TO: Honorable Mayor and Members of the City Council
ATTENTION: Jeffrey L. Stewart, City Manager
FROM: Travis Sais, Assistant to the City Manager
SUBJECT: Consideration and possible action to receive and file a letter of support for Senate Bill 747 and a letter of opposition for Assembly Bill 480.
DATE: April 24, 2023
EXECUTIVE SUMMARY
The City recently received information from the California Association for Local Economic Development (CALED) on two bills in the California State Legislature which would affect the Surplus Land Act (SLA). CALED is encouraging cities to submit a letter of opposition for Assembly Bill 480 (AB 480) and a letter of support for Senate Bill 747 (SB 747) to the California State Legislature. The attached letters were submitted to the State Legislature via its online web portal.
SB 747 contains much needed clarifications and reforms to the SLA and reaffirms the role of existing Economic Opportunity Law that is used by local agencies to acquire and dispose of property to improve economic opportunities for local residents. The implementation of the SLA, including recent guidelines by the Housing and Community Development Department (HCD), has created immense delays and difficulties for local government agencies dealing with the use of their properties to further housing and economic development goals in service of their residents. SB 747 addresses these concerns through an array of helpful changes to the SLA, including clarifying that only leases of less than 35 years are subject to the SLA, providing exemptions to assist transit, transit-oriented development, airports, ports and other important agency uses, and avoiding delays for affordable housing developments which comply with the SLA’s affordability requirements.
On the other hand, AB 480, undermines the ability of local agencies to conduct appropriate economic development activities on properties they acquire or otherwise own. AB 480 would expand the scope of authority for HCD to review “any action to dispose of land,” which would include properties retained for agency use, properties declared “exempt surplus,” and properties that local agencies are authorized by other laws to acquire and dispose of for economic development purposes. As previously mentioned, the implementation of the SLA including HCD’s recent guidelines has created immense delays and difficulties for local government agencies dealing with the cont rol and disposal of their local properties. AB 480 would compound those difficulties by expanding state reviews and delays affecting properties retained for agency use and declared exempt surplus.
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Staff Report – SB 747 & AB 480 Letters
April 24, 2023
RECOMMENDATION TO CITY COUNCIL
1) Receive and file a letter of support for Senate Bill 747 and a letter of opposition for Assembly Bill 480; or
2) Alternatively, discuss and take other action related to this item.
FISCAL IMPACT
No fiscal impact with respect to this action.
ATTACHMENTS
SB 747 Support Letter ……..………………………………………………………………..……. …3 AB 480 Opposition Letter ……..…………………………………...……………………..……. ...…4
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