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HomeMy WebLinkAboutMINUTES - 07191994 - 1.12 TO. BOARD OF SUPERVISOR Contra FROM: Phil Batchelor, County Administrator ;� •' Costa County w, 4C DATE: July 13, 1994 SUBJECT: FIX DATE FOR HEARING ON WHETHER TO MAKE PROPOSITION 171 APPLICABLE IN CONTRA COSTA COUNTY SPECIFIC REQUEST(S)OR RECOMMENDATION(S)8 BACKGROUND AND JUSTIFICATION RECOMMENDATION: FIX Tuesday, August 2, 1994 at 9 :00 A.M. on the Determination Calendar, as the date and time for a public hearing to determine whether to make Proposition 171 applicable in Contra Costa County, and DIRECT the Clerk of the Board to provide proper notice of the hearing. BACKGROUND: Proposition 171 was placed on the ballot by the Legislature and was approved by the voters at the special election on November 2, 1993 . Proposition 171 amended the State Constitution to permit the Legislature to authorize counties to allow an individual whose home `has been destroyed by a disaster to buy or rebuild their home in another county and take their lower base year value for property tax assessment purposes to the new county and have this lower base year value placed on the new home, rather than having the new home assessed to full market value, as would otherwise be required. This Proposition was placed on the ballot because of the Oakland Hills firestorm of. October, 1991, but would also apply to ,any other disaster that has been declared by the Governor since 1991 or that occurs in the future. Proposition 171 was not self executing and required legislation to implement the Constitutional provisions . This legislation, AB 382 by Assemblywoman Barbara Lee, has been passed by the Legislature and signed into law by the Governor. The legislation simply allows a board of supervisors to make its provisions effective in a county. This is done to avoid the "unfunded State mandate" issue which would otherwise be raised by the counties . CONTINUED ON ATTACHMENT: YES SIGNATURE: ' RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S): ACTION OF BOARD ON July i9, 1994APPROVED AS RECOMMENDED X OTHER VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE X UNANIMOUS(ABSENT ) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN. ATTESTED JU 137 1-9 , 1 994 Contact: PHIL BATCHELOR.CLERK OF THE BOARD OF cc: See Page 2 SUPERVISORS AND COUNTY ADMINISTRATOR a BY DEPUTY -2- In order to consider whether to make Proposition 171/AB 382 applicable in a county, the board of supervisors may adopt an ordinance that authorizes the transfer of the base year value of real property that is located within another county to comparable replacement property of equal or lesser value that is located within the adopting county. AB 382 requires that the ordinance be adopted, after consultation with affected local agencies located within the boundaries of the county. "Consultation" is defined in AB 382 as " . . .a noticed hearing, that is conducted by a board of supervisors concerning the adoption of an ordinance described in subdivision (a) and with respect to which all affected local agencies within the boundaries of the county are provided with reasonable notice of the time and the place of the hearing and a reasonable opportunity to appear and participate. " It is for this reason that this hearing is being set for August 2, 1994 . All cities, school districts and special districts have been notified by letter of the hearing and that they will have an opportunity to address the Board if they wish to do so. The Clerk of the Board will take care of any published notice is such notice is required for this hearing. cc: County Administrator Auditor-Controller Assessor Treasurer-Tax Collector County Counsel July 21, 1994 Grace Maertins 2115 Cactus Court. , #6 Walnut Creek, CA 94595 Dear Ms . Maertins : Supervisor Jeff Smith' s Office asked that we provide you with an update regarding the status of AB 382, the legislation which would implement Proposition 171, allowing individuals who lost their homes in the Oakland Firestorm to buy or rebuild a home in another County and transfer their lower base year assessment to their new home. AB 382 passed the Legislature and went to the Governor. On May 20, 1994 the Governor signed AB 382 into law. Because the bill included an urgency clause, it became effective as soon as the Governor signed the bill and it was filed with the Secretary of State. The responsibility to decide whether to implement AB 382 in Contra Costa County now rests with the Board of Supervisors . I will be meeting with the County Administrator shortly to determine when to bring the issue to the full Board of Supervisors for a decision. You will, of course, be advised as soon as we have set a date. Very truly yours, Claude L. Van Marter Assistant County Administrator CLVM:amb cc: Supervisor Tom Powers Supervisor Jeff Smith Supervisor Gayle Bishop Supervisor Mark DeSaulnier Supervisor Tom Torlakson John Biasotti, County Assessor Kenneth J. Corcoran, Auditor-Controller