Bill Text: CA SB387 | 2023-2024 | Regular Session | Amended

California Senate Bill 387

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: State property: sale or lease: broadband development.

Spectrum: Slight Partisan Bill (Democrat 3-1)

Status: (Passed) 2023-10-08 - Chaptered by Secretary of State. Chapter 485, Statutes of 2023. [SB387 Detail]

Download: California-2023-SB387-Amended.html

Amended IN Senate March 15, 2023

CALIFORNIA LEGISLATURE— 2023–2024 REGULAR SESSION

Senate Bill

No. 387

Introduced by Senator Dodd

February 09, 2023

An act to amend Section ~~19596.2 of the Business and Professions Code, relating to horse racing.~~ 11011.2 of the Government Code, relating to state property.

LEGISLATIVE COUNSEL'S DIGEST

SB 387, as amended, Dodd. ~~Horse racing: out-of-state thoroughbred races: Delaware Handicap.~~ State property: sale or lease: broadband development.

Existing law authorizes the Department of General Services to lease real property under the jurisdiction of a state agency, department, or district agricultural association if the Director of General Services determines that the real property is of no immediate need to the state but may have a potential future use. Existing law prohibits the director from leasing specified real property, including lands under the jurisdiction of the State Coastal Conservancy or another state conservancy, the Department of Transportation, the California State University system, the Department of Parks and Recreation, or the Department of Fish and Game. Existing law requires the lease to be set at the amount of the lease’s fair market value, as determined by the Director of General Services. Existing law authorizes the director to determine the length of term or a use of the lease, and specify any other terms and conditions which are determined to be in the best interest of the state.
This bill, as an exception to the prohibition on leasing certain properties described above and the requirement to set the lease at fair market value, would authorize the Department of General Services, with the consent of the concerned agency, to enter into a lease for real property under the jurisdiction of a state agency, department, or district agricultural association at an amount less than fair market value in support of broadband development in the state.
The Horse Racing Law authorizes a thoroughbred racing association or fair to distribute the audiovisual signal and accept wagers on the results of out-of-state thoroughbred races conducted in the United States during the calendar period the association or fair is conducting a race meeting, including days on which there is no live racing being conducted by the association or fair, without the consent of the organization that represents horsemen and horsewomen participating in the race meeting and without regard to the amount of purses. Under that law, the total number of thoroughbred races imported by associations or fairs on a statewide basis under these provisions are required to not exceed 50 per day on days when live thoroughbred or fair racing is being conducted in the state, with the exception of prescribed races.
~~This bill would exempt from the 50 imported race per day limitation races imported that are part of the race card of the Delaware Handicap.~~

Vote: MAJORITY Appropriation: NO Fiscal Committee: NOYES Local Program: NO

The people of the State of California do enact as follows:

SECTION 1.

Section 11011.2 of the Government Code is amended to read:

11011.2.

(a) (1) Notwithstanding any other law, including, but not limited to, Sections 11011 and 14670, except as provided in this section, the Department of General Services may lease real property under the jurisdiction of a state agency, department, or district agricultural association, if the Director of General Services determines that the real property is of no immediate need to the state but may have some potential future use to the program needs of the agency, department, or district agricultural association.

(2) ~~The~~ Except as provided in paragraph (4), the Director of General Services ~~may~~ shall not lease any of the following real property pursuant to this section:

(A) Tax-deeded land or lands under the jurisdiction of the State Lands Commission.

(B) Land that has escheated to the state or that has been distributed to the state by court decree in estates of deceased persons.

(D) Lands under the jurisdiction of the Department of Transportation or the California State University system, or land owned by the Regents of the University of California.

(E) Lands under the jurisdiction of the Department of Parks and Recreation.

(F) Lands under the jurisdiction of the Department of Fish and Game.

