BILL NUMBER: SB 586	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MAY 6, 2009

INTRODUCED BY   Senator Yee

                        FEBRUARY 27, 2009

   An act to add Section 19622.5 to the Business and Professions
Code, and to add Section 11011.27 to the Government Code, relating to
state property, making an appropriation therefor, and declaring the
urgency thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 586, as amended, Yee. State property: sale.
   Existing law authorizes the Director of General Services to
dispose of state surplus property, subject to specified conditions,
including authorization by the Legislature.
   This bill would require the director, prior to an unspecified
date, to sell, at fair market value, upon those terms and conditions
determined by the director, a specified parcel of state property
located in the County of San Mateo and the City and County of San
Francisco to any interested party.  The bill would exempt an
"as-is" sale, exchange, sale, sale combined with an exchange, or
transfer of this parcel from certain provisions of the California
Environmental Quality Act (CEQA). If the sale, exchange, sale
combined with an exchange, or transfer of the parcel is not an "as-is"
sale and close of escrow is contingent on satisfying a local
governmental approval for entitlement or land use requirements,
including compliance by the local government with certain provisions
of CEQA, then the execution of the purchase and sale agreement or
exchange agreement would be exempt from those provisions of CEQA.

    The bill would provide that the net proceeds of the conveyance
would be paid into the Fair and Exposition Fund, a continuously
appropriated fund, for the benefit of a specified district
agricultural association, as provided, thereby making an
appropriation. The bill would require reimbursement to the Department
of General Services for any cost or expense incurred in the
disposition of the property. This bill would also declare the
Legislature's findings that the sale of this state property does not
constitute a sale of surplus state property, as set forth in
specified existing law.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 19622.5 is added to the Business and
Professions Code, to read:
   19622.5.   Pursuant to subdivision (c) of Section 19622.3, within
30 days of enactment of this section, the Department of Food and
Agriculture, until ______, shall assume only the rights, duties, and
powers of the board of directors of the District 1-A Agricultural
Association associated with negotiating the sale of the real property
of the District 1-A Agricultural Association.
  SEC. 2.  Section 11011.27 is added to the Government Code, to read:

   11011.27.  (a) The Director of General Services in consultation
with the Department of Food and Agriculture, prior to _______, shall
enter into negotiations to sell, at fair market value with an
all-cash sale or cash equivalent without any conditions relating to
entitlements, to any interested third party, upon those terms and
conditions and subject to those reservations and exceptions that the
director determines are in the best interests of the state, the
following real property:
   Parcel A: Beginning at a point on the southerly line of Walbridge
Street, now Geneva Avenue, with the easterly line of Carter Street
(in the City and County of San Francisco); thence running easterly
along the southerly line of Walbridge Street 980 feet; thence at a
right angle south 19*35' west 600 feet; thence at a right angle north
70*25' west 720 feet; thence at a right angle south 19*35' west 60
feet; thence at a right angle north 70*25' west 260 feet; thence at a
right angle north 19*35' east 660 feet along the easterly line of
Carter Street to the point of beginning.
   (b) A notice of every public auction or bid opening shall be
posted on the parcel to be sold pursuant to this section and shall be
published in a newspaper of general circulation published in the
county in which the real property to be sold is situated. 
   (c) (1) An "as-is" sale, exchange, sale, sale combined with an
exchange, or transfer of the parcel described in subdivision (a) is
exempt from Chapter 3 (commencing with Section 21100) to Chapter 6
(commencing with Section 21165), inclusive, of Division 13 of the
Public Resources Code. However, the buyer or transferee of the parcel
shall be subject to any local governmental entitlement or land use
approval requirements, and that buyer or transferee shall be subject
to the requirements of Chapter 3 (commencing with Section 21100) to
Chapter 6 (commencing with Section 21165), inclusive, of Division 13
of the Public Resources Code.  
   (2) If the sale, exchange, sale combined with an exchange, or
transfer of the parcel described in subdivision (a) is not an "as-is"
sale and the close of escrow is contingent on satisfying a local
governmental approval for entitlement or land use requirements,
including compliance by the local government with Chapter 3
(commencing with Section 21100) to Chapter 6 (commencing with Section
21165), inclusive, of Division 13 of the Public Resources Code, then
the execution of the purchase and sale agreement or exchange
agreement is exempt from Chapter 3 (commencing with Section 21100) to
Chapter 6 (commencing with Section 21165), inclusive, of Division 13
of the Public Resources Code.  
   (d) 
    (c)  Notwithstanding the terms and conditions negotiated
pursuant to subdivision (a), the director shall not sell the
property identified in subdivision (a) for less than its fair market
value. 
   (e) 
    (d)  Fair market value shall be evaluated at the highest
and best use of the property as entitled with its existing zone
designation, generally required for all real estate appraisals and as
governed by the Uniform Standards of Professional Appraisal Practice
(USPAP). 
   (f) 
    (e)  An agreement for the sale of the property
identified in subdivision (a) shall require a purchaser to develop
the property for uses consistent with the general plan of the City of
Daly City, any amendment to that general plan, any specific plan
amendments to any specific plan, and the Bayshore Revitalization
Redevelopment Plan. 
   (g) 
    (f)  The Department of General Services shall be
reimbursed from the sale proceeds for any cost or expense incurred in
the disposition of the property described in subdivision (a).

   (h) 
    (g)  The net proceeds of any moneys received from the
disposition of any parcel of property described in subdivision (a)
shall be paid into the Fair and Exposition Fund for the benefit of
the District 1-A Agricultural Association.
  SEC. 3.  The Legislature finds and declares that the disposition of
state property authorized in Section 2 of this act does not
constitute a sale or other disposition of surplus state property as
set forth in Section 9 of Article III of the California Constitution
or subdivision (g) of Section 11011 of the Government Code.
  SEC. 4.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order for the Director of General Services to sell the property
described in Section 2 of this act at the earliest possible time, it
is necessary that this act take effect immediately.