Victor J. Westman, County Counsel Tony Enea, Senior Deputy County Administrator Supervisor Jeff Smith' s Office asked that we provide you with an update regarding the status of AB 382, the legislation which would implement Proposition 171, allowing individuals who lost their homes in the Oakland Firestorm to buy or rebuild a home in another County and transfer their lower base year assessment to their new home. AB 382 passed the Legislature and went to the Governor. On May 20, 1994 the Governor signed AB 382 into law. Because the bill included an urgency clause, it became effective as soon as the Governor signed the bill and it was filed with the Secretary of State. The responsibility to decide whether to implement AB 382 in Contra Costa County now rests with the Board of Supervisors . I will be meeting with the County Administrator shortly to determine when to bring the issue to the full Board of Supervisors for a decision. You will, of course, be advised as soon as we have set a date. Very truly yours, Claude L. Van Marter Assistant County Administrator CLVM:amb pro171-4.1tr cc: Supervisor Tom Powers Supervisor Jeff Smith Supervisor Gayle Bishop Supervisor Mark DeSaulnier Supervisor Tom Torlakson John Biasotti, County Assessor Kenneth J. Corcoran, Auditor-Controller Victor J. Westman, County Counsel Tony Enea, Senior Deputy County Administrator William F. Arnold . 2608 Saklan Indian Drive, #4 Walnut Creek, CA 94595 Dear Mr. Arnold: Loraine Ghilarducchi 25 Chatsworth Court Danville, CA 94506 Dear Ms . Ghilarducchi : Gretchen Kunitz 122 Crestview Drive Orinda, CA 94563 Dear Ms . Kunitz : This is our most recent update on the status of AB 382 . The bill passed the Legislature and went to the Governor. On May 20, 1994 the Governor signed AB 382 into law. Because the bill included an urgency clause, it became effective as soon as the Governor signed the bill and it was filed with the Secretary of State. The responsibility to decide whether to implement AB 382 in Contra Costa County now rests with the Board of Supervisors . I will be meeting with the County Administrator shortly to determine when to bring the issue to the full Board of Supervisors for a decision. You will, of course, be advised as soon as we have set a date. Very truly yours, r Claude L. Van Marter Assistant County Administrator CLVM:amb pro171-3.1tr cc: Supervisor Tom Powers Supervisor Jeff Smith Supervisor Gayle Bishop Supervisor Mark DeSaulnier Supervisor Tom Torlakson John Biasotti, County Assessor Kenneth J. Corcoran, Auditor-Controller Victor J. Westman, County Counsel Tony Enea, Senior Deputy County Administrator TAXATION-PROPERTY—TRANSFER OF BASE YEAR VALUE _ CHAPTER12 . . � � A:B. No: 382 AN ACT to add Section 69.3 to the.Revenue and'Taxation.Code; relating�to taxation; and.declaring the.urgency thereof,.to take effect itnmediately, [Approved�by_Governor...May:26,'1994.] [Filed with Secretary.of State May'.20, 1994:) LEGISLATIVE COUNSEL'S'DIGEST AB 382, Lee. Property taxation: transfer of base year value:'substantially damaged or destroyed property. Existing provisions of the California Constitution that were approved by the voters at the November 2, 1993,special election authorize the Legislature to authorize counties to adopt an ordinance allowing the transfer of the property tax base`year value of property in another county in.,the "state that.-has been substantially damaged or destroyed by a disaster, as 1 provided, to comparable-replacement property;.of equal or lesser.value, that is located in the adopting county and- is acquired or newly constructed within 3,years of the damage to, or destruction of, the original property. This bill would implement this constitutional grant of legislative authority. This bill would declare that it is to take effect immediately as an urgency statute. The people of the State of California do enact as follows: Additions or changes Indicated by underline; deletions by asterisks * * * 409 Ch. 72, § 1 STATUTES OF :99-4• SECTION 1. Section 69.3 is added to the Revenue.and Taxation Code, to read: 69.3. (a)(1) Notwithstanding any other provision of law, pursuant to the authority of paragraph (3) of subdivision (e) of Section 2 of Article XIII A of the California Constitution, a county board of supervisors, after consultation with affected local agencies located within the boundaries of the county, may adopt an ordinance that authorizes the transfer, subject to the conditions' and limitations of this section, of the base year value of real property that is located within another county.in this state and has been substantially damaged or destroyed by a disaster to comparable replacement.property of equal or lesser value, including land, that is located within.the,adopting county:.and has been acquired or newly constructed as a I replacement for the damaged or destroyed property within three years after the damage or i destruction 'of the original property. (2) The base year value of the