SB 1318: Local government: drinking water infrastructure or services: wastewater infrastructure or services.
- Session Year: 2015-2016
- House: Senate
- Latest Version Date: 2016-06-01
The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 governs the procedures for the formation and change of organization of cities and special districts.
Existing law authorizes a local agency formation commission to initiate proposals by resolution of application for, among other things, the consolidation of a district, a merger, and the formation of a new district or districts.
This bill would additionally authorize a local agency formation commission to initiate a proposal by resolution of application for the annexation of a disadvantaged unincorporated community, as specified.
Existing law requires an applicant for a change of organization or reorganization to include a plan for providing services within the affected territory that includes, among other things, an enumeration and description of the services to be extended to the affected territory and an indication of when those services can feasibly be extended to the affected territory.
This bill would additionally require an applicant to include an enumeration and description of the services currently provided, and would require an indication of when services can feasibly be extended to the affected territory if new services are proposed.
Existing law, except as otherwise provided, prohibits a local agency formation commission from approving an annexation to a city of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community, as specified, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
This bill would extend that prohibition to an annexation to a qualified special district. The bill would define qualified special district to mean a special district with more than 500 service connections that provides drinking water or wastewater services.
Existing law requires a local agency formation commission to develop and determine the sphere of influence of each city and each special district within the county and to enact policies designed to promote the logical and orderly development of areas within the sphere.
This bill would additionally require a local agency formation commission to enact policies designed to promote the logical and orderly development of areas adjacent to the sphere of influence of each city and special district.
The bill would prohibit a commission from approving a sphere of influence update that removes a disadvantaged community from a citys or special districts sphere of influence unless the commission makes a finding that removal of the community will result in improved service delivery to the community.
Existing law requires a commission, in preparing and updating spheres of influence, to conduct a service review of the municipal services provided in the county or other area designated by the commission. Existing law authorizes the commission, in conducting the review, to assess various alternatives for improving efficiency and affordability of infrastructure and service delivery, as specified, and to include a review of whether the agencies under review are in compliance with the California Safe Drinking Water Act.
Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, this bill would instead require the commission to make the assessment of alternatives and to include the safe drinking water review described above if the information is available from the State Water Resources Control Board or other sources. This bill would, on or before January 1, 2022, and every 5 years thereafter, require the commission to conduct service reviews sufficient to have reviewed the entire territory of the county. The bill would require the commission to file a map of the county that identifies disadvantaged unincorporated communities that lack safe drinking water or adequate wastewater with the Office of Planning and Research, and would require the Office of Planning and Research to post the map on its Internet Web site. The bill would additionally require the commission, within 2 years of identifying a disadvantaged unincorporated community that lacks safe drinking water or adequate wastewater services, to recommend a plan based on the alternatives analyzed and adopt any actions necessary to implement the plan, as specified.
This bill would, on or before January 1, 2018, and every 5 years thereafter, additionally require a local agency formation commission to identify and determine the location of any disadvantaged unincorporated community, as defined, that is within or adjacent to the sphere of influence of a city or a special district and review the adequacy and need for water and wastewater services within the identified disadvantaged unincorporated communities, as specified. The bill would, on or before January 1, 2020, and every 5 years thereafter, require the commission to adopt a written accessibility plan that addresses any existing service inefficiencies or needs within any identified disadvantaged unincorporated community, and would require a local agency formation commission to take certain steps to implement the plan and address service needs. The bill would, on or before January, 1, 2018, additionally require a local agency formation commission to file a map of the county that identified any disadvantaged unincorporated community that lacks safe drinking water or adequate wastewater and a copy of the accessibility plan.
Existing law requires each city or county, on or before the due date for the next adoption of its housing element, to review and update the land use element of its general plan based on available data, including, but not limited to, the data an analysis prepared by a local agency formation commission in a service review of the municipal services of unincorporated island, fringe, or legacy communities inside or near its boundaries, as specified. Existing law also requires each city and county to, on or before the due date for each subsequent revision of its housing element, review and if necessary amend its general plan to update specified analysis.
This bill would require each city or county, on or before the next adoption of its housing element and on or before the due date for each subsequent revision of its housing element, to additionally incorporate any adopted accessibility plan into the general plan and any update of the land use element of its general plan, as specified.
By imposing new duties on local government officials, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.
The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 governs the procedures for the formation and change of organization of cities and special districts.
Existing law authorizes a city or district to provide new or extended services by contract or agreement outside its jurisdictional boundaries only if the city or district requests and receives permission to do so from the local agency formation commission in the affected county. Under existing law, the commission may authorize a city or district to provide new or extended services outside both its jurisdictional boundaries and its sphere of influence under specified circumstances.
This bill would prohibit the commission from authorizing a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services until it has entered into an enforceable agreement to extend the same services to all disadvantaged communities within its sphere of influence or adjacent to its jurisdictional boundaries, unless specified conditions are met. The bill would prohibit the commission from approving a sphere of influence update where there exists a disadvantaged unincorporated community within the citys or special districts sphere of influence or contiguous with a citys or qualifying special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless specified conditions are met.
Existing law establishes a pilot program for the Napa and San Bernardino local agency formation commissions that permits those commissions to authorize a city or district to provide new or extended services outside both its jurisdictional boundaries and its sphere of influence under specified circumstances.
This bill would prohibit those commissions from authorizing a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services until it has entered into an enforceable agreement to extend those services to all disadvantaged communities within its sphere of influence or contiguous with a citys or districts jurisdictional boundaries that lack safe drinking water or adequate wastewater infrastructure or services unless specified conditions are met.
Existing law, except as otherwise provided, prohibits a local agency formation commission from approving an annexation to a city of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community, as specified, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
This bill would extend that prohibition to an annexation to a qualified special district. The bill would additionally prohibit a commission from approving an annexation to a city or qualified special district of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community within the sphere of influence of a city or qualified special district or contiguous to the citys or qualified special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services, unless, among other things, the city or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities. The bill would define qualified special district to mean a special district with more than 500 service connections that provides drinking water or wastewater services.
Existing law requires a local agency formation commission to develop and determine the sphere of influence of each city and each special district within the county and to enact policies designed to promote the logical and orderly development of areas within the sphere. Existing law authorizes the commission, in determining a sphere of influence, to assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies, as provided.
This bill would instead require the commission to assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies. The bill would prohibit a commission from approving a sphere of influence update that removes a disadvantaged community from a citys or special districts sphere of influence unless the commission makes a finding that removal of the community will result in improved service delivery to the community.
Existing law requires a commission, in preparing and updating spheres of influence, to conduct a service review of the municipal services provided in the county or other area designated by the commission. Existing law authorizes the commission, in conducting the review, to assess various alternatives for improving efficiency and affordability of infrastructure and service delivery, as specified, and to include a review of whether the agencies under review are in compliance with the California Safe Drinking Water Act.
Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, this bill would instead require the commission to make the assessment of alternatives and to include the safe drinking water review described above if the information is readily available from the State Water Resources Control Board or other sources. This bill would, on or before January 1, 2022, and every 5 years thereafter, require the commission to conduct service reviews sufficient to have reviewed the entire territory of the county. The bill would require the commission to file a map of the county that identifies disadvantaged unincorporated communities that lack safe drinking water or adequate wastewater with the Office of Planning and Research, and would require the Office of Planning and Research to post the map on its Internet Web site. The bill would additionally require the commission, within 2 years of identifying a disadvantaged unincorporated community that lacks safe drinking water or adequate wastewater services, to recommend a plan based on the alternatives analyzed and adopt any actions necessary to implement the plan, as specified.
By imposing new duties on local government officials, this bill would impose a state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.
The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 governs the procedures for the formation and change of organization of cities and special districts.
Existing law authorizes a city or district to provide new or extended services by contract or agreement outside its jurisdictional boundaries only if the city or district requests and receives permission to do so from the local agency formation commission in the affected county. Under existing law, the commission may authorize a city or district to provide new or extended services outside both its jurisdictional boundaries and its sphere of influence under specified circumstances.
This bill would prohibit the commission from authorizing a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services until it has extended those entered into an enforceable agreement to extend the same services to all disadvantaged communities within or adjacent to its sphere of influence, as specified, or has entered into an agreement to extend those services to those disadvantaged communities, influence or adjacent to its jurisdictional boundaries, unless specified conditions are met. The bill would prohibit the commission from approving a sphere of influence update where there exists a disadvantaged unincorporated community within or adjacent to the city citys or special districts sphere of influence or contiguous with a citys or qualifying special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless specified conditions are met.
Existing law establishes a pilot program for the Napa and San Bernardino local agency formation commissions that permits those commissions to authorize a city or district to provide new or extended services outside both its jurisdictional boundaries and its sphere of influence under specified circumstances.
This bill would prohibit those commissions from authorizing a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services until it has extended entered into an enforceable agreement to extend those services to all disadvantaged communities within or adjacent to its sphere of influence, as specified, or has entered into an agreement to extend those services to those disadvantaged communities. influence or contiguous with a citys or districts jurisdictional boundaries that lack safe drinking water or adequate wastewater infrastructure or services unless specified conditions are met.
Existing law, except as otherwise provided, prohibits a local agency formation commission from approving an annexation to a city of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community, as specified, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
This bill would extend that prohibition to the an annexation to a qualified special district. The bill would additionally prohibit a commission from approving an annexation to a city or qualified special district of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community within or adjacent to the sphere of influence of a city or qualified special district or contiguous to the citys or qualified special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services, unless unless, among other things, the city or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities, as specified. communities. The bill would define qualified special district to mean a special district with more than 500 service connections. connections that provides drinking water or wastewater services.
Existing law requires a local agency formation commission to develop and determine the sphere of influence of each city and each special district within the county and to enact policies designed to promote the logical and orderly development of areas within the sphere. Existing law authorizes the commission, in determining a sphere of influence, to assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies, as provided.
This bill would instead require the commission to assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies. The bill would prohibit a commission from approving a sphere of influence update that removes a disadvantaged community from a citys or special districts sphere of influence unless a majority of the voters in the disadvantaged community approve of the proposed sphere of influence. the commission makes a finding that removal of the community will result in improved service delivery to the community.
Existing law requires a commission, in preparing and updating spheres of influence, to conduct a service review of the municipal services provided in the county or other area designated by the commission. Existing law authorizes the commission, in conducting the review, to assess various alternatives for improving efficiency and affordability of infrastructure and service delivery, as specified, and to include a review of whether the agencies under review are in compliance with the California Safe Drinking Water Act.
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Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, this bill would instead require the commission to make the assessment of alternative alternatives and to include the safe drinking water review described above. above if the information is readily available.
By imposing new duties on local government officials, this bill would impose a state-mandate state-mandated local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.
The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 governs the procedures for the formation and change of organization of cities and special districts.
Existing law authorizes a city or district to provide new or extended services by contract or agreement outside its jurisdictional boundaries only if the city or district requests and receives permission to do so from the local agency formation commission in the affected county. Under existing law, the commission may authorize a city or district to provide new or extended services outside both its jurisdictional boundaries and its sphere of influence under specified circumstances.
This bill would prohibit the commission from authorizing a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services until it has extended those services to all disadvantaged communities within or adjacent to its sphere of influence, as specified, or has entered into an agreement to extend those services to those disadvantaged communities, unless specified conditions are met. The bill would prohibit the commission from approving a sphere of influence update where there exists a disadvantaged unincorporated community within or adjacent to the city or special districts sphere of influence that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless specified conditions are met.
Existing law establishes a pilot program for the Napa and San Bernardino local agency formation commissions that permits those commissions to authorize a city or district to provide new or extended services outside both its jurisdictional boundaries and its sphere of influence under specified circumstances.
This bill would prohibit those commissions from authorizing a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services until it has extended services to all disadvantaged communities within or adjacent to its sphere of influence, as specified, or has entered into an agreement to extend those services to those disadvantaged communities.
Existing law, except as otherwise provided, prohibits a local agency formation commission from approving an annexation to a city of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community, as specified, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
This bill would extend that prohibition to the annexation to a qualified special district. The bill would additionally prohibit a commission from approving an annexation to a city or qualified special district of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community within or adjacent to the sphere of influence of a city or qualified special district that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services, unless the city or special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities, as specified. The bill would define qualified special district to mean a special district with more than 500 service connections.
Existing law requires a local agency formation commission to develop and determine the sphere of influence of each city and each special district within the county and to enact policies designed to promote the logical and orderly development of areas within the sphere. Existing law authorizes the commission, in determining a sphere of influence, to assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies, as provided.
This bill would instead require the commission to assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies. The bill would prohibit a commission from approving a sphere of influence update that removes a disadvantaged community from a citys sphere of influence unless a majority of the voters in the disadvantaged community approve of the proposed sphere of influence.
Existing law requires a commission, in preparing and updating spheres of influence, to conduct a service review of the municipal services provided in the county or other area designated by the commission. Existing law authorizes the commission, in conducting the review, to assess various alternatives for improving efficiency and affordability of infrastructure and service delivery, as specified, and to include a review of whether the agencies under review are in compliance with the California Safe Drinking Water Act.
This bill would instead require the commission to make the assessment of alternative and to include the safe drinking water review described above.
By imposing new duties on local government officials, this bill would impose a state-mandate local program.
The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.
The commission shall have all of the following powers and duties subject to any limitations upon its jurisdiction set forth in this part:
(a)(1)To review and approve with or without amendment, wholly, partially, or conditionally, or disapprove proposals for changes of organization or reorganization, consistent with written policies, procedures, and guidelines adopted by the commission.
(2)The commission may initiate proposals by resolution of application for any of the following:
(A)The consolidation of a district, as defined in Section 56036.
(B)The dissolution of a district.
(C)A merger.
(D)The establishment of a subsidiary district.
(E)The formation of a new district or districts.
(F)The annexation of a disadvantaged unincorporated community as defined by Section 56378.5.
(F)
(G)A reorganization that includes any of the changes specified in subparagraph (A), (B), (C), (D), or (E).
(3)A commission may initiate a proposal described in paragraph (2) only if that change of organization or reorganization is consistent with a recommendation or conclusion of a study prepared pursuant to Section 56378, 56425, or 56430, and the commission makes the determinations specified in subdivision (b) of Section 56881.
(4)A commission shall not disapprove an annexation to a city, initiated by resolution, of contiguous territory that the commission finds is any of the following:
(A)Surrounded or substantially surrounded by the city to which the annexation is proposed or by that city and a county boundary or the Pacific Ocean if the territory to be annexed is substantially developed or developing, is not prime agricultural land as defined in Section 56064, is designated for urban growth by the general plan of the annexing city, and is not within the sphere of influence of another city.
(B)Located within an urban service area that has been delineated and adopted by a commission, which is not prime agricultural land, as defined by Section 56064, and is designated for urban growth by the general plan of the annexing city.
(C)An annexation or reorganization of unincorporated islands meeting the requirements of Section 56375.3.
(5)As a condition to the annexation of an area that is surrounded, or substantially surrounded, by the city to which the annexation is proposed, the commission may require, where consistent with the purposes of this division, that the annexation include the entire island of surrounded, or substantially surrounded, territory.
(6)A commission shall not impose any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
(7)The decision of the commission with regard to a proposal to annex territory to a city shall be based upon the general plan and prezoning of the city. When the development purposes are not made known to the annexing city, the annexation shall be reviewed on the basis of the adopted plans and policies of the annexing city or county. A commission shall require, as a condition to annexation, that a city prezone the territory to be annexed or present evidence satisfactory to the commission that the existing development entitlements on the territory are vested or are already at build-out, and are consistent with the citys general plan. However, the commission shall not specify how, or in what manner, the territory shall be prezoned.
(8)(A)Except for those changes of organization or reorganization authorized under Section 56375.3, and except as provided by subparagraph (B), a commission shall not approve an annexation to a city or to a qualified special district of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community that is contiguous to the area of proposed annexation, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
(B)An application to annex a contiguous disadvantaged community shall not be required if either of the following apply:
(i)A prior application for annexation of the same disadvantaged community has been made in the preceding five years.
(ii)The commission finds, based upon written evidence, that a majority of the registered voters within the affected disadvantaged unincorporated community are opposed to annexation.
(C)For purposes of this paragraph, a qualified special district means a special district with more than 500 service connections that provides drinking water or wastewater services.
(b)With regard to a proposal for annexation or detachment of territory to, or from, a city or district or with regard to a proposal for reorganization that includes annexation or detachment, to determine whether territory proposed for annexation or detachment, as described in its resolution approving the annexation, detachment, or reorganization, is inhabited or uninhabited.
(c)With regard to a proposal for consolidation of two or more cities or districts, to determine which city or district shall be the consolidated successor city or district.
(d)To approve the annexation of unincorporated, noncontiguous territory, subject to the limitations of Section 56742, located in the same county as that in which the city is located, and that is owned by a city and used for municipal purposes and to authorize the annexation of the territory without notice and hearing.
(e)To approve the annexation of unincorporated territory consistent with the planned and probable use of the property based upon the review of general plan and prezoning designations. No subsequent change may be made to the general plan for the annexed territory or zoning that is not in conformance to the prezoning designations for a period of two years after the completion of the annexation, unless the legislative body for the city makes a finding at a public hearing that a substantial change has occurred in circumstances that necessitate a departure from the prezoning in the application to the commission.
(f)With respect to the incorporation of a new city or the formation of a new special district, to determine the number of registered voters residing within the proposed city or special district or, for a landowner-voter special district, the number of owners of land and the assessed value of their land within the territory proposed to be included in the new special district. The number of registered voters shall be calculated as of the time of the last report of voter registration by the county elections official to the Secretary of State prior to the date the first signature was affixed to the petition. The executive officer shall notify the petitioners of the number of registered voters resulting from this calculation. The assessed value of the land within the territory proposed to be included in a new landowner-voter special district shall be calculated as shown on the last equalized assessment roll.
(g)To adopt written procedures for the evaluation of proposals, including written definitions consistent with existing state law. The commission may adopt standards for any of the factors enumerated in Section 56668. Any standards adopted by the commission shall be written.
(h)To adopt standards and procedures for the evaluation of service plans submitted pursuant to Section 56653 and the initiation of a change of organization or reorganization pursuant to subdivision (a).
(i)To make and enforce regulations for the orderly and fair conduct of hearings by the commission.
(j)To incur usual and necessary expenses for the accomplishment of its functions.
(k)To appoint and assign staff personnel and to employ or contract for professional or consulting services to carry out and effect the functions of the commission.
(l)To review the boundaries of the territory involved in any proposal with respect to the definiteness and certainty of those boundaries, the nonconformance of proposed boundaries with lines of assessment or ownership, and other similar matters affecting the proposed boundaries.
(m)To waive the restrictions of Section 56744 if it finds that the application of the restrictions would be detrimental to the orderly development of the community and that the area that would be enclosed by the annexation or incorporation is so located that it cannot reasonably be annexed to another city or incorporated as a new city.
(n)To waive the application of Section 22613 of the Streets and Highways Code if it finds the application would deprive an area of a service needed to ensure the health, safety, or welfare of the residents of the area and if it finds that the waiver would not affect the ability of a city to provide any service. However, within 60 days of the inclusion of the territory within the city, the legislative body may adopt a resolution nullifying the waiver.
(o)If the proposal includes the incorporation of a city, as defined in Section 56043, or the formation of a district, as defined in Section 2215 of the Revenue and Taxation Code, the commission shall determine the property tax revenue to be exchanged by the affected local agencies pursuant to Section 56810.
(p)To authorize a city or district to provide new or extended services outside its jurisdictional boundaries pursuant to Section 56133.
(q)To enter into an agreement with the commission for an adjoining county for the purpose of determining procedures for the consideration of proposals that may affect the adjoining county or where the jurisdiction of an affected agency crosses the boundary of the adjoining county.
