California 2021 2021-2022 Regular Session

California Senate Bill SB361 Amended / Bill

Filed 06/06/2022

                    Amended IN  Assembly  June 06, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Senate Bill No. 361Introduced by Senator Umberg(Principal coauthor: Assembly Member Daly)February 10, 2021An act to amend Section 1633.3 of the Civil Code, relating to electronic transactions. An act to amend Section 54230.5 of, and to add Section 54230.8 to, the Government Code, relating to surplus land.LEGISLATIVE COUNSEL'S DIGESTSB 361, as amended, Umberg. Electronic transactions: motor vehicle finance. Surplus land.Existing law prescribes requirements for the disposal of land determined to be surplus land by a local agency. Those requirements include a requirement that a local agency, prior to disposing of a property or participating in negotiations to dispose of that property with a prospective transferee, send a written notice of availability of the property to specified entities, depending on the propertys intended use, and send specified information in regard to the disposal of the parcel of surplus land to the Department of Housing and Community Development. Existing law, among other enforcement provisions, makes a local agency that disposes of land in violation of these disposal provisions, after receiving notification of violation from the department, liable for a penalty of 30% of the final sale price of the land sold in violation for a first violation and 50% for any subsequent violation. Under existing law, except as specified, a local agency has 60 days to cure or correct an alleged violation before an enforcement action may be brought. Existing law provides for the deposit and use of penalty revenues for housing, as prescribed.This bill would delete the penalty provisions and, instead, require a disposing agency that has received a notification of violation to cure or correct the violation within 60 days, unless the department deems the alleged violation not to be a violation within that period. The bill would prohibit a disposing agency that has not cured or corrected any alleged violation from disposing of the parcel until the department determines that the disposing agency has complied with existing law or deems the alleged violation not to be a violation.This bill would require a local agency disposing of a parcel, if it has received a notification from the department that the local agency is in violation of existing law with regard to the parcel, to hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. The bill would require the local agencys governing body to provide prescribed notice prior to the session, no later than 14 days prior to the public session. The bill would prohibit the local agencys governing body from taking final action to ratify or approve the proposed disposal until a public session is held as required by this section.The California Constitution requires local agencies, for the purpose of ensuring public access to the meetings of public bodies and the writings of public officials and agencies, to comply with a statutory enactment that amends or enacts laws relating to public records or open meetings and contains findings demonstrating that the enactment furthers the constitutional requirements relating to this purpose.This bill would make legislative findings to that effect.By imposing new duties on local agencies, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Existing law, the Uniform Electronic Transactions Act, applies to electronic records and electronic signatures of a transaction, and generally prohibits a record or signature from being denied legal effect or enforceability solely because it is in electronic form or a contract being denied legal effect or enforceability solely because an electronic record was used in its formation. Existing law exempts certain transactions from that act, including conditional sale or lease contracts for motor vehicles.This bill would delete those exemptions, thereby making the provisions of the act applicable to conditional sale or lease contracts for motor vehicles.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 54230.5 of the Government Code, as amended by Section 203 of Chapter 615 of the Statutes of 2021, is amended to read:54230.5.(a)(1)A local agency that disposes of land in violation of this article after receiving a notification from the Department of Housing and Community Development pursuant to subdivision (b) that the local agency is in violation of this article shall be liable for a penalty of 30 percent of the final sale price of the land sold in violation of this article for a first violation and 50 percent for any subsequent violation. An entity identified in Section 54222 or a person who would have been eligible to apply for residency in any affordable housing developed or a housing organization as defined in Section 65589.5, or any beneficially interested person or entity may bring an action to enforce this section. A local agency shall have 60 days to cure or correct an alleged violation before an action may be brought to enforce this section, unless the local agency disposes of the land before curing or correcting the alleged violation, or the department deems the alleged violation not to be a violation in less than 60 days.(2)A penalty assessed pursuant to this subdivision shall, except as otherwise provided, be deposited into a local housing trust fund. The local agency may elect to instead deposit the penalty moneys into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund. Penalties shall not be paid out of funds already dedicated to affordable housing, including, but not limited to, Low and Moderate Income Housing Asset Funds, funds dedicated to housing for very low, low-, and moderate-income households, and federal HOME Investment Partnerships Program and Community Development Block Grant Program funds. The local agency shall commit and expend the penalty moneys deposited into the local housing trust fund within five years of deposit for the sole purpose of financing newly constructed housing units that are affordable to extremely low, very low, or low-income households.(3)Five years after deposit of the penalty moneys into the local housing trust fund, if the funds have not been expended, the funds shall revert to the state and be deposited in the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund for the sole purpose of financing newly constructed housing units located in the same jurisdiction as the surplus land and that are affordable to extremely low, very low, or low-income households. Expenditure of any penalty moneys deposited into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund pursuant to this subdivision shall be subject to appropriation by the Legislature. (b)54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.(2) The Department of Housing and Community Development shall do all of the following:(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.(B) Review information submitted pursuant to paragraph (1).(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:(i) Correct any issues identified by the Department of Housing and Community Development.(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.SEC. 2. Section 54230.8 is added to the Government Code, to read:54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.SEC. 3. The Legislature finds and declares that Section 2 of this act, which adds Section 54230.8 of the Government Code, furthers, within the meaning of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the purposes of that constitutional section as it relates to the right of public access to the meetings of local public bodies or the writings of local public officials and local agencies. Pursuant to paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the Legislature makes the following findings:This act is necessary to give the public adequate notice of and opportunity to comment in an open and public session on the proposed disposition and use of surplus public property by a local agency in cases where the local agency has not complied with the statutory requirements for the disposal of surplus land by a local agency in Article 8 (commencing with Section 54220) of Chapter 5 of Part 1 of Division 2 of Title 5 of the Government Code. SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district under this act would result from a legislative mandate that is within the scope of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution.However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.SECTION 1.Section 1633.3 of the Civil Code is amended to read:1633.3.(a)Except as otherwise provided in subdivisions (b) and (c), this title applies to electronic records and electronic signatures relating to a transaction.(b)This title does not apply to transactions subject to the following laws:(1)A law governing the creation and execution of wills, codicils, or testamentary trusts.(2)Division 1 (commencing with Section 1101) of the Uniform Commercial Code, except Sections 1206 and 1306.(3)Divisions 3 (commencing with Section 3101), 4 (commencing with Section 4101), 5 (commencing with Section 5101), 8 (commencing with Section 8101), 9 (commencing with Section 9101), and 11 (commencing with Section 11101) of the Uniform Commercial Code.(4)A law that requires that specifically identifiable text or disclosures in a record or a portion of a record be separately signed, including initialed, from the record. However, this paragraph does not apply to Section 1677 or 1678 of this code or Section 1298 of the Code of Civil Procedure.(c)This title does not apply to any specific transaction described in Section 17511.5 of the Business and Professions Code, Section 56.11, 56.17, 798.14, 1133, or 1134 of, Section 1689.6, 1689.7, or 1689.13 of, Chapter 2.5 (commencing with Section 1695) of Title 5 of Part 2 of Division 3 of, Section 1720, 1785.15, 1789.14, 1789.16, or 1793.23 of, Chapter 1 (commencing with Section 1801) of Title 2 of Part 4 of Division 3 of, Section 1861.24, 1862.5, 1917.712, 1917.713, 1950.6, 1983, 2924b, 2924c, 2924f, 2924i, 2924j, 2924.3, or 2937 of, Article 1.5 (commencing with Section 2945) of Chapter 2 of Title 14 of Part 4 of Division 3 of, Section 2954.5 or 2963 of, Section 3071.5 of Part 5 (commencing with Section 4000) of Division 4 of, or Part 5.3 (commencing with Section 6500) of Division 4 of this code, subdivision (b) of Section 18608 or Section 22328 of the Financial Code, Section 1358.15, 1365, 1368.01, 1368.1, 1371, or 18035.5 of the Health and Safety Code, Section 786 as it applies to individual and group disability policies, 10192.18, 10199.44, 10199.46, 10235.16, 10235.40, 11624.09, or 11624.1 of the Insurance Code, Section 779.1, 10010.1, or 16482 of the Public Utilities Code, or Section 9975 or 11738 of the Vehicle Code. An electronic record may not be substituted for any notice that is required to be sent pursuant to Section 1162 of the Code of Civil Procedure. Nothing in this subdivision shall be construed to prohibit the recordation of any document with a county recorder by electronic means.(d)This title applies to an electronic record or electronic signature otherwise excluded from the application of this title under subdivision (b) when used for a transaction subject to a law other than those specified in subdivision (b).(e)A transaction subject to this title is also subject to other applicable substantive law.(f)The exclusion of a transaction from the application of this title under subdivision (b) or (c) shall be construed only to exclude the transaction from the application of this title, but shall not be construed to prohibit the transaction from being conducted by electronic means if the transaction may be conducted by electronic means under any other applicable law.(g)Notwithstanding subdivisions (b) and (c), this title shall apply to electronic records and electronic signatures relating to transactions conducted by a person licensed, certified, or registered pursuant to the Alarm Company Act (Chapter 11.6 (commencing with Section 7590) of Division 3 of the Business and Professions Code) for purposes of activities authorized by Section 7599.54 of the Business and Professions Code.

