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California Attorney General Revisits Real Estate Negotiations Exception To The Brown Act

BB&K In The News

BB&K Attorneys Grover Trask and Sonia Carvalho Explain What the AG's Opinion Means

MAY 8, 2012
California Special District magazine

By Sonia R. Carvalho and Grover Trask

California’s open meeting law, the Ralph M. Brown Act, is well known by all who serve in elected or appointed local government positions. Hardly a day goes by when such officials are not reminded by public agency staff, members of the public or news reports of the significance of this law and its impact on the public’s business.

What public officials may not know but need to understand is that the Brown Act is constantly interpreted and its public purpose application evolves with each new court decision and opinion issued by the California Attorney General. This means public officials and their staff must be ever diligent in how their public agency meetings are conducted to ensure compliance with the law and avoidance of citizen complaints and district attorney inquiries. This is particularly true when it comes to the closed session provisions of the Brown Act, which are strictly construed by the Attorney General and the courts.

This is most evident by the Dec. 27, 2011 opinion issued by the California Attorney General describing the only three topics that may be discussed under the real estate negotiations exception to the Brown Act once the negotiator is given the authority. They are: 1) the amount of consideration the local agency is willing to pay or accept in exchange for the real property; 2) the form, manner and timing of how that consideration will be paid; and 3) items that are essential to arriving at the authorized price and payment terms.

This opinion evolved out of a 2002 California Court of Appeal decision in Shapiro v. San Diego City Council, which outlined real estate discussion topics that were clearly outside the public policy purpose of the closed session and in violation of the Brown Act. Based upon perceived abuse and misinterpretation of what can and cannot be discussed in a real property closed session meeting, the Attorney General attempted to paint a clearer picture of what is now permissible.

Click here to read the entire article, which was published in California Special District magazine.

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