnished by the subdivider shall be
released in whole or in part in the following manner:

(a) Security given for faithful performance of any act or
agreement shall be released upon the performance of the act or
final completion and acceptance of the required work. The
legislative body may provide for the partial release of the security
upon the partial performance of the act or the acceptance of the
work as it progresses, consistent with the provisions of this section.
The security may be a surety bond, a cash deposit, a letter of credit,
escrow account, or other form of performance guarantee required
as security by the legislative body that meets the requirements as
acceptable security pursuant to law. If the security furnished by
the subdivider is a documentary evidence of security such as a
surety bond or a letter of credit, the legislative body shall release
the documentary evidence and return the original to the issuer upon
performance of the act or final completion and acceptance of the
required work. In the event that the legislative body is unable to
return the original documentary evidence to the issuer, the security
shall be released by written notice sent by certified mail to the
subdivider and issuer of the documentary evidence within 30 days
of the acceptance of the work. The written notice shall contain a
statement that the work for which the security was furnished has
been performed or completed and accepted by the legislative body,
a description of the project subject to the documentary evidence
and the notarized signature of the authorized representative of the
legislative body.

(b) At the time that the subdivider believes that the obligation
to perform the work for which security was required is complete,
the subdivider may notify the local agency in writing of the
completed work, including a list of work completed. Upon receipt
of the written notice, the local agency shall have 45 days to review
and comment or approve the completion of the required work. If
the local agency does not agree that all work has been completed
in accordance with the plans and specifications for the
improvements, it shall supply a list of all remaining work to be
completed.

(c) Within 45 days of receipt of the list of remaining work from
the local agency, the subdivider may then provide cost estimates
for all remaining work for review and approval by the local agency.
Upon receipt of the cost estimates, the local agency shall then have
45 days to review, comment, and approve, modify, or disapprove
those cost estimates. No local agency shall be required to engage
in this process of partial release more than once between the start
of work and completion and acceptance of all work; however,
nothing in this section prohibits a local agency from allowing for
a partial release as it otherwise deems appropriate.

(d) If the local agency approves the cost estimate, the local
agency shall release all performance security except for security
in an amount up to 200 percent of the cost estimate of the
remaining work. The process allowing for a partial release of
performance security shall occur when the cost estimate of the
remaining work does not exceed 20 percent of the total original
performance security unless the local agency allows for a release
at an earlier time. Substitute bonds or other security may be used
as a replacement for the performance security, subject to the
approval of the local agency. If substitute bonds or other security
is used as a replacement for the performance security released, the
release shall not be effective unless and until the local agency
receives and approves that form of replacement security. A
reduction in the performance security, authorized under this section,
is not, and shall not be deemed to be, an acceptance by the local
agency of the completed improvements, and the risk of loss or
damage to the improvements and the obligation to maintain the
improvements shall remain the sole responsibility of the subdivider
until all required public improvements have been accepted by the
local agency and all other required improvements have been fully
completed in accordance with the plans and specifications for the
improvements.

(e) The subdivider shall complete the works of improvement
until all remaining items are accepted by the local agency.

(f) Upon the completion of the improvements, the subdivider,
or his or her assigns, shall be notified in writing by the local agency
within 45 days.

(g) Within 45 days of the issuance of the notification by the
local agency, the release of any remaining performance security
shall be placed upon the agenda of the legislative body of the local
agency for approval of the release of any remaining performance
security. If the local agency delegates authority for the release of
performance security to a public official or other employee, any
remaining performance security shall be released within 60 days
of the issuance of the written statement of completion.

(h) Security securing the payment to the contractor, his or her
subcontractors and to persons furnishing labor, materials or
equipment shall, after passage of the time within which claims of
lien are required to be recorded pursuant to Article 2 (commencing
with Section 8410) of Chapter 4 of Title 2 of Part 6 of Division 4
of the Civil Code and after acceptance of the work, be reduced to
an amount equal to the total claimed by all claimants for whom
claims of lien have been recorded and notice thereof given in
writing to the legislative body, and if no claims have been recorded,
the security shall be released in full.

(i) The release shall not apply to any required guarantee and
warranty period required by Section 66499.9 for the guarantee or
warranty nor to the amount of the security deemed necessary by
the local agency for the guarantee and warranty period nor to costs
and reasonable expenses and fees, including reasonable attorney’s
fees.