 Amended IN  Assembly  June 06, 2022 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Senate Bill No. 361Introduced by Senator Umberg(Principal coauthor: Assembly Member Daly)February 10, 2021An act to amend Section 1633.3 of the Civil Code, relating to electronic transactions. An act to amend Section 54230.5 of, and to add Section 54230.8 to, the Government Code, relating to surplus land.LEGISLATIVE COUNSEL'S DIGESTSB 361, as amended, Umberg. Electronic transactions: motor vehicle finance. Surplus land.Existing law prescribes requirements for the disposal of land determined to be surplus land by a local agency. Those requirements include a requirement that a local agency, prior to disposing of a property or participating in negotiations to dispose of that property with a prospective transferee, send a written notice of availability of the property to specified entities, depending on the propertys intended use, and send specified information in regard to the disposal of the parcel of surplus land to the Department of Housing and Community Development. Existing law, among other enforcement provisions, makes a local agency that disposes of land in violation of these disposal provisions, after receiving notification of violation from the department, liable for a penalty of 30% of the final sale price of the land sold in violation for a first violation and 50% for any subsequent violation. Under existing law, except as specified, a local agency has 60 days to cure or correct an alleged violation before an enforcement action may be brought. Existing law provides for the deposit and use of penalty revenues for housing, as prescribed.This bill would delete the penalty provisions and, instead, require a disposing agency that has received a notification of violation to cure or correct the violation within 60 days, unless the department deems the alleged violation not to be a violation within that period. The bill would prohibit a disposing agency that has not cured or corrected any alleged violation from disposing of the parcel until the department determines that the disposing agency has complied with existing law or deems the alleged violation not to be a violation.This bill would require a local agency disposing of a parcel, if it has received a notification from the department that the local agency is in violation of existing law with regard to the parcel, to hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. The bill would require the local agencys governing body to provide prescribed notice prior to the session, no later than 14 days prior to the public session. The bill would prohibit the local agencys governing body from taking final action to ratify or approve the proposed disposal until a public session is held as required by this section.The California Constitution requires local agencies, for the purpose of ensuring public access to the meetings of public bodies and the writings of public officials and agencies, to comply with a statutory enactment that amends or enacts laws relating to public records or open meetings and contains findings demonstrating that the enactment furthers the constitutional requirements relating to this purpose.This bill would make legislative findings to that effect.By imposing new duties on local agencies, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Existing law, the Uniform Electronic Transactions Act, applies to electronic records and electronic signatures of a transaction, and generally prohibits a record or signature from being denied legal effect or enforceability solely because it is in electronic form or a contract being denied legal effect or enforceability solely because an electronic record was used in its formation. Existing law exempts certain transactions from that act, including conditional sale or lease contracts for motor vehicles.This bill would delete those exemptions, thereby making the provisions of the act applicable to conditional sale or lease contracts for motor vehicles.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NOYES 

