BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session SB 184 (Committee on Governance and Finance) - Local government: omnibus bill. ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: April 16, 2015 |Policy Vote: GOV. & F. 6 - 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: Yes | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: May 11, 2015 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- This bill does not meet the criteria for referral to the Suspense File. Bill Summary: SB 184, the Local Government Omnibus Bill of 2014, would make numerous non-controversial changes to the laws governing the powers and duties of local agencies. Fiscal Impact: Potential minor reimbursable mandate costs related to provisions that eliminate the sunset on releasing subdivision performance securities. Staff notes that no mandate claims have been filed in the 10 years that these provisions have been in statute, so it is unlikely that local agencies would SB 184 (Committee on Gov. & Finance) Page 1 of ? submit a reimbursement claim in the future. The remaining provisions of this bill are expected to have negligible fiscal impacts. Background: This bill combines non-controversial changes to seven parts of state law that affect local agencies and land use. All of the items have been vetted by interested parties and legislative staff prior to inclusion in this omnibus measure, and if opposition arises to any provision at any time, it will be removed. This can be an efficient approach to enacting numerous minor, technical, and consensus statutory changes in a single policy area. Proposed Law: SB 184 would make the following changes to local government laws: Make seven changes to statutes governing the activities of county recorders to clean up the codes and to conform state law to current document recording practices. Authorize a local legislative body to designate a public officer or employee (rather than the legislative body itself) to release or reduce deposits to pay engineers and surveyors for setting final survey monuments, as specified. Repeal the January 1, 2016 sunset date on provisions that require cities and counties to establish uniform procedures regarding the timing and requirements for releasing developers' performance security. (see staff comments) Clarify that the term "auditor" refers to county auditors in statutes related to the collection of sanitation and sewage system service and facility fees and charges. Make eight consensus changes to the California Uniform Public Construction Cost Accounting Act to clarify provisions and improve the Act's functionality. Authorize California Water Districts' governing boards to delegate the power to sign contracts on the district's behalf to district officers and employees. Under current law only the district's president and secretary may execute contracts. Staff Comments: Cities and counties often require a developer to SB 184 (Committee on Gov. & Finance) Page 2 of ? provide specified types of security, such as bonds or other credit instruments, to ensure performance of conditions related to a developer project, such as the installation of street lighting, sidewalks, and sewer lines. Local governments are required to release a developer's performance security upon final completion and acceptance of the work. Until 2006, cities and counties followed their own policies and procedures for determining when a project is completed and accepted, whether there should be a partial release of the performance security, and the timing of the release. AB 1460 (Umberg), Chapter 411 of 2005, established uniform procedures and time limits for notification of completion and acceptance of the work, release of performance security, and partial release of security and notification in the case of incomplete or unsatisfactory work. The requirements established by AB 1460 were extended in 2010 and are scheduled to sunset on January 1, 2016. SB 184 would repeal the sunset date, thereby permanently extending the uniform procedures and requirements that cities and counties must follow related to the release of performance security. Staff notes that no mandate reimbursement claims have been filed by local agencies subject to the requirements imposed by AB 1460. It would seem that any costs associated with the establishment of procedures related to release of performance security would have occurred nearly ten years ago, making a future claim for reimbursement highly unlikely. None of the remaining provisions are expected to have state fiscal impacts. -- END --