BILL ANALYSIS
SB 430
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Date of Hearing: June 17, 2009
ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT
Anna Marie Caballero, Chair
SB 430 (Dutton) - As Amended: May 12, 2009
SENATE VOTE : 33-0
SUBJECT : Redevelopment: County of San Bernardino: disaster
recovery project area.
SUMMARY : 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.
EXISTING LAW :
1)Authorizes a community to establish a redevelopment agency,
and adopt and implement a redevelopment plan within a disaster
area if the community has commenced the adoption of the
redevelopment plan within six months after the President of
the United States has determined the disaster to be a major
disaster and the legislative body has adopted the
redevelopment plan within 24 months after the President of the
United States has determined the disaster to be a major
disaster.
2)States that any redevelopment plan adopted in an area in which
a disaster has occurred shall contain the following time
limits:
a) A time limit on the establishing of loans, advances, and
indebtedness to be paid with the proceeds of property tax
increment received, which may not exceed 10 years from the
adoption of the redevelopment plan;
b) A time limit, not to exceed 10 years from the adoption
of the redevelopment plan, on the effectiveness of the
redevelopment plan; and,
c) A time limit, not to exceed 30 years from the adoption
of the redevelopment plan, to repay indebtedness with the
proceeds of property taxes received pursuant to Section
33670.
SB 430
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3)Defines "disaster" as any flood, fire, hurricane, earthquake,
storm, tidal wave, or other catastrophe occurring on or after
January 1, 1996, for which the Governor of the state has
certified the need for assistance and which the President of
the United States has determined to be a major disaster.
FISCAL EFFECT : None
COMMENTS :
1)In October, 2003, the "Old Fire" ravaged the San Bernardino
Mountains and almost completely destroyed the unincorporated
community of Cedar Glen near Lake Arrowhead.
The fire destroyed 324 structures in that community, over 75% of
the total number of homes at the time, and damaged a number of
others. Only a few homes have been rebuilt since the fire.
Since the fire, the County of San Bernardino has been
endeavoring to help residents rebuild that community in a
responsible way. The board of supervisors created a disaster
redevelopment agency encompassing Cedar Glen and also overlaid
the area with a county service area improvement zone to
rebuild and maintain the road system, provide better
ingress/egress to the community for safety purposes, and to
acquire/upgrade the antiquated and financially bankrupt water
company serving the area, the Arrowhead Manor Water Company.
Under current law, 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.
2)Mounting debts and the loss of customers after the fire forced
the private Arrowhead
Manor Water Company into state receivership. Under the
provisions of AB 2680 (Adams), Chapter 643, Statutes of 2008,
state officials may waive penalties and interest if San
Bernardino County acquires the water system. After the delays
caused by the private water system's financial problems, San
Bernardino County officials are now nearing completion on
Phase 1 of the Cedar Glen Disaster Redevelopment Project Area:
a new water tank, new well, new water lines and fire
hydrants, and over two miles of road improvements. More work
remains to be done, but there are just five years left to
create more debt and finish the redevelopment activities. SB
430 gives San Bernardino County redevelopment officials five
SB 430
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more years, for a total of 15 years, to build the public works
that the Cedar Glen area needs.
REGISTERED SUPPORT / OPPOSITION :
Support
County of San Bernardino [SPONSOR]
Hearts & Lives
Lake Arrowhead Communities Chamber of Commerce
Opposition
None on file
Analysis Prepared by : Katie Kolitsos / L. GOV. / (916)
319-3958