BILL ANALYSIS                                                                                                                                                                                                    �



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          ASSEMBLY THIRD READING
          AB 2231 (Fuentes)
          As Amended  May 31, 2012
          Majority vote 

           LOCAL GOVERNMENT    7-0         APPROPRIATIONS      12-0        
           
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          |Ayes:|Smyth, Alejo, Bradford,   |Ayes:|Fuentes, Blumenfield,     |
          |     |Campos, Davis, Hueso,     |     |Bradford, Charles         |
          |     |Norby                     |     |Calderon, Campos, Davis,  |
          |     |                          |     |Gatto, Ammiano, Hill,     |
          |     |                          |     |Lara, Mitchell, Solorio   |
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          LOCAL GOVERNMENT    6-0                                         
           
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          |Ayes:|Smyth, Bradford, Davis,   |     |                          |
          |     |Hueso, Knight, Norby      |     |                          |
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           SUMMARY  :  Prohibits the repeal of a local ordinance placing 
          responsibility for sidewalk repair on a city, county, or city 
          and county unless the repeal is subsequently ratified by a 
          majority vote of the public.  Specifically,  this bill  :

          1)Requires that if a city, county, or city and county 
            (hereinafter, city or county) has an ordinance requiring that 
            city or county to repair sidewalks, a repeal of that ordinance 
            shall become effective only if the repealing ordinance is 
            approved by a majority of voters in a consolidated or general 
            election.
             
          2)Makes findings and declarations that these provisions 
            constitute a matter of statewide concern, and shall therefore 
            apply to charter cities and charter counties.  Such provisions 
            shall supersede any inconsistent provisions in the charter of 
            any city or county.

           EXISTING LAW  :

          1)Requires the owners of lots or portions of lots fronting on 
            any portion of a public street or place to maintain any 








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            sidewalk in such condition that the sidewalk will not endanger 
            persons or property and maintain it in a condition that will 
            not interfere with the public convenience in the use of those 
            works or areas, except as to those conditions created or 
            maintained by persons other than the owner.

          2)Requires the superintendent of streets, as defined, to provide 
            specified notice to the owner or person in possession of the 
            property fronting on that portion of the sidewalk out of 
            repair or pending reconstruction, to repair the sidewalk.  
            Under existing law, if the repair is not commenced within two 
            weeks after the notice has been provided, the superintendent 
            of streets shall make the repair and the cost of the repair 
            shall be imposed as a lien on the property.

          3)Requires voter approval in order for a number of actions to 
            take place, including:

             a)   An amendment to the Constitution;

             b)   The establishment or increase in various types of local 
               taxes or fees;

             c)   The issuance of certain bonds;

             d)   The establishment of certain special districts; and,

             e)   The sale of a public utility.

           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee, if the Commission on State Mandates determines that 
          this bill is a reimbursable mandate, the state will be liable 
          for the costs of the election and sidewalk repairs required to 
          be made between the decision to seek the election and the actual 
          election date. 

           COMMENTS  :  This bill would prohibit the repeal of a local 
          ordinance requiring a city or county, including charter cities 
          and charter counties, to repair sidewalks unless the repeal is 
          ratified by a majority vote of the public before it takes 
          effect.  This could potentially prevent cities like Los Angeles 
          with such ordinances from shifting financial responsibility for 
          sidewalk repairs onto adjacent property owners should the city 
          council vote to do so.  This measure is author-sponsored.








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          Under current law, the responsibility for repairing sidewalks 
          resides with the owner of the adjoining property, unless the 
          dangerous condition was created by another person.  The 
          locality's superintendent of streets is empowered to notice the 
          adjoining property owner of the damage, and if it remains 
          unrepaired after two weeks, the city or county may commence 
          repairs and impose the cost as a lien on the property.  Legal 
          liability for injuries caused by a broken sidewalk will differ 
          based on the individual circumstances.

