BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 944|
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THIRD READING
Bill No: SB 944
Author: Committee on Transportation and Housing
Amended: 3/28/16
Vote: 27
SENATE TRANS. & HOUSING COMMITTEE: 10-0, 4/5/16
AYES: Beall, Cannella, Allen, Bates, Galgiani, Leyva, McGuire,
Mendoza, Roth, Wieckowski
NO VOTE RECORDED: Gaines
SENATE APPROPRIATIONS COMMITTEE: 7-0, 5/2/16
AYES: Lara, Bates, Beall, Hill, McGuire, Mendoza, Nielsen
SUBJECT: Housing omnibus
SOURCE: Author
DIGEST: This bill makes non-controversial changes to sections
of law relating to housing.
ANALYSIS: This bill makes non-controversial changes to sections
of law relating to housing. Specifically, this bill includes the
following provisions. The proponent of each provision is noted
in brackets.
1) Mobile home disposal: Minor program changes (Sections 1
and 10). AB 999 (Daly, Chapter 376, Statutes of 2015) passed
last year with no controversy. However, in the
implementation of the new mandate, the Department of Housing
and Community Development (HCD) and interested parties are
finding that the 10-day period given in the statute (Civil
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Page 2
Code Section 798.56(e)) is not enough time for management to
make a decision on whether to dispose of an abandoned mobile
home. As a result, this new program is not being used.
Additionally, HCD realized after AB 999 was passed that it
needed regulations to create the forms required by the new
law. This bill changes the time in which management must
file a notice of disposal with HCD from 10 days to 30 days
after the date of sale. This bill also gives HCD authority
to draft guidelines for new procedures and forms until final
regulations may be formally adopted. [Western Manufactured
Housing Communities Association]
2) Transitional Housing Misconduct Act: Move to Civil Code
(Sections 2 and 14). The Transitional Housing Misconduct Act
is a special law that allows transitional housing operators
to remove problematic residents with a simple injunction
action, rather than going through the entire landlord-tenant
eviction law. It also allows for interim options, with court
enforcement, rather than only eviction. Unfortunately,
because it is located in the middle of HCD's finance program
laws, it is difficult to find and often isn't even
understood by courts and housing providers. This bill moves
this law to the Civil Code that already deals with
landlord-tenant statutes, where the courts and housing
providers are more likely to look for such a law. [Senate
Transportation and Housing Committee]
3) Definition of "electric vehicle charging station" and
"charging stations": Correct code reference (Section 3).
Legislation passed in 2014 regulating lease terms on
electric vehicle charging stations included inconsistent
definitions of "electric vehicle charging station" and
"charging station." Civil Code Section 1947.6(c) references
the definition in the California Electrical Code, while
Civil Code Section 1952.7(c)(1) references the definition in
the National Electrical Code. The California Electrical Code
is based on the model National Electrical Code, but contains
amendments made by state agencies with statutory authority.
These amendments were not originally included in the
national model code. This bill corrects the discrepancy by
changing the definition in Section 1952.7 of the Civil Code
to refer to the California Electrical Code. [Lisa Yuki,
Department of General Services]
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Page 3
4) Common interest developments (CIDs): Resolve conflicts
between code sections relating to declarations (Section 4).
There are conflicts between Civil Code Sections 4270 and
4225, 4230, and 4235 relating to amending declarations.
Section 4270 already makes an exception for an alternate
amendment process described in Section 4275. This bill
resolves the conflicts by adding exceptions for the
alternate processes in Sections 4225, 4230, and 4235 to the
existing exception in Section 4270. [Educational Community
for Homeowners]
5) CIDs: Renumber a Civil Code section (Section 5). The
California Law Revision Commission (CLRC) revised the
numbering in the Davis-Stirling Act with the intent to avoid
decimals. Accordingly, the CLRC left ample room between
existing whole-numbered sections. Despite this, Civil Code
Section 4750 concerns personal agriculture, while Civil Code
Section 4750.10 addresses clotheslines. Since clotheslines
are not particularly related to personal agriculture, this
bill replaces the statute number containing a decimal with a
whole number. [Educational Community for Homeowners]
6) CIDs: Annual budget reports (Section 6). Last year, the
Legislature passed and the Governor signed AB 596 (Daly,
Chapter 184, Statutes of 2015), which requires a homeowners
association in a CID to disclose to the owners if the CID is
an approved condominium project pursuant to Federal Housing
Administration and Department of Veterans Affairs
guidelines. Section 5300(b)(10), which applies only to
condominium projects, specifies the following wording that
must be contained in the disclosure statement: "This common
interest development [is/is not (circle one)] a condominium
project." This bill eliminates the "is/is not a condominium"
question from Section 5300(b)(10), since the section only
applies to condos. [Community Associations
Institute-California Legislative Action Committee]
7) CIDs: Correct a Civil Code section reference (Section 7).
Civil Code Section 5570(b)(2) defines the term "major
component" to have the same meaning as specified in Civil
Code Section 55530. There is no Civil Code Section 55530.
The reference is intended to be to Civil Code Section 5550,
which does define the term. This bill corrects an inaccurate
Civil Code section reference from Section 55530 to 5550.