(r)To approve with or without amendment, wholly, partially, or conditionally, or disapprove pursuant to this section the annexation of territory served by a mutual water company formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code that operates a public water system to a city or special district. Any annexation approved in accordance with this subdivision shall be subject to the state and federal constitutional prohibitions against the taking of private property without the payment of just compensation. This subdivision shall not impair the authority of a public agency or public utility to exercise eminent domain authority.
SEC. 2.Section 56378.5 is added to the Government Code, to read:56378.5.(a)For purposes of this section, the following terms have the following meanings:
(1)Adequate wastewater services means services sufficient to meet residents health and safety needs.
(2)Disadvantaged unincorporated community means an unincorporated area that is a disadvantaged community as defined by Section 65302.10, or as determined by commission policy, that constitutes all or a portion of a disadvantaged community as defined by Section 79505.5 of the Water Code and that lacks safe drinking water, as defined by subdivision (i) of Section 116681 of the Health and Safety Code, or adequate wastewater services.
(b)(1) On or before January 1, 2018, and every five years thereafter, the commission shall identify and determine the location of any disadvantaged unincorporated community that is within or adjacent to the sphere of influence of a city or special district by using, at a minimum, data at the census block group level.
(2)On or before January 1, 2018 and every five years thereafter, the commission shall review the adequacy and need for water and wastewater services within disadvantaged unincorporated communities identified pursuant to paragraph (1) in accordance with the study prepared pursuant to Section 56378 or the service review conducted pursuant to Section 56430. The analysis shall consider, but is not limited to, the analysis prepared by a city or county pursuant to paragraphs (2) and (3) of subdivision (b) of Section 65302.10.
(c)On or before January 1, 2020, and every five years thereafter, the commission shall adopt a written accessibility plan after a noticed hearing. The written accessibility shall identify opportunities and strategies to address any existing service inefficiencies or needs within the any community identified pursuant to paragraph (1) of subdivision (b). The accessibility plan may include information and actions identified by a city or county pursuant to paragraphs (2) and (3) of subdivision (b) of Section 65302.10. The accessibility plan shall contain, but is not limited to, statements that address all of the following factors:
(1)The local agency best positioned to provide the subject water and or wastewater services to the affected territory.
(2)Any actions and alternatives necessary to be taken by the commission, if any, to enable the local agency identified in paragraph (1) to provide services to the affected territory.
(3)The actions to be taken by any local agency that the commission believes is necessary to establish services to the disadvantaged unincorporated community.
(4)Any related consideration, as deemed relevant by the commission, required to establish public water or wastewater services to the affected disadvantaged unincorporated community with respect to the commissions regional growth management responsibilities pursuant to Section 56301.
(5)An analysis of costs and benefits for residents in each affected territory.
(6)A written analysis demonstrating that a majority of residents do not oppose the reorganization, service extension or other action anticipated in the accessibility plan.
(7)An analysis of local, state, and federal funding sources available to implement the accessibility plan
(8)An identification, based on substantial evidence, of any disadvantaged unincorporated community for which there is no technically or economically feasible way of connecting to an existing system through annexation or service extension. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Article 9 (commencing with Sections 116680) of Chapter 4 of Part 12 of Division 104 of the Health and Safety Code.
(d)Costs and fees for services provided to the affected territory through implementation of the accessibility plan shall not exceed costs and fees charged to existing water and wastewater system customers of the applicable service provider.
(e)On or before January 1, 2018, the commission shall file a map of the county that identifies disadvantaged unincorporated communities that lack safe drinking water or adequate wastewater along with the adopted accessibility plan prepared pursuant to subdivision (c) in electronic format with the Office of Planning and Research. Maps and adopted accessibility plans addressing disadvantaged unincorporated communities that lack safe drinking water shall also be provided to the State Water Resources Control Board, and those lacking adequate wastewater shall be provided to the State Water Resources Control Board and any affected regional water quality control board. All maps shall be made available on the Office of Planning and Researchs and State Water Resources Control Boards Internet Web sites.
(f)Within two years of the adoption of an accessibility plan pursuant to subdivision (c), the commission shall hold a noticed public hearing and review the status of every disadvantaged unincorporated community that is subject to the accessibility plan. If the commission determines that the service needs remain unaddressed, the commission shall initiate a change of organization or reorganization pursuant to this chapter.
(g)The commission shall hold the public hearing required pursuant to subdivisions (c) and (f) in a place as close as feasible to the affected areas. The commission shall provide a 30 day notice of each hearing to the residents of any identified disadvantaged unincorporated community and any other stakeholder including, but not limited to, the State Water Resources Control Board, cities, counties, and special districts. The hearing shall provide residents of the disadvantaged unincorporated communities an opportunity for public comment.
(h)Any actions taken to implement an adopted accessibility plan pursuant tor this section shall not be subject to an election or any protest proceedings, as defined in section 56069.5. The commission shall not take action to implement an adopted accessibility plan if the commission finds, based upon written evidence, that a majority of the residents within the affected territory are opposed to the recommended action.
(i)Any action taken by the commission pursuant to this section shall include a condition requiring the sufficient completion, as determined by the commission, of an engineering, funding, and other related planning activity by the local agency necessary to establish services to the affected territory.
(j)The commission shall be eligible for reimbursement by the state for the initiation and implementation of and accessibility plan pursuant to this section.
SEC. 2.SEC. 3.Section 56425 of the Government Code is amended to read:56425.(a)In order to carry out its purposes and responsibilities for planning and shaping the logical and orderly development and coordination of local governmental agencies subject to the jurisdiction of the commission to advantageously provide for the present and future needs of the county and its communities, the commission shall develop and determine the sphere of influence of each city and each special district, as defined by Section 56036, within the county and enact policies designed to promote the logical and orderly development of areas within or adjacent to the sphere.
(b)Prior to a city submitting an application to the commission to update its sphere of influence, representatives from the city and representatives from the county shall meet to discuss the proposed new boundaries of the sphere and explore methods to reach agreement on development standards and planning and zoning requirements within the sphere to ensure that development within the sphere occurs in a manner that reflects the concerns of the affected city and is accomplished in a manner that promotes the logical and orderly development of areas within the sphere. If an agreement is reached between the city and county, the city shall forward the agreement in writing to the commission, along with the application to update the sphere of influence. The commission shall consider and adopt a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section, and the commission shall give great weight to the agreement to the extent that it is consistent with commission policies in its final determination of the city sphere.
(c)If the commissions final determination is consistent with the agreement reached between the city and county pursuant to subdivision (b), the agreement shall be adopted by both the city and county after a noticed public hearing. Once the agreement has been adopted by the affected local agencies and their respective general plans reflect that agreement, then any development approved by the county within the sphere shall be consistent with the terms of that agreement.
(d)If no agreement is reached pursuant to subdivision (b), the application may be submitted to the commission and the commission shall consider a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section.
(e)In determining the sphere of influence of each local agency, the commission shall consider and prepare a written statement of its determinations with respect to each of the following:
(1)The present and planned land uses in the area, including agricultural and open-space lands.
(2)The present and probable need for public facilities and services in the area.
(3)The present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide.
(4)The existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency.
(5)For an update of a sphere of influence of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, that occurs pursuant to subdivision (g) on or after July 1, 2012, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within or adjacent to the existing sphere of influence.
(f)Upon determination of a sphere of influence, the commission shall adopt that sphere.
(g)On or before January 1, 2008, and every five years thereafter, the commission shall, as necessary, review and update each sphere of influence.
(h)In determining a sphere of influence, the commission may assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies when reorganization is found to be feasible and if reorganization will further the goals of orderly development and efficient and affordable service delivery. The commission shall make all reasonable efforts to ensure wide public dissemination of the recommendations.
(i)When adopting, amending, or updating a sphere of influence for a special district, the commission shall establish the nature, location, and extent of any functions or classes of services provided by existing districts.
(j)When adopting, amending, or updating a sphere of influence for a special district, the commission may require existing districts to file written statements with the commission specifying the functions or classes of services provided by those districts.
(k)The commission shall not approve a sphere of influence update that removes a disadvantaged community from a city or a special district unless the commission makes a finding, based on written evidence, that the removal of the disadvantaged community will result in improved service delivery to the community.
SEC. 3.SEC. 4.Section 56430 of the Government Code is amended to read:56430.(a)In order to prepare and to update spheres of influence in accordance with Section 56425, the commission shall conduct a service review of the municipal services provided in the county or other appropriate area designated by the commission. The commission shall include in the area designated for service review the county, the region, the subregion, or any other geographic area as is appropriate for an analysis of the service or services to be reviewed, and shall prepare a written statement of its determinations with respect to each of the following:
(1)Growth and population projections for the affected area.
(2)The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence.
(3)Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies including needs or deficiencies related to sewers, municipal and industrial water, and structural fire protection in any disadvantaged, unincorporated communities within or contiguous to the sphere of influence.
(4)Financial ability of agencies to provide services.
(5)Status of, and opportunities for, shared facilities.
(6)Accountability for community service needs, including governmental structure and operational efficiencies.
(7)Any other matter related to effective or efficient service delivery, as required by commission policy.
(b)In conducting a service review, the commission shall comprehensively review all of the agencies that provide the identified service or services within the designated geographic area. Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, the commission shall assess various alternatives for improving efficiency and affordability of drinking water or wastewater infrastructure and service delivery within and contiguous to the sphere of influence, including, but not limited to, the consolidation of governmental agencies or the extension of services, or both.
(c)In conducting a service review, the commission shall include a review of whether the agencies under review, including any public water system as defined in Section 116275 of the Health and Safety Code, are in compliance with the California Safe Drinking Water Act (Chapter 4 (commencing with Section 116270) of Part 12 of Division 104 of the Health and Safety Code) if the information is available from the State Water Resources Control Board or other sources. A public water system may satisfy any request for information as to compliance with that act by submission of the consumer confidence or water quality report prepared by the public water system as provided by Section 116470 of the Health and Safety Code.
(d)The commission may request information, as part of a service review under this section, from identified public or private entities that provide wholesale or retail supply of drinking water, including mutual water companies formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code, and private utilities, as defined in Section 1502 of the Public Utilities Code.
(e)(1)The commission shall conduct a service review before, or in conjunction with, but no later than the time it is considering an action to establish a sphere of influence in accordance with Section 56425 or 56426.5 or to update a sphere of influence pursuant to Section 56425.
(2)On or before January 1, 2022, and every five years thereafter, the commission shall conduct service reviews sufficient to have reviewed the entire territory of the county.
(f)The commission shall file a map of the county that identifies disadvantaged unincorporated communities that lack safe drinking water or adequate wastewater in electronic format with the Office of Planning and Research. The Office of Planning and Research shall make the map available on its Internet Web site.
(g)(1)Within two years of identification of a disadvantaged unincorporated community that lacks safe drinking water or adequate wastewater services pursuant to this section, the commission shall recommend a plan based on the alternatives analyzed and shall adopt any actions necessary to implement the plan, including sphere of influence updates, extensions of service, or changes of organization.
(2)Actions taken to adopt a plan under this subdivision shall not be subject to an election or any protest proceedings, as defined in Section 56069.5, except that the commission shall conduct protest proceedings for residents of the disadvantaged community.
(3)The commission shall not be required to adopt or implement a plan if the commission finds, based on substantial evidence, that there is no technical or economically feasible way of connecting the disadvantaged unincorporated community to an existing system, considering any financial assistance available from the State Water Resources Control Board or any other applicable source of financial assistance. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(h)(1)Notwithstanding Section 56133, 56133.5, or 56375, on and after January 1, 2022, a commission shall not change the sphere of influence of, or authorize extension of services by, a qualifying city or special district if the commission has not done one of the following:
(A)Conducted the analysis required by this section.
(B)Adopted a plan or taken the actions required by subdivision (g).
(2)Notwithstanding Section 56133, 56133.5, or 56375, a commission shall not change the sphere of influence of, or authorize an extension of services by, a qualifying city or special district if the city or special district has been designated in a plan developed pursuant to subdivision (g) to provide water or wastewater services and the city or special district has not begun providing water or wastewater service, as identified by the commissions plan, within three years of being designated in the plan.
(3)The prohibition against a change to a sphere of influence or extension of service pursuant to paragraphs (1) and (2) shall not apply to either of the following:
(A)An application to extend services to, or include in their sphere of influence, a disadvantaged unincorporated community.
(B)An extension of service authorized pursuant to subdivision (c) of Section 56133.
(i)As used in this section, a qualifying city or special district means a city or special district that provides water service or wastewater services and serves 500 or more connections.
SEC. 5.Section 56653 of the Government Code, as amended by Section 2 of Chapter 784 of the Statutes of 2014, is amended to read:56653.(a)If a proposal for a change of organization or reorganization is submitted pursuant to this part, the applicant shall submit a plan for providing services within the affected territory.
(b)The plan for providing services shall include all of the following information and any additional information required by the commission or the executive officer:
(1)An enumeration and description of the services currently provided or to be extended to the affected territory.
(2)The level and range of those services.
(3)An indication of when those services can feasibly be extended to the affected territory. territory, if new services are proposed.
(4)An indication of any improvement or upgrading of structures, roads, sewer or water facilities, or other conditions the local agency would impose or require within the affected territory if the change of organization or reorganization is completed.
(5)Information with respect to how those services will be financed.
(c)(1)In the case of a change of organization or reorganization initiated by a local agency that includes a disadvantaged, unincorporated community as defined in Section 56033.5, a local agency may include in its resolution of application for change of organization or reorganization an annexation development plan adopted pursuant to Section 99.3 of the Revenue and Taxation Code to improve or upgrade structures, roads, sewer or water facilities, or other infrastructure to serve the disadvantaged, unincorporated community through the formation of a special district or reorganization of one or more existing special districts with the consent of each special districts governing body.
(2)The annexation development plan submitted pursuant to this subdivision shall include information that demonstrates that the formation or reorganization of the special district will provide all of the following:
(A)The necessary financial resources to improve or upgrade structures, roads, sewer, or water facilities or other infrastructure. The annexation development plan shall also clarify the local entity that shall be responsible for the delivery and maintenance of the services identified in the application.
(B)An estimated timeframe for constructing and delivering the services identified in the application.
(C)The governance, oversight, and long-term maintenance of the services identified in the application after the initial costs are recouped and the tax increment financing terminates.
(3)If a local agency includes an annexation development plan pursuant to this subdivision, a local agency formation commission may approve the proposal for a change of organization or reorganization to include the formation of a special district or reorganization of a special district with the special districts consent, including, but not limited to, a community services district, municipal water district, or sanitary district, to provide financing to improve or upgrade structures, roads, sewer or water facilities, or other infrastructure to serve the disadvantaged, unincorporated community, in conformity with the requirements of the principal act of the district proposed to be formed and all required formation proceedings.
(4)Pursuant to Section 56881, the commission shall include in its resolution making determinations a description of the annexation development plan, including, but not limited to, an explanation of the proposed financing mechanism adopted pursuant to Section 99.3 of the Revenue and Taxation Code, including, but not limited to, any planned debt issuance associated with that annexation development plan.
(d)This section shall not preclude a local agency formation commission from considering any other options or exercising its powers under Section 56375.
(e)This section shall remain in effect only until January 1, 2025, and as of that date is repealed.
SEC. 6.Section 56653 of the Government Code, as added by Section 3 of Chapter 784 of the Statutes of 2014, is amended to read:56653.(a)If a proposal for a change of organization or reorganization is submitted pursuant to this part, the applicant shall submit a plan for providing services within the affected territory.
(b)The plan for providing services shall include all of the following information and any additional information required by the commission or the executive officer:
(1)An enumeration and description of the services currently provided or to be extended to the affected territory.
(2)The level and range of those services.
(3)An indication of when those services can feasibly be extended to the affected territory. territory, if new services are proposed.
(4)An indication of any improvement or upgrading of structures, roads, sewer or water facilities, or other conditions the local agency would impose or require within the affected territory if the change of organization or reorganization is completed.
(5)Information with respect to how those services will be financed.
(c)This section shall become operative on January 1, 2025.
SEC. 7.Section 65302.10 of the Government Code is amended to read:65302.10.(a)As used in this section, the following terms shall have the following meanings:
(1)Community means an inhabited area within a city or county that is comprised of no less than 10 dwellings adjacent or in close proximity to one another.
(2)Disadvantaged unincorporated community means a fringe, island, or legacy community in which the median household income is 80 percent or less than the statewide median household income.
(3)Fringe community means any inhabited and unincorporated territory that is within a citys sphere of influence.
(4)Island community means any inhabited and unincorporated territory that is surrounded or substantially surrounded by one or more cities or by one or more cities and a county boundary or the Pacific Ocean.
(5)Legacy community means a geographically isolated community that is inhabited and has existed for at least 50 years.
(b)On or before the due date for the next adoption of its housing element pursuant to Section 65588, each city or county shall review and update the land use element of its general plan, based on available data, including, but not limited to, the data and analysis developed pursuant to Section Sections 56378.5 and 56430, of unincorporated island, fringe, or legacy communities inside or near its boundaries. The updated land use element shall include all of the following:
(1)In the case of a city, an identification of each island or fringe community within the citys sphere of influence that is a disadvantaged unincorporated community. In the case of a county, an identification of each legacy community within the boundaries of the county that is a disadvantaged unincorporated community, but not including any area within the sphere of influence of any city. This identification shall include a description of the community and a map designating its location.
(2)For each identified community, an analysis of water, wastewater, stormwater drainage, and structural fire protection needs or deficiencies.
(3)An analysis, based on then existing available data, of benefit assessment districts or other financing alternatives that could make the extension of services to identified communities financially feasible.
(c)On or before the due date for each subsequent revision of its housing element pursuant to Section 65588, each city and county shall review, and if necessary amend, its general plan to update the analysis required by this section and by Sections 56378.5 and 56430.
(d)On or before the due date for the each subsequent revision of its housing element pursuant to Section 65588. each city and county shall incorporate relevant components of the accessibility plan developed pursuant to Section 56378.5 and the analysis required by Section 56430 into its land use element.
SEC. 4.SEC. 8.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
(a)A city or district may provide new or extended services by contract or agreement outside its jurisdictional boundary only if it first requests and receives written approval from the commission.
(b)The commission may authorize a city or district to provide new or extended services outside its jurisdictional boundary but within its sphere of influence in anticipation of a later change of organization.
(c)If consistent with adopted policy, the commission may authorize a city or district to provide new or extended services outside its jurisdictional boundary and outside its sphere of influence to respond to an existing or impending threat to the health or safety of the public or the residents of the affected territory, if both of the following requirements are met:
(1)The entity applying for approval has provided the commission with documentation of a threat to the health and safety of the public or the affected residents.
(2)The commission has notified any alternate service provider, including any water corporation as defined in Section 241 of the Public Utilities Code, that has filed a map and a statement of its service capabilities with the commission.
(d)The commission shall not authorize a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services pursuant to this section until it has entered into an enforceable agreement to extend the same services to all disadvantaged communities within its sphere of influence or adjacent to its jurisdictional boundaries that lack safe drinking water or adequate wastewater services or infrastructure as soon as feasible to do so but within a period no longer than five years, unless either of the following conditions are met:
(1)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(2)The extension of services is authorized pursuant to subdivision (c) or the extension of services is to a disadvantaged community.
(e)
The executive officer, within 30 days of receipt of a request for approval by a city or district to extend services outside its jurisdictional boundary, shall determine whether the request is complete and acceptable for filing or whether the request is incomplete. If a request is determined not to be complete, the executive officer shall immediately transmit that determination to the requester, specifying those parts of the request that are incomplete and the manner in which they can be made complete. When the request is deemed complete, the executive officer shall place the request on the agenda of the next commission meeting for which adequate notice can be given but not more than 90 days from the date that the request is deemed complete, unless the commission has delegated approval of requests made pursuant to this section to the executive officer. The commission or executive officer shall approve, disapprove, or approve with conditions the extended services. If the new or extended services are disapproved or approved with conditions, the applicant may request reconsideration, citing the reasons for reconsideration.
