Existing law authorizes the formation of garbage and refuse disposal districts under certain conditions, and requires that a board of directors of not less than 3 members be appointed for each district. Existing law authorizes members of the board of directors to receive not more than $50 per diem for each day of actual attendance at the meetings of the board, up to $100 in a calendar month.

This bill would authorize a district board to provide, by ordinance or resolution, compensation to a member of the board in an amount not to exceed $100 per day for each day of attendance at a meeting of the board or for each day of service rendered as director by request of the board, and would authorize a member of a district board to receive that compensation for no more than 6 days in a calendar month.

Existing law authorizes the formation of garbage and refuse disposal districts under certain conditions, and requires that a board of directors of not less than 3 members be appointed for each district. Existing law authorizes members of the board of directors to receive not more than $50 per diem for each day of actual attendance at the meetings of the board, up to $100 in a calendar month.

This bill would authorize a district board to provide, by ordinance or resolution, compensation to a member of the board in an amount not to exceed $100 per day for each day of attendance at a meeting of the board or for each day of service rendered as director by request of the board, and would authorize a member of a district board to receive that compensation for no more than 6 days in a calendar month.

Existing law authorizes the formation of garbage and refuse disposal districts under certain conditions, and requires that a board of directors of not less than 3 members be appointed for each district. Existing law authorizes members of the board of directors to receive not more than $50 per diem for each day of actual attendance at the meetings of the board, up to $100 in a calendar month.

This bill would require that a member of authorize a district board receive to provide, by ordinance or resolution, compensation to a member of the board in an amount not to exceed $100 per day for each day of attendance at a meeting of the board or for each day of service rendered as director by request of the board, and would authorize a member of a district board to receive that compensation for no more than 6 days in a calendar month.

Existing law authorizes the formation of garbage and refuse disposal districts under certain conditions, and requires that a board of directors of not less than 3 members be appointed for each district. Existing law authorizes members of the board of directors to receive not more than $50 per diem for each day of actual attendance at the meetings of the board, up to $100 in a calendar month.

This bill would require that a member of a district board receive compensation in an amount not to exceed $100 per day for each day of attendance at a meeting of the board or for each day of service rendered as director by request of the board, and would authorize a member of a district board to receive that compensation for no more than 6 days in a calendar month.

 THIRD READING  

Bill No: AB 1817

Author:

:

Vote:

SENATE GOVERNANCE & FIN. COMMITTEE: 6-0, 5/11/16

AYES: Hertzberg, Beall, Hernandez, Lara, Moorlach, Pavley

NO VOTE RECORDED: Nguyen

ASSEMBLY FLOOR: 53-16, 4/14/16 - See last page for vote

SUBJECT:

SOURCE: Monterey Regional Waste Management District

DIGEST: This bill increases the maximum amounts of compensation that can be provided to a garbage and refuse disposal district’s board of directors.

ANALYSIS:

Existing law:

1. Allows a county board of supervisors to form a garbage and refuse disposal district after determining, by resolution, that a portion of the county is in need of a site for the disposal of garbage and refuse and should be formed into a district (AB 1054, Silhman, Chapter 964, Statutes of 1951).
2. Allows a garbage and refuse disposal district’s board of director to receive a maximum of $50 per diem for each day of attendance at board meetings and a maximum of $100 per diem in any calendar month (SB 675, Grunsky, Chapter 232, Statutes of 1975).
3. Allows board members of some other types of special districts that provide waste disposal services, like community services district and sanitary district board members, to be compensated up $100 per meeting for up to six meetings per month and allows those districts’ boards to adopt ordinances that increase board members’ compensation.

This bill increases the current statutory cap on compensation for a garbage and refuse disposal district’s board of directors. Specifically, this bill:

1. Deletes the $50 per meeting limit on the amount of per diem that a director can receive and, instead, authorizes the board, by ordinance or resolution, to provide compensation that does not exceed $100 per meeting or for each day of service rendered as director by request of the board.
2. Deletes the $100 monthly limit on the amount of per diem received by each director and, instead, authorizes a board member to receive compensation for up to six days in a calendar month.
3. Provides that reimbursement and compensation for meetings are subject to existing law, which requires a governing board to adopt a written policy to determine acceptable compensable activities, and adopt written policies for reimbursing expenses.
4. Makes other technical changes.

