BILL ANALYSIS                                                                                                                                                                                                    



                                        
                       SENATE LOCAL GOVERNMENT COMMITTEE
                        Senator Patricia Wiggins, Chair


          BILL NO:  SB 321                     HEARING:  4/29/09
          AUTHOR:  Benoit                      FISCAL:  Yes
          VERSION:  4/23/09                    CONSULTANT:   
          Weinberger

                              BENEFIT ASSESSMENTS
          
                                    Background  

          Proposition 218 (1996) limited local officials' powers to  
          impose taxes, levy benefit assessments, and charge fees.   
          The Legislature translated the new constitutional limits on  
          benefit assessments into statutory procedures for notice,  
          hearing, and protests (SB 919, Rainey, 1997) and imposed  
          additional requirements to enhance the confidentiality and  
          impartiality of benefit assessment ballot proceedings (SB  
          1477, Lewis, 2000).  

          In response to concerns about how local officials implement  
          these statutes, taxpayer advocates want to clarify the  
          rules for levying benefit assessments. 


                                   Proposed Law  

          I.   Mailing ballots  .  Existing law requires local officials  
          to mail to each affected property owner a ballot to vote  
          for or against a proposed assessment and a notice  
          containing specific information about the proposed  
          assessment, including the date, time, and place of the  
          public hearing at which ballots will be tabulated.  Senate  
          Bill 321 requires the phrase "OFFICIAL BALLOT ENCLOSED" to  
          be printed, in no smaller than 16-point bold type, on  
          envelopes mailed to property owners containing the notices  
          and assessment ballots.

          II.   Ballot tabulation  .  Existing law requires that an  
          impartial person designated by the agency who does not have  
          a vested interest in the outcome of the proposed assessment  
          must tabulate the ballots.  Senate Bill 321 states that an  
          impartial person does not include the person or entity that  
          participated in the research, design, engineering, public  
          education, or promotion of the assessment.  Senate Bill 321  
          clarifies that an impartial person may include the clerk of  




           
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          the agency.

          Senate Bill 321 requires ballots to be unsealed and  
          tabulated in public view at the conclusion of the public  
          hearing so as to permit all interested persons to  
          meaningfully monitor the accuracy of the tabulation  
          process.  Senate Bill 321 allows the agency's governing  
          body to continue the tabulation at a different time or  
          location accessible to the public, provided that the time  
          and location are announced at the hearing.
           
          III.   Public records  .  Existing law requires, during and  
          after the tabulation, that assessment ballots must be  
          treated as public documents and be available to both the  
          proponents and opponents.  In tabulating the ballots, the  
          ballots are weighted according to each property's  
          proportional financial obligation.   Senate Bill 321  
          requires the information used to determine the weight of  
          each ballot to be public and made equally available to  
          proponents and opponents.  

          Senate Bill 321 requires ballots to be preserved for at  
          least two years and references the statutes under which  
          agencies may dispose of the ballots after that time.


                                     Comment  

           Enhancing integrity  .  Recent controversies over benefit  
          assessments demonstrate a need to further clarify the  
          statutes that implement Proposition 218.  SB 321's sponsor  
          cites examples of property owners who discard assessment  
          ballots they receive in the mail, thinking that the  
          contents are "junk mail."  Proponents also express concerns  
          about assessment ballots being tabulated behind closed  
          doors by private firms.  By making mailed assessment  
          ballots easier for property owners to identify and by  
          requiring a more impartial and transparent ballot  
          tabulation process, SB 321 enhances the integrity of the  
          approval process for benefit assessments.


                         Support and Opposition  (4/23/09)

           Support  :  Howard Jarvis Taxpayers Association.





           
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           Opposition  :  Marin County.