BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 1172|
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                                 THIRD READING


          Bill No:  AB 1172
          Author:   Galgiani (D)
          Amended:  6/23/09 in Senate
          Vote:     21

           
           SENATE LOCAL GOVERNMENT COMMITTEE  :  3-2, 7/8/09
          AYES:  Wiggins, Kehoe, Wolk
          NOES:  Cox, Aanestad
           
          ASSEMBLY FLOOR  :  73-0, 5/14/09 (Consent) - See last page  
            for vote


           SUBJECT  :    Eastern San Joaquin County Water District

           SOURCE  :     Central San Joaquin Water Conservation District
                      Stockton-East Water District


           DIGEST :    This bill allows a local agency formation  
          commission (LAFCO) to increase the number of members on the  
          board of directors of a consolidated water conservation  
          district to seven, nine or eleven, as specified, and may  
          provide an alternative schedule for reducing the size of  
          the consolidated district's board until the number of  
          members' equals five, seven, or nine, as specified.  This  
          bill also allows the Eastern San Joaquin County Water  
          District to continue to collect acreage charges, ground  
          water assessments, and stream-delivered water charges in  
          successive years in accordance with constitutional  
          requirements, as specified.  This bill states that these  
          provisions become operative on the effective date set by  
                                                           CONTINUED





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          the San Joaquin County LAFCO for the consolidation of the  
          Stockton-East Water District and the Central San Joaquin  
          Water Conservation District.

           ANALYSIS  :    

          I.  Governance  .  Water conservation districts' boards of  
             directors can have three, five, or seven members who are  
             elected by registered voters by districts.  With  
             majority-voter approval, a district can change the size  
             of its board.
            
             Where state law provides for alternative methods of  
             selecting a district's governing body or for varying the  
             size of a district's governing body, the LAFCO can  
             designate how to select the members of the consolidated  
             district's board.

             Unlike many other special districts' principal acts, the  
             Water Conservation District Law does not allow  
             consolidated districts to have temporarily expanded  
             boards of directors and allow the LAFCO to sort out the  
             board's subsequent contraction.

             This bill allows a local agency formation commission to  
             increase the number of members on the board of directors  
             of a consolidated water conservation district to seven,  
             nine, or eleven.  The LAFCO may provide an alternative  
             schedule for reducing the size of the consolidated  
             district's board.  If the LAFCO does not provide a  
             schedule, this bill reduces the size of the consolidated  
             district's board of directors as the board members'  
             terms expire, until the number of members equals five,  
             seven, or nine, as determined by the LAFCO.  If a  
             vacancy occurs on the consolidated district's  
             temporarily expanded board, the board may choose not to  
             fill the vacancy and thereby reduce the number of board  
             members.

          II.  Eastern San Joaquin County Water Agency  .  Proposition  
             218 (1996) imposed constitutional limits on local  
             officials' ability to impose, increase, and extend  
             taxes, assessments, and fees, including property-related  
             fees.  When a city or special district that has taxes,  







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             assessments, and fees annexes more territory, a 1999  
             Attorney General's opinion explained that local  
             officials can collect those charges in the newly annexed  
             territory without complying with Proposition 218's  
             complex requirements for three reasons:

             A.    Nothing in the historical record suggests that  
                Proposition 218's requirements were to be added to  
                the boundary changes' statutory requirements for  
                public notices, protest hearings, and possible  
                elections.

             B.    The statutes implementing Proposition 218 are  
                consistent with constitutional requirements.

             C.    Trying to mesh the constitutional requirements  
                with the boundary change statutes "would be virtually  
                impossible" and "present an administrative  
                imbroglio."

