BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                    THIRD READING


          Bill No:  AB 2455
          Author:   Williams (D)
          Amended:  6/17/14 in Senate
          Vote:     21


           SENATE GOVERNANCE & FINANCE COMMITTEE  :  7-0, 6/11/14
          AYES:  Wolk, Knight, Beall, DeSaulnier, Hernandez, Liu, Walters

           ASSEMBLY FLOOR  :  70-3, 5/1/14 - See last page for vote


           SUBJECT  :    The Santa Rita Hills Community Services District

           SOURCE  :     Santa Rita Hills Community Services District


           DIGEST  :    This bill allows, until January 1, 2035, the Santa  
          Rita Hills Community Services District's (SRHCSD) board of  
          directors to consist of three members instead of five, as  
          specified.

           ANALYSIS  :    Existing law allows residents of an unincorporated  
          area to initiate the formation of a community services district  
          (CSD), which can provide a wide variety of services such as  
          water, garbage collection, wastewater collection, fire  
          protection, street lighting, and mosquito abatement services.   
          The residents of the CSD elect a board of local residents to  
          oversee the management and operations of the district.  A  
          candidate for the board of directors must be a voter of the  
          district.  Before 2005, existing law allowed CSDs to have boards  
          of directors with either three or five members.  In a rewrite of  
          CSD law, SB 135 (Kehoe, Chapter 249, Statutes of 2005) required  
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          all CSDs to have five-member boards of directors. 

          This bill allows SRHCSD to reduce the size of its board of  
          directors from five members to three members.

          This bill requires that before reducing the board membership,  
          the board of directors after receiving a petition signed by a  
          majority of voters requesting reduction, must: 

           Adopt, by a recorded majority vote of the board of directors,  
            a resolution proposing to reduce the number of directors to  
            three members;

           Hold a public hearing regarding the proposal to reduce the  
            number of directors;

           Give notice of the public hearing by placing a display  
            advertisement in a newspaper of general circulation for three  
            weeks and mailing notice to each voter in the district;

           Hold a public hearing at least 45 days after mailing the  
            notice;

           At the hearing, receive and consider any written or oral  
            comments regarding the proposed reduction in the number of  
            directors.  After receiving and considering the comments, the  
            board shall disapprove the proposal or adopt a resolution  
            ordering the reduction.

          This bill prohibits a reduction in the number of directors from  
          affecting the term of office of any director and requires a  
          director holding office as of the effective date of the  
          reduction to continue to be director until the office becomes  
          vacant by means of term expiration or otherwise.

          This bill allows the district board of directors to consist of  
          three members until January 1, 2035. 

          This bill allows the board of directors to increase the board to  
          five members before 2025 following the same procedures used to  
          reduce the number of board directors. If the board adopts a  
          resolution to increase the number of directors, it cannot  
          subsequently reduce the number of directors. 


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           Background

           The Legislature has authorized some special districts to  
          increase or decrease the size of boards of directors.  For  
          example, SB 235 (Negrete McLeod, Chapter 122, Statutes of 2011),  
          authorized water conservation districts with boards consisting  
          of seven directors to reduce the number of directors to five by  
          a resolution adopted by two-thirds of the board.  SB 210 (Local  
          Government Committee, Chapter 176, Statutes of 2001) authorized  
          the Sawyers Bar County Water District to decrease the size of  
          its board from five to three members if a majority of the  
          district's voters signed a petition requesting that reduction.   
          The Sawyers Bar County Water District served a remote rural  
          community in the County of Siskiyou with approximately 14  
          registered voters, which made it difficult to find individuals  
          willing and able to serve as members of the district's board of  
          directors.

          The SRHCSD, formed in 2009, serves the small community of Santa  
          Rita Hills in Santa Barbara County.  SRHCSD's powers and  
          responsibilities include the acquisition, construction,  
          improvement and maintenance of streets, roads, bridges, and  
          sidewalks.  There are only 10 registered voters residing within  
          the district's boundaries.  Due to challenges in filling a board  
          vacancy, achieving a quorum during board meetings, and in  
          anticipation of future vacancies, SRHCSD wants to reduce its  
          board membership from five members to three members. 

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

           SUPPORT  :   (Verified  6/17/14)

          Santa Rita Hills Community Services District (source)
          County of Santa Barbara
          Santa Barbara Local Agency Formation Commission

           ARGUMENTS IN SUPPORT  :    According to the author's office, the  
          Santa Rita Hills Community Services District is a "roads"  
          district formed in 2009 by a registered voter election, which  
          included property owners registered to vote in the district.  It  
          was created to serve a small community of Santa Rita Hills which  
          consists of 39 parcels in Santa Barbara County.


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          The power and responsibilities granted to the SRHCSD include the  
          act to acquire, construct, improve and maintain streets, roads,  
          bridges and sidewalks.  Any road improvements or infrastructure  
          constructed by the District must relate to the authorized  
          services and any significant costs for construction will be  
          financed by benefit assessments approved by landowners within  
          the District.

          AB 2455 recognizes this dilemma and allows the SRHCSD to  
          temporarily reduce the size of their board until the current  
          requirements can be more easily met in the future - once the  
          roads are improved and property owners are allowed to build  
          their residences.

           ASSEMBLY FLOOR  :  70-3, 5/1/14
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,  
            Bocanegra, Bonilla, Bonta, Bradford, Buchanan, Ian Calderon,  
            Campos, Chau, Ch�vez, Chesbro, Conway, Cooley, Dababneh,  
            Dahle, Daly, Dickinson, Eggman, Fong, Fox, Frazier, Beth  
            Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gray, Hagman,  
            Roger Hern�ndez, Holden, Jones, Jones-Sawyer, Levine, Linder,  
            Logue, Lowenthal, Maienschein, Medina, Melendez, Mullin,  
            Muratsuchi, Nazarian, Nestande, Olsen, Pan, Perea, V. Manuel  
            P�rez, Quirk, Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez,  
            Skinner, Stone, Ting, Wagner, Waldron, Weber, Wieckowski,  
            Wilk, Williams, Yamada, John A. P�rez
          NOES:  Donnelly, Grove, Patterson
          NO VOTE RECORDED:  Brown, Gorell, Hall, Harkey, Mansoor, Salas,  
            Vacancy


          AB:e  6/17/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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