Background

State law allows a county board of supervisors to form a garbage and refuse disposal district after determining, by resolution, that a portion of the county is in need of a site for the disposal of garbage and refuse and should be formed into a district. State law prohibits any garbage and refuse disposal district from being formed after October 1, 1961.

A garbage and refuse disposal district’s board of director may receive a maximum of $50 per diem for each day of attendance at board meetings and a maximum of $100 per diem in any calendar month. Board members may be reimbursed for their actual and necessary expenses incurred in the performance of official business of the district, as approved by the board. These limits on board members’ compensation are lower than the limits for board members of some other types of special districts that provide waste disposal services. For example, state law allows community services district and sanitary district board members to be compensated up $100 per meeting for up to six meetings per month and allows those districts’ boards to adopt ordinances that increase board members’ compensation.

According to data collected by the State Controller’s Office, the Monterey Regional Waste Management District (MRWMD) is the only special district still in existence that operates pursuant to the statutes that govern garbage and refuse disposal districts. MRWMD was created in 1951 as the Monterey Peninsula Garbage & Refuse Disposal District in response to the dumping and burning of waste on coastal sand dunes in Pacific Grove, Monterey, and Carmel. In 1987, the District changed its name to the Monterey Regional Waste Management District (MRWMD). MRWMD provides solid waste management and resource recovery, operates the 315 acre Monterey Peninsula Landfill, and develops and operates a number of other waste diversion and recycling facilities and programs. MRWMD is governed by board of directors comprised of nine members who are appointed to four-year terms.

MRWMD officials note that as its board of director’s responsibilities has increased, the principal act that limits directors’ compensation remains unchanged. They want the Legislature to amend the statute that limits directors’ compensation to more closely align with statutes that govern other waste disposal districts’ boards.

Comment

Purpose of the bill. The $50 per meeting and $100 per month limits on compensation received by MRWMD’s Board of Directors were enacted in 1975. During the past four decades, MRWMD has increased its responsibilities and obligations due to an expanding residential and commercial population and new statutorily-required duties. MRWMD directors now oversee a $24 million budget, the recovery of recyclable materials in the waste stream, composting of green waste and food waste, receipt of non-hazardous liquid waste, disposal of municipal solid waste, and the operation of a landfill gas-to-electric energy system. Board members attend many more than two meetings per month and often attend other trainings and workshops. AB 1817 proposes to update the statute governing MRWMD directors’ compensation to align more closely with directors’ expanded responsibilities as well as to mirror the compensation rates of other waste disposal districts in the state.

FISCAL EFFECT: Appropriation: Fiscal Com.: Local:

SUPPORT: (Verified 5/11/16)

Monterey Regional Waste Management District (source)

California Special Districts Association

Monterey County Business Council

Monterey Peninsula Chamber of Commerce

Save Our Shores

The Offset Project

OPPOSITION: (Verified 5/11/16)

None received

ASSEMBLY FLOOR: 53-16, 4/14/16

AYES: Alejo, Arambula, Atkins, Baker, Bloom, Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chau, Chiu, Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Roger Hernández, Holden, Jones-Sawyer, Lackey, Lopez, Low, Maienschein, Medina, Mullin, Obernolte, O'Donnell, Olsen, Quirk, Ridley-Thomas, Rodriguez, Santiago, Mark Stone, Thurmond, Ting, Waldron, Weber, Wilk, Williams, Wood, Rendon

NOES: Travis Allen, Brough, Chang, Chávez, Beth Gaines, Gallagher, Gray, Hadley, Harper, Jones, Kim, Mathis, Patterson, Salas, Steinorth, Wagner

NO VOTE RECORDED: Achadjian, Bigelow, Dahle, Grove, Irwin, Levine, Linder, Mayes, McCarty, Melendez, Nazarian

Prepared by:

5/13/16 11:54:22

**** END ****

SENATE COMMITTEE ON GOVERNANCE AND FINANCE

Senator Robert M. Hertzberg, Chair

2015 - 2016 Regular

Solid waste: garbage and refuse disposal districts: board of directors

Increases the maximum amounts of compensation that can be provided to a garbage and refuse disposal district’s board of directors.

