Amended in Senate March 31, 2016

Senate Bill No. 1360

Introduced by Senator Bates

February 19, 2016

An act to amend Section begin delete 54983 end delete begin insert 54982 end insert of the Government Code, relating to local government.

LEGISLATIVE COUNSEL’S DIGEST

SB 1360, as amended, Bates. Local begin delete government. end delete begin insert government: municipal service agreements: law enforcement services. end insert

Under existing law, the legislative body of any local agency, defined to mean a county, city, city and county, or public district, may contract with any other local agency for the performance by the latter of municipal services or functions within the territory of the begin delete former, but prohibits the force account limit applicable to the local agency contracting to receive services from being exceeded. Existing law excepts from that prohibition agreements made before January 1, 1981, or the current term of any self-renewing or renewable agreement entered into before that date. end delete begin insert former. end insert begin insert end insert begin insert Existing law requires any agreement entered into pursuant to this authorization to be for valuable consideration. end insert

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This bill would make nonsubstantive changes to that provision.

end delete begin insert

This bill would require a city that provides law enforcement services through its appropriate departments, boards, commissions, officers, or employees to another city pursuant to a contract or any other agreement to charge that city all the costs that are incurred in providing those law enforcement services, but prohibit the inclusion of any costs that the city providing the services reasonably determines are general overhead costs. The bill would provide that any determination of general overhead costs made by a city providing law enforcement services is subject to judicial review as to the reasonableness of that determination. The bill would apply to contracts or agreements entered into, or renewed, on and after January 1, 2017.

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

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

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begin insert SECTION 1. end insert   

end insert

begin insert Section 54982 of the end insert begin insert Government Code end insert begin insert is
amended to read: end insert

54982.  

begin insert (a) end insert begin insert   end insert Any agreement entered into pursuant to this chapter
shall be for valuable begin delete consideration end delete begin insert consideration, except as
provided in subdivision (b) end insert .

begin insert

(b) (1) A city that provides law enforcement services through
its appropriate departments, boards, commissions, officers, or
employees to another city pursuant to a contract or any other
agreement authorized by this chapter shall charge that city all the
costs that are incurred in providing those law enforcement services,
but shall not include any costs that the city providing the services
reasonably determines are general overhead costs.

end insert begin insert

(2) For purposes of this section, “general overhead costs”
means those costs that a city would incur regardless of whether
or not it provided law enforcement services pursuant to a contract
or agreement to the other city.

end insert begin insert

(3) Any determination of general overhead costs made by a city
providing law enforcement services shall be subject to judicial
review as to the reasonableness of that determination.

end insert begin insert

(4) This subdivision shall only apply to contracts or agreements
entered into, or renewed, on and after January 1, 2017.

end insert

begin delete

SECTION 1.  

Section 54983 of the Government Code is
amended to read:

54983.  

Authority for entering into agreements pursuant to this
chapter shall be construed as supplementing existing authority for
legislative bodies of local agencies to enter into agreements for
the providing of municipal services and functions and shall not be
construed as authorizing the legislative body of any local agency
to enter into an agreement for the providing of municipal services
or functions which it is prohibited to provide by law or which
exceeds the force account limit applicable to the local agency
contracting to receive services.

The amendments to this section made by Chapter 398 of the
Statutes of 1980, which become effective January 1, 1981, shall
not apply to any agreement that was made prior to that date nor to
the current term of any self-renewing or renewable agreement that
had been entered into prior to that date.

end delete