Amended  IN  Assembly  March 28, 2017

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill No. 1564

Introduced by Assembly Member Arambula

February 17, 2017

An act to amend Sections 1091, 16142.5, 16144, 16147, 16154, 51200, 51201, 51207, 51230, 51231, 51238, 51243.5, 51245, 51246, 51249, 51253, 51254, 51256, 51256.2, 51257, 51281, 51283.5, 51284, 51296.8, 51297, 53312.8, 56426.6, 56856.5, 66474.4, and 66606.6 of, and to repeal Sections 16148, 51256.1, and 51282.5 of, the Government Code, to amend Sections 29430, 29433, 29723, and 29766 of the Public Resources Code, to amend Section 421 of the Revenue and Taxation Code, and to amend Section 26625.1 of the Water Code, relating to local government.


LEGISLATIVE COUNSEL'S DIGEST


AB 1564, as amended, Arambula. Agricultural preserves: Williamson Act.
(1) The California Land Conservation Act of 1965, otherwise known as the Williamson Act, authorizes a city or county to contract with a landowner to limit the use of agricultural land located in an agricultural preserve designated by the city or county. Existing law, with certain exceptions, provides that any commercial, industrial, or residential building constructed on a parcel subject to an agricultural land conservation contract that is not permitted by the contract or by local uniform rules or ordinances, and is not related to an agricultural use or compatible use, is a material breach of contract.
This bill would instead provide that the act name is the Williamson Act, and would make conforming changes. The bill would also make various nonsubstantive changes to provisions of the act, delete obsolete provisions, and make various conforming changes.

(2)Existing law contains various references to the Secretary of the Resources Agency with regard to the administration of the Williamson Act. Existing law also contains various references to the Director of Conservation.

This bill would change those references to the Department of Conservation.

(3)

(2) Existing law provides that an agricultural preserve must consist of no less than 100 acres. In order to meet this requirement, two or more parcels may be combined if they are contiguous or if they are in common ownership. Land zoned as timberland production may also be taken into account in order to meet that requirement.
This bill would eliminate the authorization to use land zoned as timberland production to meet the requirement that an agricultural preserve consist of no less than 100 acres, and make conforming changes.

(4)

(3) Existing law requires the county board of supervisors or city council, by resolution, to adopt rules governing the administration of agricultural preserves, including procedures for initiating, filing, and processing requests to establish preserves.
This bill would also require the county board of supervisors or city council to, by resolution, adopt rules governing the procedures for partial cancellations, and partial nonrenewal of contracts.

(5)

(4) Existing law authorizes the parties to, upon their mutual agreement, rescind a contract in order to simultaneously enter into a new contracts, as specified.
This bill would also authorize the parties, upon mutual agreement, to rescind a portion of the contract. contract, as specified.

(6)

(5) Existing law authorizes a city or county, upon petition by a landowner, to enter into an agreement with the landowner to rescind a contract pursuant to specified procedures in order to simultaneously place other specified land under contract, if the county board of supervisors or city council finds, among other things, that the proposed agricultural conservation easement is evaluated pursuant to eligibility and selection criteria under the Agricultural Land Stewardship Program Act of 1995. Existing law specifies that the county board of supervisors or city council should pay particular attention to specified criteria under that program.
This bill would instead require that the county board of supervisors or city council utilize only specified criteria under the Agricultural Land Stewardship Program Act of 1995.

(7)

(6) Existing law provides that no agreement to rescind a contract and simultaneously place other specified land under contract may take effect until it is approved by the Secretary of Resources, as specified.
This bill would repeal that provision.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

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


SECTION 1.

 Section 1091 of the Government Code is amended to read:

1091.
 (a) An officer shall not be deemed to be interested in a contract entered into by a body or board of which the officer is a member within the meaning of this article if the officer has only a remote interest in the contract and if the fact of that interest is disclosed to the body or board of which the officer is a member and noted in its official records, and thereafter the body or board authorizes, approves, or ratifies the contract in good faith by a vote of its membership sufficient for the purpose without counting the vote or votes of the officer or member with the remote interest.
(b) As used in this article, “remote interest” means any of the following:
(1) That of an officer or employee of a nonprofit entity exempt from taxation pursuant to Section 501(c)(3) of the Internal Revenue Code (26 U.S.C. Sec. 501(c)(3)), pursuant to Section 501(c)(5) of the Internal Revenue Code (26 U.S.C. Sec. 501(c)(5)), or a nonprofit corporation, except as provided in paragraph (8) of subdivision (a) of Section 1091.5.
(2) That of an employee or agent of the contracting party, if the contracting party has 10 or more other employees and if the officer was an employee or agent of that contracting party for at least three years prior to the officer initially accepting his or her office and the officer owns less than 3 percent of the shares of stock of the contracting party; and the employee or agent is not an officer or director of the contracting party and did not directly participate in formulating the bid of the contracting party.
For purposes of this paragraph, time of employment with the contracting party by the officer shall be counted in computing the three-year period specified in this paragraph even though the contracting party has been converted from one form of business organization to a different form of business organization within three years of the initial taking of office by the officer. Time of employment in that case shall be counted only if, after the transfer or change in organization, the real or ultimate ownership of the contracting party is the same or substantially similar to that which existed before the transfer or change in organization. For purposes of this paragraph, stockholders, bondholders, partners, or other persons holding an interest in the contracting party are regarded as having the “real or ultimate ownership” of the contracting party.
(3) That of an employee or agent of the contracting party, if all of the following conditions are met:
(A) The agency of which the person is an officer is a local public agency located in a county with a population of less than 4,000,000.
(B) The contract is competitively bid and is not for personal services.
(C) The employee or agent is not in a primary management capacity with the contracting party, is not an officer or director of the contracting party, and holds no ownership interest in the contracting party.
(D) The contracting party has 10 or more other employees.
(E) The employee or agent did not directly participate in formulating the bid of the contracting party.
(F) The contracting party is the lowest responsible bidder.
(4) That of a parent in the earnings of his or her minor child for personal services.
(5) That of a landlord or tenant of the contracting party.
(6) That of an attorney of the contracting party or that of an owner, officer, employee, or agent of a firm that renders, or has rendered, service to the contracting party in the capacity of stockbroker, insurance agent, insurance broker, real estate agent, or real estate broker, if these individuals have not received and will not receive remuneration, consideration, or a commission as a result of the contract and if these individuals have an ownership interest of 10 percent or more in the law practice or firm, stock brokerage firm, insurance firm, or real estate firm.
(7) That of a member of a nonprofit corporation formed under the Food and Agricultural Code or a nonprofit corporation formed under the Corporations Code for the sole purpose of engaging in the merchandising of agricultural products or the supplying of water.
(8) That of a supplier of goods or services when those goods or services have been supplied to the contracting party by the officer for at least five years prior to his or her election or appointment to office.
(9) That of a person subject to the provisions of Section 1090 in any contract or agreement entered into pursuant to the provisions of the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5).
(10) Except as provided in subdivision (b) of Section 1091.5, that of a director of, or a person having an ownership interest of, 10 percent or more in a bank, bank holding company, or savings and loan association with which a party to the contract has a relationship of borrower or depositor, debtor debtor, or creditor.
(11) That of an engineer, geologist, architect, or planner employed by a consulting engineering, architectural, or planning firm. This paragraph applies only to an employee of a consulting firm who does not serve in a primary management capacity, and does not apply to an officer or director of a consulting firm.
(12) That of an elected officer otherwise subject to Section 1090, in any housing assistance payment contract entered into pursuant to Section 8 of the United States Housing Act of 1937 (42 U.S.C. Sec. 1437f) as amended, provided that the housing assistance payment contract was in existence before Section 1090 became applicable to the officer and will be renewed or extended only as to the existing tenant, or, in a jurisdiction in which the rental vacancy rate is less than 5 percent, as to new tenants in a unit previously under a Section 8 contract. This section applies to any person who became a public official on or after November 1, 1986.
(13) That of a person receiving salary, per diem, or reimbursement for expenses from a government entity.
(14) That of a person owning less than 3 percent of the shares of a contracting party that is a for-profit corporation, provided that the ownership of the shares derived from the person’s employment with that corporation.
(15) That of a party to litigation involving the body or board of which the officer is a member in connection with an agreement in which all of the following apply:
(A) The agreement is entered into as part of a settlement of litigation in which the body or board is represented by legal counsel.
(B) After a review of the merits of the agreement and other relevant facts and circumstances, a court of competent jurisdiction finds that the agreement serves the public interest.
(C) The interested member has recused himself or herself from all participation, direct or indirect, in the making of the agreement on behalf of the body or board.
(16) That of a person who is an officer or employee of an investor-owned utility that is regulated by the Public Utilities Commission with respect to a contract between the investor-owned utility and a state, county, district, judicial district, or city body or board of which the person is a member, if the contract requires the investor-owned utility to provide energy efficiency rebates or other type of program to encourage energy efficiency that benefits the public when all of the following apply:
(A) The contract is funded by utility consumers pursuant to regulations of the Public Utilities Commission.
(B) The contract provides no individual benefit to the person that is not also provided to the public, and the investor-owned utility receives no direct financial profit from the contract.
(C) The person has recused himself or herself from all participation in making the contract on behalf of the state, county, district, judicial district, or city body or board of which he or she is a member.
(D) The contract implements a program authorized by the Public Utilities Commission.
(17) That of an owner or partner of a firm serving as an appointed member of an unelected board or commission of the contracting agency if the owner or partner recuses himself or herself from providing any advice to the contracting agency regarding the contract between the firm and the contracting agency and from all participation in reviewing a project that results from that contract.
(c) This section is not applicable to any officer interested in a contract who influences or attempts to influence another member of the body or board of which he or she is a member to enter into the contract.
(d) The willful failure of an officer to disclose the fact of his or her interest in a contract pursuant to this section is punishable as provided in Section 1097. That violation does not void the contract unless the contracting party had knowledge of the fact of the remote interest of the officer at the time the contract was executed.