original property shall be the base year value of the original property as determined in accordance with Section 110.1; with the adjustments permitted by subdivision(b) of Section 2 of Article XIII A.of the California Constitution and subdivision (f) of•Section- 110:1; determined as of the date immediately prior to the date that the original property_was substantially damaged. or destroyed. The base year value of. the original property_shall alsoinclude any inflation factor adjustments permitted by subdivision (f) of ' Section 110.1 for.,the the period .subsequent to :the. date of the substantial damage to; or destruction of, the original property.and up to the date the replacement property is acquired or Newly:constructed; The base year-or years:used to compute the base year value of the I original property shall be deemed to be the base year or years of any property to which that base year value is-transferred :pursuant to this section. (b) For purposes of this section: ' ''(1) "Affected local•agency" means any city, special district, school district, or community college-district 'that receives an annual allocation of ad valorem property tax revenues. '(2) "Comparablo:replacement property" means a replacement property that has a full cash value'of equal-or lesser value as defined in paragraph (5). (3) "Consultation" means a noticed hearing, that is conducted by a county board of supervisors Ifoncerning the adoption of-ah ordinance described in subdivision (a) and with respect to which all affected local agencies within the boundaries of the county are provided ' with reasonable:notice of the.time and the.place of.the hearing..and a reasonable opportunity to appear and participate. I (4) "Disaster" means a major misfortune:or.,calamity in an area subsequently proclaimed by the Governor to be in a state of disaster as a result of the misfortune or calamity. (5) "Equal or lesser value" means that the amount of the full cash value of a replacement property does not exceed-one of the following: (A) One hundred five-percent of the amount of the full-cash value of the original property if the replacement property is purchased or newly constructed within the first year following the date of the damage or destruction of-:the original property. (B) One hundred ten percent of;the amount of the full,cash value,of the original property if the replacement property,is purchased or newly constructed within the second year following the date of the damage or destruction of the.original-property. (C) One..hundred fifteen percent of..the -amount of the_ full cash .value of the original property if the replacement property is purchased or newly constructed within the third year following the date of the. damage..or destruction of the original property. For the purposes of this paragraph, if the replacement property is, in part, purchased and, in part, newly constructed, the. date: the o"replacement property is purchased or -newly constructed" is .the date of the purchase or the:.date ofcompletion; of new construction, whichever s.later.;: -For purposes of.this:paragraph,."fullcash value of the original property" shall.be .the amount:of its,full.cash value: immediately prior:.to,:its substantial;damage: or destruction, as determined by the county assessor of the county in which ;the property is located. (6). "Original property" means a building, structure, or other shelter constituting a place of I abode, whether real property or personal property, that is owned and occupied by a claimant . . I _..__ 1__. _1 --3 I_ LL,. -1..:_____t __._ _1_1_ 4.1__ 1993-1994 REGULAR, SESSION Ch. ,72, � 1 building, structure, or other shelter is situated, that has been substantially damaged or destroyed by a disaster, as declared by the Governor. For purposes-of this paragraph, land constituting a part of original property includes only that area of reasonable size that is used as a site for a residence, and "land owned by the claimant" includes land for which the claimant either holds a leasehold interest described in,subdivision (c) of Section 61 or a land purchase contract...For purposes of this paragraph, each unit of a multiunit dwelling,shall be considered a separate original property. I (7) "Owner or .owners means.an individual or individuals;:but'does not include-any firm; partnership,•association, corporation, company; other legal entity.or organization of any kind. (8) "Replacement property" means a building, structure;-or ,'other;shelter,-or other personal property, that is owned and occupied by a claimant as his or her.principal place of residence, and any land owned by the claimant on which the building, structure, or other shelter is situated. For purposes of this paragraph, land constituting a part of the land replacement dwelling-incl'udes only-that area of reasonable size that'is'used as.the site for a residence,-and "land owned by the claimant" includes land for which the claimant leither holds a leasehold interest described in subdivision (c) of Section, or aaand purchase contract. -For purposes of this paragraph_, each unit.of a multiunit dwelling shall be.considered a separate replace- ment dwelling.. .