Bill Text: CA AB183 | 2009-2010 | Regular Session | Amended

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

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Bill Title: Income tax credit: qualified principal residence.

Spectrum: Strong Partisan Bill (Democrat 17-1)

Status: (Passed) 2010-03-25 - Chaptered by Secretary of State - Chapter 12, Statutes of 2010. [AB183 Detail]

Download: California-2009-AB183-Amended.html

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BILL NUMBER: AB 183	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 4, 2009

INTRODUCED BY   Committee on Budget (Evans (Chair), Arambula, Beall,
Blumenfield, Brownley, Caballero, Carter, De La Torre, Feuer, Hill,
Huffman, Monning, Ruskin, and Swanson)

                        FEBRUARY 2, 2009

    An act relating to the Budget Act of 2009.  
An act to a   mend Section 13311.1 of, and to amend,
repeal, and add Section 5924 of, the Government Code, to amend
Section 2103.1 of the Streets and Highways Code, to add Section 12104
to the Welfare and Institutions Code, and to amend Section 39 of
Chapter 12 of the Statutes of 2009 of the Third Extraordinary
Session, relating to state finances, making an appropriation
therefor, and declaring the urgency thereof, to take effect
immediately. 


	LEGISLATIVE COUNSEL'S DIGEST


   AB 183, as amended, Committee on Budget. Budget Act of 2009. 
   (1) Existing law sets forth the duties and authority of the
Treasurer generally in the sale of state bonds. Moneys are
continuously appropriated from the General Fund in an annual amount
necessary to pay all obligations, including principal, interest,
fees, costs, indemnities, and all other amounts incurred by the state
under or in connection with any credit enhancement or liquidity
agreement entered into by the state, as specified, for bonds payable
pursuant to an appropriation from the General Fund. Existing law
prohibits the amount appropriated for these fees, costs, and other
similar expenses from exceeding a percentage of the original
principal amount of the bonds that is specified in the federal
Internal Revenue Code.  
   This bill would, until June 30, 2013, instead increase that
percentage by which those expenses are calculated to 3%, thereby
making an appropriation.  
   (2) Existing law authorizes the Director of Finance to defer
payments of General Fund moneys in July through September of 2009, in
an amount not to exceed $750,000,000, appropriated to the University
of California in the Budget Act of 2009, as specified. Existing law
also authorizes the director to defer payments of General Fund moneys
in July 2009, in an amount not to exceed $290,000,000, appropriated
to the California State University in the Budget Act of 2009, as
specified. Existing law specifies the schedule of payments for these
deferred amounts.  
   This bill would additionally authorize the director to defer
payments of General Fund moneys owed in February 2010, in an amount
not to exceed $250,000,000, appropriated to the University of
California in the Budget Act of 2009. The bill also would authorize
the director to defer payments of General Fund moneys owed in
February 2010 in an amount not to exceed $250,000,000, and owed in
March 2010 in an amount not to exceed $150,000,000, appropriated to
the California State University in the Budget Act of 2009, as
specified. The bill would specify a schedule of payments for these
deferred amounts.  
   (3) Existing law defers, until October 2009, the disbursal of
payments of General Fund moneys for July 2009, in an amount not to
exceed $200,000,000, appropriated to the Board of Governors of the
California Community Colleges for apportionments to community college
districts.  
   This bill would additionally defer, until May 2010, the disbursal
of payments of General Fund moneys for March 2010, in an amount not
to exceed $100,000,000, appropriated to the board for apportionments
to community college districts.  
   (4) Existing law requires state excise fuel tax revenues to be
deposited in various accounts and to be allocated, in part, for
various purposes, including the cost of collection and authorized
refunds. Existing law requires the balance of these funds remaining
after authorized deductions to be transferred to, and deposited
monthly in, the Highway Users Tax Account in the Transportation Tax
Fund. Existing law provides for annual and monthly apportionment by
the Controller of specified revenues in the Highway Users Tax Account
to cities, counties, and cities and counties for the transportation
purposes authorized by Article XIX of the California Constitution.
Existing law, pursuant to Chapter 23 of the Fourth Extraordinary
Session of the Statutes of 2009, requires transfers of those revenues
from the Highway Users Tax Account to counties or cities that would
otherwise be made during certain months of 2009 to instead be
