BILL ANALYSIS                                                                                                                                                                                                    �



                                                                AB 2561
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        ASSEMBLY THIRD READING
        AB 2561 (Bradford) 
        As Amended  May 28, 2014
        Majority vote 

         JUDICIARY           6-3         LOCAL GOVERNMENT    5-1         
         
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        |Ayes:|Wieckowski, Alejo, Chau,  |Ayes:|Achadjian, Levine, Alejo, |
        |     |Dickinson, Garcia, Stone  |     |Bradford, Mullin          |
        |     |                          |     |                          |
        |-----+--------------------------+-----+--------------------------|
        |Nays:|Wagner, Gorell,           |Nays:|Waldron                   |
        |     |Maienschein               |     |                          |
        |     |                          |     |                          |
         ----------------------------------------------------------------- 
         SUMMARY  :  Seeks to ensure the ability of residents in common  
        interest developments (CID) and tenants in one- or two-unit rental  
        property to grow edible fruits and vegetables at home for personal  
        use, subject to reasonable restrictions.  Specifically,  this bill  :    


        1)Makes Legislative findings about the environmental, nutritional,  
          economic, and public health-related benefits associated with  
          increased participation in growing fresh plant-based foods on the  
          land where one resides.

        2)Defines "personal agriculture" to mean a use of land where an  
          individual cultivates edible plant crops for personal use or  
          donation, excluding marijuana or any unlawful plants.

        With respect to residential rental property:

        3)Requires a landlord to permit a tenant to participate in personal  
          agriculture in portable containers approved by the landlord in the  
          tenant's private area if the following conditions are met:

           a)   The tenant regularly removes any dead plant material and  
             weeds, except for straw, mulch or compost, unless the landlord  
             and tenant have a preexisting or separate agreement regarding  
             garden maintenance where the tenant is not responsible for such  
             removal.

           b)   The portable containers may not create a health or safety  
             hazard or otherwise block doorways or hallways, and may be  








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             placed or located as determined by the landlord.

           c)   The placement of the containers does not interfere with any  
             tenant's parking spot.

           d)   The plant crops will not interfere with the maintenance of  
             the rental property.

        4)Preserves the right of a landlord to periodically inspect any area  
          where the tenant is engaging in personal agriculture, subject to  
          existing notice for inspection requirements, and to enter into a  
          written agreement for the payment of excess water and trash bills,  
          among other things.

        5)Limits application of these provisions only to residential rental  
          property consisting of a single building with one or two dwelling  
          units, with personal agriculture permitted only in an outdoor  
          backyard area that is on the ground level of the rental unit.

        With respect to residential property within a common interest  
        development (CID):

        6)Provides that any provision of a governing document of a CID that  
          effectively prohibits or unreasonably restricts the homeowner from  
          using his or her back yard for personal agriculture, or from the  
          off-site donation of produce grown on the property, shall be void  
          and unenforceable.

        7)Permits CIDs to impose "reasonable restrictions" on the use of a  
          homeowner's yard for personal agriculture, defined as restrictions  
          that do not significantly increase the cost of engaging in  
          personal agriculture or significantly decrease its efficiency.

        8)Limits application of these provisions only to yards that are  
          designated for the exclusive use of the homeowner.

         FISCAL EFFECT  :  None

         COMMENTS  :  This bill seeks to enact the Neighborhood Food Act,  
        legislation intended to remove obstacles to the practice of growing  
        edible fruits and vegetables in urban and suburban residential  
        neighborhoods for personal and community use or consumption.   
        Specifically, the bill seeks to ensure that residents of CID's and  
        tenants in certain kinds of rental properties may participate in  
        "personal agriculture" activities-growing fruits and vegetable  








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        plants at home for personal use-subject to reasonable restrictions  
        but not completely prohibited by their homeowner's association (HOA)  
        or landlord.  

        This bill is sponsored by the Sustainable Economies Law Center  
        (SELC), a nonprofit group based in Oakland whose mission is to  
        support grassroots economic empowerment and encourage communities to  
        develop their own sustainable sources of food, housing, energy, and  
        jobs.  According to the author, "Landlord-tenant leases and HOA  
        contracts often don't allow the cultivation of food on residential  
        property.  This bill seeks to remove legal barriers and make growing  
        food accessible to all Californians.  Empowering individuals to grow  
        food at home, on previously vacant lots and in community gardens on  
        a small scale, will lead to positive economic, health, and  
        environmental outcomes throughout the state."

