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AB-1520 Governmental institutions.(1995-1996)

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AB1520:v94#DOCUMENT

Assembly Bill No. 1520
CHAPTER 522

An act to amend Section 89048 of the Education Code, to amend Section 6516.9 of the Government Code, and to add Section 10709 to the Public Contract Code, relating to governmental institutions.

[ Filed with Secretary of State  October 04, 1995. Approved by Governor  October 04, 1995. ]

LEGISLATIVE COUNSEL'S DIGEST


AB 1520, McPherson. Governmental institutions.
(1)  Existing law authorizes the Trustees of the California State University, notwithstanding the Property Acquisition Law and the general authority of the Director of General Services over state real property, to perform specified functions without prior approval of any other state department or agency, when necessary to carry out the purposes of the California State University.
This bill would include the authority to sell, exchange, and otherwise dispose of real property acquired from revenue generated by the parking and housing programs in the California State University among the functions that the Trustees of the California State University, to a recognized auxiliary organization of the California State University, may perform without prior approval of any other state department or agency, when necessary to carry out the purposes of the California State University.
(2)  Existing law permits a joint powers agency, the members of which may conduct various types of fairs and exhibitions, to establish and administer risk pooling arrangements for the payment of general liability losses incurred by nonprofit corporations conducting or benefiting from these fairs and exhibitions, and by nonprofit corporations or auxiliary organizations operating facilities, programs, or events at public schools, the California Community Colleges, the California State University, or the University of California.
This bill would, in addition, permit a joint powers agency, the members of which may conduct educational programs and activities, to establish and administer risk pooling arrangements for the payment of general liability losses incurred by nonprofit corporations or auxiliary organizations operating facilities, programs, or events at public schools, the California Community Colleges, the California State University, or the University of California.
(3)  Existing law, the California State University Contract Law, establishes procedures for the letting of contracts by the Trustees of the California State University, subject to specified exceptions. Existing law authorizes a public agency, subject to specified conditions, to enter into an energy service contract and a facility ground lease, or facility financing contract and a facility ground lease, or an energy sale contract. This provision does not apply to the California State University.
This bill would authorize the Trustees of the California State University to enter into an energy conservation construction contract on the terms it determines are in the best interests of the California State University, as specified. This bill would require energy conservation construction contracts to be let by competitive means.

The people of the State of California do enact as follows:


SECTION 1.

 Section 89048 of the Education Code is amended to read:

89048.
 Notwithstanding Article 1 (commencing with Section 11000) of Chapter 1 of Part 1, Article 2 (commencing with Section 14660) of Chapter 2 of Part 5.5, and Part 11 (commencing with Section 15850), of Division 3 of Title 2 of the Government Code, or any other provision of law to the contrary, the trustees may perform the following functions, without prior approval of any other state department or agency, when necessary to carry out the purposes of the California State University:
(a)  Acquire easements or rights-of-way necessary for the proper utilization of real property of the California State University.
(b)  Grant and convey in the name of the California State University easements and rights-of-way across property belonging to the California State University subject to the conditions, limitations, restrictions, and reservations the trustees determine are in the best interests of the California State University.
(c)  Quitclaim the right, title, and interest of the California State University in and to easements and rights-of-way owned by the California State University which the trustees determine are no longer needed for California State University purposes.
(d)  Sell or exchange any personal property belonging to the California State University if the trustees determine that the sale or exchange is in the best interests of the California State University. Transactions under this subdivision shall be for consideration based on fair market values.
(e)  Lease any real property for the use of the California State University.
(f)  Sell, exchange, or otherwise dispose of real property acquired from revenues generated by the parking and housing programs in the California State University, to a recognized auxiliary organization of the California State University, as authorized by Section 89901 of the Education Code. The sale, exchange, or other disposition shall be consistent with the requirements of any indenture or other agreement to which the trustees are a party. Transactions under this subdivision shall be for consideration based on the fair market value of the property to be sold, exchanged, or otherwise disposed of, and shall be subject to the following conditions:
(1)  Where more than one auxiliary organization of the California State University expresses interest in acquiring the property, the sale, exchange, or other form of disposal shall be awarded to the highest responsible bidder. The net present value of the projected proceeds of a bid shall be used to determine the highest responsible bidder, where applicable.
(2)  When the real property for sale is an improvement situated on land purchased with funds not generated by the parking or housing programs of the California State University, rights to the land upon which the improvement is situated, and access thereto, shall be leased and not sold or exchanged to the acquiring party.
(3)  When the real property for sale includes land purchased with funds generated by the parking or housing programs of the California State University, the property shall have at least one border with property that is not owned by the California State University.

SEC. 2.

 Section 6516.9 of the Government Code is amended to read:

6516.9.
 Notwithstanding any other provision of law, a joint powers agency provided for by a joint powers agreement pursuant to this article, the members of which may conduct agricultural, livestock, industrial, cultural, or other types of fairs and exhibitions, or educational programs and activities, may establish and administer risk pooling arrangements for the payment of general liability losses incurred by nonprofit corporations conducting or benefiting agricultural, livestock, industrial, cultural, or other types of fairs and exhibitions, and by nonprofit corporations or auxiliary organizations operating facilities, programs, or events at public schools, the California Community Colleges, the California State University, or the University of California. The joint powers agency may provide the nonprofit corporations with any services provided to the agency’s members. Aggregate payments made under each risk pooling arrangement shall not exceed the amount available in the pool established for that arrangement. The joint powers agency may establish and administer as many separate risk pooling arrangements as it deems desirable. A general liability risk pooling arrangement established pursuant to this section may also provide for the payment of losses incurred by special events users, lessees, and licensees of facilities operated by nonprofit corporations, auxiliary organizations, public schools, community colleges, the California State University, or the University of California and for the payment of losses incurred by participants and exhibitors in programs sponsored by those entities.

SEC. 3.

 Section 10709 is added to the Public Contract Code, to read:

10709.
 Notwithstanding any provision of the California State University Contract Law and any other provision of law to the contrary, the trustees may enter into an energy conservation construction contract, on the terms it determines are in the best interests of the California State University if they find that the anticipated cost for the alterations effected by the energy conservation construction contract will be less than the anticipated marginal cost to the California State University of energy that would have been consumed by the California State University in the absence of those alterations. The letting of contracts pursuant to this section shall be conducted through competitive means.