 Amended IN  Assembly  June 06, 2022

Amended IN  Assembly  June 06, 2022

 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION

 Senate Bill 

No. 361

Introduced by Senator Umberg(Principal coauthor: Assembly Member Daly)February 10, 2021

Introduced by Senator Umberg(Principal coauthor: Assembly Member Daly)
February 10, 2021

An act to amend Section 1633.3 of the Civil Code, relating to electronic transactions. An act to amend Section 54230.5 of, and to add Section 54230.8 to, the Government Code, relating to surplus land.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 361, as amended, Umberg. Electronic transactions: motor vehicle finance. Surplus land.

Existing law prescribes requirements for the disposal of land determined to be surplus land by a local agency. Those requirements include a requirement that a local agency, prior to disposing of a property or participating in negotiations to dispose of that property with a prospective transferee, send a written notice of availability of the property to specified entities, depending on the propertys intended use, and send specified information in regard to the disposal of the parcel of surplus land to the Department of Housing and Community Development. Existing law, among other enforcement provisions, makes a local agency that disposes of land in violation of these disposal provisions, after receiving notification of violation from the department, liable for a penalty of 30% of the final sale price of the land sold in violation for a first violation and 50% for any subsequent violation. Under existing law, except as specified, a local agency has 60 days to cure or correct an alleged violation before an enforcement action may be brought. Existing law provides for the deposit and use of penalty revenues for housing, as prescribed.This bill would delete the penalty provisions and, instead, require a disposing agency that has received a notification of violation to cure or correct the violation within 60 days, unless the department deems the alleged violation not to be a violation within that period. The bill would prohibit a disposing agency that has not cured or corrected any alleged violation from disposing of the parcel until the department determines that the disposing agency has complied with existing law or deems the alleged violation not to be a violation.This bill would require a local agency disposing of a parcel, if it has received a notification from the department that the local agency is in violation of existing law with regard to the parcel, to hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. The bill would require the local agencys governing body to provide prescribed notice prior to the session, no later than 14 days prior to the public session. The bill would prohibit the local agencys governing body from taking final action to ratify or approve the proposed disposal until a public session is held as required by this section.The California Constitution requires local agencies, for the purpose of ensuring public access to the meetings of public bodies and the writings of public officials and agencies, to comply with a statutory enactment that amends or enacts laws relating to public records or open meetings and contains findings demonstrating that the enactment furthers the constitutional requirements relating to this purpose.This bill would make legislative findings to that effect.By imposing new duties on local agencies, the bill would impose a state-mandated local program.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.Existing law, the Uniform Electronic Transactions Act, applies to electronic records and electronic signatures of a transaction, and generally prohibits a record or signature from being denied legal effect or enforceability solely because it is in electronic form or a contract being denied legal effect or enforceability solely because an electronic record was used in its formation. Existing law exempts certain transactions from that act, including conditional sale or lease contracts for motor vehicles.This bill would delete those exemptions, thereby making the provisions of the act applicable to conditional sale or lease contracts for motor vehicles.

