BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                     SB 273


                                                                    Page  1





          Date of Hearing:  July 1, 2015


           ASSEMBLY COMMITTEE ON ACCOUNTABILITY AND ADMINISTRATIVE REVIEW


                                  Rudy Salas, Chair


          SB  
          273 (Hueso) - As Amended April 27, 2015


          SENATE VOTE:  39-0


          SUBJECT:  State real property: surplus.


          SUMMARY:  Authorizes the Department of General Services (DGS) to  
          dispose of two surplus state properties, a Department of  
          Conservation field office in Fresno County and a Department of  
          Forestry conservation camp in Shasta County.


          EXISTING LAW requires all state agencies to annually review and  
          determine if any lands under their jurisdiction are in excess of  
          need.  This information is reported to DGS, which first  
          determines if any properties can be used by another state  
          agency, and if not, seeks legislative authorization to dispose  
          of the properties.  Upon such authorization, DGS must first  
          offer each surplus property to the relevant local agencies and,  
          next, to nonprofit affordable housing entities prior to offering  
          the property to private parties through a bidding process.  


          FISCAL EFFECT:  According to the Senate Appropriations  
          Committee, pursuant to Senate Rule 28.8, negligible state costs.









                                                                     SB 273


                                                                    Page  2






          COMMENTS:  This measure is the annual surplus property bill  
          sponsored by DGS.  State agencies are required by Government  
          Code Section 11011 to identify real properties that are excess  
          to their needs.  Legislative authorization is needed to declare  
          real properties as surplus and permit their disposal by DGS.





          The two parcels in this bill have been identified by state  
          agencies as no longer serving a programmatic need.  DGS provides  
          the following rationale for deeming the properties in this bill  
          surplus: 





            "The Department of Conservation property in Coalinga (Fresno  
            County) was originally purchased in 1918 as a single story  
            1,670 square foot home on an approximately 0.17 acre lot.   
            Today it is used as office space.  Yet, despite upgrades over  
            the years, it no longer meets program needs.


            The Department of Forestry conservation camp in Whiskeytown  
            (Shasta County) consists of approximately 30 acres which were  
            acquired in the 1950s.  Numerous fire support structures were  
            added to the property shortly after acquisition but the land  
            and structures are currently undersized and no longer meet  
            program needs.  The Department of Forestry discontinued use of  
            the site several years ago which eventually resulted in  
            structural damage to the facilities due to a lack of security  
            at the site.  Until disposed of, this particular property will  
            continue to pose a liability to the state.










                                                                     SB 273


                                                                    Page  3






            While these properties remain under state ownership, they may  
            have additional issues, such as non-compliance with the  
            Americans with Disabilities Act, pose security concerns, or  
            cost the state money to maintain and secure while vacant.  In  
            addition there could be significant costs associated with  
            making these properties compliant with current building  
            standards."   





          All proceeds generated from the sale of surplus properties are  
          used to pay the holders of the state's deficit reduction bonds.   




          PRIOR LEGISLATION:  The following measures are the most recent  
          surplus property bills sponsored by DGS and enacted into law:
          1)AB 2174 (Assembly Accountability and Administrative Review  
            Committee), Chapter 337, Statutes of 2014

          2)AB 826 (Jones-Sawyer), Chapter 505, Statutes of 2013
           
          3)SB 1580 (Senate Governmental Organization Committee), Chapter  
            798, Statutes of 2012 

          4)AB 1272 (Butler), Chapter 178, Statutes of 2011 

          5)SB 136 (Huff), Chapter 166, Statutes of 2009

          REGISTERED SUPPORT / OPPOSITION:




          Support








                                                                     SB 273


                                                                    Page  4







          Department of General Services (sponsor)




          Opposition


          None on file




          Analysis Prepared by:Cassie Royce / A. & A.R. / (916)  
          319-3600