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HomeMy WebLinkAbout2000-02-08 - AGENDA REPORTS - PROP 15 CRIME LAB CONSTRUCTION (2)AGENDA REPORT City Manager Approval Item to be presented by, CONSENT CALENDAR DATE: February 8, 2000 SUBJECT: PROPOSITION 15 "CRIME LABORATORIES CONSTRUCTION BOND ACT" DEPARTMENT: City Manager RECOMMENDED ACTION Adopt resolution of support. BACKGROUND The Los Angeles County Sheriffs Department has requested that the City of Santa Clarita support Proposition 15. This measure allows the state to sell $220 million in general obligation bonds for local crime laboratories. Most of the crime labs in California suffer from a backlog of evidence that cannot be processed because the labs are out-of-date and in disrepair. The money raised from the bond sales would be used for the construction, renovation, and infrastructure costs of these laboratories. No money may be used for administrative salaries — only for the repair, update and build of crime -solving labs. A new seven -member Forensic Laboratories Authority created by the measure, would consider applications and award the bond monies to local governments for the construction of new laboratories and the renovation of existing laboratories. Over the past several years, a group of Scientific Services representatives from the Sheriff's Department, California State University Los Angeles, the Los Angeles Police Department, and the California Criminalistics Institute of the California Department of Justice have been meeting for a common goal of building a new regional crime laboratory/forensic science teaching facility on the campus of CSULA. This new forensic science center is estimated to cost $132 million. If passed, Proposition 15 will provide $100 million toward this new regional center. According to the authors of Proposition 15, no other money is available to pay for crime lab construction or repair. dandis Ie ALTERNATIVE ACTIONS 1. Oppose Proposition 15. 2. Remain neutral. 3. Other actions as determined by Council. FISCAL IMPACT General obligation bonds are backed by the state, which requires the state to pay the principal and interest costs on these bonds out of General Fund revenues. The cost to pay Proposition 15 bonds over 25 years is estimated to be $377 million in principal ($220 million) and interest ($157 million). Annual payments of about $15 million per year are projected. The measure could result in additional costs to local governments that receive bond funds. First, the measure could result in one-time costs to these local governments for the 10 percent share of the costs of a construction or renovation project. These one-time costs would be in the range of about $20 million on a statewide basis. Second, to the extent that local governments construct new or expanded crime laboratories as a result of the measure, they could also incur additional ongoing costs to operate the facilities. The magnitude of these additional costs is unknown, but is potentially in the millions of dollars annually on a statewide basis. ATTACHMENTS Resolution of support for Proposition 15. Full text of Proposition 15 — available in the City Clerk's Reading File. MLR:= S:\MS\CCAGENDA\2_8_00\CCPRPI5.DOC CA Secretary of State - Primary Election 2000 - Text of Proposition 15, Page 1 of 5 Proposition 15 1 Vote 2000 Home I Ballot Pamphlet Home I Next - Prop 16 1 Secretary of State Home The Hertzberg-Polanco Crime Laboratories Construction Bond Act of 1999. Text of Proposition 15 This law proposed by Assembly Bill 1391 of the 1999-2000 Regular Session (Chapter 727, Statutes of 1999) is submitted to the people in accordance with the provisions of Article XVI of the California Constitution. This proposed law adds sections to the Penal Code; therefore, new provisions proposed to be added are printed in italic type to indicate that they are new. PROPOSED LAW SECTION 1. Title 9.5 (commencing with Section 14108) is added to Part 4 of the Penal Code, to read: TITLE 9.5. THE HERTZBERG-POLANCO CRIME LABORATORIES CONSTRUCTION BOND ACT OF 1999 Chapter 1. Finances 14108. The proceeds of bonds issued and sold pursuant to this title shall be deposited in the Forensic Laboratories Capital Expenditure Bond Fund, which is hereby created. 14108.1. Bonds in the total amount of two hundred twenty million dollars ($220,000,000), not including the amount of any refunding bonds issued in accordance with Section 14108.11, or so much thereof as is necessary, may be issued and sold to provide a fund to be used for the construction, renovation, and infrastructure costs associated with the construction of new local forensic laboratories and the remodeling of existing local forensic laboratories, for the costs of administering this title, including, but not limited to, the administrative costs of the Forensic Laboratories Authority, as established in Section 14109, and to reimburse the General Obligation Bond Expense Revolving Fund pursuant to Section 16724.5 of the Government Code. The bonds, when sold, shall be and constitute a valid and binding obligation of the State of California, and the full faith and credit of the State of California is hereby pledged for the punctual payment of the principal of, and interest on, the bonds as the principal and interest become due and payable. http://www.ss.ca.gov/vote2000NoterGuide/Propositions/15text.htm 