             Special legislation allows the Stockton-East Water  
             District to levy annual "ground water assessments" and  
             charge customers for "stream-delivered water," but  
             imposes statutory limits on the amounts [AB 2030  
             (Monagan), 1971].  In addition to the regular powers of  
             water conservation districts, the Central San Joaquin  
             Water Conservation District has special statutory  
             authority to collect a uniform charge per acre.  The  
             special legislation set a minimum annual charge of $10  
             per parcel and a maximum charge of up to $2.50 an acre  
             [AB 641 (Johnston), Chapter 444, Statutes of 1983].

             Officials from the Stockton-East Water District and the  
             Central San Joaquin Water Conservation District intend  
             to call their proposed consolidated district the Eastern  
             San Joaquin County Water District.  The consolidated  
             district may want to collect the Stockton-East Water  
             District's current ground water assessments and  
             stream-delivered water from the property in the Central  
             San Joaquin Water Conservation District.  Conversely,  
             the consolidated district may want to collect the  
             Central San Joaquin Water Conservation District's  
             current uniform acreage charges from the property in the  
             Stockton-East Water District.







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             This bill renames the chapter in the Water Conservation  
             District Law that applies only to the Central San  
             Joaquin Water Conservation District so that it applies  
             to the Eastern San Joaquin County Water District.  This  
             bill amends the special legislation that applies only to  
             the Stockton-East Water District so that it applies to  
             the Eastern San Joaquin County Water District.

             This bill allows the Eastern San Joaquin County Water  
             District to continue to collect acreage charges, ground  
             water assessments, and stream-delivered water charges in  
             successive years in accordance with constitutional  
             requirements, provided that those charges and  
             assessments followed the statutorily required procedures  
             at the time that the charges and assessments were  
             established.

             These provisions become operative on the effective date  
             set by the San Joaquin County LAFCO for the  
             consolidation of the Stockton-East Water District and  
             the Central San Joaquin Water Conservation District.

           Comments  

          The Stockton-East Water District and the Central San  
          Joaquin Water Conservation District (San Joaquin County)  
          are two of the 13 special districts that operate under the  
          Water Conservation District Law of 1931.  The Stockton-East  
          Water District covers the City of Stockton and  
          unincorporated communities east to the Stanislaus County  
          line.  Stockton-East sells irrigation water to farmers and  
          ranchers and wholesales water supplies to the City of  
          Stockton, the California Water Services Company, and some  
          smaller agencies.  The Central San Joaquin Water  
          Conservation District serves agricultural areas south of  
          the Stockton-East Water District and east to the Stanislaus  
          County line.  Both districts have seven-member boards of  
          directors.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No    
          Local:  No

           SUPPORT  :   (Verified  7/9/09)







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          Central San Joaquin Water Conservation District (co-source)
          Stockton-East Water District (co-source)
          Association of California Water Agencies
          San Joaquin County LAFCO


           ASSEMBLY FLOOR  : 
          AYES:  Adams, Anderson, Arambula, Beall, Bill Berryhill,  
            Tom Berryhill, Blakeslee, Block, Blumenfield, Brownley,  
            Buchanan, Caballero, Charles Calderon, Carter, Chesbro,  
            Conway, Cook, Coto, Davis, De La Torre, De Leon, DeVore,  
            Duvall, Emmerson, Eng, Evans, Feuer, Fletcher, Fong,  
            Fuller, Furutani, Galgiani, Gilmore, Hagman, Hall,  
            Harkey, Hayashi, Hernandez, Hill, Huber, Huffman,  
            Jeffries, Jones, Knight, Krekorian, Lieu, Logue, Bonnie  
            Lowenthal, Ma, Mendoza, Miller, Monning, Nava, Nestande,  
            Niello, Nielsen, John A. Perez, V. Manuel Perez,  
            Portantino, Price, Ruskin, Salas, Silva, Skinner,  
            Solorio, Audra Strickland, Swanson, Torlakson, Torres,  
            Torrico, Tran, Villines, Yamada
          NO VOTE RECORDED:  Ammiano, Fuentes, Gaines, Garrick,  
            Saldana, Smyth, Bass


          AGB:mw  7/9/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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