BILL ANALYSIS                                                                                                                                                                                                    



                                        
                       SENATE LOCAL GOVERNMENT COMMITTEE
                        Senator Patricia Wiggins, Chair


          BILL NO:  AB 333                     HEARING:  6/17/09
          AUTHOR:  Fuentes                     FISCAL:  Yes
          VERSION:  5/4/09                     CONSULTANT:   
          Weinberger

                        SUBDIVISION APPROVALS (URGENCY)
          
                           Background and Existing Law  

          Under the Subdivision Map Act, cities and counties approve  
          tentative maps that must be consistent with their general  
          plans, attaching scores of conditions.  Once subdividers  
          comply with those conditions, local officials must issue  
          final maps.  For smaller subdivisions (lot splits) local  
          officials usually use parcel maps, but they can require  
          tentative parcel maps followed by final parcel maps.

          In good economic times, an experienced subdivider can  
          comply with a tentative map's conditions in a few years.   
          Scarce financing, complex settings, and inexperience can  
          drag out the time between a tentative map's approval and  
          the filing of a final map.  If a tentative map expires, the  
          subdivider must start over, complying with any new required  
          conditions.

          Tentative maps can be valid for up to 16 years:
                 The initial life of a tentative map is two years.   
               At the option of the city or county, a map's initial  
               life can be three years.
                 Local officials can grant extensions for up to six  
               years.
                 If the subdivider spends substantial funds and  
               files phased final maps, the remaining tentative map  
               is automatically extended by three years, up to a  
               maximum of ten years.
          These deadlines don't apply during development moratoria  
          (up to five years) or during pending litigation (up to five  
          years).
           
          The Legislature extended the life of unexpired tentative  
          maps, without local review or approval.  Legislators said  
          that tentative maps that were valid on:
                 September 13, 1993, gained two more years (SB 428,  
               Thompson, 1993).




           
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                 May 14, 1996, gained one more year (AB 771, Aguiar,  
               1996). 
                 July 15, 2008, gained one more year (SB 1185,  
               Lowenthal, 2008).

          When the Legislature granted last year's automatic  
          extension, it also let local officials grant an additional  
          year, at their discretion (SB 1185, Lowenthal, 2008).  

          Because of the poor housing construction market, some  
          legislators want to extend the life of unexpired tentative  
          maps by an additional year.


                                   Proposed Law  

          For any tentative map, vesting tentative map, or parcel map  
          for which a tentative map or tentative vesting map has been  
          approved and the approval has not expired when this urgency  
          bill takes effect, Assembly Bill 333 extends the expiration  
          date by 24 months.  This extension is in addition to any  
          other statutory extensions.

          For any legislative, administrative or other approval by a  
          state agency relating to a development project in a  
          subdivision affected by AB 333 that has not expired when  
          the bill takes effect, AB 333 extends the expiration date  
          by 24 months.  This extension is in addition to any other  
          statutory extensions.

          AB 333 reduces, from five years to three years, the period  
          of time after the approval of a tentative map or  
          recordation of a parcel map during which a city or county  
          is prohibited, with exceptions, from imposing specified  
          conditions on a building permit.

          The bill states that the prohibition on conditions being  
          placed on building permits does not prohibit a city,  
          county, or city and county from levying a fee or imposing a  
          condition that requires the payment of a fee upon the  
          issuance of a building permit or after the issuance,  
          including a fee as defined in the Mitigation Fee Act.


                                     Comments  





           
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          1.   It's about time  .  Whether you call it a recession or a  
          depression, it's clear that subdividers will build fewer  
          houses and apartments in 2009 than just a few years ago.   
          Until the demand for new housing resumes, subdividers  
          aren't likely to complete the required conditions of their  
          tentative maps and qualify for final maps.  With statutory  
          time limits looming, some builders risk losing their  
          earlier approvals and having to start over again.  Similar  
          to the Legislature's three earlier responses during other  
          market slumps, AB 333 preserves subdividers' ability to  
          complete their conditions so that they can build houses  
          once California's economy picks up again.

          2.   Not-so-sweet sixteen  ?  Some unexpired tentative maps  
          may be 16 years old, although most are probably younger.   
          The oldest subdivision approvals may date back to 1994 when  
          gas cost less than $1.25 a gallon, Governor Pete Wilson  
          occupied the corner office, and Arnold Schwarzenegger  
          played special agent Harry Trasker in "True Lies."  Since  
          then, cities and counties have revised their general plans'  
          housing elements two or three times.  The Legislature  
          expanded the contents of local general plans for fire  
          hazards (AB 3065, Kehoe, 2004) and flood hazards (AB 162,  
          Wolk, 2007).  Further, the Legislature imposed tougher  
          development standards: a sufficient water supply must be  
          available for larger subdivisions (SB 221, Kuehl, 2001) and  
          local officials must deny subdivisions threatened by  
          flooding in the Sacramento-San Joaquin Valley (SB 5,  
          Machado, 2007).  Public officials now worry about how land  
          use decisions affect green house gas emissions (AB 32,  
          Nu?ez, 2006 and SB 375, Steinberg, 2008).  Extending the  
          life of older tentative maps may result in putting houses  
          in places that don't meet current land use standards.   
          Subdivisions approved in the 1990s may not make sense in  
          2009.