(9) "Substantially damaged or destroyed" means property that sustains physical damage. amounting more-to 1 than:50 percent of its full'cash value immediately pnor'to the'disaster., Damage includes a diminution;of value in the value of property as a result of restricted access to the property where the restricted.access-was caused by the disaster and is permanent in nature. (c) At the time the base year.value of the-substantially damaged or destroyed property is transferred,pursuant to an ordinance adopted under,this,section, the substantially damaged or destroyed.property shall be reassessed at its full cash value. However, the substantially f damaged or destroyed property-shall retain its-base year value�notwithstanding that-transfer. If the owner or bWners'of-substantially damaged.or destroyed,property Teceive'property tax relief under' tl is section -that ro e 1 � p p rity,shall not be eligible for property tax 'chefunder- subdivision (c) of Section 70 in the event of its reconstruction (cl) Only the owner or. owners. of the property that has .been substantially damaged or d destroyed may receive property tax relief under an ordinance adopted pursuant._ to this section. Relief under an ordinance adopted.pursuant to thilsection stall be 'grantied to'an towner or owners of a substantially damaged or. destroyed. property obtaining title to comparable replacement property. The acquisition`of un ownership-interest-in'a'legal:,entity that, directly or.indirectly,owns real-prnperty,is not an acquisition,of comparable replacement f property for purposes of this section. (e) A claim for relief under an ordinance adopted pursuant to this section shall be filed with the assessor of the county in which the replacement property is located.in accordance with procedures and requirements as prescribed by the board. Those procedures and require- 9 ments that are.-prescribed by the board pursuant to this subdivision:shall,:to the extent not inconsistent with this sectiorr, be similar to those procedures:and requirements established al with respect to Section 69.5. i (f) Any taxes that were levied on the replacement property prior to the filing of a claim on the basis of the replacement property's new base-year value, and any allowable annual adjustments thereto, shall be canceled or refunded to the claimant to the extent that taxes ;Y exceed the amount that would be due when determined on the basis of the adjusted new base A year value: )r (g) This section shall apply.to any comparable replacement property:'of equal or lesser value that is acquired or newly constructed as a replacement for property that"has been is substantially damaged or destroyed by a disaster occurring on or after October 20, 1991, and to the determination of.base year values for the 1991-92 fiscal year and each fiscal year of thereafter. nt -Ch. 72, § 1 STATUTES OF 1994 (h) It is the intent of the Legislature in enacting this section that the scope and amount o'f,' the tax relief provided under an ordinance.adopted pursuant to this section not exceed the. scope and amount of tax relief provided under Section 69.5 as that section read on November 2, 1993. SEC. 2.. 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 disaster victims who have lost or suffered heavy damage.to-their homes are providedwith an opportunity for-essential relief as soon:-as possible,:itis necessary :� that obis,act take :effect immediately. F & MEMORANDUM10 • •� 1 CLERK OF THE HOARD OF SUPERVISORS - CONTRA COSTA COUNTY • 651 Pine Street, Room 106 Martinez, California 94553 r,;• Phone (415) 646-2371; FAX 646-1059 DATE: ? 2 TO: N. T- k) m�PiS o3 z FROM: TOTAL PAGES INCLUDING THIS COYER _ � t Comments: M rQ PLEASE ADVISE IF FOR ANY REASON YOU DO NOT RECEIVE THIS ITEM COMPLETE! i Fox MEMORANDUM 0 •, 1 J CLERK OF THE BOARD OF SUPERVISORS - CONTRA COSTA COUNTY f ;i 651 Pine Street, Room 106 Martinez, California 94553 T,�• N... `�� Phone (415) 646-2371; FAX 646-1059 DATE: TO: �V l Y 5 ck. 5 t, c�.SCJ o i W01c , FROM: Aj TOTAL PAGES INCLUDING THIS COVER +L VIP Lk I C'+, ,com Comments-: v PLEASE ADVISE IF FOR ANY REASON YOU DO NOT RECEIVE TRIS ITEM COMPLETEI m h m CD C D 7CJ D zz MCS r .. O -1• -u .... o 00 M E cn�co m --ica fi F , EK m p O '« jetin c C m P. ro xv .z C) n C7 n N ! • '-'' � m w o m vmH ,N N °, CL.� M D aW 3 mm > � (D n C Cn •--� ,� CD m X 0 0 m m O Z z rt O (n O H � rt ti• p m y I'D W nO A CD �. m �y z � x a D O ro F'• (D ro c 70 ui O m M O Z Cr O H, ¢ N O t1 _m w 4c � O -0 m c ro n Fn w "T1 ro r-v m C D D 0 � (DD ct ° n m o Z "�'=crn x a) SL - F' F'• ti m =C m cn O D^' tv 2 C � rt F� >Z y N F l0 F. 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Date : July 21, 1994 PHIL BATCHELOR, Clerk of the Board of Supervisors and County Administrator By �� `� Ann Cerve.Tli, Deputy Clerk