Best Best & Krieger News Feed

Ensuring the Financial Health of Your Utility After California's Historic Drought

12 Jan 2017 00:00:00 -0800

As agencies recover from a period of reduced water sales revenues as a result of California's historic drought, several questions remain as to what to expect going forward.

RFC is offering this workshop to help California utilities learn how to develop sustainable financial plans and prepare for California's next drought. Come learn from industry experts:

How to generate sufficient revenue with uncertain sales projections.
A step-by-step approach to developing defensible, cost of service-based rates.
How to be financially prepared for California's next drought.

This session will feature BB&K Partner Kelly Salt, one of California's most well-known authorities on ratemaking law. Kelly works with public agencies on bond and municipal finance matters, rate setting and compliance with Propositions 218 and 26, and drought management and water conservation programs.

REGISTRATION
$40 early-bird, $50 general admission (early-bird ends October 28).

Click Here to Register
Date: Thursday, Jan. 12
Time: 9:30 a.m. - 3:30 p.m.
Location: East Bay Municipal Utility District, 375 11th Street, Oakland, CA 94607
Room: Large Training Room
This session is limited to the first 35 registrants. Ticket sales will end Thursday, Jan. 5.

2016 Municipal Finance Institute

30 Nov 2016 00:00:00 -0800

Join Best Best & Krieger LLP at the League of California Cities 2016 Municipal Finance Institute in Monterey, Calif.

BB&K Speakers:

William Priest and Sigrid Asmundson
“Show Me the Money! – Enhanced Revenue Options for Cities”
Various revenue enhancement options available to cities will be addressed. Hear a discussion of the legal procedures for adopting new or increased general and special taxes, special benefit property assessments and fees under applicable law (such as Proposition 218 and AB 1600). Current issues surrounding certain revenue sources, such as transient occupancy/hotel and utility user’s taxes in the “Internet world,” as well as recent decisions concerning water, sewer and other utility rates will be covered. Additionally, learn about the rules governing permissible versus impermissible use of public funds to inform the public and encourage voter participation.
Wednesday, Nov. 30
10:30 - 11:15 a.m.

When
Wednesday, Nov. 30 - Thursday, Dec. 1

Where
Monterey Marriott
350 Calle Principal
Monterey, CA 93940

For more information and to register, click here.

Drought Policies, Price of Water Lands in Court

17 Nov 2016 00:00:00 -0800

A group of Hillsborough residents is suing the town over water rate hikes during the drought. Best Best & Krieger LLP attorney Kimberley Hood, representing the town, told the San Mateo Daily Journal: “I think agencies are trying to do the best they can to recoup their costs of service while complying with Prop. 218 and also trying to deal with an unprecedented period of drought.”

“The goal is just to make sure that you’re covering your cost of service and it’s always been clear since Prop. 218 that you can’t be making a profit,” she said. “But the courts have allowed some flexibility in how they [cover costs].”

Click here to read the entire article, which originally appeared in the San Mateo Daily Journal on Nov. 16, 2016.

Intro Property Assessed Clean Energy (PACE) Finance Course

02 Nov 2016 00:00:00 -0800

Best Best & Krieger LLP Of Counsel Mrunal Shah will speak on "PACE Financing Options" at the Council of Development Finance Agencies' Intro Property Assessed Clean Energy (PACE) Finance Course.

There are a number of capitalization options for the initial investments into a PACE district, including bonds, grants, loans, and more. This session will explore the many starting funds that can be used, as well as focusing on the process of issuing PACE bonds.

When
Wednesday, Nov. 2
11 a.m. - Noon

Where
Astor Crowne Plaza - New Orleans French Quarter
739 Canal St.
New Orleans, LA 70130

For more information or to register, click here.

Ensuring the Financial Health of Your Utility After California's Historic Drought

06 Oct 2016 00:00:00 -0800

As agencies recover from a period of reduced water sales revenues as a result of California's historic drought, several questions remain as to what to expect going forward.

