BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 209|
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                              UNFINISHED BUSINESS


          Bill No:  SB 209
          Author:   Corbett (D), et al.
          Amended:  6/6/11
          Vote:     21

           
           SENATE TRANSPORTATION & HOUSING COMMITTEE  :  7-2, 3/29/11
          AYES:  DeSaulnier, Harman, Kehoe, Lowenthal, Pavley, Rubio, 
            Simitian
          NOES:  Gaines, Huff

           SENATE FLOOR  :  25-14, 4/25/11
          AYES:  Alquist, Blakeslee, Calderon, Corbett, Correa, De 
            Le�n, DeSaulnier, Evans, Hancock, Hernandez, Kehoe, Leno, 
            Lieu, Liu, Lowenthal, Negrete McLeod, Padilla, Pavley, 
            Price, Rubio, Simitian, Steinberg, Vargas, Wolk, Yee
          NOES:  Anderson, Berryhill, Cannella, Dutton, Emmerson, 
            Fuller, Gaines, Harman, Huff, La Malfa, Runner, 
            Strickland, Walters, Wyland
          NO VOTE RECORDED:  Wright

           ASSEMBLY FLOOR  :  55-19, 7/5/11 - See last page for vote


           SUBJECT  :    Common interest developments:  electric vehicle 
          charging 
                      stations

           SOURCE  :     Author


           DIGEST  :    This bill provides that a prohibition or 
          restriction on the installation or use of an electrical 
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          vehicle charging station in any of the governing documents 
          of a common interest development is void and unenforceable. 
           

           Assembly Amendments  clarify the definition of "electric 
          vehicle charging station," require disclosing to 
          prospective buyers the existence of any electric vehicle 
          charging station and the related responsibilities of the 
          homeowner specify the insurance policy required by the 
          homeowner covering the electric charging station shall be 
          an umbrella liability coverage policy in the amount of one 
          million dollars, and provide the common interest 
          development with a right to notice of cancelation of the 
          insurance policy.

           ANALYSIS  :    A common interest development (CID) is a form 
          of real estate in which each homeowner has an exclusive 
          interest in a unit or lot and a shared or undivided 
          interest in common area property.  Within a CID, exclusive 
          use common area is a part of the undivided common area that 
          is reserved for use by a particular homeowner, such as a 
          parking stall or patio.  Condominiums, planned unit 
          developments, stock cooperatives, community apartments, and 
          many resident-owned mobilehome parks all fall under the 
          umbrella of common interest developments.  Each CID is 
          governed by a homeowners' association board elected by the 
          members.  The members of the CID are bound by the CC&Rs 
          (covenants, conditions, and restrictions) that are recorded 
          against each individual unit.  In addition, associations 
          adopt articles of incorporation, articles of association, 
          and bylaws for the governance of the CID as well as 
          operating rules that govern the behavior of members and 
          their guests.  Collectively, these documents are referred 
          to as the governing documents of the association.  

          Current law voids CID governing documents in a number of 
          instances, such as where they prohibit or restrict solar 
          energy systems, low water-using plants, or displays on 
          non-commercial signs, including the American flag.   
           
           This bill provides that a provision of a CID governing 
          document that effectively prohibits or unreasonably 
          restricts the installation or use of an electrical vehicle 
          charging station is void and unenforceable.  This bill 

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          further:

          1. Defines an "electric vehicle charging station" as the 
             following: 

             A.    Designed in compliance with the California 
                Building Standards.

             B.    Delivers electricity from a source outside an 
                electric vehicle into one or more electric vehicles.

             C.    May include several charge points simultaneously 
                connecting several electric vehicles to the station.
              
             D.    Any related equipment needed to facilitate 
                charging plug-in electric vehicles. 

          2. Permits the application of reasonable restrictions on 
             electric vehicle charging stations. 

          3. Declares that it is the policy of the state to promote, 
             encourage, and remove obstacles to the use of electric 
             vehicle charging stations. 

          4. Defines "reasonable restrictions" as those that do not 
             significantly increase the cost of the station or 
             decrease its efficiency or performance. 

          5. Requires electric vehicle charging stations to meet 
             applicable health and safety standards and requirements 
             imposed by state and local permitting authorities. 

          6. Requires a homeowners association (HOA) to process and 
             approve a request to install an electric charging 
             station in the same manner as an architectural 
             modification to the property and to not willfully delay 
             or avoid approval. 

          7. Requires the approval or denial of an electric vehicle 
             charging station to be in writing. 

          8. Provides that if an application is not denied within 60 
             days from the date it is received the application will 
             be deemed approved unless the delay was a result of a 

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             reasonable request for additional information. 