SEC. 2.

 Section 16142.5 of the Government Code is amended to read:

16142.5.
 No payment to a city or county shall increase or reduce the amount that was paid in the prior fiscal year in excess of an amount that is equal to the property tax derived from a levy at the rate of three cents ($0.03) per hundred dollars of assessed value for the fiscal year, except as affected by an increase or a reduction in the acreage assessed under Section 423, 423.3, or 423.5 of the Revenue and Taxation Code.

SEC. 3.Section 16144 of the Government Code is amended to read:
16144.

On or before October 31 each year, the governing body of each county, city, or city and county shall report to the Department of Conservation the number of acres of land under its regulatory jurisdiction which qualify for state payments pursuant to the various categories enumerated in Section 16142, together with supporting documentation as the department by regulation may require. The department, after reviewing the report and determining the eligibility of the local government to receive payment and the actual amount to which it is entitled, shall certify that amount to the Controller for payment, and the Controller shall make the payment on or before June 30, but no earlier than April 20, of each year.

The department may make supplemental reports to the Controller as deemed necessary throughout the year to give effect to new or additional information received from local governing bodies, correct errors, and dispose of contested or conditional situations. Upon receiving the reports, the Controller shall pay any amount certified therein, and may withhold and deduct any certified overpayment from the amount that would otherwise be paid to the local government in the next succeeding year, including any cancellation fees that have not been collected and transmitted pursuant to Section 51283.

SEC. 4.Section 16147 of the Government Code is amended to read:
16147.

The Department of Conservation may request the Attorney General to bring any action in court necessary to enforce any enforceable restriction as defined in Section 422 of the Revenue and Taxation Code, upon land for which the department has certified payment of state funds to the local governing body during the current or any preceding fiscal year. That action may include, but is not limited to, an action to enforce the contract by specific performance or injunction.

SEC. 5.SEC. 3.

 Section 16148 of the Government Code is repealed.
SEC. 6.Section 16154 of the Government Code is amended to read:
16154.

In addition to the report required by Section 16144, the Department of Conservation shall require from local government agencies any other information relative to lands valued pursuant to Section 8 of Article XIII of the California Constitution as is necessary for the proper administration of the provisions of Sections 16142 through 16153, inclusive, and for periodic review of the policies established by those sections.

Information collected pursuant to this section shall be transmitted on request to the Legislature and to other state agencies, including, but not limited to, the State Board of Equalization, the Superintendent of Public Instruction, and the Department of Food and Agriculture.

SEC. 7.SEC. 4.

 Section 51200 of the Government Code is amended to read:

51200.
 This chapter shall be known and cited as the Williamson Act. Act, otherwise known as the California Land Conservation Act of 1965.

SEC. 8.SEC. 5.

 Section 51201 of the Government Code is amended to read:

51201.
 As used in this chapter, unless otherwise apparent from the context, the following terms have the following meanings:
(a) “Agricultural commodity” means any plant and animal products produced in this state for commercial purposes, including, but not limited to, plant products used for producing biofuels.
(b) “Agricultural use” means use of land, including but not limited to greenhouses, for the purpose of producing an agricultural commodity for commercial purposes.
(c) “Prime agricultural land” means any of the following:
(1) All land that qualifies for rating as class I or class II in the Natural Resource Conservation Service land use capability classifications.
(2) Land that qualifies for rating 80 through 100 in the Storie Index Rating.
(3) Land that supports livestock used for the production of food and fiber and that has an annual carrying capacity equivalent to at least one animal unit per acre as defined by the United States Department of Agriculture.
(4) Land planted with fruit- or nut-bearing trees, vines, bushes, or crops that have a nonbearing period of less than five years and that will normally return during the commercial bearing period on an annual basis from the production of unprocessed agricultural plant production not less than two hundred dollars ($200) per acre.
(5) Land that has returned from the production of unprocessed agricultural plant products an annual gross value of not less than two hundred dollars ($200) per acre for three of the previous five years.
(d) “Agricultural preserve” means an area devoted to either agricultural use, as defined in subdivision (b), recreational use use, as defined in subdivision (n), or open-space use use, as defined in subdivision (o), or any combination of those uses and that is established in accordance with the provisions of this chapter.
(e) “Compatible use” is any use determined by the county or city administering the preserve pursuant to Section 51231, 51238, or 51238.1 or by this act to be compatible with the agricultural, recreational, or open-space use of land within the preserve and subject to contract. “Compatible use” includes agricultural use, recreational use use, or open-space use unless the board or council finds after notice and hearing that the use is not compatible with the agricultural, recreational recreational, or open-space use to which the land is restricted by contract pursuant to this chapter.
(f) “Board” means the board of supervisors of a county that establishes or proposes to establish an agricultural preserve or that enters or proposes to enter into a contract on land within an agricultural preserve pursuant to this chapter.
(g) “Council” means the city council of a city that establishes or proposes to establish an agricultural preserve or that enters or proposes to enter into a contract on land within an agricultural preserve pursuant to this chapter.
(h) Except where it is otherwise apparent from the context, “county” or “city” means the county or city having jurisdiction over the land.
(i) A “scenic highway corridor” is an area adjacent to, and within view of, the right-of-way of either of the following:
(1) An existing or proposed state scenic highway in the state scenic highway system established by the Legislature pursuant to Article 2.5 (commencing with Section 260) of Chapter 2 of Division 1 of the Streets and Highways Code and which has been officially designated by the Department of Transportation as an official state scenic highway.
(2) A county scenic highway established pursuant to Article 2.5 (commencing with Section 260) of Chapter 2 of Division 1 of the Streets and Highways Code, if each of the following conditions have been met:
(A) The scenic highway is included in an adopted general plan of the county or city.
(B) The scenic highway corridor is included in an adopted specific plan of the county or city.
(C) Specific proposals for implementing the plan, including regulation of land use, have been approved by the Advisory Committee on a Master Plan for Scenic Highways, and the county or city highway has been officially designated by the Department of Transportation as an official county scenic highway.
(j) A “wildlife habitat area” is a land or water area designated by a board or council, after consulting with and considering the recommendation of the Department of Fish and Wildlife, as an area of importance for the protection or enhancement of the wildlife resources of the state.
(k) A “saltpond” is an area that, for at least three consecutive years immediately prior to being placed within an agricultural preserve pursuant to this chapter, has been used for the solar evaporation of seawater in the course of salt production for commercial purposes.
(l) A “managed wetland area” is an area that may be an area diked off from the ocean or any bay, river, or stream to which water is occasionally admitted, and that, for at least three consecutive years immediately prior to being placed within an agricultural preserve pursuant to this chapter, was used and maintained as a waterfowl hunting preserve or game refuge or for agricultural purposes.
(m) A “submerged area” is any land determined by the board or council to be submerged or subject to tidal action and found by the board or council to be of great value to the state as open space.
(n) “Recreational use” is the use of land in its agricultural or natural state by the public, with or without charge, for any of the following: walking, hiking, picnicking, camping, swimming, boating, fishing, hunting, or other outdoor games or sports for which facilities are provided for public participation. Any fee charged for the recreational use of land as defined in this subdivision shall be in a reasonable amount and shall not have the effect of unduly limiting its use by the public. Any ancillary structures necessary for a recreational use shall comply with the provisions of Section 51238.1.
(o) “Open-space use” is the use or maintenance of land in a manner that preserves its natural characteristics, beauty, or openness for the benefit and enjoyment of the public, to provide habitat for wildlife, or for the solar evaporation of seawater in the course of salt production for commercial purposes, if the land is within:
(1) A scenic highway corridor, as defined in subdivision (i).
(2) A wildlife habitat area, as defined in subdivision (j).
(3) A saltpond, as defined in subdivision (k).
(4) A managed wetland area, as defined in subdivision (l).
(5) A submerged area, as defined in subdivision (m).
(6)  An area enrolled in the United States Department of Agriculture Conservation Reserve Program or Conservation Reserve Enhancement Program.
(p) “Development” means, as used in Section 51223, the construction of buildings or the use of the restricted property if the buildings or use are unrelated to the agricultural use, the open-space use, or uses compatible with either agricultural or open-space uses of the property, or substantially impair the agricultural, open-space, or a combination of the agricultural and open-space uses of the property. Agricultural use, open-space use, uses compatible with either agricultural or open-space uses, or the acquisition of land or an interest in land are not development.

SEC. 9.Section 51207 of the Government Code is amended to read:
51207.

(a)On or before May 1 of every other year, the Department of Conservation shall report to the Legislature regarding the implementation of this chapter by cities and counties.

(b)The report shall contain, but not be limited to, the number of acres of land under contract in each category and the number of acres of land which were removed from contract through cancellation, eminent domain, annexation, or nonrenewal.

(c)The report shall also contain the following specific information relating to not less than one-third of all cities and counties participating in the Williamson Act program:

(1)The number of contract cancellation requests for which notices of hearings were mailed to the Department of Conservation pursuant to Section 51284 that were approved by boards or councils during the prior two years or for which approval is still pending by boards or councils.

(2)The amount of cancellation fees payable to the county treasurer as deferred taxes and that are required to be transmitted to the Controller pursuant to subdivision (d) of Section 51283 that have not been collected or that remain unpaid.

(3)The total number of acres covered by certificates of cancellation of contracts during the previous two years.

(4)The number of nonrenewal and withdrawal of renewal notices received pursuant to Section 51245 and the number of expiration notices received pursuant to Section 51246 during the previous two years.

(5)The number of acres covered by nonrenewal notices that were not withdrawn and expiration notices during the previous two years.

(d)The department may recommend changes to this chapter which would further promote its purposes.

(e)The Legislature may, upon request of the department, appropriate funds from the deferred taxes deposited in the General Fund pursuant to subdivision (d) of Section 51283 in an amount sufficient to prepare the report required by this section.

SEC. 10.SEC. 6.

 Section 51230 of the Government Code is amended to read:

51230.
 Any county or city that has a general may, by resolution, and after a public hearing, establish an agricultural preserve. Notice of the hearing shall be published pursuant to Section 6061, and shall include a legal description, or the assessor’s parcel number, of the land that is proposed for inclusion within the preserve. The preserves shall be established for the purpose of defining the boundaries of those areas within which the city or county will be willing to enter into contracts pursuant to this act. An agricultural preserve shall consist of no less than 100 acres. In order to meet this requirement two or more parcels may be combined if they are contiguous or if they are in common ownership.
A county or city may establish agricultural preserves of less than 100 acres if it finds that smaller preserves are necessary due to the unique characteristics of the agricultural enterprises in the area and that the establishment of preserves of less than 100 acres is consistent with the general plan of the county or city.
An agricultural preserve may contain land other than agricultural land, but the use of any land within the preserve and not under contract shall within two years of the effective date of any contract on land within the preserve be restricted by zoning, including appropriate minimum parcel sizes that are at a minimum consistent with this chapter, in such a way as not to be incompatible with the agricultural use of the land, the use of which is limited by contract in accordance with this chapter.
Failure on the part of the board or council to restrict the use of land within a preserve but not subject to contract shall not be sufficient reason to cancel or otherwise invalidate a contract.

SEC. 11.SEC. 7.

 Section 51231 of the Government Code is amended to read:

51231.
 (a) For the purposes of this chapter, the board or council, by resolution, shall adopt rules governing the administration of agricultural preserves, including procedures for initiating, filing, and processing requests to establish preserves, and for partial cancellation and partial nonrenewal of contracts.
(b) Rules related to compatible uses shall be consistent with the provisions of Sections 51238 and 51238.1.
(c) Rules governing the administration of agricultural preserves shall be applied uniformly throughout the preserve. The board or council may require the payment of a reasonable application fee. The same procedure that is required to establish an agricultural preserve shall be used to disestablish or to enlarge or diminish the size of an agricultural preserve. In adopting rules related to compatible uses, the board or council may enumerate those uses, including agricultural laborer housing that are to be considered to be compatible uses on contracted lands separately from those uses that are to be considered to be compatible uses on lands not under contract within the agricultural preserve.

