BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 1253
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          Date of Hearing:   June 13, 2012

                          ASSEMBLY COMMITTEE ON AGRICULTURE
                              Cathleen Galgiani, Chair
                     SB 1253 (Runner) - As Amended:  June 6, 2012

           SENATE VOTE  :  32-4
           
          SUBJECT  :  28th District Agricultural Association: joint powers 
          agreement.

           SUMMARY  :  Allows the 28th District Agricultural Association 
          (DAA) to enter into a Joint Powers Agency (JPA) to operate, 
          maintain and improve the 28th DAA.  Specifically,  this bill  :   

          1)Allows the 28th DAA, with consent from the Secretary 
            (Secretary) of the California Department of Food and 
            Agriculture (CDFA), to form a JPA for the purpose of 
            operating, maintaining, and improving the 28th DAA facilities. 
             

          2)Requires the duties of the JPA to include aspects of planning, 
            designing and constructing property improvements, as 
            specified.

          3)Allows the JPA to be referred to as part of the network of 
            California fairs and may elect to be a member of the network 
            of California fairs, with the mutual consent of CDFA and the 
            JPA.

          4)Allows the JPA to accept donation of, acquire, own, sell, or 
            lease, real property and offer bonds for the purpose of 
            improving the facilities at the 28th DAA. 

             a)   Requires the JPA to not sell, divest or pledge real 
               property owned by the State of California without 
               legislative authorization or the consent of CDFA and the 
               California Department of General Services (DGS). 

          5)Allows the JPA to enter into contracts and hire employees. 

          6)Allows the JPA to manage, maintain, and operate the 
            facilities, or enter into management contracts for the 
            operation of the 28th DAA facilities. 









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          7)Requires any planning, designing, and constructing of 
            improvements to be in accordance with the powers of the JPA. 

          8)Allows civil service employees of the 28th DAA to have an 
            option to remain in state employment under contract to the JPA 
            or accept a position as an employee of the JPA. 

          9)Requires that any entity with whom the JPA contracts with to 
            manage the 28th DAA, allows every civil service employee of 
            the 28th DAA to have an option to remain in state employment 
            under contract to the JPA, or accept a position as an employee 
            of the JPA.  

          10)Allows the JPA to fill a vacant civil service position with a 
            non-civil service employee. 

          11)Specifies that the state is not liable for any debts, 
            liabilities, settlements, liens, or other obligations incurred 
            by or imposed upon the JPA. 

           EXISTING LAW:  

          1)Creates 54 DAAs in the state, with the powers and duties to 
            run county fairs.

          2)Allows for the formation of a JPA for the purpose of two or 
            more public agencies, by agreement, to jointly exercise any 
            power common to the contracting parties.

          3)Allows the 25th DAA in Napa County to enter into a JPA with 
            the City of Napa, for the purpose of establishing and 
            operating a Napa Center for Wine, Food, and the Arts facility, 
            and allows that, with the consent of the Secretary, a 
            nonprofit organization may hold an annual fair in lieu of the 
            annual fair held by the 25th DAA, as specified.

          4)Allows the state to transfer authority of the 50th DAA, the 
            Antelope Valley Fair, to a Joint Powers Agency.

          FISCAL EFFECT  :  This bill has been keyed fiscal by Legislative 
          Counsel.

           COMMENTS  :  CDFA's Division of Fairs and Expositions is 
          responsible for overseeing the 54 DAAs throughout the state that 
          make up the California network of fairs.  Each DAA operates with 








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          a degree of autonomy, with a board of directors appointed by the 
          governor, and in accordance with state law governing the 
          operation of state agencies.  DAAs contribute a great deal to 
          the State of California, including offering an opportunity to 
          highlight local community achievements, and in many cases, 
          recognize the agriculture of the local area.

          The 28th DAA encompasses the County of San Bernardino and is 
          located in Victorville, California.  Founded in 1946 on land 
          donated by local residents, the 28th DAA is the last California 
          fair operated along Route 66.  The 28th DAA annually holds 
          approximately 75-80 events and a nine-day county fair at the end 
          of May.  

          According to the author, this bill would allow the 28th DAA to 
          operate free of the constraints created by state bureaucracy and 
          provide a higher level of accountability at a local level.  
          Further, this bill would allow the operation of the fair to be 
          closely aligned with local government, helping the fair to 
          better reflect the local area.   Supporters have stated that 
          with greater efficiency and closer links to local government, 
          this bill would assist the 28th DAA to operate more 
          successfully.  

          Opponents of this bill state that it may be premature.  In the 
          2011-2012 budget, Governor Jerry Brown (Governor) instructed 
          CDFA to develop a plan for the future operation and maintenance 
          of the Network of California Fairs.  CDFA convened a group of 
          stakeholders in 2011, which delivered an informal draft 
          comprehensive plan for the fairs to the Governor.  Opponents 
          suggest that the bill should wait until the Governor introduces 
          his comprehensive plan.

          SB 1085 (Runner), Chapter 320, Statutes of 2010, allowed the 
          50th DAA, with the consent of the Secretary of CDFA, to enter 
          into a joint powers agreement with a JPA for the purpose of 
          operating, maintaining and improving the 50th DAA.  This bill is 
          similar to SB 1085 (Runner). The main difference is the 50th DAA 
          had a specific JPA partner, the City of Lancaster. 

           
          RELATED LEGISLATION  :

          AB 2345 (Ma) of 2012, would create a California Fair Network 
          Commission to provide a new governance structure for fairs in 








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          California.  This bill was held in the Assembly Appropriations 
          Committee.

          AB 1204 (Dickinson) of 2011, would have expanded the authority 
          of the State Fair Leasing Authority (SFLA) by shifting the 
          California Exposition and State Fair in its entirety from the 
          state to SFLA.  This bill was held in the Assembly 
          Appropriations Committee.

          AB 2250 (Sharon Runner), Chapter 452, Statutes of 2008, allowed 
          state officers and employees of DAAs to receive compensation 
          from nonprofit corporations, as specified.

          SB 281 (Maldonado), Chapter 346, Statutes of 2007, required CDFA 
          to develop criteria, subject to the approval of DGS, for the 
          disposal of property by the DAA and the California Exposition 
          and State Fair.

          SB 1041 (Denham) of 2006, would have transferred, from DGS to 
          CDFA, the responsibility to annually prepare a program for the 
          DAA for delegating purchasing authority to the DAA.  This bill 
          was held in the Assembly Appropriations Committee.

           REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          28th DAA, San Bernardino County Fair (Sponsor)
          City of Hesperia
          Brad Mitzelfelt, San Bernardino County Supervisor, First 
          District
          Hesperia Recreation and Park District
          Coldwell Banker Commercial
          Purofirst Fire & Water Restoration
          High Desert Auto Supply, Inc.
          Sunset Hill & Victor Valley Memorial Parks & Mortuaries
          4  individuals
           
            Opposition 
           
          SEIU Local 1000

           
          Analysis Prepared by  :    Victor Francovich / AGRI. / (916) 
          319-2084 








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