deferred and made after January 1, 2010.  
   This bill would instead provide for the apportionments for the
months of July and August of 2009 to cities, counties, and cities and
counties to be paid in September 2009, and apportionments for
November and December of 2009 and January, February, and March of
2010 to be paid on or within 2 working days of April 28, 2010, with
specified exceptions. The bill would also authorize the affected
local agencies to use specified transportation bond funds and other
available funds to meet certain cash obligations.  
   (5) Existing law provides for the State Supplementary Program for
the Aged, Blind and Disabled (SSP), which requires the State
Department of Social Services to contract with the United States
Secretary of Health and Human Services to, on behalf of the state,
make combined state and federal payments to SSP recipients to
supplement Supplemental Security Income (SSI) payments made available
pursuant to the federal Social Security Act.  
   Existing law provides that the contract with the United States
Secretary of Health and Human Services requires the state to pay the
secretary an amount equal to expenditures made by the secretary as
supplemental payments to SSP recipients less amounts payable by the
federal government.  
   This bill would, upon the order of the Director of Finance,
require the Director of Social Services to defer the above-described
payments to the federal government in February 2010, and March 2010,
and, instead, make payments for those months after April 20, 2010,
but no later than May 31, 2010.  
   (6) This bill would declare that it is to take effect immediately
as an urgency statute.  
   This bill would express the intent of the Legislature to enact
statutory changes relating to the Budget Act of 2009. 
   Vote:  majority   2/3  . Appropriation:
 no   yes  . Fiscal committee:  no
  yes  . State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 5924 of the  
Government Code   is amended to re   ad: 
   5924.  (a)  (1)    Notwithstanding Section
13340, there is hereby continuously appropriated without regard to
fiscal years, from the General Fund in the State Treasury for the
purpose of this chapter, an amount that will equal the sum annually
as will be necessary to pay all obligations, including principal,
interest, fees, costs, indemnities, and all other amounts incurred by
the state under or in connection with any credit enhancement or
liquidity agreement  (including in the form of a letter of
credit, standby purchase agreement, reimbursement agreement,
liquidity facility, or other similar arrangement)   ,
  as specified in paragraph (2), that is  entered into
by the state pursuant to this chapter for bonds payable pursuant to
an appropriation from the General Fund. 
   (2) A credit enhancement or liquidity agreement subject to this
section includes a credit enhancement or liquidity agreement that is
in the form of a letter of credit, standby purchase agreement,
reimbursement agreement, liquidity facility, or other similar
arrangement. 
   (b)  Fees,   (1)     If the
agent for   sale determines that the credit enhancement or
liquidity agreement is expected to result in a lower cost of the
borrowing for the bonds to which the credit enhancement or liquidity
  agreement pertains, the state may incur fees,  costs,
and other similar expenses  may be incurred by the state
 under or in connection with any credit enhancement or
liquidity agreement entered into by the state pursuant to this
chapter  if the agent for sale determines that the credit
enhancement or liquidity agreement is expected to result in a lower
cost of the borrowing for the bonds to which the credit enhancement
or liquidity agreement pertains  .  The 
    (2)     The  amount appropriated
pursuant to subdivision (a) for fees, costs, and other similar
expenses incurred in connection with any credit enhancement or
liquidity agreement, when expressed as a percentage of the original
principal amount of the bonds to which the credit enhancement or
liquidity agreement pertains, may not exceed  the percentage
set forth in paragraph (1) of subsection (g) of Section 147 of Title
26 of the United States Code enacted as of January 1, 2003. The
  3 percent. 
    (3)     The  amount appropriated
pursuant to subdivision (a) for interest incurred in connection with
any credit enhancement or liquidity agreement, when expressed as a
percentage of the outstanding principal amount of the bonds to which
the credit enhancement or liquidity agreement pertains, may not
exceed the interest rate percentage set forth in subdivision (d) of
Section 16731. 
   (c) This section shall become inoperative on June 30, 2013, and,
as of January 1, 2014, is repealed, unless a later enacted statute,
that becomes operative on or before January 1, 2014, deletes or
extends the dates on which it becomes inoperative and is repealed.

