BILL ANALYSIS                                                                                                                                                                                                    �






                                                       Bill No:  AB 
          1429
          
                 SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
                       Senator Roderick D. Wright, Chair
                           2011-2012 Regular Session
                                 Staff Analysis

          AB 1429  Author:  Chesbro
          As Amended:  May 16, 2011
          Hearing Date:  June 28, 2011
          Consultant:  Art Terzakis

                                     SUBJECT  
                      Disaster Relief: March 2011 tsunami

                                   DESCRIPTION
           
          AB 1429 is an  urgency  measure that adds the tsunami that 
          occurred in Del Norte County on March 2011 to the list of 
          disaster events for which the state share of state eligible 
          costs is 100%.   Specifically, this measure: 

             1.   Adds the tsunami that affected Del Norte County on 
               March 2011 to the list of disasters eligible for full 
               state reimbursement of the local agency costs under 
               the California Disaster Assistance (CDA) Act.

             2.   Also, exempts the county from an existing provision 
               of law that prohibits the state share for any eligible 
               project from exceeding 75% of total state eligible 
               costs unless the local agency is located within a 
               city, county, or city and county that has adopted a 
               local hazard mitigation plan as part of the safety 
               element of its general plan.  
             
                                   EXISTING LAW

           Existing law, the CDA Act, provides that the state must pay 
          75% of the non-federal share of eligible costs for any 
          state-declared emergency.  For some statutorily specified 
          disasters the state is required to pay 100% of the 
          non-federal cost.

          Existing law prohibits the state share for any eligible 
          project from exceeding 75% of total state eligible costs 




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          unless the local agency is located within a city, county, 
          or city and county that has adopted a local hazard 
          mitigation plan, in accordance with the federal Disaster 
          Mitigation Act of 2000, as part of the safety element of 
          its general plan, as specified.  
                                         
                                   BACKGROUND
           
           Background  :  The CDA Act requires the state share for 
          non-federal eligible costs to be apportioned on a 75% 
          state/25% local government share basis.  For certain 
          disasters (e.g., 1989 Loma Prieta earthquake, 1991 East Bay 
          Fire, 1994 Northridge earthquake, the 2003 Southern 
          California wildfires, the San Simeon earthquake and 
          specified severe winter storms) the law provides that the 
          state cover up to 100% of the non-federal eligible costs.  

          This measure would provide for the state to cover up to 
          100% of the non-federal share of costs associated with the 
          effects of the tsunami that occurred in Del Norte County on 
          March 10, 2011, as specified in agreements for federal 
          assistance between California and the United States.  
          According to the author's office, Del Norte is facing a 
          severe economic impact as a result of the tsunami surges 
          that crashed into the North Coast and caused more than $48 
          million in damage to California ports, harbors, boats, 
          businesses and infrastructure.  The author's office notes 
          that this recent disaster came at a time when local 
          governments are financially strapped and that this measure 
          is intended to ensure that local costs are reimbursed for 
          the events surrounding the tsunami.

           Staff Comments:   Preliminary costs submitted by Del Norte 
          County to the California Emergency Management Agency 
          (CalEMA) are in excess of $20 million - the federal 
          government pays 75% of those costs.  Under AB 1429, the 
          state would pick up the entire remaining amount.  Absent 
          this legislation, the state pays for 18.75% of the costs 
          and the county pays 6.25%. 

          In 2006, the Legislature enacted AB 2140 (Chapter 739, 
          Statutes of 2006), which was designed to promote the 
          adoption of local hazard mitigation plans (LHMP) that meet 
          specified federal standards.  Under this provision, a local 
          jurisdiction is not eligible for the one hundred percent 
          cost share under the CDA Act unless it is located within a 




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          city and/or county that has adopted an LHMP as part of the 
          safety element of its general plan.  

          To date a number of cities and counties (Clovis, Coalinga, 
          Fresno, Huron, Kings County, Kingsburg, Mendota, Nevada 
          County, Sanger, Santa Cruz County, Selma, and Sutter 
          County) have adopted compliant LHMP plans.  Del Norte 
          County has not adopted an LHMP pursuant to existing law, 
          and is otherwise not eligible to receive the 100 percent 
          share of costs.  AB 1429 would exempt Del Norte from this 
          requirement.  Please note, Santa Cruz County is a 
          tsunami-affected jurisdiction, currently in compliance with 
          this requirement, however it is not included in this 
          measure.  

          On March 11, 2011, Governor Brown declared a state of 
          emergency for Del Norte, Humboldt, San Mateo, and Santa 
          Cruz counties, and on March 16, 2011, he declared a state 
          of emergency for Mendocino and San Luis Obispo counties.  
          The Governor declared "I certify that the recent tsunami 
          incident, coupled with California's other recent disasters, 
          is of such severity and magnitude that supplementary 
          federal assistance is necessary, as the effective response 
          is beyond the capabilities of the state and the affected 
          local governments."  

