BILL ANALYSIS Ó
SENATE COMMITTEE ON GOVERNANCE AND FINANCE
Senator Robert M. Hertzberg, Chair
2015 - 2016 Regular
------------------------------------------------------------------
|Bill No: |SB 1378 |Hearing |5/4/16 |
| | |Date: | |
|----------+---------------------------------+-----------+---------|
|Author: |Morrell |Tax Levy: |No |
|----------+---------------------------------+-----------+---------|
|Version: |4/25/16 Amended |Fiscal: |No |
------------------------------------------------------------------
-----------------------------------------------------------------
|Consultant|Weinberger |
|: | |
-----------------------------------------------------------------
San Gorgonio Pass Water Agency: board of directors
Reduces, from seven to five members, the size of the San
Gorgonio Pass Water Agency's Board of Directors by eliminating
two at-large elected director seats on the board.
Background
The San Gorgonio Pass Water Agency (SGPWA) is a state water
project contractor established by the enactment of the San
Gorgonio Pass Water Agency Act (AB 2655, Cologne, 1961). The
Agency delivers wholesale water and provides groundwater
management services within an approximately 225 square mile
service area that encompasses the cities of Banning, Beaumont,
and Calimesa in Riverside County. SGPWA is governed by an
elected seven member board of directors. Five directors are
elected to represent divisions within the agency's boundaries,
while two are elected at-large. Each director is elected for a
four-year term.
Currently, one of the at-large seats on the agency's board is
held by a director who was appointed last year to fill a vacancy
and the other at-large seat is held by a director whose
four-year term end this year. As a result, both seats will be
on this November's general election ballot. In recent years,
the agency's board of directors has considered eliminating the
two at-large directors' seats as a cost-saving measure. On July
SB 1378 (Morrell) 4/25/16 Page 2
of ?
6, 2015, SGPWA's Board of Directors voted 6-0 to approve a
resolution supporting a reduction in the board's size to five
members and directing SGPWA's general manager to pursue
legislation to reduce the board's size.
Proposed Law
Senate Bill 1378 amends the San Gorgonio Pass Water Agency Act
to reduce, from seven to five members, the size of SGPWA's Board
of Directors by deleting statutory language requiring the board
to include two directors elected at-large and making other
conforming statutory changes.
State Revenue Impact
No estimate.
Comments
1. Purpose of the bill . Since at least 2011, the SGPWA's board
has considered the possibility of saving costs by reducing the
governing board's size. By eliminating the two-at large
directors positions, SGPWA anticipates that significant cost
saving will result from lower election costs for its board of
directors. The Agency may realize additional savings from
reduced payments to board members for meetings, travel,
education, and medical reimbursements. Background information
provided to SGPWA's board members last year estimated that "cost
savings to the taxpayers with two fewer directors will be more
than $425,000 over the next 10 years." SB 1378 brings the size
of SGPWA's governing in line with many other special districts'
five-member boards and, in doing so, generates much-needed cost
savings for district residents.
2. Let the voters decide ? SGPWA's existing governing board
structure allows each voter within the Agency's boundaries to be
represented by three of the Agency's seven elected directors
(one elected to represent the district in which a voter resides
and two elected at-large to represent all voters). By
eliminating the two-at-large directors' offices, SB 1378 could
be seen by some voters as reducing their representation on the
SB 1378 (Morrell) 4/25/16 Page 3
of ?
board and, therefore, their ability to influence the board's
decisions. While increasing efficiency and reducing public
expenditures are worthwhile goals, it is unclear whether SGPWA's
voters are willing to achieve this goal by potentially eroding
their ability to hold board members accountable through the
ballot. The Committee may wish to consider amending SB 1378 to
require SGPWA to seek its voters' approval to eliminate the two
at-large elected director position on its governing board.
3. Timing is everything . As a regular statute, SB 1378 would
take effect on January 1, 2017 if it is enacted. As a result,
the SGPWA will need to fill the two at-large elected director
offices in 2016, regardless of whether or not SB 1378 is
enacted. If SB 1378 is enacted, it is ambiguous whether the two
at-large directors would vacate their offices immediately on
January1, 2017, or whether they would hold those offices for the
duration of their terms. The California Constitution allows
bills with urgency clauses to take effect immediately if they're
needed for the public peace, health, and safety. However, the
California Constitution prohibits an urgency statutes from
abolishing any office (Article IV, §8(d)), so SB 1378 cannot
take effect before the at-large director's terms expire this
year.
4. Let's get technical . The Committee may wish to consider
amending SB 1378 to add quotation marks after the period on page
2, line 19 of the bill.
Support and
Opposition (4/28/16)
Support : San Gorgonio Pass Water Agency.
Opposition : Unknown.
-- END --
SB 1378 (Morrell) 4/25/16 Page 4
of ?