Bill Text: CA SB747 | 2023-2024 | Regular Session | Amended
Bill Title: Land use: surplus land.
Spectrum: Slight Partisan Bill (Democrat 2-1)
Status: (Passed) 2023-10-11 - Chaptered by Secretary of State. Chapter 786, Statutes of 2023. [SB747 Detail]
Download: California-2023-SB747-Amended.html
|
Amended
IN
Assembly
August 14, 2023 |
|
Amended
IN
Assembly
June 30, 2023 |
|
Amended
IN
Senate
May 18, 2023 |
|
Amended
IN
Senate
May 01, 2023 |
|
Amended
IN
Senate
April 13, 2023 |
|
Amended
IN
Senate
March 22, 2023 |
| Introduced by Senator Caballero (Principal coauthor: Senator Seyarto) |
February 17, 2023 |
LEGISLATIVE COUNSEL'S DIGEST
(1)Existing law authorizes a city, county, or city and county, with the approval of its legislative body by resolution after a public hearing, to acquire, sell, or lease property in furtherance of the creation of an economic opportunity, as defined. Existing law specifies the Legislature’s intent regarding those provisions.
This bill would authorize a city, county, or city and county, in addition to a sale or lease, to otherwise transfer property to create an economic opportunity. The bill would make related, conforming changes. The bill would additionally state the Legislature’s intent is to ensure that residents of the state have access to jobs that allow them to afford housing without the need for public subsidies.
Existing law subjects the creation of an economic
opportunity to certain notice and disclosure provisions. These provisions require each local agency, before approving an economic development subsidy within its jurisdiction, to provide specified information in written form to the public and through its internet website, if available, about the business entities that are the beneficiary of the economic development subsidy, the start and end dates and schedule of the subsidy, other related information, and to hold public hearings and report on those subsidies at specified intervals.
This bill would subject the creation of an economic opportunity to only the above-described requirements regarding providing information to the public on that economic opportunity. The bill would specify that these provisions are an alternative to any other authority or procedures for cities and counties to acquire, sell, lease, or otherwise transfer real property owned by a city or county.
(2)Existing
Existing law generally requires a local agency disposing of surplus land to send a written notice of availability of the property to specified entities prior to disposing of that property or participating in negotiations to dispose of that property with a prospective transferee.
This bill would create an exception from that notice requirement if the prospective transferee is an affordable housing developer proposing to develop an affordable housing project on the site that will meet or exceed a 25% affordability threshold, as described.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: YESBill Text
The people of the State of California do enact as follows:
It is the intent of the Legislature to do all of the following:
(a)Promote economic development on a local level so that communities can enact local strategies to increase jobs, create economic opportunity, and generate tax revenue for all levels of government.
(b)Give local governments tools, at no cost to the state, that allow local governments to use their funds in a manner that promotes economic opportunity.
(c)With the loss of redevelopment funds, cities, counties, and cities and counties need to continue certain powers afforded to redevelopment agencies that were critical
to economic development, yet do not have an impact on schools and the state
budget.
(d)Ensure that residents of the state have access to jobs that allow them to afford housing without the need for public subsidies.
(a)(1)This part shall not be interpreted to authorize the use of eminent domain for economic development purposes.
(2)For the purposes of this part, a city, county, or city and county shall not sell, lease, or otherwise transfer, at a price that is less than the fair market value, any real property that was acquired through eminent domain. This prohibition shall not apply to either of the following:
(A)Any real property governed by a long-range property management plan pursuant to Section 34191.5 of the Health and Safety Code.
(B)Any housing asset transferred to a city, county, or city and county pursuant to paragraph (1) of subdivision (a) of Section 34176 of the Health and Safety Code or subdivision (c) of Section 34181 of the Health and Safety Code, provided that the successor agency or the designated local authority in the affected jurisdiction has received a finding of completion from the Department of Finance pursuant to Section 34179.7 of the Health and Safety Code.
(b)The creation of an economic opportunity pursuant to this part shall be subject only to the provisions of Section 53083.
