BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session SB 1385 (Leyva) - California Disaster Assistance Act: Inland Regional Center ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: March 29, 2016 |Policy Vote: G.O. 10 - 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: No | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: April 25, 2016 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: SB 1385 would provide state disaster-related relief to local agencies impacted by the shooting that occurred at the Inland Regional Center in San Bernardino County on December 2, 2015. Fiscal Impact: Estimated General Fund costs of approximately $1.6 million, payable over several fiscal years beginning in 2016-17, based upon preliminary estimates of eligible disaster-related costs. SB 1385 (Leyva) Page 1 of ? Background: On December 2, 2015, a terrorist attack occurred at the Inland Regional Center in San Bernardino County when several individuals opened fire on county employees participating in a training event, killing 14 people and injuring 26 others. Governor Brown proclaimed a state of emergency for San Bernardino County on December 18, 2015, noting that the circumstances of the attack, by reason of its magnitude, are or are likely to be beyond the control of the services, personnel, equipment, and facilities of any single government and require the combined forces of all appropriate mutual aid. Existing law, the California Disaster Assistance Act (CDAA), requires the state to pay 75 percent of specified local costs for any state-declared emergency. When there is a federal declaration, the Federal Emergency Management Agency (FEMA) pays local governments for 75 percent of eligible disaster mitigation costs, and the state pays 75 percent of the remaining 25 percent of eligible costs. For purposes of the CDAA, the term "disaster" is defined as a fire, flood, storm, tidal wave, earthquake, terrorism, epidemic, or other similar public calamity that the Governor determines presents a threat to public safety. Local costs eligible for reimbursement include expenditures for local agency personnel, equipment, and materials used during disaster response activities, repair and replacement of public facilities damaged as a result of a disaster event, debris removal, and other emergency work. Existing law, AB 2140 (Hancock), Ch. 739/2006, prohibits the state share for any eligible project from exceeding 75 percent of state eligible costs unless the local agency has adopted a local hazard mitigation plan as part of the safety element of its general plan. For some statutorily specified disasters, the state has paid 100 percent of the non-federal eligible disaster mitigation costs. Proposed Law: SB 1385 would require the state to pay 100 percent of total state eligible costs connected with the shooting that occurred at the Inland Regional Center on December 2, 2015. Related Legislation: The following measures were intended to provide SB 1385 (Leyva) Page 2 of ? CDAA disaster relief to local agencies, but none of them were enacted: AB 18 (Dodd), which was held on this Committee's Suspense File last year, would have added the South Napa Earthquake that occurred on August 24, 2014 to the list of disasters eligible for full state reimbursement of local costs. AB 1429 (Chesbro), which was vetoed by Governor Brown in 2011, would have added the tsunami that affected Del Norte County in March of 2011 to the list of disasters eligible for full state reimbursement of local costs. The veto message stated the following: The state has not paid for a local government's share of disaster costs since 2006 and this measure would cost the state over $1 million. In addition, if I sign this measure, other counties that sustain similar damages would likely request the same relief -- a precedent that the state currently cannot afford. Staff notes that AB 1308 (Cox) and SB 1537 (Kehoe), both of which would have provided full state reimbursement of local disaster-related costs related to specified wildfires, were chaptered by Governor Schwarzenegger in 2008, but failed to become operative because they were contingent upon the enactment of SB 1764 (Kehoe), which was vetoed. As noted in the above veto message of AB 1429 (Chesbro), the state has not provided full reimbursement of local agency disaster-related costs since 2006, when AB 1798 (Berg), Chap 896/2006, added severe rainstorms in specified northern California counties to the list of disasters eligible for full state reimbursement of local agency costs. Staff Comments: Payment of local shares of disaster-related costs is made with a Budget Act appropriation to the California Emergency Management Agency, based on preliminary estimates. Because the state attempts to reimburse all claims received in the budget year, and does not control when claims are submitted, the amount SB 1385 (Leyva) Page 3 of ? appropriated rarely matches the amount ultimately required in any given year. When claims exceed the budget appropriation, a supplemental appropriation may be made. The San Bernardino tragedy is the first "terrorist" attack for which the Office of Emergency Services is responsible for determining what costs will be eligible for reimbursement. Preliminary estimates indicate that total local agency costs associated with the shooting at the Inland Regional Center that are eligible for reimbursement are approximately $6.4 million. Under this bill, the state would pay its share of $4.8 million, and assume the local share of $1.6 million. -- END --