(f)
This section does not apply to any of the following:
(1)Two or more public agencies where the public service to be provided is an alternative to, or substitute for, public services already being provided by an existing public service provider and where the level of service to be provided is consistent with the level of service contemplated by the existing service provider.
(2)The transfer of nonpotable or nontreated water.
(3)The provision of surplus water to agricultural lands and facilities, including, but not limited to, incidental residential structures, for projects that serve conservation purposes or that directly support agricultural industries. However, prior to extending surplus water service to any project that will support or induce development, the city or district shall first request and receive written approval from the commission in the affected county.
(4)An extended service that a city or district was providing on or before January 1, 2001.
(5)A local publicly owned electric utility, as defined by Section 9604 of the Public Utilities Code, providing electric services that do not involve the acquisition, construction, or installation of electric distribution facilities by the local publicly owned electric utility, outside of the utilitys jurisdictional boundary.
(6)A fire protection contract, as defined in subdivision (a) of Section 56134.
(g)This section applies only to the commission of the county in which the extension of service is proposed.
(h)The commission shall not approve a sphere of influence update where there exists a disadvantaged unincorporated community within the citys or special districts sphere of influence or contiguous with a citys or qualifying special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless the city or special district or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities as soon as feasible to do so but within a period no longer than five years of the approval of the sphere of influence change or the commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services.
(1)These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(2)A qualifying special district is a special district with more than 500 service connections that provides drinking water or wastewater services.
SEC. 2.Section 56133.5 of the Government Code is amended to read:56133.5.(a)A pilot program is hereby established for the Napa and San Bernardino commissions. If consistent with adopted policy, the Napa and San Bernardino commissions may authorize a city or district to provide new or extended services outside its jurisdictional boundary and outside its sphere of influence to support existing or planned uses involving public or private properties, subject to approval at a noticed public hearing in which the commission makes all of the following determinations:
(1)The extension of service or services deficiency was identified and evaluated in a review of municipal services prepared pursuant to Section 56430.
(2)The extension of service will not result in either (1) adverse impacts on open space or agricultural lands or (2) growth inducing impacts.
(3)A sphere of influence change involving the subject territory and its affected agency is not feasible under this division or desirable based on the adopted policies of the commission.
(b)Subdivision (d) of Section 56133 shall apply to any request for new or extended services pursuant to this section.
(c)The commissions shall not authorize a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services pursuant to this section until it has entered into an enforceable agreement to extend those services to all disadvantaged communities within its sphere of influence or contiguous with a citys or districts jurisdictional boundaries that lack safe drinking water or adequate wastewater infrastructure or services as soon as feasible to do so but within a period no longer than five years of the approval of the underlying extension, unless either of the following conditions are met:
(1)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(2)The extension of services is to a disadvantaged community.
(d)For purposes of this section, planned use means any project that is included in an approved specific plan as of July 1, 2015.
(e)The Napa and San Bernardino commissions shall submit a report before January 1, 2020, to the Legislature on their participation in the pilot program, including how many requests for extension of services were received pursuant to this section and the action by the commission to approve, disapprove, or approve with conditions. The report required to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.
(f)The pilot program established pursuant to this section shall be consistent with Chapter 8.5 (commencing with Section 1501) of the Public Utilities Code.
(g)This section shall remain in effect only until January 1, 2021, and as of that date is repealed.
SEC. 3.Section 56375 of the Government Code is amended to read:56375.The commission shall have all of the following powers and duties subject to any limitations upon its jurisdiction set forth in this part:
(a)(1)To review and approve with or without amendment, wholly, partially, or conditionally, or disapprove proposals for changes of organization or reorganization, consistent with written policies, procedures, and guidelines adopted by the commission.
(2)The commission may initiate proposals by resolution of application for any of the following:
(A)The consolidation of a district, as defined in Section 56036.
(B)The dissolution of a district.
(C)A merger.
(D)The establishment of a subsidiary district.
(E)The formation of a new district or districts.
(F)A reorganization that includes any of the changes specified in subparagraph (A), (B), (C), (D), or (E).
(3)A commission may initiate a proposal described in paragraph (2) only if that change of organization or reorganization is consistent with a recommendation or conclusion of a study prepared pursuant to Section 56378, 56425, or 56430, and the commission makes the determinations specified in subdivision (b) of Section 56881.
(4)A commission shall not disapprove an annexation to a city, initiated by resolution, of contiguous territory that the commission finds is any of the following:
(A)Surrounded or substantially surrounded by the city to which the annexation is proposed or by that city and a county boundary or the Pacific Ocean if the territory to be annexed is substantially developed or developing, is not prime agricultural land as defined in Section 56064, is designated for urban growth by the general plan of the annexing city, and is not within the sphere of influence of another city.
(B)Located within an urban service area that has been delineated and adopted by a commission, which is not prime agricultural land, as defined by Section 56064, and is designated for urban growth by the general plan of the annexing city.
(C)An annexation or reorganization of unincorporated islands meeting the requirements of Section 56375.3.
(5)As a condition to the annexation of an area that is surrounded, or substantially surrounded, by the city to which the annexation is proposed, the commission may require, where consistent with the purposes of this division, that the annexation include the entire island of surrounded, or substantially surrounded, territory.
(6)A commission shall not impose any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
(7)The decision of the commission with regard to a proposal to annex territory to a city shall be based upon the general plan and prezoning of the city. When the development purposes are not made known to the annexing city, the annexation shall be reviewed on the basis of the adopted plans and policies of the annexing city or county. A commission shall require, as a condition to annexation, that a city prezone the territory to be annexed or present evidence satisfactory to the commission that the existing development entitlements on the territory are vested or are already at build-out, and are consistent with the citys general plan. However, the commission shall not specify how, or in what manner, the territory shall be prezoned.
(8)(A)Except for those changes of organization or reorganization authorized under Section 56375.3, and except as provided by subparagraph (B), a commission shall not approve an annexation to a city or to a qualified special district of any territory greater than 10 acres, or as determined by commission policy, where either of the following exists:
(i)(I)A disadvantaged unincorporated community that is contiguous to the area of proposed annexation, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
(II)An application to annex a contiguous disadvantaged community shall not be required if either of the following apply:
(ia)A prior application for annexation of the same disadvantaged community has been made in the preceding five years.
(ib)The commission finds, based upon written evidence, that a majority of the registered voters within the affected disadvantaged community are opposed to annexation.
(ii)A disadvantaged unincorporated community within the sphere of influence of a city or qualified special district or contiguous to the citys or qualified special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless any of the following conditions are met:
(I)The city or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities as soon as feasible to do so but within a period no longer than five years of the approval of the annexation.
(II)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(III)The annexation is an annexation of a disadvantaged community.
(B)For purposes of this paragraph, a qualified special district means a special district with more than 500 service connections that provides drinking water or wastewater services.
(b)With regard to a proposal for annexation or detachment of territory to, or from, a city or district or with regard to a proposal for reorganization that includes annexation or detachment, to determine whether territory proposed for annexation or detachment, as described in its resolution approving the annexation, detachment, or reorganization, is inhabited or uninhabited.
(c)With regard to a proposal for consolidation of two or more cities or districts, to determine which city or district shall be the consolidated successor city or district.
(d)To approve the annexation of unincorporated, noncontiguous territory, subject to the limitations of Section 56742, located in the same county as that in which the city is located, and that is owned by a city and used for municipal purposes and to authorize the annexation of the territory without notice and hearing.
(e)To approve the annexation of unincorporated territory consistent with the planned and probable use of the property based upon the review of general plan and prezoning designations. No subsequent change may be made to the general plan for the annexed territory or zoning that is not in conformance to the prezoning designations for a period of two years after the completion of the annexation, unless the legislative body for the city makes a finding at a public hearing that a substantial change has occurred in circumstances that necessitate a departure from the prezoning in the application to the commission.
(f)With respect to the incorporation of a new city or the formation of a new special district, to determine the number of registered voters residing within the proposed city or special district or, for a landowner-voter special district, the number of owners of land and the assessed value of their land within the territory proposed to be included in the new special district. The number of registered voters shall be calculated as of the time of the last report of voter registration by the county elections official to the Secretary of State prior to the date the first signature was affixed to the petition. The executive officer shall notify the petitioners of the number of registered voters resulting from this calculation. The assessed value of the land within the territory proposed to be included in a new landowner-voter special district shall be calculated as shown on the last equalized assessment roll.
(g)To adopt written procedures for the evaluation of proposals, including written definitions consistent with existing state law. The commission may adopt standards for any of the factors enumerated in Section 56668. Any standards adopted by the commission shall be written.
(h)To adopt standards and procedures for the evaluation of service plans submitted pursuant to Section 56653 and the initiation of a change of organization or reorganization pursuant to subdivision (a).
(i)To make and enforce regulations for the orderly and fair conduct of hearings by the commission.
(j)To incur usual and necessary expenses for the accomplishment of its functions.
(k)To appoint and assign staff personnel and to employ or contract for professional or consulting services to carry out and effect the functions of the commission.
(l)To review the boundaries of the territory involved in any proposal with respect to the definiteness and certainty of those boundaries, the nonconformance of proposed boundaries with lines of assessment or ownership, and other similar matters affecting the proposed boundaries.
(m)To waive the restrictions of Section 56744 if it finds that the application of the restrictions would be detrimental to the orderly development of the community and that the area that would be enclosed by the annexation or incorporation is so located that it cannot reasonably be annexed to another city or incorporated as a new city.
(n)To waive the application of Section 22613 of the Streets and Highways Code if it finds the application would deprive an area of a service needed to ensure the health, safety, or welfare of the residents of the area and if it finds that the waiver would not affect the ability of a city to provide any service. However, within 60 days of the inclusion of the territory within the city, the legislative body may adopt a resolution nullifying the waiver.
(o)If the proposal includes the incorporation of a city, as defined in Section 56043, or the formation of a district, as defined in Section 2215 of the Revenue and Taxation Code, the commission shall determine the property tax revenue to be exchanged by the affected local agencies pursuant to Section 56810.
(p)To authorize a city or district to provide new or extended services outside its jurisdictional boundaries pursuant to Section 56133.
(q)To enter into an agreement with the commission for an adjoining county for the purpose of determining procedures for the consideration of proposals that may affect the adjoining county or where the jurisdiction of an affected agency crosses the boundary of the adjoining county.
(r)To approve with or without amendment, wholly, partially, or conditionally, or disapprove pursuant to this section the annexation of territory served by a mutual water company formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code that operates a public water system to a city or special district. Any annexation approved in accordance with this subdivision shall be subject to the state and federal constitutional prohibitions against the taking of private property without the payment of just compensation. This subdivision shall not impair the authority of a public agency or public utility to exercise eminent domain authority.
SECTION 1.Section 56375 of the Government Code is amended to read:56375.The commission shall have all of the following powers and duties subject to any limitations upon its jurisdiction set forth in this part:
(a)(1)To review and approve with or without amendment, wholly, partially, or conditionally, or disapprove proposals for changes of organization or reorganization, consistent with written policies, procedures, and guidelines adopted by the commission.
(2)The commission may initiate proposals by resolution of application for any of the following:
(A)The consolidation of a district, as defined in Section 56036.
(B)The dissolution of a district.
(C)A merger.
(D)The establishment of a subsidiary district.
(E)The formation of a new district or districts.
(F)A reorganization that includes any of the changes specified in subparagraph (A), (B), (C), (D), or (E).
(3)A commission may initiate a proposal described in paragraph (2) only if that change of organization or reorganization is consistent with a recommendation or conclusion of a study prepared pursuant to Section 56378, 56425, or 56430, and the commission makes the determinations specified in subdivision (b) of Section 56881.
(4)A commission shall not disapprove an annexation to a city, initiated by resolution, of contiguous territory that the commission finds is any of the following:
(A)Surrounded or substantially surrounded by the city to which the annexation is proposed or by that city and a county boundary or the Pacific Ocean if the territory to be annexed is substantially developed or developing, is not prime agricultural land as defined in Section 56064, is designated for urban growth by the general plan of the annexing city, and is not within the sphere of influence of another city.
(B)Located within an urban service area that has been delineated and adopted by a commission, which is not prime agricultural land, as defined by Section 56064, and is designated for urban growth by the general plan of the annexing city.
(C)An annexation or reorganization of unincorporated islands meeting the requirements of Section 56375.3.
(5)As a condition to the annexation of an area that is surrounded, or substantially surrounded, by the city to which the annexation is proposed, the commission may require, where consistent with the purposes of this division, that the annexation include the entire island of surrounded, or substantially surrounded, territory.
(6)A commission shall not impose any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
(7)The decision of the commission with regard to a proposal to annex territory to a city shall be based upon the general plan and prezoning of the city. When the development purposes are not made known to the annexing city, the annexation shall be reviewed on the basis of the adopted plans and policies of the annexing city or county. A commission shall require, as a condition to annexation, that a city prezone the territory to be annexed or present evidence satisfactory to the commission that the existing development entitlements on the territory are vested or are already at build-out, and are consistent with the citys general plan. However, the commission shall not specify how, or in what manner, the territory shall be prezoned.
(8)(A)Except for those changes of organization or reorganization authorized under Section 56375.3, and except as provided by subparagraph (B), a commission shall not approve an annexation to a city or to a qualified special district of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community that is contiguous to the area of proposed annexation, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
(B)An application to annex a contiguous disadvantaged community shall not be required if either of the following apply:
(i)A prior application for annexation of the same disadvantaged community has been made in the preceding five years.
(ii)The commission finds, based upon written evidence, that a majority of the registered voters within the affected territory disadvantaged unincorporated community are opposed to annexation.
(C)For purposes of this paragraph, a qualified special district means a special district with more than 500 service connections that provides drinking water or wastewater services.
(b)With regard to a proposal for annexation or detachment of territory to, or from, a city or district or with regard to a proposal for reorganization that includes annexation or detachment, to determine whether territory proposed for annexation or detachment, as described in its resolution approving the annexation, detachment, or reorganization, is inhabited or uninhabited.
(c)With regard to a proposal for consolidation of two or more cities or districts, to determine which city or district shall be the consolidated successor city or district.
(d)To approve the annexation of unincorporated, noncontiguous territory, subject to the limitations of Section 56742, located in the same county as that in which the city is located, and that is owned by a city and used for municipal purposes and to authorize the annexation of the territory without notice and hearing.
(e)To approve the annexation of unincorporated territory consistent with the planned and probable use of the property based upon the review of general plan and prezoning designations. No subsequent change may be made to the general plan for the annexed territory or zoning that is not in conformance to the prezoning designations for a period of two years after the completion of the annexation, unless the legislative body for the city makes a finding at a public hearing that a substantial change has occurred in circumstances that necessitate a departure from the prezoning in the application to the commission.
(f)With respect to the incorporation of a new city or the formation of a new special district, to determine the number of registered voters residing within the proposed city or special district or, for a landowner-voter special district, the number of owners of land and the assessed value of their land within the territory proposed to be included in the new special district. The number of registered voters shall be calculated as of the time of the last report of voter registration by the county elections official to the Secretary of State prior to the date the first signature was affixed to the petition. The executive officer shall notify the petitioners of the number of registered voters resulting from this calculation. The assessed value of the land within the territory proposed to be included in a new landowner-voter special district shall be calculated as shown on the last equalized assessment roll.
(g)To adopt written procedures for the evaluation of proposals, including written definitions consistent with existing state law. The commission may adopt standards for any of the factors enumerated in Section 56668. Any standards adopted by the commission shall be written.
(h)To adopt standards and procedures for the evaluation of service plans submitted pursuant to Section 56653 and the initiation of a change of organization or reorganization pursuant to subdivision (a).
(i)To make and enforce regulations for the orderly and fair conduct of hearings by the commission.
(j)To incur usual and necessary expenses for the accomplishment of its functions.
(k)To appoint and assign staff personnel and to employ or contract for professional or consulting services to carry out and effect the functions of the commission.
(l)To review the boundaries of the territory involved in any proposal with respect to the definiteness and certainty of those boundaries, the nonconformance of proposed boundaries with lines of assessment or ownership, and other similar matters affecting the proposed boundaries.
(m)To waive the restrictions of Section 56744 if it finds that the application of the restrictions would be detrimental to the orderly development of the community and that the area that would be enclosed by the annexation or incorporation is so located that it cannot reasonably be annexed to another city or incorporated as a new city.
(n)To waive the application of Section 22613 of the Streets and Highways Code if it finds the application would deprive an area of a service needed to ensure the health, safety, or welfare of the residents of the area and if it finds that the waiver would not affect the ability of a city to provide any service. However, within 60 days of the inclusion of the territory within the city, the legislative body may adopt a resolution nullifying the waiver.
(o)If the proposal includes the incorporation of a city, as defined in Section 56043, or the formation of a district, as defined in Section 2215 of the Revenue and Taxation Code, the commission shall determine the property tax revenue to be exchanged by the affected local agencies pursuant to Section 56810.
(p)To authorize a city or district to provide new or extended services outside its jurisdictional boundaries pursuant to Section 56133.
(q)To enter into an agreement with the commission for an adjoining county for the purpose of determining procedures for the consideration of proposals that may affect the adjoining county or where the jurisdiction of an affected agency crosses the boundary of the adjoining county.
(r)To approve with or without amendment, wholly, partially, or conditionally, or disapprove pursuant to this section the annexation of territory served by a mutual water company formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code that operates a public water system to a city or special district. Any annexation approved in accordance with this subdivision shall be subject to the state and federal constitutional prohibitions against the taking of private property without the payment of just compensation. This subdivision shall not impair the authority of a public agency or public utility to exercise eminent domain authority.
SEC. 4.SEC. 2.Section 56425 of the Government Code is amended to read:56425.(a)In order to carry out its purposes and responsibilities for planning and shaping the logical and orderly development and coordination of local governmental agencies subject to the jurisdiction of the commission to advantageously provide for the present and future needs of the county and its communities, the commission shall develop and determine the sphere of influence of each city and each special district, as defined by Section 56036, within the county and enact policies designed to promote the logical and orderly development of areas within or adjacent to the sphere.
(b)Prior to a city submitting an application to the commission to update its sphere of influence, representatives from the city and representatives from the county shall meet to discuss the proposed new boundaries of the sphere and explore methods to reach agreement on development standards and planning and zoning requirements within the sphere to ensure that development within the sphere occurs in a manner that reflects the concerns of the affected city and is accomplished in a manner that promotes the logical and orderly development of areas within the sphere. If an agreement is reached between the city and county, the city shall forward the agreement in writing to the commission, along with the application to update the sphere of influence. The commission shall consider and adopt a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section, and the commission shall give great weight to the agreement to the extent that it is consistent with commission policies in its final determination of the city sphere.
(c)If the commissions final determination is consistent with the agreement reached between the city and county pursuant to subdivision (b), the agreement shall be adopted by both the city and county after a noticed public hearing. Once the agreement has been adopted by the affected local agencies and their respective general plans reflect that agreement, then any development approved by the county within the sphere shall be consistent with the terms of that agreement.
(d)If no agreement is reached pursuant to subdivision (b), the application may be submitted to the commission and the commission shall consider a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section.
(e)In determining the sphere of influence of each local agency, the commission shall consider and prepare a written statement of its determinations with respect to each of the following:
(1)The present and planned land uses in the area, including agricultural and open-space lands.
(2)The present and probable need for public facilities and services in the area.
(3)The present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide.
(4)The existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency.
(5)For an update of a sphere of influence of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, that occurs pursuant to subdivision (g) on or after July 1, 2012, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within or adjacent to the existing sphere of influence.
(f)Upon determination of a sphere of influence, the commission shall adopt that sphere.
(g)On or before January 1, 2008, and every five years thereafter, the commission shall, as necessary, review and update each sphere of influence.