(j) The legislative body may authorize any of its public officers
or employees to authorize release or reduction of the security in
accordance with the conditions hereinabove set forth and in
accordance with any rules that it may prescribe.

begin delete

(k) This section shall remain in effect only until January 1, 2016,
and as of that date is repealed, unless a later enacted statute, that
is enacted before January 1, 2016, deletes or extends that date.

end delete

begin delete SEC. 2. end delete
begin insert SEC. 18. end insert   

Section 5473.4 of the Health and Safety Code is
amended to read:

5473.4.  

On or before August 10 of each year following the
final determination upon each charge, the clerk shall file with the
county auditor a copy of the report prepared pursuant to Section
5473 with a statement endorsed on the report over his or her
signature that the report has been finally adopted by the legislative
body of the entity and the county auditor shall enter the amounts
of the charges against the respective lots or parcels of land as they
appear on the current assessment roll. Where any of the parcels
are outside the boundaries of the entity they shall be added to the
assessment roll of the entity for the purpose of collecting the
charges. If the property is not described on the roll, the county
auditor may enter the description on the roll together with the
amounts of the charges, as shown in the report.

begin delete SEC. 3. end delete
begin insert SEC. 19. end insert   

Section 5474.4 of the Health and Safety Code is
amended to read:

5474.4.  

On or before August 10 of each year following the
final determination, the legislative body shall certify to the county
auditor a list of the lots or parcels of land, as they appear on the
current assessment roll, subject to any fees or charges and the
amounts of the installments of those fees or charges and interest
to be entered against the lots or parcels on the assessment roll. In
the event a lot or parcel connected to the facilities is subsequently
divided into two or more lots or parcels as shown on the current
assessment roll, the legislative body shall designate the lot or parcel
that remains connected to the facilities and against which the
installments of the fees or charges and interest are to be entered.

begin delete SEC. 4. end delete
begin insert SEC. 20. end insert   

Section 5474.5 of the Health and Safety Code is
amended to read:

5474.5.  

The county auditor shall enter on the current assessment
roll the amounts of the installments of any fees or charges and
interest and, except as provided in Section 5474.6, the amounts
thereof shall constitute a lien against the lot or parcel of land
against which levied as of noon on the first Monday in March
immediately preceding the date of entry.

begin insert

begin insert SEC. 21. end insert   

end insert

begin insert Section 20200 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

20200.  

The provisions of this article shall apply to contracts
subject to the Public Utility District Act provided for in Division
7 (commencing with Section begin delete 16051 end delete begin insert 15501 end insert ) of the Public Utilities
Code.

begin insert

begin insert SEC. 22. end insert   

end insert

begin insert Section 22010 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22010.  

There is hereby created the California Uniform
Construction Cost Accounting Commission. The commission is
comprised of 14 members.

(a) Thirteen of the members shall be appointed by the Controller
as follows:

(1) Two members who shall each have at least 10 years of
experience with, or providing professional services to, a general
contracting firm engaged, during that period, in public works
construction in California.

(2) Two members who shall each have at least 10 years of
experience with, or providing professional services to, a firm or
firms engaged, during that period, in subcontracting for public
works construction in California.

(3) Two members who shall each be a member in good standing
of, or have provided professional services to, an organized labor
union with at least 10 years of experience in public works
construction in California.

(4) Seven members who shall each be experienced in, and
knowledgeable of, public works construction under contracts let
by public agencies; two each representing cities, counties,
respectively, and two begin insert members end insert representing school begin delete districts (one
with an average daily attendance over 25,000 and one with an
average daily attendance under 25,000), end delete begin insert districts, end insert and one member
representing a special district. At least one of the two county
representatives shall be a county auditor or his or her designee.

(b) The member of the Contractors’ State License Board who
is a general engineering contractor as that term is defined in Section
7056 of the Business and Professions Code shall serve as an ex
officio voting member.

begin insert

begin insert SEC. 23. end insert   

end insert

begin insert Section 22014 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22014.  

(a) The members of the commission shall hold office
for terms of three years, and until their successors are begin delete appointed,
except as otherwise provided for in this section end delete begin insert appointed end insert .

begin delete

(b) In the case of members initially appointed by the Controller,
two representing the construction industry and two representing
public agencies shall be appointed to serve until July 1, 1985; two
representing the construction industry and two representing public
agencies shall be appointed to serve until July 1, 1986; and three
representing the construction industry and three representing public
agencies shall be appointed to serve until July 1, 1987.

end delete begin delete

(c)

end delete

begin insert (b) end insert  Members may be reappointed begin insert , by the Controller, end insert for
subsequent terms of three years.

begin insert

(c) The Controller may appoint a successor for any
commissioner after his or her three-year term expires.

end insert

(d) The Controller shall, within begin delete 90 days after the expiration of
any term, end delete begin insert 120 days, end insert appoint a replacement to fill begin delete the end delete begin insert any end insert vacancy
on the commission.

begin insert

begin insert SEC. 24. end insert   

end insert

begin insert Section 22015 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22015.  