          9. Provides that if an electric vehicle charging station is 
             to be placed in the common area or an exclusive use 
             common area, the owner must obtain approval to install 
             the electric vehicle charging station. 

          10.Provides that if an electric vehicle charging station is 
             to be placed in the common area or an exclusive use 
             common area, the homeowner must agree in writing to all 
             the following: 

             A.    Comply with the architectural standards for 
                installation.

             B.    Engage a licensed contractor to install the 
                station.

             C.    Within 14 days of approval provide a certification 
                of insurance that names the HOA as an additional 
                insurer under the homeowner's insurance policy.
              
             D.    Pay for the electricity usage associated with the 
                station. 

          11.Requires that any owner and each successive owner of the 
             parking stall on which or near where the electric 
             vehicle charging station is placed is responsible for 
             all of the following: 

             A.    Cost for any damage to the station, common areas, 
                exclusive common areas, or adjacent units resulting 
                from the installation, maintenance, repair, removal 
                or replacement of the station.

             B.    Cost for the maintenance, removal, repair and 
                replacement of the electric vehicle charging station 
                until it has been removed from the common area or 
                exclusive use common area.

             C.    The cost of electricity associated with the 
                station. 

             D.    Disclosing to prospective buyers the existence of 

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                any electric vehicle charging station and the related 
                responsibilities of the homeowner. 

          12.Requires any homeowner and each successive homeowner to 
             maintain an umbrella liability coverage policy for $1 
             million and name the HOA as an additional insured under 
             the policy with a right to notice of cancellation. 

          13.Provides that an HOA that willfully violates this 
             section is liable for actual damages and shall pay a 
             civil penalty to the applicant in an amount not to 
             exceed $1,000. 

          14.Provides in any action to enforce compliance with this 
             section the prevailing plaintiff is entitled to 
             reasonable attorney fees. 

           Related legislation  .  SB 730 (Kehoe) requires a city or 
          county to make available an online building permit form for 
          residential and nonresidential property owners who seek to 
          install electric vehicle charging equipment, to approve 
          such permits within 24 hours of receipt, and to review the 
          work completed under the permit within seven days.  

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

           SUPPORT  :   (Verified  7/6/11)

          Alliance of Automobile Manufacturers
          American Lung Association
          Bay Area Air Quality Management District
          California Electric Transportation Coalition
          Natural Resources Defense Council
          Plug In America
          South Coast Air Quality Management District
          Tesla Motors
          Union of Concerned Scientists

           OPPOSITION  :    (Verified  7/6/11)

          Community Associations Institute

           ARGUMENTS IN SUPPORT  :    According to the author's office, 

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          in order for electric vehicles to proliferate, it is 
          important that early consumers have a positive experience.  
          Installing a home charging station is one of the key 
          elements to electric vehicle ownership, and according to 
          the author's office, incidences of CIDs blocking the 
          installation of electric vehicle chargers have arisen.  If 
          such prohibitions or restrictions become common, 
          Californians living in CIDs will be shut out of driving 
          clean electric vehicles.  This bill seeks to eliminate 
          obstacles that currently impact or will impact electrical 
          vehicle owners in CIDs.  By facilitating home stations, 
          this bill will also encourage off-peak charging for 
          electric vehicles, thereby reducing the impact on the 
          electric grid.


           ASSEMBLY FLOOR  :  55-19, 7/5/11
          AYES:  Alejo, Allen, Ammiano, Atkins, Beall, Block, 
            Blumenfield, Bonilla, Bradford, Brownley, Buchanan, 
            Butler, Campos, Carter, Cedillo, Chesbro, Dickinson, Eng, 
            Feuer, Fletcher, Fong, Fuentes, Furutani, Galgiani, 
            Gatto, Gordon, Hayashi, Roger Hern�ndez, Hill, Huber, 
            Hueso, Huffman, Jeffries, Jones, Lara, Bonnie Lowenthal, 
            Ma, Mendoza, Miller, Mitchell, Monning, Nestande, Pan, 
            Perea, V. Manuel P�rez, Portantino, Skinner, Smyth, 
            Solorio, Swanson, Torres, Wieckowski, Williams, Yamada, 
            John A. P�rez
          NOES:  Achadjian, Bill Berryhill, Cook, Donnelly, Beth 
            Gaines, Garrick, Grove, Hagman, Halderman, Harkey, 
            Knight, Mansoor, Morrell, Nielsen, Norby, Olsen, Silva, 
            Valadao, Wagner
          NO VOTE RECORDED:  Charles Calderon, Conway, Davis, Gorell, 
            Hall, Logue


          JJA:mw  7/6/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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