(h)In determining a sphere of influence, the commission shall may assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies when reorganization is found to be feasible and if reorganization will further the goals of orderly development and efficient and affordable service delivery. The commission shall make all reasonable efforts to ensure wide public dissemination of the recommendations.
(i)When adopting, amending, or updating a sphere of influence for a special district, the commission shall establish the nature, location, and extent of any functions or classes of services provided by existing districts.
(j)When adopting, amending, or updating a sphere of influence for a special district, the commission may require existing districts to file written statements with the commission specifying the functions or classes of services provided by those districts.
(k)The commission shall not approve a sphere of influence update that removes a disadvantaged community from a city or a special district unless the commission makes a finding, based on written evidence, that the removal of the disadvantaged community will result in improved service delivery to the community.
SEC. 5.SEC. 3.Section 56430 of the Government Code is amended to read:56430.(a)In order to prepare and to update spheres of influence in accordance with Section 56425, the commission shall conduct a service review of the municipal services provided in the county or other appropriate area designated by the commission. The commission shall include in the area designated for service review the county, the region, the subregion, or any other geographic area as is appropriate for an analysis of the service or services to be reviewed, and shall prepare a written statement of its determinations with respect to each of the following:
(1)Growth and population projections for the affected area.
(2)The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence.
(3)Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies including needs or deficiencies related to sewers, municipal and industrial water, and structural fire protection in any disadvantaged, unincorporated communities within or contiguous to the sphere of influence.
(4)Financial ability of agencies to provide services.
(5)Status of, and opportunities for, shared facilities.
(6)Accountability for community service needs, including governmental structure and operational efficiencies.
(7)Any other matter related to effective or efficient service delivery, as required by commission policy.
(b)In conducting a service review, the commission shall comprehensively review all of the agencies that provide the identified service or services within the designated geographic area. Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, the commission shall assess various alternatives for improving efficiency and affordability of drinking water or wastewater infrastructure and service delivery within and contiguous to the sphere of influence, including, but not limited to, the consolidation of governmental agencies or the extension of services, or both.
(c)In conducting a service review, the commission shall include a review of whether the agencies under review, including any public water system as defined in Section 116275 of the Health and Safety Code, are in compliance with the California Safe Drinking Water Act (Chapter 4 (commencing with Section 116270) of Part 12 of Division 104 of the Health and Safety Code) if the information is readily available from the State Water Resources Control Board or other sources. A public water system may satisfy any request for information as to compliance with that act by submission of the consumer confidence or water quality report prepared by the public water system as provided by Section 116470 of the Health and Safety Code.
(d)The commission may request information, as part of a service review under this section, from identified public or private entities that provide wholesale or retail supply of drinking water, including mutual water companies formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code, and private utilities, as defined in Section 1502 of the Public Utilities Code.
(e)(1)The commission shall conduct a service review before, or in conjunction with, but no later than the time it is considering an action to establish a sphere of influence in accordance with Section 56425 or 56426.5 or to update a sphere of influence pursuant to Section 56425.
(2)On or before January 1, 2022, and every five years thereafter, the commission shall conduct service reviews sufficient to have reviewed the entire territory of the county.
(f)The commission shall file a map of the county that identifies disadvantaged unincorporated communities that lack safe drinking water or adequate wastewater in electronic format with the Office of Planning and Research. The Office of Planning and Research shall make the map available on its Internet Web site.
(g)(1)Within two years of identification of a disadvantaged unincorporated community that lacks safe drinking water or adequate wastewater services pursuant to this section, the commission shall recommend a plan based on the alternatives analyzed and shall adopt any actions necessary to implement the plan, including sphere of influence updates, extensions of service, or changes of organization.
(2)Actions taken to adopt a plan under this subdivision shall not be subject to an election or any protest proceedings, as defined in Section 56069.5, except that the commission shall conduct protest proceedings for residents of the disadvantaged community.
(3)The commission shall not be required to adopt or implement a plan if the commission finds, based on substantial evidence, that there is no technical or economically feasible way of connecting the disadvantaged unincorporated community to an existing system, considering any financial assistance available from the State Water Resources Control Board or any other applicable source of financial assistance. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(h)(1)Notwithstanding Section 56133, 56133.5, or 56375, on and after January 1, 2022, a commission shall not change the sphere of influence of, or authorize extension of services by, a qualifying city or special district if the commission has not done one of the following:
(A)Conducted the analysis required by this section.
(B)Adopted a plan or taken the actions required by subdivision (g).
(2)Notwithstanding Section 56133, 56133.5, or 56375, a commission shall not change the sphere of influence of, or authorize an extension of services by, a qualifying city or special district if the city or special district has been designated in a plan developed pursuant to subdivision (g) to provide water or wastewater services and the city or special district has not begun providing water or wastewater service, as identified by the commissions plan, within three years of being designated in the plan.
(3)The prohibition against a change to a sphere of influence or extension of service pursuant to paragraphs (1) and (2) shall not apply to either of the following:
(A)An application to extend services to, or include in their sphere of influence, a disadvantaged unincorporated community.
(B)An extension of service authorized pursuant to subdivision (c) of Section 56133.
(i)As used in this section, a qualifying city or special district means a city or special district that provides water service or wastewater services and serves 500 or more connections.
SEC. 6.SEC. 4.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
(a)A city or district may provide new or extended services by contract or agreement outside its jurisdictional boundary only if it first requests and receives written approval from the commission.
(b)The commission may authorize a city or district to provide new or extended services outside its jurisdictional boundary but within its sphere of influence in anticipation of a later change of organization.
(c)If consistent with adopted policy, the commission may authorize a city or district to provide new or extended services outside its jurisdictional boundary and outside its sphere of influence to respond to an existing or impending threat to the health or safety of the public or the residents of the affected territory, if both of the following requirements are met:
(1)The entity applying for approval has provided the commission with documentation of a threat to the health and safety of the public or the affected residents.
(2)The commission has notified any alternate service provider, including any water corporation as defined in Section 241 of the Public Utilities Code, that has filed a map and a statement of its service capabilities with the commission.
(d)The commission shall not authorize a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services pursuant to this section until it has extended those entered into an enforceable agreement to extend the same services to all disadvantaged communities within or adjacent to its sphere of influence that are facing existing or impending threats to the public health or safety or has entered into an agreement to extend those services to those disadvantaged communities that are facing existing or impending threats to the public health or safety, or adjacent to its jurisdictional boundaries that lack safe drinking water or adequate wastewater services or infrastructure as soon as feasible to do so but within a period no longer than five years, unless either of the following conditions are met:
(1)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(2)The extension of services is authorized pursuant to subdivision (c). (c) or the extension of services is to a disadvantaged community.
(e)The executive officer, within 30 days of receipt of a request for approval by a city or district to extend services outside its jurisdictional boundary, shall determine whether the request is complete and acceptable for filing or whether the request is incomplete. If a request is determined not to be complete, the executive officer shall immediately transmit that determination to the requester, specifying those parts of the request that are incomplete and the manner in which they can be made complete. When the request is deemed complete, the executive officer shall place the request on the agenda of the next commission meeting for which adequate notice can be given but not more than 90 days from the date that the request is deemed complete, unless the commission has delegated approval of requests made pursuant to this section to the executive officer. The commission or executive officer shall approve, disapprove, or approve with conditions the extended services. If the new or extended services are disapproved or approved with conditions, the applicant may request reconsideration, citing the reasons for reconsideration.
(f)This section does not apply to any of the following:
(1)Two or more public agencies where the public service to be provided is an alternative to, or substitute for, public services already being provided by an existing public service provider and where the level of service to be provided is consistent with the level of service contemplated by the existing service provider.
(2)The transfer of nonpotable or nontreated water.
(3)The provision of surplus water to agricultural lands and facilities, including, but not limited to, incidental residential structures, for projects that serve conservation purposes or that directly support agricultural industries. However, prior to extending surplus water service to any project that will support or induce development, the city or district shall first request and receive written approval from the commission in the affected county.
(4)An extended service that a city or district was providing on or before January 1, 2001.
(5)A local publicly owned electric utility, as defined by Section 9604 of the Public Utilities Code, providing electric services that do not involve the acquisition, construction, or installation of electric distribution facilities by the local publicly owned electric utility, outside of the utilitys jurisdictional boundary.
(6)A fire protection contract, as defined in subdivision (a) of Section 56134.
(g)This section applies only to the commission of the county in which the extension of service is proposed.
(h)The commission shall not approve a sphere of influence update where there exists a disadvantaged unincorporated community within or adjacent to the city citys or special districts sphere of influence or contiguous with a citys or qualifying special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless the city or special district or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities as soon as feasible to do so but within a period no longer than five years of the approval of the sphere of influence change or the commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services.
(1)These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(2)A qualifying special district is a special district with more than 500 service connections that provides drinking water or wastewater services.
SEC. 2.Section 56133.5 of the Government Code is amended to read:56133.5.(a)A pilot program is hereby established for the Napa and San Bernardino commissions. If consistent with adopted policy, the Napa and San Bernardino commissions may authorize a city or district to provide new or extended services outside its jurisdictional boundary and outside its sphere of influence to support existing or planned uses involving public or private properties, subject to approval at a noticed public hearing in which the commission makes all of the following determinations:
(1)The extension of service or services deficiency was identified and evaluated in a review of municipal services prepared pursuant to Section 56430.
(2)The extension of service will not result in either (1) adverse impacts on open space or agricultural lands or (2) growth inducing impacts.
(3)A sphere of influence change involving the subject territory and its affected agency is not feasible under this division or desirable based on the adopted policies of the commission.
(b)Subdivision (d) of Section 56133 shall apply to any request for new or extended services pursuant to this section.
(c)The Napa and San Bernardino commissions shall not authorize a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services pursuant to this section until it has extended entered into an enforceable agreement to extend those services to all disadvantaged communities within or adjacent to its sphere of influence that are facing existing or impending threats to the public health or safety or has entered into an agreement to extend those services to those disadvantaged communities that are facing existing or impending threats to public health or safety. or contiguous with a citys or districts jurisdictional boundaries that lack safe drinking water or adequate wastewater infrastructure or services as soon as feasible to do so but within a period no longer than five years of the approval of the underlying extension, unless either of the following conditions are met:
(1)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(2)The extension of services is to a disadvantaged community.
(d)For purposes of this section, planned use means any project that is included in an approved specific plan as of July 1, 2015.
(e)The Napa and San Bernardino commissions shall submit a report before January 1, 2020, to the Legislature on their participation in the pilot program, including how many requests for extension of services were received pursuant to this section and the action by the commission to approve, disapprove, or approve with conditions. The report required to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.
(f)The pilot program established pursuant to this section shall be consistent with Chapter 8.5 (commencing with Section 1501) of the Public Utilities Code.
(g)This section shall remain in effect only until January 1, 2021, and as of that date is repealed.
SEC. 3.Section 56375 of the Government Code is amended to read:56375.The commission shall have all of the following powers and duties subject to any limitations upon its jurisdiction set forth in this part:
(a)(1)To review and approve with or without amendment, wholly, partially, or conditionally, or disapprove proposals for changes of organization or reorganization, consistent with written policies, procedures, and guidelines adopted by the commission.
(2)The commission may initiate proposals by resolution of application for any of the following:
(A)The consolidation of a district, as defined in Section 56036.
(B)The dissolution of a district.
(C)A merger.
(D)The establishment of a subsidiary district.
(E)The formation of a new district or districts.
(F)A reorganization that includes any of the changes specified in subparagraph (A), (B), (C), (D), or (E).
(3)A commission may initiate a proposal described in paragraph (2) only if that change of organization or reorganization is consistent with a recommendation or conclusion of a study prepared pursuant to Section 56378, 56425, or 56430, and the commission makes the determinations specified in subdivision (b) of Section 56881.
(4)A commission shall not disapprove an annexation to a city, initiated by resolution, of contiguous territory that the commission finds is any of the following:
(A)Surrounded or substantially surrounded by the city to which the annexation is proposed or by that city and a county boundary or the Pacific Ocean if the territory to be annexed is substantially developed or developing, is not prime agricultural land as defined in Section 56064, is designated for urban growth by the general plan of the annexing city, and is not within the sphere of influence of another city.
(B)Located within an urban service area that has been delineated and adopted by a commission, which is not prime agricultural land, as defined by Section 56064, and is designated for urban growth by the general plan of the annexing city.
(C)An annexation or reorganization of unincorporated islands meeting the requirements of Section 56375.3.
(5)As a condition to the annexation of an area that is surrounded, or substantially surrounded, by the city to which the annexation is proposed, the commission may require, where consistent with the purposes of this division, that the annexation include the entire island of surrounded, or substantially surrounded, territory.
(6)A commission shall not impose any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
(7)The decision of the commission with regard to a proposal to annex territory to a city shall be based upon the general plan and prezoning of the city. When the development purposes are not made known to the annexing city, the annexation shall be reviewed on the basis of the adopted plans and policies of the annexing city or county. A commission shall require, as a condition to annexation, that a city prezone the territory to be annexed or present evidence satisfactory to the commission that the existing development entitlements on the territory are vested or are already at build-out, and are consistent with the citys general plan. However, the commission shall not specify how, or in what manner, the territory shall be prezoned.
(8)(A)Except for those changes of organization or reorganization authorized under Section 56375.3, and except as provided by subparagraph (B), a commission shall not approve an annexation to a city or to a qualified special district of any territory greater than 10 acres, or as determined by commission policy, where either of the following exists:
(i)(I)A disadvantaged unincorporated community that is contiguous to the area of proposed annexation, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
(II)An application to annex a contiguous disadvantaged community shall not be required if either of the following apply:
(ia)A prior application for annexation of the same disadvantaged community has been made in the preceding five years.
(ib)The commission finds, based upon written evidence, that a majority of the registered voters within the affected disadvantaged community are opposed to annexation.
(ii)A disadvantaged unincorporated community within or adjacent to the sphere of influence of a city or qualified special district or contiguous to the citys or qualified special districts jurisdictional boundaries that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless the any of the following conditions are met:
(I)The city or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities as soon as feasible to do so but within a period no longer than five years of the completion approval of the annexation.
(II)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services. These findings shall not interfere with or inform other programs or policies designed to expand basic services to disadvantaged unincorporated communities, including, but not limited to, Sections 116680 to 116684, inclusive, of the Health and Safety Code.
(III)The annexation is an annexation of a disadvantaged community.
(B)For purposes of this paragraph, a qualified special district means a special district with more than 500 service connections. connections that provides drinking water or wastewater services.
(b)With regard to a proposal for annexation or detachment of territory to, or from, a city or district or with regard to a proposal for reorganization that includes annexation or detachment, to determine whether territory proposed for annexation or detachment, as described in its resolution approving the annexation, detachment, or reorganization, is inhabited or uninhabited.
(c)With regard to a proposal for consolidation of two or more cities or districts, to determine which city or district shall be the consolidated successor city or district.
(d)To approve the annexation of unincorporated, noncontiguous territory, subject to the limitations of Section 56742, located in the same county as that in which the city is located, and that is owned by a city and used for municipal purposes and to authorize the annexation of the territory without notice and hearing.
(e)To approve the annexation of unincorporated territory consistent with the planned and probable use of the property based upon the review of general plan and prezoning designations. No subsequent change may be made to the general plan for the annexed territory or zoning that is not in conformance to the prezoning designations for a period of two years after the completion of the annexation, unless the legislative body for the city makes a finding at a public hearing that a substantial change has occurred in circumstances that necessitate a departure from the prezoning in the application to the commission.
(f)With respect to the incorporation of a new city or the formation of a new special district, to determine the number of registered voters residing within the proposed city or special district or, for a landowner-voter special district, the number of owners of land and the assessed value of their land within the territory proposed to be included in the new special district. The number of registered voters shall be calculated as of the time of the last report of voter registration by the county elections official to the Secretary of State prior to the date the first signature was affixed to the petition. The executive officer shall notify the petitioners of the number of registered voters resulting from this calculation. The assessed value of the land within the territory proposed to be included in a new landowner-voter special district shall be calculated as shown on the last equalized assessment roll.
(g)To adopt written procedures for the evaluation of proposals, including written definitions consistent with existing state law. The commission may adopt standards for any of the factors enumerated in Section 56668. Any standards adopted by the commission shall be written.
(h)To adopt standards and procedures for the evaluation of service plans submitted pursuant to Section 56653 and the initiation of a change of organization or reorganization pursuant to subdivision (a).
(i)To make and enforce regulations for the orderly and fair conduct of hearings by the commission.
(j)To incur usual and necessary expenses for the accomplishment of its functions.
(k)To appoint and assign staff personnel and to employ or contract for professional or consulting services to carry out and effect the functions of the commission.
(l)To review the boundaries of the territory involved in any proposal with respect to the definiteness and certainty of those boundaries, the nonconformance of proposed boundaries with lines of assessment or ownership, and other similar matters affecting the proposed boundaries.
(m)To waive the restrictions of Section 56744 if it finds that the application of the restrictions would be detrimental to the orderly development of the community and that the area that would be enclosed by the annexation or incorporation is so located that it cannot reasonably be annexed to another city or incorporated as a new city.
(n)To waive the application of Section 22613 of the Streets and Highways Code if it finds the application would deprive an area of a service needed to ensure the health, safety, or welfare of the residents of the area and if it finds that the waiver would not affect the ability of a city to provide any service. However, within 60 days of the inclusion of the territory within the city, the legislative body may adopt a resolution nullifying the waiver.
(o)If the proposal includes the incorporation of a city, as defined in Section 56043, or the formation of a district, as defined in Section 2215 of the Revenue and Taxation Code, the commission shall determine the property tax revenue to be exchanged by the affected local agencies pursuant to Section 56810.
(p)To authorize a city or district to provide new or extended services outside its jurisdictional boundaries pursuant to Section 56133.
(q)To enter into an agreement with the commission for an adjoining county for the purpose of determining procedures for the consideration of proposals that may affect the adjoining county or where the jurisdiction of an affected agency crosses the boundary of the adjoining county.
(r)To approve with or without amendment, wholly, partially, or conditionally, or disapprove pursuant to this section the annexation of territory served by a mutual water company formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code that operates a public water system to a city or special district. Any annexation approved in accordance with this subdivision shall be subject to the state and federal constitutional prohibitions against the taking of private property without the payment of just compensation. This subdivision shall not impair the authority of a public agency or public utility to exercise eminent domain authority.
SEC. 4.Section 56425 of the Government Code is amended to read:56425.(a)In order to carry out its purposes and responsibilities for planning and shaping the logical and orderly development and coordination of local governmental agencies subject to the jurisdiction of the commission to advantageously provide for the present and future needs of the county and its communities, the commission shall develop and determine the sphere of influence of each city and each special district, as defined by Section 56036, within the county and enact policies designed to promote the logical and orderly development of areas within or adjacent to the sphere.
(b)Prior to a city submitting an application to the commission to update its sphere of influence, representatives from the city and representatives from the county shall meet to discuss the proposed new boundaries of the sphere and explore methods to reach agreement on development standards and planning and zoning requirements within the sphere to ensure that development within the sphere occurs in a manner that reflects the concerns of the affected city and is accomplished in a manner that promotes the logical and orderly development of areas within the sphere. If an agreement is reached between the city and county, the city shall forward the agreement in writing to the commission, along with the application to update the sphere of influence. The commission shall consider and adopt a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section, and the commission shall give great weight to the agreement to the extent that it is consistent with commission policies in its final determination of the city sphere.
(c)If the commissions final determination is consistent with the agreement reached between the city and county pursuant to subdivision (b), the agreement shall be adopted by both the city and county after a noticed public hearing. Once the agreement has been adopted by the affected local agencies and their respective general plans reflect that agreement, then any development approved by the county within the sphere shall be consistent with the terms of that agreement.
(d)If no agreement is reached pursuant to subdivision (b), the application may be submitted to the commission and the commission shall consider a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section.