RFC is offering workshops to help California utilities learn how to develop sustainable financial plans and prepare for California's next drought. Come learn from industry experts:

How to generate sufficient revenue with uncertain sales projections.
A step-by-step approach to developing defensible, cost of service-based rates.
How to be financially prepared for California's next drought.

These sessions will feature BB&K Partner Kelly Salt, one of California's most well-known authorities on ratemaking law. Kelly works with public agencies on bond and municipal finance matters, rate setting and compliance with Propositions 218 and 26, and drought management and water conservation programs.

REGISTRATION
$40 early-bird, $50 general admission (early-bird ends September 23 for San Diego, and October 28 for Oakland).
Attendees can choose to attend one of the following sessions being offered. Please select the appropriate location/date below to register.

Click Here to Register for San Diego Workshop
Date: Thursday, Oct. 6
Time: 9:30 a.m. - 3:30 p.m.
Location: Vallecitos Water District, 201 Vallecitos de Oro, San Marcos, CA 92069
Room: Training Room
This session is limited to the first 30 registrants. Ticket sales will end Monday, Oct. 3.

Click Here to Register for Oakland Workshop
Date: Thursday, Jan. 12
Time: 9:30 a.m. - 3:30 p.m.
Location: East Bay Municipal Utility District, 375 11th Street, Oakland, CA 94607
Room: Large Training Room
This session is limited to the first 35 registrants. Ticket sales will end Thursday, Jan. 5.

Ensuring the Financial Health of Your Utility After California's Historic Drought

05 Oct 2016 00:00:00 -0800

As agencies recover from a period of reduced water sales revenues as a result of California's historic drought, several questions remain as to what to expect going forward.

RFC is offering three workshops to help California utilities learn how to develop sustainable financial plans and prepare for California's next drought. Come learn from industry experts:

How to generate sufficient revenue with uncertain sales projections.
A step-by-step approach to developing defensible, cost of service-based rates.
How to be financially prepared for California's next drought.

The San Diego and Oakland sessions will feature BB&K Partner Kelly Salt, one of California's most well-known authorities on ratemaking law. Kelly works with public agencies on bond and municipal finance matters, rate setting and compliance with Propositions 218 and 26, and drought management and water conservation programs.

REGISTRATION
$40 early-bird, $50 general admission (early-bird ends September 23 for Los Angeles and San Diego, and October 28 for Oakland).
Attendees can choose to attend one of the three sessions being offered. Please select the appropriate location/date below to register.

Click Here to Register for Los Angeles Workshop
Date: Wednesday, Oct. 5
Time: 9:30 a.m. - 3:30 p.m.
Location: Union Bank Plaza, 445 S. Figueroa Street, Los Angeles, CA 90071
Room: Coral Tree Pavilion
This session is limited to the first 25 registrants. Ticket sales will end Monday, Oct. 3.

Click Here to Register for San Diego Workshop
Date: Thursday, Oct. 6
Time: 9:30 a.m. - 3:30 p.m.
Location: Vallecitos Water District, 201 Vallecitos de Oro, San Marcos, CA 92069
Room: Training Room
This session is limited to the first 30 registrants. Ticket sales will end Monday, Oct. 3.

Click Here to Register for Oakland Workshop
Date: Thursday, Jan. 12
Time: 9:30 a.m. - 3:30 p.m.
Location: East Bay Municipal Utility District, 375 11th Street, Oakland, CA 94607
Room: Large Training Room
This session is limited to the first 35 registrants. Ticket sales will end Thursday, Jan. 5.

New Legislation Impacts Special Parcel Taxes, Community Facilities Districts, and Notices for Property-Related Fees

22 Sep 2016 00:00:00 -0800

Three new laws require local agencies to comply with new notice requirements for special parcel taxes, publication of annual reports on community facilities district special taxes, and retention of any written protests to any new or increase in any existing property-related fee or charge. The new laws are contained in Assembly Bills 2476, 1666 and 2801. Public agencies are required to comply with these new requirements beginning Jan. 1.