(c)The provisions of this part are an alternative to any other authority granted to, or procedures required by law for, cities or counties to acquire, sell, lease, or otherwise transfer property owned
by a city or county.
(a)(1)A city, county, or city and county may acquire property in furtherance of the creation of an economic opportunity. A city, county, or city and county may sell, lease, or otherwise transfer property to create an economic opportunity. The acquisition, sale, lease, or transfer shall first be approved by the legislative body by resolution after a public hearing. Notice of the time and place of the hearing shall be published in a newspaper of general circulation in the community at least once per week for at least two successive weeks, as specified in Section 6066, prior to the hearing.
(2)The city, county, or city and county shall make available, for
public inspection and copying at a cost not to exceed the cost of duplication, a report no later than the time of publication of the first notice of the hearing mandated by this section. This report shall contain both of the following:
(A)A copy of the proposed acquisition, sale, lease, or transfer.
(B)A summary that describes and specifies all of the following:
(i)The cost of the agreement to the city, county, or city and county, including land acquisition costs, clearance costs, relocation costs, the costs of any improvements to be provided by the city, county, or city and county, plus the expected interest on any loans or bonds to finance the agreements.
(ii)For the sale, lease, or transfer of property, the estimated value of the interest to be conveyed or leased, determined at the highest and best uses permitted under the general plan or zoning.
(iii)For the sale, lease, or transfer of property, the estimated value of the interest to be conveyed or leased, determined at the use and with the conditions, covenants, and development costs required by the sale, lease, or transfer. The purchase price or present value of the lease payments which the lessor will be required to make during the term of the lease. If the sale price or total rental amount is less than the fair market value of the interest to be conveyed or leased, determined at the highest and best use, then the city, county, or city and county shall provide as part of the summary an explanation of the reasons for the difference.
(iv)An explanation of why the acquisition, sale, lease, or transfer of the property will assist in the creation of economic opportunity, with reference to all supporting facts and materials relied upon in making this explanation.
(b)The resolution approving the acquisition, sale, lease, or transfer shall be adopted by a majority vote unless the legislative body has provided by ordinance for a two-thirds vote for that purpose and shall contain a finding that the acquisition, sale, lease, or transfer of the property will assist in the creation of economic opportunity. For the sale, lease, or transfer of property, the resolution shall also contain one of the following findings:
(1)The consideration is not less than the fair
market value at its highest and best use.
(2)The consideration is not less than the fair reuse value at the use and with the covenants and conditions and development costs authorized by the sale, lease, or transfer.
(c)The provisions of this section are an alternative to any other procedures required by law or authority granted by law to a city, county, or city and county, to sell, lease, or otherwise transfer property owned by a city, county, or city and county.
As used in this article, the following definitions shall apply:
(a)(1)“Local agency” means every city, whether organized under general law or by charter, county, city and county, district, including school, sewer, water, utility, and local and regional park districts of any kind or class, joint powers authority, successor agency to a former redevelopment agency, housing authority, or other political subdivision of this state and any instrumentality thereof that is empowered to acquire and hold real property.
(2)The Legislature finds and declares that the term “district” as used in this article includes all districts within
the state, including, but not limited to, all special districts, sewer, water, utility, and local and regional park districts, and any other political subdivision of this state that is a district, and therefore the changes in paragraph (1) made by the act adding this paragraph that specify that the provisions of this article apply to all districts, including school, sewer, water, utility, and local and regional park districts of any kind or class, are declaratory of, and not a change in, existing law.
(b)(1)(A)“Surplus land” means land owned in fee simple by any local agency for which the local agency’s governing body takes formal action in a regular public meeting declaring that the land is surplus and is not necessary for the agency’s use.
(B)Land shall be declared either “surplus land” or “exempt surplus land,” as supported by written findings, before a local agency may take any action to dispose of it consistent with an agency’s policies or procedures.
