BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           1205 (Corbett)
          
          Hearing Date:  05/03/2010           Amended: 04/13/2010
          Consultant: Mark McKenzie       Policy Vote: L.Gov. 3-2
          _________________________________________________________________ 
          ____
          BILL SUMMARY:  SB 1205 would establish the San Francisco Bay  
          Area Disaster Recovery Authority until January 1, 2030 to create  
          a long-term regional recovery plan to be implemented following  
          an earthquake or other disaster in the San Francisco Bay Area. 
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2010-11      2011-12       2012-13    Fund
           CalEMA interim staff   $50        $100        $100      General

          Planning and disaster  potential cost pressures to fund  
          regionalGeneral
          mitigation grants      plan and provide funds for grant  
          programFederal/
                                                                  Bond
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.
          
          The Association of Bay Area Governments (ABAG) is a voluntary  
          council of governments created by the Bay Area's nine counties  
          and 101 cities through a joint-powers agreement.  Although ABAG  
          has developed a comprehensive regional plan that includes an  
          earthquake hazards and planning component, most regional  
          disaster planning efforts have focused on response rather than  
          long-term recovery.

          SB 1205 would establish the Authority and specify its governing  
          structure, including a requirement to convene a Bay Area  
          Disaster Recovery Administrative Committee to assist and advise  
          the board.  Among other things, the Authority would be  
          authorized to receive grants from federal and state agencies;  
          solicit and accept gifts, fees, grants, and allocations from  
          public and private entities; receive and manage an unspecified  










          dedicated revenue source; and use interim and temporary staff  
          provided by an appropriate state agency or ABAG.  In addition,  
          the Authority would be funded through gifts, donations, grants,  
          state or local bonds, assessments, other appropriate funding  
          sources, and other types of financial assistance from public and  
          private sources.

          It is likely that this bill would require at least 1 PY of staff  
          time from an "appropriate state agency" to serve as interim  
          staff to the Authority for several years.  The most appropriate  
          state agency related to emergency planning and preparedness is  
          the California Emergency Management Agency.

          SB 1205 would also establish a grant program and authorize the  
          Authority to raise funds and award grants to public and private  
          entities for the purpose of maintaining and enhancing the  
          region's resiliency following a disaster, as specified.   
          Priority would be given to projects that would address the  
          highest priority mitigation strategies identified in 
          Page 2
          SB 1205 (Corbett)

          ABAG's Local Hazard Mitigation Plan, and other projects that  
          would address additional needs identified in the long-term  
          regional recovery plan.  Staff notes that the bill does not  
          identify a dedicated source of revenues to fund the activities  
          of the Authority, in general, or the grant program, in  
          particular.  Rather, the bill specifies that the Authority may  
          solicit and spend funds from numerous potential sources.  In  
          addition, one of the stated purposes of creating the recovery  
          planning council is to raise the level of awareness of the need  
          for long term disaster recovery planning and increase the amount  
          of available resources for disaster planning and preparedness  
          work in the region without eliminating funding from any ongoing  
          effort.  Absent a dedicated source of funds, this bill would  
          create unknown, but potentially significant cost pressures to  
          provide state funds for the activities of the Authority and the  
          grant program to the extent other revenues fail to materialize.

          SB 1205 would place additional duties on ABAG and its member  
          agencies related to the membership and activities of the  
          governing board of the Authority.  Since the local agencies have  
          the authority to levy service charges, fees, or assessments  
          sufficient to pay for its participation on the Authority, SB  
          1205's mandate would not be reimbursable.