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[Community Associations Institute-California Legislative
Action Committee]
8) Housing discrimination: Update federal law citation
(Section 8). In 1996, an amendment to Civil Code Section
798.76 was made to reflect amendments to a federal law
referenced therein, the Federal Fair Housing Act. A
corresponding change was not made in Government Code Section
12955.9, which cites the same federal law. This bill
corrects the name of the federal law to reflect amendments
thereto. [Western Manufactured Housing Communities
Association]
9) State notice law protections: Clarify reference (Section
9). The state notice law (Government Code Section 65863.10)
applies to a variety of publicly supported affordable
multifamily housing types. SB 1328 (Torlakson, Chapter 110,
Statutes of 2004) extended state notice protections to
tenants of many types of affordable housing not previously
covered. Among them were properties with expiring rent
restrictions that were financed under tax-exempt mortgage
revenue bond programs in Internal Revenue Code Section
142(d) and Government Code Section 65863.10(a)(3)(F). Prior
to 1986, however, the mortgage revenue bond authority in
Internal Revenue Code Section 142(d) was lodged in a
different code section. Consequently, the specific reference
to Section 142 potentially denies basic state notice
protections to tenants in properties that were financed with
mortgage revenue bonds prior to 1986. Last year, voucher
tenants of a 1985 bond-financed property in Walnut Creek
were left unprotected by the state notice law because of
this oversight. This bill clarifies that these protections
apply to properties financed by the program in Internal
Revenue Code Section 142 as well as corresponding sections
in the prior code. [Housing Advocates]
10) Building Standards Commission submittals to the Office of
Administrative Law (OAL) (Section 11). Government Code
Section 11356 exempts building standard regulations
(including the Initial Statement of Reasons) from OAL review
and approval. When the California Building Standards
Commission (CBSC) approves an Initial Statement of Reasons
and a Notice of Proposed Action (Notice), only the Notice is
published by OAL in the California Regulatory Notice
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Register pursuant to Government Code Section 11344.1.
However, Health and Safety Code Section 18935(a) requires
CBSC to submit both the Initial Statement of Reasons and the
Notice to OAL. This bill eliminates an unnecessary
requirement in order to achieve consistency with existing
law. [Department of General Services]
11) Tribally designated housing entities (Sections 12 and 13).
State Health and Safety Code Section 50074 describes the
types of housing sponsors that are eligible to participate
in housing programs administered by HCD. The federal Native
American Housing Assistance Self Determination Act of 1996
establishes a specific category of housing sponsor, the
"tribally designated housing entity," that is neither
enumerated in Section 50074 or defined in existing language.
As such, tribes have never participated in HCD's programs.
This bill defines "tribally designated housing entity" by
reference to federal code and specifies that tribally
designated housing entities are housing sponsors eligible
for assistance from HCD. [Northern Circle Indian Housing
Authority]
12) Mobilehome Park Rehabilitation and Resident Ownership
Program (MPRROP): Clarify intent (Section 15). AB 225 (Chau
and Nestande, Chapter 493, Statutes of 2014) gave HCD
greater flexibility to administer the MPRROP. The bill
allowed recipients of program funds (e.g., resident
organizations, local public entities, nonprofit sponsors) to
make loans to lower-income mobilehome owners to assist them
in repairing their mobilehomes. The bill was intended to
allow HCD to operate this program in a manner similar to the
CalHOME program, such as by providing loans to residents to
replace their mobilehomes. This bill further clarifies the
intent of legislation. [Assembly Housing and Community
Development Committee]
Background
According to the Legislative Analyst's Office, the cost of
producing a bill in 2001-2002 was $17,890. By combining
multiple matters into one bill, the Legislature can make minor
changes to law in the most cost-effective manner.
Proposals included in this housing omnibus bill must abide by
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the Senate Transportation and Housing Committee policy on
omnibus committee bills. The proponent of an item submits
proposed language and provides background materials to the
committee for the item to be described to legislative staff and
stakeholders. Committee staff provides a summary of the items
and the proposed statutory changes to all majority and minority
consultants in both the Senate and Assembly, as well as all
known or presumed interested parties. If an item encounters any
opposition and the proponent cannot work out a solution with the
opposition, the item is omitted from or amended out of the bill.
Proposals in the bill must reflect a consensus and be without
opposition from legislative members, agencies, and other
stakeholders.
Comments
The purpose of omnibus bills is to combine technical and
non-controversial changes to various committee-related statutes
into one bill. This allows the Legislature to make multiple
minor changes to statutes in one bill in a cost-effective
manner. The Senate Transportation and Housing Committee insists
that its housing omnibus bill be a consensus measure. If there
is no consensus on a particular item, it cannot be included.
There is no known opposition to any item in this bill.
FISCAL EFFECT: Appropriation: Yes Fiscal
Com.:YesLocal: No
According to the Senate Appropriations Committee:
Unknown cost pressures related to the expansion of allowable
uses for MPRROP funds. (Mobilehome Park Rehabilitation and
Purchase Fund [MPRPF]). Authorizing loans for replacement of
a low-income homeowners mobilehome is not likely to have a
significant impact on available funding.
Minor costs to the HCD to revise MPRROP regulations to provide
for mobilehome replacement loans.
The remaining provisions are not expected to have a
significant state fiscal impact.
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SUPPORT: (Verified5/3/16)
California Coalition for Rural Housing
Mammoth Lakes Housing
Peoples' Self Help Housing
Redwood Valley Little River Band of Pomo Indians
OPPOSITION: (Verified5/3/16)
None received
Prepared by:Sarah Carvill / T. & H. / (916) 651-4121
5/4/16 15:04:14
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