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HomeMy WebLinkAbout16 LEGISLATIVE REPORT4-41 AGENDA , REPORT GST1 MEETING DATE TO: FROM: SUBJECT: APRIL 16, 2013 Agenda Item 16 Reviewed: City Manager Finance DirectorNIA HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL JEFFREY C. PARKER, CITY MANAGER LEGISLATIVE REPORT At this time, the City Council may take the opportunity to discuss current legislation of interest. Proposed Legislation for 2013-2014 Updated April 16, 2013 HOMELESSNESS Bill # Primary Description of Bill Status Author L Major Issues/ Opportunities AB 5 Ammiano • Enacts the Homeless Person's Bill of Rights and Fairness Act, which would provide that no 4/09/2013 Would require the City to person's rights, privileges, or access to public services may be denied or abridged because he or LAST ACTION: Re-referred to provide the homeless with access to she is homeless, has a low income, or suffers from a mental illness or physical disability. Precludes Committee restroom/shower facilities on a 24/7 any type of enforcement on the City's part regarding the homeless population in Tustin, other COMMITTEE LOCATION: Judiciary basis, since these options are available than the typical criminal violations. in public facilities, namely the City HEARING DATE: 4/23/13 Parks. Would require the City to staff • Provides every person shall be free from specified forms of discrimination and shall be entitled to these locations on an around the clock certain basic human rights, including the right to be free from discrimination by law enforcement, 4/8/13 AMENDED basis in order to ensure the safety and in the workplace, while seeking or maintaining housing or shelter, and while seeking services. proper functioning of the facilities. • Provides that every person has the right to access public property, possess personal property, The PD would no longer have access public restrooms, clean water, affordable housing, educational supplies, as specified, the option of enforcing the illegal emergency and nonemergency health care, confidentiality of medical records, assistance of legal camping sections of the Tustin counsel in specified proceedings, and restitution, under specified circumstances. Municipal Code, since it would directly • Provides civil and criminal immunity, and immunity from employer retaliation, to a public violate AB -5. The argument is the employee who provides assistance to a homeless person. homeless population may establish residence in or around a public facility, • Requires local law enforcement agencies to make specified information available to the public such as a park. When Laguna Beach PD and report to the Attorney General on an annual basis with regard to enforcement of local put a moratorium on this type of ordinances against homeless persons and compliance with the act, as specified, thereby imposing enforcement in 2009, they witnessed a state -mandated local program. an explosion of homeless shanty -type structures going up on their public beaches. Ultimately, the City of Laguna Beach built and staffed a Community Outreach Center for the homeless (temporary shelter facility), which allows homeless individuals to come in, get a shower and some rest, and then move on. Our parks are constantly being used for various functions and events, put on by the City Parks and Recreation Department. The influx of Updated activity since the last report homeless individuals, setting up shop in the parks, would essentially make it impossible for these events to occur. Even ifthey could simultaneously make it happen, for example, the public's reaction to a Movie in the Park, right next to homeless people urinating and bathing in park facilities. The nuisance calls for service would increase and the interest in these City sponsored events would most certainly wane. • No one really knows the true impact of AB -5, since it has not happened yet. But based on our experience with movements, such as "Occupy OC" and others, it could prove to be an extreme challenge if this bill succeeds. It may mean the need for more PD staff, like our Community Impact Officer, simply to deal with homeless issues solely. It would also require an increase in staffing from Public Works to clean and maintain facilities and the Parks and Rec to staff certain parks on a 24/7 basis. It is hard to put a dollar figure on it, but it is safe to say it could be very costly for the City in the long run. The ACC -OC is opposed to AB -5. GOVERNOR Bill # BROWN'S PROPOSED FY 2013-2014 BUDGET Primary Budget Priorities Author AL Status Major Issues/ Opportunities N/A Governor • More funding and local control for schools. Proposes to eliminate categorical school funding in 1/10/13 — Introduced by the The shift of Adult Education from Brown favor of using a Local Control Funding Formula. Included in the Governor's proposal is Governor the School District to the transitioning Adult Education from School Districts to Community Colleges. Community College could present • Health Care Reform Implementation. The Federal Affordable Care Act will require mandatory temporary classroom space issues expansion and the State budget outlines two alternatives: a state-based approach and county- for Advanced Technology & Education Partnership at TustinLegacy. based approach. These options are intended to start a conversation about how to move health care reform forward. • In 2011, Governor proposed • Enterprise Zones. Reforms the Enterprise Zone program through regulatory changes. Limits eliminating Enterprise retrovouchering by requiring all voucher applications to be made within one year of the date of Zones/LAMBRAs. There is concern hire. Streamlines the vouchering process for hiring veterans and recipients of public assistance. he could still seek their elimination, • Transportation. 