Senate BillNo. 972


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

February 8, 2016


An act to validate the organization, boundaries, acts, proceedings, and bonds of public bodies, and to provide limitations of time in which actions may be commenced, and declaring the urgency thereof, to take effect immediately.

LEGISLATIVE COUNSEL’S DIGEST

SB 972, as introduced, Committee on Governance and Finance. Validations.

This bill would enact the Second Validating Act of 2016, which would validate the organization, boundaries, acts, proceedings, and bonds of the state and counties, cities, and specified districts, agencies, and entities.

This bill would declare that it is to take effect immediately as an urgency statute, but would become operative on a specified date.

Vote: 23. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

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

P1    1

SECTION 1.  

This act shall be known, and may be cited, as the
2Second Validating Act of 2016.

3

SEC. 2.  

As used in this act:

4(a) “Public body” means all of the following:

5(1) The state and all departments, agencies, boards,
6commissions, and authorities of the state. Except as provided in
P2    1paragraph (2), “public body” also means all cities, counties, cities
2and counties, districts, authorities, agencies, boards, commissions,
3and other entities, whether created by a general statute or a special
4act, including, but not limited to, the following:

5Agencies, boards, commissions, or entities constituted or
6provided for under or pursuant to the Joint Exercise of Powers Act
7(Chapter 5 (commencing with Section 6500) of Division 7 of Title
81 of the Government Code).

9Air pollution control districts of any kind.

10Air quality management districts.

11Airport districts.

12Assessment districts, benefit assessment districts, and special
13assessment districts of any public body.

14Bridge and highway districts.

15California water districts.

16Citrus pest control districts.

17City maintenance districts.

18Community college districts.

19Community development commissions in their capacity to act
20as a housing authority for other community development purposes
21of the jurisdiction in which the commission operates, except for
22any action taken with respect to the commission’s authority to act
23as a community redevelopment agency.

24Community facilities districts.

25Community rehabilitation districts.

26Community revitalization and investment authorities.

27Community services districts.

28Conservancy districts.

29Cotton pest abatement districts.

30County boards of education.

31County drainage districts.

32County flood control and water districts.

33County free library systems.

34County maintenance districts.

35County sanitation districts.

36County service areas.

37County transportation commissions.

38County water agencies.

39County water authorities.

40County water districts.

P3    1County waterworks districts.

2Department of Water Resources and other agencies acting
3pursuant to Part 3 (commencing with Section 11100) of Division
46 of the Water Code.

5Distribution districts of any public body.

6Drainage districts.

7Enhanced infrastructure financing districts.

8Fire protection districts.

9Flood control and water conservation districts.

10Flood control districts.

11Garbage and refuse disposal districts.

12Garbage disposal districts.

13Geologic hazard abatement districts.

14Harbor districts.

15Harbor improvement districts.

16Harbor, recreation, and conservation districts.

17Health care authorities.

18Highway districts.

19Highway interchange districts.

20Highway lighting districts.

21Housing authorities.

22Improvement districts or improvement areas of any public body.

23Industrial development authorities.

24Infrastructure financing districts.

25Integrated financing districts.

26Irrigation districts.

27Joint highway districts.

28Levee districts.

29Library districts.

30Library districts in unincorporated towns and villages.

31Local agency formation commissions.

32Local health care districts.

33Local health districts.

34Local hospital districts.

35Local transportation authorities or commissions.

36Maintenance districts.

37Memorial districts.

38Metropolitan transportation commissions.

39Metropolitan water districts.

40Mosquito abatement and vector control districts.

P4    1Multifamily improvement districts.

2Municipal improvement districts.

3Municipal utility districts.

4Municipal water districts.

5Nonprofit corporations.

6Nonprofit public benefit corporations.

7Open-space maintenance districts.

8Parking and business improvement areas.

9Parking authorities.

10Parking districts.

11Permanent road divisions.

12Pest abatement districts.

13Police protection districts.

14Port districts.

15Property and business improvement areas.

16Protection districts.

17Public cemetery districts.

18Public utility districts.

19Rapid transit districts.

20Reclamation districts.

21Recreation and park districts.

22Regional justice facility financing agencies.

23Regional park and open-space districts.

24Regional planning districts.

25Regional transportation commissions.

