BILL NUMBER: SB 1120	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 20, 2012
	AMENDED IN SENATE  JUNE 14, 2012
	AMENDED IN SENATE  APRIL 9, 2012

INTRODUCED BY   Senator Berryhill

                        FEBRUARY 17, 2012

   An act to amend Section 5821 of the Streets and Highways Code,
relating to local government, and declaring the urgency thereof, to
take effect immediately.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1120, as amended, Berryhill. Maintenance districts:
property-related service fees.
   The California Constitution, with the exception of fees or charges
for sewer, water, and refuse collection services, conditions the
imposition or increase of a property-related fee or charge upon
approval by either a majority vote of the owners of the properties
subject to the fee or charge or, at the option of the agency imposing
the fee or charge, by a 2/3 vote of the voters residing in the area
affected by the fee or charge.
   Existing law authorizes a city or county to form a maintenance
district, and to levy an assessment for the support of that district.
Existing law authorizes a city or county that formed a maintenance
district to increase a fee or charge imposed by the district if it
complies with the procedures set out in the California Constitution,
including, if applicable, voter approval of that increased fee or
charge. Existing law defines ,  for purposes of these
provisions  , any reference to the  board of supervisors
 of a county  to include a city council.
   This bill would provide that  if an increase in a fee or
charge imposed by a maintenance district is rejected by the voters,
or if a fee or charge imposed by a maintenance district is reduced by
the voters by initiative, then  the board of supervisors
that is acting as the board of directors for a maintenance district
 is prohibited from subsidizing   shall not be
obligated to provide subsidies to  a district to cure any
deficiencies in funding of services provided by the district, if
specified requirements are met. This bill would provide that this
prohibition would not apply if the board of supervisors had agreed to
provide these subsidies to the district at the time of the formation
of the district.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated
local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 5821 of the Streets and Highways Code is
amended to read:
   5821.  (a) The board of supervisors may, in its resolution
declaring its intention to order work done or improvements made or by
separate resolution, declare its intention to order that the
expenses of maintaining and operating any or all of those
improvements or any or all other improvements that are permitted to
be constructed in that resolution, including the cost of necessary
repairs, replacements, fuel, power, electrical current, care,
supervision, and any and all other items necessary for the proper
maintenance and operation of those improvements, shall be assessed,
either partly or wholly, upon the real property or upon the land only
lying within the district to be benefited by and to be assessed to
pay the cost of the construction of  said   that
 improvement, or upon that district as the board of supervisors
shall determine will be benefited by the maintenance and operation
of the improvements proposed to be maintained; the amounts so
assessed to be levied and collected in the same manner and by the
same officers as taxes for county purposes are levied and collected.
   (b) (1)  If an increase in a property-related fee or
charge is rejected by the voters pursuant to paragraph (c) of Section
6 of Article XIII     D of the
California Constitution, or if an increase in a fee or charge is
reduced by the voters via an initiative pursuant to Section 3 of
Article XIII     C of the
California Constitution, the   The   
board of supervisors that is acting as the board of directors for the
district shall not  be obligated to  provide subsidies to
the district to cure any deficiencies in funding of the services
provided in the district, including for water, sewer, and refuse
collection, if  both   any  of the
following apply: 
   (A) The public entity fully complies with subdivision (b) of
Section 6 of Article XIII D of the California Constitution. 

   (B) The affected property owners have refused to allow the
imposition, extension, or increase of property-related fees or
charges for the service.  
   (A) The board of supervisors proposes to impose, extend, or
increase property-related fees or charges for the services, the board
fully complies with Section 6 of Article XIII D of the California
Constitution, and a majority of parcel owners submit a written
protest against the proposed imposition, extension, or increase,
pursuant to subdivision (a) of Section 6 of Article XIII D of the
California Constitution.  
   (B) The board of supervisors proposes to impose, extend, or
increase propertys related fees or charges for the services, the
board fully complies with Section 6 of Article XIII D of the
California Constitution, and the proposed imposition, extension, or
increase fails to get voter approval pursuant to subdivision (c) of
Section 6 of Article XIII D of the California Constitution. 

   (C) Property-related fees or charges for the services that comply
with Section 6 of XIII D of the California Constitution are reduced
or repealed by the voters via an initiative pursuant to Section 3 of
Article XIII C of the California Constitution. 
   (2) Paragraph (1) shall not apply if the board of supervisors had
undertaken the obligation to subsidize the district at the time of
the initial creation of the district as provided for in this chapter.

   (3) For purposes of this subdivision, "full compliance with
 subdivision (b) of  Section 6 of Article XIII D of
the California Constitution" means all of the following:
   (A) Revenues derived from the proposed fee or charge do not exceed
the funds required to provide the property-related service.
   (B) Revenues derived from the fee or charge are not used for any
purpose other than that for which the fee or charge was imposed.
   (C) The amount of the fee or charge imposed on any parcel or
person as an incident of property ownership does not exceed the
proportional cost of the service attributable to the parcel or
person.
   (D) The fee or charge is not imposed for a service unless and
until that service is actually used by, or immediately available to,
the property owner in question.
   (E) The fee or charge is not imposed for general government
services if the service is available to the public at large in
substantially the same manner it is to property owners.
   (F) The public entity has identified all parcels upon which the
fee or charge is proposed and calculated the amount of the fee or
charge to be imposed upon each identified parcel.
   (G) The public entity has provided a written notice by mail of the
proposed fee or charge to the record owner of each identified
parcel, in conformance with subdivision (c) of Section 6 of Article
XIII D of the California Constitution, and provided for all required
hearings.
  SEC. 2.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order to ensure the continued supply of reliable drinking water
and to prevent the cessation of services relating to water, sewage,
and garbage, it is necessary that this act take effect immediately.
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