BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair


          AB 2231 (Fuentes) - Sidewalk repair ordinances: voter approval 
          for repeal.
          
          Amended: June 28, 2012          Policy Vote: G&F 5-1
          Urgency: No                     Mandate: Yes
          Hearing Date: August 6, 2012                           
          Consultant: Mark McKenzie       
          
          This bill meets the criteria for referral to the Suspense File. 

          
          Bill Summary: AB 2231 would require voter approval to repeal an 
          existing city or county ordinance that requires the local entity 
          to repair sidewalks.  The bill would also prohibit a city or 
          county that has such an ordinance in place from charging 
          property owners for sidewalk repairs unless the owner consents 
          to the charge.

          Fiscal Impact: 
          Unknown reimbursable state mandated costs related to the 
          requirement to place an item on the ballot to repeal an existing 
          ordinance, and to potentially pay for any necessary sidewalk 
          repairs prior to an election.  Affected local entities would be 
          entitled to reimbursement of costs associated with an election 
          and may also claim reimbursement for any necessary sidewalk 
          repairs between the decision to seek the election and the actual 
          election date (see staff comments).

          Background: Existing law generally requires property owners of 
          lots that face public streets to maintain the sidewalks, unless 
          a dangerous condition is caused by persons other than the 
          property owner.  If a sidewalk is out of repair or pending 
          reconstruction, local officials are required to provide a 
          specified notice to the property owner to repair the sidewalk.  
          If the repair is not commenced within two weeks of the notice, 
          the superintendent of streets must make the repair and impose 
          the cost as a lien on the property, as specified.  

          Existing law also authorizes the imposition of benefit 
          assessments on property owners to pay for sidewalk repairs, 
          subject to the notice, protest, and hearing requirements of 
          Proposition 218.  If a majority protest is not received from 








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          property owners, the legislative body may adopt a resolution to 
          establish an assessment district and levy the assessment to pay 
          for public improvements.  As an alternative to benefit 
          assessments, and only with the free and willing consent of 
          affected property owners, public agencies can use "voluntary 
          contractual assessments" to finance public improvements to 
          developed parcels.

          Some cities have enacted local ordinances or policies that make 
          the city responsible for paying costs of sidewalk repairs.  The 
          City of Los Angeles, for example, enacted an ordinance in 1974 
          that requires the city to repair curbs, driveways, and sidewalks 
          damaged as a result of tree root growth at no cost to the 
          adjoining property owner.  Faced with total sidewalk repair 
          costs that may exceed $1 billion in conjunction with ongoing 
          budget deficits, the Los Angeles City Council has considered a 
          number of options for financing the costs of sidewalk repair, 
          including a proposal last year to shift responsibility for 
          repairs to property owners.  More recent proposals under 
          consideration to pay for sidewalk repairs are a citywide bond, 
          formation of an assessment district, requiring a property owner 
          to make necessary repairs when utility service is requested, and 
          requiring a property owner to make repairs when a permit is 
          sought for other repairs.

          This bill is intended to prevent the unilateral shift of 
          responsibility for sidewalk repairs from a city or county to 
          property owners if the city or county has a current ordinance 
          that makes the local entity responsible for the costs of those 
          repairs.

          Proposed Law: AB 2231 would require approval of a majority of 
          voters in a consolidated or general election in order to repeal 
          an ordinance that requires a city, county, or city and county 
          that requires that entity to repair sidewalks.  The bill would 
          also prohibit a city or county that has such an ordinance in 
          place from imposing a fee, charge, or assessment against a 
          property owner for sidewalk repairs, unless a repeal of the 
          ordinance is approved by a majority of voters.  This prohibition 
          would not apply to voluntary contractual assessments.

          Staff Comments: The actual number of cities and counties that 
          have enacted an ordinance requiring that local entity to repair 
          sidewalks is unknown.  The author's office notes that the Cities 








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          of Los Angeles, Oakland, Half Moon Bay, Placentia, Berkeley, 
          Burlingame, and Redlands have enacted such ordinances.  Los 
          Angeles and Placentia have publicly contemplated placing 
          responsibility on property owners, and Half Moon Bay unanimously 
          approved an ordinance to place the liability of sidewalk and 
          tree maintenance on property owners on February 15, 2011.  

          This bill would place restrictions and barriers on a city or 
          county's ability to require property owners to pay for sidewalk 
          repairs if that local entity has a current ordinance requiring 
          that local entity to repair sidewalks.  Specifically, this bill 
          would require voter approval to repeal an existing ordinance 
          that was enacted by a simple majority vote of the governing 
          body, and would prohibit cities and counties that are currently 
          responsible for sidewalk repairs from imposing charges on 
          property owners to pay for those repairs.  

          AB 2231 would impose a state-mandate local program on those 
          cities and counties that may wish to repeal a current ordinance 
          by requiring that matter to be placed on the ballot in a 
          consolidated or general election.  In this instance, the bill 
          would impose new duties on cities and counties to comply with 
          all requirements necessary to place the item before the voters.  
          In addition, the Commission on State Mandates may determine that 
          reimbursement is warranted for any continued sidewalk repair and 
          maintenance costs incurred by the local entity between the time 
          in which the entity affirms the decision to place the matter on 
          the ballot and the election date.  Actual costs are unknown and 
          would depend upon the Commission's determinations of 
          reimbursable activities and costs, and the number of local 
          entities that seek to repeal an ordinance.

          AB 2231 would also limit the options available to cities and 
          counties to pay for sidewalk repairs by specifically prohibiting 
          the imposition of any fees, charges, or assessments on property 
          owners.  By limiting revenue generating options, this bill could 
          result in a reduction in local services associated with another 
          area of a local entity's budget.