26Resort improvement districts.

27Resource conservation districts.

28River port districts.

29Road maintenance districts.

30Sanitary districts.

31School districts of any kind or class.

32School facilities improvement districts.

33Separation of grade districts.

34Service authorities for freeway emergencies.

35Sewer districts.

36Sewer maintenance districts.

37Small craft harbor districts.

38Special municipal tax districts.

39Stone and pome fruit pest control districts.

40Storm drain maintenance districts.

P5    1Storm drainage districts.

2Storm drainage maintenance districts.

3Storm water districts.

4Toll tunnel authorities.

5Traffic authorities.

6Transit development boards.

7Transit districts.

8Unified and union school districts’ public libraries.

9Vehicle parking districts.

10Water agencies.

11Water authorities.

12Water conservation districts.

13Water districts.

14Water replenishment districts.

15Water storage districts.

16Watermaster districts.

17Wine grape pest and disease control districts.

18Zones, improvement zones, or service zones of any public body.

19(2) Notwithstanding paragraph (1), a “public body” does not
20include any of the following:

21(A) A community redevelopment agency formed pursuant to
22the Community Redevelopment Law (Part 1 (commencing with
23Section 33000) of Division 24 of the Health and Safety Code).

24(B) A community development commission, with respect to its
25exercise of the powers of a community redevelopment agency.

26(C) A joint powers authority that includes a community
27redevelopment agency or a community development commission
28as a member, with respect to its exercise of the powers of a
29community redevelopment agency.

30(3) “Public body” includes both of the following:

31(A) The successor agency to the Redevelopment Agency of the
32City and County of San Francisco, solely for the purpose of issuing
33bonds or incurring other indebtedness pursuant to the provisions
34of Section 34177.7 of the Health and Safety Code.

35(B) A successor agency, as defined in subdivision (j) of Section
3634171 of the Health and Safety Code, solely for the purpose of
37issuing bonds or incurring other indebtedness pursuant to the
38provisions of Section 34177.5 of the Health and Safety Code.

39(b) “Bonds” means all instruments evidencing an indebtedness
40of a public body incurred or to be incurred for any public purpose,
P6    1all leases, installment purchase agreements, or similar agreements
2wherein the obligor is one or more public bodies, all instruments
3evidencing the borrowing of money in anticipation of taxes,
4revenues, or other income of that body, all instruments payable
5from revenues or special funds of those public bodies, all
6certificates of participation evidencing interests in the leases,
7installment purchase agreements, or similar agreements, and all
8instruments funding, refunding, replacing, or amending any thereof
9or any indebtedness.

10(c) “Hereafter” means any time subsequent to the effective date
11of this act.

12(d) “Heretofore” means any time prior to the effective date of
13this act.

14(e) “Now” means the effective date of this act.

15

SEC. 3.  

All public bodies heretofore organized or existing
16under any law, or under color of any law, are hereby declared to
17have been legally organized and to be legally functioning as those
18public bodies. Every public body, heretofore described, shall have
19all the rights, powers, and privileges, and be subject to all the duties
20and obligations, of those public bodies regularly formed pursuant
21to law.

22

SEC. 4.  

The boundaries of every public body as heretofore
23established, defined, or recorded, or as heretofore actually shown
24on maps or plats used by the assessor, are hereby confirmed,
25validated, and declared legally established.

26

SEC. 5.  

All acts and proceedings heretofore taken by any public
27body or bodies under any law, or under color of any law, for the
28annexation or inclusion of territory into those public bodies or for
29the annexation of those public bodies to any other public body or
30for the detachment, withdrawal, or exclusion of territory from any
31public body or for the consolidation, merger, or dissolution of any
32public bodies are hereby confirmed, validated, and declared legally
33effective. This shall include all acts and proceedings of the
34governing board of any public body and of any person, public
35officer, board, or agency heretofore done or taken upon the question
36of the annexation or inclusion or of the withdrawal or exclusion
37of territory or the consolidation, merger, or dissolution of those
38public bodies.

39

SEC. 6.  