(a) The Controller shall make available for the conduct
of the commission’s business, such staff and other support as does
not conflict with the accomplishment of the other business of the
office of the Controller.

(b) Each member of the commission shall serve without
compensation, but shall be reimbursed for travel and other expenses
necessarily incurred in the performance of the member’s duties.
begin insert Reimbursement rates shall conform to the Controller’s travel
guideline rates. end insert

(c) The commission may accept grants from federal, state, or
local public agencies, or from private foundations or individuals,
in order to assist it in carrying out its duties, functions, and powers
under this chapter.

begin insert

begin insert SEC. 25. end insert   

end insert

begin insert Section 22017 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22017.  

The commission shall do all of the following:

(a) After due deliberation and study, recommend for adoption
by the Controller, uniform construction cost accounting procedures
for implementation by public agencies in the performance of, or
in contracting for, construction on public projects. The procedures
shall, to the extent deemed feasible and practicable by the
commission, incorporate, or be consistent with construction cost
accounting procedures and reporting requirements utilized by state
and federal agencies on public projects, and be uniformly
applicable to all public agencies which elect to utilize the uniform
procedures. As part of its deliberations and review, the commission
shall take into consideration relevant provisions of Office of
Management and Budget Circular begin delete A-76 end delete begin insert A-76, as periodically
revised end insert .

(b) After due deliberation and study, recommend for adoption
by the Controller cost accounting procedures designed especially
for implementation by California cities with a population of less
than 75,000. The procedures shall incorporate cost accounting and
reporting requirements deemed practicable and applicable to all
cities under 75,000 population which elect to utilize the uniform
procedures. For purposes of these cost accounting procedures, the
following shall apply:

(1) Cities with a population of less than 75,000 shall assume an
overhead rate equal to 20 percent of the total costs of a public
project, including the costs of material, equipment, and labor.

(2) Cities with a population of more than 75,000 may either
calculate an actual overhead rate or assume an overhead rate equal
to 30 percent of the total costs of a public project, including the
costs of material, equipment, and labor.

(c) Recommend for adoption by the Controller, procedures and
standards for the periodic evaluation and adjustment, as necessary,
of the monetary limits specified in Section 22032.

(d) The commission shall make an annual report to the
Legislature with respect to its activities and operations, together
with those recommendations as it deems necessary.

begin insert

begin insert SEC. 26. end insert   

end insert

begin insert Section 22034 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22034.  

Each public agency that elects to become subject to the
uniform construction accounting procedures set forth in Article 2
(commencing with Section 22010) shall enact an informal bidding
ordinance to govern the selection of contractors to perform public
projects pursuant to subdivision (b) of Section 22032. The
ordinance shall include all of the following:

begin insert

(a) Notice to contractors shall be provided in accordance with
either paragraph (1) or (2), or both.

end insert begin delete

(a)

end delete

begin insert (1) end insert  The public agency shall maintain a list of qualified
contractors, identified according to categories of work. Minimum
criteria for development and maintenance of the contractors list
shall be determined by the commission. begin insert All contractors on the list
for the category of work being bid shall be mailed, faxed, or
emailed a notice inviting informal bids unless the product or
service is proprietary. All mailing of notices to contractors
pursuant to this subdivision shall be completed not less than 10
calendar days before bids are due. end insert

begin insert

(2) The public agency may elect to mail, fax or email a notice
inviting informal bids to all construction trade journals specified
in Section 22036.

end insert begin delete

(b) All contractors on the list for the category of work being bid
or all construction trade journals specified in Section 22036, or
both all contractors on the list for the category of work being bid
and all construction trade journals specified in Section 22036, shall
be mailed a notice inviting informal bids unless the product or
service is proprietary.

(c) All mailing of notices to contractors and construction trade
journals pursuant to subdivision (b) shall be completed not less
than 10 calendar days before bids are due.

