BILL NUMBER: SB 1360	AMENDED
	BILL TEXT

	AMENDED IN SENATE  MARCH 31, 2016

INTRODUCED BY   Senator Bates

                        FEBRUARY 19, 2016

   An act to amend Section  54983   54982 
of the Government Code, relating to local government.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1360, as amended, Bates. Local  government. 
 government: municipal service agreements: law enforcement
services. 
   Under existing law, the legislative body of any local agency,
defined to mean a county, city, city and county, or public district,
may contract with any other local agency for the performance by the
latter of municipal services or functions within the territory of the
 former, but prohibits the force account limit applicable to
the local agency contracting to receive services from being
exceeded. Existing law excepts from that prohibition agreements made
before January 1, 1981, or the current term of any self-renewing or
renewable agreement entered into before that date.  
former.     Existing   law requires any
agreement entered into pursuant to this authorization to be for
valuable consideration.  
   This bill would make nonsubstantive changes to that provision.
 
   This bill would require a city that provides law enforcement
services through its appropriate departments, boards, commissions,
officers, or employees to another city pursuant to a contract or any
other agreement to charge that city all the costs that are incurred
in providing those law enforcement services, but prohibit the
inclusion of any costs that the city providing the services
reasonably determines are general overhead costs. The bill would
provide that any determination of general overhead costs made by a
city providing law enforcement services is subject to judicial review
as to the reasonableness of that determination. The bill would apply
to contracts or agreements entered into, or renewed, on and after
January 1, 2017. 
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 54982 of the  
Government Code   is amended to read: 
   54982.   (a)    Any agreement entered into
pursuant to this chapter shall be for valuable  consideration
  consideration, except as provided in subdivision (b)
 . 
   (b) (1) A city that provides law enforcement services through its
appropriate departments, boards, commissions, officers, or employees
to another city pursuant to a contract or any other agreement
authorized by this chapter shall charge that city all the costs that
are incurred in providing those law enforcement services, but shall
not include any costs that the city providing the services reasonably
determines are general overhead costs.  
   (2) For purposes of this section, "general overhead costs" means
those costs that a city would incur regardless of whether or not it
provided law enforcement services pursuant to a contract or agreement
to the other city.  
   (3) Any determination of general overhead costs made by a city
providing law enforcement services shall be subject to judicial
review as to the reasonableness of that determination.  
   (4) This subdivision shall only apply to contracts or agreements
entered into, or renewed, on and after January 1, 2017. 

  SECTION 1.    Section 54983 of the Government Code
is amended to read:
   54983.  Authority for entering into agreements pursuant to this
chapter shall be construed as supplementing existing authority for
legislative bodies of local agencies to enter into agreements for the
providing of municipal services and functions and shall not be
construed as authorizing the legislative body of any local agency to
enter into an agreement for the providing of municipal services or
functions which it is prohibited to provide by law or which exceeds
the force account limit applicable to the local agency contracting to
receive services.
   The amendments to this section made by Chapter 398 of the Statutes
of 1980, which become effective January 1, 1981, shall not apply to
any agreement that was made prior to that date nor to the current
term of any self-renewing or renewable agreement that had been
entered into prior to that date.