Amended in Senate June 2, 2014

Amended in Assembly March 28, 2014

California Legislature—2013–14 Regular Session

Assembly Bill No. 2174

Introduced by Committee on Accountability and Administrative Review (Assembly Members Frazier (Chair), Achadjian (Vice Chair), Buchanan, Ian Calderon, Cooley, Medina, and Quirk-Silva)

February 20, 2014

An act relating to state property, and making an appropriation therefor.

LEGISLATIVE COUNSEL’S DIGEST

AB 2174, as amended, Committee on Accountability and Administrative Review. State property: surplus.

Existing law authorizes the Director of General Services to dispose of state surplus property, subject to specified conditions, including authorization by the Legislature. The California Constitution provides that the proceeds from the sale of surplus state property be used to pay the principal and interest on bonds issued pursuant to the Economic Recovery Bond Act until the principal and interest on those bonds are fully paid, after which these proceeds are required to be deposited into the Special Fund for Economic Uncertainties. Existing statutory law similarly requires that the net proceeds received from any real property disposition be paid into the Deficit Recovery Bond Retirement Sinking Fund Subaccount, a continuously appropriated fund, until the bonds issued pursuant to the act are retired. begin insert Existing law creates the Unemployment Compensation Disability Fund, which is continuously appropriated for the purpose of providing and administrating disability benefits. end insert

This bill would authorize the director to dispose of specified parcels of surplus state property. begin insert This bill would also specify the treatment of state and federal equity reimbursements in one of the properties being so disposed. end insert By increasing the begin delete amount end delete begin insert amounts end insert transferred into begin delete a end delete continuously appropriated begin delete fund, end delete begin insert funds, end insert this bill would make an appropriation.

Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

(a) The Director of General Services may sell,
exchange, sell combined with an exchange, or lease for fair market
value, upon those terms and conditions as the Director of General
Services determines are in the best interests of the state, all or any
part of the following real property pursuant to Section 11011.1 of
the Government Code:

(1) Parcel 1, consisting of approximately 0.434 acres and
improvements, known as the Employment Development
Department parking lot located at 850 Turk Street in San Francisco,
San Francisco County Assessor Parcel Number 0744-006.

(2) Parcel 2, consisting of three parcels of approximately 0.29
acres and improvements, known as the Employment Development
Department parking lot located at 700 Golden Gate Avenue in San
Francisco, San Francisco County Assessor Parcel Numbers
0761-002, 0761-003, and 0761-022.

(3) Parcel 3, consisting of approximately 1.5 acres and
improvements, known as the Department of General Services’
Bercut Drive Building, located at 570 Bercut Drive, in Sacramento,
Sacramento County begin insert Assessor Parcel Number 01-0181-028 end insert .

begin insert

(4) Parcel 4, consisting of approximately 1.1 acres and
improvements, known as the Department of Public Health lab
facility located at 1449 West Temple Street in Los Angeles, Los
Angeles County Assessor Parcel Number 5160-005-900.

end insert begin insert

(5) Parcel 5, consisting of approximately 2.03 acres and
improvements, known as the Department of Corrections and
Rehabilitation’s Fresno Female Offender Program Property,
located at 2855 Whitesbridge Avenue, in Fresno, Fresno County
Assessor Parcel Number 464-020-01-1.

end insert

(b) To the extent bonds issued by the State Public Works Board
involve the property to be sold pursuant to this section, all issuer-
and trustee-related costs associated with the review of any proposed
sale, together with the costs related to the defeasance or retirement
of any bonds, which may include the cost of nationally recognized
bond counsel, shall be paid from the proceeds of any sale or lease
authorized by this section.

begin insert

(c) Parcel 1 has both federal and state equity and proceeds
received from the disposition of Parcel 1 shall be treated as follows
with respect to such equity:

end insert begin insert

(1) Proceeds received from the disposition of Parcel 1 shall be
in an amount equal to the moneys expended from the
Unemployment Compensation Disability Fund used to purchase
this parcel.

end insert begin insert

(2) Proceeds received from the disposition of Parcel 1 shall be
subject to the reimbursement of federal equity financing, as
required under applicable state and federal law.

end insert