BILL ANALYSIS
SB 178
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Date of Hearing: August 19, 2009
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Kevin De Leon, Chair
SB 178 (Aanestad) - As Amended: July 23, 2009
Policy Committee: Business and
Professions Vote: 11-0 (Consent)
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill authorizes the Department of General Services (DGS) to
lease, sell, or exchange a parcel of state property in Redding
(Shasta County). Specifically, this bill:
1)Authorizes the lease, sale, or exchange of a three-acre parcel
currently used by the Department of Forestry and Fire
Protection (CDF) as its Shasta-Trinity Unit Headquarters.
2)Requires the director to retain the portion of the property
containing a telecommunications tower and vault unless these
facilities can be relocated to a suitable site.
3)Requires the property to be offered (a) to the City of Redding
for use as a local government facility, and, if an agreement
with the city cannot be reached within 120 days, then (b) to
the public through a competitive process.
4)Requires that the disposition be at not less than fair market
value, pursuant to an independent appraisal approved by DGS,
or through the competitive process.
5)Requires DGS to be reimbursed, for costs incurred in the
disposition process, from the proceeds of the disposition.
6)Stipulates that any proceeds from the disposition be used only
to provide substitute facilities for the Shasta-Trinity Unit
Headquarters.
FISCAL EFFECT
SB 178
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1)Minor costs of around $30,000 for DGS to administer the
property disposition through lease, sale, or exchange,
reimbursed from proceeds of a property sale or from CDF in the
case of a lease or exchange.
2)Any net revenue to the state from a sale of the property would
presumably be used to offset the costs of a replacement site
and facilities for a new CDF unit headquarters. DGS does not
have an appraised value of the property.
COMMENTS
1)Purpose . According to the author's office, the city is looking
for a new location for its police headquarters. A recent
review of possible locations identified the state property
used by CDF as the most suitable because it is located
adjacent to City Hall and has good ingress and egress for
emergency situations. The author indicates that city staff
has worked closely with the department to develop a strategy
to purchase the state property in exchange for a site approved
by CDF.
2)Related Legislation . SB 256 (Aanestad), also on today's
committee agenda, authorizes DGS to sell, lease, or exchange
the CHP's Chico area property for a replacement facility.
3)Prior Legislation . In 2008, SB 553 (Aanestad), which was
similar to this bill, was vetoed because it did not contain a
provision exempting the property disposition from the
California Environmental Quality Act (CEQA). Such an
exemption is no longer necessary, however, as this issue was
addressed in ABX2 8 (Nestande)/Chapter 6 of 2009 for state
properties offered for disposition on an "as is" basis.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081