BILL ANALYSIS                                                                                                                                                                                                    �



                                                                AB 2108
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        ASSEMBLY THIRD READING
        AB 2108 (Eggman)
        As Amended  May 13, 2014
        Majority vote 

         LOCAL GOVERNMENT    8-0         WATER, PARKS & WILDLIFE    13-0  
         
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        |Ayes:|Achadjian, Levine, Alejo, |Ayes:|Rendon, Allen, Bocanegra, |
        |     |Bradford, Gordon, Wagner, |     |Dahle, Fong, Frazier,     |
        |     |Mullin, Waldron           |     |Beth Gaines, Gatto,       |
        |     |                          |     |Gomez, Gonzalez,          |
        |     |                          |     |Patterson, Rodriguez,     |
        |     |                          |     |Yamada                    |
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         APPROPRIATIONS      17-0                                        
         
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        |Ayes:|Gatto, Bigelow,           |     |                          |
        |     |Bocanegra, Bradford, Ian  |     |                          |
        |     |Calderon, Campos,         |     |                          |
        |     |Donnelly, Eggman, Gomez,  |     |                          |
        |     |Holden, Jones, Linder,    |     |                          |
        |     |Pan, Quirk,               |     |                          |
        |     |Ridley-Thomas, Wagner,    |     |                          |
        |     |Weber                     |     |                          |
        |-----+--------------------------+-----+--------------------------|
        |     |                          |     |                          |
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         SUMMARY  :  Makes a number of changes to the statutes relating to  
        flood management in the Sacramento-San Joaquin Valley.   
        Specifically,  this bill  :  

        1)Allows the Central Valley Flood Protection Board (Flood Board) to  
          determine, in its sole discretion, that preconstruction planning  
          or design activities of a flood protection system by the local  
          flood management agency are sufficient to constitute adequate  
          progress.

        2)Requires a determination by the Flood Board pursuant to 1) above,  
          to expire 18 months after it is made unless either of the  
          following occurs:

           a)   The flood protection system has progressed to construction;  








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             or,

           b)   The local flood management agency submits a report to the  
             Flood Board, in the form and manner prescribed by the Flood  
             Board, showing that adequate progress continues to be made.   
             Specifies that if the Floor Board determines, in its sole  
             discretion, that adequate progress is continuing, this  
             subsequent determination shall expire 18 months after it is  
             made.

        3)Adds to the definition of "adequate progress" that critical  
          features of the flood protection system are being planned or  
          designed and a determination of the Flood Board, if any, pursuant  
          to 1) and 2) above, has not expired.

        4)Allows a discretionary permit to be issued if it will not result  
          in more than a 50% increase in building occupancy.

        5)Revises language related to a flood management agency making  
          adequate progress toward a flood protection system, as specified,  
          with respect to the prohibition in existing law of approving new  
          development (specifically for development agreements, development  
          permits, and tentative maps) in a flood hazard zone, unless the  
          city or county makes certain findings.
         


        FISCAL EFFECT  :  According to the Assembly Appropriations Committee:

        1)Increased annual costs to the board in the $300,000 to $600,000  
          range.
         
        2)According to the Department of Water Resources, there are 85  
          cities and 33 counties involved with flood control within the  
          Sacramento-San Joaquin Valley.  This estimate assumes the board  
          would receive at least 10 requests for determination of adequate  
          progress per year.

         COMMENTS  :   

        1)Background and previous legislation.  The State Plan of Flood  
          Control is a document of existing state and federal flood control  
          works, protection systems, lands, programs, plans, conditions,  
          modes of operations, and maintenance of the Sacramento River Flood  








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          Control Project, Sacramento River, and San Joaquin River  
          watersheds.  SB 5 (Machado), Chapter 364, Statutes of 2007,  
          required DWR and the Flood Board to prepare and adopt a Central  
          Valley Flood Protection Plan by 2012, and established certain  
          flood protection requirements for certain local land-use decisions  
          consistent with the Central Valley Protection Plan.

          Under SB 5, each city and county within the Sacramento-San Joaquin  
          Valley was required to amend its general plan within two years of  
          the Flood Board's adopting the Flood Plan.  A city or county  
          within the Sacramento-San Joaquin Valley must amend its zoning  
          ordinance to make it consistent with its general plan within 36  
          months of the Flood Board's adopting the Flood Plan.  Once a city  
          or county completes the update to its general plan and amendment  
          to the zoning ordinance, it is prohibited from entering into a  
          development agreement for property located within a flood hazard  
          zone, unless a city or county makes specific findings.