SEC. 12.SEC. 8.

 Section 51238 of the Government Code is amended to read:

51238.
 (a) (1) Unless the board or council after notice and hearing makes a finding to the contrary, the erection, construction, alteration, or maintenance of gas, electric, water, communication, or agricultural laborer housing facilities are hereby determined to be compatible uses within any agricultural preserve.
(2) No land occupied by gas, electric, water, communication, or agricultural laborer housing facilities shall be excluded from an agricultural preserve by reason of that use.
(b) The board of supervisors may impose conditions on lands or land uses to be placed within preserves to permit and encourage compatible uses in conformity with Section 51238.1, particularly public outdoor recreational uses.

SEC. 13.SEC. 9.

 Section 51243.5 of the Government Code is amended to read:

51243.5.
 (a) This section shall only apply to contracts executed prior to January 1, 1991, for land that was within one mile of a city boundary when the contract was executed pursuant to this article.
(b) For any proposal that would result in the annexation to a city of any land that is subject to a contract under this chapter, the local agency formation commission shall determine whether the city may exercise its option to not succeed to the rights, duties, and powers of the county under the contract.
(c) In making the determination required by subdivision (b), pursuant to Section 51206, the local agency formation commission may request, and the Department of Conservation shall provide, advice and assistance in interpreting the requirements of this section. If the department has concerns about an action proposed to be taken by a local agency formation commission pursuant to this section or Section 51243.6, the department shall advise the commission of its concerns, whether or not the commission has requested it to do so. The commission shall address the department’s concerns in any hearing to consider the proposed annexation or a city’s determination whether to exercise its option not to succeed to a contract, and shall specifically find that substantial evidence exists to show that the city has the present option under this section to decline to succeed to the contract.
(d) A city may exercise its option to not succeed to the rights, duties, and powers of the county under the contract if both of the following had occurred prior to December 8, 1971:
(1) The land being annexed was within one mile of the city’s boundary when the contract was executed.
(2) The city had filed with the county board of supervisors a resolution protesting the execution of the contract.
(e) A city may exercise its option to not succeed to the rights, duties, and powers of the county under the contract if each of the following had occurred prior to January 1, 1991:
(1) The land being annexed was within one mile of the city’s boundary when the contract was executed.
(2) The city had filed with the local agency formation commission a resolution protesting the execution of the contract.
(3) The local agency formation commission had held a hearing to consider the city’s protest to the contract.
(4) The local agency formation commission had found that the contract would be inconsistent with the publicly desirable future use and control of the land.
(5) The local agency formation commission had approved the city’s protest.
(f) It shall be conclusively presumed that no protest was filed by the city unless there is a record of the filing of the protest and the protest identifies the affected contract and the subject parcel. It shall be conclusively presumed that required notice was given before the execution of the contract.
(g) The option of a city to not succeed to a contract shall extend only to that part of the land that was within one mile of the city’s boundary when the contract was executed.
(h) If the city exercises its option to not succeed to a contract, then the city shall record a certificate of contract termination with the county recorder at the same time as the executive officer of the local agency formation commission files the certificate of completion pursuant to Section 57203. The certificate of contract termination shall include a legal description of the land for which the city terminates the contract.

SEC. 14.SEC. 10.

 Section 51245 of the Government Code is amended to read:

51245.
 If either the landowner or the city or county desires in any year not to renew the contract, that party shall serve written notice of nonrenewal of the contract upon the other party in advance of the annual renewal date of the contract. Notice of nonrenewal may be for all or any portion of the land under contract. contract provided the nonrenewal is for a legally severable parcel. Unless written notice is served by the landowner at least 90 days prior to the renewal date or by the city or county at least 60 days prior to the renewal date, the contract shall be considered renewed as provided in Section 51244 or Section 51244.5.
Once received, the owner may make a written protest of the notice of nonrenewal. The county or city may, at any time prior to the renewal date, withdraw the notice of nonrenewal.
Within 30 days of the receipt of a notice of nonrenewal from a landowner, the service of a notice of nonrenewal upon a landowner, or the withdrawal of a notice of nonrenewal, the city or county shall deliver a copy of the notice or a notice of withdrawal of nonrenewal to the Department Director of Conservation.
No later than 20 days after a city or county receives a notice of nonrenewal from a landowner, serves a notice of nonrenewal upon a landowner, or withdraws a notice of nonrenewal, the clerk of the board or council, as the case may be, shall record with the county recorder a copy of the notice of nonrenewal or notice of withdrawal of nonrenewal.

SEC. 15.SEC. 11.

 Section 51246 of the Government Code is amended to read:

51246.
 (a) If the county or city or the landowner serves notice of intent in any year not to renew the contract, the existing contract shall remain in effect for the balance of the period remaining since the original execution or the last renewal of the contract, as the case may be. Within 30 days of the expiration of the contract, the county or city shall deliver a notice of expiration to the Department Director of Conservation.
(b) No city or county shall enter into a new contract with respect to timberland zoned as timberland production.

SEC. 16.Section 51249 of the Government Code is amended to read:
51249.

Within 30 days after a form of contract is first used, the clerk of the board or council shall file with the Department of Conservation a sample copy of each form of contract and any land use restrictions applicable thereto.

SEC. 17.Section 51253 of the Government Code is amended to read:
51253.

Any contract or agreement entered into pursuant to this chapter prior to the 61st day following final adjournment of the 1969 Regular Session of the Legislature may be amended to conform with the provisions of this act as amended at that session upon the mutual agreement of all parties. Approval of these amendments to a contract by the Department of Conservation shall not be required.

SEC. 18.SEC. 12.

 Section 51254 of the Government Code is amended to read:

51254.
 Notwithstanding any other provision of this chapter, the parties may upon their mutual agreement rescind a contract, or portion of a contract, in order simultaneously to enter into a new contract pursuant to this chapter, which new contract would enforceably restrict the same property for an initial term at least as long as the unexpired term of the contract being rescinded but not less than 10 years. This action may be taken notwithstanding the prior serving of a notice of nonrenewal relative to the former contract.

SEC. 19.SEC. 13.

 Section 51256 of the Government Code is amended to read:

51256.
 Notwithstanding any other provision of this chapter, a city or county, upon petition by a landowner, may enter into an agreement with the landowner to rescind a contract in accordance with the contract cancellation provisions of Section 51282 in order to simultaneously place other land within that city, the county, or the county where the contract is rescinded under an agricultural conservation easement, consistent with the purposes and, except as provided in subdivision (b), the requirements of the California Farmland Conservancy Program Act pursuant to Division 10.2 (commencing with Section 10200) of the Public Resources Code, provided that the board or council makes all of the following findings:
(a) The proposed agricultural conservation easement is consistent with the criteria set forth in Section 10251 of the Public Resources Code.
(b) The proposed agricultural conservation easement is evaluated pursuant to the selection criteria in subdivisions (a), (c), (e), (f), and (h) of Section 10252 of the Public Resources Code, and the board or council makes a finding that the proposed easement will make a beneficial contribution to the conservation of agricultural land in its area.
(c) The land proposed to be placed under an agricultural conservation easement is of equal size or larger than the land subject to the contract to be rescinded, and is equally or more suitable for agricultural use than the land subject to the contract to be rescinded. In determining the suitability of the land for agricultural use, the city or county shall consider the soil quality and water availability of the land, adjacent land uses, and any agricultural support infrastructure.
(d) The value of the proposed agricultural conservation easement, as determined pursuant to Section 10260 of the Public Resources Code, is equal to or greater than either of the following:
(1) Twelve and one-half percent of the cancellation valuation of the land subject to the contract to be rescinded, pursuant to subdivision (a) of Section 51283.
(2) Twenty-five percent of the cancellation valuation of the land subject to the contract to be rescinded pursuant to paragraph (3) of subdivision (c) of Section 51297, if the contract was entered into pursuant to Article 7 (commencing with Section 51296).
(e) The easement value and the cancellation valuation shall be determined within 90 days before the approval of the city or county of an agreement pursuant to this section.

