BILL NUMBER: SB 904	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Costa
   (Coauthor: Assembly Member Florez)

                        FEBRUARY 25, 1999

   An act to add Section 15819.40 to the Government Code, relating to
prisons, making an appropriation therefor, and declaring the urgency
thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 904, as introduced, Costa.  Prisons: construction:  Kern
County.
   Existing law authorizes the construction of correctional
facilities, as specified, and authorizes the necessary funding for
specified construction to be obtained through lease-purchase
financing methods.
   This bill would authorize the Department of Corrections to
construct and establish a medium and maximum security prison, or any
combination thereof, together with a Level I support services
facility, in the vicinity of Delano to be known as the California
State Prison-Kern County at Delano II, as specified.  The bill would
authorize the necessary funding for the construction of this facility
to be obtained through lease-purchase financing methods, which funds
would be continuously appropriated for purposes of acquiring and
constructing or refinancing the prison.  The bill would furthermore
provide that the sum of $330,000,000 shall be available for capital
outlay for the California State Prison-Kern County at Delano II from
funds derived from lease-purchase financing methods.
   The bill would declare that it is to take effect immediately as an
urgency statute.
   Vote:  2/3.  Appropriation:  yes.  Fiscal committee:  yes.
State-mandated local program:  no.


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


  SECTION 1.  The Department of Corrections is authorized to
construct and establish a 2,024-bed medium and maximum security
prison, or any combination thereof, together with a 208-bed Level I
support services facility in the vicinity of Delano in Kern County to
be known as the California State Prison-Kern County at Delano II.
  SEC. 2.  Section 15819.40 is added to the Government Code, to read:

   15819.40.  (a) The necessary funding for the construction of the
California State Prison-Kern County at Delano II authorized by
Section 1 of the act enacting this section may be obtained through
lease-purchase financing arrangements.  Sections 15819.1 to 15819.13,
inclusive, and Section 15819.15 shall apply for this purpose,
provided that the following also applies:
   (1) "Prison facility" as used in Section 15819.1 includes the
California State Prison-Kern County at Delano II.
   (2) Notwithstanding the limitation imposed by Section 15819.3
regarding the amount of bonds to be issued for construction,
acquisition, and financing of prison facilities, the State Public
Works Board may issue additional bonds in order to pay the costs of
acquiring and constructing or refinancing the California State
Prison-Kern County at Delano II.
   (b) (1) Notwithstanding Section 13340, funds derived from the
lease-purchase financing methods for the California State Prison-Kern
County at Delano II deposited in the State Treasury, are hereby
continuously appropriated to the State Public Works Board on behalf
of the Department of Corrections for the purpose of acquiring and
constructing or refinancing the prison facility so financed.
   (2) The sum of three hundred thirty million dollars ($330,000,000)
shall be available for capital outlay for the California State
Prison-Kern County at Delano II from funds derived from
lease-purchase financing methods.
   (3) (A) Funds so appropriated shall be available as necessary for
the purposes of site acquisition, site studies and suitability
reports, environmental studies, master planning, architectural
programming, schematics, preliminary plans, working drawings,
construction, long lead, and equipment items.
   (B) A maximum of four million dollars ($4,000,000) of the funds
may be available for mitigation costs of local government and school
districts pursuant to Sections 7000, 7005, and 7005.5 of the Penal
Code.
   (c) (1) The State Public Works Board may authorize the
augmentation of the cost of construction of the project set forth in
this section pursuant to the board's authority under Section
13332.11.
   (2) The State Public Works Board may authorize any additional
amounts necessary to establish a reasonable construction reserve and
to pay the costs of financing, including the payment of interest
during acquisition or construction of the project, the cost of
financing a debt service reserve fund, and the cost of issuance of
permanent financing for the project.
   (3) The additional amount may include interest payable on any
interim loan for the facility from the General Fund or the Pooled
Money Investment Account pursuant to Section 16312.
  SEC. 3.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect.  The facts constituting the necessity are:
   There is a chronic need for additional medium and maximum security
prison facilities.  In order to relieve the existing state prison
system from its current and anticipated overcrowded conditions and to
maintain the public safety and security at the earliest possible
time, it is necessary that this act take effect immediately.