Existing law prescribes requirements for the disposal of land determined to be surplus land by a local agency. Those requirements include a requirement that a local agency, prior to disposing of a property or participating in negotiations to dispose of that property with a prospective transferee, send a written notice of availability of the property to specified entities, depending on the propertys intended use, and send specified information in regard to the disposal of the parcel of surplus land to the Department of Housing and Community Development. Existing law, among other enforcement provisions, makes a local agency that disposes of land in violation of these disposal provisions, after receiving notification of violation from the department, liable for a penalty of 30% of the final sale price of the land sold in violation for a first violation and 50% for any subsequent violation. Under existing law, except as specified, a local agency has 60 days to cure or correct an alleged violation before an enforcement action may be brought. Existing law provides for the deposit and use of penalty revenues for housing, as prescribed.

This bill would delete the penalty provisions and, instead, require a disposing agency that has received a notification of violation to cure or correct the violation within 60 days, unless the department deems the alleged violation not to be a violation within that period. The bill would prohibit a disposing agency that has not cured or corrected any alleged violation from disposing of the parcel until the department determines that the disposing agency has complied with existing law or deems the alleged violation not to be a violation.

This bill would require a local agency disposing of a parcel, if it has received a notification from the department that the local agency is in violation of existing law with regard to the parcel, to hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. The bill would require the local agencys governing body to provide prescribed notice prior to the session, no later than 14 days prior to the public session. The bill would prohibit the local agencys governing body from taking final action to ratify or approve the proposed disposal until a public session is held as required by this section.

The California Constitution requires local agencies, for the purpose of ensuring public access to the meetings of public bodies and the writings of public officials and agencies, to comply with a statutory enactment that amends or enacts laws relating to public records or open meetings and contains findings demonstrating that the enactment furthers the constitutional requirements relating to this purpose.

This bill would make legislative findings to that effect.

By imposing new duties on local agencies, the bill would impose a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.

With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Existing law, the Uniform Electronic Transactions Act, applies to electronic records and electronic signatures of a transaction, and generally prohibits a record or signature from being denied legal effect or enforceability solely because it is in electronic form or a contract being denied legal effect or enforceability solely because an electronic record was used in its formation. Existing law exempts certain transactions from that act, including conditional sale or lease contracts for motor vehicles.



This bill would delete those exemptions, thereby making the provisions of the act applicable to conditional sale or lease contracts for motor vehicles.



## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 54230.5 of the Government Code, as amended by Section 203 of Chapter 615 of the Statutes of 2021, is amended to read:54230.5.(a)(1)A local agency that disposes of land in violation of this article after receiving a notification from the Department of Housing and Community Development pursuant to subdivision (b) that the local agency is in violation of this article shall be liable for a penalty of 30 percent of the final sale price of the land sold in violation of this article for a first violation and 50 percent for any subsequent violation. An entity identified in Section 54222 or a person who would have been eligible to apply for residency in any affordable housing developed or a housing organization as defined in Section 65589.5, or any beneficially interested person or entity may bring an action to enforce this section. A local agency shall have 60 days to cure or correct an alleged violation before an action may be brought to enforce this section, unless the local agency disposes of the land before curing or correcting the alleged violation, or the department deems the alleged violation not to be a violation in less than 60 days.(2)A penalty assessed pursuant to this subdivision shall, except as otherwise provided, be deposited into a local housing trust fund. The local agency may elect to instead deposit the penalty moneys into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund. Penalties shall not be paid out of funds already dedicated to affordable housing, including, but not limited to, Low and Moderate Income Housing Asset Funds, funds dedicated to housing for very low, low-, and moderate-income households, and federal HOME Investment Partnerships Program and Community Development Block Grant Program funds. The local agency shall commit and expend the penalty moneys deposited into the local housing trust fund within five years of deposit for the sole purpose of financing newly constructed housing units that are affordable to extremely low, very low, or low-income households.(3)Five years after deposit of the penalty moneys into the local housing trust fund, if the funds have not been expended, the funds shall revert to the state and be deposited in the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund for the sole purpose of financing newly constructed housing units located in the same jurisdiction as the surplus land and that are affordable to extremely low, very low, or low-income households. Expenditure of any penalty moneys deposited into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund pursuant to this subdivision shall be subject to appropriation by the Legislature. (b)54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.(2) The Department of Housing and Community Development shall do all of the following:(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.(B) Review information submitted pursuant to paragraph (1).(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:(i) Correct any issues identified by the Department of Housing and Community Development.(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.SEC. 2. Section 54230.8 is added to the Government Code, to read:54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.SEC. 3. The Legislature finds and declares that Section 2 of this act, which adds Section 54230.8 of the Government Code, furthers, within the meaning of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the purposes of that constitutional section as it relates to the right of public access to the meetings of local public bodies or the writings of local public officials and local agencies. Pursuant to paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the Legislature makes the following findings:This act is necessary to give the public adequate notice of and opportunity to comment in an open and public session on the proposed disposition and use of surplus public property by a local agency in cases where the local agency has not complied with the statutory requirements for the disposal of surplus land by a local agency in Article 8 (commencing with Section 54220) of Chapter 5 of Part 1 of Division 2 of Title 5 of the Government Code. SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district under this act would result from a legislative mandate that is within the scope of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution.However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.SECTION 1.Section 1633.3 of the Civil Code is amended to read:1633.3.(a)Except as otherwise provided in subdivisions (b) and (c), this title applies to electronic records and electronic signatures relating to a transaction.(b)This title does not apply to transactions subject to the following laws:(1)A law governing the creation and execution of wills, codicils, or testamentary trusts.(2)Division 1 (commencing with Section 1101) of the Uniform Commercial Code, except Sections 1206 and 1306.(3)Divisions 3 (commencing with Section 3101), 4 (commencing with Section 4101), 5 (commencing with Section 5101), 8 (commencing with Section 8101), 9 (commencing with Section 9101), and 11 (commencing with Section 11101) of the Uniform Commercial Code.(4)A law that requires that specifically identifiable text or disclosures in a record or a portion of a record be separately signed, including initialed, from the record. However, this paragraph does not apply to Section 1677 or 1678 of this code or Section 1298 of the Code of Civil Procedure.(c)This title does not apply to any specific transaction described in Section 17511.5 of the Business and Professions Code, Section 56.11, 56.17, 798.14, 1133, or 1134 of, Section 1689.6, 1689.7, or 1689.13 of, Chapter 2.5 (commencing with Section 1695) of Title 5 of Part 2 of Division 3 of, Section 1720, 1785.15, 1789.14, 1789.16, or 1793.23 of, Chapter 1 (commencing with Section 1801) of Title 2 of Part 4 of Division 3 of, Section 1861.24, 1862.5, 1917.712, 1917.713, 1950.6, 1983, 2924b, 2924c, 2924f, 2924i, 2924j, 2924.3, or 2937 of, Article 1.5 (commencing with Section 2945) of Chapter 2 of Title 14 of Part 4 of Division 3 of, Section 2954.5 or 2963 of, Section 3071.5 of Part 5 (commencing with Section 4000) of Division 4 of, or Part 5.3 (commencing with Section 6500) of Division 4 of this code, subdivision (b) of Section 18608 or Section 22328 of the Financial Code, Section 1358.15, 1365, 1368.01, 1368.1, 1371, or 18035.5 of the Health and Safety Code, Section 786 as it applies to individual and group disability policies, 10192.18, 10199.44, 10199.46, 10235.16, 10235.40, 11624.09, or 11624.1 of the Insurance Code, Section 779.1, 10010.1, or 16482 of the Public Utilities Code, or Section 9975 or 11738 of the Vehicle Code. An electronic record may not be substituted for any notice that is required to be sent pursuant to Section 1162 of the Code of Civil Procedure. Nothing in this subdivision shall be construed to prohibit the recordation of any document with a county recorder by electronic means.(d)This title applies to an electronic record or electronic signature otherwise excluded from the application of this title under subdivision (b) when used for a transaction subject to a law other than those specified in subdivision (b).(e)A transaction subject to this title is also subject to other applicable substantive law.(f)The exclusion of a transaction from the application of this title under subdivision (b) or (c) shall be construed only to exclude the transaction from the application of this title, but shall not be construed to prohibit the transaction from being conducted by electronic means if the transaction may be conducted by electronic means under any other applicable law.(g)Notwithstanding subdivisions (b) and (c), this title shall apply to electronic records and electronic signatures relating to transactions conducted by a person licensed, certified, or registered pursuant to the Alarm Company Act (Chapter 11.6 (commencing with Section 7590) of Division 3 of the Business and Professions Code) for purposes of activities authorized by Section 7599.54 of the Business and Professions Code.