(C)Notwithstanding subparagraph (A), a local agency is not required to make a declaration at a public meeting for land that is “exempt surplus land” if the local agency prepares a notice pursuant to subparagraph (D) and either of the following apply:
(i)The land is located within a city, county, or city and county that meets both of the following criteria:
(I)Has adopted a housing element for the current planning period that
has been found to be in substantial compliance with the requirements of Article 10.6 (commencing with Section 65580) of Chapter 3 of Division 1 of Title 7 by the Department of Housing and Community Development pursuant to Section 65585.
(II)Is designated prohousing pursuant to Section 65589.9.
(ii)The land is “exempt surplus land” pursuant to subparagraph (A), (B), (E), (I), (J), or (L) of paragraph (1) of subdivision (f).
(D)A local agency that elects to not make a declaration at a public meeting pursuant to subparagraph (C) shall identify the exempt
surplus land in a notice that is published and available for public comment, including notice to the entities identified in subdivision (a) of Section 54222, at least 30 days before the exemption takes effect.
(E)Notwithstanding Section 54222.3, 30 days before disposing of land declared “exempt surplus land,” a local agency shall provide the Department of Housing and Community Development a written notification of its declaration and findings in a form and manner prescribed by the department.
(F)A local agency, on an annual basis, may declare multiple parcels as “surplus land” or “exempt surplus land.”
(2)“Surplus land” includes land held in the Community Redevelopment Property Trust Fund pursuant to Section 34191.4 of
the Health and Safety Code and land that has been designated in the long-range property management plan approved by the Department of Finance pursuant to Section 34191.5 of the Health and Safety Code, either for sale or for future development, but does not include any specific disposal of land to an identified entity described in the plan.
(3)“Transit-oriented development” means a project that meets both the location and affordability requirements to qualify as an
eligible project pursuant to guidelines established by the Department of Housing and Community Development for the Transit-Oriented Development Implementation Program (Part 13 (commencing with Section 53560) of Division 31 of the Health and Safety Code).
(c)(1)Except as provided in paragraph (2), “agency’s use” shall include, but not be limited to, land that is being used, is planned to be used pursuant to a written plan adopted by the local agency’s governing board for, or is disposed of to support, pursuant to subparagraph (B) of paragraph (2), agency work or operations, including, but not limited to, utility sites, parcels used or planned to be used for transit or transit-oriented development, property owned by a port that is used to support logistics uses, airports, state tidelands, watershed property, land being used for conservation purposes, land for demonstration, exhibition, or educational purposes related to greenhouse gas emissions, sites for broadband equipment or wireless facilities, and buffer sites near sensitive governmental uses, including, but not limited to, waste disposal sites, and wastewater treatment plants.
(2)(A)“Agency’s use” shall not include commercial or industrial uses or activities, including nongovernmental retail, entertainment, or office development. Property disposed of for the sole purpose of investment or generation of revenue shall not be considered
necessary for the agency’s use.
(B)In the case of a local agency that is a district, including, but not limited to, those described in clause (ii), “agency’s use” may include commercial or industrial uses or activities, including nongovernmental retail, entertainment, or office development or be for the sole purpose of investment or generation of revenue, subject to all of the following:
(i)The agency’s governing body shall take action in a public meeting declaring that the use of the site will do either of the following:
(I)Directly further the express purpose of agency work or
operations.
(II)Be expressly authorized by a statute governing the local agency, provided the district complies with Section 54233.5 where applicable.
(ii)For the purposes of this subparagraph, a district includes the following only if the land is located within the jurisdiction of a city, county, or city and county that meets the criteria described in clause (i) of subparagraph (B) of paragraph (1) of subdivision (b):
(I) An infrastructure finance district established pursuant to Chapter 2.8 (commencing with Section 53395) of Part 1 of Division 2 of Title 5.
(II)An enhanced infrastructure financing district established pursuant
to Chapter 2.99 (commencing with Section 53398.50) of Part 1 of Division 2 of Title 5.
(III) A community revitalization and investment authority established pursuant to Division 4 (commencing with Section 62000) of Title 6.
(IV)A transit village development district established pursuant to
Article 8.5 (commencing with Section 65460) of Chapter 3 of Division 1 of Title 7.