(d)

end delete

begin insert (b) end insert  The notice inviting informal bids shall describe the project
in general terms and how to obtain more detailed information about
the project, and state the time and place for the submission of bids.

begin delete

(e)

end delete

begin insert (c) end insert  The governing body of the public agency may delegate the
authority to award informal contracts to the public works director,
general manager, purchasing agent, or other appropriate person.

begin delete

(f)

end delete

begin insert (d) end insert  If all bids received are in excess of one hundred seventy-five
thousand dollars ($175,000), the governing body of the public
agency may, by adoption of a resolution by a four-fifths vote,
award the contract, at one hundred eighty-seven thousand five
hundred dollars ($187,500) or less, to the lowest responsible bidder,
if it determines the cost estimate of the public agency was
reasonable.

begin insert

begin insert SEC. 27. end insert   

end insert

begin insert Section 22036 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22036.  

The commission shall determine, on a county-by-county
basis, the appropriate construction trade journals which shall
receive mailed begin insert , faxed, or emailed end insert notice of all informal and formal
construction contracts being bid for work within the specified
county.

begin insert

begin insert SEC. 28. end insert   

end insert

begin insert Section 22039 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22039.  

The governing body of the begin delete public agency end delete begin insert participating
public agency or its designated representative end insert shall adopt plans,
specifications, and working details for all public projects exceeding
the amount specified in subdivision (c) of Section 22032.

begin insert

begin insert SEC. 29. end insert   

end insert

begin insert Section 22042.5 is added to the end insert begin insert Public Contract Code end insert begin insert ,
to read: end insert

begin insert

begin insert 22042.5. end insert   

The commission shall review the nonaccounting
practices of any participating public agency where an interested
party presents evidence that the public agency is not in compliance
with the provisions of this chapter.

end insert

begin insert

begin insert SEC. 30. end insert   

end insert

begin insert Section 22043 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22043.  

(a) In those circumstances set forth in subdivision (a)
of Section 22042, a request for commission review shall be in
writing, sent by certified or registered mail received by the
commission postmarked not later than eight business days from
the date the public agency has rejected all bids.

(b) In those circumstances set forth in subdivision (b) or (c) of
Section 22042, a request for commission review shall be by letter
received by the commission not later than eight days from the date
an interested party formally complains to the public agency.

(c) The commission review shall commence immediately and
conclude within the following number of days from the receipt of
the request for commission review:

(1) Forty-five days for a review that falls within subdivision (a)
of Section 22042.

(2) Ninety days for a review that falls within subdivision (b) or
(c) of Section 22042.

(d) During the review of a project that falls within subdivision
(a) of Section 22042, the agency shall not proceed on the project
until a final decision is received by the commission.

begin insert

(e) A request for commission review pursuant to Section 22042.5
shall be in writing, sent by certified or registered mail.

end insert

begin insert

begin insert SEC. 31. end insert   

end insert

begin insert Section 22044 of the end insert begin insert Public Contract Code end insert begin insert is amended
to read: end insert

22044.  

The commission shall prepare written findings begin insert , which
shall be presented to the public agency within 30 calendar days
of formal commission review end insert . Should the commission find that the
provisions of this chapter or of the uniform cost accounting
procedures provided for in this chapter were not complied with by
the public agency, the following steps shall be implemented by
that agency:

(a) On those projects set forth in subdivision (a) of Section
22042, the public agency has the option of either (1) abandoning
the project, or (2) awarding the project to the lowest responsible
bidder.

(b) On those projects set forth in subdivision (b) or (c) of Section
22042, the public agency shall present the commission’s findings
to its governing body begin insert within 30 calendar days of receipt of written
notice of the findings end insert and that governing body shall conduct a
public hearing with regard to the commission’s findings within begin delete 30 end delete
begin insert 60 calendar end insert days of receipt of the findings.

begin insert

(c) (1) For nonaccounting practices pursuant to Section
22042.5, the public agency shall notify its governing body of the
commission’s findings within 30 calendar days of receipt of written
notice of the findings.

end insert begin insert

(2) The public agency shall notify the commission in writing,
within 60 calendar days of receipt of written notice of the findings,
of the public agency’s efforts to comply.

end insert

begin insert

begin insert SEC. 32. end insert   

end insert

begin insert Section 35406 of the end insert begin insert Water Code end insert begin insert is amended to read: end insert

35406.  

begin insert (a) end insert begin insert   end insert A district may execute, by its president and
secretary, all contracts and other documents necessary to carry out
the powers and purposes of the district.

begin insert

(b)  The board of a district may delegate and redelegate to
officers and employees of the district, under the conditions and
restrictions as shall be determined by the board, the power to bind
the district by contract and execute contracts on behalf of the
district.

end insert

begin insert

begin insert SEC. 33. end insert   

end insert begin insert

If the Commission on State Mandates determines that
this act contains costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division
4 of Title 2 of the Government Code.

end insert