   SEC. 2.    Section 5924 is added to the  
Government Code   , to read:  
   5924.  (a) (1) Notwithstanding Section 13340, there is hereby
continuously appropriated without regard to fiscal years, from the
General Fund in the State Treasury for the purpose of this chapter,
an amount that will equal the sum annually as will be necessary to
pay all obligations, including principal, interest, fees, costs,
indemnities, and all other amounts incurred by the state under or in
connection with any credit enhancement or liquidity agreement, as
specified in paragraph (2), that is entered into by the state
pursuant to this chapter for bonds payable pursuant to an
appropriation from the General Fund.
   (2) A credit enhancement or liquidity agreement subject to this
section includes a credit enhancement or liquidity agreement that is
in the form of a letter of credit, standby purchase agreement,
reimbursement agreement, liquidity facility, or other similar
arrangement.
   (b) (1) If the agent for sale determines that the credit
enhancement or liquidity agreement is expected to result in a lower
cost of the borrowing for the bonds to which the credit enhancement
or liquidity agreement pertains, the state may incur fees, costs, and
other similar expenses under or in connection with any credit
enhancement or liquidity agreement entered into by the state pursuant
to this chapter.
   (2) The amount appropriated pursuant to subdivision (a) for fees,
costs, and other similar expenses incurred in connection with any
credit enhancement or liquidity agreement, when expressed as a
percentage of the original principal amount of the bonds to which the
credit enhancement or liquidity agreement pertains, may not exceed
the percentage set forth in paragraph (1) of subdivision (g) of
Section 147 of Title 26 of the United States Code enacted as of
January 1, 2003.
   (3) The amount appropriated pursuant to subdivision (a) for
interest incurred in connection with any credit enhancement or
liquidity agreement, when expressed as a percentage of the
outstanding principal amount of the bonds to which the credit
enhancement or liquidity agreement pertains, may not exceed the
interest rate percentage set forth in subdivision (d) of Section
16731.
   (c) This section shall become operative June 30, 2013. 
   SEC. 3.    Section 13311.1 of the  
Government Code   is amended to read: 
   13311.1.  (a) Notwithstanding any other law, including, but not
limited to, Section 13311, in order to achieve effective management
of state cash resources, the Director of Finance  , 
may  defer   do both of the following: 
    (1)     Defer  payments of General
Fund moneys  owed  in July through September of 2009, in an
amount not to exceed seven hundred fifty million dollars
($750,000,000), appropriated to the University of California in the
2009 Budget Act. 
   (2) Defer payments of General Fund moneys owed in February 2010,
in an amount not to exceed two hundred fifty million dollars
($250,000,000), appropriated to the University of California in the
2009 Budget Act. 
   (b)  (1)    Of the amount deferred pursuant to
 paragraph (1) of  subdivision (a), the payment of two
hundred fifty million dollars ($250,000,000) shall be made in October
2009. The payment of the remaining amount deferred pursuant to 
paragraph (1) of  subdivision (a) shall occur no earlier than
April 2010 and at the earlier of  (1)   (A)
 the day after all outstanding revenue anticipation notes issued
by the state in  the  2009-10  fiscal year  have
been repaid, as determined by the Director of Finance, or 
(2)   (B)  June 30, 2010. 
   (2) The payment of the amount deferred pursuant to paragraph (2)
of subdivision (a) shall be made no earlier than April 20, 2010, but
no later than May 31, 2010. 
   (c) Notwithstanding any other provision of law, in order to
achieve effective management of state cash resources, the Director of
Finance may  defer   do all of the following:

    (1)     Defer  payments of General
Fund moneys  owed  in July 2009, in an amount not to exceed
two hundred ninety million dollars ($290,000,000) appropriated to the
California State University in the 2009 Budget Act. 
   (2) Defer payments of General Fund moneys owed in February 2010,
in an amount not to exceed two hundred fifty million dollars
($250,000,000), appropriated to the California State University in
the 2009 Budget Act.  
   (3) Defer payments of General Fund moneys owed in March 2010, in
an amount not to exceed one hundred fifty million dollars
($150,000,000), appropriated to the California State University in
the 2009 Budget Act. 
   (d)  (1)    The payment of the amount deferred
pursuant to  paragraph (1) of  subdivision (c) shall be made
in October 2009. 
   (2) The payment of the amount deferred pursuant to paragraph (2)
of subdivision (c) shall be made no earlier than April 20, 2010, but
no later than May 31, 2010.  
   (3) The payment of the amount deferred pursuant to paragraph (3)
of subdivision (c) shall be made no earlier than May 1, 2010, but no
later than May 31, 2010. 
   SEC. 4.    Section 2103.1 of the   Streets
and Highways Code   is amended to read: 
   2103.1.   (a)    Notwithstanding any other law,
the apportionment of revenues deposited to the credit of the Highway
Users Tax Account in the Transportation Tax Fund that are otherwise
required to be made, pursuant to this chapter, to cities, counties,
and cities and counties for the  following  months 
of July, August, September, October, November, and December of 2009
 shall be deferred and shall be made  after January
1, 2010.   as follows:  
   (1) For the months of July and August of 2009, the apportionments
shall be paid with the payment of August revenues in September 2009.
This deferral shall not apply to a county with a population of less
than 40,000.  
   (2) For the months of November and December of 2009, and January,
February, and March of 2010, the apportionments shall be paid on or
within two business days of April 28, 2010. This deferral shall not
apply to a county with a population of less than 40,000.  
   (b) For the purpose of meeting the cash obligations associated
with ongoing budgeted costs, a city, county, or city and county may
make use of any cash balance in its account that is designated for
the receipt of state funds allocated for local streets and roads or
the county road fund, including that resulting from the receipt of
funds pursuant to the Highway Safety, Traffic Reduction, Air Quality,
and Port Security Bond Act of 2006 (Chapter 12.49 (commencing with
Section 8879.20) of Division 1 of Title 2 of the Government Code) for
local street and road maintenance and operations, during the period
of the deferrals of apportionment payments pursuant to subdivision
(a). The use of this cash shall not be considered as an expenditure
of bond act funds if the cash is replaced when the payments in
subdivision (a) are made.  
   (c) Notwithstanding any other provision of law, for the purpose of
meeting the cash obligations associated with ongoing street and road
costs, a city, county, or city and county may make use of any cash
balance available to a special fund of the city, county, or city and
county during the period of deferral of apportionment payments
pursuant to subdivision (a).  
   (d) This section shall not affect any requirement that an
expenditure is required to be accrued and reflected from the
appropriate funding source for which the money was received and that
an expenditure is required to meet all the requirements of its
funding source. 
   SEC. 5.    Section 12104 is added to the  
Welfare and Institutions Code   , to read:  
   12104.  Notwithstanding any other provision of law, upon the order
of the Director of Finance, the Director of Social Services shall
defer all supplemental payments to the federal government required
pursuant to subdivision (b) of Section 12100 in February 2010 and
March 2010 and, instead, make payments for those months after April
20, 2010, but no later than May 31, 2010. 
   SEC. 6.    Section 39 of Chapter 12 of the Statutes
of 2009 of the Third Extraordinary Session, as amended by Section 17
of Chapter 23 of the Statutes of 2009 of the Fourth Extraordinary
Session, is amended to read: 
  Sec. 39.  (a) Notwithstanding Sections 84320, 84321, and 84321.5 of
the Education Code and any other law that  covers 
 governs  the regulations adopted by the Chancellor of the
California Community Colleges to disburse funds, two hundred million
dollars ($200,000,000) from the payment of apportionments to
districts pursuant to Sections 84320, 84321, and 84321.5 of the
Education Code for July 2009  ,  shall be deferred
