CC SR 20160906 N - Veto Request Assembly Bill 1217RANCHO PALOS VERDES CITY COUNCIL
AGENDA REPORT
AGENDA DESCRIPTION:
MEETING DATE: 09/06/2016
AGENDA HEADING: Consent Calendar
Consideration and possible action to request that Governor Brown veto Assembly Bill
No. 1217 regarding joint powers authorities.
RECOMMENDED COUNCIL ACTION:
(1) Authorize the Mayor to sign a letter to Governor Brown requesting a veto of
Assembly Bill No. 1217 (AB 1217) regarding the joint powers authorities.
FISCAL IMPACT: None
Amount Budgeted: N/A
Additional Appropriation: N/A
Account Number(s): N/A
ORIGINATED BY: Kit Fox, AICP, Senior Administrative Analyst,
REVIEWED BY: Gabriella Yap, Deputy City Manager; -
APPROVED BY: Doug Willmore, City ManagerV1
ATTACHED SUPPORTING DOCUMENTS:
A. Draft veto request for AB 1217 (page A-1)
B. Letters opposing AB 1217 (page B-1)
C. AB 1217 (page C-1)
BACKGROUND AND DISCUSSION:
On August 5, 2016, the City Manager sent a letter of opposition (Attachment B) to
Assembly Member Tom Daly regarding his proposed Assembly Bill No. 1217 (AB 1217)
related to joint powers authorities (JPAs). If enacted as currently proposed, this bill
(Attachment C) would set a dangerous precedent for State interference in local JPAs,
which by definition are not matters of statewide concern.
The City is a party to a number of JPAs, including (but not limited to) the City's
Improvement Authority, the Palos Verdes Peninsula Transit Authority (PVPTA), the
South Bay Cities Council of Governments (SBCCOG) and the Los Angeles Regional
Interoperable Communications System (LA-RICS Authority). With a hearing on this bill
scheduled in early August, the City Manager felt it necessary to state the City's
opposition to the bill as soon as possible. This action was previously reported to the
City Council in the Weekly Administrative Report of August 10, 2016.
1
On August 24, 2016, Staff learned from the League of California Cities that AB 1217
had been approved in the State legislature and is awaiting final action by Governor
Brown. Although AB 1217 has no direct impact upon the City currently, Staff continues
to believe that AB 1217 sets a dangerous precedent for State intervention in local affairs
in the future. Therefore, Staff has prepared a veto request (Attachment A) for the
Mayor's signature.
ALTERNATIVES:
In addition to the Staff recommendation, the following alternative action is available for
the City Council's consideration:
Do not authorize the Mayor to sign the veto request for AB 1217.
2
September 6, 2016
The Honorable Jerry Brown
Governor, State of California
State Capitol, First Floor
Sacramento, CA 95814
SUBJECT
AB 1217: Orange County Fire Authority:
Dear Governor Brown:
On behalf of the City of Rancho Palos Verdes, I am v
assault upon local control and an attempt to intervene,
the governance of a local agency.
AB 1217 remains a highly questionable incursio R
This sets a bad legal precedent of state microman
with broad flexibility to address internal governance d
for cities everywhere: the preservation of local control.
VIA FAX: (916) 558-3160
veto"AB 1217, which is a direct
in a purely local matter affecting
of a joint powers authority (JPA).
i, when existing law provides JPA's
This measure invokes a core issue
The City of Rancho Palos Verdes is a party to a number of JPAs that allow our city to voluntarily and
cooperatively pool its resources with those of other local agencies for the benefit of the residents of our city,
the Palos Verdes Peninsula, the South Bay region of Los Angeles County, and the County as a whole. AB
1217 is a profoundly disturbing precedeattempting to undermine provisions of existing law and
unilaterally overrule a locally agreed-upon overnance structure that is part of the valid and voluntary
formation agreement of a joint powers authority, an entity that by definition has no relation to matters of
statewide concern. This is a local matter best resolved at the local government level. State intervention in
such a matter is therefore unjustified.
For these reasons, I urge you to veto AB 1217.
Sincerely,
Ken Dyda
Mayor
cc: Rancho Palos Verdes City Council
Doug Willmore, City Manager
Assembly Member Tom Daly, FAX (916) 319-2169
Jeff Kiernan, League of California Cities (jkiernan cacities.orq)
MALegislative Issues\AB 1217 (Daly)\20160906_Brown_VetoRequestAB1217.docx
A-1
CITYOF ILiRANCHO PALOSVERDES
CITY MANAGER'S OFFICE
ADMINISTRATION
August 3, 2016
The Honorable Tom Daly FAX: (916) 319-2169
California State Assembly, 69' District
State Capitol Building, Rm. 3120
Sacramento, CA 95814
SUBJECT: AB 1217 (Daly). Orange County Fire Authority.
Notice of Opposition
Dear Assembly Member Daly:
The City of Rancho Palos Verdes respectfully opposes Assembly Bill 1217.
This measure is a direct assault upon local control. It is an attempt to intervene, without
justification, in a purely local matter affecting the governance of a local agency.