SEC. 20.SEC. 14.

 Section 51256.1 of the Government Code, as added by Section 6 of Chapter 1018 of the Statutes of 1999, is repealed.

SEC. 21.SEC. 15.

 Section 51256.2 of the Government Code is amended to read:

51256.2.
 (a) One or more cities or counties may adopt a plan for implementing the provisions of Section 51256 with respect to multiple transactions within one or more specific areas, and submit the plan to the director for approval. The plan may be approved only upon a determination by the director that it is consistent with the provisions of Section 51256. Thereafter individual transactions shall be approved if they are consistent with the approved plan.
(b) Notwithstanding Section 51256, this section shall apply only to lands under contract located in the Counties of San Bernardino and Riverside, within the area bounded by Interstate 10 on the north, State Route 71 on the west, State Route 91 on the south, and a line two miles east of Interstate 15 on the east, and to easements within that area or within 10 miles of its exterior boundaries and within either Riverside County or San Bernardino County. For the purpose of this section, easements located within the described area may be related to contract rescissions in either county.
(c) The Legislature finds and declares that, because of the unique factors applicable only to the Chino Basin, a statute of general applicability cannot be enacted within the meaning of subdivision (b) of Section 16 of Article IV of the California Constitution. Those unique circumstances are that the Chino agricultural preserve is undergoing transition from agricultural to nonagricultural uses and the affected areas comprise more than a single jurisdiction. Therefore, a multijurisdictional approach is necessary.

SEC. 22.SEC. 16.

 Section 51257 of the Government Code is amended to read:

51257.
 (a) To facilitate a lot line adjustment, pursuant to subdivision (d) of Section 66412, and notwithstanding any other provision of this chapter, the parties may mutually agree to rescind the contract or contracts and simultaneously enter into a new contract or contracts pursuant to this chapter, provided that the board or council finds all of the following:
(1) The new contract or contracts would enforceably restrict the adjusted boundaries of the parcel for an initial term for at least as long as the unexpired term of the rescinded contract or contracts, but for not less than 10 years.
(2) There is no net decrease in the amount of the acreage restricted. In cases where two parcels involved in a lot line adjustment are both subject to contracts rescinded pursuant to this section, this finding will be satisfied if the aggregate acreage of the land restricted by the new contracts is at least as great as the aggregate acreage restricted by the rescinded contracts.
(3) At least 90 percent of the land under the former contract or contracts remains under the new contract or contracts.
(4) After the lot line adjustment, the parcels of land subject to contract will be large enough to sustain their agricultural use, as defined in Section 51222.
(5) The lot line adjustment would not compromise the long-term agricultural productivity of the parcel or other agricultural lands subject to a contract or contracts.
(6) The lot line adjustment is not likely to result in the removal of adjacent land from agricultural use.
(7) The lot line adjustment does not result in a greater number of developable parcels than existed prior to the adjustment, or an adjusted lot that is inconsistent with the general plan.
(b) Nothing in this section shall limit the authority of the board or council to enact additional conditions or restrictions on lot line adjustments.

SEC. 23.SEC. 17.

 Section 51281 of the Government Code is amended to read:

51281.
 A contract may not be canceled except by request of the landowner, and as provided in this article.

SEC. 24.SEC. 18.

 Section 51282.5 of the Government Code is repealed.
SEC. 25.Section 51283.5 of the Government Code is amended to read:
51283.5.

(a)The Legislature finds and declares that cancellation fees should be calculated in a timely manner and disputes over cancellation fees should be resolved before a city or county approves a tentative cancellation. However, the city or county may approve a tentative cancellation notwithstanding an assessor’s formal review or judicial challenge to the cancellation value or fee.

(b)If the valuation changes after the approval of a tentative cancellation, the certificate of tentative cancellation shall be amended to reflect the correct valuation and cancellation fee.

(c)If the landowner wishes to pay a cancellation fee when a formal review has been requested, he or she may pay the fee required in the current certificate of cancellation and provide security determined to be adequate by the Department of Conservation for 20 percent of the cancellation fee based on the assessor’s valuation. The board or council shall hold the security and release it immediately upon full payment of the cancellation fee determined pursuant to Section 51203.

(d)The city or county may approve a final cancellation notwithstanding a pending formal review or judicial challenge to the cancellation valuation or fee. The certificate of final cancellation shall include the following statements:

(1)That formal review or judicial challenge of the cancellation valuation or fee is pending.

(2)That the fee may be adjusted, based upon the outcome of the review or challenge.

(3)The identity of the party who will be responsible for paying any additional fee or will receive any refund.

(4)The form and amount of security provided by the landowner or other responsible party and approved by the Department of Conservation.

(e)Upon resolution, the landowner or the party identified in the certificate shall either pay the balance owed to the county treasurer, or receive from the county treasurer or the controller any amount of overpayment, and shall also be entitled to the immediate release of any security.

(f)(1)If a party does not receive the notice required pursuant to Section 51203, 51283, 51283.4, or 51284, a judicial challenge to the cancellation valuation may be filed within three years of the latest of the applicable following events:

(A)The board or council certification of the fee pursuant to subdivision (b) of Section 51283, or for fees recomputed pursuant to Section 51283.4, the execution of a certificate of cancellation under that section.

(B)The date of the assessor’s determination pursuant to paragraph (3) of subdivision (b) of Section 51203.

(C)The service of notice to the Department of Conservation of the board or council’s recorded certificate of final cancellation.

(2)If a party did receive the required notice pursuant to Section 51203, 51283, 51283.4, or 51284, a judicial challenge to the cancellation valuation may be filed only after the party has exhausted his or her administrative remedies through the formal review process specified in Section 51203, and only within 180 days of the latest of the applicable following events:

(A)The board or council certification of the fee pursuant to subdivision (b) of Section 51283 or for fees recomputed pursuant to Section 51283.4, the execution of a certificate of cancellation under that section.

(B)The date of the assessor’s determination pursuant to paragraph (3) of subdivision (b) of Section 51203.

(C)The service of notice to the Department of Conservation or the board or council’s recorded certificate of final cancellation.

SEC. 26.Section 51284 of the Government Code is amended to read:
51284.