          On April 18, 2011, FEMA announced that federal disaster aid 
          will be available to the state and eligible local 
          governments and certain private nonprofit organizations on 
          a cost-sharing basis for emergency work and the repair or 
          replacement of facilities damaged by the tsunami wave surge 
          in Del Norte and Santa Cruz counties.  

                                         


                           PRIOR/RELATED LEGISLATION
           
           SB 1537 (Kehoe) Chapter 355, Statutes of 2008.   Added the 
          wildfires that occurred in southern California, commencing 
          on or about October 20, 2007, to the list of disasters 
          eligible for full state reimbursement of local agency costs 
          under the CDA Act. 

           SB 1764 (Kehoe) 2007-2008 Legislation Session.   Would have 
          required a local agency, on or after January 1, 2010, to 




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          obtain an annual certification by the State Fire Marshal 
          (SFM) to be eligible to receive a percentage for a state 
          share in excess of 75 percent.  Also, would have required 
          the SFM to specify the possible percentage a local agency 
          may receive in excess of the 75 percent based upon certain 
          criteria and regulations to be promulgated by SFM on or 
          before July 1, 2009.  (Vetoed by Governor)

           SB 1308 (Cox) Chapter 400, Statutes of 2008.   Included the 
          Angora Fire which occurred in the Lake Tahoe Basin 
          commencing June 24, 2007, to the list of disasters eligible 
          for full state reimbursement of local agency costs under 
          the CDA Act.

           AB 49 (Arambula) 2007-2008 Legislative Session  .  Would have 
          amended the CDA Act by adding the extreme cold weather that 
          occurred throughout California during the month of January 
          2007 to the list of specific events eligible for full state 
          reimbursement of local agency costs.  (Held in Assembly 
          Appropriations Committee.)  

           AB 1798 (Berg) Chapter 896, Statutes of 2006  .  Added the 
          severe rainstorms that occurred in selected counties in 
          Northern California from December 17, 2005, to January 3, 
          2006, to the list of disasters eligible for full state 
          reimbursement of local agency costs under the CDA Act.

           AB 2140 (Hancock) Chapter 739, Statutes of 2006.   
          Prohibited the state share for any eligible project from 
          exceeding 75% of total state eligible costs unless the 
          local agency is located within a city, county, or city and 
          county that has adopted a local hazard mitigation plan as 
          part of the safety element of its general plan, as 
          specified.  
           
          AB 2735 (Nava) Chapter 897, Statutes of 2006  .  Added the 
          severe rainstorms that occurred in selected counties in 
          Northern California from December 17, 2005, to January 3, 
          2006, to the list of disasters eligible for full state 
          reimbursement of local agency costs under the CDA Act.

           AB 164 (Nava and Bass) Chapter 623, Statutes of 2005  .  
          Added the severe storms, flooding, debris flows, and 
          mudslides that occurred in the Counties of Kern, Los 
          Angeles, Santa Barbara and Ventura in December 2004, 
          January 2005, February 2005, and March 2005, to the list of 




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          disasters eligible for full state reimbursement of local 
          agency costs under the CDA Act.

           SB 457 (Kehoe) Chapter 622, Statutes of 2005  .  Added the 
          severe rainstorms, floods, mudslides, and other events that 
          occurred in the Counties of Orange, Riverside, San 
          Bernardino, and San Diego during December 2004, January 
          2005, February 2005, March 2005, and June 2005 to the list 
          of disasters eligible for full state reimbursement of local 
          agency costs under the CDA Act.

           AB 1510 (Kehoe) Chapter 772, Statutes of 2004  .  Added the 
          Southern California wildfires that occurred during October 
          and November 2003 and the San Simeon earthquake that 
          occurred during December 2003 to the list of disasters 
          eligible for full state reimbursement of local agency costs 
          under the CDA Act.

           SB 438 (Soto and Hollingsworth) 2003-2004 Legislative 
          Session  .  Would have amended the CDA Act by adding the 
          wildfires that occurred in Southern California beginning 
          October 21, 2003, and the December 22, 2003, San Simeon 
          earthquake to the list of disasters eligible for full state 
          reimbursement of local agency costs.  (Vetoed by the 
          Governor)

           SUPPORT:   As of June 24, 2011:

          Del Norte County Board of Supervisors (sponsor)
          California Association of Counties

           OPPOSE:   None on file as of June 24, 2011.

           FISCAL COMMITTEE:   Senate Appropriations Committee

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