          The author states that "in October 2011, the Los Angeles City 
          Council angered homeowners by considering a plan to repeal a 
          1974 ordinance that made the city responsible for sidewalk 
          repair.  For the last 30 years, the City assumed responsibility 
          for most sidewalk repairs, but has not maintained the sidewalks 
          or the trees.  Almost half of L.A.'s sidewalks are in some state 
          of disrepair, mostly due to tree roots pushing through concrete 
          and causing cracks."

          The author's office has identified seven cities that it believes 
          have sidewalk ordinances that may be affected by the provisions 
          of this bill:  Los Angeles, Oakland, Berkeley, Half Moon Bay, 
          Placentia, Burlingame, and Redlands. 

          According to a November 2011 Los Angeles Times article, the City 
          of Los Angeles voted to assume responsibility for sidewalk 
          repair in 1973, allocating $2 million for the work.  Federal 
          money for that work ran out in 1976.  Since 2000, the city has 
          spent about $95 million to replace 550 miles of sidewalk.  
          According to an October 20, 2011, report by the Daily News, the 
          City of Los Angeles has nearly 11,000 miles of sidewalks, about 
          4,700 miles of which still need repair.  The Los Angeles Times 
          reports that it can cost roughly $250,000 to $300,000 to repair 
          a mile of sidewalk.

          According to a Daily News article dated October 20, 2011, 
          between "$4 million and $6 million is spent �by the City of Los 
          Angeles] every year on liability claims, and the total cost 
          estimate to repair the sidewalks �in Los Angeles] is between 
          $1.2 billion and $1.5 billion."  A bond measure to fix the 
          city's sidewalks was put before the voters in 1998, but was 
          rejected.  A May 2010 article by the Los Angeles Times stated 
          that "the city spends $3 million to $5 million a year" to defend 








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          or settle cases arising from sidewalk-related "trip and fall" 
          injuries.

          Beginning in 2010, the Los Angeles City Council began 
          considering a variety of proposals for addressing the backlog of 
          broken sidewalks, including a requirement on home owners to make 
          repairs, as well as requiring repairs as a condition to the 
          close of escrow when a home is being sold, and continuing the 
          current policy of making temporary repairs using asphalt.  
          According to the author's office, the city council has not yet 
          taken action on this matter, but public discussion and debate 
          over the matter continue.

          An earlier version (February 24, 2012) of this bill was heard in 
          the Assembly Local Government Committee on April 18, 2012, where 
          it was approved on a 7-0 vote.  That version shifted financial 
          responsibility and legal liability for sidewalk repairs to the 
          relevant locality while prohibiting special assessments for 
          costs, but contained no voter ratification requirement.  After 
          being amended on April 23 to delete the shift in legal liability 
          to local governments, and further amended on May 25 to replace 
          the shift in financial responsibility with the voter 
          ratification requirement, the measure passed out of the Assembly 
          Appropriations Committee suspense file.  The measure later 
          failed passage on the Assembly Floor on May 30, 2012.  After 
          reconsideration was granted, the bill was amended to remove the 
          prohibition on assessment and re-referred back to the Assembly 
          Local Government Committee pursuant to Assembly Rule 77.2.

          According to the author, "AB 2231 simply ensures that the public 
          has a say if �c]ities or �c]ounties are trying to change their 
          ordinances on sidewalk repair and make homeowners foot the bill. 
           Particularly during difficult economic times, it seems that 
          local governments are putting an undue burden on homeowners, by 
          trying to pass on the financial responsibility for damage caused 
          by trees that were often planted by the government."  

          The California Association of Realtors supported an earlier 
          version of the measure, contending that "California's older 
          neighborhoods are suffering from high levels of sidewalk 
          disrepair due to trees planted by local governments?AB 2231 
          (Fuentes) rightfully stops local governments from shirking 
          responsibility for these sidewalks and protects property owners 
          from huge repair and legal costs for damages they did not 








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          produce."

