A Long-Awaited Senate Session Results in Approval of SB 65 and SB 67
By Paul McIntosh, Executive Director
pmcintosh@counties.org
The Senate approved SB 65 and SB 67 just before the lunch hour on Wednesday, October 14, allowing local agencies across the state to breathe a sigh of relief.
SB 65, which contains various provisions related to state cash management, includes language that accelerates the repayment of June, July, August, and September gas tax revenues to cities and counties; provides clarity on dates for repayment and allocation of gas tax revenues; includes additional flexibility for locals to use Proposition 1B funds and local special funds during the deferral period; and provides an exemption from the deferral for the state’s 13 smallest counties. SB 65 was approved on a 38-0 vote and we anticipate the Governor’s signature on the bill shortly.
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Sixth Extraordinary Session Focuses on Tax Commission Recommendations
On September 29, Governor Arnold Schwarzenegger called the Legislature into extraordinary session to consider the eagerly-awaited report from the Commission on the 21st Century Economy. Counties will recall that this commission was tasked with re-examining and modernizing the state’s out-of-date revenue laws that contribute to revenue volatility. The commission released its report on September 29 to both praise and criticism.
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Senate Convenes Two New Special Sessions
For those of you who are finding it difficult to track the numerous special sessions of the Legislature, or who can’t remember how many X’s to add to a bill number, CSAC has created this handy chart. It is based on the Senate’s roster.
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New Legislative Select Committee to Discuss Government Reform
The Senate and Assembly Select Committees on Improving State Government were created last month by Assembly Speaker Karen Bass and Senate President Pro Tem Darrell Steinberg and are dedicated to developing legislative proposals to overhaul California’s system of governance. The committees, chaired by Senator Mark DeSaulnier and Assembly Member Mike Feuer, respectively, will jointly hold their first meeting on October 22 in Sacramento.
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State Drops Appeal of 2008 Redevelopment Case
The California Redevelopment Association (CRA) announced that the State of California has dropped its appeal of a Sacramento Superior Court ruling that found the 2008 state budget provision shifting $350 million in redevelopment funds was illegal.
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State Franchise Tax Board Reminds Counties . . . You May Have State Nonresident Withholding Responsibilities
If you pay nonresident independent contractors to perform services in this state, the California Franchise Tax Board (FTB) wants to make you aware that unless certain exceptions apply, you must withhold and send to FTB seven percent of all payments that exceed $1,500 in a calendar year.
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Administration of Justice
The Governor signed a number of justice-related bills into law just before the midnight deadline on October 11.
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Agriculture and Natural Resources
Since the conclusion of the regular legislative session, the legislative leadership and the Administration have continued to negotiate the details of a comprehensive water legislative package.
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Employee Relations
AB 23, by Assembly Member Dave Jones, would require health care service plans and health insurers to provide notice to individuals who are eligible for Cal-COBRA premium assistance under the American Recovery and Reinvestment Act of 2009.
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Government Finance and Operations
SB 676, by Senator Lois Wolk, updates several instances of county fee authority, bringing the allowed fee amounts up to a level sufficient to cover the costs of providing the services for which they are charged.
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Health and Human Services
AB 657, by Assembly Member Ed Hernandez, would have established a Health Professions Workforce Task Force to assist in the development of a health professions workforce master plan for the state.
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Housing, Land Use and Transportation
AB 494, by Assembly Member Anna Caballero, exempts from the Subdivision Map Act the lease of agriculturally zoned land to nonprofit organizations for the purpose of operating an agricultural labor housing project if the property meets three conditions: (1) the property is not more than five acres; (2) the lease is for at least 30 years; and (3) the lease is signed before January 1, 2017.
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Washington, D.C., Report
Since returning to Capitol Hill for the start of the fall session, lawmakers have been focused on a number of high-profile issues.
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