(V)A climate resilience district established pursuant to Division 6 (commencing with Section 62300) of Title 6.
(d)“Dispose” means either of the following:
(1)The sale of the surplus land.
(2)The entering of a lease for surplus land, which is for a term longer than 15 years, including renewal options included in the terms of the initial lease, entered into on or after January 1, 2024.
(e)(1)Except as provided in paragraph (2), “exempt surplus land” means any of the following:
(A)Surplus land that is transferred pursuant to Section 25539.4 or 37364.
(B)Surplus land that is not contiguous to land owned by a state or local
agency that is used for open space or low- and moderate-income housing purposes and meets any of the following conditions:
(i)Is less than 5,000 square feet in area.
(ii)Is less than the minimum legal residential building lot size for the jurisdiction in which the parcel is located, or 5,000 square feet in area, whichever is less.
(iii)Has no record access and is less than 10,000 square feet in area.
(iv)Is sold or leased to an owner of contiguous land.
(C)Surplus land that a local agency is exchanging for another property interest necessary for the agency’s use.
(D)Surplus land that a local agency is transferring to another local, state, or federal agency, or to a third-party intermediary for future dedication for the receiving agency’s use, or to a federally recognized California Indian tribe.
(E)Surplus land that is a former street, right-of-way, a parking
lot less than one-half acre in size, or easement, and is conveyed to an owner of an adjacent property.
(F)A housing development, which may have ancillary commercial ground floor uses, that restricts 100 percent of the residential units to persons and families of low or moderate income, with at least 75 percent of the residential units restricted to lower income households, as defined in Section 50079.5 of the Health and Safety Code, with an affordable sales price or an affordable rent, as defined in Sections 50052.5 or 50053 of the Health and Safety Code, for a minimum of 55 years for rental housing and 45 years for ownership housing, and in no event shall the maximum affordable sales price or rent level be higher than 20 percent below the median market rents or sales prices for the neighborhood in which the site is located.
(G)A mixed-use development, which may include more than one publicly owned parcel, that restricts at least 25 percent of the residential units to lower income households, as defined in Section 50079.5 of the Health and Safety Code, with an affordable sales price or an affordable rent, as defined in Sections 50052.5 and 50053 of the Health and Safety Code, for a minimum of 55 years for rental housing and 45 years for ownership housing.
(H)Surplus land that is subject to valid legal restrictions that are not imposed by the local agency and that would make housing prohibited, unless there is a feasible method to satisfactorily mitigate or avoid the prohibition on the site.
(i)Valid legal restrictions include, but are not
limited to, all of the following:
(I)Existing constraints under ownership rights or contractual obligations that prevent the use of the property for
housing, if the obligations were agreed to prior to January 1, 2019.
(II)Conservation or other easements or encumbrances that prevent housing development.
(III)Existing leases, or other contractual obligations or restrictions, if the terms were agreed to prior to January 1, 2019.
(ii)Feasible methods to mitigate or avoid a valid legal restriction on the site do not include a requirement that the local agency acquire additional property rights or property interests belonging to third parties.
(iii)An existing nonresidential land use
designation on the surplus land is not a legal restriction that would make housing prohibited for purposes of this subparagraph.
(iv)Prior to disposition of the surplus land, the local agency shall include in its written findings adopted pursuant to subdivision (b) the relevant legal restrictions as described in this subparagraph.
(I)Surplus land that was granted by the state in trust to a local agency or that was acquired by the local agency for trust purposes by purchase or exchange, and for which disposal of the land is authorized or required subject to conditions established by statute.
(J)Land that is subject to Sections 17388, 17515, 17536, 81192, 81397, 81399, 81420, and 81422 of the Education Code and Part 14
(commencing with Section 53570) of Division 31 of the Health and Safety Code, unless compliance with this article is expressly required.
(K)Surplus land that is a former military base that was conveyed by the federal government to a local agency, and is subject to Article 8 (commencing with Section 33492.125) of Chapter 4.5 of Part 1 of Division 24 of the Health and Safety Code, provided that all of the following conditions are met:
(i)The former military base has an aggregate area greater than five acres, is expected to include a mix of residential and nonresidential uses, and is expected to include no fewer than 1,400 residential units upon completion of development or redevelopment of the former military base.
