BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 715|
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                                 THIRD READING


          Bill No:  SB 715
          Author:   Wolk (D), et al
          Amended:  5/28/09
          Vote:     21

           
           SENATE LOCAL GOVERNMENT COMMITTEE  :  4-0, 5/6/09
          AYES:  Wiggins, Cox, Kehoe, Wolk
          NO VOTE RECORDED:  Aanestad


           SUBJECT  :    Agricultural land:  Williamson Act

          SOURCE  :     County of Yolo


           DIGEST  :    This bill reforms the Williamson Act by  
          increasing local enforcement authority over contract  
          compliance and conditioning the subdivision of land for  
          development if the land is under contract.

           Senate Floor Amendments  of 5/28/09 require landowners to  
          furnish local officials with information regarding their  
          compliance with the Williamson Act, and make technical  
          changes.

           ANALYSIS  :    Current law, known as the Williamson Act,  
          allows landowners to sign contracts with cities and  
          counties that enforceably restrict their land to  
          agricultural production, open space, and compatible uses.   
          In return, county assessors must reassess the contracted  
          property to reflect its use value instead of its market  
          value.  Current law requires landowners to furnish local  
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          officials with information that the local officials need to  
          determine whether the land is eligible for Williamson Act  
          contracts.

          This bill requires city councils and county boards of  
          supervisors to deny the proposed subdivision of Williamson  
          Act contracted land unless they find that each resulting  
          parcel:

          1. Is consistent with the Williamson Act contract.

          2. Is consistent with the city or county's local Williamson  
             Act rules.

          3. Is capable of sustaining commercial agricultural use,  
             open space use, or both.

          4. Has an existing commercial agricultural use, an open  
             space use, or both, the improvements needed for those  
             uses, or a feasible plan for achieving any needed  
             improvements.

          If local officials make these four findings, they can  
          impose reasonable and necessary restrictions on the new  
          residential uses or buildings to ensure compliance with the  
          Williamson Act contract, local rules, or the new statutory  
          requirements.

          This bill requires landowners to furnish local officials  
          either initially or on an on going basis with information  
          that directly relates to the landowners' compliance with  
          the Williamson Act that the local officials need to  
          determine whether the land is eligible for Williamson Act  
          contracts.

          This bill requires county assessors to start raising the  
          assessed valuation on Williamson Act contracted lands  
          immediately, if a county or city nonrenews a Williamson Act  
          contract "for cause." This bill defines "for cause" as a  
          landowner's documented failure to comply with the  
          Williamson Act, local Williamson Act rules or ordinances,  
          or the terms of a Williamson Act contract.

           Comments







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          The California Constitution allows for the preferential  
          assessment of open space lands for property tax purposes  
          when the land is enforceably restricted.  This is the  
          constitutional basis for the Williamson Act's scheme for  
          giving landowners property tax breaks.  Some supporters of  
          the Williamson Act fear that the courts may overturn these  
          preferential assessments if they perceive that the  
          contracts are insufficiently restrictive.  If landowners  
          can subdivide and build houses on contracted land and still  
          keep their tax breaks, then a court may bring down the  
          whole scheme.  Subdivisions and development that displaces  
          commercial agricultural operations and open space uses  
          threatens the Williamson Act's constitutional integrity.   
          This bill adds more conditions on the subdivision of  
          contracted land.


           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No    
          Local:  No

           SUPPORT  :   (Verified  6/1/09)

          County of Yolo (source)
          California State Association of Counties
          Regional Council of Rural Counties


          AGB:do  6/1/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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