(e)In determining the sphere of influence of each local agency, the commission shall consider and prepare a written statement of its determinations with respect to each of the following:
(1)The present and planned land uses in the area, including agricultural and open-space lands.
(2)The present and probable need for public facilities and services in the area.
(3)The present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide.
(4)The existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency.
(5)For an update of a sphere of influence of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, that occurs pursuant to subdivision (g) on or after July 1, 2012, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within or adjacent to the existing sphere of influence.
(f)Upon determination of a sphere of influence, the commission shall adopt that sphere.
(g)On or before January 1, 2008, and every five years thereafter, the commission shall, as necessary, review and update each sphere of influence.
(h)In determining a sphere of influence, the commission shall assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies when reorganization is found to be feasible and if reorganization will further the goals of orderly development and efficient and affordable service delivery. The commission shall make all reasonable efforts to ensure wide public dissemination of the recommendations.
(i)When adopting, amending, or updating a sphere of influence for a special district, the commission shall establish the nature, location, and extent of any functions or classes of services provided by existing districts.
(j)When adopting, amending, or updating a sphere of influence for a special district, the commission may require existing districts to file written statements with the commission specifying the functions or classes of services provided by those districts.
(k)The commission shall not approve a sphere of influence update that removes a disadvantaged community from a citys sphere of influence unless a majority of the voters in the disadvantaged community approve of the proposed sphere of influence. city or a special district unless the commission makes a finding, based on written evidence, that the removal of the disadvantaged community will result in improved service delivery to the community.
SEC. 5.Section 56430 of the Government Code is amended to read:56430.(a)In order to prepare and to update spheres of influence in accordance with Section 56425, the commission shall conduct a service review of the municipal services provided in the county or other appropriate area designated by the commission. The commission shall include in the area designated for service review the county, the region, the subregion, or any other geographic area as is appropriate for an analysis of the service or services to be reviewed, and shall prepare a written statement of its determinations with respect to each of the following:
(1)Growth and population projections for the affected area.
(2)The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence.
(3)Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies including needs or deficiencies related to sewers, municipal and industrial water, and structural fire protection in any disadvantaged, unincorporated communities within or contiguous to the sphere of influence.
(4)Financial ability of agencies to provide services.
(5)Status of, and opportunities for, shared facilities.
(6)Accountability for community service needs, including governmental structure and operational efficiencies.
(7)Any other matter related to effective or efficient service delivery, as required by commission policy.
(b)In conducting a service review, the commission shall comprehensively review all of the agencies that provide the identified service or services within the designated geographic area. The commission Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, the commission shall assess various alternatives for improving efficiency and affordability of infrastructure and service delivery within and contiguous to the sphere of influence, including, but not limited to, the consolidation of governmental agencies or the extension of services, or both.
(c)In conducting a service review, the commission shall include a review of whether the agencies under review, including any public water system as defined in Section 116275, 116275 of the Health and Safety Code, are in compliance with the California Safe Drinking Water Act (Chapter 4 (commencing with Section 116270) of Part 12 of Division 104 of the Health and Safety Code). Code) if the information is readily available. A public water system may satisfy any request for information as to compliance with that act by submission of the consumer confidence or water quality report prepared by the public water system as provided by Section 116470 of the Health and Safety Code.
(d)The commission may request information, as part of a service review under this section, from identified public or private entities that provide wholesale or retail supply of drinking water, including mutual water companies formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code, and private utilities, as defined in Section 1502 of the Public Utilities Code.
(e)The commission shall conduct a service review before, or in conjunction with, but no later than the time it is considering an action to establish a sphere of influence in accordance with Section 56425 or 56426.5 or to update a sphere of influence pursuant to Section 56425.
SEC. 6.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
(a)A city or district may provide new or extended services by contract or agreement outside its jurisdictional boundary only if it first requests and receives written approval from the commission.
(b)The commission may authorize a city or district to provide new or extended services outside its jurisdictional boundary but within its sphere of influence in anticipation of a later change of organization.
(c)If consistent with adopted policy, the commission may authorize a city or district to provide new or extended services outside its jurisdictional boundary and outside its sphere of influence to respond to an existing or impending threat to the health or safety of the public or the residents of the affected territory, if both of the following requirements are met:
(1)The entity applying for approval has provided the commission with documentation of a threat to the health and safety of the public or the affected residents.
(2)The commission has notified any alternate service provider, including any water corporation as defined in Section 241 of the Public Utilities Code, that has filed a map and a statement of its service capabilities with the commission.
(d)The commission shall not authorize a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services pursuant to this section until it has extended those services to all disadvantaged communities within or adjacent to its sphere of influence that are facing existing or impending threats to the public health or safety or has entered into an agreement to extend those services to those disadvantaged communities that are facing existing or impending threats to the public health or safety, unless either of the following conditions are met:
(1)The commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services.
(2)The extension of services is authorized pursuant to subdivision (c).
(d)
(e)The executive officer, within 30 days of receipt of a request for approval by a city or district to extend services outside its jurisdictional boundary, shall determine whether the request is complete and acceptable for filing or whether the request is incomplete. If a request is determined not to be complete, the executive officer shall immediately transmit that determination to the requester, specifying those parts of the request that are incomplete and the manner in which they can be made complete. When the request is deemed complete, the executive officer shall place the request on the agenda of the next commission meeting for which adequate notice can be given but not more than 90 days from the date that the request is deemed complete, unless the commission has delegated approval of requests made pursuant to this section to the executive officer. The commission or executive officer shall approve, disapprove, or approve with conditions the extended services. If the new or extended services are disapproved or approved with conditions, the applicant may request reconsideration, citing the reasons for reconsideration.
(e)
(f)This section does not apply to any of the following:
(1)Two or more public agencies where the public service to be provided is an alternative to, or substitute for, public services already being provided by an existing public service provider and where the level of service to be provided is consistent with the level of service contemplated by the existing service provider.
(2)The transfer of nonpotable or nontreated water.
(3)The provision of surplus water to agricultural lands and facilities, including, but not limited to, incidental residential structures, for projects that serve conservation purposes or that directly support agricultural industries. However, prior to extending surplus water service to any project that will support or induce development, the city or district shall first request and receive written approval from the commission in the affected county.
(4)An extended service that a city or district was providing on or before January 1, 2001.
(5)A local publicly owned electric utility, as defined by Section 9604 of the Public Utilities Code, providing electric services that do not involve the acquisition, construction, or installation of electric distribution facilities by the local publicly owned electric utility, outside of the utilitys jurisdictional boundary.
(6)A fire protection contract, as defined in subdivision (a) of Section 56134.
(f)
(g)This section applies only to the commission of the county in which the extension of service is proposed.
(h)The commission shall not approve a sphere of influence update where there exists a disadvantaged unincorporated community within or adjacent to the city or special districts sphere of influence that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless the city or special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities within five years of the sphere of influence change or the commission finds, based upon written evidence, that a majority of the residents of the affected disadvantaged community or communities are opposed to receiving the identified service or services.
SEC. 2.Section 56133.5 of the Government Code is amended to read:56133.5.(a)A pilot program is hereby established for the Napa and San Bernardino commissions. If consistent with adopted policy, the Napa and San Bernardino commissions may authorize a city or district to provide new or extended services outside its jurisdictional boundary and outside its sphere of influence to support existing or planned uses involving public or private properties, subject to approval at a noticed public hearing in which the commission makes all of the following determinations:
(1)The extension of service or services deficiency was identified and evaluated in a review of municipal services prepared pursuant to Section 56430.
(2)The extension of service will not result in either (1) adverse impacts on open space or agricultural lands or (2) growth inducing impacts.
(3)A sphere of influence change involving the subject territory and its affected agency is not feasible under this division or desirable based on the adopted policies of the commission.
(b)Subdivision (d) of Section 56133 shall apply to any request for new or extended services pursuant to this section.
(c)The Napa and San Bernardino commissions shall not authorize a city or a district to extend drinking water infrastructure or services or wastewater infrastructure or services pursuant to this section until it has extended those services to all disadvantaged communities within or adjacent to its sphere of influence that are facing existing or impending threats to the public health or safety or has entered into an agreement to extend those services to those disadvantaged communities that are facing existing or impending threats to public health or safety.
(c)
(d)For purposes of this section, planned use means any project that is included in an approved specific plan as of July 1, 2015.
(d)
(e)The Napa and San Bernardino commissions shall submit a report before January 1, 2020, to the Legislature on their participation in the pilot program, including how many requests for extension of services were received pursuant to this section and the action by the commission to approve, disapprove, or approve with conditions. The report required to be submitted pursuant to this subdivision shall be submitted in compliance with Section 9795 of the Government Code.
(e)
(f)The pilot program established pursuant to this section shall be consistent with Chapter 8.5 (commencing with Section 1501) of the Public Utilities Code.
(f)
(g)This section shall remain in effect only until January 1, 2021, and as of that date is repealed.
SEC. 3.Section 56375 of the Government Code is amended to read:56375.The commission shall have all of the following powers and duties subject to any limitations upon its jurisdiction set forth in this part:
(a)(1)To review and approve with or without amendment, wholly, partially, or conditionally, or disapprove proposals for changes of organization or reorganization, consistent with written policies, procedures, and guidelines adopted by the commission.
(2)The commission may initiate proposals by resolution of application for any of the following:
(A)The consolidation of a district, as defined in Section 56036.
(B)The dissolution of a district.
(C)A merger.
(D)The establishment of a subsidiary district.
(E)The formation of a new district or districts.
(F)A reorganization that includes any of the changes specified in subparagraph (A), (B), (C), (D), or (E).
(3)A commission may initiate a proposal described in paragraph (2) only if that change of organization or reorganization is consistent with a recommendation or conclusion of a study prepared pursuant to Section 56378, 56425, or 56430, and the commission makes the determinations specified in subdivision (b) of Section 56881.
(4)A commission shall not disapprove an annexation to a city, initiated by resolution, of contiguous territory that the commission finds is any of the following:
(A)Surrounded or substantially surrounded by the city to which the annexation is proposed or by that city and a county boundary or the Pacific Ocean if the territory to be annexed is substantially developed or developing, is not prime agricultural land as defined in Section 56064, is designated for urban growth by the general plan of the annexing city, and is not within the sphere of influence of another city.
(B)Located within an urban service area that has been delineated and adopted by a commission, which is not prime agricultural land, as defined by Section 56064, and is designated for urban growth by the general plan of the annexing city.
(C)An annexation or reorganization of unincorporated islands meeting the requirements of Section 56375.3.
(5)As a condition to the annexation of an area that is surrounded, or substantially surrounded, by the city to which the annexation is proposed, the commission may require, where consistent with the purposes of this division, that the annexation include the entire island of surrounded, or substantially surrounded, territory.
(6)A commission shall not impose any conditions that would directly regulate land use density or intensity, property development, or subdivision requirements.
(7)The decision of the commission with regard to a proposal to annex territory to a city shall be based upon the general plan and prezoning of the city. When the development purposes are not made known to the annexing city, the annexation shall be reviewed on the basis of the adopted plans and policies of the annexing city or county. A commission shall require, as a condition to annexation, that a city prezone the territory to be annexed or present evidence satisfactory to the commission that the existing development entitlements on the territory are vested or are already at build-out, and are consistent with the citys general plan. However, the commission shall not specify how, or in what manner, the territory shall be prezoned.
(8)(A)Except for those changes of organization or reorganization authorized under Section 56375.3, and except as provided by subparagraph (B), a commission shall not approve an annexation to a city or to a qualified special district of any territory greater than 10 acres, or as determined by commission policy, where there exists a either of the following exists:
(i)(I)A disadvantaged unincorporated community that is contiguous to the area of proposed annexation, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
(B)
(II)An application to annex a contiguous disadvantaged community shall not be required if either of the following apply:
(i)
(ia)A prior application for annexation of the same disadvantaged community has been made in the preceding five years.
(ii)
(ib)The commission finds, based upon written evidence, that a majority of the registered voters within the affected territory disadvantaged community are opposed to annexation.
(ii)A disadvantaged unincorporated community within or adjacent to the sphere of influence of a city or qualified special district that lacks safe drinking water infrastructure or services or adequate wastewater infrastructure or services unless the city or qualified special district has entered into an enforceable agreement to extend those services into the disadvantaged community or communities within five years of the completion of the annexation.
(B)For purposes of this paragraph, a qualified special district means a special district with more than 500 service connections.
(b)With regard to a proposal for annexation or detachment of territory to, or from, a city or district or with regard to a proposal for reorganization that includes annexation or detachment, to determine whether territory proposed for annexation or detachment, as described in its resolution approving the annexation, detachment, or reorganization, is inhabited or uninhabited.
(c)With regard to a proposal for consolidation of two or more cities or districts, to determine which city or district shall be the consolidated successor city or district.
(d)To approve the annexation of unincorporated, noncontiguous territory, subject to the limitations of Section 56742, located in the same county as that in which the city is located, and that is owned by a city and used for municipal purposes and to authorize the annexation of the territory without notice and hearing.
(e)To approve the annexation of unincorporated territory consistent with the planned and probable use of the property based upon the review of general plan and prezoning designations. No subsequent change may be made to the general plan for the annexed territory or zoning that is not in conformance to the prezoning designations for a period of two years after the completion of the annexation, unless the legislative body for the city makes a finding at a public hearing that a substantial change has occurred in circumstances that necessitate a departure from the prezoning in the application to the commission.
(f)With respect to the incorporation of a new city or the formation of a new special district, to determine the number of registered voters residing within the proposed city or special district or, for a landowner-voter special district, the number of owners of land and the assessed value of their land within the territory proposed to be included in the new special district. The number of registered voters shall be calculated as of the time of the last report of voter registration by the county elections official to the Secretary of State prior to the date the first signature was affixed to the petition. The executive officer shall notify the petitioners of the number of registered voters resulting from this calculation. The assessed value of the land within the territory proposed to be included in a new landowner-voter special district shall be calculated as shown on the last equalized assessment roll.
(g)To adopt written procedures for the evaluation of proposals, including written definitions consistent with existing state law. The commission may adopt standards for any of the factors enumerated in Section 56668. Any standards adopted by the commission shall be written.
(h)To adopt standards and procedures for the evaluation of service plans submitted pursuant to Section 56653 and the initiation of a change of organization or reorganization pursuant to subdivision (a).
(i)To make and enforce regulations for the orderly and fair conduct of hearings by the commission.
(j)To incur usual and necessary expenses for the accomplishment of its functions.
(k)To appoint and assign staff personnel and to employ or contract for professional or consulting services to carry out and effect the functions of the commission.
(l)To review the boundaries of the territory involved in any proposal with respect to the definiteness and certainty of those boundaries, the nonconformance of proposed boundaries with lines of assessment or ownership, and other similar matters affecting the proposed boundaries.
(m)To waive the restrictions of Section 56744 if it finds that the application of the restrictions would be detrimental to the orderly development of the community and that the area that would be enclosed by the annexation or incorporation is so located that it cannot reasonably be annexed to another city or incorporated as a new city.
(n)To waive the application of Section 22613 of the Streets and Highways Code if it finds the application would deprive an area of a service needed to ensure the health, safety, or welfare of the residents of the area and if it finds that the waiver would not affect the ability of a city to provide any service. However, within 60 days of the inclusion of the territory within the city, the legislative body may adopt a resolution nullifying the waiver.
(o)If the proposal includes the incorporation of a city, as defined in Section 56043, or the formation of a district, as defined in Section 2215 of the Revenue and Taxation Code, the commission shall determine the property tax revenue to be exchanged by the affected local agencies pursuant to Section 56810.
(p)To authorize a city or district to provide new or extended services outside its jurisdictional boundaries pursuant to Section 56133.
(q)To enter into an agreement with the commission for an adjoining county for the purpose of determining procedures for the consideration of proposals that may affect the adjoining county or where the jurisdiction of an affected agency crosses the boundary of the adjoining county.
(r)To approve with or without amendment, wholly, partially, or conditionally, or disapprove pursuant to this section the annexation of territory served by a mutual water company formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code that operates a public water system to a city or special district. Any annexation approved in accordance with this subdivision shall be subject to the state and federal constitutional prohibitions against the taking of private property without the payment of just compensation. This subdivision shall not impair the authority of a public agency or public utility to exercise eminent domain authority.
SEC. 4.Section 56425 of the Government Code is amended to read:56425.(a)In order to carry out its purposes and responsibilities for planning and shaping the logical and orderly development and coordination of local governmental agencies subject to the jurisdiction of the commission to advantageously provide for the present and future needs of the county and its communities, the commission shall develop and determine the sphere of influence of each city and each special district, as defined by Section 56036, within the county and enact policies designed to promote the logical and orderly development of areas within or adjacent to the sphere.
(b)Prior to a city submitting an application to the commission to update its sphere of influence, representatives from the city and representatives from the county shall meet to discuss the proposed new boundaries of the sphere and explore methods to reach agreement on development standards and planning and zoning requirements within the sphere to ensure that development within the sphere occurs in a manner that reflects the concerns of the affected city and is accomplished in a manner that promotes the logical and orderly development of areas within the sphere. If an agreement is reached between the city and county, the city shall forward the agreement in writing to the commission, along with the application to update the sphere of influence. The commission shall consider and adopt a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section, and the commission shall give great weight to the agreement to the extent that it is consistent with commission policies in its final determination of the city sphere.
(c)If the commissions final determination is consistent with the agreement reached between the city and county pursuant to subdivision (b), the agreement shall be adopted by both the city and county after a noticed public hearing. Once the agreement has been adopted by the affected local agencies and their respective general plans reflect that agreement, then any development approved by the county within the sphere shall be consistent with the terms of that agreement.
(d)If no agreement is reached pursuant to subdivision (b), the application may be submitted to the commission and the commission shall consider a sphere of influence for the city consistent with the policies adopted by the commission pursuant to this section.
(e)In determining the sphere of influence of each local agency, the commission shall consider and prepare a written statement of its determinations with respect to each of the following:
(1)The present and planned land uses in the area, including agricultural and open-space lands.
(2)The present and probable need for public facilities and services in the area.
(3)The present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide.
(4)The existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency.
(5)For an update of a sphere of influence of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, that occurs pursuant to subdivision (g) on or after July 1, 2012, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within or adjacent the existing sphere of influence.
(f)Upon determination of a sphere of influence, the commission shall adopt that sphere.
(g)On or before January 1, 2008, and every five years thereafter, the commission shall, as necessary, review and update each sphere of influence.
(h)In determining a sphere of influence, the commission may shall assess the feasibility of governmental reorganization of particular agencies and recommend reorganization of those agencies when reorganization is found to be feasible and if reorganization will further the goals of orderly development and efficient and affordable service delivery. The commission shall make all reasonable efforts to ensure wide public dissemination of the recommendations.
(i)When adopting, amending, or updating a sphere of influence for a special district, the commission shall establish the nature, location, and extent of any functions or classes of services provided by existing districts.
(j)When adopting, amending, or updating a sphere of influence for a special district, the commission may require existing districts to file written statements with the commission specifying the functions or classes of services provided by those districts.
(k)The commission shall not approve a sphere of influence update that removes a disadvantaged community from a citys sphere of influence unless a majority of the voters in the disadvantaged community approve of the proposed sphere of influence.
SEC. 5.Section 56430 of the Government Code is amended to read:56430.(a)In order to prepare and to update spheres of influence in accordance with Section 56425, the commission shall conduct a service review of the municipal services provided in the county or other appropriate area designated by the commission. The commission shall include in the area designated for service review the county, the region, the subregion, or any other geographic area as is appropriate for an analysis of the service or services to be reviewed, and shall prepare a written statement of its determinations with respect to each of the following:
(1)Growth and population projections for the affected area.
(2)The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence.
(3)Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies including needs or deficiencies related to sewers, municipal and industrial water, and structural fire protection in any disadvantaged, unincorporated communities within or contiguous to the sphere of influence.