(ii)The affordability requirements for residential units shall be governed by a settlement agreement entered into prior to September 1, 2020. Furthermore, at least 25 percent of the initial 1,400 residential units developed shall be restricted to lower income households, as defined in Section 50079.5 of the Health and Safety Code, with an affordable sales price or an affordable rent, as defined in Sections 50052.5 and 50053 of the Health and Safety Code, for a minimum of 55 years for rental housing and 45 years for ownership housing.
(iii)Prior to disposition of the surplus land, the agency adopts written findings that the land is exempt surplus land pursuant to this subparagraph.
(iv)Prior to the disposition of the surplus land, the recipient has negotiated a
project labor agreement consistent with the local agency’s project stabilization agreement resolution, as adopted on February 2, 2021, and any succeeding ordinance, resolution, or policy, regardless of the length of the agreement between the local agency and the recipient.
(v)The agency includes in the annual report required by paragraph (2) of subdivision (a) of Section 65400 the status of development of residential units on the former military base, including the total number of residential units that have been permitted and what percentage of those residential units are restricted for persons and families of low or moderate income, as defined in Section 50093 of the Health and Safety Code, or lower income households, as defined in Section 50079.5 of the Health and Safety Code.
A violation of
this subparagraph is subject to the penalties described in Section 54230.5. Those penalties are in addition to any remedy a court may order for violation of this subparagraph or the settlement agreement.
(L)Real property that is used by a district for an agency’s use expressly authorized in subdivision (c).
(M)Land that has been transferred before June 30, 2019, by the state to a local agency pursuant to Section 32667 of the Streets and Highways Code and has a minimum planned residential density of at least 100 dwelling units per acre, and includes 100 or more residential units that are restricted to persons and families of low or moderate income, as defined in Section 50093 of the Health and Safety Code, with an affordable sales price or an affordable rent, as defined in
Sections 50052.5 and 50053 of the Health and Safety Code, for a minimum of 55 years for rental housing and 45 years for ownership housing. For purposes of this subparagraph, not more than 20 percent of the affordable units may be restricted to persons and families of moderate income and at least 80 percent of the affordable units must be restricted to persons and families
of lower income as defined in Section 50079.5 of the Health and Safety Code.
(N)Land that is jointly developed or used for a joint development as authorized in Section 99420 of the Public Utilities Code.
(O)Land that was purchased using federal funds and for which a federal agency has authorized the use of the land for specific purposes.
(P)Land that is transferred to a community land trust, and all of the following conditions are met:
(i)The property is being or will be developed or rehabilitated as any of the following:
(I)An owner-occupied single-family dwelling.
(II)An owner-occupied unit in a multifamily dwelling.
(III)A member-occupied unit in a limited equity housing cooperative.
(IV)A rental housing development.
(ii)Improvements on the property are or will be available for use and ownership or for rent by qualified persons, as defined in paragraph
(6) of subdivision (c) of Section 214.18 of the Revenue and Taxation Code.
(iii)(I)A deed restriction or other instrument, requiring a contract or contracts serving as an enforceable restriction on the sale or resale value of owner-occupied units or on the affordability of rental units is recorded on or before the lien date following the acquisition of the property by the community land trust.
(II)For purposes of this clause, the following definitions apply:
(ia)“A contract or contracts serving as an enforceable restriction on the sale or resale value of owner-occupied units” means a contract described in paragraph (11) of subdivision (a) of Section 402.1 of the Revenue and Taxation Code.
(ib)“A contract or contracts serving as an enforceable restriction on the affordability of rental units” means an enforceable and verifiable agreement with a public agency, a recorded deed restriction, or other legal document described in subparagraph (A) of paragraph (2) of subdivision (g) of Section 214 of the Revenue and Taxation Code.
(iv)A copy of the deed restriction or other instrument shall be provided to the assessor.
