BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2684
                                                                  Page  1

          ASSEMBLY THIRD READING
          AB 2684 (Bock)
          As Amended May 17, 2000
          Majority vote 

           LOCAL GOVERNMENT    8-1         APPROPRIATIONS      21-0        
           
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          |Ayes:|Longville, Robert         |Ayes:|Migden, Campbell,         |
          |     |Pacheco, Corbett,         |     |Ackerman, Alquist,        |
          |     |Kaloogian, Kuehl,         |     |Aroner, Ashburn, Brewer,  |
          |     |Thomson, Torlakson,       |     |Cedillo, Corbett, Davis,  |
          |     |Wiggins                   |     |Kuehl, Maldonado, Papan,  |
          |Nays:|                          |     |Romero, Runner, Shelley,  |
          |     |Thompson                  |     |Thomson, Wesson, Wiggins, |
          |     |                          |     |Wright, Zettel            |
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          SUMMARY  :  Creates a mechanism for allocation of savings realized  
          in the implementation of state-mandated local programs.   
          Specifically,  this bill  :  

          1)Authorizes local agencies and school districts filing claims  
            for reimbursement for state-mandated local costs to submit  
            findings to the Controller identifying savings realized as a  
            result of efficiencies by the agency or district in  
            implementation of the state-mandated program.

          2)Requires the Controller to allocate those savings on the basis  
            of up to one-third each to the local agency or school  
            district, and the balance to the General Fund (GF).

          3)Establishes a Savings Allocation Program (SAP) that will  
            develop administrative procedures in accordance with the  
            Administrative Procedures Act.

          4)Limits the SAP to GF savings of actual cost mandates.

          5)Becomes operative on January 1, 2003.

           EXISTING LAW  :

          1)Requires the state to reimburse local agencies and school  
            districts for costs incurred in the implementation of  
            state-mandated programs.








                                                                  AB 2684
                                                                 Page  2


          2)Establishes procedures for local agencies and school districts  
            to file claims with the Commission on State Mandates for  
            reimbursement of state-mandated costs.

           FISCAL EFFECT  :  Unknown

           COMMENTS  :  This bill is the subject of ongoing negotiations  
          between the author, the Controller, and interested parties.

           Analysis Prepared by  :  J. Stacey Sullivan / L. GOV. / (916)  
          319-3958 
                                                                FN: 0004835