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LAFCO 101

LAFCO 101. New Commissioners and Staff Workshop CALAFCO CONFERENCE FOR 2009 Tenaya Lodge at Yosemite October 28, 2009. Ventura LAFCO – February 11, 1981 (Partial Transcript). Mr. Chairman, my name is Duane Lyders. I’m the City Attorney of the City of Oxnard.

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LAFCO 101

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  1. LAFCO 101 New Commissioners and Staff Workshop CALAFCO CONFERENCE FOR 2009 Tenaya Lodge at Yosemite October 28, 2009

  2. Ventura LAFCO – February 11, 1981(Partial Transcript) Mr. Chairman, my name is Duane Lyders. I’m the City Attorney of the City of Oxnard. We’ve come a long way from the 1960s – when the law of the jungle prevailed – before LAFCO came into existence, when cities, based upon the political power that they could muster, would gobble up large acreages and hold them for future expansion. I submit that the principle which has supplanted the law of the jungle – the principle embodied in the statutes creating LAFCO – is what we are dealing with today.

  3. History and Overview of LAFCO

  4. LAFCO came about due to • Post World War II population and housing boom in California • Street car suburbs; scramble to finance and extend services • City annexation "wars," proliferation of limited purpose special districts • Governor Pat Brown’s Commission on Urban Problems focused on need to encourage orderly boundaries

  5. Legislative Compromise • One LAFCO per every county • No Statewide Commission or agency • Local control; no State appointees • LAFCO are independent; no appeal to another administrative agency

  6. LAFCO’S purposes are to • Encourage orderly boundaries and discourage urban sprawl • Conserve agriculture and open space • Promote efficient public services • Consider regional housing needs, adequate water and other essential issues

  7. Compressed Legislative History • 1963 Knox-Nesbit Act – LAFCOs created to regulate boundaries • 1971 Law requires Spheres of Influence – LAFCOs must plan too • 1985 Cortese-Knox Act – Recodify laws

  8. 2001 - AB 2838 Reforms Law) • Broaden LAFCO funding formula • Make LAFCO “conducting authority” for boundary changes • Require periodic Sphere of Influence updates • Require Municipal Service Reviews • Require city/county to communicate re sphere of influence changes • Require cities to prezone land • New factors – water supply, regional housing

  9. LAFCO’S Statutory Purpose and Functions

  10. State Legislature directs LAFCO to • Encourage orderly boundaries and discourage urban sprawl • Conserve agricultural & open space lands • Promote efficient public services • Consider regional housing needs, adequate water and other essential issues

  11. Forces driving boundary changes • Growth or shifts in population • Public desire for services or land uses • Public desire for greater local control • Desire for improved services or revenues • Desire to establish, preserve or protect identity • The Hidden Hand on the Tiller -- State tax policies for incentives and disincentives

  12. What the Courts have said • State laws fully occupy the field • LAFCO is engaged in the pursuit of an overriding State purpose • LAFCO is quasi-legislative; limited legal challenge to LAFCO decisions • LAFCO is independent, not part of County • LAFCO is the Legislature’s watch dog for governmental efficiency

  13. LAFCO is a Unique Mix • All Local Folks – 2 County supervisors, 2 city officials, 1 public member • Many also have 2 special district members • One alternate member in each category • Members are to represent the interests of the entire public

  14. LAFCO is subject to the Political Reform Act • Annual filing of assets and campaign contributions is required, plus • Automatic disqualification from decisions related to entitlements for use

  15. As a PLANNING agency LAFCO • Develops and periodically updates Spheres of Influence for cities and districts • Prepares Municipal Service Reviews to help coordinate provision of services • Works cooperatively with public and private agencies and interests

  16. As a REGULATORY agency LAFCO • Manages the modification of existing agencies and creation of new ones • Can approve changes only if consistent with spheres of influence • Controls extension of public services without annexations • Is prohibited from directly regulating how land is used . . . but

  17. LAFCOs are Independent • Commissioners make final decisions • State laws fully occupy the field • LAFCO decisions cannot be appealed to other administrative bodies • Executive Officer is solely accountable to the Commission and the law