        In order to address the concerns of apartment associations who  
        oppose the bill, the author has amended the bill to significantly  
        narrow the scope of the bill with respect to residential rental  
        properties.  First, the bill no longer allows entrepreneurial  
        agriculture and instead clarifies that personal agriculture is  
        permitted only for the tenant's personal use or for donation to  
        others.  Second, the bill limits personal agriculture only to one-  
        and two-unit properties, meaning that it will be permitted in  
        single-family homes and duplexes, but effectively excluded from  
        large multi-unit apartment buildings.  Third, the bill limits  
        personal agriculture to an outdoor backyard area that is on the  
        ground level of the rental unit.  In short, the bill allows only  
        tenants in one- and two-unit rental properties to engage in  
        personal, not entrepreneurial, agriculture in their exclusive use  
        outdoor backyard area and subject to certain restrictions by the  
        landlord.  Recent amendments are intended to address concerns  
        expressed by opponents about the scope of damage to the rental  
        property, and it is believed that these amendments are sufficient to  
        remove the opposition of the apartment associations who previously  
        opposed the bill.

        Under the Davis-Stirling Act, which sets forth general rules  
        governing CIDs, each individual CID is subject to rules and  
        regulations set forth by the "governing documents" of the HOA.   
        These governing documents include the recorded declaration and any  
        other documents, such as bylaws, operating rules of the association,  
        or articles of incorporation that govern the operation of the  
        association.  CIDs are governed by volunteer boards of directors who  
        are elected by the members of the HOA and who are responsible for  








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        interpreting the governing documents and state law.  An increasing  
        proportion of Californians now live in CIDs-by some accounts between  
        one-fourth and one-third of all Californians-and it is likely CIDs  
        represent the majority of new housing being built in the state.   
        Furthermore, the governing documents of CIDs typically contain many  
        restrictions over aspects of use, appearance, and transferability of  
        interest of the property.  For these reasons, this bill seeks to  
        facilitate the ability of homeowners in the ever-expanding  
        CID-segment of the population to engage in personal agriculture in  
        their own yards, subject to reasonable restrictions but not  
        prohibited by their HOA.

        This bill establishes that any provision of a CID governing document  
        shall be void and unenforceable if it effectively prohibits or  
        restricts either:  1) the use of the homeowner's back yard for  
        personal agriculture; or 2) the off-site donation of produce grown  
        on the homeowner's property.  The bill does not, however, prohibit a  
        CID from imposing "reasonable restrictions" on the use of a  
        homeowner's yard for personal agriculture, which are defined as  
        restrictions that do not significantly increase the cost of engaging  
        in personal agriculture or significantly decrease its efficiency.   
        Entrepreneurial agriculture is not permitted under this bill.

        The bill is opposed by HOAs on the general principle that any bill  
        that seeks to restrict an HOA's governing documents intrudes upon  
        the existing process of self-governance by members that is a central  
        characteristic of HOAs.  Opponents state, "When a separate interest  
        in a common interest development is purchased, the buyer agrees to  
        abide by the governing documents of the HOA.  Those governing  
        documents can be amended by a vote of the association.  This bill  
        bypasses that process and takes away the collective voice of the  
        other homeowners of the association who may have legitimate reasons  
        for denying personal agriculture in their neighborhood."  

        The Assembly Judiciary Committee notes that, notwithstanding the  
        authority for self-governance provided to HOAs by statute, the  
        Legislature over the years also has seen fit to modify or limit that  
        authority when thought appropriate to further other important public  
        policy goals.  For example, the Legislature recently approved and  
        the Governor signed SB 209 (Corbett), Chapter 121, Statutes of 2011,  
        to promote the ownership of electric vehicles and the reduction in  
        pollution that they cause, among other things.  Specifically, SB 209  
        rendered void and unenforceable any provision of an HOA's governing  
        documents that effectively prohibits or restricts the installation  
        or use of an electrical vehicle charging station by an individual  








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        owner, as specified.  Like that measure, this bill provides that  
        HOAs retain authority to impose reasonable restrictions, in this  
        case upon personal agriculture, but they may not adopt rules that  
        would prohibit or effectively prohibit the practice.  Similar  
        restrictions upon HOA authority to prohibit certain practices are  
        sprinkled through the Civil Code, including with respect to  
        installation of solar energy systems (Civil Code Section 714),  
        installation of satellite dishes or antennas (Civil Code Section  
        4725), ownership of pets (Civil Code Section 4715), and rental of  
        the property to tenants (Civil Code Section 4740), among others.

        This bill is supported by produce companies and advocates for urban  
        agriculture, who write in support, "This bill will increase access  
        to fresh produce for all Californians, regardless of their place of  
        residence and socioeconomic limitations.  Allowing small-scale local  
        food production will also reduce the carbon footprint of our food  
        system by shortening the distance between produce and consumer.  The  
        bill also promotes efficient, fruitful use of water and land  
        resources, empowering Californians to prioritize food cultivation  
        over ornamental lawns and vacant lots."

         
        Analysis Prepared by  :    Anthony Lew / JUD. / (916) 319-2334FN:  
        0003897