to October 2009. 
   (b) Notwithstanding Sections 84320, 84321, and 84321.5 of the
Education Code and any other law that governs the regulations adopted
by the Chancellor of the California Community Colleges to disburse
funds, one hundred million dollars ($100,000,000) from the payment of
apportionments to districts pursuant to Sections 84320, 84321, and
84321.5 of the Education Code for March 2010, shall be deferred to
May 2010.  
   (b) 
    (c)  Notwithstanding any other law, one billion dollars
($1,000,000,000) from the payment of apportionments pursuant to
Section 14041 of the Education Code for July 2009, to local
educational agencies that maintain kindergarten and any of grades 1
to 12, inclusive, shall be deferred to December 2009. 
   (c) 
    (d)  Notwithstanding any other law, one billion five
hundred million dollars ($1,500,000,000) from the payment of
apportionments pursuant to Section 14041 of the Education Code for
August 2009, to local educational agencies that maintain kindergarten
or any of grades 1 to 12, inclusive, shall be deferred to October
2009. 
   (d) 
    (e)  Notwithstanding any other law, one billion dollars
($1,000,000,000) from the payment of apportionments pursuant to
Section 14041 of the Education Code for November 2009, to local
educational agencies that maintain kindergarten and any of grades 1
to 12, inclusive, shall be deferred to January 2010. 
   (e) 
    (f)  (1) Notwithstanding subdivisions  (b), (c),
and (d)   (c), (d), and (e),  and subject to the
approval of the Director of Finance, the Controller shall issue
warrants pursuant to Section 14041 of the Education Code that include
the full amount of the apportionment payments for the months of
July, August, and November for a local educational agency for which
the county superintendent of schools certifies to the Superintendent
of Public Instruction and to the Director of Finance on or before
August 10, 2009, that the deferral of warrants pursuant to
subdivisions  (b) and (c)   (c) and (d) 
will result in qualifying the local educational agency for an
emergency apportionment pursuant to Article 2 (commencing with
Section 41320) of Chapter 3 of Part 24 of Division 3 of Title 2 of
the Education Code.
   (2) In order for a county office of education to receive payments
pursuant to paragraph (1), the Superintendent of Public Instruction
shall determine, and notify the Director of Finance on or before
August 10, 2009, that the deferral of warrants pursuant to
subdivisions  (b) and (c)   (c) and (d) 
will result in the county office of education being unable to meet
its expenditure obligations for the time period during which warrants
are deferred. The criteria, as applicable, set forth in statute and
regulations to qualify a school district for an emergency
apportionment shall be used to make the determination specified in
this section.
   (3) In order for a charter school to receive payments pursuant to
paragraph (1), the chartering authority shall determine, in
consultation with the county superintendent of schools, and notify
the Superintendent of Public Instruction and the Director of Finance
on or before August 10, 2009, that the deferral of warrants pursuant
to subdivisions  (b) and (c)   (c) and (d) 
will result in the charter school being unable to meet its
expenditure obligations for the time period during which warrants are
deferred. The criteria, as applicable, set forth in statute and
regulations to qualify a school district for an emergency
apportionment shall be used to make the determination specified in
this section. 
   (f) 
    (g)  Notwithstanding subdivision (a) and subject to the
approval of the Director of Finance, the Controller shall issue
warrants pursuant to Sections 84320, 84321, and 84321.5 of the
Education Code that include the full amount of the apportionment
payments for the month of July for a community college for which the
Chancellor of the California Community Colleges determines, in
consultation with the Director of Finance, on or before August 10,
2009, that the deferral of warrants pursuant to subdivision (a) will
present an imminent threat to the fiscal integrity and security of
the community college. 
   (g) 
    (h)  This section shall apply to payments in the 2009-10
fiscal year only.
   SEC. 7.    This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
 
   In order to ensure that the state may meet its financial
obligations and to enable the state to market debt issuances, thereby
improving the state's fiscal status, it is necessary that this act
take effect immediately.  
  SECTION 1.    It is the intent of the Legislature
to enact statutory changes relating to the Budget Act of 2009.