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

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

SECTION 1. Section 54230.5 of the Government Code, as amended by Section 203 of Chapter 615 of the Statutes of 2021, is amended to read:54230.5.(a)(1)A local agency that disposes of land in violation of this article after receiving a notification from the Department of Housing and Community Development pursuant to subdivision (b) that the local agency is in violation of this article shall be liable for a penalty of 30 percent of the final sale price of the land sold in violation of this article for a first violation and 50 percent for any subsequent violation. An entity identified in Section 54222 or a person who would have been eligible to apply for residency in any affordable housing developed or a housing organization as defined in Section 65589.5, or any beneficially interested person or entity may bring an action to enforce this section. A local agency shall have 60 days to cure or correct an alleged violation before an action may be brought to enforce this section, unless the local agency disposes of the land before curing or correcting the alleged violation, or the department deems the alleged violation not to be a violation in less than 60 days.(2)A penalty assessed pursuant to this subdivision shall, except as otherwise provided, be deposited into a local housing trust fund. The local agency may elect to instead deposit the penalty moneys into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund. Penalties shall not be paid out of funds already dedicated to affordable housing, including, but not limited to, Low and Moderate Income Housing Asset Funds, funds dedicated to housing for very low, low-, and moderate-income households, and federal HOME Investment Partnerships Program and Community Development Block Grant Program funds. The local agency shall commit and expend the penalty moneys deposited into the local housing trust fund within five years of deposit for the sole purpose of financing newly constructed housing units that are affordable to extremely low, very low, or low-income households.(3)Five years after deposit of the penalty moneys into the local housing trust fund, if the funds have not been expended, the funds shall revert to the state and be deposited in the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund for the sole purpose of financing newly constructed housing units located in the same jurisdiction as the surplus land and that are affordable to extremely low, very low, or low-income households. Expenditure of any penalty moneys deposited into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund pursuant to this subdivision shall be subject to appropriation by the Legislature. (b)54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.(2) The Department of Housing and Community Development shall do all of the following:(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.(B) Review information submitted pursuant to paragraph (1).(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:(i) Correct any issues identified by the Department of Housing and Community Development.(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.

SECTION 1. Section 54230.5 of the Government Code, as amended by Section 203 of Chapter 615 of the Statutes of 2021, is amended to read:

### SECTION 1.

54230.5.(a)(1)A local agency that disposes of land in violation of this article after receiving a notification from the Department of Housing and Community Development pursuant to subdivision (b) that the local agency is in violation of this article shall be liable for a penalty of 30 percent of the final sale price of the land sold in violation of this article for a first violation and 50 percent for any subsequent violation. An entity identified in Section 54222 or a person who would have been eligible to apply for residency in any affordable housing developed or a housing organization as defined in Section 65589.5, or any beneficially interested person or entity may bring an action to enforce this section. A local agency shall have 60 days to cure or correct an alleged violation before an action may be brought to enforce this section, unless the local agency disposes of the land before curing or correcting the alleged violation, or the department deems the alleged violation not to be a violation in less than 60 days.(2)A penalty assessed pursuant to this subdivision shall, except as otherwise provided, be deposited into a local housing trust fund. The local agency may elect to instead deposit the penalty moneys into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund. Penalties shall not be paid out of funds already dedicated to affordable housing, including, but not limited to, Low and Moderate Income Housing Asset Funds, funds dedicated to housing for very low, low-, and moderate-income households, and federal HOME Investment Partnerships Program and Community Development Block Grant Program funds. The local agency shall commit and expend the penalty moneys deposited into the local housing trust fund within five years of deposit for the sole purpose of financing newly constructed housing units that are affordable to extremely low, very low, or low-income households.(3)Five years after deposit of the penalty moneys into the local housing trust fund, if the funds have not been expended, the funds shall revert to the state and be deposited in the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund for the sole purpose of financing newly constructed housing units located in the same jurisdiction as the surplus land and that are affordable to extremely low, very low, or low-income households. Expenditure of any penalty moneys deposited into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund pursuant to this subdivision shall be subject to appropriation by the Legislature. (b)54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.(2) The Department of Housing and Community Development shall do all of the following:(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.(B) Review information submitted pursuant to paragraph (1).(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:(i) Correct any issues identified by the Department of Housing and Community Development.(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.



(a)(1)A local agency that disposes of land in violation of this article after receiving a notification from the Department of Housing and Community Development pursuant to subdivision (b) that the local agency is in violation of this article shall be liable for a penalty of 30 percent of the final sale price of the land sold in violation of this article for a first violation and 50 percent for any subsequent violation. An entity identified in Section 54222 or a person who would have been eligible to apply for residency in any affordable housing developed or a housing organization as defined in Section 65589.5, or any beneficially interested person or entity may bring an action to enforce this section. A local agency shall have 60 days to cure or correct an alleged violation before an action may be brought to enforce this section, unless the local agency disposes of the land before curing or correcting the alleged violation, or the department deems the alleged violation not to be a violation in less than 60 days.



(2)A penalty assessed pursuant to this subdivision shall, except as otherwise provided, be deposited into a local housing trust fund. The local agency may elect to instead deposit the penalty moneys into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund. Penalties shall not be paid out of funds already dedicated to affordable housing, including, but not limited to, Low and Moderate Income Housing Asset Funds, funds dedicated to housing for very low, low-, and moderate-income households, and federal HOME Investment Partnerships Program and Community Development Block Grant Program funds. The local agency shall commit and expend the penalty moneys deposited into the local housing trust fund within five years of deposit for the sole purpose of financing newly constructed housing units that are affordable to extremely low, very low, or low-income households.



(3)Five years after deposit of the penalty moneys into the local housing trust fund, if the funds have not been expended, the funds shall revert to the state and be deposited in the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund for the sole purpose of financing newly constructed housing units located in the same jurisdiction as the surplus land and that are affordable to extremely low, very low, or low-income households. Expenditure of any penalty moneys deposited into the Building Homes and Jobs Trust Fund or the Housing Rehabilitation Loan Fund pursuant to this subdivision shall be subject to appropriation by the Legislature.