With the June 23,d and August 2nd amendments, the bill codifies a change the Orange County
Fire Authority (OCFA) has already made to its governance structure, in prohibiting the inclusion
of alternates as part of the composition of the OCFA board of directors. The bill remains a highly
questionable incursion into the governance of a joint powers authority (JPA). This sets a bad
legal precedent of state micromanagement via legislation, when existing law provides JPA's with
broad flexibility to address internal governance challenges already.
Assembly Bill 1217 would employ the mechanism of state legislation to alter the governance
structure of a locally -created joint powers authority, the Orange County Fire Authority, formed by
local governments pursuant to the method prescribed in the Government Code. This measure
invokes a core issue for cities everywhere: the preservation of local control.
Current law on this matter is very clear. Joint powers authorities are by definition an expression
of local government in which two or more local public agencies are authorized to enter into an
agreement to jointly exercise any power common to the voluntarily contracting parties for a
mutually agreed upon purpose. The very essence of such entities is local control. Their
governance structure is decided upon by the local agency member participants as part of the
voluntary formation agreement among the participating local agencies. Should disputes
subsequently arise about that governance structure or any other aspect of this voluntary
agreement, mechanisms are provided under existing law to resolve them at the local level.
Moreover, there are also clear provisions in this and other instances for any of the cooperating
parties to withdraw from such voluntary agreements if they disagree with the governance or any
other aspect of the agreement.
The City of Rancho Palos Verdes is a party to a number of JPAs that allow our city to voluntarily
and cooperatively pool its resources with those of other local agencies for the benefit of the
residents of our city, the Palos Verdes Peninsula, the South Bay region of Los Angeles County,
and the County as a whole. As examples, we currently are members of:
30940 1 IAwTHORNE Bova /RANCHO PALOS VERDEs, CA 90275-5391/ (310) 544-5207 /FAX (310) 544-5291 / www.RPVCA.COV
PRINTED ON RECYCLED PAPER B_
Honorable Tom Daly
August 3, 2016
Page 2
• Rancho Palos Verdes Improvement Authority;
• Palos Verdes Peninsula Transit Authority (PVPTA);
• South Bay Cities' Council of Governments (SBCCOG); and,
• Los Angeles Regional Interoperable Communications System Authority (LA-RICS).
AB 1217 is a profoundly disturbing precedent in attempting to undermine provisions of existing
law and unilaterally overrule a locally agreed upon governance structure that is part of the valid
and voluntary formation agreement of a joint powers authority — an entity that by definition has no
relation to matters of statewide concern. This is a local matter best resolved at the local
government level. State intervention in such a matter is therefore unjustified.
For these reasons, the City of Rancho Palos Verdes respectfully opposes your AB 1217.
Sincerely,
Doug Willmore
City Manager
cc: Mayor Ken Dyda and Rancho Palos Verdes City Council
Senator Ben Allen, 26th District
Assembly Member David Hadley, 66th District
Jeff Kiernan, League Regional Public Affairs Manager (jkiernan(a�cacities.org)
Meg Desmond, League of California Cities (mdesmond(D-cacities.orq)
AMENDED IN SENATE AUGUST 2, 2016
AMENDED IN SENATE JUNE 23, 2016
AMENDED IN SENATE JUNE 9, 2015
CALIFORNIA LEGISLATURE -2015-16 REGULAR SESSION
ASSEMBLY BILL No. 1217
Introduced by Assembly Member Daly
February 27, 2015
An act to add Section 6538 6539 to the Government Code, relating
to joint powers.
LEGISLATIVE COUNSEL'S DIGEST
AB 1217, as amended, Daly. Orange County Fire Authority.
Existing law authorizes 2 or more public agencies, by agreement, to
form a joint powers authority to exercise any power common to the
contracting parties, as specified. Existing law authorizes the agreement
to set forth the manner by which the joint powers authority will be
governed. Existing law authorizes the board of supervisors of any county
to contract with any local agency within the county or with the state for
services relating to the prevention and suppression of fires.
This bill would prohibit the composition of the Board of Directors of
the Orange County Fire Authority from including alternate members.
This bill would make legislative findings and declarations as to the
necessity of a special statute for the Orange County Fire Authority.
Vote: majority. Appropriation: no. Fiscal committee: no.
State -mandated local program: no.
C-1
The people of the State of California do enact as follows:
1 SEGTION 1. it is the intent of the Legislature to reevaittate
2 the strueftre of the Board of Direetors of the Orange Goth -Ay Fire
3 Att+ority withiti a reasonable period from the effeetive date of
4 this 'aet-to eonsider the effeetiveness of the size and strdeivaz-vf
5 the board.
6 SEC. 2.
7 SECTION 1. Section -638 6539 is added to the Government
8 Code, to read:
9 6538.
10 6539. Notwithstanding any other law, the composition of the
11 Board of Directors of the Orange County Fire Authority shall not
12 include alternate members.
13
14 SEC. 2. The Legislature finds and declares that a special law
15 is necessary and that a general law cannot be made applicable
16 within the meaning of Section 16 of Article IV of the California
17 Constitution because of the challenges faced as a result of the
18 current governance structure of the Orange County Fire Authority.
31
C-2