BILL ANALYSIS �
AB 1272
Page 1
Date of Hearing: May 4, 2011
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Felipe Fuentes, Chair
AB 1272 (Butler) - As Amended: April 28, 2011
Policy Committee: Business and
Professions Vote: 9-0 (Consent)
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill authorizes the Department of General Services (DGS) to
dispose of six surplus state properties and rescinds the
department's authority to dispose of two other properties
previously declared surplus. Specifically, this bill:
1)Declares the following properties to be surplus to the state's
needs, and authorizes DGS to dispose of the properties through
sale, exchange, or lease, as determined to be in the state's
best interest:
a) Approximately 2.6 acres, known as the Hollywood
Employment Development Department (EDD) Office Building, in
L.A. County;
b) Approximately 1.7 acres, known as the L.A. EDD Office
Building, located at 1405 South Broadway and 1400 South
Hill Street, in L.A. County;
c) Approximately 1.2 acres, known as the Oroville EDD
Office Building, located in Oroville, Butte County;
d) Approximately 1.5 acres, known as the Hidden Lakes
Estates Parcel, located near the Millerton Lake State
Recreation Area, in Madera County;
e) Approximately 40 acres, known as the Digger Butte
Lookout, located in an unincorporated area of Tehama
County; and,
f) Approximately 5 acres, known as the Campbellville
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Lookout, located in an unincorporated area of Tehama
County.
2)Rescinds the surplus authorization of the following two
parcels due to a need for their continued use by the state:
a) Approximately 0.5 acres of a portion of the Sutter Hill
Forest Fire Station, located one mile south of Sutter Creek
on Highway 49 in Amador County, declared surplus in 1998;
and,
b) Approximately 5.5 acres, known as the National Guard
Armory, located in the City of San Jose, Santa Clara
County, declared surplus in 1984.
FISCAL EFFECT
Unknown additional one-time revenue from property dispositions.
DGS has not performed an appraisal of these properties.
Pursuant to current law, these properties must first be offered
to local government or non-profit housing sponsors for the
development of low- or moderate-income housing, and second to
local government for open space, parks, or local government
facilities. In these cases, the state may sell the property at
less than fair market value. If a property is not transferred
for one of the aforementioned uses, it is offered to private
entities and sold to the highest bidder.
To the extent either of these properties were acquired with
General Fund moneys, the proceeds of any sale, net of DGS
transaction costs, must be directed toward retirement of the
state's economic recovery bonds, and if those bonds are retired,
to the General Fund. To the extent either property was acquired
with moneys from a special fund, or the case of the EDD
buildings, with federal funds, net proceeds from a sale will be
deposited in the special fund or federal trust fund.
COMMENTS
1)Purpose . This is the annual state surplus property bill
sponsored by DGS. Current law requires all state agencies to
annually review and determine if any lands under their
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jurisdiction are in excess of their needs. This information is
provided to DGS, which annually must report these excess lands
to the Legislature and request authorization to sell these
properties. DGS must also determine whether other state
agencies can utilize surplus properties. In general, the
properties being surplused in this bill are no longer being
used by the state agency or contain structures that are
obsolete.
2)Prior Legislation . Recent surplus property bills were SB 1167
(Cogdill)/Chapter 324 of 2010 and SB 136 (Huff)/Chapter 166 of
2009.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081