BILL ANALYSIS                                                                                                                                                                                                    



                              
             SENATE LOCAL GOVERNMENT COMMITTEE
            Senator Richard K. Rainey, Chairman


BILL NO:  AB 1505                     HEARING:  8/18/99
AUTHOR:  Ducheny                      FISCAL:  Yes
VERSION:  8/17/99                     CONSULTANT:  Detwiler


      FARMWORKER HOUSING AND LOCAL LAND USE REGULATION

                          Background  

Despite the mechanization of California's agribusiness,  
there is still a demand for farm labor.  Changing crop  
patterns shifted the demand for farmworkers and also  
changed the need for employee housing.  As growers change  
the location of market crops, grape and fruit orchards,  
coastal strawberries, and nurseries, they attract  
farmworkers to new areas.

In 1995, the Senate Housing and Land Use Committee held an  
interim hearing on farmworker housing.  The Committee found  
that, Local community opposition to new farmworker housing  
can stop projects favored by growers, farmworkers, and  
local officials.  Housing sponsors want to make it easier  
to build farmworker housing.


                         Proposed Law  

I.   Williamson Act  .  When a landowner signs a Williamson  
Act contract with a county or a city agreeing to keep the  
property in agriculture, open space, or compatible uses for  
at least 10 years, county officials must reduce the  
property's assessed valuation.  Assembly Bill 1505 makes  
three changes to the Williamson Act's handling of  
farmworker housing:

       Compatible use  .  The Williamson Act recognizes  
utility facilities and agricultural laborer housing as  
compatible uses.  AB 1505 recognizes that agricultural  
laborer housing facilities are a compatible use under  
Williamson Act contracts, regardless if the facilities are  
provided by the landowner, a city, a county, a city and  
county, the state government, or a nonprofit organization.

       Indemnification  .  When a landowner permits free  




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public recreational use of Williamson Act contracted land,  
the Act allows local officials to indemnify the landowner  
against all claims arising from public use.  AB 1505 allows  
a city, county, city and county, the state government, or a  
nonprofit corporation to indemnify a Williamson Act  
landowner against all claims arising from the use of the  
land for agricultural laborer housing facilities.

       Lot split  .  A subdivision is the division of a  
parcel for the purpose of sale, lease, or financing.  The  
Subdivision Map Act prohibits the subdivision of land that  
is under a Williamson Act if the resulting parcels are too  
small for agricultural use.  Parcels must be at least 10  
acres for prime agricultural land and 40 acres for nonprime  
agricultural land.  However, local officials can approve a  
lot split of Williamson Act contracted land to transfer a  
small parcel to an immediate family member provided that  
the transferred parcel meets land use standards, adheres to  
the Williamson Act contract, and there is a written  
agreement to operate the property under joint management.   
The properties remain subject to the Williamson Act.

AB 1505 allows a landowner to subdivide land that is  
designated as an agricultural preserve under six  
conditions:

     * The property to be sold or leased must be no more  
than five acres.
     * The parcel will be sold or leased to a nonprofit  
organization, a city,
        a county, a housing authority, or a state agency.
     * The parcel to be sold or leased must be subject to a  
deed restriction
        limiting its use to agricultural laborer housing  
for at least 30 years.
        When the parcel is no longer used for housing, it  
must be merged
        with the other property.
     * There must be a written agreement to jointly operate  
the properties
        for the duration of the Williamson Act contract.
     * The property must be in a city, in a city's sphere  
of influence, or in
        unincorporated territory and contiguous to existing  
residential or co-
        mercial uses.





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     * The design, location, and operation of the  
agricultural laborer housing
        must minimize the effect on agricultural husbandry  
practices.

The subdivision does not affect the Williamson Act  
contract, and the property to be sold or leased remains  
subject to the contract.


II.   Housing elements  .  The Planning and Zoning Law  
requires every city and county to adopt a general plan with  
seven specified elements, including a housing element.  In  
that document, local officials must identify their  
community's share of regional housing needs and then  
identify adequate sites for housing, including rental  
housing, factory-built housing, mobilehomes, emergency  
shelters, and transitional housing.  If the housing element  
does not identify adequate sites, the housing element must  
provide that local zoning ordinances allow residential "use  
by right" for very low and low-income households.  "Use by  
right" means that a builder does not need an additional  
conditional use permit.

Assembly Bill 1505 requires local general plans' housing  
elements to identify adequate sites with public services  
and facilities for housing for agricultural employees to  
meet the city or county's regional share of farmworker  
housing.  If a housing element's inventory of sites does  
not identify adequate sites for farmworker housing, AB 1505  
requires the document to provide for zoning that permits  
farmworker housing and specified ancillary uses in  
residential zones as a "use by right."


III.   Permit Streamlining Act  .  The Permit Streamlining Act  
requires public officials to act on development projects  
within 180 days of the certification of the project's  
environmental impact report.

Assembly Bill 1505 requires public officials to act on a  
development project within 90 days of the certification of  
an environmental impact report under three conditions:

      The development project is for agricultural employee  
housing and is





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        affordable to very low and low-income households.
      The project's applicant has applied or will apply  
for housing tax credits.
      The tax credit application was received before the  
EIR was certified.