(4)Financial ability of agencies to provide services.
(5)Status of, and opportunities for, shared facilities.
(6)Accountability for community service needs, including governmental structure and operational efficiencies.
(7)Any other matter related to effective or efficient service delivery, as required by commission policy.
(b)In conducting a service review, the commission shall comprehensively review all of the agencies that provide the identified service or services within the designated geographic area. The commission may shall assess various alternatives for improving efficiency and affordability of infrastructure and service delivery within and contiguous to the sphere of influence, including, but not limited to, the consolidation of governmental agencies. agencies or the extension of services, or both.
(c)In conducting a service review, the commission may shall include a review of whether the agencies under review, including any public water system as defined in Section 116275, are in compliance with the California Safe Drinking Water Act (Chapter 4 (commencing with Section 116270) of Part 12 of Division 104 of the Health and Safety Code). A public water system may satisfy any request for information as to compliance with that act by submission of the consumer confidence or water quality report prepared by the public water system as provided by Section 116470 of the Health and Safety Code.
(d)The commission may request information, as part of a service review under this section, from identified public or private entities that provide wholesale or retail supply of drinking water, including mutual water companies formed pursuant to Part 7 (commencing with Section 14300) of Division 3 of Title 1 of the Corporations Code, and private utilities, as defined in Section 1502 of the Public Utilities Code.
(e)The commission shall conduct a service review before, or in conjunction with, but no later than the time it is considering an action to establish a sphere of influence in accordance with Section 56425 or 56426.5 or to update a sphere of influence pursuant to Section 56425.
SEC. 6.If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
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Date
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Status
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|---|---|
| Apr 21, 2016 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 2.) (April 20). Re-referred to Com. on APPR. |
| Jun 9, 2016 | Referred to Coms. on L. GOV. and E.S. & T.M. |
| Jun 2, 2016 | Read third time. Passed. (Ayes 23. Noes 13.) Ordered to the Assembly. |
| Jun 2, 2016 | Read third time. Passed. (Ayes 23. Noes 13. Page 4147.) Ordered to the Assembly. |
| Jun 2, 2016 | In Assembly. Read first time. Held at Desk. |
| Jun 1, 2016 | Read third time and amended. |
| Jun 1, 2016 | Ordered to third reading. |
| May 24, 2016 | Read second time. Ordered to third reading. |
| May 23, 2016 | From committee: Do pass. (Ayes 4. Noes 2.) (May 23). |
| May 23, 2016 | From committee: Do pass. (Ayes 4. Noes 2. Page 3935.) (May 23). |
| May 13, 2016 | Set for hearing May 23. |
| May 12, 2016 | May 16 hearing postponed by committee. |
| May 6, 2016 | Set for hearing May 16. |
| Feb 19, 2016 | Introduced. To Com. on RLS. for assignment. To print. |
| Apr 21, 2016 | From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 2. Page 3644.) (April 20). Re-referred to Com. on APPR. |
| Apr 14, 2016 | Set for hearing April 20. |
| Apr 12, 2016 | Read second time and amended. Re-referred to Com. on E.Q. |
| Apr 11, 2016 | From committee: Do pass as amended and re-refer to Com. on E.Q. (Ayes 5. Noes 1.) (April 6). |
| Apr 11, 2016 | From committee: Do pass as amended and re-refer to Com. on E.Q. (Ayes 5. Noes 1. Page 3420.) (April 6). |
| Mar 29, 2016 | Set for hearing April 6. |
| Mar 28, 2016 | March 30 set for first hearing canceled at the request of author. |
| Mar 28, 2016 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on GOV. & F. |
| Mar 10, 2016 | Set for hearing March 30. |
| Mar 3, 2016 | Referred to Coms. on GOV. & F. and E.Q. |
| Feb 22, 2016 | Read first time. |
| Feb 22, 2016 | From printer. May be acted upon on or after March 23. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Jun 2, 2016 | Senate 3rd Reading SB1318 Wolk | Senate Floor |
Passed |
|
| May 23, 2016 | Do pass | Senate Standing Committee on Appropriations |
Passed |
|
| Apr 20, 2016 | Do pass, but first be re-referred to the Committee on [Appropriations] | Senate Standing Committee on Environmental Quality |
Passed |
|
| Apr 6, 2016 | Do pass as amended, but first amend, and re-refer to the Committee on [Environmental Quality] | Senate Standing Committee on Governance and Finance |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| Calaveras County LAFCO | ** Against | Jun 2, 2016 |
| California Apartment Association | ** Against | Jun 2, 2016 |
| California Association of Local Agency Formation Commissions | ** Against | Jun 2, 2016 |
| California Association Of Realtors | ** Against | Jun 2, 2016 |
| California Building Industry Association | ** Against | Jun 2, 2016 |
| California Business Properties Association | ** Against | Jun 2, 2016 |
| California Chamber Of Commerce | ** Against | Jun 2, 2016 |
| California Environmental Justice Alliance | ** Support | Jun 2, 2016 |
| California Food Policy Advocates | ** Support | Jun 2, 2016 |
| California League Of Conservation Voters | ** Support | Jun 2, 2016 |
| California Manufacturers And Technology Association | ** Against | Jun 2, 2016 |
| California Municipal Utilities Association | ** Against | Jun 2, 2016 |
| California Rural Legal Assistance Foundation, Inc. | ** Support | Jun 2, 2016 |
| California Special Districts Association | ** Against | Jun 2, 2016 |
| Clean Water Action | ** Support | Jun 2, 2016 |
| Coachella Valley Water District | ** Support | May 23, 2016 |
| Community Water Center | ** Support | Jun 2, 2016 |
| Contra Costa LAFCO | ** Against | Jun 2, 2016 |
| Costa Mesa Sanitation | ** Against | Jun 2, 2016 |
| Cucamonga Valley Water District | ** Against | Jun 2, 2016 |
| Desert Water Agency | ** Against | Jun 2, 2016 |
| El Dorado LAFCO | ** Against | Jun 2, 2016 |
| Elsinore Valley Municipal Water District | ** Against | Jun 2, 2016 |
| Environmental Justice Coalition for Water | ** Support | Jun 2, 2016 |
| Environmental Working Group | ** Support | Jun 2, 2016 |
| Imperial County LAFCO | ** Against | Jun 2, 2016 |
| Kern County LAFCO | ** Against | Jun 2, 2016 |
| Leadership Counsel for Justice and Accountability | ** Support | Jun 2, 2016 |
| League Of California Cities | ** Against | Jun 2, 2016 |
| Merced County LAFCO | ** Against | Jun 2, 2016 |
| Natural Resources Defense Council | ** Support | Jun 2, 2016 |
| Nevada County LAFCO | ** Against | Jun 2, 2016 |
| OPPOSITION : | ** Support | May 23, 2016 |
| Orange County LAFCO | ** Against | Jun 2, 2016 |
| Placer County LAFCO | ** Against | Jun 2, 2016 |
| Policy Link | ** Support | Jun 2, 2016 |
| Pueblo Unido Community Development Coalition | ** Support | Jun 2, 2016 |
| Riverside County LAFCO | ** Against | Jun 2, 2016 |
| San Bernardino County LAFCO | ** Support | May 23, 2016 |
| San Bernardino LAFCO | ** Against | Jun 2, 2016 |
| San Diego LAFCO | ** Against | Jun 2, 2016 |
| San Joaquin Valley Sustainable Agriculture Collaborative | ** Support | Jun 2, 2016 |
| San Mateo LAFCO | ** Against | Jun 2, 2016 |
| Santa Cruz County LAFCO | ** Support | May 23, 2016 |
| Santa Cruz LAFCO | ** Against | Jun 2, 2016 |
| Sequoia Riverlands Trust | ** Support | Jun 2, 2016 |
| Sierra Club California | ** Support | Jun 2, 2016 |
| Sonoma LAFCO | ** Against | Jun 2, 2016 |
| Stanislaus County LAFCO | ** Against | Jun 2, 2016 |
| Trust For Public Land, The | ** Support | Jun 2, 2016 |
| u ARGUMENTS IN | ** Support | May 23, 2016 |
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | SB |
THIRD READING
Bill No: SB 1318
: 6/1/16
SENATE GOVERNANCE & FIN. COMMITTEE: 5-1, 4/6/16
AYES: Hertzberg, Beall, Hernandez, Lara, Pavley
NOES: Moorlach
NO VOTE RECORDED: Nguyen
SENATE ENVIRONMENTAL QUALITY COMMITTEE: 5-2, 4/20/16
AYES: Wieckowski, Hill, Jackson, Leno, Pavley
NOES: Gaines, Bates
SENATE APPROPRIATIONS COMMITTEE: 4-2, 5/23/16
AYES: Lara, Beall, Hill, McGuire
NOES: Bates, Nielsen
NO VOTE RECORDED: Mendoza
SOURCE: Leadership Counsel for Justice and Accountability
DIGEST: This bill requires Local Agency Formation Commissions (LAFCOs) to recommend plans for providing water or wastewater services to disadvantaged unincorporated communities (DUCs) that lack those services.
Senate Floor Amendments of 6/1/16 recast the plan for providing services, delete certain prohibitions on sphere of influence updates, and add a new requirement to the land use element of city and county general plans.
Existing law:
- Requires every city and county to develop a comprehensive general plan that includes seven mandatory elements, including a land use element that describes the intensity and general location of various land uses such as residential, commercial, industrial, and open space.
- Creates a LAFCO in each county to control the boundaries of cities, county service areas, and most special districts.
- Requires a LAFCO to:
- Adopt a policy document for each city and district called a sphere of influence, in order to promote orderly development within the sphere.
- Make boundary decisions that are consistent with the spheres of influence of the affected cities or districts.
- Update spheres of influence at least every five years, as necessary.
- Periodically conduct a “municipal service review” (MSR) that analyze and make determinations about seven topics:
- Growth and population projections;
- Present and planned capacity of public facilities and adequacy of public services, including infrastructure needs or deficiencies, including the water, sewer, and fire protection needs of DUCs;
- Agencies’ financial abilities to provide services;
- Opportunities for sharing facilities;
- Accountability for community service needs;
- The location and characteristics of any DUCs; and
- Other matters relating to effective or efficient services.
- Allows local governments to only exercise their powers and provide services where LAFCO allows them to, specifically:
- Within their boundaries (which are set by LAFCO);
- Within their spheres of influence but outside their boundaries (with authorization by LAFCO), and;
- Outside their spheres to address a major threat to public health if the extension is consistent with LAFCO’s policies.
- Imposes restrictions, pursuant to SB 244 (Wolk, Chapter 513, Statutes of 2011), relating to DUCs on LAFCOs, cities, and counties, including:
- Prohibits annexations to a city of territory greater than 10 acres if a DUC is contiguous with the territory proposed for annexation, unless there is an application with the commission to annex the unincorporated area or if the residents of the affected territory oppose annexation.
- Requires LAFCOs to include in the MSR a description of the location and characteristics of any DUCs within or contiguous to the sphere of influence and to consider the water, sewer, or fire protection needs of DUCs within the sphere when considering updates.
- Allows LAFCOs to assess options for governmental reorganizations or consolidations that improve the efficiency and affordability of service delivery and review whether water systems in the area are in compliance with the Safe Drinking Water Act.
- Requires cities and counties to review the water and fire service needs of DUCs in their general plans.
This bill:
- Authorizes a LAFCO to initiate proceedings for the annexation of a DUC.
- Prohibits annexations of territory greater than 10 acres to a special district that provides drinking water or wastewater services to 500 or more connections if a DUC is contiguous with the territory proposed for annexation, unless there is an application with the commission to annex the unincorporated area or if the residents of the affected territory oppose annexation.
- Requires a sphere of influence to promote orderly development in areas adjacent to the sphere.
- Requires certain spheres of influence to determine the water, wastewater, and fire protection needs of DUCs adjacent to the sphere.
- Requires LAFCOs to:
- Identify DUCs within or adjacent to the sphere of influence of a city or special district and review the adequacy of water and wastewater services in those communities by January 1, 2018 and every five years thereafter.
- File a map of the county with the Office of Planning and Research that identifies DUCs that lack drinking water and wastewater services, as well as the State Water Resources Control Board (SWRCB) and Regional Water Quality Control Boards, as applicable.
- Develop an accessibility plan for DUCs that lack water or wastewater on or before January 1, 2020 that identifies, among other things, the local agencies best positioned to provide water or wastewater to the DUCs, the actions that the LAFCO and the local agency must take to resolve the deficiency, and those DUCs for which there is no technically or economically feasible way of connecting an existing system.
- Hold a hearing on the status of the identified DUCs within two years of adopting an accessibility plan and take the action identified in the plan if the deficiency remains unaddressed.
- Excludes the actions necessary under the plan from protest provisions, except that the LAFCO shall not take the action recommended in the accessibility plan if it finds that a majority of voters are opposed to the recommended action.
- Prohibits the costs and fees charged to residents of a DUC that becomes part of a city or special district pursuant to an accessibility plan from exceeding the costs to existing customers.
- Requires a city or county to include the accessibility plans and analyses of services provided to DUCs in the land use element of its general plans upon the next revision of the housing element.
Background
LAFCOs, along with the planning agencies of cities and counties, are supposed to ensure that services are effectively and efficiently delivered to all communities throughout the state. Nevertheless, some communities continue to lack adequate public services, including safe drinking water and functioning wastewater systems. These communities are often poor and are located in the unincorporated area of a county. In some cases these DUCs are remote and far from other communities with better public services; in others, a city may share a border with a DUC that has been excluded from its boundaries.
In recent years, the Legislature has taken several steps to try to address some of the service problems experienced by DUCs. SB 244 (Wolk, 2011) aimed to prevent cities from carving out DUCs and to identify service deficiencies. SB 244 made it easier for LAFCOs to identify boundary changes and governmental reorganizations necessary to fix water service problems faced by DUCs. Subsequent legislation—SB 88 (Committee on Budget and Fiscal Review, Chapter 27, Statutes of 2015)—took this effort a step further by authorizing the SWRCB to order a consolidation of neighboring water systems where it is economically feasible in order to address public health threats. To date, SWRCB has begun the consolidation process with two water systems in communities that border the city of Tulare.
Some advocates for DUCs want to provide additional incentives for local governments to serve DUCs that lack safe drinking water or adequate wastewater service.
Comments
- Purpose of the bill. Many communities in California continue to suffer from third-world level drinking water and wastewater services. In many cases, these communities’ border cities or special districts with more than enough capacity to serve them, but their boundaries have been drawn to specifically exclude them. Despite recent legislative efforts, some cities continue to look to serve new development outside of their current boundaries before helping neighboring communities. While SB 244 helped highlight the disparity in services for DUCs, stronger measures are needed to ensure that LAFCOs and local governments faithfully carry out their responsibilities. SB 1318 is simply the next step. It ensures that LAFCOs take the information that they gathered through SB 244 and come up with a plan to help those communities in need of better water and wastewater. SB 1318 won’t solve all of the problems of DUCs, but it provides an important tool to get the state closer to its goal of ensuring that all Californians have access to safe, affordable drinking water.
- Burden on cities, counties, and LAFCOs. SB 1318 imposes a number of significant burdens on cities, counties, and LAFCOs. Changes to general plans can be expensive, time-consuming endeavors. By requiring local governments to incorporate the accessibility plans into their land use elements, SB 1318 adds to a long and growing list of unfunded mandates imposed through the general planning process. In addition, SB 1318 requires LAFCOs to significantly expand their activities, including additional studies of areas outside of spheres of influence and developing plans for services. Cities, counties, and special districts fund LAFCO operations, but many of those agencies are still recovering from the recession. Is now the right time to impose additional responsibilities on local agencies that are just getting to their feet?
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
According to the Senate Appropriations Committee:
- Significant local costs which are not reimbursable from the state.
- Minor costs to the Governor’s Office of Planning and Research to post maps of certain DUCs on its Web site. (General Fund)
Leadership Counsel for Justice and Accountability (source)
California Environmental Justice Alliance
California Food Policy Advocates
California League of Conservation Voters
California Rural Legal Assistance Foundation
Clean Water Action
Community Water Center
Environmental Justice Coalition for Water
Environmental Working Group
Natural Resources Defense Council
Policy Link
Pueblo Unido Community Development Coalition
San Joaquin Valley Sustainable Agriculture Collaborative
Sequoia Riverlands Trust
Sierra Club California
The Trust for Public Land
Calaveras County LAFCO
California Apartment Association
California Association of Local Agency Formation Commissions
California Association of Realtors
California Building Industry Association
California Business Properties Association
California Chamber of Commerce
California Manufacturers and Technology Association
California Municipal Utilities Association
California Special Districts Association
City of Sacramento
Contra Costa LAFCO
Costa Mesa Sanitation
Cucamonga Valley Water District
Desert Water Agency
El Dorado LAFCO
Elsinore Valley Municipal Water District
Imperial County LAFCO
Kern County LAFCO
League of California Cities
Merced County LAFCO
Nevada County LAFCO
Orange County LAFCO
Placer County LAFCO
Riverside County LAFCO
San Bernardino LAFCO
San Diego LAFCO
San Mateo LAFCO
Santa Cruz LAFCO
Sonoma LAFCO
Stanislaus County LAFCO
6/1/16 18:41:45
**** END ****
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | SB |
THIRD READING
Bill No: SB 1318
:
SENATE GOVERNANCE & FIN. COMMITTEE: 5-1, 4/6/16
AYES: Hertzberg, Beall, Hernandez, Lara, Pavley
NOES: Moorlach
NO VOTE RECORDED: Nguyen
SENATE ENVIRONMENTAL QUALITY COMMITTEE: 5-2, 4/20/16
AYES: Wieckowski, Hill, Jackson, Leno, Pavley
NOES: Gaines, Bates
SENATE APPROPRIATIONS COMMITTEE: 4-2, 5/23/16
AYES: Lara, Beall, Hill, McGuire
NOES: Bates, Nielsen
NO VOTE RECORDED: Mendoza
SOURCE: Leadership Counsel for Justice and Accountability
DIGEST: This bill requires Local Agency Formation Commissions (LAFCOs) to recommend and adopt plans for providing water or wastewater services to disadvantaged unincorporated communities (DUCs) that lack those services.
Existing law:
- Creates a LAFCO in each county to control the boundaries of cities, county service areas, and most special districts.
- Requires a LAFCO to:
- Adopt a policy document for each city and district called a sphere of influence, in order to promote orderly development within the sphere.
- Make boundary decisions that are consistent with the spheres of influence of the affected cities or districts.
- Update spheres of influence at least every five years, as necessary.
- Periodically conduct a “municipal service review” (MSR) that analyze and make determinations about seven topics:
- Growth and population projections;
- Present and planned capacity of public facilities and adequacy of public services, including infrastructure needs or deficiencies, including the water, sewer, and fire protection needs of DUCs;
- Agencies’ financial abilities to provide services;
- Opportunities for sharing facilities;
- Accountability for community service needs;
- The location and characteristics of any DUCs; and
- Other matters relating to effective or efficient services.
- Allows local governments to only exercise their powers and provide services where LAFCO allows them to, specifically:
- Within their boundaries (which are set by LAFCO);
- Within their spheres of influence but outside their boundaries (with authorization by LAFCO), and;
- Outside their spheres to address a major threat to public health if the extension is consistent with LAFCO’s policies.
- Imposes restrictions, pursuant to SB 244 (Wolk, Chapter 513, Statutes of 2011), relating to DUCs on LAFCOs, cities, and counties, including:
- Prohibits annexations to a city of territory greater than 10 acres if a DUC is contiguous with the territory proposed for annexation, unless there is an application with the commission to annex the unincorporated area or if the residents of the affected territory oppose annexation.
- Requires LAFCOs to include in the MSR a description of the location and characteristics of any DUCs within or contiguous to the sphere of influence and to consider the water, sewer, or fire protection needs of DUCs within the sphere when considering updates.
