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9. *4 -i2 Legislative Bill Action ................................ ............................... The following a; -. summaries of just a few of the legislative bills that are currently being acted upon by the League of �'alifomia Cities. For more information about these and other bills, please visit the League website's new "Issues and Advocacy" page (www.cacities.ora/ issuesandadvocacv) — a one -stop location to access information about legislation, policy issues and related developments. You can track information on bills (www.cacibes.org /legtracking), REVENUE AND TAXATION AB 694 (Levine). Use Tax: Vehicles, ves- sels and aircraft. When first introduced, AB 694 closed a use tax loophole that allowed California residents to avoid use tax on expensive cars, motorhomes, planes and other vehicles if the time is purchased and used out -of -state for 90 days. This original language was amended out of the bill when it passed out of the Assembly. This week AB 694 was amended in Senate Revenue and Taxation Committee to reinsert the original lan- guage and include the provision in the previous amendment. So AB 694 will put the brakes on this tax loophole by requiring California residents to pay use tax if the property is subject to vehicle registration or property taxes and the vehicle, boat or plane was stored or used more than half time in California during the first 12 months of ownership. Staff: Jean Korinke, Status: SenRevTax, Posi- tion: Support. TRANSPORTATION, COMMUNICATIONS AND PUBLIC WORKS AB 1022 (Oropeza). Vehicles. Automated Enforcement Systems. On Friday, June 27 in Ontario CA, the TCPW Policy Committee took the position to Oppose unless amended on AB 1022. The bill was heard in the Senate Transportation Committee on 7/1 and was amended to remove the strict requirement that cities were required to "consider' when installing the cameras at inter- sections. Staff: Natasha Fooman, Status: SenFlr, Position: Remove Opposition. AB 453 (Yee). Public Works. Contracts: Compensation of Contractors. As amended on July 8, AB 453 provides that when a project for the construction, alteration, repair or improvement of any structure, building, road or other improvement is competitively bid and a protest is made, the contract may be entered into pending final deci- sion on the protest. If the contract is later deter- mined to be invalid due to a defect or defects in the competitive bid process, this bill entitles the contractor who entered into the contract with the public entity to be paid the reasonable cost, specifically excluding profit, of the labor, equip- ment, materials and services furnished by the contractor prior to the date of the determination, subject to conditions. They further argue that this bill would reduce the incentive for bidders to comply with bidding regulations, knowing that they would still receive some payment unless fraud could be proven. This bill will have the effect of inviting a new level of gamesmanship in the bidding process, as well as increased litigation. Staff: Natasha Fooman, Status: SenApps, Position: Oppose. SB 966 (Alarcon). Contractor's Costs. SB 966 authorizes a contractor to bring an action in a court of competent jurisdiction to recover from a public agency any increased costs incurred by the contractor as a result of (1) any decision that classifies, after the time at which the awarding body accepts the contractor's bid, a project as a "public work," or (2) a change, after the time at PAGE 12 /PRIORITY FOCUS Visit the League's Official Web Site -- www.cacities.org