BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                  AB 2697|
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                                 THIRD READING


          Bill No:  AB 2697
          Author:   Assembly Housing and Community Development 
          Committee
          Amended:  8/22/12 in Senate
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMM.  :  9-0, 6/26/12
          AYES:  DeSaulnier, Gaines, Harman, Kehoe, Lowenthal, 
            Pavley, Rubio, Simitian, Wyland
           
          ASSEMBLY FLOOR  :  75-0, 5/17/12 (Consent) - See last page 
            for vote


           SUBJECT  :    Housing Omnibus bill

           SOURCE  :     Author


           DIGEST  :    This bill makes non-controversial changes to 
          sections of law relating to housing.

           Senate Floor Amendments  of 8/22/12 add double-jointing 
          language with AB 1838 (Calderon).

           ANALYSIS  :    This bill includes the following provisions:

          1.  Incorrect cross-reference in the Mobilehome Residency 
             Law (Section 1)  .  SB 11 (Correa), Chapter 558, Statutes 
             of 2009, reorganized and renumbered various sections in 
             the Mobilehome Residency Law.  One of the affected 
             sections was the old Civil Code Section 798.42, which 
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             became Section 798.39.5.  Another section of the Civil 
             Code contains a cross-reference to that section that was 
             not updated in SB 11.  This bill updates the 
             cross-reference.

          2.  Heating standards (Section 2)  .  When SB 800 (Burton), 
             Chapter 722, Statutes of 2002, relating to construction 
             defects was enacted, most standards specified in the 
             bill constituting "defects" were general in nature.  The 
             standard for heating was specific, however, requiring 70 
             degrees and specific measurements, consistent with the 
             requirements of the 2004 California Building Code (in 
             effect through 2007).  Beginning on January 1, 2008, the 
             2007 California Building Code lowered the minimum 
             temperature requirement to 68 degrees, and thereafter, 
             the measurement standards also changed.  This bill 
             updates the SB 800 "defect" standard for heating to 
             reference the old and new building code standards, 
             depending on the date of the building permit 
             application. 

          3.  Common interest development (CID) electronic emergency 
             meetings (Section 3)  .  SB 563 (Senate Transportation and 
             Housing Committee), Chapter 257, Statutes of 2011, 
             amended the open meeting portion of the Davis-Stirling 
             Common Interest Development Act to prohibit generally 
             CID boards from taking action on items of business 
             outside of an open meeting but specifically allowed a 
             CID board to conduct an electronic (e.g., e-mail) 
             meeting in an emergency situation if all the members of 
             the board consent in writing to actions taken in the 
             electronic emergency meeting.  Practitioners have raised 
             a concern that the language of 
          SB 563 can be interpreted to require unanimous consent for 
             a CID board to hold any emergency meeting at all, 
             electronic or otherwise, which was not the intent of SB 
             563.  This bill corrects that drafting error by 
             clarifying that the written consent of all members of a 
             CID board is only required for the board to take actions 
             in an electronic emergency meeting, not to hold an 
             emergency meeting generally.  

          4.  CID teleconference meetings (Section 3)  .  SB 563, of 
             2011, allowed CID boards to meet via teleconference 

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             provided that there is at least one physical location 
             where members of the association may attend and 
             participate and at least one member of the board is 
             present at that location.  In some associations, 
             particularly vacation communities, no board members may 
             live on site making it difficult for a board member to 
             be present at the assigned location where association 
             members may participate in the teleconference.  This 
             bill allows the board to designate someone other than a 
             board member to be present at the assigned location.

          5.  Disclosure of CID rental restrictions (Section 4)  .  
             Existing law requires the owner of a separate interest 
             in a CID to provide prospective purchasers with a 
             variety of information, including if there is a 
             provision in the governing documents that prohibits the 
             rental or leasing of any of the separate interests and a 
             statement describing the prohibition and its 
             applicability.  The California Association of Community 
             Managers argues that requiring a description of the 
             rental restrictions is sufficient and that going further 
             by requiring associations to interpret or describe "its 
             applicability" seems unnecessary and could create 
             confusion.  This bill deletes the phrase "and its 
             applicability."

          6.  Time limit on the display of manufactured home (Section 
             5)  .  Under existing law, a manufactured home dealer can 
             display a model home at a fair or another similar 
             location, such as a shopping mall, but only for 30 days 
             at a time.  These sorts of displays are valuable for 
             dealers in educating the public about manufactured 
             housing, but the 30-day limit creates a substantial 
             obstacle given the cost and time involved in setting up 
             a model for display.  Manufactured home dealers believe 
             that they can effectively negotiate time limits for 
             these displays with property owners and believe that a 
             statutory time limit is unnecessary.  This bill deletes 
             the 30-day limit.

          7.  Incorrect cross-reference in the Building Standards Code 
             (Section 6) .  Health and Safety Code Section 18942(b) 
             contains a cross-reference to the California Building 
             Code (Title 24, Part 2, California Code of Regulations) 

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             that is no longer applicable.  During the 2010 Triennial 
             Code Cycle, the California Building Standards Commission 
             adopted the California Residential Code (Title 24, Part 
             2.5, California Code of Regulations) as the building 
             code applicable to the construction of one- and 
             two-family dwelling units effective January 1, 2011.  
             This bill references the correct building code in Health 
             and Safety Code Section 18942(b). 

          8. Contains double-jointing language with AB 1838 
             (Calderon).

           Comments
           
           Purpose of this bill  .  The Assembly Housing and Community 
          Development Committee is authoring this bill as a means of 
          combining multiple, non-controversial changes to statutes 
          into one bill, so that the Legislature can make minor 
          amendments in a cost-effective manner.  There is no known 
          opposition to any item in this bill, and if concerns arise 
          that cannot be resolved, the provision of concern will be 
          deleted from this bill.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   
          Local:  No

           SUPPORT  :   (Verified  7/3/12)

          California Manufactured Housing Institute


           ASSEMBLY FLOOR  :  75-0, 5/17/12
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, 
            Bill Berryhill, Block, Blumenfield, Bonilla, Bradford, 
            Brownley, Buchanan, Butler, Charles Calderon, Campos, 
            Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson, 
            Donnelly, Eng, Feuer, Fong, Fuentes, Furutani, Beth 
            Gaines, Galgiani, Garrick, Gatto, Gordon, Gorell, Grove, 
            Hagman, Halderman, Hall, Harkey, Hayashi, Roger 
            Hern�ndez, Hill, Huber, Hueso, Huffman, Jeffries, Jones, 
            Knight, Lara, Logue, Ma, Mansoor, Mendoza, Miller, 
            Mitchell, Monning, Morrell, Nestande, Nielsen, Norby, 
            Olsen, Pan, V. Manuel P�rez, Portantino, Silva, Smyth, 
            Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski, 

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            Williams, John A. P�rez
          NO VOTE RECORDED:  Fletcher, Bonnie Lowenthal, Perea, 
            Skinner, Yamada


          JJA:k  8/22/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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