1/31/00 CA Secretary of State - Primary Election 2000 - Text of Proposition 15, Page 2 of 5 14108.2. (a) General obligation bonds may be issued by the state to finance the working drawings, preliminary plans, construction, renovation, equipping of the laboratories, and parking facilities and other improvements, betterments, and facilities directly related thereto as described in Section 14108.1. (b) The amount of the general obligation bonds to be sold shall equal the cost of construction, renovation, and equipping of the laboratories and facilities, the cost of working drawings and preliminary plans, sums necessary to pay financing costs, including interest during construction, and a reasonable reserve fund. 14108.3. The bonds authorized by this title shall be prepared executed, issued, sold, paid, and redeemed as provided in the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4 of Title 2 of the Government Code), and all of the provisions of that law apply to the bonds and to this chapter and are hereby incorporated in this chapter as though set forth in full in this chapter. 14108.4. (a) Solely for the purpose of authorizing the issuance and sale, pursuant to the State General Obligation Bond Law, of the bonds authorized by this title, the Hertzberg- Polanco Forensic Laboratories Construction Act Finance Committee is hereby created. For purposes of this chapter, the Hertzberg-Polanco Forensic Laboratories Construction Act Finance Committee is "the committee" as that term is used in the State General Obligation Bond Law. The committee consists of the Controller, the Director of Finance, and the Treasurer, or their designated representatives. The Treasurer shall serve as chairperson of the committee. A majority of the committee may act for the committee. (b) For purposes of the State General Obligation Bond Law, the Forensic Laboratories Authority is designated the "board. " 14108.5. The committee shall determine whether or not it is necessary or desirable to issue bonds authorized pursuant to this title in order to carry out Section 14108.1 and, if so, the amount of bonds to be issued and sold. Successive issues of bonds may be authorized and sold to carry out those actions progressively, and it is not necessary that all of the bonds authorized to be issued be sold at any one time. 14108.6. There shall be collected each year and in the same manner and at the same time as other state revenue is collected, in addition to the ordinary revenues of the state, a sum in an amount required to pay the principal of, and interest on, the bonds maturing each year, and it is the duty of all officers charged by law with any duty in regard to the collection of the revenue to do and perform each and every act that is necessary to collect that additional sum. 14108.7. Notwithstanding Section 13340 of the Government Code, there is hereby appropriated from the General Fund in the State Treasury, for the purposes of this title, an amount that will equal the total of the following: (a) The sum annually necessary to pay the principal of, and interest on, bonds issued and sold pursuant to this title, as the principal and interest become due and payable. http://www.ss.ca.gov/vote2000NoterGuide/Propositions/15text.htm 1/31/00 CA Secretary of State - Primary Election 2000 - Text of Proposition 15, Page 3 of 5 (b) The sum that is necessary to carry out Section 14108.8, appropriated without regard to fiscal years. 14108.8. For purposes of carrying out this title, the Director of Finance may authorize the withdrawal from the General Fund of an amount or amounts not to exceed the amount of the unsold bonds that have been authorized to be sold for the purpose of carrying out this title. Any amount withdrawn shall be deposited in the fund. Any money made available under this section shall be returned to the General Fund, plus an amount equal to the interest that the money would have earned in the Pooled Money Investment Account, from proceeds received from the sale of bonds for the purpose of carrying out this title. 14108.9. The board may request the Pooled Money Investment Board to make a loan from the Pooled Money Investment Account, in accordance with Section 16312 of the Government Code, for purposes of carrying out this title. The amount of the request shall not exceed the amount of the unsold bonds that the committee, by resolution, has authorized to be sold for the purpose of carrying out this title. The board shall execute any documents required by the Pooled Money Investment Board to obtain and repay the loan. Any amounts loaned shall be deposited in the fund to be allocated by the board in accordance with this title. 14108.10. All money deposited in the fund that is derived from premium and accrued interest on bonds sold shall be reserved in the fund and shall be available for transfer to the General Fund as a credit to expenditures for bond interest. 14108.11. The bonds may be refunded in accordance with Article 6 (commencing with Section 16780) of Chapter 4 of Part 3 of Division 4 of Title 2 of the Government Code, which is a part of the State General Obligation Bond Law. Approval by the voters of the state for the issuance of the bonds described in this title includes the approval of the issuance of any bonds issued to refund any bonds originally issued under this title or any previously issued refunding bonds. 