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Legislative Bill Action The following are summaries of. lust a few of the legislative bills that are currently being acted upon by the League of California Cities. The League encourages you to review the bills on its Web site at www. cacities, org/ legtracking and contact the appropriate committees to demonstrate your support or opposition of issues. Your assistance is appreciated. REVENUE AND TAXATION SB 1717 was introduced due to the author's concern with various aspects of a proposed sport complex on a municipal island outside the City of SB 68 (Battin). Local Agency Investment Lodi. The League was opposed to eadier versions Funds. On July 22, 1998, 81 local agencies of this legislation because the language was attempted to make $45.5 million in withdrawals overly broad and could have prohibited local from their Local Agency investment Fund (LAIF) governments from entering into other leases that account only to discover that, as a result of the benefit the municipal purpose or are ancillary to or injunction related to the State Budget impasse at in support of other leases on the property. Addi- that time, the funds were not transferred as tionally, we wanted to ensure that a change in the expected. The problem was corrected the next law applied only to future leases, not retroactively. day, though many agencies did not have neces- The newest version of SB 1717 removes the sary funds to cover payroll, debt obligations or League's pdor concerns about the potential other financial transactions. Final appeals in the statewide impact of the bill, and at a recent meet- case that created this issue are still in court, lng, the Lodi City Council passed a resolution in though LAIF funds are no longer included. SB 68 support of the amendments. Staff: Dan Carrigg, would define in statute that LAIF deposits are the Status: AsmFIr, Position: NEUTRAL. property of local agencies not the State, thus allaying fears that a similar situation could occur in AB 930 (Keeley). Mobilehome Parks. Con- the future. Staff: Jean Korinke, Status: To enroll- version to Resident Ownership. AB 930 ment- 8/22/02 Position: Support. requires the rants for non-pumhasing residents in mobile home parks subject to a rent control HOUSING AND LAND USE ordinance to continue to be governed by that ordinance until 50 percent plus one of the spaces are sold to the residents, at which time the rents SB 1717 (Machado). City Annexations. would be subject to specific restrictions that limit Municipal Islands. As amended August 19, SB the amount of rent increases. 1717 affects islands of city-owned territory located in county areas, which have been annexed to the AB 930 is in response to litigation involving the city when the territory is used for municipal pur- City of Palm Springs and a park owner, over the poses, such as wastewater treatment, landfills, nature of specific mobile home park conversion. and municipal airports. The current statute is Under existing law, local governments must abide clear that if a city sells some of this territory that by the state standard for mitigation of the eco- the affected territory is no longer part of the city. nomic displacement of nonpumhasing residents However, the law is silent on leases. SB 1717 when a mobile home park is converted to resident clarifies that if cities in the future approve a lease ownership. The current standards are very for a shopping center, hotel, motel, or lodging narrow in scope. In 1993, the City of Palm house on one of these municipal islands, then the Springs added three additional conditions to the affected territory would no longer be part of the state standard for approval of a conversion. A key city. concern of the city was that the proposal could be a "sham conversion" designed to get around the local rant control ordinance. The mobile home PAGE lO/PRIORITY FOCUS Visit the League's Official Web Site--www.cacities.org