Background

State law allows a county board of supervisors to form a garbage and refuse disposal district after determining, by resolution, that a portion of the county is in need of a site for the disposal of garbage and refuse and should be formed into a district (AB 1054, Silhman, 1951). State law prohibits any garbage and refuse disposal district from being formed after October 1, 1961.

A garbage and refuse disposal district’s board of director may receive a maximum of $50 per diem for each day of attendance at board meetings and a maximum of $100 per diem in any calendar month (SB 675, Grunsky, 1975). Board members may be reimbursed for their actual and necessary expenses incurred in the performance of official business of the district, as approved by the board. These limits on board members’ compensation are lower than the limits for board members of some other types of special districts that provide waste disposal services. For example, state law allows community services district and sanitary district board members to be compensated up $100 per meeting for up to six meetings per month and allows those districts’ boards to adopt ordinances that increase board members’ compensation.

According to data collected by the State Controller’s Office, the Monterey Regional Waste Management District (MRWMD) is the only special district still in existence that operates pursuant to the statutes that govern garbage and refuse disposal districts. MRWMD was created in 1951 as the Monterey Peninsula Garbage & Refuse Disposal District in response to the dumping and burning of waste on coastal sand dunes in Pacific Grove, Monterey, and Carmel. In 1987, the District changed its name to the Monterey Regional Waste Management District (MRWMD). MRWMD provides solid waste management and resource recovery, operates the 315 acre Monterey Peninsula Landfill, and develops and operates a number of other waste diversion and recycling facilities and programs. MRWMD is governed by board of directors comprised of nine members who are appointed to four-year terms.

MRWMD officials note that as its board of director’s responsibilities has increased, the principal act that limits directors’ compensation remains unchanged. They want the Legislature to amend the statute that limits directors’ compensation to more closely align with statutes that govern other waste disposal districts’ boards.

Proposed Law

Assembly Bill 1817 increases the cap on compensation for a garbage and refuse disposal district’s board of directors. Specifically, AB 1817:

• Deletes the $50 per meeting limit on the amount of per diem that a director can receive and, instead, authorizes the board, by ordinance or resolution, to provide compensation that does not exceed $100 per meeting or for each day of service rendered as director by request of the board.
• Deletes the $100 monthly limit on the amount of per diem received by each director and, instead, authorizes a board member to receive compensation for up to six days in a calendar month.
• Provides that reimbursement and compensation for meetings are subject to existing law, which requires a governing board to adopt a written policy to determine acceptable compensable activities, and adopt written policies for reimbursing expenses.
• Makes other technical changes.

State Revenue Impact

No estimate.

Comments

1. Purpose of the bill. The $50 per meeting and $100 per month limits on compensation received by MRWMD’s Board of Directors were enacted in 1975. During the past four decades, MRWMD has increased its responsibilities and obligations due to an expanding residential and commercial population and new statutorily-required duties. MRWMD directors now oversee a $24 million budget, the recovery of recyclable materials in the waste stream, composting of green waste and food waste, receipt of non-hazardous liquid waste, disposal of municipal solid waste, and the operation of a landfill gas-to-electric energy system. Board members attend many more than two meetings per month and often attend other trainings and workshops. AB 1817 proposes to update the statute governing MRWMD directors’ compensation to align more closely with directors’ expanded responsibilities as well as to mirror the compensation rates of other waste disposal districts in the state.

