Amanda Susskind explains new library-withdrawal legislation

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RICHARDS, WATSON & GERSHON
ATTORNEYS AT LAW
A PROFESSIONAL CORPORATION
GLENN R. WATSON
ROBERT G.BEVERLY
GERSHON
DOUGLAS W. ARGUE
MALAMKEN
ANGLE SIMONI
ERWIN E. ADLER
PIEPER
ALLEN E
STEVEN L DORSEY
WILLIAM L STRAUSZ
ANTHONY B. DREWRY
MITCHELL E. ABBOTT
TIMOTHY L NEUFELD
GREGORY W. STEPANICICH
ROCHELLE BROWNE
MICHAPLJENKNG
WILLIAM B. RUDELL
QUINN M BARROW
CAROL W. LYNCH
HABIN
GREGORY M. KUNERT
THOMAS M. JIMBO
MICHELE BEAL BAGNERIS
AMANDA
SUSSKIND
ROBERT C
CECCON
SAYRE WEAVER
STEVEN. KAUFMANN
GARY E. GANS
JOHN J. HARRIS
KEVIN G. ENNIS
ROBIN D. HARRIS
MICHALES RADA
LAURENCE S. ? WIENER
STEVEN R. ORR
MICHAEL COLANTUONO
EDWARD DILKES
PETER M NORSON
DEBORAH R. HAKMAN
B. TILDEN KIM
RUBIN D WEINER
SASKIA ASAMURA
KAYSER O. SUME
SAULJAFFE
REBECCA MARIE MADRID
CRAIG A
PETER PIERCE
BENJAMIN BARNOUW
TERENGS R BOCA
DOUGLAS A. CARLEN
DANIEL
LISA BOND
DIANE ARKOW GROSS
ROYA CLARKE
ROXANNE M. DIAZ
September 19, 1996
RECEIVES
SEP 2 3 1996
CITY MGR. OFFIC
ICHARD RICHARD
(1916-1988)
THIRTY-EIGHTH FLOOR
333 SOUTH HOPE STREET
LOS ANGELES, CALIFORNIA 90071-1469
(213) 626-8484
FACSIMILE (213) 626-0078
OF COUNSEL
WILLIAM K KRAMER
0962213
OUR FILE NUMBER
10572-00025
Stephen R. Burrell
City Manager
City of Hermosa Beach
1315 Valley Dirve
Hermosa Beach, Calfiornia 90254-3685
Re: Library Legislation
Dear Stephen:
On September 14, 1996, Governor Wilson signed SB 1998
(Mountjoy). On September16, 1996, Governor Wilson signed
AB 1767 (Margett) which was a"trailer bill" to SB 1998.
Together, the result is a new law giving Los Angeles County
cities which desire to withdraw from the Los Angeles County Free
Library System the right to receive property taxes collected for
library purposes. The new law also sets forth a procedure for
transfer of library assets (including land, facilities, books and
computer systems) upon withdrawal. Assets originally donated by
the withdrawing city to the County must be transferred at no
Other assets must be transferred (at the withdrawing
city's option) at fair market value.
Some additional features bear mention:
Why is this necessary?
? The new law requires taxes to be transferred without
further approval of the County. and the County to negotiate a property tax transfer, which gave the County virtual veto power. The County Library System staff Bon The county Previous law required the city
indicated previously that they were not willing to transfer any
tax revenues upon withdrawal. This was a large part of the
impetus for the legislative efforts.
? The new law requires the County to abide by a process
for determining fair market value. Value is set by the city's

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HARDS, WATSON & GERSHON
Stephen R. Burrell
September 19, 1996
Page 2
appraiser if the County does not cooperate within a specified
time frame. Previously, the negotiation of price could delay an asset transfer indefinitely.
? The new law ensures that no- and low-tax cities wishing
to withdraw actually experience an increase in the amount of
taxes transferred. Current law is ambiguous whether such
transfers would be shifted from other available tax revenues.
When is it effective?
The withdrawing city must notify the County of its
desire to withdraw by December 2 preceding the July 1 on which
the withdrawal occurs. The law is not in effect until January 1,
1997, and not operative until July 1, 1997, so the first December
2 deadline will be December 2, 1997, and the first withdrawal
date will be July 2, 1998.
What about regional services?
? The new law gives the County the option to require a
city withdrawing with a regional facility to provide services to
immediately surrounding cities and unincorporated areas within
the city's sphere of influence. However, if the County exercises
this option, it must transfer the property taxes collected for
library purposes in the surrounding areas as well as those
collected in the withdrawing city.
? Nothing prohibits groups of adjacent cities and
unincorporated areas from joining forces to withdraw as a region.
? A collection of books that is "unique in and integral
to" the County system will not be transferred to a withdrawing
city simply by virtue of the collection being in the library in
that city, unless the city and County reach an agreement as to
the management of the collections.
How did this pass?
The City of Claremont initiated the process by asking
Senator Mountjoy to author a bill. A number of cities expressed
interest in supporting the measure and the Los Angeles division
of the League of California Cities formed a Library Technical
Advisory Committee (TAC) . This firm was hired to draft the bill
and provide technical advice on the language and strategy for
passage.We also drafted each amendment as well as the trailer
bill. The TAC approached the League in Sacramento for support
and sponsorship and, with the assistance of Yvonne Hunter as the
League's lobbyist in Sacramento and Bob Levy as Claremont's
lobbyist, the TAC made numerous contacts with the legislators,

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HARDS, WATSON & GERSHON
stephen R. Burrell
September 19, 1996
Page 3
especially those on the key committees. The bill passed the Senate despite the County, SAC and union opposition. However,
in the Assembly Local Government Committee, amendments were requested relating to the transfer of assets. the vehicle of a trailer bill rather than amendments in order to ?? ?? ???? ?? The Senator chose
avoid having to go back to the Senate on the original bill.
? In the final days of the legislative session, the County offered to withdraw opposition in exchange for several amendments to the bill. No amendments were taken. Instead, a
few of the requested changes relating only to thetransfer of
assets were inserted in the trailer bill and County (and SAC)
neutrality was won.Union opposition was also withdrawn
following extensive efforts by the Senator.
What effect will this have on negotiations?
? The County now realizes that cities may withdraw and
take tax revenues with them. We have already seen a significant
shift in the County Library System staff's attitude towards
shared governance and control. In addition, representatives in
the Supervisors' offices and the Office of the Chief
Administrative Officer have been supportive of city involvement
in provision of library services.
? Many cities in other counties have not experienced the same issues with control and shared governance as we have here in
Los Angeles. However, we understand that legislation to make the
new law apply statewide is being considered for next year.
Please let me know if you have any questions.
Very truly yours,
Amanda F. Susskind
AFS: 1r
CC: Michael Jenkins
0962213
we did it!