1999 Significant Legislation


Senate Local Government Committee

TO: Persons Interested in Local Government, Land Use, and Redevelopment Topics
FROM: Senator Richard K. Rainey
DATE: October 12, 1999
SUBJECT: Important Bills During 1999

Now that Governor Gray Davis has finished acting on the bills that the Legislature passed this year, I wanted you to know about some of the important bills that affect local government, land use, and redevelopment issues.



SB 223 (Kelley) allows the Salton Sea Authority to use an infrastructure financing district. Status: Signed; Chapter 59, Statutes of 1999.

SB 1132 (Costa) allows public agencies to charge capital facilities fees to other agencies and changes grounds for lawsuits. Status: Senate Judiciary Committee, two-year bill.

SB 1314 (Peace) allows local officials to issue more Marks-Roos Act bonds for multi-phased private developments under limited conditions. Status: Senate Inactive File, two-year bill.

AB 262 (Runner) allows cities and counties to share local sales tax revenues, implementing Proposition 11. Status: Signed; Chapter 56, Statutes of 1999.

AB 1036 (Wesson) increases the loans available to counties for administering the property tax system. Status: Senate Appropriations Committee, two-year bill.

AB 1511 (Florez) prohibits joint powers agencies that issue Marks-Roos Act bonds from using mutual water companies to meet the requirements of state law. Status: Vetoed.

AB 1661 (Torlakson) allocates $150 million from the State Budget to local governments. Half goes to counties and cities, allocated per capita. Half goes to counties, cities, and special districts based on their 1997-98 ERAF shifts. AB 1661 also promises to cap ERAF and pay the schools’ share of property tax administration costs if the voters approve a constitutional amendment in 2000. Status: Signed; Chapter 84, Statutes of 1999.

AB 1662 (Leonard) allocates $50 million from the State Budget to cities to reimburse the booking fees they paid to counties in 1997-98. Status: Signed; Chapter 79, Statutes of 1999.

State Budget, 1999-2000 was the best for local governments this decade. The Legislative Analyst’s description of the Budget is available on the LAO’s website www.lao.ca.gov


SB 165 (Rainey) caps the Educational Revenue Augmentation Fund (ERAF) and then phases out ERAF over the next 10 years. Status: Senate Appropriations Committee, two-year bill.

AB 349 (Torlakson) allows counties that used the Teeter Plan before the property tax shift to the Educational Revenue Augmentation Fund (ERAF) to benefit from the ERAF incentive. Status: Vetoed.

AB 676 (Brewer) requires the Legislative Analyst to report on property tax allocation issues by January 1, 2000. Status: Became law without signature; Chapter 94, Statutes of 1999.

AB 1195 (Longville) limits the Educational Revenue Augmentation Fund (ERAF) during 1999-2000 and in future years if money is available. Status: Senate Local Government Committee, two-year bill.


SB 231, SB 232, SB 233 are the Senate Local Government Committee’s annual Validating Acts. Status: Signed, Chapter 19, 266, and 267, Statutes of 1999.

SB 275 is the Senate Local Government Committee’s annual omnibus bill with 20 items. Status: Signed; Chapter 550, Statutes of 1999.

SB 329 (Peace) creates an elected San Diego Regional Infrastructure and Transportation Agency (RITA) to control planning, air quality, ports, airports, and transportation. Status: Assembly Local Government Committee, two-year bill.

SB 497 (Rainey) allows the Attorney General to sue to correct major violations of the redevelopment law. Status: Signed; Chapter 362, Statutes of 1999.

SCA 7 (Polanco) expands Los Angeles County’s board of supervisors from five to nine members. Status: Passed the Senate but amended in Assembly to become a tribal gaming measure.

SCA 10 (Perata) prohibits local agencies from contracting out law enforcement and firefighters’ jobs. Status: Senate Public Safety Committee, two-year measure.

AB 83 (Cardenas) prohibits cities in Los Angeles County from taxing home businesses for writers, musicians, directors, and creative artists. Status: Senate Revenue and Taxation Committee, two-year bill.

AB 958 (Scott) lets transit agencies use the design-build process for their construction projects. Status: Senate Transportation Committee, two-year bill.

AB 1679 is the Assembly Local Government Committee’s annual omnibus bill with nine items. Status: Signed; Chapter 643, Statutes of 1999.


SB 38 (Baca) limits land use regulations on religious assemblies and institutions. Status: Senate Judiciary Committee, two-year bill.

SB 948 (Alarcón) strengthens the anti-NIMBY law and shortens the deadlines in the Permit Streamlining Act for affordable housing projects. Status: Signed; Chapter 968, Statutes of 1999.

SB 985 (Johnston) changes the Williamson Act regarding compatible land uses, cancellation requirements, and local zoning for minimum parcel sizes. Status: Signed; Chapter 1018, Statutes of 1999.

AB 47 (Cardoza) shifts the Williamson Act cancellation fees to the Agricultural Land Stewardship Program Fund. Status: Vetoed.

AB 84 (Floyd) SB 95 (Chesbro) prohibit public agencies from approving big-box retail stores if they use more than 15,000 square feet to sell food and drugs. Status: Vetoed both.

AB 1480 (Assembly Agriculture Committee) reforms procedures for swapping Williamson Act contracted land for conservation easements under the Agricultural Land Stewardship Program. Status: Vetoed.

AB 1505 (Ducheny) allows Williamson Act landowners to subdivide contracted land for farmworker housing. Status: Signed; Chapter 967, Statutes of 1999.


SB 807 (Senate Agriculture and Water Committee) lets LAFCOs approve extraterritorial service by cities and special districts in response to threats to public health or safety. Status: Signed; Chapter 779, Statutes of 1999.

SB 1142 (Morrow) creates procedures for applying Proposition 218 to city and district boundary changes. Status: Assembly Local Government Committee, two-year bill.

AB 1495 (Cox) reforms the revenue neutrality calculations for city incorporations and creates conflict resolution procedures. Status: Senate Appropriations Committee, two-year bill.

AB 1526 (Thompson) reforms the revenue neutrality calculations for incorporations and requires state departments to serve new cities. Status: Senate Appropriations Committee, two-year bill.

AB 1553 (Calderon) makes it easier to develop the "doughnut hole" (Redlands’ unincorporated island) by giving landowners control of the City’s sphere of influence. Status: Vetoed.

AB 1555 (Longville) expedites the annexation of unincorporated islands to surrounding cities. Status: Signed; Chapter 921, Statutes of 1999.

AB 1630 (Lowenthal) * appropriates $320,000 to the Los Angeles LAFCO to study the feasibility of detaching the harbor area from the City of Los Angeles. Status: Signed; Chapter 924, Statutes of 1999.


The fastest way to get copies of the these bills and the Committee's analyses, other analyses, histories, voting records, and any veto messages is from the California Legislature's official websitewww.leginfo.ca.gov You can also order a printed copy of any bill by writing directly to the Bill Room, State Capitol (Room B-32), Sacramento CA 95814-4906. Single copies are free.


This Committee held an interim hearing on Property Tax Allocation in September. The summary report, including the briefing paper and the witnesses’ handouts, is on the Committee’s websitewww.sen.ca.gov/locgov Select "Hearing Materials" and then select "September 21, 1999." A printed copy of the summary report is available for purchase through Senate Publications located on 1020 N Street, Suite B-53, Sacramento CA 95814. Simply call 916-327-2155 and request stock number 997-S.

The Senate Local Government Committee did not hear this bill.

Committee Address