(3) A Except as provided in paragraph (4), a lease entered into pursuant to this section shall be set at the amount of the lease’s fair market value, as determined by the Director of General Services. ~~The~~

(4) Notwithstanding paragraphs (2) and (3), the Department of General Services, with the consent of the agency concerned, may lease real property under the jurisdiction of a state agency, department, or district agricultural association in support of broadband development in the state, at an amount less than fair market value.

(5) The Director of General Services may determine the length of term or a use of the lease, and specify any other terms and conditions ~~which~~ that are determined to be in the best interest of the state.

(b) The Department of General Services may enter into a long-term lease of real property pursuant to this section that has outstanding lease revenue bonds and for which the real property cannot be disencumbered from the bonds, only if the issuer and trustee for the bonds approves the lease transaction, and this approval takes into consideration, among other things, that the proposed lease transaction does not breach a covenant or obligation of the issuer or trustee.

(c) (1) All issuer- and trustee-related costs for reviewing a proposed lease transaction pursuant to this section, and all other costs of the lease transaction related to the defeasance or other retirement of any bonds, including the cost of nationally recognized bond counsel, shall be paid from the proceeds of that lease.

(2) The Department of General Services shall be reimbursed for any reasonable costs or expenses incurred in conducting a transaction pursuant to this section.

(3) Notwithstanding subdivision (g) of Section 11011, the Department of General Services shall deposit into the General Fund the net proceeds of a lease entered into pursuant to this section, after deducting the amount of the reimbursement of costs incurred pursuant to this section or the reimbursement of adjustments to the General Fund loan made pursuant to Section 8 of Chapter 20 of the 2009–10 Fourth Extraordinary Session from the lease.

(d) The Department of General Services shall transmit a report to each house of the Legislature on or before June 30, 2011, and on or before June 30 each year thereafter, listing every new lease that exceeds a period of five years entered into under the authority of this section and the following information regarding each listed lease:

(1) Lease payments.

(2) Length of the lease.

(3) Identification of the leasing parties.

(4) Identification of the leased property.

(5) Any other information the Director of General Services determines should be included in the report to adequately describe the material provisions of the lease.

SECTION 1.Section 19596.2 of the Business and Professions Code is amended to read:
19596.2.
(a)Notwithstanding any other law and except as provided in Section 19596.4, a thoroughbred racing association or fair may distribute the audiovisual signal and accept wagers on the results of out-of-state thoroughbred races conducted in the United States during the calendar period the association or fair is conducting a race meeting, including days on which there is no live racing being conducted by the association or fair, without the consent of the organization that represents horsemen and horsewomen participating in the race meeting and without regard to the amount of purses. Further, the total number of thoroughbred races imported by associations or fairs on a statewide basis under this section shall not exceed 50 per day on days when live thoroughbred or fair racing is being conducted in the state. The limitation of 50 imported races per day does not apply to any of the following:
~~(1)Races imported for wagering purposes pursuant to subdivision (c).~~
(2)Races imported that are part of the race card of the Kentucky Derby, the Kentucky Oaks, the Preakness Stakes, the Belmont Stakes, the Jockey Club Gold Cup, the Travers Stakes, the Arlington Million, the Breeders’ Cup, the Dubai World Cup, the Arkansas Derby, the Delaware Handicap, the Apple Blossom Handicap, the Blue Grass Stakes, or the Haskell Invitational.
~~(3)Races imported into the northern zone when there is no live thoroughbred or fair racing being conducted in the northern zone.~~
~~(4)Races imported into the combined central and southern zones when there is no live thoroughbred or fair racing being conducted in the combined central and southern zones.~~
(b)Any thoroughbred association or fair accepting wagers pursuant to subdivision (a) shall conduct the wagering in accordance with the applicable provisions of Sections 19601, 19616, 19616.1, and 19616.2.
(c)No thoroughbred association or fair may accept wagers pursuant to this section on out-of-state races commencing after 7 p.m., Pacific standard time, without the consent of the harness or quarter horse racing association that is then conducting a live racing meeting in the Counties of Orange or Sacramento.