BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2317
                                                                  Page  1

          Date of Hearing:  April 14, 2010
           REVISED
           
                       ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
                                Cameron Smyth, Chair
                    AB 2317 (Saldana) - As Amended:  April 5, 2010
           
          SUBJECT  :  Local government: nuisance abatement.

           SUMMARY  :  Authorizes cities and counties to collect fines  
          related to nuisance abatement using a nuisance abatement lien or  
          a special assessment.  

           EXISTING LAW  permits cities and counties to establish by  
          ordinance a procedure to collect nuisance abatement costs and  
          related administrative costs by a nuisance abatement lien or a  
          special assessment. 

           FISCAL EFFECT  :  None

           COMMENTS  :   

          1)Sections 38773.5 and 25845 were added to the Government Code  
            in 1965 (Statutes 1965, Chapter 1941) to allow cities and  
            counties to use special assessments to collect nuisance  
            abatement costs.  The original language for both these  
            sections was identical and gave cities and counties the  
            authority to establish by ordinance a procedure for nuisance  
            abatement and to make a special assessment against the parcel  
            in order to recover the cost of the abatement.  

          In 1990, the Legislature responded to concerns that special  
            assessments for the purpose of collecting the costs of  
            nuisance abatement were too slow a process for local  
            governments and were frustrating for private lenders.  Thus,  
            Section 38773.1 was added to the Government Code in 1990  
            (Statutes 1990, Chapter 965) to allow cities to use abatement  
            liens as an alternative to special assessments in the  
            collection of nuisance abatement costs.  It was said the  
            alternative would speed up cost recovery and relieve lenders'  
            worries because, unlike special assessments, which are  
            "superliens" and jump to the front of the line when collection  
            comes due, abatement liens assume a sequential priority with  
            respect to other financial claims against the real property.   
            Subsequent amendments to Section 25845 (Statutes 1985, Chapter  








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            617) also allowed counties to impose an abatement lien.

          2)Under existing law, the legislative body of a local agency is  
            authorized to adopt an ordinance making the violation of any  
            local ordinance subject to an administrative fine or penalty.   


          In existing law, there are distinctions between public and  
            private nuisance along with potential remedies, including  
            civil actions to recover damages.  A nuisance is defined as:  
            "Anything which is injurious to health, including, but not  
            limited to, the illegal sale of controlled substances, or is  
            indecent or offensive to the senses, or an obstruction to the  
            free 
          use of property, so as to interfere with the comfortable  
            enjoyment of life or property, or unlawfully obstructs the  
            free passage or use, in the customary manner, of any navigable  
            lake, or river, bay, stream, canal, or basin, or any public  
            park, square, street, or highway, is a nuisance."  Any private  
            individual or public entity can seek recourse for a public  
            nuisance.  

          For a public nuisance, those remedies are indictment or  
            information, a civil action, or abatement.  

          3)According to the author, the collapse of the real estate  
            market has increased nuisance conditions found on real  
            property and, consequently, has become a vexing problem for  
            communities and local governments.  Owners often fail to  
            maintain their properties to such an extent that they pose  
            health and safety threats to their community.  Despite court  
            hearings and findings of violation, owners often ignore the  
            imposition of fines, and cities and counties have difficulty  
            enforcing local nuisance ordinances. 

            According to the author, although current law allows cities  
            and counties to adopt procedures for the recovery of nuisance  
            abatement and related administrative costs through a lien or  
            special assessment against the nuisance property, fines levied  
            against a property owner for maintaining the nuisance must be  
            addressed by local governments under entirely separate  
            procedures.  For instance, the City of San Marcos can levy a  
            fine for any violation of its municipal code as provided for  
            in its local ordinances.  Thus, a local government wishing to  
            collect both costs and fines for the nuisance abatement is  








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            required to endure two administrative proceedings to recover  
            fines and out-of-pocket expenses for the same nuisance.  This  
            is not only an unnecessary burden to cities and counties; it  
            is a burden to any defendant who wishes to contest the  
            imposition of fines and costs.  In addition, while the costs  
            incurred by a local government to abate a nuisance are  
            typically low, the administrative burden to recover those  
            costs is disproportionately high and often economically  
            unfeasible. 

           4)Support Arguments.   Supporters say allowing cities and  
            counties to impose fines for nuisance abatement using the same  
            procedure for which they seek reimbursement for administrative  
            costs promotes government efficiency by combining two  
            administrative procedures into one.  It lowers the costs to  
            cities and counties in pursuing their legal right to seek  
            fines for nuisance abatement and lowers the cost to those who  
            have had the nuisance abated because they do not have to go  
            through two administrative procedures.

           5)Opposition Arguments  . The opposition, Cal-Tax, objects to  
            using liens and special assessments to impose fines because  
            liens and special assessments are powerful tools that should  
            be used in limited circumstances.  Cal-Tax also says expanding  
            the liabilities for which liens and special assessments may be  
            imposed encourages local governments to increase fines,  
            thereby setting a precedent for the further expansion of liens  
            and special assessments.  

           











          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           








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          City of San Marcos [SPONSOR]
          American Planning Association, CA Chapter
          CA Peace Officers' Association
          CA Police Chiefs Association
          CA State Association of Counties
          League of CA Cities
          Marin County Council of Mayors & Councilmembers

           Opposition 
           
          Cal-Tax
          Howard Jarvis Taxpayers Association
           
          Analysis Prepared by  :    Jennifer R. Klein / L. GOV. / (916)  
          319-3958