Assembly Bill 2476

AB 2476 adds section 54930 to the Government Code and requires a local agency to provide notice of a new parcel tax to an owner of a parcel affected by the new tax if that owner does not reside within the jurisdictional boundaries of the taxing entity. The notice must contain certain information, including: 1.) the amount or rate of the parcel tax in sufficient detail to allow the property owner to calculate the amount of the tax to be levied against the owner’s property; 2.) the method and frequency for collecting the tax; and 3.) the telephone number and address of an individual, office or organization that interested persons may contact to receive additional information. The form of the notice is included in the legislation. A copy of the bill may be obtained by clicking here.

Assembly Bill 1666

The Mello-Roos Community Facilities Act of 1982 authorizes the formation of a community facilities district to finance various facilities and services. The Act requires a community facilities district formed after Jan. 1, 1992 to prepare an “Annual Report,” if requested by a person who resides or owns property in a CFD, and within 120 days after the last day of each fiscal year. The report contains information regarding the activities and finances of the CFD. The Act also requires local agencies to report information regarding the sale of bonds to the California Debt and Investment Advisory Commission. Other existing law requires each county, city and special district that assesses a parcel tax to provide specific information to the State Controller in connection with reports compiled and published by the Controller on the financial transactions of those entities.

AB 1666 adds section 53343.2 to the Government Code and requires local agencies that have a website to prominently display on the website a copy of the annual report, if requested, a copy of the bond sale report to CDIAC and a copy of the report to the State Controller within seven months after the last day of each fiscal year of the CFD.Local agencies that impose CFD special taxes should consider amending their reporting procedures to reflect this new change in the law. A copy of the bill may be obtained by clicking here.

Assembly Bill 2801

California Constitution article XIII D, section 6 (commonly referred to as Proposition 218) generally requires that any local agency proposing to impose a new or increase an existing property-related fee must provide written notice by mail to the record owner of each parcel upon which the fee will be imposed and hold a public hearing not less than 45 days after the mailing of the notice. If a majority of property owners send written protests to the new fee or increase, the fee may not be imposed. The Proposition 218 Omnibus Implementation Act (Government Code section 53750, et seq.) prescribes certain procedures and parameters for local jurisdictions to comply with article XIII D, including that one written protest per parcel, filed by an owner or tenant of the parcel, is counted in calculating a majority protest to a proposed new or increased property-related fee. AB 2801 amends Government Code section 53755 and requires that any written protests submitted to a local agency be retained by the local agency for a minimum period of two years following the date of the public hearing. Local agencies that impose property-related fees should consider amending their records retention schedules to reflect this new requirement. A copy of the bill may be obtained by clicking here.

If you have any questions about this legislation or how it may impact your agency, please contact the attorney author of this Legal Alert listed to the right in the firm’s Public Finance practice group, or your BB&K attorney.

Please feel free to share this Legal Alert or subscribe by clicking here. Follow us on Twitter @BBKlaw.

Disclaimer: BB&K legal alerts are not intended as legal advice. Additional facts or future developments may affect subjects contained herein. Seek the advice of an attorney before acting or relying upon any information in this communiqué.

Cities Mull Means to Smoke Out Tax Revenue from Recreational Weed

12 Sep 2016 00:00:00 -0800

As cities across California prepare for the legalization of recreational marijuana use with the likely passage of Proposition 64 in November, Best Best & Krieger LLP Partner Jeffrey Dunn discussed cities’ options with the Los Angeles Business Journal.

“We’re seeing much more interest from cities in revenue generation,” Jeffrey said.

Cities must also prepare now for the law taking full effect in January 2018, Jeffrey told the newspaper. “Cities got caught off-guard when medical marijuana dispensaries suddenly exploded here in Southern California,” he said. “Many received complaints from citizens and other businesses about the dispensaries suddenly appearing, and they reacted reflexively with moratoria and bans.”

To read the full article, originally published in the Sept. 12, 2016 Los Angeles Business Journal, click here (subscription required).