13% of the annual state transportation revenues are dedicated to offsetting debt thus removing the incentives service costs from almost $30 million of general obligation bonds for transportation purposes. available for future businesses The budget uses $67 million of miscellaneous state highway account revenues to partially offset locating within Tustin Legacy. transportation bond debt services costs. As a result, local transportation funding is not Infrastructure demands and anticipated to be affected. transportation debt services costs could affect local funding in the • Infrastructure. The Governor intends to release a five-year infrastructure plan later this year, future. outlining the infrastructure priorities for the next five years. Indications are that the plan will rely less on future voter-authorized general obligation bonds than the state have over the past decade. In reviewing the Governor's budget, the Legislative Analyst's Office indicates that if the state elects to maintain its current policies relating to infrastructure, meeting these infrastructure demands likely would require the Legislature to shift a larger share of the state's budget to infrastructure. • Local Government Mandates. The Governor proposes to continue 2012-13 mandate suspensions, as well as suspend nine more. The focus is on reducing state requirements and maximizing local flexibility. • Assembly and Senate State Budgets, SB 65 (Leno) and AB 73 (Blumenfield) introduced the Governor's proposed State FY 2013-2014 Budget to the Senate and Assembly. INFRASTRUCTURE FINANCING DISTRICTS Bill # Primary Description of Bill Status Major Issues/ Opportunities Author SB 33 Wolk e Eliminates the requirement of voter approval in regards to creating an infrastructure financing 4/11/13 Provides more flexibility in creating district, adopting the plan and issuing bonds. LAST ACTION: Passed in the an Infrastructure Financing District • Authorizes a newly created public financing authority, consisting of 3 members of the city council Senate (24-13). Ordered to and does not preclude former and 2 members of the public, to adopt the infrastructure financing plan, subject to the approval Assembly and Read first time. Redevelopment Project Areas from by the legislative body, and majority vote of the authority by resolution. Held at Desk. becoming Infrastructure Districts. • Creates a public accountability committee, as specified, to review the actions of the public LOCATION: Assembly financing authority. • Extends the expiration date of an infrastructure financing district from 30 years to 40 years. 3/6/13 AMENDED • Requires any District constructing residential units to set aside 20% of the units for affordable housing. AB 229 Perez • Maintains the 2/3 voter approval to create an infrastructure financing district and issue debt 4/9/13 Does not reduce or eliminate the • Authorizes the creation of a district for up to 40 years and the issuance of debt with a final LAST ACTION: Re-referred to 2/3 voter approval necessary to maturity date of up to 30 years. Committee on Local Government form a district and to issue debt. • Authorizes a district to finance projects in former redevelopment project areas and former HEARING DATE: 4/17/13 military bases. 4/8/13 AMENDED AB 243 Dickinson e Authorizes the creation of an infrastructure and revitalization financing district and the issuance 2/15/13 Provides for the formation of an of debt with 55% voter approval. LAST ACTION: Referred to infrastructure financing district • Authorizes the creation of a district for up to 40 years and the issuance of debt with a final Committee on Local Government within publicly owned land on a maturity date of up to 30 years. HEARING DATE: 4/17/13 former military base without voter • Authorizes a district to finance projects in former redevelopment project areas and former approval. military bases. • Provides that the formation of the district and the issuance of bonds on land of a former military base that is publicly owned is NOT subject to voter approval. AB 294 Holden • The Bill was AMENDED to create a pilot program. 