          SB 1278 (Wolk), Chapter 553, Statutes of 2012, revised flood  
          hazard planning and development requirements for those cities and  
          counties located in the Sacramento-San Joaquin Valley.  SB 1278  
          required each city and county to amend its general plan, within 
          24 months of July 2, 2013, with additional information about the  
          locations of flood hazard zones, locations of undetermined risk  
          areas, as the bill defines, and other locations, as specified.   
          This bill also required each city and county to amend zoning  
          ordinances to be consistent with the amended general plan, no more  
          than 12 months from the amendment 
          of the general plan.  

          Additionally, SB 1278 added a new exception to the existing  
          prohibition that a legislative body of a city or county within the  
          Sacramento-San Joaquin Valley cannot enter into a development  
          agreement for property that is located within a flood hazard zone,  
          unless the city or county finds, based on substantial evidence in  
          the record, that the property in an undetermined risk area has met  
          the urban level of flood protection based on substantial evidence  
          in the record.

          AB 1259 (Olsen), Chapter 246, Statutes of 2013, enacted conforming  
          changes as a follow-up to SB 1278 (Wolk), Chapter 553, Statutes of  
          2012, and AB 1965 (Pan), Chapter 554, Statutes of 2012.  AB 1259  
          added, to the section of law dealing with discretionary and  
          ministerial permits, a provision that allows the city or county to  








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          approve a development agreement if a finding can be made, based on  
          substantial evidence in the record, that the property in an  
          undetermined risk area has met the urban level of flood  
          protection.

        2)Purpose of this bill.  This bill makes a number of changes to the  
          statutes related to development in a flood hazard zone in the  
          Sacramento-San Joaquin Valley.  The bill authorizes the Flood  
          Board, in its sole discretion, to determine that preconstruction  
          planning or design activities of a flood protection system by the  
          local flood management agency are sufficient to constitute  
          adequate progress, and would end this determination 18 months  
          after it is made unless the flood protection system has progressed  
          to construction or the local flood management agency submits a  
          report to the Flood Board showing that adequate progress continues  
          to be made, at which point the Flood Board could make a subsequent  
          determination that adequate progress is continuing, and grant  
          another 18-month extension.  This bill also revises the definition  
          of adequate progress, and allows permits for new unoccupied  
          structures and remodels of existing structures, as long as  
          occupancy of those existing structures is not increased by more  
          than 50%.  Lastly, the bill revises language related to a flood  
          management agency making adequate progress toward a flood  
          protection system, as specified, with respect to the prohibition  
          in existing law of approving new development (specifically for  
          development agreements, development permits, and tentative maps)  
          in a flood hazard zone, unless the city or county makes certain  
          findings.

          This bill is author-sponsored.

        3)Author's statement.  According to the author, "Under SB 5  
          (Machado), Chapter 364, Statutes of 2007, Sacramento-San Joaquin  
          Valley cities and counties are prohibited from entering into any  
          development agreement, approve any discretionary permits,  
          discretionary entitlements or ministerial permits or approve any  
          tentative maps or parcel maps after June 2, 2016, for any flood  
          hazard zone unless the adequacy of flood protection specific to  
          that area has been demonstrated.  That adequate standard is  
          so-called "200-year" flood protection, meaning that it must  
          provide protection against a level of flood that has a .5% chance  
          of occurring in any given year.

          "The standards are proving cost prohibitive to developers, and the  








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          affected communities are not capable of financing sufficient flood  
          protection infrastructure on their own.  Further, most if not all  
          of the affected communities depend on developer impact fees to  
          fund flood protection improvements, but developers will find it  
          more attractive and viable to move their development projects to  
          less-developed greenfield areas.  These communities are also  
          subject to 100-year (1% chance in any given year) flood protection  
          standards, and have their own additional requirements.  The de  
          facto moratorium that will occur is economically devastating to  
          these communities, and undermines their smart growth and  
          sustainability policies, as well as other significant state policy  
          goals in the areas of development and transportation and  
          greenhouse gas emissions reduction.  AB 2108 attempts to continue  
          progress toward achieving the needed flood protection for those  
          urban communities, by the state mandate of 2025, while at the same  
          time easing barriers to infill development consistent with  
          sustainable city planning."

        4)Arguments in support.  Supporters note that this bill ensures that  
          an unnecessary building moratorium does not stop smart development  
          as well as the funding stream necessary to meet long-term flood  
          protection goals.

        5)Arguments in opposition.  None on file.

         
        Analysis Prepared by  :    Debbie Michel / L. GOV. / (916) 319-3958 

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