Bill Addresses Excessive Water Use by Some California Urban Retail Water Purveyors

12 Sep 2016 00:00:00 -0800

A new law signed by Gov. Jerry Brown requires that, when specified water shortage conditions are met, public and private urban retail water suppliers must establish a method to identify and discourage excessive water use by residential metered water customers. (This applies to water suppliers that provide potable municipal water to more than 3,000 end users, or more than 3,000 acre-feet of potable water annually.) Under Senate Bill 814, signed Aug. 29, the authorized methods for discouraging excessive water use include tiered block water rates, budget-based tiered water rates, and fines and penalties.

For any public urban retail water supplier, the adoption of any such tiered block or budget-based tiered water rates, however, must still comply with the procedural and substantive requirements of California Constitution article XIII D, section 6 (commonly referred to as Proposition 218) governing property-related water service fees and charges.

SB 814 requires retail urban water suppliers to put in place rules that define “excessive water use” and impose them during the following prescribed water shortage periods:

during any period in which the Governor has issued an emergency proclamation based on statewide drought conditions to an urban retail water supplier that has moved into a water conservation stage of action requiring mandatory water use restrictions pursuant to its water shortage contingency plan;
during any period in which an urban retail water supplier has moved into a water conservation stage of action in response to a local water supply shortage requiring mandatory water use restrictions pursuant to its water shortage contingency plan; and
during any period in which the Governor has issued an emergency proclamation based on local drought conditions and an urban retail water supplier is affected.

During these periods, urban retail water suppliers have two choices for addressing excessive water use by metered residential customers: 1.) they may impose tiered block water rates, budget-based tiered water rates, or rate surcharges, 2.) they may adopt an excessive water use ordinance, rule or tariff condition, and impose fines and penalties for violations. Under the second choice, a violation of an excessive water use ordinance, rule or tariff condition shall be subject to an infraction or a civil administrative fine or penalty. The penalty for a violation may include, but is not limited to, a fine of up to $500 for each 100 cubic feet of water used above the excessive water use threshold established by the urban retail water supplier in a billing cycle. Additionally, the penalty may be added to a customer’s water bill.

These requirements do not apply to an urban retail water supplier that is not fully metered. But such retail suppliers are required to have in place an ordinance, resolution, rule or tariff condition that imposes penalties for prohibited uses of water.

California remains in a drought emergency that Brown declared in January 2014.

In response to that drought emergency, from June 2015 to May of this year, the State imposed mandatory water conservation targets on cities and water districts, with potential fines for agencies that failed to meet them. In June, the California State Water Resources Control Board lifted those and instead allowed local agencies to set their own targets. The mandatory use targets, however, could be brought back starting in January 2017 if statewide conservation levels fail and rains do not materialize this upcoming winter to replenish water supplies. In that event, these new rules would impact retail urban water suppliers.

Please feel free to share this Legal Alert or subscribe by clicking here. Follow us on Twitter @BBKlaw.

Groundwater Law Conference

26 Apr 2016 00:00:00 -0800

Join Best Best & Krieger LLP at the American Groundwater Trust's conference "Groundwater Law Conference." The event, co-sponsored by BB&K, will provide perspectives from top legal and technical professionals about effective ways to approach and resolve some of the most current and critical groundwater resources and groundwater quality issues being faced in California.

BB&K Speakers

Eric Garner, moderator, and Joseph Byrne, panelist: “State Groundwater Management Act and the Changing Course of California Groundwater Management”
Tuesday, April 26
8:45 - 10:15 a.m.

Steve Anderson: “Competing Groundwater Sustainability Agencies”
Tuesday, April 26
10:30 a.m. - Noon

Harriet Steiner: “Who Pays and How?”
Tuesday, April 26
10:30 a.m. - Noon

Roderick Walston: "Do Federally Reserved Water Rights Apply to Groundwater?”
Tuesday, April 26
1 - 2:30 p.m.

When
Tuesday, April 26
8:30 a.m. - 6 p.m.

Where
Loyola Law School
Merrifield Hall
919 Albany St.
Los Angeles, CA 90015

For more information or to register, click here.