(Q)Additional categories of exempt surplus land as determined by the department, including, but not limited to, sites that are not suitable for housing.
(2)Notwithstanding paragraph (1), a written notice of the availability of surplus land for open-space purposes shall be sent to the entities described in subdivision (b) of Section 54222 prior to disposing of the surplus land, provided the land does not meet the criteria in subparagraph (I) of paragraph (1), if the land is any of the following:
(A)Within a coastal zone.
(B)Adjacent to a historical unit of the state parks system.
(C)Listed on, or determined by the State Office of Historic Preservation to be eligible for, the National Register of Historic Places.
(D)Within the Lake Tahoe region
as defined in Section 66905.5.
(f)“Open-space purposes” means the use of land for public recreation, enjoyment of scenic beauty, or conservation or use of natural resources.
(g)“Persons and families of low or moderate income” has the same meaning as provided in Section 50093 of the Health and Safety Code.
SECTION 1.
Section 54221 of the Government Code, as amended by Section 3 of Chapter 40 of the Statutes of 2023, is amended to read:54221.
As used in this article, the following definitions shall apply:(3)Nothing in this article prevents a local agency from obtaining fair market value for the disposition of surplus land consistent with Section 54226.
(e)“Persons and families of low or moderate income” has the same meaning as provided in Section 50093 of the Health and Safety Code.
(B)Surplus land that is (i) less than 5,000 square feet in area, (ii) less than the minimum legal residential building lot size for the jurisdiction in which the parcel is located, or 5,000 square feet in area, whichever is less, or (iii) has no record access and is less than 10,000 square feet in area; and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes. If the surplus land is not sold to an owner of contiguous land, it is not considered exempt surplus land and is subject to this article.
(F)Surplus land that is put out to open, competitive bid by a local agency, provided all entities identified in subdivision (a) of Section 54222 will be invited to participate in the competitive bid process, for either of the following purposes:
(i)
(ii)
(G)
(H)
(I)
(J)
(K)
(L)
(M)
(g)
SEC. 2.
Section 54221 of the Government Code, as added by Section 4 of Chapter 40 of the Statutes of 2023, is amended to read:(a)(1)“Local agency” means every city, whether organized under general law or by charter, county, city and county, district, including school, sewer, water, utility, and local and regional park districts of any kind or class, joint powers authority, successor agency to a former redevelopment agency, housing authority, or other political subdivision of this state and any instrumentality thereof that is empowered to acquire and hold real property.
54221.
As used in this article, the following definitions apply:
(3)Nothing in this article prevents a local agency from obtaining fair market value for the disposition of surplus land consistent with Section 54226.
(d)
(e)“Persons and families of low or moderate income” has the same meaning as provided in Section 50093 of the Health and Safety Code.
(B)Surplus land that is (i) less than 5,000 square feet in area, (ii) less than the minimum legal residential building lot size for the jurisdiction in which the parcel is located, or 5,000 square feet in area, whichever is less, or (iii) has no record access and is less than 10,000 square feet in area; and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes. If the surplus land is not sold to an owner of contiguous land, it is not considered exempt surplus land and is subject to this article.
(F)Surplus land that is put out to open, competitive bid by a local agency, provided all entities identified in subdivision (a) of Section 54222 will be invited to participate in the competitive bid process, for either of the following purposes:
(i)
(ii)
(G)
(H)
(I)
(J)
(K)
(L)
(g)
Except as provided in Division 23 (commencing with Section 33000) of the Public Resources Code, any local agency disposing of surplus land shall send, prior to disposing of that property or participating in negotiations to dispose of that property with a prospective transferee other than an affordable housing developer proposing to develop an affordable housing project on the site that meets or exceeds the 25-percent affordability threshold described in Section 54222.5, a written notice of availability of the property to all of the following:
(a)(1)A written notice of availability for the purpose of developing low- and moderate-income housing shall be sent to any local public entity, as
defined in Section 50079 of the Health and Safety Code, within whose jurisdiction the surplus land is located. Housing sponsors, as defined by Section 50074 of the Health and Safety Code, that have notified the Department of Housing and Community Development of their interest in surplus land shall be sent a notice of availability of surplus land for the purpose of developing low- and moderate-income housing. All notices shall be sent by electronic mail, or by certified mail, and shall include the location and a description of the property.