- Allows LAFCOs to assess options for governmental reorganizations or consolidations that improve the efficiency and affordability of service delivery and review whether water systems in the area are in compliance with the Safe Drinking Water Act.
- Requires cities and counties to review the water and fire service needs of DUCs in their general plans.
This bill:
- Prohibits annexations of territory greater than 10 acres to a special district that provides drinking water or wastewater services to 500 or more connections if a DUC is contiguous with the territory proposed for annexation, unless there is an application with the commission to annex the unincorporated area or if the residents of the affected territory oppose annexation.
- Requires a sphere of influence to promote orderly development in areas adjacent to the sphere.
- Requires certain spheres of influence to determine the water, wastewater, and fire protection needs of DUCs adjacent to the sphere.
- Prohibits LAFCOs from removing a disadvantaged community from a sphere of influence unless the commission makes a finding that the removal will improve services to that community.
- Requires LAFCOs to:
- Assess options to improve the efficiency and affordability of service delivery for DUCs that lack drinking water and wastewater services and review whether water systems in the area are in compliance with the Safe Drinking Water Act, if information is available.
- Perform MSRs sufficient to have reviewed the entire county by January 1, 2022 and every five years thereafter.
- File a map of the county with the Office of Planning and Research that identifies DUCs that lack drinking water and wastewater services.
- Recommend plans to address water and wastewater service deficiencies and adopt actions necessary to implement those plans, within two years of identification of the deficiency.
- Excludes the actions necessary under the plan from protest provisions, except in the DUC that would receive service.
- Exempts LAFCOs from developing and implementing such plans if they make findings that there is no technical or economically feasible way of connecting the DUC to an existing water or wastewater system.
- Prohibits certain sphere of influence changes if the LAFCO has not adopted and taken actions necessary to implement the plan by 2022, or if an agency identified in a plan has not provided service within three years of being designated in the plan as the service provider for a DUC.
Background
LAFCOs, along with the planning agencies of cities and counties, are supposed to ensure that services are effectively and efficiently delivered to all communities throughout the state. Nevertheless, some communities continue to lack adequate public services, including safe drinking water and functioning wastewater systems. These communities are often poor and are located in the unincorporated area of a county. In some cases these DUCs are remote and far from other communities with better public services; in others, a city may share a border with a DUC that has been excluded from its boundaries.
In recent years, the Legislature has taken several steps to try to address some of the service problems experienced by DUCs. SB 244 (Wolk, 2011) aimed to prevent cities from carving out DUCs and to identify service deficiencies. SB 244 made it easier for LAFCOs to identify boundary changes and governmental reorganizations necessary to fix water service problems faced by DUCs. Subsequent legislation—SB 88 (Committee on Budget and Fiscal Review, Chapter 27, Statutes of 2015)—took this effort a step further by authorizing the State Water Resources Control Board (SWRCB) to order a consolidation of neighboring water systems where it is economically feasible in order to address public health threats. To date, SWRCB has begun the consolidation process with two water systems in communities that border the city of Tulare.
Some advocates for DUCs want to provide additional incentives for local governments to serve DUCs that lack safe drinking water or adequate wastewater service.
Comments
- Purpose of the bill. Many communities in California continue to suffer from third-world level drinking water and wastewater services. In many cases, these communities’ border cities or special districts with more than enough capacity to serve them, but their boundaries have been drawn to specifically exclude them. Despite recent legislative efforts, some cities continue to look to serve new development outside of their current boundaries before helping neighboring communities. While SB 244 helped highlight the disparity in services for DUCs, stronger measures are needed to ensure that LAFCOs and local governments faithfully carry out their responsibilities. SB 1318 is simply the next step. It incentivizes cities and special districts that want to serve new development to help meet the needs of existing communities with drinking water and wastewater problems, and codifies best practices that conscientious LAFCOs already follow. SB 1318 won’t solve all of the problems of DUCs, but it provides an important tool to get the state closer to its goal of ensuring that all Californians have access to safe, affordable drinking water.
- Burden on LAFCOs. SB 1318 imposes a number of burdens on LAFCOs that they may not have the resources or expertise to pursue, including mandatory studies of territory outside of an agency’s sphere, mandatory assessments of alternatives for communities that lack adequate drinking water or wastewater, and developing plans for service provision. Cities, counties, and special districts fund LAFCO operations, but many of those agencies are still recovering from the recession. Is now the right time to impose additional financial responsibilities on local agencies that are just getting to their feet?
- Restrictions on development. A viable development needs certain services, including drinking water and wastewater, but a local government can only provide those services where LAFCO lets them. By restricting the ability of LAFCO to approve service extensions or sphere of influence updates, SB 1318 could pose additional obstacles to much needed development throughout the state.
FISCAL EFFECT: Appropriation: Fiscal Com.: Local:
According to the Senate Appropriations Committee:
- Significant local costs which are not reimbursable from the state.
- Minor costs to the Governor’s Office of Planning and Research to post maps of certain DUCs on its Web site. (General Fund)
Leadership Counsel for Justice and Accountability (source)
California Environmental Justice Alliance
California Food Policy Advocates
California League of Conservation Voters
California Rural Legal Assistance Foundation
Clean Water Action
Community Water Center
Environmental Justice Coalition for Water
Environmental Working Group
Natural Resources Defense Council
Policy Link
Pueblo Unido Community Development Coalition
San Joaquin Valley Sustainable Agriculture Collaborative
Sequoia Riverlands Trust
Sierra Club California
The Trust for Public Land
OPPOSITION: (Verified 5/25/16)
Calaveras County LAFCO
California Apartment Association
California Association of Local Agency Formation Commissions
California Association of Realtors
California Building Industry Association
California Business Properties Association
California Chamber of Commerce
California Manufacturers and Technology Association
California Municipal Utilities Association
California Special Districts Association
City of Sacramento
Contra Costa LAFCO
Costa Mesa Sanitation
Cucamonga Valley Water District
Desert Water Agency
El Dorado LAFCO
Elsinore Valley Municipal Water District
Imperial County LAFCO
Kern County LAFCO
League of California Cities
Merced County LAFCO
Nevada County LAFCO
Orange County LAFCO
Placer County LAFCO
Riverside County LAFCO
San Bernardino LAFCO
San Diego LAFCO
San Mateo LAFCO
Santa Cruz LAFCO
Sonoma LAFCO
Stanislaus County LAFCO
5/25/16 13:50:27
**** END ****
SENATE COMMITTEE ON
Senator Ricardo Lara, Chair
2015 - 2016 Regular Session
SB 1318 (Wolk) - Local government: drinking water infrastructure or services: wastewater infrastructure or services
Version: | Policy Vote: |
Urgency: | Mandate: |
Hearing Date: | Consultant: |
This bill does not meet the criteria for referral to the Suspense File.
Bill Summary:
SB 1318 would require a local agency formation commission (LAFCO) to identify disadvantaged unincorporated communities that lack adequate drinking water and wastewater services and plan for the provision of services to those communities, as specified.
Fiscal Impact:
- Significant local costs which are not reimbursable from the state. (see staff comments)
- Minor costs to the Governor’s Office of Planning and Research (OPR) to post maps of certain disadvantaged unincorporated communities on its website. (General Fund)
Background:
Existing law, the Cortese-Knox-Hertzberg Act, establishes a LAFCO in each county to control the boundaries of cities, county service areas, and most special districts. To plan for the future boundaries and service areas of the cities and special districts, a LAFCO must adopt a sphere of influence for each local entity, which must be updated at least every five years. To inform decisions about an agency’s sphere of influence, LAFCOs prepare “municipal service reviews” (MSRs), which include an analysis of services provided in a particular area, and determinations with respect to seven specified factors. Among these are the location and characteristics of any disadvantaged unincorporated communities, and the present and planned capacity of public facilities, adequacy of public services, and infrastructure needs and deficiencies, including those related to sewers, water, and fire protection in any disadvantaged unincorporated communities within or contiguous to the sphere of influence.
The LAFCOs’ boundary decisions must be consistent with the spheres of influence of the affected cities or districts. Local governments can only exercise their powers and provide services within their boundaries and spheres of influence, as determined by the LAFCO, but they can also provide services outside their spheres if necessary to address a major threat to public health. LAFCOs are responsible for the orderly development and coordination of local agencies and the promotion of logical and orderly development, including the effective and efficient and delivery of services. However, some communities continue to lack adequate public services, including safe drinking water and functioning wastewater systems. These communities are often poor and located in the unincorporated area of a county. In some cases these “disadvantaged unincorporated communities” (DUCs) are remote and far from other communities with better public services, but in others, a city may share a border with a DUC that has been excluded from its boundaries.
Existing law, as enacted by SB 244 (Wolk), Chapter 513/2011, prohibits a LAFCO from approving a city annexation of territory greater than 10 acres if a DUC is contiguous to the area of the proposed annexation, unless there is an application with the LAFCO to annex the unincorporated area or if the residents of the affected territory oppose annexation. SB 244 also expanded the MSR requirements as noted above to require the inclusion of the location and characteristics of any DUCs within or contiguous to the sphere of influence and to consider the water, sewer, or fire protection needs of those communities within the sphere when considering updates. SB 244 also authorized LAFCOs to assess options for governmental reorganizations or consolidations that improve the efficiency and affordability of service delivery and to review whether water systems in the area are in compliance with the Safe Drinking Water Act. Finally, SB 244 required cities and counties to review the water and fire service needs of DUCs in their general plans.
Proposed Law:
SB 1318 would require LAFCOs to plan for the provision of adequate drinking water and wastewater services to DUCs. Specifically, this bill would:
- Prohibit a LAFCO from approving an annexation of over 10 acres to a qualified special district with more than 500 water or wastewater service connections if a DUC is contiguous to the area of proposed annexation, unless the district has applied to LAFCO to annex the DUC or the residents of the DUC oppose annexation.
- Prohibit a LAFCO from approving a sphere of influence update that removes a DUC from a city or special district, unless the LAFCO finds that the removal of the community will result in improved service delivery.
- Require a LAFCO, when conducting an MSR and there is a DUC that lacks adequate drinking water and wastewater services and infrastructure, to assess alternatives for improving efficiency and affordability of those services and infrastructure, which may include an extension of those services.
- Require a LAFCO conducting an MSR to include a review of whether the subject agency is in compliance with the California Safe Drinking Water Act only if the information is available from the State Water Resources Control Board or other sources.
- Require a LAFCO, on or before January 1, 2022 and every five years thereafter, to conduct service reviews sufficient to have reviewed the entire territory of the county.
- Require a LAFCO to file a map of the county that identifies DUCs that lack safe drinking water and adequate wastewater in electronic format to OPR, and require OPR to post the maps on its website.
- Require a LAFCO to recommend a plan based upon alternatives analyzed and to adopt any actions necessary to implement the plan within two years of identifying a DUC that lacks safe drinking water or adequate wastewater services, as specified.
- Specify that a LAFCO is not required to adopt or implement a plan if it finds that there is no technical or economically feasible way of connecting the DUC to an existing system, as specified.
- Prohibit a LAFCO from changing the sphere of influence of a qualifying city or special district, or authorizing an extension of services by those entities, on or after January 1, 2022, unless the LAFCO has conducted the analysis or adopted a plan, as specified.
- Prohibit a LAFCO from changing the sphere of influence of a qualifying city or special district, or authorizing an extension of services by those entities, if the city or district has been designated in the plan to provide water or wastewater services and the entity has not started providing those services within three years of the designation, except as specified.
Staff Comments:
SB 1318 would place new burdens on LAFCOs to plan for addressing water and wastewater service deficiencies in DUCs. LAFCO operations are funded by the cities, counties, and special districts, and boundary decisions are generally considered local land-use planning activities. The additional identification and mapping of DUCs with service deficiencies, assessing alternatives for service efficiency and affordability improvements, and taking specified actions to implement action plans in the municipal service review and sphere of influence process would come at a substantial cost to LAFCOs. These costs are passed on to the local agencies that fund LAFCO activities.
Legislative Counsel has identified this bill as a state-mandated local program because it imposes new duties on local officials in the LAFCO process. Staff notes, however, that LAFCOs themselves do not appear to be eligible claimants for state-reimbursement because they are not vested with taxing authority, and their revenues are not subject to the appropriations limits, as specified in Article XIII B of the California Constitution. In addition, although the bill would result in increased costs to cities, counties, and special districts because they fund LAFCO activities, the bill does not place any new direct requirements on those local agencies, so it would not appear to impose a higher level of service on them. Rather, the mandates in the bill are imposed on LAFCOs. The California Supreme Court has opined that “simply because a state law or order may increase the costs borne by local government in providing services, this does not necessarily establish that the law or order constitutes an increased or higher level of the resulting service to the public under article XIII B, section 6, and Government Code section 17514.” (San Diego Unified School Dist. v. Commission on State Mandates (2004) 33 Cal.4th 859, 877.)
Moreover, local governments have broad fee authority to cover costs associated with planning duties. Specifically, existing law authorizes local agencies to impose zoning and permit fees that include “costs reasonably necessary to prepare and revise plans and policies that a local agency is required to adopt before it can make any necessary findings and determinations.” Case law and previous decisions by the Commission on State Mandates support the position that local governments’ planning costs are not reimbursable when the state imposes new planning mandates. The costs of mandates imposed upon LAFCOs must ultimately be passed on to counties, cities, and special districts whose boundary decisions a LAFCO handles. These new costs would have to be absorbed by local governments.
Any costs related to the requirement that OPR post maps of DUCs that have water and wastewater service and infrastructure deficiencies on its website would be minor.
-- END --
SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
Senator Wieckowski, Chair
2015 - 2016 Regular
Bill No: SB 1318
Author: | Wolk | ||
Version: | 4/12/2016 | Hearing Date: | 4/20/2016 |
Urgency: | No | Fiscal: | Yes |
Consultant: | Rachel Machi Wagoner | ||
SUBJECT: Local government: drinking water infrastructure or services: wastewater infrastructure or services
ANALYSIS:
Existing law and this bill:
- The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000
- Governs the procedures for the formation and change of organization of cities and special districts through a local agency formation commission (LAFCO).
- Prohibits a LAFCO from approving an annexation to a city of any territory greater than 10 acres, or as determined by commission policy, where there exists a disadvantaged unincorporated community, as specified, unless an application to annex the disadvantaged unincorporated community to the subject city has been filed with the executive officer.
- This bill extends that prohibition to an annexation to a qualified special district. The bill would define “qualified special district” to mean a special district with more than 500 service connections that provides drinking water or wastewater services.
- Existing law requires a LAFCO to develop and determine the sphere of influence of each city and each special district within the county and to enact policies designed to promote the logical and orderly development of areas within the sphere.
- This bill prohibits a LAFCO from approving a sphere of influence update that removes a disadvantaged community from a city’s or special district’s sphere of influence unless the commission makes a finding that removal of the community will result in improved service delivery to the community.
- Existing law requires a LAFCO, in preparing and updating spheres of influence, to conduct a service review of the municipal services provided in the county or other area designated by the commission. Existing law authorizes the commission, in conducting the review, to assess various alternatives for improving efficiency and affordability of infrastructure and service delivery, as specified, and to include a review of whether the agencies under review are in compliance with the California Safe Drinking Water Act.
- Where there exists a disadvantaged unincorporated community that lacks adequate drinking water and wastewater services and infrastructure within or contiguous with the subject sphere, this bill instead requires the LAFCO to make the assessment of alternatives and to include the safe drinking water review described above if the information is available from the State Water Resources Control Board (SWRCB) or other sources.
- This bill, on or before January 1, 2022, and every 5 years thereafter, requires the LAFCO to conduct service reviews sufficient to have reviewed the entire territory of the county. The bill would require the commission to file a map of the county that identifies disadvantaged unincorporated communities that lack safe drinking water or adequate wastewater with the Office of Planning and Research (OPR), and requires OPR to post the map on its Internet Web site.
- The bill additionally requires the LAFCO, within 2 years of identifying a disadvantaged unincorporated community that lacks safe drinking water or adequate wastewater services, to recommend a plan based on the alternatives analyzed and adopt any actions necessary to implement the plan, as specified.
- Existing law establishes the Human Right to Water Act, which declares it is the “established policy of the state that every human being has the right to safe, clean, affordable and accessible water adequate for human consumption, cooking and sanitary purposes.”
Background
- LAFCOs.
The Senate Governance and Finance Committee Analysis provided the following background on LAFCOs.
The Cortese-Knox-Hertzberg Act creates a local agency formation commission (LAFCO) in each county to control the boundaries of cities, county service areas, and most special districts. The courts repeatedly refer to LAFCOs as the Legislature’s watchdog over boundary changes. To plan for the future boundaries and service areas of the cities and special districts, a LAFCO must adopt a policy document for each city and district called a sphere of influence. The LAFCOs’ boundary decisions must be consistent with the spheres of influence of the affected cities or districts. Spheres must be updated at least every five years.
In order to determine spheres of influence, LAFCOs must periodically conduct a “municipal service review” (MSR) to inform their decisions about spheres of influence. MSRs must analyze and make determinations about seven topics:
- Growth and population projections;
- Present and planned capacity of public facilities and adequacy of public services, including infrastructure needs or deficiencies, including the water, sewer, and fire protection needs of disadvantaged unincorporated communities;
- Agencies’ financial abilities to provide services;
- Opportunities for sharing facilities;
- Accountability for community service needs;
- The location and characteristics of any disadvantaged unincorporated communities; and
- Other matters relating to effective or efficient services.
Local governments can only exercise their powers and provide services where LAFCO allows them to: within their boundaries (which are set by LAFCO), within their spheres of influence but outside their boundaries (with authorization by LAFCO), and outside their spheres to address a major threat to public health if the extension is consistent with LAFCO’s policies.
The Legislature approved AB 402 (Dodd, Chapter 431, Statutes of 2015), which established a pilot program in Napa County and San Bernardino County that allowed the extension of services outside a local agency’s sphere of influence to support existing or planned uses, so long as (1) an MSR has identified a service deficiency, (2) the extension of service will not result in growth inducing impacts or harm to agricultural lands, and (3) a sphere of influence change is not feasible.
LAFCOs, along with the planning agencies of cities and counties, are supposed to ensure that services are effectively and efficiently delivered to all communities throughout the state. Nevertheless, some communities continue to lack adequate public services, including safe drinking water and functioning wastewater systems. These communities are often poor and are located in the unincorporated area of a county. In some cases these “disadvantaged unincorporated communities” (DUCs) are remote and far from other communities with better public services; in others, a city may share a border with a DUC that has been excluded from its boundaries.
In recent years, the Legislature has taken several steps to try to address some of the service problems experienced by DUCs. SB 244 (Wolk, Chapter 513, Statutes of 2011) aimed to prevent cities from carving out DUCs by prohibiting annexations to a city of territory greater than 10 acres if a DUC is contiguous with the territory proposed for annexation, unless there is an application with the commission to annex the unincorporated area or if the residents of the affected territory oppose annexation. SB 244 also required LAFCOs to include in the MSR a description of the location and characteristics of any DUCs within or contiguous to the sphere of influence and to consider the water, sewer, or fire protection needs of DUCs within the sphere when considering updates. When conducting an MSR, LAFCOs can also assess options for governmental reorganizations or consolidations that improve the efficiency and affordability of service delivery and can review whether water systems in the area are in compliance with the Safe Drinking Water Act. Finally, SB 244 required cities and counties to review the water and fire service needs of DUCs in their general plans.
SB 244 made it easier for LAFCOs to identify boundary changes and governmental reorganizations necessary to fix water service problems faced by DUCs. Subsequent legislation—SB 88 (Committee on Budget and Fiscal Review, 2015)—took this effort a step further by authorizing the State Water Resources Control Board (SWRCB) to order a consolidation of neighboring water systems where it is economically feasible in order to address public health threats. To date, SWRCB has begun the consolidation process with two water systems in communities that border the city of Tulare.