4/9/13 AMENDED to create a pilot • Local -State Joint Investment Partnership Pilot Program — establishes a pilot program whereby LAST ACTION: Re-referred to program and no longer considering certain local government entities, upon the approval and oversight of the Infrastructure and Committee on Local Government an Infrastructure Financing District. Economic Development Bank, are authorized to reallocate their payments directed to the HEARING DATE: 4/17/13 Approximately 18 cents of every Educational Revenue Augmentation Fund to instead finance certain kinds of public works that 4/8/13 AMENDED City of Tustin property tax dollar further state policy, as specified. could be available. AB 662 Atkins . Deletes the prohibition on infrastructure financing districts including any portion of a 3/4/13 Allows former redevelopment redevelopment project area LAST ACTION: Referred to project areas to be included in an Committee on Local Government infrastructure financing district. HEARING DATE: 4/17/13 INFRASTRUCTURE FINANCING DISTRICTS Bill # I Primary Description of Bill Author i AB 690 Campos • Provides for the creation of jobs and infrastructure financing districts without voter approval. • Authorizes a public financing authority to enter into joint powers agreements with affected taxing entities with regard to nontaxing authority or powers only. • Authorizes a district to implement hazardous cleanup pursuant to the Polanco Redevelopment Act. SB 628 Beall • Eliminates the requirement of voter approval for the adoption of an infrastructure financing plan, the creation of an infrastructure financing district, and the issuance of bonds with respect to a transit priority project. • Requires a city that uses infrastructure financing district bonds to finance its transit priority project to use at least 20% of the tax increment revenue for affordable housing. • Extends the date at which the infrastructure finance district ceases to exist to 40 years from the current 30 years. ECONOMIC DEVELOPMENT Bill # SB 1 Primary Author Steinberg Description of Bill GENERAL PROVISIONS • Establishes Sustainable Communities Investment Areas that are able to use tax increment revenue o In order to receive tax increment from other taxing entities (school districts are excluded), the taxing entity must authorize by resolution the allocation of tax increment (all or a portion). o An Area must include one of the following: • Transit priority project area; May include a military base reuse plan that meets of the definition of a transit priority project area; Small walkable community • Within Areas, Sustainable Communities Investment Authority ("Authority') can be formed • The Authority is responsible for creating Sustainable Communities Investment Plan o Adopt a jobs plan, focusing on job creation associated with new economic development o Adopt a sustainable parking standards ordinance • Independent financial and performance audit every 5 years • No less that 20% of allocated tax increment revenues must be dedicated for affordable housing purposes. • Dep't of Industrial Relations required monitoring and enforcing compliance with prevailing wage requirements for specified projects within a Sustainable Communities Investment Area. • Former Redevelopment Agencies MUST have a Finding of Completion from the Department of Finance in order to establish a Sustainable Communities Investment Authority. 4/15/13 LAST ACTION: Hearing postponed by committee COMMITTEE LOCATION: Local Government 4/9/13 AMENDED 4/10/13 LAST ACTION: Re-referred to Government and Finance. COMMITTEE LOCATION: Governance and Finance HEARING DATE: 4/17/13 AMENDED 4/15/13 LAST ACTION: Passed in the Committee on Governance & Finance (4-2), re-referred to Committee on Transportation & Housing COMMITTEE LOCATION: Transportation & Housing HEARING DATE: 4/23/13 4/15/13 AMENDED Major Issues/ Opportunities The Author's Amendments eliminate voter approval requirements. Eliminates voter approval requirements but does require 20% of tax increment revenues be expended on affordable housing. Major Issues/ Opportunities • Includes a provision for the receipt oftax increment funds. • A limited area of MCAS Tustin would be eligible, all properties no more than one-half mile from the Tustin Metrolink Station and OCTA Bus Route 70 (Edinger Avenue between 55 Freeway and Metrolink Station). • Establishes a Sustainable Communities Investment Authority. • Requires coordination and cooperation from other taxing entities. • AMENDED version added provision regarding a Finding of Completion. ECONOMIC DEVELOPMENT Bill # Primary Description of Bill Major Issues/ Opportunities Author AB 53 Perez • Requires the Governor's Office of Business and Economic Development to lead the preparation 2/21/13 of a biennial California Economic Development Strategic Plan, including convening a series of LAST ACTION: Re-referred to meetings biennially to provide recommendations regarding an economic development strategic Committee on Jobs, Economic plan. Development & the Economy • Recommends all state policies and programs conform to the adopted state economic and business development goals. AB 10 Alejo Proposes to increase minimum wage, on and after January 1, 2014 to not less than $8.25/hr, on and 1/14/13 after January 1, 2015 to not less than $8.75/hr, and on and after January 1, 2016 to not less than LAST ACTION: Referred to $9.25/hr. Committee COMMITTEE LOCATION: Labor & Employment ENTERPRISE ZONES/LAMBRA Bill # Primary Description of Bill ��M I Major Issues/ Opportunities Author AB 28 Perez • Authorizes the California Department of Housing and Community Development to increase the 3/5/13 As Amended, the Bill eliminates the processing fee charged for Hiring Tax Credit Vouchers from $15 to $20, effective January 1, 2014. LAST ACTION: Re-referred to processing fee charged for LAMBRA • Imposes new requirements on the Department of Housing and Community Development with Committees on Jobs, Economic Hiring Tax Credit Vouchers. respect to the enterprise zone program and modifies department and Franchise Tax Board Development & the Economy, reporting requirements. and Local Government 3/4/13 AMENDED AB 9 Holden Originally, the Bill appeared to be a placeholder with limited language declaring the intent of the 3/20/13 In order for an employerto receive Legislature to enact legislation that promotes job and business growth and encourages economic LAST ACTION: Re-referred to a Hiring Tax Credit under our development. The Bill was AMENDED on 3/19/13 to address Hiring Tax Credits in Enterprise Zones. Committee on Jobs, Economic LAMBRA, AB 9 increases the wage Modifies the definition of a qualified employee, as specified, and requires qualified wages to Development and the Economy they must pay their employee from exceed an average monthly wage of $2,000, as specified. HEARING DATE: 4/9/13 the State minimum wage of $8/hr. 3/19/13 AMENDED to $11.54/hr. (an average monthly wage of $2,000). AFFORDABLE HOUSING Bill # Primary Description of Bill Major Issues/ Opportunities Author SB 341 DeSaulnier • Provides that funds in the Low and Moderate Income Housing Asset Fund be used in accordance 4/1/13 Expands the use of the Low and with applicable housing-related provisions of the Community Redevelopment Law. Requires LAST ACTION: Re-referred to Moderate Income Housing Asset funds be expended for the purpose of monitoring and preserving the long-term affordability of Committee on Transportation Fund. the units subject to affordability restrictions or covenants, for homeless prevention and rapid and Housing rehousing services to individuals and families who are homeless or would be homeless but for COMMITTEE LOCATION: this assistance, and for the development of affordable housing. Transportation & Housing • Provides that any program income generated may be expended anywhere within the jurisdiction HEARING DATE: 4/16/13 of the housing successor without a finding of benefit. • Requires the housing successor to conduct and provide to its governing body an independent 4/1/13 AMENDED financial audit of the Low and Moderate Income Housing Asset Fund. Also requires the housing successor to post specified information on its Internet Web site. SB 391 DeSaulnier • Enacts the 'California Homes and Jobs Act of 2013' 4/10/13 A new'tax'. • Imposes a fee of $75 to be paid at the time of the recording of every real estate instrument, LAST ACTION: Passed Through a competitive process, a paper, or notice required or permitted by law to be recorded. Transportation and Housing potential source of funds for • Revenues sent quarterly to the Department of Housing and Community Development (HCD) to Committee (6-3), Re-referred affordable housing. deposit in the California Homes and Jobs Trust Fund. to Committee on Governance • Funds may be expended for supporting affordable housing, administering housing programs, and and Finance the cost of periodic audits. COMMITTEE LOCATION: • Amended to require HCD to report on efforts to promote a geographically balanced distribution of Governance and Finance funds. 4/2/13 AMENDED SUCCCESSOR AGENCY/OVERSIGHT BOARD Bill # Primary Description of Bill W Major Issues/ Opportunities Author AB 564 Mullin • Prohibits the Department of Finance from taking any future action to modify the enforceable 3/13/13 Prohibits the Department of obligations, including loan agreements between cities and former redevelopment agencies, LAST ACTION: Re-referred to Finance from revisiting items following the effective date of the approval of those enforceable obligations after review by the Committee on Local previously approved by the oversight board and the Department. Government Department. • Prohibits the Department of Finance from taking any future action to modify a transfer of 3/12/13 AMENDED property, or the liquidation of property and the use of proceeds, if the transfer, liquidation, or use of proceeds is consistent with the approved plan of the successor agency. MILITARY BASES Bill # Primary L Description of Bill Major Issues/ Opportunities Author 10 OIL AB Alejo • Authorizes the formation of a community revitalization and investment area and the 4/10/13 Former military bases that are 1080 development of a community revitalization plan to carry out certain provisions of Community LAST ACTION: Re-referred to principally characterized by Redevelopment Law. Committee on Housing and deteriorated or inadequate • The community revitalization plan would include a provision for the receipt of tax increment Community Development infrastructure or structures are funds. COMMITTEE LOCATION: eligible. Housing and Community Development HEARING DATE: 4/17/13 4/4/13 AMENDED