BILL ANALYSIS
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 430|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
THIRD READING
Bill No: SB 430
Author: Dutton (R)
Amended: 5/12/09
Vote: 21
SENATE LOCAL GOVERNMENT COMMITTEE : 4-0, 5/6/09
AYES: Wiggins, Cox, Kehoe, Wolk
NO VOTE RECORDED: Aanestad
SUBJECT : Redevelopment: County of San Bernardino:
disaster
recovery project area.
SOURCE : County of San Bernardino
DIGEST : This bill extends the County of San Bernardino
Redevelopment Agency's Cedar Glen Disaster Recovery Project
Area's time limit form 10 years to 15 years for the plan's
effectiveness.
ANALYSIS : The Community Redevelopment Disaster Project
Law allows local officials to accelerate the adoption of
redevelopment plans after declared disasters (AB 189
[Hauser], Chapter 186, Statutes of 1995).
Standard redevelopment law sets time limits on
redevelopment activities: 20 years to create debt, 30 years
for the effectiveness of the redevelopment plan
(redevelopment activities), and 45 years to repay debt with
property tax increment revenues. The disaster
CONTINUED
SB 430
Page
2
redevelopment law cuts those deadlines to 10 years to
create debt, 10 years for the plan's effectiveness, and 30
years to repay debt.
This bill extends the County of San Bernardino
Redevelopment Agency's Cedar Glen Disaster Recovery Project
Area's time limit from 10 years to 15 years for the plan's
effectiveness. The timelines to incur and repay debt
remains the same.
Comments
In November 2004, San Bernardino County officials created
the Cedar Glen Disaster Recovery Project Area to help
rebuild an area where a 2003 wildfire destroyed over 325
structures. The Cedar Glen Project Area has until 2014 to
create debt, until 2014 for the plan's effectiveness, and
until 2034 to repay its debts.
Mounting debts and the loss of customers after the fire
forced the private Arrowhead Manor Water Company into state
receivership. State officials can waive penalties and
interest if San Bernardino County acquires the water system
(AB 2680 [Adams], Chapter 643, Statutes of 2008). The
delay caused by the water system's financial problems cut
into the time that the Cedar Glen Project Area can conduct
redevelopment activities; only five years remain. San
Bernardino County officials want the Legislature to extend
the statutory time limits.
FISCAL EFFECT : Appropriation: No Fiscal Com.: No
Local: No
SUPPORT : (Verified 5/12/09)
County of San Bernardino (source)
Lake Arrowhead Community Chamber of Commerce
Rebuilding Mountain Hearts and Lives
AGB:do 5/15/09 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
SB 430
Page
3
**** END ****