2. A garbage and refuse disposal district, by any other name, would smell as sweet. State law allows several types of independent special districts to provide solid waste handling and recycling services, including: community services districts, county water districts, municipal utility districts, public utility districts, and sanitary districts. MRWMD is apparently the only special district that is governed by the state laws that, until 1961, allowed for the establishment of “garbage and refuse disposal districts.” Rather than requiring the Legislature to periodically update MRWMD’s outdated governing statutes to conform to statutes that govern other districts, it may make sense to convert MRWMD to a community services district, utility district, or other type of special district that is governed by a more-widely-used principal act. Six years ago, the Legislature enacted an “expedited reorganization” process by which a local agency formation commission (LAFOC) could convert resort improvement districts or municipal improvement districts into community services districts (SB 1023, Wiggins, 2010). The Committee may wish to consider amending AB 1817 to establish a similar “expedited reorganization” process by which the Monterey County LAFCO could convert the MRWMD into another type of special district that can provide solid waste services pursuant to a more modern principal act.

Assembly Actions

Assembly Local Government Committee: 7-1

Assembly Floor: 53-16

Support and Opposition

(5/5/16)

Support: Monterey Regional Waste Management District; California Special Districts Association; Monterey County Business Council; Monterey Peninsula Chamber of Commerce; Save Our Shores; The Offset Project.

Opposition: Unknown.

-- END --

ASSEMBLY THIRD READING

ATR Bill Id:AB 1817

Author:(Mark Stone)

As Amended Ver:April 11, 2016

Majority vote

SUMMARY: Increases the cap on compensation for the board of directors of a garbage and refuse disposal district. Specifically, this bill:

1. Deletes existing law that provides board members of garbage and refuse disposal districts (board members) with a maximum of $50 per diem per meeting, and instead, authorizes the board, by ordinance or resolution, to provide compensation that does not exceed $100 per meeting, as specified.
2. Deletes the existing monthly limit for each board member of $100 in a calendar month, and instead, authorizes a board member to receive compensation for up to six days in a calendar month. Authorizes a board member to receive compensation for a day of service rendered as director by request of the board.
3. Provides that reimbursement and compensation for meetings are subject to existing law, which requires a governing board to adopt a written policy to determine acceptable compensable activities, and adopt written policies for reimbursing expenses.
4. Makes other technical changes.

EXISTING LAW:

1. Authorizes the board of directors for a garbage and refuse disposal district to receive a maximum of $50 per diem for each day of attendance at board meetings, and prohibits board members from receiving more than $100 per diem in any calendar month.
2. Authorizes board members to be reimbursed for their actual and necessary expenses incurred in the performance of official business of the district, as approved by the board.

FISCAL EFFECT: None

COMMENTS:

1. Garbage and Refuse Disposal Districts. Several types of independent special districts are authorized to address garbage and waste collection needs, including community services districts, county water districts, and sanitary districts. Additionally, existing law outlines a principal act for garbage and refuse disposal districts, which requires the board to consist of at least three directors and provides an appointment process. The Assembly Revenue and Taxation Committee has only identified one district formed pursuant to this principal act, the Monterey Regional Waste Management District. The principal act prohibits any district from being formed after October 1, 1961.
2. Monterey Regional Waste Management District. In 1951, the Monterey Peninsula Garbage and Refuse Disposal District was formed to find a solution to the dumping and burning of waste on coastal sand dunes in Pacific Grove, Monterey, and Carmel. In 1987, the Monterey Peninsula Garbage and Refuse Disposal District changed its name to the Monterey Regional Waste Management District (MRWMD). MRWMD provides solid waste management and resource recovery, operates the 315 acre Monterey Peninsula Landfill, and develops and operates a number of other waste diversion and recycling facilities and programs. MRWMD is governed by a nine-member board appointed to four-year terms and consists of seven members appointed by each of the cities within the district's boundaries, one member for the unincorporated area, and one member-at-large.
3. Bill Summary. Existing law authorizes board members to receive a maximum of $50 per diem for each day of attendance at board meetings, with the per diem to be established by order of the board and entered upon its minutes, and a maximum of $100 per diem in any calendar month. This bill establishes new thresholds for compensation by authorizing the board to provide, by ordinance or resolution, board members with compensation in an amount not to exceed $100 per day of attendance at a meeting of the board for each day of service rendered as a director by request of the board. Additionally, this bill increases the monthly limit of compensation to allow a board member to receive compensation for up to six days in a calendar month. This bill also specifies that compensation and reimbursement expenses are subject to existing law put in place by AB 1234 (Salinas), Chapter 700, Statutes of 2005, which requires a governing board to adopt a written policy to determine acceptable compensable activities, and adopt written policies for reimbursing expenses. This bill is sponsored by MRWMD.
4. Author's Statement. According to the author, "MRWMD Board of Directors receives no more than fifty dollars per diem not to exceed one hundred dollars per calendar month. This code section was enacted over 26 years ago. Currently, MRWMD has an increased number of responsibilities and obligations due to an expanding residential and commercial population and new statutorily-required duties. This change required an increase in the number of employees, as well as an increase in the amount of participation by the Board. The Board now oversees a $24 million budget, the recovery of recyclable materials in the waste stream, composting of green waste and food waste, receipt of non-hazardous liquid waste, disposal of municipal solid waste, and the operation of a landfill gas-to-electric energy system. With the Board attending many more than two meetings per month and often attending other trainings and workshops, this bill merely proposes to update the Board of Directors' compensation to align more closely with the current level of responsibility as well as to mirror the compensation rates of nearly all other waste disposal districts in the state."
5. Arguments in Support. MRWMD argues board members should be afforded the same compensation as members of virtually all other public waste disposal districts and that this bill brings their board members to a fair degree of equity with their counterparts.
6. Arguments in Opposition. None on file.