          3.   State intervention or local discretion  ?  The state  
          government allows local officials to control land use  
          planning and development, except when they affect statewide  
          or regional resources.  In those cases, the voters and the  
          Legislature have created commissions to oversee local  
          decisions: the San Francisco Bay Conservation and  
          Development Commission, the Tahoe Regional Planning Agency,  
          the California Coastal Commission, the Delta Protection  





           
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          Commission, Airport Land Use Commissions, and Local Agency  
          Formation Commissions.  Except for the three subdivision  
          extension bills, the state rarely intervenes to approve  
          projects or extend permits.  The Committee may wish to  
          consider whether the Legislature should directly intervene  
          in subdivision maps or instead give local officials the  
          discretion to give extensions based on local circumstances.  
           Why not leave subdivision extensions up to the city  
          councils and county supervisors?

          4.   Consider this alternative  ?  Instead of another  
          mandatory statewide bill to extend unexpired tentative maps  
          by another year, the Committee may wish to consider an  
          alternative that allows local officials to extend older  
          tentative maps if they still make sense.  Under this  
          alternative, a subdivider with an unexpired tentative map  
          could ask the city council or county supervisors to grant  
          an additional one-year extension, provided that the  
          subdivision is consistent with the city or county's current  
          general plan.  This alternative gives subdividers more time  
          to complete the remaining conditions on their older  
          tentative maps, while leaving substantial discretion in the  
          hands of locally elected officials.

          5.   What's new  ?  AB 333 largely replicates the language in  
          last year's Lowenthal bill.  However, AB 333 includes  
          additional provisions relating to the conditions that  
          cities and counties can place on building permits during  
          the five years after the approval of a tentative map or  
          recordation of a parcel map.  By reducing, from five years  
          to three years, the period of time during which cities and  
          counties are prohibited from placing specified conditions  
          on the issuance of any building permit, and by stating that  
          that prohibition does not apply to specified permit fees,  
          AB 333 attempts to mitigate some of the impacts of repeated  
          subdivision and parcel map extensions on cities and  
          counties.






                                 Assembly Actions  






           
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          Assembly Local Government Committee:  7-0
          Assembly Appropriations Committee:15-0
          Assembly Floor:                    76-0


                         Support and Opposition  (6/11/09)

           Support  :  California Building Industry Association,  
          California Major Builders Council, American Council of  
          Engineering Companies of California, American Design  
          Coatings, Inc., American Federation of State, County and  
          Municipal Employees, American Subcontractors Association  
          California, Inc., Art D's Concrete Co., Inc., Associated  
          General Contractors of California, Bay Area Construction  
          Framers, Inc., Bayside Concrete Construction Company,  
          Blackhawk Concrete Company, Inc., Browning Contractors,  
          Inc., C Construction, Inc., California Association of  
          Realtors, California Business Properties Association,  
          California Chamber of Commerce, California Major Building  
          Industry Association, California Manufacturers & Technology  
          Association, California Professional Association of  
          Specialty Contractors, Can-Do Electric, Coachella Valley  
          Engineers, Conco, Custom the Works, Custom Tile Works, DPW,  
          Inc., Emerald Roofing, Inc., Fredrickson, Mazeika & Grant,  
          LLP., GHA Communities, H&D Electric Inc., JDM Construction  
          Co., Inc., Karsyn Construction, Lancaster Burns  
          Construction, Inc., Magik Glass and Door, Pacific Painting,  
          Inc., Palm Desert Door & Hardware, Inc., Palm Springs  
          Welding, Inc., Porter Law Group, Prot?g? Commercial  
          Builders, Inc., RCR Plumbing & Mechanical, Inc., Seawright  
          Custom Precast, Inc., Signal Heating & Air Conditioning  
          Inc., Southwest Finish & Supply Inc., Swanillon, Inc.,  
          Taylor Trim & Supply, Inc., Team Heating and Air  
          Conditioning, Inc., The Land Stewards, Tri-Co Floors,  
          Valley Industry and Commerce Association, Vic Ross's  
          Masonry, Inc., and Western Concrete Pumping, Inc.

           Opposition  :  Unknown.