This provision takes effect only if Senate Bill 948 is not  
enacted in 1999.


                           Comments  

1.   Gimme shelter  .  Farmworkers, especially migrants, must  
endure some of California's worst housing conditions.   
Legislative hearings documented the need for safe, decent,  
and affordable housing, as well as the lack of adequate  
private and public funding.  As the state government and  
local officials begin to increase the amount of capital  
available for building and rehabilitating farmworker  
housing, there is still a need to find acceptable locations  
for these projects.  AB 1505 responds to these problems by  
making it easier to develop farmworker housing on  
Williamson Act land, planning for more sites for farmworker  
housing and speeding up development decisions.

2.   A clash of goals  .  AB 1505 attempts to reconcile two  
valid but competing public policies, but it may achieve  
neither.  The bill tries to provide more sites for  
farmworker housing while still protecting the integrity of  
the Williamson Act.  While these goals may be possible in  
theory, in practice they may clash.  The Williamson Act  
already recognizes farmworker housing as a compatible use,  
so it's logical for AB 1505 to permit five-acre lot splits  
for new agricultural laborer housing.  The Williamson Act  
is California's premier land conservation statute, so why  
should the Legislature promote the use of farmland for  
housing?  The Committee may wish to consider if it's truly  
possible to have farmworker housing on Williamson Act  
contracted land.

3.   Testing one, two, three  ?  A typical American response  
to uncertainty is to try an experiment.  The Committee may  
wish to consider amending AB 1505 to allow up to three  
lot-splits of Williamson Act contracted land in each of  
three counties over the next five years.  The Committee may  
wish to try this experiment in a coastal county (perhaps  





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San Diego), a Central Valley county (perhaps Tulare), and a  
Mother Lode county (perhaps Amador).  Legislators can  
review the results of this experiment in 2005 to see if the  
law should extend statewide.

4.   Buffer zones  .  Housing can be incompatible with even  
accepted agricultural practices.  Pesticide drift, plowing  
dust, machinery noises, downwind smells, and barnyard pests  
make for bad neighbors.  Farmers can mitigate these  
unavoidable nuisances by leaving buffer zones between their  
operations and adjacent land uses.  But buffer zones mean  
less productive land, higher costs, and lower profits.  The  
Committee may wish to consider if farmworker housing on  
Williamson Act land reduces the productivity of adjacent  
farmland.

5.   Contingent enactment  .  Earlier this year the Senate  
passed SB 948 (Alarc?n, 1999) that amends the Permit  
Streamlining Act to speed up the approval of affordable  
housing developments.  SB 948 applies to all very low and  
low-income housing developments while AB 1550 applies to  
very low and low-income housing for farmworkers.  Because  
the language in AB 1550 is narrower than SB 948, Section 6  
of the Ducheny bill will go into effect only if the Alarc?n  
bill does not pass this year.  SB 948 is still in the  
Assembly Local Government Committee.

6.   Another committee  ?  The Senate Local Government  
Committee is hearing AB 1505 on August 18 because the bill  
alters the Williamson Act.  But the bill also amends the  
housing element law, a topic that lies within the  
jurisdiction of the Senate Housing and Community  
Development Committee.  If the bill passes, the Committee  
may wish to consider referring AB 1505 to the Senate Rules  
Committee for assignment to the other policy committee.

7.   Technical amendment needed  .  The sections of AB 1505  
that affect the Williamson Act are inconsistent and the  
Committee should adopt technical amendments to avoid  
confusion.  Sections 2 and 3 need not refer to farmland  
owned by a city and county because San Francisco has none.   
Sections 2 and 3 should, however, refer to housing  
authorities which can own and operate farmworker housing.   
Section 1 contains the correct list of housing sponsors.







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                       Assembly Actions  

Assembly Housing & Community Development Committee:10-0
Assembly Natural Resources Committee:11-0
Assembly Appropriations Committee:21-0
Assembly Floor:                         79-0
  












































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               Support and Opposition  (8/17/)

  Support  :  Agricultural Council of California, Bank of  
America, Burbank Housing Development Corporation,  
California Building Industry Association, California  
Business Properties Association, California Catholic  
Conference, California Coalition for Rural Housing,  
California Labor Federation, California Manufactured  
Housing Institute, California Rural Legal Assistance  
Foundation, Catholic Charities of California, CHISPA, Civic  
Center Barrio Housing Corporation, Coachella Valley Housing  
Coalition, Community Housing Opportunities Corporation,  
Congress of California Seniors, Davis and Company,  
Esparanza Community Housing Corporation, JERICHO,  
Lieutenant Governor Cruz Bustamante, Midpeninsula Housing  
Coalition, Orange County Community Housing Corporation,  
Peoples' Self-Help Housing Corporation, Rural Communities  
Housing Development Corporation, Sacramento Mutual Housing  
Association, Santa Clara County Housing Authority,  
Self-Help Enterprises, South County Housing, Western Center  
on Law and Poverty, Western Growers Association, Wine  
Institute, WNC & Associates.

  Opposition  :  California Farm Bureau Federation, California  
State Association of Counties.