Analysis Prepared by: Misa Lennox / L. GOV. / (916) 319-3958 FN: 0002728

Date of Hearing: April 6, 2016

ASSEMBLY COMMITTEE ON LOCAL GOVERNMENT

Susan Talamantes Eggman, Chair

ABPCA Bill Id:AB 1817 (

Author:Mark Stone) – As Introduced Ver:February 8, 2016

SUBJECT: Solid waste: garbage and refuse disposal districts: board of directors.

SUMMARY: Increases the cap on compensation for the board of directors of a garbage and refuse disposal district. Specifically, this bill:

1. Deletes existing law that provides board members of garbage and refuse disposal districts (board members) with a maximum of $50 per diem per meeting, and instead, requires board members to receive compensation that does not exceed $100 per meeting, as specified.
2. Deletes the existing monthly limit for each board member of $100 in a calendar month, and instead, authorizes a board member to receive compensation for up to six days in a calendar month.
3. Authorizes a board member to receive compensation for a day of service rendered as director by request of the board.
4. Removes the process by which the board establishes the amount of compensation and includes the amount in its minutes.
5. Makes other technical changes.

EXISTING LAW:

1. Requires the board of directors for a garbage and refuse disposal district to consist of no less than three members and establishes an appointment process for the board.
2. Authorizes board members to be reimbursed for their actual and necessary expenses incurred in the performance of official business of the district, as approved by the board.
3. Authorizes board members to receive a maximum of $50 per diem for each day of attendance at board meetings, with the per diem to be established by the board and entered upon its minutes.
4. Prohibits board members from receiving more than $100 per diem in any calendar month.
5. Requires, in addition to compensation in 3), and 4), above, the chairperson and secretary of the district board to receive monthly compensation established by the board.

FISCAL EFFECT: None

COMMENTS:

1. Garbage and Refuse Disposal Districts. Several types of independent special districts are authorized to address garbage and waste collection needs, including community services districts, county water districts, municipal utility districts, municipal water districts, public utility districts, and sanitary districts. Additionally, existing law outlines a principal act for garbage and refuse disposal districts to maintain and provide a site for the disposal of garbage and refuse. The district board is authorized to make and enforce all rules and regulations necessary for the administration and government of the district and of the operation and maintenance of the garbage and refuse disposal site acquired by the district.

Current law requires the board to consist of at least three directors and provides an appointment process for a district depending on how many cities are included in the boundaries. The Committee has only identified one district formed pursuant to this principal act, the Monterey Regional Waste Management District. The principal act prohibits any district from being formed after October 1, 1961.