No contract may be canceled until after the city or county has given notice of, and has held, a public hearing on the matter. Notice of the hearing shall be published pursuant to Section 6061 and shall be mailed to every owner of land under contract, any portion of which is situated within one mile of the exterior boundary of the land upon which the contract is proposed to be canceled. In addition, at least 10 working days prior to the hearing, a notice of the hearing and a copy of the landowner’s petition shall be mailed to the Department of Conservation. Within 30 days of the hearing on the tentative cancellation of the contract, the city or county shall do both of the following:

(a)Publish a notice of its decision, including the date, time, and place of the public hearing, a general explanation of the decision, the findings made pursuant to Section 51282, and a general description, in text or by diagram, of the land under contract, as a display advertisement of at least one-eighth page in at least one newspaper of general circulation within the city or county. The publication shall be for informational purposes only, and shall create no right, standing, or duty that would otherwise not exist with regard to the cancellation proceedings.

(b)Deliver a copy of the published notice of the decision, as described above, to the Department of Conservation.

SEC. 27.SEC. 19.

 Section 51296.8 of the Government Code is amended to read:

51296.8.
 Sections 51296 to 51297.4, inclusive, shall only apply to land that is designated on the Important Farmland Series maps, prepared pursuant to Section 65570 as predominantly one or more of the following:
(a) Prime farmland.
(b) Farmland of statewide importance.
(c) Unique farmland.
(d) Farmland of local importance.
If the proposed farmland security zone is in an area that is not designated on the Important Farmland Series maps, the land shall qualify if it is predominantly prime agricultural land, as defined in subdivision (c) of Section 51201.

SEC. 28.SEC. 20.

 Section 51297 of the Government Code is amended to read:

51297.
 A petition for cancellation of a farmland security zone contract created under this article may be filed only by the landowner with the city or county within which the contracted land is located. The city or county may grant a petition only in accordance with the procedures provided for in Article 5 (commencing with Section 51280) and only if all the following requirements are met:
(a) The city or county shall make both of the findings specified in subdivision (a) of Section 51282, based on substantial evidence in the record. Subdivisions (b) to (e), inclusive, of Section 51282 shall apply to the findings made by the city or county.
(b) Prior to issuing tentative approval of the cancellation of the contract, the board or council shall determine and certify to the county auditor the amount of the cancellation fee that the landowner will be required to pay the county treasurer upon cancellation of the contract. The cancellation fee shall be in an amount that equals 25 percent of the cancellation valuation of the property.
(c) In its resolution tentatively approving cancellation of the contract, the city or county shall find all of the following:
(1) That no beneficial public purpose would be served by the continuation of the contract.
(2) That the uneconomic nature of the agricultural use is primarily attributable to circumstances beyond the control of the landowner and the local government.
(3) That the landowner has paid a cancellation fee equal to 25 percent of the cancellation valuation calculated in accordance with subdivision (b).
(d) The Director of Conservation approves the cancellation. The director may approve the cancellation after reviewing the record of the tentative cancellation provided by the city or county, only after making both of the following findings:
(1) That there is substantial evidence in the record supporting the decision.
(2) That no beneficial public purpose would be served by the continuation of the contract.
(e) A finding that no authorized use may be made of a remnant contract parcel of five acres or less left by public acquisition pursuant to Section 51295, 51295 may be substituted for the finding in subdivision (a).

SEC. 29.SEC. 21.

 Section 53312.8 of the Government Code is amended to read:

53312.8.
 (a) Territory that is dedicated or restricted to agricultural, open-space, or conservation uses may not be included within or annexed to a community facilities district that provides or would provide facilities or services related to sewers, nonagricultural water, or streets and roads, unless the landowner consents to the inclusion or annexation of that territory to the community facilities district.
(b) Notwithstanding any other provision of law, and except as provided in subdivision (c), if a landowner consents to the inclusion or annexation of territory in a community facilities district pursuant to subdivision (a), the landowner and any local agency may not terminate any easement or effect a final cancellation of any contract with respect to any portion of the land included within or annexed to the community facilities district prior to the release of land that is the subject of the proposed termination or cancellation from all liens that arise under the community facilities district for any sewers, nonagricultural water, or streets and roads that did not benefit land uses allowed under the contract or easement.
(c) Subdivision (b) shall not apply to any of the following:
(1) Land under a contract entered into pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1) included in a community facilities district for which a tentative map may be filed pursuant to paragraph (3) of subdivision (d) of Section 66474.4 or for which a tentative cancellation has been approved.
(2) Land subject to a conservation easement entered into prior to January 1, 2003.
(3) Land included in a community facilities district prior to the imposition of an enforceable restriction listed in subdivision (d) or prior to January 1, 2003.
(4) Land subject to an enforceable restriction listed in subdivision (d) that expressly waives the requirement of subdivision (b).
(d) As used in this section, “territory that is dedicated or restricted to agricultural, open-space, or conservation uses” means territory that is subject to any of the following:
(1) An open-space easement entered into pursuant to Chapter 6.5 (commencing with Section 51050) of Part 1 of Division 1.
(2) An open-space easement entered into pursuant to the Open-Space Easement Act of 1974 (Chapter 6.6 (commencing with Section 51070) of Part 1 of Division 1).
(3) A contract entered into pursuant to the California Land Conservation Act of 1965 (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1).
(4) A farmland security zone contract created pursuant to (Article Article 7 (commencing with Section 51296) of Chapter 7 of Part 1 of Division 1), 1, except as otherwise provided in Section 51296.4.
(5) A conservation easement entered into pursuant to Chapter 4 (commencing with Section 815) of Title 2 of Part 2 of Division 2 of the Civil Code.
(6) An agricultural conservation easement entered into pursuant to Chapter 4 (commencing with Section 10260) of Division 10.2 of the Public Resources Code.
(7) An agricultural conservation easement entered into pursuant to Section 51256.

SEC. 30.SEC. 22.

 Section 56426.6 of the Government Code is amended to read:

56426.6.
 (a) The commission shall not approve a change to the sphere of influence of a local government agency of territory that is subject to a contract entered into pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1) if that local government agency provides, or would provide, facilities or services related to sewers, nonagricultural water, or streets and roads to the territory, unless these facilities or services benefit land uses that are allowed under the contract and the landowner consents to the change to the sphere of influence.
(b) (1) Notwithstanding subdivision (a), the commission may nevertheless approve a change for that territory if it finds either of the following:
(A) That the change would facilitate planned, orderly, and efficient patterns of land use or provision of services, and the public interest in the change substantially outweighs the public interest in the current continuation of the contract beyond its current expiration date.
(B) That the change is not likely to adversely affect the continuation of the contract beyond its current expiration date.
(2) In making a determination pursuant to this subdivision, the commission shall consider all of the following:
(A) The policies and implementation measures adopted by the city or county that would administer the contract both before and after any ultimate annexation, relative to the continuation of agriculture or other uses allowable under the contract.
(B) The infrastructure plans of the annexing agency.
(C) Other factors that the commission deems relevant.
(c) This section shall not apply to any of the following:
(1) Territory that is subject to a contract for which a notice of nonrenewal has been served pursuant to Section 51245.
(2) Territory that is subject to a contract for which a tentative cancellation has been approved pursuant to Section 51282.
(3) Territory for which the governing body of the county or city administering the contract has given its written approval to the change and the landowner consents to the change.

SEC. 31.SEC. 23.