  18. Environmental review of LAFCO decisions • Many LAFCO approvals are "projects" under CEQA • Pre-zoning makes a city the lead agency • Categorical exemptions are tailored to LAFCO actions - Classes 19 and 20

  19. LAFCO decisions are made in full public view • Wide public notice of LAFCO hearings is required, including posting on Internet • LAFCO coordinates with county, cities, special districts and school districts

  20. LAFCO has no jurisdiction over • Redevelopment agencies • Mello-Roos districts • School districts • Assessment Districts and Improvement Districts • County boundary lines • Municipal Advisory Councils • Area Planning Commissions • Transit Districts • Joint Powers Authorities

  21. Public Participation • LAFCO is subject to the Ralph M. Brown Act • Public notice of LAFCO meetings, including posting on the Internet • LAFCO is subject to the Public Records Act

  22. LAFCO Budget and Staffing

  23. LAFCO Funding • State mandate – LAFCO adopts a budget for each fiscal year • LAFCO is funded by the County, cities and special districts in equal thirds • Local funding formulas are allowed • Processing fees help offset expenses

  24. LAFCO Staffing • LAFCO appoints an Executive Officer to conduct the day-to-day business and make recommendations on proposals • LAFCO appoints a Legal Counsel • LAFCO provides for its own quarters, equipment, supplies and personnel. • LAFCO can contract for staff services

  25. What is CALAFCO? • Association created in 1971 by LAFCOs • Focus on supporting LAFCOs through training & education, conferences & workshops and legislative representation • All LAFCOs eligible, + Associate Members • Non-profit 501(c)(3)

  26. Basic Procedures for a Change of Organization

  27. Change of Organization • Annexation or Detachment • Formation a new district or Incorporation of new city • Disincorporation of city or Dissolution of district • Consolidation of cities or districts • Merger of district into a city • Create subsidiary district, i.e., city governs a district • Exercise of new or different functions or classes of services by special district, i.e. latent power • Reorganization combines two or more changes of organization into one proceeding

  28. Step 1 - Application to LAFCO • Resolution of application of local agency, or Petition of landowners or voters • Application, Plan for Services, other data • Payment of processing fee • Property tax agreement if required per Revenue & Taxation Code 99 or 99.01

  29. Step 2 - LAFCO Review • Certify petition, accept resolution • Review maps and legal descriptions • Issue Certificate of Filing; clock starts running • Public notice of LAFCO hearing • Executive Officer's report & recommendation

  30. Step 3 - LAFCO Decision • LAFCO approves or denies • Terms and Conditionsare permitted • LAFCO determines the effective date • Issues notice of determination or exemption • Effect of LAFCO denial • Reconsideration of LAFCO decision • Proceedings lapse a year from LAFCO decision if not completed

  31. Step 4 - Protest Hearing, if needed • Hearing notice -- publish, post, mail • "Inhabited" vs. "uninhabited" proposals • Written protests -- from who and how • Required contents of protest

  32. Step 5 – Outcome of Hearing • Number of protests determines outcome • Terminate if majority protest • Order change subject to election (only if inhabited) • Order the change without an election • LAFCO resolution confirms results of hearing

  33. Step 6 – Election, if Required • Only County or a city conducts elections • Where is the election held? • Regular election v. mailed ballots • Vote results -- Majority needed? Two thirds? • Election expenses -- who pays?

  34. Step 7 – Administrative Filing • LAFCO staff records Certification of Completion with resolution, map and legal • LAFCO staff files with State Board of Equalization and County Assessor • LAFCO staff notifies affected agencies and interested parties

  35. ROLE OF THE LAFCO COMMISSIONER Commissioner Cathy Schlottmann Santa Barbara LAFCO CALAFCO Board of Directors

  36. That’s all folks!

  37. LAFCO 101 New Commissioners and Staff Workshop CALAFCO CONFERENCE FOR 2009 Tenaya Lodge at Yosemite October 28, 2009

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