BILL ANALYSIS                                                                                                                                                                                                    �




                     SENATE GOVERNANCE & FINANCE COMMITTEE
                            Senator Lois Wolk, Chair
          

          BILL NO:  AB 1253                     HEARING:  6/13/12
          AUTHOR:  Davis                        FISCAL:  No
          VERSION:  1/4/12                      TAX LEVY:  No
          CONSULTANT:  Weinberger                 

                                 COUNTY BUDGETS
          

           Restores county supervisors' statutory authority to revise 
                             a recommended budget.


                           Background and Existing Law  

          State law spells out the procedures that county officials 
          must follow when adopting an annual budget.  County boards 
          of supervisors annually must approve a recommended budget 
          on or before June 30 and, after holding a public hearing on 
          the recommended budget, must adopt a final budget on or 
          before October 2.

          The Local Government Omnibus Act of 2009 (SB 113, Senate 
          Local Government Committee, 2009) enacted numerous 
          revisions to the County Budget Act.  These amendments 
          inadvertently deleted language that: 
                 Authorized county supervisors to revise a 
               recommended budget before its final adoption, and 
                 Specified how supervisors could amend a recommended 
               budget during a public hearing.

          County officials want the Legislature to restore their 
          authority to revise recommended budgets.


                                   Proposed Law  

          Assembly Bill 1253 allows a county board of supervisors to 
          revise a recommended budget before its final adoption.

          AB 1253 allows a board of supervisors to revise a 
          recommended budget after the start of a public hearing on 
          the recommended budget only if the revision is either:
                 Proposed in writing and filed with the clerk of the 
               board before the close of the hearing, or




          AB 1253 -- 1/4/12 -- Page 2



                 Approved by a four-fifths vote of the board after 
               the close of the hearing.  


                               State Revenue Impact
           
          No estimate.


                                     Comment  

           Purpose of the bill  .  Assembly Bill 1253 reestablishes 
          counties' statutory authority to revise an approved 
          recommended budget.  Without this bill, counties could face 
          unnecessary restrictions and uncertainty in managing their 
          budgetary affairs.  Due to possible fiscal changes at the 
          federal or state level, many counties wait until the 
          October 2nd deadline to approve a final budget.  AB 1253 
          will restore vital flexibility for county supervisors to 
          adjust recommended county budgets in response to changing 
          economic and programmatic needs.  Without AB 1253, boards 
          of supervisor will be prevented from making necessary 
          changes to the recommended budget until after the adopted 
          budget is approved.


                                 Assembly Actions  

          Assembly Local Government Committee:  9-0
          Assembly Floor:                    69-0


                         Support and Opposition  (6/7/12)

           Support  :  California State Association of Counties; State 
          Association of County Auditors.

           Opposition  :  Unknown.