Some advocates for disadvantaged unincorporated communities want to provide additional incentives for local governments to serve DUCs that lack safe drinking water or adequate wastewater service.
- Water Quality Risks in Disadvantaged Communities.
As of January 2014, there were 7,642 public water systems in California classified into three different categories: 3,015 Community Water Systems serving communities with full-time residents; 1,489 Non-Transient Non-Community Water Systems serving the same non-residents at least six months per year (e.g., schools, places of work, and prisons); and 3,138 Transient Non-Community Water Systems serving non-residents at least 60 days per year (e.g., restaurants & campgrounds).
When larger systems exceed maximum contaminant levels, those problems are usually corrected promptly. In contrast, over time, small water systems, because of their small base of rate payers, are much less able to remain compliant with state drinking water standards. This is especially true when water system users include disadvantaged communities, defined as any community where the median household income is below 80% of the statewide median household income. This problem with small water systems experiencing the bulk of violations extends across water system categories.
In addition to the community systems where residents may have repeated long-term exposure to contaminants in impure water, many Non-Transient Non-Community systems include schools, where vulnerable populations may also get substantial repeated exposure to contaminants. In 2014, 68 schools or day-care facilities with their own water systems served contaminated water to more than 24,000 people.
As reported in a Senate Office of Research report, SWRCB’s Drinking Water Division estimated that in 2014, there were 472 out-of-compliance drinking water systems serving more than 275,000 people. The Drinking Water Division believes that systems with ongoing issues are located predominantly in disadvantaged communities.
- Example of What SB 1318 Aims to Address.
The Coachella Valley Water District (CVWD) has scores of communities within its boundaries that rely on groundwater contaminated with arsenic, Chrom 6, likely 123-TCP, and which are at risk of contamination from inadequately treated human waste. Most of these communities lack access to adequate wastewater services, relying instead on failing septic systems or even modified cesspools. Recently a new developer released a Notice of Preparation (NOP) a Draft Environmental Impact Report (DEIR) for a new community that will include thousands of residential units, golf courses, parks, commercial land uses and other amenities. The NOP notes that CVWD will expand to annex the community into its service area and will serve the community with wastewater and drinking water service.
The City of Tulare agreed to expand drinking water and wastewater service to the neighboring community of Matheny Tract. Matheny Tract relies on drinking water contaminated with Arsenic, likely 123-TCP, and is at risk from contamination from contaminants from human waste. The City, since agreeing to extend services has attempted to absolve its responsibilities stating now that it has no intention of extending wastewater service to the community and that there may be inadequate water capacity to serve the 330 unit community. The City has stated that its priority is securing water for current city residents and anticipated city growth as opposed to extending water service to Matheny Tract (a 70 year old community). Since the City started claiming lack of water capacity for Matheny Tract, it has connected or approved connection for almost 1000 new single family homes.
Comments
- Purpose of Bill. Many communities in California continue to suffer from third-world level drinking water and wastewater services. In many cases, these communities’ border cities or special districts with more than enough capacity to serve them, but their boundaries have been drawn to specifically exclude them. Despite recent legislative efforts, some cities continue to look to serve new development outside of their current boundaries before helping neighboring communities. While SB 244 helped highlight the disparity in services for DUCs, stronger measures are needed to ensure that LAFCOs and local governments faithfully carry out their responsibilities. SB 1318 is simply the next step. It incentivizes cities and special districts that want to serve new development to help meet the needs of existing communities with drinking water and wastewater problems, and codifies best practices that conscientious LAFCOs already follow. SB 1318 won’t solve all of the problems of DUCs, but it provides an important tool to get the state closer to its goal of ensuring that all Californians have access to safe, affordable drinking water.
According to the author, “It is unconscionable and frankly inexcusable that some communities in California do not have access to adequate potable drinking water supplies or wastewater services. Most of these communities are predominantly rural and agricultural, the residents of which supply the labor that sustains California’s world class agriculture. This bill ensures that these disadvantaged communities are no longer left behind as other cities around their homes further develop and increase in population. All Californians, regardless of socioeconomic status have the right to safe drinking water and wastewater services.”
DOUBLE REFERRAL:
This measure was heard in Senate Governance and Finance Committee on April 6, 2016, and passed out of committee with a vote of 5-1.
SOURCE:
Leadership Counsel for Justice and Accountability
SUPPORT (pursuant to March 28, 2016 version of the bill):
California Environmental Justice Alliance
California Food Policy Advocates
California League of Conservation Voters
California Rural Legal Assistance Foundation
Clean Water Action
Community Water Center
Environmental Justice Coalition for Water
Environmental Working Group
Natural Resources Defense Council
Policy Link
Pueblo Unido Community Development Coalition
San Joaquin Valley Sustainable Agriculture Collaborative
Sequoia Riverlands Trust
Sierra Club California
The Trust for Public Land
OPPOSITION (pursuant to March 28, 2016 version of the bill):
California Apartment Association
California Association of Local Agency Formation Commissions
California Association of Realtors
California Building Industries Association
California Business Properties Association
California Chamber of Commerce
California Manufacturers and Technology Association
California Municipal Utilities Association
California Special Districts Association
Coachella Valley Water District
Contra Costa LAFCO
El Dorado LAFCO
League of California Cities
Nevada County LAFCO
San Bernardino County LAFCO
San Diego LAFCO
San Mateo LAFCO
Santa Cruz County LAFCO
Sonoma LAFCO
ARGUMENTS IN OPPOSITION:
The Coachella Valley water district states that it is “acutely aware of the need to provide safe and reliable drinking water and wastewater services, including the accompanying infrastructure to disadvantaged communities. The district works diligently with other agencies, organizations and members of such communities within its service area. ….”
The district continues that it “must oppose this proposed legislation since it ignores the fiscal implications associated with such a requirement when the drinking water/wastewater infrastructure services are proposed for new development. Currently, new developments are required to fund the drinking water/wastewater infrastructure required to service the new development through direct investment and or development/facility impact fees. This long held policy of most utilities prevents this burden from being placed on existing customers. In fact, cities and districts are legally prevented from doing so due to restrictions such as Proposition 218.”
A coalition of opposition argues that:
“The bill prohibits new housing or employment centers that comply with all existing requirements from receiving water service from an existing provider unless and until various conditions are met regarding disadvantaged unincorporated communities (DUCs) that are unrelated to the housing or employment centers.
The bill will have three undesirable results:
- It will foster the proliferation of new public water systems;
- It will block the production of new housing during a housing crisis;
- It won’t help DUCs receive water from new sources.
Beyond the unintended and untenable outcomes inherent in the bill, we strongly believe it would be unconstitutional to require the territory to pay for any fees or costs associated with an annexation or an extension of services to a disadvantaged community (paying for existing deficiencies is prohibited). SB 1318 does not provide any funding source for the LAFCO or the water or wastewater provider to accomplish its intended goal. By attaching DUCs to new housing or employment centers, those new projects will garner more opposition and increase the likelihood of denial. As a result, new projects will likely avoid seeking annexation or extension of services from an existing provider and instead, opt to form their own water system. Very likely, the bill will result in the proliferation of smaller water systems and existing disadvantaged communities will be left out in the cold.
This bill, intended or not, establishes walls between territories that want water or wastewater services and the existing providers of those services The intermeddling proposed by SB 1318 won’t help disadvantaged communities and could stifle new housing and employment centers.
A better approach would be to establish a process for dialogue between existing service providers and DUCs to see if annexation or an extension of services is feasible.”
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SENATE COMMITTEE ON GOVERNANCE AND FINANCE
Senator Robert M. Hertzberg, Chair
2015 - 2016 Regular
Bill No: | SB 1318 | Hearing Date: | 4/6/16 |
Author: | Wolk | Tax Levy: | No |
Version: | 3/28/16 | Fiscal: | Yes |
Consultant: | Favorini-Csorba | ||
Local government: drinking water infrastructure or services: wastewater infrastructure or services
Prohibits a LAFCO from updating the sphere of influence of, or authorizing the extension of services by, a city or qualified special district if nearby disadvantaged unincorporated communities lack safe drinking water or adequate wastewater services.
Background
The Cortese-Knox-Hertzberg Act creates a local agency formation commission (LAFCO) in each county to control the boundaries of cities, county service areas, and most special districts. The courts repeatedly refer to LAFCOs as the Legislature’s watchdog over boundary changes. To plan for the future boundaries and service areas of the cities and special districts, a LAFCO must adopt a policy document for each city and district called a sphere of influence. The LAFCOs’ boundary decisions must be consistent with the spheres of influence of the affected cities or districts. Spheres must be updated at least every five years.
In order to determine spheres of influence, LAFCOs must periodically conduct a “municipal service review” (MSR) to inform their decisions about spheres of influence. MSRs must analyze and make determinations about seven topics:
- Growth and population projections;
- Present and planned capacity of public facilities and adequacy of public services, including infrastructure needs or deficiencies, including the water, sewer, and fire protection needs of disadvantaged unincorporated communities;
- Agencies’ financial abilities to provide services;
- Opportunities for sharing facilities;
- Accountability for community service needs;
- The location and characteristics of any disadvantaged unincorporated communities; and
- Other matters relating to effective or efficient services.
Local governments can only exercise their powers and provide services where LAFCO allows them to: within their boundaries (which are set by LAFCO), within their spheres of influence but outside their boundaries (with authorization by LAFCO), and outside their spheres to address a major threat to public health if the extension is consistent with LAFCO’s policies. In 2015, the Legislature approved AB 402 (Dodd), which established a pilot program in Napa County and San Bernardino County that allowed the extension of services outside a local agency’s sphere of influence to support existing or planned uses, so long as (1) a MSR has identified a service deficiency, (2) the extension of service will not result in growth inducing impacts or harm to agricultural lands, and (3) a sphere of influence change is not feasible.
LAFCOs, along with the planning agencies of cities and counties, are supposed to ensure that services are effectively and efficiently delivered to all communities throughout the state. Nevertheless, some communities continue to lack adequate public services, including safe drinking water and functioning wastewater systems. These communities are often poor and are located in the unincorporated area of a county. In some cases these “disadvantaged unincorporated communities” (DUCs) are remote and far from other communities with better public services; in others, a city may share a border with a DUC that has been excluded from its boundaries.
In recent years, the Legislature has taken several steps to try to address some of the service problems experienced by DUCs. SB 244 (Wolk, 2011) aimed to prevent cities from carving out DUCs by prohibiting annexations to a city of territory greater than 10 acres if a DUC is contiguous with the territory proposed for annexation, unless there is an application with the commission to annex the unincorporated area or if the residents of the affected territory oppose annexation. SB 244 also required LAFCOs to include in the MSR a description of the location and characteristics of any DUCs within or contiguous to the sphere of influence and to consider the water, sewer, or fire protection needs of DUCs within the sphere when considering updates. When conducting an MSR, LAFCOs can also assess options for governmental reorganizations or consolidations that improve the efficiency and affordability of service delivery and can review whether water systems in the area are in compliance with the Safe Drinking Water Act. Finally, SB 244 required cities and counties to review the water and fire service needs of DUCs in their general plans.
SB 244 made it easier for LAFCOs to identify boundary changes and governmental reorganizations necessary to fix water service problems faced by DUCs. Subsequent legislation—SB 88 (Committee on Budget and Fiscal Review, 2015)—took this effort a step further by authorizing the State Water Resources Control Board (SWRCB) to order a consolidation of neighboring water systems where it is economically feasible in order to address public health threats. To date, SWRCB has begun the consolidation process with two water systems in communities that border the city of Tulare.
Some advocates for disadvantaged unincorporated communities want to provide additional incentives for local governments to serve DUCs that lack safe drinking water or adequate wastewater service.
Proposed Law
Senate Bill 1318 restricts the cases where a LAFCO can update a sphere of influence or authorize an extension of service. Specifically, the bill prohibits a LAFCO from updating the sphere of influence for a city or a special district, if the district has over 500 connections and provides either drinking water or wastewater services, until the city or special district has entered into an enforceable agreement to extend those services to all disadvantaged unincorporated communities within its sphere of influence or adjacent to its jurisdictional boundaries, if they lack safe drinking water or adequate wastewater services. The services must be extended to the disadvantaged communities within five years of the approval of the sphere of influence update, or sooner if feasible. However, LAFCO may authorize the service extension if the LAFCO finds, based on written evidence, that a majority of the residents of the relevant disadvantaged communities are opposed to receiving those services. If the LAFCO finds that the residents are opposed, those findings cannot interfere with the SWRCB’s authority under SB 88 or other efforts to expand services.
SB 1318 also prohibits a LAFCO from authorizing a city or a special district, regardless of size, to extend drinking water or wastewater services as provided in the Cortese-Knox-Hertzberg Act until the city or special district has entered into an enforceable agreement to extend those services to all disadvantaged communities—whether incorporated or unincorporated—within its sphere of influence or adjacent to its jurisdictional boundaries that lack safe drinking water or adequate wastewater services. The services must be extended to the disadvantaged communities within five years, or sooner if feasible. However, LAFCO may authorize the service extension if any of the following conditions apply:
- The LAFCO finds, based on written evidence, that a majority of the residents of the relevant disadvantaged communities are opposed to receiving those services. If the LAFCO finds that the residents are opposed, those findings cannot interfere with the SWRCB’s authority under SB 88 or other efforts to expand services;
- The extension of services is authorized to respond to an existing or impending threat to the health or safety of the public; or
- The extension of services is to a disadvantaged community.
A similar prohibition and exceptions apply to extensions of services authorized under the pilot program in Napa County and San Bernardino County.
SB 1318 further prohibits annexations of territory greater than 10 acres to city or a special district, if the district provides water or wastewater services to more than 500 connections, where there exists either (1) a DUC contiguous to the territory proposed for annexation, or (2) a DUC within the city or district’s sphere of influence or adjacent to its boundaries that lacks safe drinking water or adequate wastewater services, with the same exceptions as provided elsewhere in the bill for prohibitions on extensions of services. It also prohibits LAFCOs from removing a disadvantaged community from the sphere of a city or special district unless it finds that the removal would improve service delivery to the community.
SB 1318 places additional responsibilities on LAFCOs as they review and update spheres of influence. Specifically, the bill requires the periodic review of the spheres of influence of any city or special district that provides water, wastewater, or structural fire protection services to consider the need for those services of DUCs adjacent to its sphere. It also makes mandatory several currently optional LAFCO processes and studies, including to:
- Review government reorganizations for potential improvements to service delivery;
- Recommend reorganization where feasible;
- Review alternatives for improving the efficiency and affordability of service delivery within or contiguous with the sphere being reviewed if there is a DUC that lacks adequate drinking water and waste water services; and
- Review water systems in the area for compliance with the Safe Drinking Water Act, if the information is available.
State Revenue Impact
No estimate.
Comments
1. Purpose of the bill. Many communities in California continue to suffer from third-world level drinking water and wastewater services. In many cases, these communities’ border cities or special districts with more than enough capacity to serve them, but their boundaries have been drawn to specifically exclude them. Despite recent legislative efforts, some cities continue to look to serve new development outside of their current boundaries before helping neighboring communities. While SB 244 helped highlight the disparity in services for DUCs, stronger measures are needed to ensure that LAFCOs and local governments faithfully carry out their responsibilities. SB 1318 is simply the next step. It incentivizes cities and special districts that want to serve new development to help meet the needs of existing communities with drinking water and wastewater problems, and codifies best practices that conscientious LAFCOs already follow. SB 1318 won’t solve all of the problems of DUCs, but it provides an important tool to get the state closer to its goal of ensuring that all Californians have access to safe, affordable drinking water.
2. An offer they can’t refuse. A viable development needs certain services, including drinking water and wastewater, but a local government can only provide those services where LAFCO lets them. By restricting the ability of LAFCO to approve service extensions or sphere of influence updates, SB 1318 essentially conditions new development on the provision of services to other unrelated communities, regardless of whether there is any causal link or nexus between a proposed sphere change or extension of services and the DUC that lacks drinking water or wastewater. Courts have found that there may be an unconstitutional taking when government requires development fees or exactions that don’t bear a reasonable relationship to the conditions created by the new development. In addition, anti-development forces may abuse the provisions of SB 1318 to stop new housing or other facilities that they don’t like. Instead of providing third parties with leverage to try to force cities and special districts to serve DUCs, it may be more appropriate to directly require cities and counties, through the general planning process, to ensure that these communities have access to sustainable services.
3. Different strokes. California is a diverse state, with many unique communities and considerations. Many of the communities that lack safe drinking water are located in rural areas of sparsely populated counties. But the bill would apply statewide. There may be unintended consequences—such as a freezing of spheres of influence and jurisdictional boundaries—in densely populated urban counties such as Los Angeles or the San Francisco Bay Area where DUCs are surrounded by multiple cities and special districts. The very purpose of LAFCOs is to take into account local conditions in determining what services are provided where. The Committee may wish to consider amending SB 1318 to apply only to parts of the state where DUCs with water or wastewater inadequacies are known and there are technically and economically feasible consolidations that have been blocked for more parochial reasons.
4. Burden on LAFCOs. SB 1318 imposes a number of burdens on LAFCOs that they may not have the resources to pursue, including potential elections or polling to perform sphere updates, mandatory studies of territory outside of an agency’s sphere, and mandatory assessments of alternatives for communities that lack adequate drinking water or wastewater. Cities, counties, and special districts fund LAFCO operations, but many of those agencies are still recovering from the recession. Is now the right time to impose additional financial responsibilities on local agencies that are just getting to their feet?
5. Mandate. The California Constitution generally requires the state to reimburse local agencies for their costs when the state imposes new programs or additional duties on them. According to the Legislative Counsel’s Office, SB 1318 creates a new state-mandated local program. SB 1318 provides that if the Commission on State Mandates determines that the bill contains state-mandated costs, reimbursement to local agencies must be made according to an existing process in state law.
6. Double-referred. The Senate Rules Committee has ordered a double-referral of SB 1318—first to the Senate Governance & Finance Committee, which has jurisdiction over bills relating to LAFCOs and local government services, and then to the Senate Environmental Quality Committee, which has jurisdiction over bills relating to drinking water and wastewater.
7. Let’s be clear. The Committee may wish to consider two clarifying amendments that correct errors to further the intent of the bill:
- Standardize references to “disadvantaged unincorporated communities” throughout the bill. Some provisions of the bill refer instead to disadvantaged communities, which could include incorporated areas that are already within the sphere of a city or special district.
- Ensure that 56133(h) does not prevent cities which do not provide water or wastewater services from updating their spheres of influence. Some cities receive services by contract, and thus could be prevented from changing their spheres even though they are not able to remedy nearby water problems. Similarly, one reference to “district” in the same section is missing the modifier “qualifying,” which is necessary to restrict the bill’s applicability to districts that provide water or wastewater services.
Support and Opposition
(3/31/2016)
Support: Leadership Counsel for Justice and Accountability (co-sponsor); California Food Policy Advocates; California League of Conservation Voters; California Rural Legal Assistance Foundation; Central California Asthma Collaborative; Clean Water Action; Community Water Center; Environmental Justice Coalition; Environmental Working Group; Natural Resources Defense Council; Policy Link; Pueblo Unido Community Development Coalition; Rural Communities Assistance Foundation; San Joaquin Valley Sustainable Agriculture Collaborative; Sequoia Riverlands Trust; Sierra Club California.
Opposition: California Apartment Association; California Association of Local Agency Formation Commissions; California Association of Realtors; California Building Industries Association; California Business Properties Association; California Chamber of Commerce; California Manufacturers and Technology Association; California Municipal Utilities Association; California Special Districts Association; Contra Costa LAFCO; El Dorado LAFCO; League of California Cities; Nevada County LAFCO; Riverside LAFCO; San Bernardino County LAFCO; San Diego LAFCO; San Luis Obispo LAFCO; San Mateo LAFCO; Sonoma LAFCO.
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