          The League of California Cities and the California State 
          Association of Counties oppose the current version of the bill 
          primarily because of its impact on local financial 
          decision-making: "Local governments make every attempt to fund 
          sidewalk repair, and have used a variety of funds to pay for 
          sidewalk repair including redevelopment funds, federal Community 
          Development Block Grants, gasoline tax revenues, and Safe Routes 
          to Schools programs. Unfortunately, all of these funds are 
          either obsolete or in jeopardy of significant cuts.  If cities 
          and counties are unable to find another solution, which 
          sometimes may include updating an ordinance or asking property 
          owners to share the cost of repair, sidewalks will simply remain 
          in a state of disrepair?The ability for city councils and county 
          boards of supervisors to decide how best to balance 
          infrastructure needs is absolutely critical given shrinking 
          resources available to local governments."

          The City of Los Angeles opposes the bill in its current form, 
          stating "�s]idewalk repair is clearly a matter of local concern 
          and should remain so.  This measure disrupts the local 
          legislative process and substitutes the state's legislative 
          interests.  The City of Los Angeles has a deficit of $238 
          million and its budget is already extremely limited?While 
          well-intentioned, AB 2231 would tie our hands by making it 
          difficult for us to address the ongoing issue of deferred 
          maintenance on sidewalks by enacting unnecessary restrictions in 
          state law." 

          It should be noted that, because the voter ratification required 
          by this bill applies only to the repeal of a sidewalk repair 
          ordinance, amendments to an existing ordinance that fall short 
          of outright or constructive repeal may not require voter 
          approval.

          The Legislature may wish to ask the author to address the policy 
          justification for imposing a voter ratification requirement on 
          what has traditionally been a matter of local concern.  

          As noted above, California requires voter approval of 
          legislative action in limited cases, such as constitutional 
          amendments, creation or increase of certain taxes or fees, bond 
          issuances, establishment of certain special districts, and the 








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          sale of a public utility.  The Legislature also previously 
          considered a measure AB 2892 (Swanson) in 2008 that would have 
          imposed a two-thirds voter ratification requirement on any state 
          decision to spray an aerial pesticide in an urban area.  The 
          Assembly Elections and Redistricting Committee analysis for that 
          bill noted that "�s]ubjecting rational government action to a 
          direct vote of the people will make it very difficult to respond 
          in a timely manner.  It will also set a legislative precedent 
          that could lead to other direct democracy decisionmaking."  

          The Legislature may wish to discuss whether or not the 
          imposition of a local ratification requirement for sidewalk 
          repair is in keeping with its understanding of the municipal 
          affairs doctrine, and whether or not it sets a precedent for 
          imposing similar requirements in other areas of local 
          decisionmaking. 

          In 2008, the Assembly Local Government Committee heard AB 1985 
          (Strickland), which would have repealed current laws regarding 
          sidewalk repairs, and held liable the owner of the property on 
          which the sidewalk is located for all repairs and maintenance of 
          the sidewalk.  That bill failed passage (2-5) in the Committee 
          on April 9, 2008.

          This bill is keyed a state mandate which means that if the 
          Commission on State Mandates deems this a reimbursable mandate, 
          then the state could be responsible for the local election costs 
          associated with this bill. 

          Support arguments:  According to the California Business 
          Properties Association, "AB 2231 will simply assure that before 
          a local government can shift the responsibility onto private 
          property owners, those that are being asked to bear the new 
          costs of liability, have a chance to voice their opinion about 
          the shift in policy."

          Opposition arguments:  According to the League of California 
          Cities, "�t]his bill creates a dangerous precedent, undermines 
          the role of city councils and county boards of supervisors, and 
          creates a disincentive for local governments to assist with the 
          costs of sidewalk repair." 
           

          Analysis Prepared by  :    Hank Dempsey / L. GOV. / (916) 319-3958 








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