14108.12. Notwithstanding any provision of this title or of the State General Obligation Bond Law, if the Treasurer sells bonds pursuant to this title that include a bond counsel opinion to the effect that the interest on the bonds is excluded from gross income for federal tax purposes, subject to designated conditions, the Treasurer may maintain separate accounts for the investment of bond proceeds and the investment earnings on those proceeds. The Treasurer may use or direct the use of those proceeds or earnings to pay any rebate, penalty, or other payment required under federal law or to take any other action with respect to the investment and use of bond proceeds required or desirable under federal law so as to maintain the tax-exempt status of those bonds and to obtain any other advantage under federal law on behalf of the funds of this state. 14108.13. The Legislature hereby finds and declares that, inasmuch as the proceeds from the sale of bonds authorized by this title are not 'proceeds of taxes" as that term is used in Article XIII B of the California Constitution, the disbursement of these proceeds is not subject to the limitations imposed by that article. http://www.ss.ca.gov/vote2000NoterGuide/Propositions/15text.htm 1/31/00 CA Secretary of State - Primary Election 2000 - Text of Proposition 15, Page 4 of 5 14108.14. The authority is authorized to apply for any funds that may be available from the federal government to further the purposes of this title. Chapter 2. Forensic Laboratories Authority 14109. (a) There is hereby created within the Department of Justice the Forensic Laboratories Authority. (b) (1) The authority shall be composed of seven members, including the Attorney General, the State Director of Crime Laboratories, and five members who shall be appointed by the Governor, with the advice and consent of the Senate. (2) Of the members that are first appointed, two shall be appointed for a term of two years, two for a term of three years, and one for a term of four years. Their successors shall serve for a term of three years and until appointment and qualification of their successors, each term to commence on the expiration date of the term of the predecessor. (c) The first appointments shall be made by April 1, 2000. (d) The first meeting of the authority shall occur by May 15, 2000. The authority shall meet at least twice a year. (e) The Governor shall select a chair and vice -chairperson from among its members. Four members of the authority shall constitute a quorum. (f) If any appointed member is not in attendance for three consecutive meetings, the authority shall recommend to the Governor that the member be removed and the Governor shall make a new appointment for the remainder of the term. (g) The authority shall comply with the state open meetings law pursuant to Article 9 (commencing with Section 11120) of Division 3 of Title 2 of, and Chapter 9 (commencing with Section 54950) of Division 2 of Title 5 of, the Government Code. 14109.1. Members of the authority shall receive no compensation, but shall be reimbursed for their actual and necessary travel expenses incurred in theperformance of their duties. For purposes of compensation, attendance at meetings of the authority shall be deemed performance by a member of the duties of his or her state or local governmental employment. 14109.2. This chapter shall be repealed on January 1, 2010. Chapter 3. Forensic Laboratory Construction and Remodeling Applications 14109.5. (a) The authority shall consider applications for funding the construction of new local forensic laboratories and the renovation of existing local forensic laboratories. http://www.ss.ca.gov/vote2000NoterGuide/Propositions/15text.htm 1/31/00 CA Secretary of State - Primary Election 2000 - Text of Proposition 15, Page 5 of 5 (b) Upon approval of an application, the authority shall have the authority to make grants from the Forensic Laboratories Capital Expenditure Bond Fund to fund the construction and renovation of forensic laboratories. (c) The manner and form of the application shall be prescribed by the authority. (d) The Legislature may establish additional criteria which the authority shall use for approval of applications for construction and renovation. (e) The authority shall make grants for the construction and renovation of forensic laboratories only if the following requirements are met: (1) The applicant provides 10 percent in matching funds. This requirement may be modified or waived by the Legislature where it determines that it is necessary to facilitate the expeditious and equitable construction or remodeling of local forensic laboratory facilities. (2) The governing body of the entity, or of each entity, comprising the applicant approves a resolution or resolutions agreeing to pay for the ongoing operating costs of the laboratory. (3) The application will not jeopardize the tax-exempt status of the bond issue. (4) Construction or renovation project management is vested in a public works, or similar agency with the requisite expertise. (5) The construction or renovation project complies with state or local bidding and contract requirements. Proposition 15 1 Vote 2000 Home I Ballot Pamphlet Home I Next . Prop 161 Secretary of State Home http://www.ss.ca.gov/vote2000NoterGuide/Propositions/15text.htm 1/31/00