(b)



54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.(2) The Department of Housing and Community Development shall do all of the following:(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.(B) Review information submitted pursuant to paragraph (1).(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:(i) Correct any issues identified by the Department of Housing and Community Development.(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.

54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.(2) The Department of Housing and Community Development shall do all of the following:(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.(B) Review information submitted pursuant to paragraph (1).(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:(i) Correct any issues identified by the Department of Housing and Community Development.(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.



54230.5. (a) (1) Prior to agreeing to terms for the disposition of surplus land, a local agency shall provide to the Department of Housing and Community Development a description of the notices of availability sent, and negotiations conducted with any responding entities, in regard to the disposal of the parcel of surplus land and a copy of any restrictions to be recorded against the property pursuant to Section 54233 or 54233.5, whichever is applicable, in a form prescribed by the Department of Housing and Community Development. A local agency may submit this information after it has sent notices of availability required by Section 54222 and concluded negotiations with any responding agencies. A local agency shall not be liable for the penalty imposed by subject to subdivision (a) (b) if the Department of Housing and Community Development does not notify the agency that the agency is in violation of this article within 30 days of receiving the description.

(2) The Department of Housing and Community Development shall do all of the following:

(A) Make available educational resources and materials that inform each agency of its obligations under this article and that provide guidance on how to comply with its provisions.

(B) Review information submitted pursuant to paragraph (1).

(C) Submit written findings to the local agency within 30 days of receipt of the description required by paragraph (1) from the local agency if the proposed disposal of the land will violate this article.

(D) Review, adopt, amend, or repeal guidelines to establish uniform standards to implement this section. The guidelines adopted pursuant to this subdivision are not subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.

(E) Provide the local agency reasonable time, but not less than 60 days, to respond to the findings before taking any other action authorized by this section.

(3) (A) The local agency shall consider findings made by the Department of Housing and Community Development pursuant to subparagraph (B) of paragraph (2) and shall do one of the following:

(i) Correct any issues identified by the Department of Housing and Community Development.

(ii) Provide written findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings.

(B) If the local agency does not correct issues identified by the Department of Housing and Community Development, does not provide findings explaining the reason its process for disposing of surplus land complies with this article and addressing the Department of Housing and Community Developments findings, or if the Department of Housing and Community Development finds that the local agencys findings are deficient in addressing the issues identified by the Department of Housing and Community Development, the Department of Housing and Community Development shall notify the local agency, and may notify the Attorney General, that the local agency is in violation of this article.

(b) A disposing agency that has been notified by the Department of Housing and Community Development pursuant to subdivision (a) with regard to a parcel that the agency is in violation of this article, shall have 60 days from the date of receipt of the notification of violation to cure or correct an alleged violation, unless the department deems the alleged violation not to be a violation in less than 60 days. A disposing agency that has not cured or corrected any alleged violation within 60 days shall not dispose of the parcel until the department determines that the disposing agency has complied with this article or deems the alleged violation not to be a violation.

(c) The Department of Housing and Community Development shall implement the changes in this section made by the act adding this subdivision commencing on January 1, 2021.

(d) Notwithstanding subdivision (c), this section shall not be construed to limit any other remedies authorized under law to enforce this article including public records act requests pursuant to Division 10 (commencing with Section 7920.000) of Title 1.

SEC. 2. Section 54230.8 is added to the Government Code, to read:54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.

SEC. 2. Section 54230.8 is added to the Government Code, to read:

### SEC. 2.

54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.

54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.

54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.



54230.8. (a) If a local agency disposing of a parcel has received a notification from the Department of Housing and Community Development pursuant to Section 54230.5 that the local agency is in violation of this article with regard to the parcel, the local agencys governing body shall hold an open and public session to review and consider the proposed lease or sale and the substance of the notice of violation. In addition to any other applicable notice requirements, the local agencys governing body shall provide notice, in the manner prescribed by this section, prior to the session. The notice shall be disclosed on the local agencys internet website and in a conspicuous public place at the offices of the local agency no later than 14 days prior to the public session at which the proposed lease or sale and the notice of violation will be considered.

(b) The local agencys governing body shall not take final action to ratify or approve the proposed disposal until a public session is held as required by this section.

SEC. 3. The Legislature finds and declares that Section 2 of this act, which adds Section 54230.8 of the Government Code, furthers, within the meaning of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the purposes of that constitutional section as it relates to the right of public access to the meetings of local public bodies or the writings of local public officials and local agencies. Pursuant to paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the Legislature makes the following findings:This act is necessary to give the public adequate notice of and opportunity to comment in an open and public session on the proposed disposition and use of surplus public property by a local agency in cases where the local agency has not complied with the statutory requirements for the disposal of surplus land by a local agency in Article 8 (commencing with Section 54220) of Chapter 5 of Part 1 of Division 2 of Title 5 of the Government Code. 