(a) All acts and proceedings heretofore taken by or
40on behalf of any public body under any law, or under color of any
P7    1law, for, or in connection with, the authorization, issuance, sale,
2execution, delivery, or exchange of bonds of any public body for
3any public purpose are hereby authorized, confirmed, validated,
4and declared legally effective. This shall include all acts and
5proceedings of the governing board of public bodies and of any
6person, public officer, board, or agency heretofore done or taken
7upon the question of the authorization, issuance, sale, execution,
8delivery, or exchange of bonds.

9(b) All bonds of, or relating to, any public body heretofore issued
10shall be, in the form and manner issued and delivered, the legal,
11valid, and binding obligations of the public body. All bonds of, or
12relating to, any public body heretofore awarded and sold to a
13purchaser and hereafter issued and delivered in accordance with
14the contract of sale and other proceedings for the award and sale
15shall be the legal, valid, and binding obligations of the public body.
16All bonds of, or relating to, any public body heretofore authorized
17to be issued by ordinance, resolution, order, or other action adopted
18or taken by or on behalf of the public body and hereafter issued
19and delivered in accordance with that authorization shall be the
20legal, valid, and binding obligations of the public body. All bonds
21of, or relating to, any public body heretofore authorized to be issued
22at an election and hereafter issued and delivered in accordance
23with that authorization shall be the legal, valid, and binding
24obligations of the public body. Whenever an election has heretofore
25been called for the purpose of submitting to the voters of any public
26body the question of issuing bonds for any public purpose, those
27bonds, if hereafter authorized by the required vote and in
28accordance with the proceedings heretofore taken, and issued and
29delivered in accordance with that authorization, shall be the legal,
30valid, and binding obligations of the public body.

31

SEC. 7.  

(a) This act shall operate to supply legislative
32authorization as may be necessary to authorize, confirm, and
33validate any acts and proceedings heretofore taken pursuant to
34authority the Legislature could have supplied or provided for in
35the law under which those acts or proceedings were taken.

36(b) This act shall be limited to the validation of acts and
37proceedings to the extent that the same can be effectuated under
38the California Constitution and the United States Constitution.

39(c) This act shall not operate to authorize, confirm, validate, or
40legalize any act, proceeding, or other matter being legally contested
P8    1or inquired into in any legal proceeding now pending and
2undetermined or that is pending and undetermined during the
3period of 30 days from and after the effective date of this act.

4(d) This act shall not operate to authorize, confirm, validate, or
5legalize any act, proceeding, or other matter that has heretofore
6been determined in any legal proceeding to be illegal, void, or
7ineffective.

8(e) This act shall not operate to authorize, confirm, validate, or
9legalize a contract between any public body and the United States.

10

SEC. 8.  

Any action or proceeding contesting the validity of
11any action or proceeding heretofore taken under any law, or under
12color of any law, for the formation, organization, or incorporation
13of any public body, or for any annexation thereto, detachment or
14exclusion therefrom, or other change of boundaries thereof, or for
15the consolidation, merger, or dissolution of any public bodies, or
16for, or in connection with, the authorization, issuance, sale,
17execution, delivery, or exchange of bonds thereof upon any ground
18involving any alleged defect or illegality not effectively validated
19by the prior provisions of this act and not otherwise barred by any
20statute of limitations or by laches shall be commenced within six
21months of the effective date of this act, otherwise each and all of
22those matters shall be held to be valid and in every respect legal
23and incontestable. This act shall not extend the period allowed for
24legal action beyond the period that it would be barred by any
25presently existing valid statute of limitations.

26

SEC. 9.  

Nothing contained in this act shall be construed to
27render the creation of any public body, or any change in the
28boundaries of any public body, effective for purposes of assessment
29or taxation unless the statement, together with the map or plat,
30required to be filed pursuant to Chapter 8 (commencing with
31Section 54900) of Part 1 of Division 2 of Title 5 of the Government
32Code, is filed within the time and substantially in the manner
33required by those sections.

34

SEC. 10.  

This act shall become operative on September 1,
352016.

36

SEC. 11.  

This act is an urgency statute necessary for the
37immediate preservation of the public peace, health, or safety within
38the meaning of Article IV of the Constitution and shall go into
39immediate effect. The facts constituting the necessity are:

P9    1In order to validate the organization, boundaries, acts,
2proceedings, and bonds of public bodies as soon as possible, it is
3necessary that this act take immediate effect.



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