1. Monterey Regional Waste Management District. In 1951, the Monterey Peninsula Garbage and Refuse Disposal District was formed to find a solution to the dumping and burning of waste on coastal sand dunes in Pacific Grove, Monterey, and Carmel. In 1987, the Monterey Peninsula Garbage and Refuse Disposal District changed its name to the Monterey Regional Waste Management District (MRWMD). MRWMD provides solid waste management and resource recovery, operates the 315 acre Monterey Peninsula Landfill, and develops and operates a number of other waste diversion and recycling facilities and programs. For example, MRWMD provides a safe collection program for household hazardous waste and operates landfill gas-to-electric energy plants. MRWMD is governed by a nine-member board appointed to four-year terms. The board is composed of seven members appointed by each of the seven cities within the district's boundaries, one member for the unincorporated area, and one director-at-large.
2. Bill Summary. Existing law authorizes board members to receive a maximum of $50 per diem for each day of attendance at board meetings, with the per diem to be established by order of the board and entered upon its minutes, and a maximum of $100 per diem in any calendar month. This bill establishes new thresholds for compensation by requiring that a board member receive compensation in an amount not to exceed $100 per day of attendance at a meeting of the board for each day of service rendered as a director by request of the board. Additionally, this bill increases the monthly limit of compensation to allow a board member to receive compensation up to six days in a calendar month. This bill is sponsored by MRWMD.
3. Author's Statement. According to the author, "MRWMD Board of Directors receives no more than fifty dollars per diem not to exceed one hundred dollars per calendar month. This code section was enacted over 26 years ago. This bill updates obsolete compensation to more closely reflect workload and that of other special districts. Currently, MRWMD has an increased number of responsibilities and obligations due to an expanding residential and commercial population and new statutorily-required duties. After a code change in 1990, the focus of the MRWMD moved towards recycling and waste diversion. This change required an increase in number of employees as well as an increase in the amount of participation by the Board.

"The Board now oversees a $24 million budget, the recovery of recyclable materials in the waste stream, composting of green waste and food waste, receipt of non-hazardous liquid waste, disposal of municipal solid waste, and the operation of a landfill gas-to-electric energy system. With the Board attending many more than two meetings per month and often attending other trainings and workshops, this bill merely proposes to update the Board of Directors compensation to align more closely with the current level of responsibility as well as to mirror the compensation rates of nearly all other waste disposal districts in the state."

1. Suggested Amendments. The Committee may wish to consider the following amendments:
   1. Comparable Compensation and Comparable Requirements. Proponents argue that this bill provides garbage and refuse disposal districts with compensation comparable to other types of special districts. The Committee may wish to consider if the requirements for compensation contained in principal acts for other types of districts like sanitary districts should also be comparable. AB 1234 (Salinas), Chapter 700, Statutes of 2005, requires a governing board to adopt a written policy to determine acceptable compensable activities, and adopt written policies for reimbursing expenses. The Committee may wish to specify that the requirements to establish written policies put in place by AB 1234 are contained in the principal act for garbage and refuse disposal districts, as follows:

(c) For purposes of this section, the determination of whether a district board member's activities on any specific day are compensable shall be made pursuant to Article 2.3 (commencing with Section 53232) of Chapter 2 of Part 1 of Division 2 of Title 5 of the Government Code.

(e) Reimbursement for these expenses is subject to Sections 53232.2 and 53232.3 of the Government Code.

• 1. Determination of Compensation. This bill removes the requirement that per diem be established by order of the board. The Committee may wish to require the board to provide by ordinance or resolution that each board member receives compensation in an amount not to exceed $100.

1. Arguments in Support. MRWMD argues that board members have taken on considerable responsibilities, including attendance at multiple meetings often exceeding two in a calendar month. Additionally, MRWMD argues board members should be afforded the same compensation as members of virtually all other public waste disposal districts in California and that this bill brings their board members to a fair degree of equity with their counterparts within the state.
2. Arguments in Opposition. None on file.

REGISTERED SUPPORT / OPPOSITION:

Support

Monterey Regional Waste Management District [SPONSOR]

California Special Districts Association

Monterey County Business Council

Monterey Peninsula Chamber of Commerce

Save Our Shores

The Offset Project

Opposition

None on file

Analysis Prepared by: Misa Lennox / L. GOV. / (916) 319-3958