SEC. 3. The Legislature finds and declares that Section 2 of this act, which adds Section 54230.8 of the Government Code, furthers, within the meaning of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the purposes of that constitutional section as it relates to the right of public access to the meetings of local public bodies or the writings of local public officials and local agencies. Pursuant to paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the Legislature makes the following findings:This act is necessary to give the public adequate notice of and opportunity to comment in an open and public session on the proposed disposition and use of surplus public property by a local agency in cases where the local agency has not complied with the statutory requirements for the disposal of surplus land by a local agency in Article 8 (commencing with Section 54220) of Chapter 5 of Part 1 of Division 2 of Title 5 of the Government Code. 

SEC. 3. The Legislature finds and declares that Section 2 of this act, which adds Section 54230.8 of the Government Code, furthers, within the meaning of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the purposes of that constitutional section as it relates to the right of public access to the meetings of local public bodies or the writings of local public officials and local agencies. Pursuant to paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution, the Legislature makes the following findings:

### SEC. 3.

This act is necessary to give the public adequate notice of and opportunity to comment in an open and public session on the proposed disposition and use of surplus public property by a local agency in cases where the local agency has not complied with the statutory requirements for the disposal of surplus land by a local agency in Article 8 (commencing with Section 54220) of Chapter 5 of Part 1 of Division 2 of Title 5 of the Government Code. 

SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district under this act would result from a legislative mandate that is within the scope of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution.However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district under this act would result from a legislative mandate that is within the scope of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution.However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.

SEC. 4. No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district under this act would result from a legislative mandate that is within the scope of paragraph (7) of subdivision (b) of Section 3 of Article I of the California Constitution.

### SEC. 4.

However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.





(a)Except as otherwise provided in subdivisions (b) and (c), this title applies to electronic records and electronic signatures relating to a transaction.



(b)This title does not apply to transactions subject to the following laws:



(1)A law governing the creation and execution of wills, codicils, or testamentary trusts.



(2)Division 1 (commencing with Section 1101) of the Uniform Commercial Code, except Sections 1206 and 1306.



(3)Divisions 3 (commencing with Section 3101), 4 (commencing with Section 4101), 5 (commencing with Section 5101), 8 (commencing with Section 8101), 9 (commencing with Section 9101), and 11 (commencing with Section 11101) of the Uniform Commercial Code.



(4)A law that requires that specifically identifiable text or disclosures in a record or a portion of a record be separately signed, including initialed, from the record. However, this paragraph does not apply to Section 1677 or 1678 of this code or Section 1298 of the Code of Civil Procedure.



(c)This title does not apply to any specific transaction described in Section 17511.5 of the Business and Professions Code, Section 56.11, 56.17, 798.14, 1133, or 1134 of, Section 1689.6, 1689.7, or 1689.13 of, Chapter 2.5 (commencing with Section 1695) of Title 5 of Part 2 of Division 3 of, Section 1720, 1785.15, 1789.14, 1789.16, or 1793.23 of, Chapter 1 (commencing with Section 1801) of Title 2 of Part 4 of Division 3 of, Section 1861.24, 1862.5, 1917.712, 1917.713, 1950.6, 1983, 2924b, 2924c, 2924f, 2924i, 2924j, 2924.3, or 2937 of, Article 1.5 (commencing with Section 2945) of Chapter 2 of Title 14 of Part 4 of Division 3 of, Section 2954.5 or 2963 of, Section 3071.5 of Part 5 (commencing with Section 4000) of Division 4 of, or Part 5.3 (commencing with Section 6500) of Division 4 of this code, subdivision (b) of Section 18608 or Section 22328 of the Financial Code, Section 1358.15, 1365, 1368.01, 1368.1, 1371, or 18035.5 of the Health and Safety Code, Section 786 as it applies to individual and group disability policies, 10192.18, 10199.44, 10199.46, 10235.16, 10235.40, 11624.09, or 11624.1 of the Insurance Code, Section 779.1, 10010.1, or 16482 of the Public Utilities Code, or Section 9975 or 11738 of the Vehicle Code. An electronic record may not be substituted for any notice that is required to be sent pursuant to Section 1162 of the Code of Civil Procedure. Nothing in this subdivision shall be construed to prohibit the recordation of any document with a county recorder by electronic means.



(d)This title applies to an electronic record or electronic signature otherwise excluded from the application of this title under subdivision (b) when used for a transaction subject to a law other than those specified in subdivision (b).



(e)A transaction subject to this title is also subject to other applicable substantive law.



(f)The exclusion of a transaction from the application of this title under subdivision (b) or (c) shall be construed only to exclude the transaction from the application of this title, but shall not be construed to prohibit the transaction from being conducted by electronic means if the transaction may be conducted by electronic means under any other applicable law.



(g)Notwithstanding subdivisions (b) and (c), this title shall apply to electronic records and electronic signatures relating to transactions conducted by a person licensed, certified, or registered pursuant to the Alarm Company Act (Chapter 11.6 (commencing with Section 7590) of Division 3 of the Business and Professions Code) for purposes of activities authorized by Section 7599.54 of the Business and Professions Code.