(2)The Department of Housing and Community Development shall maintain on its internet website an up-to-date listing of all notices of availability throughout the state.
(b)A written notice of availability for open-space purposes shall
be sent:
(1)To any park or recreation department of any city within which the land may be situated.
(2)To any park or recreation department of the county within which the land is situated.
(3)To any regional park authority having jurisdiction within the area in which the land is situated.
(4)To the State Resources Agency or any agency that may succeed to its powers.
(c)A written notice of availability of land suitable for school facilities construction or use by a school district for open-space purposes shall be sent to any school district in whose jurisdiction the land is
located.
(d)A written notice of availability for the purpose of developing property located within an infill opportunity zone designated pursuant to Section 65088.4 or within an area covered by a transit village plan adopted pursuant to the Transit Village Development Planning Act of 1994 (Article 8.5 (commencing with Section 65460) of Chapter 3 of Division 1 of Title 7) shall be sent to any city, county, city and county, successor agency to a former redevelopment agency, public transportation agency, or housing authority within whose jurisdiction the surplus land is located.
(e)The entity or association desiring to purchase or lease the surplus land for any of the purposes authorized by this section shall notify in writing the disposing agency of its interest in purchasing or
leasing the land within 60 days after the agency’s notice of availability of the land is sent via certified mail or provided via electronic mail.
(f)For the purposes of this section, “participating in negotiations” does not include the commissioning of appraisals, due diligence prior to disposition, discussions with brokers or real estate agents not representing a potential buyer, or other studies to determine value or best use of land, issuance of a request for qualifications, development of marketing materials, or discussions conducted exclusively among local agency employees and elected officials.
SEC. 6.SEC. 3.
Section 54226 of the Government Code is amended to read:54226.
(a) This article shall not be interpreted to limit the power of any local agency to sell or lease surplus land at fair market value or at less than fair market value, and any sale or lease at or less than fair market value consistent with this article shall not be construed as inconsistent with an agency’s purpose.(e)This article shall not apply to properties that a local agency proposes to sell, lease, or otherwise transfer pursuant to Part 4 (commencing with Section 52200) of Division 1 of Title 5.
(f)This
SEC. 7.SEC. 4.
Section 54230 of the Government Code is amended to read:54230.
(a) (1) On or before December 31 of each year, each county and each city shall make a central inventory of all surplus land, as defined in subdivision (b) of Section 54221, and all lands in excess of its foreseeable needs, if any, identified pursuant to Section 50569, located in all urbanized areas and urban clusters, as designated by the United States Census Bureau, within the jurisdiction of the county or city that the county or city or any of its departments, agencies, or authorities owns or controls.SEC. 8.SEC. 5.
Section 54230.5 of the Government Code is amended to read:54230.5.
(a) (1) A local agency that disposes of land in violation of this article after receiving a notification from the Department of Housing and Community Development pursuant to subdivision (b) that the local agency is in violation of this article shall be liable for a penalty of 30 percent of the final sale price of the land sold in violation of this article for a first violation and 50 percent for any subsequent violation. An entity identified in Section 54222 or a person who would have been eligible to apply for residency in any affordable housing developed or a housing organization as defined in Section 65589.5, or any beneficially interested person or entity may bring an action to enforce this section. Upon receiving a notice of violation from the department, a local agency that proceeds with the disposal shall consider the matter at a public meeting within 30 days. Following the public meeting, a local agency shall have 60 days to cure or correct an alleged violation before an action may be brought to enforce this section, unless the local agency disposes of the land before curing or correcting the alleged violation, or the department deems the alleged violation not to be a violation in less than 60 days.(F)Provide the local agency an appeals process that is overseen by an independent trier of fact to overturn an adverse action taken by the department authorized by this section affecting the local agency.