 Section 56856.5 of the Government Code is amended to read:

56856.5.
 (a) The commission shall not approve or conditionally approve a change of organization or reorganization that would result in the annexation to a city or special district of territory that is subject to a contract entered into pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1), other than a contract entered into pursuant to Article 7 (commencing with Section 51296) of Chapter 7 of Part 1 of Division 1, if that city or special district provides or would provide facilities or services related to sewers, nonagricultural water, or streets and roads to the territory, unless these facilities or services benefit land uses that are allowed under the contract.
(b) This section shall not be construed to preclude the annexation of territory for the purpose of using other facilities or services provided by the agency that benefit land uses allowable under the contract.
(c) Notwithstanding subdivision (a), the commission may nevertheless approve a change of organization or reorganization if it finds any of the following:
(1) The city or county that would administer the contract after annexation has adopted policies and feasible implementation measures applicable to the subject territory ensuring the continuation of agricultural use and other uses allowable under the contract on a long-term basis.
(2) The change of organization or reorganization encourages and provides planned, well-ordered, and efficient urban development patterns that include appropriate consideration of the preservation of open-space lands within those urban development patterns.
(3) The change of organization or reorganization is necessary to provide services to planned, well-ordered, and efficient urban development patterns that include appropriate consideration of the preservation of open-space lands within those urban development patterns.
(d) This section shall not apply to territory subject to a contract for which either of the following applies:
(1) A notice of nonrenewal has been served pursuant to Section 51245, if the annexing agency agrees that no services will actually be provided by it for use during the remaining life of the contract for land uses or activities not allowed under the contract.
(2) A tentative cancellation has been approved pursuant to Section 51282.

SEC. 32.SEC. 24.

 Section 66474.4 of the Government Code is amended to read:

66474.4.
 (a) The legislative body of a city or county shall deny approval of a tentative map, or a parcel map for which a tentative map was not required, if it finds that either the resulting parcels following a subdivision of that land would be too small to sustain their agricultural use or the subdivision will result in residential development not incidental to the commercial agricultural use of the land, and if the legislative body finds that the land is subject to any of the following:
(1) A contract entered into pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5), including an easement entered into pursuant to Section 51256.
(2) An open-space easement entered into pursuant to the Open-Space Easement Act of 1974 (Chapter 6.6 (commencing with Section 51070) of Part 1 of Division 1 of Title 5).
(3) An agricultural conservation easement entered into pursuant to Chapter 4 (commencing with Section 10260) of Division 10.2 of the Public Resources Code.
(4) A conservation easement entered into pursuant to Chapter 4 (commencing with Section 815) of Part 2 of Division 2 of the Civil Code.
(b) (1) For purposes of this section, land shall be conclusively presumed to be in parcels too small to sustain their agricultural use if the land is (A) less than 10 acres in size in the case of prime agricultural land, or (B) less than 40 acres in size in the case of land that is not prime agricultural land.
(2) For purposes of this section, agricultural land shall be presumed to be in parcels large enough to sustain their agricultural use if the land is (A) at least 10 acres in size in the case of prime agricultural land, or (B) at least 40 acres in size in the case of land that is not prime agricultural land.
(c) A legislative body may approve a subdivision with parcels smaller than those specified in this section if the legislative body makes either of the following findings:
(1) The parcels can nevertheless sustain an agricultural use permitted under the contract or easement, or are subject to a written agreement for joint management pursuant to Section 51230.1 and the parcels that are jointly managed total at least 10 acres in size in the case of prime agricultural land or 40 acres in size in the case of land that is not prime agricultural land.
(2) One of the parcels contains a residence and is subject to Section 428 of the Revenue and Taxation Code; the residence has existed on the property for at least five years; the landowner has owned the parcels for at least 10 years; and the remaining parcels shown on the map are at least 10 acres in size if the land is prime agricultural land, or at least 40 acres in size if the land is not prime agricultural land.
(d) No other homesite parcels as described in paragraph (2) of subdivision (c) may be created on any remaining parcels under contract entered into pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Division 1 of Title 5) for at least 10 years following the creation of a homesite parcel pursuant to this section.
(e) This section shall not apply to land that is subject to a contract entered into pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Division 1 of Title 5) when any of the following has occurred:
(1) A local agency formation commission has approved the annexation of the land to a city and the city will not succeed to the contract as provided in Sections 51243 and 51243.5.
(2) Written notice of nonrenewal of the contract has been served, as provided in Section 51245, and, as a result of that notice, there are no more than three years remaining in the term of the contract.
(3) The board or council has granted tentative approval for cancellation of the contract as provided in Section 51282.
(f) This section shall not apply during the three-year period preceding the termination of a contract described in paragraph (1) of subdivision (a).
(g) This section shall not be construed as limiting the power of legislative bodies to establish minimum parcel sizes larger than those specified in subdivision (a).
(h) This section does not limit the authority of a city or county to approve a tentative or parcel map with respect to land subject to an easement described in this section for which agriculture is the primary purpose if the resulting parcels can sustain uses consistent with the intent of the easement.
(i) This section does not limit the authority of a city or county to approve a tentative or parcel map with respect to land subject to an easement described in this section for which agriculture is not the primary purpose if the resulting parcels can sustain uses consistent with the purposes of the easement.
(j) Where an easement described in this section contains language addressing allowable land divisions, the terms of the easement shall prevail.
(k) The amendments to this section made in the 2002 portion of the 2001–02 Regular Session of the Legislature shall apply only with respect to contracts or easements entered into on or after January 1, 2003.

SEC. 33.SEC. 25.

 Section 66606.6 of the Government Code is amended to read:

66606.6.
 Nothing in this title shall deny the right of private property owners and local governments to establish agricultural preserves and enter into contracts pursuant to the provisions of the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5).
The commission, within six months after the effective date of this section, shall institute an affirmative action program to encourage local governments to enter into contracts under the Williamson Act with owners of property to which the provisions of that act may be applicable.

SEC. 34.SEC. 26.

 Section 29430 of the Public Resources Code is amended to read:

29430.
 (a) Any person who owns land within the marsh that is being used for the purpose of agriculture or wildlife habitat on January 1, 1978, or that is used for such a purpose at any time after that date, may petition the local government having jurisdiction over the land to enter into a contract pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5 of the Government Code) or a wildlife habitat contract, as defined in subdivision (f) of Section 421 of the Revenue and Taxation Code.
(b) Upon receipt of a petition pursuant to subdivision (a), such local government is authorized to, and shall, enter into such contract with the petitioning landowner.

SEC. 35.SEC. 27.

 Section 29433 of the Public Resources Code is amended to read:

29433.
 (a) Notwithstanding Sections 51282, 51283, 51283.3, and 51285 of the Government Code, no contract with any person concerning land within the marsh and entered into by any local government pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5 of the Government Code) or pursuant to subdivision (f) of Section 421 of the Revenue and Taxation Code may be canceled, nor shall a notice of nonrenewal of any such contract by any local government be effective, without the consent of the commission, if such contract was in effect on or after September 27, 1974.
(b) The commission may not consent to the cancellation or notice of nonrenewal of any such contract unless the commission finds that such cancellation or nonrenewal is consistent with the provisions of this division and the protection plan.
(c) Other than as expressly provided herein, this section does not affect the right of any person or local government relating to the renewal or nonrenewal of any such contract.

SEC. 36.SEC. 28.

