Bill Text: CA AB2471 | 2015-2016 | Regular Session | Amended
Bill Title: Health care districts: dissolution.
Sponsorship: Partisan Bill (Democrat 2)
Status: (Engrossed - Dead) 2016-11-30 - Died on Senate inactive file. [AB2471 Detail]
Download: California-2015-AB2471-Amended.html
BILL NUMBER: AB 2471 AMENDED
BILL TEXT
AMENDED IN SENATE AUGUST 1, 2016
AMENDED IN ASSEMBLY MAY 10, 2016
INTRODUCED BY Assembly Member Quirk
(Coauthor: Assembly Member Bonta)
FEBRUARY 19, 2016
An act to amend Sections 57077.1 and 57103 of the Government Code,
and to add Chapter 8 (commencing with Section 32495) to Division 23
of the Health and Safety Code, relating to health care districts.
LEGISLATIVE COUNSEL'S DIGEST
AB 2471, as amended, Quirk. Health care districts: dissolution.
Existing law, the Cortese-Knox-Hertzberg Local Government
Reorganization Act of 2000, provides the authority and procedures for
the initiation, conduct, and completion of changes of organization
and reorganization of cities and districts by local agency formation
commissions. Existing law establishes the procedures for the
dissolution of the existence of a district and sets forth provisions
for winding up the affairs of a dissolved district, as specified.
Existing law generally authorizes the dissolution of a district
without voter approval, except as specified. Notwithstanding those
provisions, existing law subjects the dissolution of a health care
district to voter approval.
This bill would require the Alameda County local agency formation
commission to order the dissolution of the Eden Township Healthcare
District if that health care district meets certain criteria, as
specified. The bill would subject a dissolution under these
provisions to specified provisions of the act that require
dissolution by voter approval only if a majority protest exists, as
specified. By requiring a higher level of service from the Alameda
County local agency formation commission to analyze the criteria
described above, the bill would impose a state-mandated local
program.
This bill would make legislative findings and declarations as to
the necessity of a special statute for the Eden Township Healthcare
District in Alameda County.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 57077.1 of the Government Code is amended to
read:
57077.1. (a) If a change of organization consists of a
dissolution, the commission shall order the dissolution without
confirmation of the voters, except if the proposal meets the
requirements of subdivision (b), the commission shall order the
dissolution subject to confirmation of the voters.
(b) The commission shall order the dissolution subject to the
confirmation of the voters as follows:
(1) If the proposal was not initiated by the commission, and if a
subject agency has not objected by resolution to the proposal, the
commission has found that protests meet one of the following protest
thresholds:
(A) In the case of inhabited territory, protests have been signed
by either of the following:
(i) At least 25 percent of the number of landowners within the
affected territory who own at least 25 percent of the assessed value
of land within the territory.
(ii) At least 25 percent of the voters entitled to vote as a
result of residing within, or owning land within, the affected
territory.
(B) In the case of a landowner-voter district, that the territory
is uninhabited and that protests have been signed by at least 25
percent of the number of landowners within the affected territory
owning at least 25 percent of the assessed value of land within the
territory.
(2) If the proposal was not initiated by the commission, and if a
subject agency has objected by resolution to the proposal, written
protests have been submitted as follows:
(A) In the case of inhabited territory, protests have been signed
by either of the following:
(i) At least 25 percent of the number of landowners within any
subject agency within the affected territory who own at least 25
percent of the assessed value of land within the territory.
(ii) At least 25 percent of the voters entitled to vote as a
result of residing within, or owning land within, any subject agency
within the affected territory.
(B) In the case of a landowner-voter district, that the territory
is uninhabited and protests have been signed by at least 25 percent
of the number of landowners within any subject agency within the
affected territory, owning at least 25 percent of the assessed value
of land within the subject agency.
(3) If the proposal was initiated by the commission, and
regardless of whether a subject agency has objected to the proposal
by resolution, written protests have been submitted that meet the
requirements of Section 57113.
(c) Notwithstanding subdivisions (a) and (b) and Section
57102, Sections 57102 and 57103, if a change of
organization consists of the dissolution of a district that is
consistent with a prior action of the commission pursuant to Section
56378, 56425, or 56430, the commission may do either of the
following:
(1) If the dissolution is initiated by the district board,
immediately approve and order the dissolution without an election or
protest proceedings pursuant to this part.
(2) If the dissolution is initiated by an affected local agency,
by the commission pursuant to Section 56375, by the Alameda County
local agency formation commission pursuant to Section 32495 of the
Health and Safety Code, or by petition pursuant to Section 56650,
order the dissolution after holding at least one noticed public
hearing, and after conducting protest proceedings in accordance with
this part. Notwithstanding any other law, the commission shall
terminate proceedings if a majority protest exists in accordance with
Section 57078. If a majority protest is not found, the commission
shall order the dissolution without an election.
SEC. 2. Section 57103 of the Government Code is amended to read:
57103. Any order in any resolution adopted by the commission on
or after January 1, 1986, ordering the dissolution of a local
hospital district, organized pursuant to Division 23 (commencing with
Section 32000) of the Health and Safety Code, is subject to
confirmation by the voters, except as set forth in Chapter 8
(commencing with Section 32495) of Division 23 of the Health and
Safety Code.
SEC. 3. Chapter 8 (commencing with Section 32495) is added to
Division 23 of the Health and Safety Code, to read:
CHAPTER 8. DISSOLUTION
32495. (a) The Alameda County local agency formation commission
shall review the compliance of the Eden Township Healthcare District
with the criteria set forth in subdivision (b). If all of the
criteria under subdivision (b) are met, the commission shall order
the dissolution of the district pursuant to paragraph (2) of
subdivision (c) of Section 57077.1 of the Government Code.
(b) For purposes of subdivision (a):
(1) The health care district does not currently receive a property
tax allocation.
(2) The health care district has substantial net assets.
(3) The health care district does not provide a direct health care
service.
(4) The health care district fails to comply with Section 32496,
if that section is added by Assembly Bill 2737 of the 2015-16 Regular
Session of the Legislature.
(c) If the commission orders the dissolution of the district
pursuant to subdivision (a), the dissolution shall be subject to the
provisions of the dissolution process, as set forth in paragraph (2)
of subdivision (c) of Section 57077.1 of the Government Code.
(d) For purposes of this section:
(1) "Direct health care service" means the ownership or operation
of a hospital, medical clinic, wellness center, or ambulance service.
(2) "District" or "health care district" means the Eden Township
Healthcare District.
(3) "Local agency formation commission" or "commission" means the
Alameda County local agency formation commission.
SEC. 4. The Legislature finds and declares that a special law is
necessary and that a general law cannot be made applicable within the
meaning of Section 16 of Article IV of the California Constitution
because of the unique circumstances relating to the Eden Township
Healthcare District in Alameda County.
SEC. 5. If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.
