BILL ANALYSIS                                                                                                                                                                                                    �



                                                                      



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          |SENATE RULES COMMITTEE            |                   SB 244|
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                                 THIRD READING


          Bill No:  SB 244
          Author:   Wolk (D), et al
          Amended:  5/18/11
          Vote:     21

           
           SENATE GOVERNANCE & FINANCE COMMITTEE  :  6-3, 4/27/11
          AYES:  Wolk, DeSaulnier, Hancock, Hernandez, Kehoe, Liu
          NOES:  Huff, Fuller, La Malfa

           SENATE APPROPRIATIONS COMMITTEE  :  6-3, 5/16/11
          AYES:  Kehoe, Alquist, Lieu, Pavley, Price, Steinberg
          NOES:  Walters, Emmerson, Runner


           SUBJECT  :    Land use:  general plan:  disadvantaged 
          unincorporated 
                      communities

           SOURCE  :     California Rural Legal Assistance Foundation
                      Policy Link


           DIGEST  :    This bill requires local agencies to plan for 
          specified disadvantaged communities through the Local 
          Agency Formation Commission planning process and general 
          plan updates.

           ANALYSIS  :    The Cortese-Knox-Hertzberg Act creates a Local 
          Agency Formation Commission (LAFCO) in each county to 
          control the boundaries of cities and most special 
          districts.  To plan for the future boundaries and service 
          areas of the cities and special districts, the LAFCO 
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          prepares a municipal service reviews for each entity and 
          use the information to adopt a sphere of influence for each 
          city and special district every five years.  Boundary 
          decisions by the LAFCOs must be consistent with the spheres 
          of influence of the affected cities or districts.  Many 
          disadvantaged unincorporated communities, such as county 
          islands, fringe communities, and isolated inhabited 
          communities, lack many basic public services, such as 
          domestic water, sanitary sewers, paved streets, storm 
          drains, and street lights.  With respect to the LAFCO 
          process, this bill: 

                 Defines a "disadvantaged inhabited community" as 
               inhabited area that is all or a portion of a community 
               in which the median household income is less than 80 
               percent of the statewide average, as specified.
                 Requires a LAFCO, when preparing municipal service 
               reviews, to include a written statement determining 
               the location and characteristics of any disadvantaged 
               inhabited community, including specified 
               infrastructure needs and deficiencies in disadvantaged 
               inhabited communities within or adjacent to a sphere 
               of influence.
                 Requires a LAFCO, when reviewing and updating a 
               city or special district sphere of influence that 
               occurs after July 1, 2012, to include the present and 
               probable needs for public facilities and services of 
               disadvantaged inhabited communities.  This would apply 
               to the sphere of influence of a city or special 
               district that provides sewer, municipal and industrial 
               water, or structural fire protection services or 
               facilities.
                 Requires a LAFCO to assess various alternatives, 
               including consolidation of governmental agencies, for 
               improving infrastructure and services within or 
               adjacent to a sphere of influence.

          Under current law, cities and counties are required to 
          adopt general plans that incorporate seven mandated 
          elements land use, circulation, housing, conservation, open 
          space, noise, and safety.  The only element of a general 
          plan that must be regularly updated is the housing element; 
          a total of 478 cities and 58 counties must submit housing 
          elements to the state once every five years, or an average 

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          of 107 per year.  Major land use decisions must be 
          consistent with a city or county's general plan.  

          This bill requires cities and counties, upon the next 
          general plan revision and any subsequent housing element 
          update, to review and update elements of the general plan 
          to include data and analysis, goals, policies, and 
          implementation measures to address unincorporated island, 
          fringe, or legacy communities.  Updated plans include:

                 Identification and mapping of each unincorporated 
               island or fringe community located within or adjacent 
               to a city, and each legacy community located in a 
               county.
                 Quantification and analysis of seven specified 
               conditions regarding deficient services, facilities, 
               and housing conditions.
                 Analysis of current programs and activities that 
               address those conditions, and an evaluation of the 
               feasibility of annexation of identified island or 
               fringe communities.
                 A statement of specific, quantified goals for 
               eliminating or reducing those conditions, and feasible 
               implementation measures to achieve these goals, 
               including an identification of resources and 
               timelines.  

           Comments
           
          The U.S. Census Bureau identifies a "census designated 
          place" (CDP) as the statistical counterpart of a city in 
          that it is a named place with a concentration of residents, 
          housing, and commercial activity, but located in a county's 
          unincorporated territory.  The 2000 Census identified 583 
          census designated places in California.  The Department of 
          Finance says that 159 of those CDPs had 2005-09 household 
          median incomes that were less than 80 percent of the 
          statewide household median income.  The 2010 Census 
          identified 1,043 CDPs in California and when fresh income 
          data become available in late 2011, many of them will be 
          considered disadvantaged.
          Some of these disadvantaged unincorporated communities are 
          county islands (mostly surrounded by cities), some are 
          fringe communities (at or near the edge of cities), and 

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          others are legacy communities (geographically isolated).

          Proposition 84 (2006) authorized $5.4 billion in state 
          bonds and specifically set aside $90 million for "planning 
          grants and planning incentives."  The Strategic Growth 
          Council manages these programs (SB 732 �Steinberg], Chapter 
          729, Statutes of 2008).  The Council has awarded $26 
          million in planning grants.  Concerned about the inequities 
          faced by disadvantaged communities, the Council will 
          prioritize 20 percent of each year's planning grants for 
          work that benefits economically disadvantaged communities.

          Many disadvantaged unincorporated communities lack public 
          services and even public facilities like domestic water, 
          sanitary sewers, paved streets, storm drains, and street 
          lights.  Some cities and special districts are reluctant to 
          annex these areas.  Advocates want legislators to require 
          local officials to include disadvantaged communities in 
          their long-range planning for land use and public 
          facilities.

           Prior Legislation
           
          SB 1174 (Wolk), of 2010 concentrated on local general 
          plans; the bill died on the Assembly Appropriations 
          Committee's suspense file.

          AB 853 (Arambula), of 2010 focused on the LAFCOs' municipal 
          service reviews, spheres of influence, and city annexation 
          procedures; Governor Schwarzenegger vetoed the bill as 
          "unnecessary."

          SB 194 (Florez), of 2010 looked at disadvantaged 
          communities' needs for public works funding; Governor 
          Schwarzenegger vetoed the bill as "unnecessary."

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

                          Fiscal Impact (in thousands)

           Major Provisions                2011-12     2012-13    
           2013-14   Fund  


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          Local planning mandate                                 
          significant local costs, not reimbursable              
          Local

           SUPPORT  :   (Verified  5/18/11)

          California Rural Legal Assistance Foundation (co-source)
          Policy Link (co-source)
          California Coalition for Rural Housing
          California Pan-Ethnic Health Network
          Catholic Charities-Diocese of Stockton
          Clean Water Action California
          Committee for a Better Seville
          Community Water Center
          Environmental Justice Coalition for Water
          Food and Water Watch
          Having Our Say
          Natural Resources Defense Council
          Planning and Conservation League
          Sierra Club-California
          Southern California Watershed Alliance
          Unitarian Universalist Legislative Ministry Network 
          California
          United for Change in Tooleville
          Urban Habitat
          Urban Semillas
          Winnemem Winte Tribe-Middle River People

           OPPOSITION  :    (Verified  5/18/11)

          American Planning Association-California Chapter
          California Association of Local Agency Formation 
          Commissions
          California State Association of Counties
          County of Los Angeles
          Cucamonga Valley Water District
          League of California Cities
          Regional Council of Rural Counties
          San Diego LAFCO


          AGB:do  5/18/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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