 Section 29723 of the Public Resources Code is amended to read:

29723.
 (a) “Development” means on, in, over, or under land or water, the placement or erection of any solid material or structure; discharge of any dredged material or of any gaseous, liquid, solid, or thermal waste; grading, removing, dredging, mining, or extraction of any materials; change in the density or intensity of use of land, including, but not limited to, subdivisions pursuant to the Subdivision Map Act (Division 2 (commencing with Section 66410) of Title 7 of the Government Code), and any other division of land including lot splits, except where the land division is brought about in connection with the purchase of the land by a public agency for public recreational or fish and wildlife uses or preservation; construction, reconstruction, demolition, or alteration of the size of any structure, including any facility of any private, public, or municipal utility; and the removal or harvesting of major vegetation other than for agricultural purposes.
(b) “Development” does not include any of the following:
(1) All farming and ranching activities, as specified in subdivision (e) of Section 3482.5 of the Civil Code.
(2) The maintenance, including the reconstruction of damaged parts, of structures, such as marinas, dikes, dams, levees, riprap (consistent with Chapter 1.5 (commencing with Section 12306) of Part 4.8 of Division 6 of the Water Code), breakwater, causeways, bridges, ferries, bridge abutments, docks, berths, and boat sheds. “Maintenance” includes, for this purpose, the rehabilitation and reconstruction of levees to meet applicable standards of the United States Army Corps of Engineers or the Department of Water Resources.
(3) The construction, repair, or maintenance of farm dwellings, buildings, stock ponds, irrigation or drainage ditches, water wells, or siphons, including those structures and uses permitted under the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5 of the Government Code).
(4) The construction or maintenance of farm roads, or temporary roads for moving farm equipment.
(5) The dredging or discharging of dredged materials, including maintenance dredging or removal, as engaged in by any marina, port, or reclamation district, in conjunction with the normal scope of their customary operations, consistent with existing federal, state, and local laws.
(6) The replacement or repair of pilings in marinas, ports, and diversion facilities.
(7) Projects within port districts, including, but not limited to, projects for the movement, grading, and removal of bulk materials for the purpose of activities related to maritime commerce and navigation.
(8) The planning, approval, construction, operation, maintenance, reconstruction, alteration, or removal by a state agency or local agency of any water supply facilities or mitigation or enhancement activities undertaken in connection therewith.
(9) Construction, reconstruction, demolition, and land divisions within existing zoning entitlements, and development within, or adjacent to, the unincorporated towns of the delta, as permitted in the Delta Area Community Plan of Sacramento County and the general plan of Yolo County, authorized prior to January 1, 1992.
(10) Exploration or extraction of gas and hydrocarbons.
(11) The planning, approval, construction, repair, replacement, alteration, reconstruction, operation, maintenance, or removal of oxidation and water treatment facilities owned by the City of Stockton or the City of Lodi, or facilities owned by any local agency within or adjacent to the unincorporated towns of the delta consistent with the general plan of the County of Sacramento or the County of Yolo, as the case may be.

SEC. 37.SEC. 29.

 Section 29766 of the Public Resources Code is amended to read:

29766.
 Nothing in this division shall deny the right of private or public property owners and local governments to establish agriculture preserves and enter into contracts pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5 of the Government Code) or apply other enforceable restrictions or zoning within the primary zone or the secondary zone.

SEC. 38.SEC. 30.

 Section 421 of the Revenue and Taxation Code is amended to read:

421.
 For the purposes of this article:
(a) “Agricultural preserve” means an agricultural preserve created pursuant to the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5 of the Government Code).
(b) “Contract” means a contract executed pursuant to the Williamson Act.
(c) “Agreement” means an agreement executed pursuant to the California Land Conservation Act prior to the 61st day following the final adjournment of the 1969 Regular Session of the Legislature and that, taken as a whole, provides restrictions, terms terms, and conditions that are substantially similar or more restrictive than those required by statute for a contract.
(d) “Scenic restriction” means any interest or right in real property acquired by a city or county pursuant to Chapter 12 (commencing with Section 6950) of Division 7 of Title 1 of the Government Code, where the deed or other instrument granting such right or interest imposes restrictions that, through limitation of their future use, will effectively preserve for public use and enjoyment, the character of open spaces and areas as defined in Section 6954 of the Government Code.
A scenic restriction shall be for an initial term of 10 years or more, and shall provide for either of the following:
(1) A method whereby the term may be extended by mutual agreement of the parties.
(2) That the initial term shall be subject to annual automatic one-year extensions as provided for contracts in Sections 51244, 51244.5, and 51246 of the Government Code, unless notice of nonrenewal is given as provided in Section 51245 of the Government Code.
A scenic restriction may not be terminated prior to the expiration of the initial term, and any extension thereof, except as provided for cancellation of contracts in Sections 51281, 51282, 51283 and 51283.3 of the Government Code, and subject to the provisions therein for payment of the cancellation fee.
(e) “Open-space easement” means an open-space easement granted to a county or city pursuant to Chapter 6.5 (commencing with Section 51050) of Part 1 of Division 1 of Title 5 of the Government Code if the easement is acquired prior to January 1, 1975, or an open-space easement granted to a county, city, or nonprofit organization pursuant to Chapter 6.6 (commencing with Section 51070) of Part 1 of Division 1 of Title 5 of the Government Code if the easement is acquired after January 1, 1975, or an open-space easement granted to a regional park district, regional park and open-space district, or regional open-space district under Article 3 (commencing with Section 5500) of Chapter 3 of Division 5 of the Public Resources Code.
(f) “Wildlife habitat contract” means any contract or amended contract or covenant involving, except as provided in Section 423.8, 150 acres or more of land entered into by a landowner with any agency or political subdivision of the federal or state government limiting the use of lands for a period of 10 or more years by the landowner to habitat for native or migratory wildlife and native pasture. These lands shall, by contract, be eligible to receive water for waterfowl or waterfowl management purposes from the federal government.
(g) “Open-space land” means any of the following:
(1) Land within an agricultural preserve and subject to a contract or an agreement.
(2) Land subject to a scenic restriction.
(3) Land subject to an open-space easement.
(4) Land that has been restricted by a political subdivision or an entity of the state or federal government, acting within the scope of its regulatory or other legal authority, for the benefit of wildlife, endangered species, or their habitats.
(h) “Typical rotation period” means a period of years during which different crops are grown as part of a plant cultural program. Typical rotation period does not mean the rotation period of timber.
(i) “Wildlife” means waterfowl of every kind and any other undomesticated mammal, fish, or bird, or any reptile, amphibian, insect, or plant.
(j) “Endangered species” means any species or subcategory thereof, as defined in the California Endangered Species Act (Chapter 1.5 (commencing with Section 2050) of Division 3 of the Fish and Game Code) or the federal Endangered Species Act (16 U.S.C. Sec. 1531 et seq.), that has been classified and protected as an endangered, threatened, rare, or candidate species by any entity of the state or federal government.

SEC. 39.SEC. 31.

 Section 26625.1 of the Water Code is amended to read:

26625.1.
 If If, in the Madera Irrigation District, the county assessment roll reflects assessed value based on the Williamson Act (Chapter 7 (commencing with Section 51200) of Part 1 of Division 1 of Title 5 of the Government Code) for any parcel, then, upon the request of the Madera Irrigation District, that parcel shall also be assessed by the county assessor pursuant to Section 401 of the Revenue and Taxation Code. The assessed value for such parcel thus determined shall be entered on a supplemental assessment roll for district assessment purposes only and shall be used by the assessor for district assessments. The Madera Irrigation District shall reimburse the county for any increased cost incurred in making such additional assessment.