Store Research
SENATE BILL 1693 (MONTEITH – 1996)
CHAPTER 569, STATUTES OF 1996, SB 1693
Some bill research does not include the Governor's file because at the time we researched the bill, the sitting Governor had not released his chaptered bill file. If the Governor's file is not included with this particular research, please contact our office (1-530-666-1917 or quote@legintent.com) and we will be happy to provide this file at no charge if it is available. Please Note: Governor files did not exist prior to 1943.
Sections 66001 and 66006 were amended and section 66008 was added to the Government Code in 1996 following legislative passage of Senate Bill 1693. (See Exhibit #1) Senator Dick Monteith introduced Senate Bill 1693 on February 21, 1996 at the request of the California Building Industry Association. (See Exhibits #1a and #13)
Senate Bill 1693 was assigned to the Senate Committee on Housing and Land Use where policy issues raised by the bill were considered. (See Exhibit #3) After approval by that Committee, the Senate Committee on Appropriations examined its fiscal ramifications. (See Exhibit #2) The Senate amended the bill on April 9, April 23, and May 7, 1996. (See Exhibit #1b through #1d) Senate Bill 1693 was approved by the Senate and forwarded to the Assembly on May 16, 1996. (See Exhibit #2)
While in the Assembly, the Committee on Local Government considered the policy issues raised by the bill. (See Exhibit #7) Subsequent to approval by that Committee, the measure was assigned to the Assembly Committee on Appropriations which examined its fiscal implications. (See Exhibit #9) Three amendments were made to Senate Bill 1693 by the Assembly, on July 9, August 19, and August 28, 1996. (See Exhibit #1e through #1g) The Assembly thereafter approved the bill and returned it to the Senate. (See Exhibit #2)
The Senate approved the Assembly amendments, and Senate Bill 1693 was forwarded to Governor Pete Wilson, who signed the bill on September 15, 1996, and it was recorded by the Secretary of State on September 17, 1996 as Chapter 569 of the Statutes of 1996. (See Exhibits #1h and #2)
The Unfinished Business analysis of Senate Bill 1693 that was prepared by the Office of Senate Floor Analyses described the bill as last amended on August 28, 1996 as follows:
This bill amends accounting procedures for unspent developer fees. Specifically, this bill:
1. Requires local agencies to make specified findings every five years with respect to any portion of a fee remaining unspent five or more years after deposit. Specifically, the local agency shall identify the purpose to which the fee is applied; demonstrate a reasonable relationship between the fee and purpose for which it was charged; identify all sources and amounts of funding anticipated to complete financing on incomplete improvements; and designate the approximate dates on which funding is expected to be deposited into the appropriate account or fund.
Requires local agencies to refund the monies in the account or fund, if the above mentioned findings are not made.
2. Requires local agencies to identify an approximate commencement date for construction of the public improvement or refund to the then-current record owner of a lot or unit in a development project on a prorated basis the unspent portion of the fee plus interest, in the event ‘sufficient funds,’ as specified, have been collected to finance as yet incomplete public improvements.
3. Requires local agencies to provide an accurate annual accounting of the amount of fees collected and used to build public improvements. Specifically, for each capital facilities account, a local agency shall make available the following information: a description of the type of fee for each account; the amount of the fee; the beginning and ending balance of the account; the amount of fees collected plus interest earned; an identification of each public improvement on which fees were expended; an identification of an approximate date by which the construction of the public improvement will commence; an accounting of each interfund transfer or loan and what it was used for; and any refunds made.
4. Requires local agencies to identify the public improvement that the fee will be used to finance at the time of imposition of the fee.
5. States that a local agency shall spend a fee solely and exclusively for the purpose(s) for which the fee was collected. Expressly prohibits the collection of developer fees for general revenue purposes.
(See Exhibit #13, pages 2 and 3)