2005 California Government Code Sections 56100-56133 CHAPTER 3. INTRODUCTORY AND GENERAL PROVISIONS

56100. Except as otherwise provided in paragraph (2) of subdivision
(b) of Section 56036, paragraph (2) of subdivision (c) of Section
56036, and Section 56101, this division provides the sole and
exclusive authority and procedure for the initiation, conduct, and
completion of changes of organization and reorganization for cities
and districts.  All changes of organization and reorganizations shall
be initiated, conducted, and completed in accordance with, and as
provided in, this division.
   Notwithstanding any other provision of law, proceedings for the
formation of a district shall be conducted as authorized by the
principal act of the district proposed to be formed, except that the
commission shall serve as the conducting authority and the procedural
requirements of this division shall apply and shall prevail in the
event of conflict with the procedural requirements of the principal
act of the district.  In the event of such a conflict, the commission
shall specify the procedural requirements that apply, consistent
with the requirements of this section.
56100.1.  A commission may require, through the adoption of written
policies and procedures, the disclosure of contributions, as defined
in Section 82015, expenditures, as defined in Section 82025, and
independent expenditures, as defined in Section 82031, made in
support of or opposition to a proposal.  Disclosure shall be made
either to the commission's executive officer, in which case it shall
be posted on the commission's website, if applicable, or to the board
of supervisors of the county in which the commission is located,
which may designate a county officer to receive the disclosure.
Disclosure pursuant to a requirement under the authority provided in
this section shall be in addition to any disclosure required by Title
9 (commencing with Section 81000) or by local ordinance.
56101.  This division does not apply to any proceeding for a change
of organization or reorganization for which the application shall
have been accepted for filing by the executive officer pursuant to
Section 56658 prior to January 1, 2001.  These pending proceedings
may be continued and completed under, and in accordance with, the
provisions of law under which the proceedings were commenced.  The
repeals, amendments, and additions made by the act enacting this
division shall not apply to any of those pending proceedings, and,
the laws existing prior to January 1, 2001, shall continue in full
force and effect, as applied to those pending proceedings.
56102.  For the purpose of any action to determine or contest the
validity of any change of organization or reorganization, the change
of organization or reorganization shall be deemed to be completed and
in existence upon the date of execution of the certificate of
completion.
56103.  An action to determine the validity of any change of
organization, reorganization, or sphere of influence determination
completed pursuant to this division shall be brought pursuant to
Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the
Code of Civil Procedure.
56104.  If any provision of this division or the application of any
provision of this division in any circumstance or to any person,
city, county, district, the state, or any agency or subdivision of
the state is held invalid, that invalidity shall not affect other
provisions or applications of this division which can be given effect
without the invalid provision or application of the invalid
provision, and to this end the provisions of this division are
severable.
56105.  Any protest or objection pertaining to the regularity or
sufficiency of any proceedings or commission proceedings shall be in
writing, clearly specify the defect, error, irregularity, or omission
to which protest or objection is made and shall be filed within the
time and in the manner provided by this division.  Any protest or
objection pertaining to any of these matters which is not so made and
filed is deemed voluntarily waived.
56106.  Any provisions in this division governing the time within
which an official or the commission is to act shall in all instances,
except for notice requirements and the requirements of subdivision
(i) of Section 56658, be deemed directory, rather than mandatory.
56107.  (a) This division shall be liberally construed to effectuate
its purposes.  No change of organization or reorganization ordered
under this division and no resolution adopted by the commission
making determinations upon a proposal shall be invalidated because of
any defect, error, irregularity, or omission in any act,
determination, or procedure which does not adversely and
substantially affect the rights of any person, city, county,
district, the state, or any agency or subdivision of the state.
   (b) All determinations made by a commission under, and pursuant
to, this division shall be final and conclusive in the absence of
fraud or prejudicial abuse of discretion.
   (c) In any action or proceeding to attack, review, set aside,
void, or annul a determination by a commission on grounds of
noncompliance with this division, any inquiry shall extend only to
whether there was fraud or a prejudicial abuse of discretion.
Prejudicial abuse of discretion is established if the court finds
that the determination or decision is not supported by substantial
evidence in light of the whole record.
56116.  The Legislature declares that the doctrine of automatic
merger of a district with a city or the merger by operation of law of
a district with a city has no further force or effect.  The
existence of a district shall not be extinguished or terminated as a
result of the entire territory of that district being heretofore or
hereafter included within a city unless that district is merged with
the city as a result of proceedings taken pursuant to this division.
56117.  A district of limited powers may be either merged with, or
established as, a subsidiary district of a city in the manner
provided in this division.
   A mutual service agreement between a city and a district of
limited powers may provide that the city shall not, while that
agreement is in effect, or during any portion of the agreement's
effective duration as the city and the district may stipulate in the
agreement, initiate a proposal to establish the district as a
subsidiary district of the city.
56118.  Except for a proposal for the merger of a then existing
subsidiary district, any proposal for a merger or establishment of a
subsidiary district authorized by this division shall contain a
request in the alternative, requesting either a merger or the
establishment of a subsidiary district, as may be determined during
the course of the proceedings.  Any proposal requesting only merger
shall be deemed to also include a request for the establishment of a
subsidiary district and any proposal requesting only the
establishment of a subsidiary district shall be deemed to also
include a request for merger.
56119.  It is not necessary for the principal act of any district to
adopt or incorporate this division by reference and any change of
organization or reorganization provided for by this division may be
made by, or with respect to, any district.  Except as otherwise
provided in this division, in any change of organization or
reorganization the principal act shall govern as to any provisions in
the principal act pertaining to boundaries, to contiguity or
noncontiguity of territory, to the incorporated or unincorporated
status of territory, and to  the overlapping of territory of a
district with the territory of another district or city.  Unless
otherwise provided by the principal act, any territory annexed to a
district shall be contiguous to the district and shall not be a part
of another district formed under the same principal act without the
consent of the other district.
56120.  Where the principal act of any parent district provides that
the boundaries of the parent district shall be automatically changed
in the event of a change in the boundaries of a member district, or
that the boundaries of the parent district may be concurrently
changed with a change in the boundaries of a member district, the
boundaries of the parent district shall be deemed to be
automatically, or may be concurrently, changed as the case may be,
when proceedings are in accordance with the provisions of the
principal acts of any parent district, upon completion of a change of
organization or a reorganization changing the boundaries of the
member district.  The commission of the principal county of the
member district shall have exclusive jurisdiction over such a change
in boundaries of the member district and also of any parent district
subject to this division.
56121.  No change of organization or reorganization, or any term or
condition of a change of organization or reorganization, shall impair
the rights of any bondholder or other creditor of any county, city,
or district.  Nor shall any change of organization or reorganization,
or any term or condition of a change of organization or
reorganization, impair the contract rights, or contracts entered into
by a public entity created by a joint exercise of powers agreement
established pursuant to Article 1 (commencing with Section 6500) of
Chapter 5 of Division 7 of Title 1 of the Government Code.
Notwithstanding any provision of this division, or of any change of
organization or reorganization, or any term or condition of a change
of organization or reorganization, each and every bondholder or other
creditor may enforce all of his or her rights in the same manner,
and to the same extent, as if the change of organization,
reorganization, term, or condition had not been made.  Those rights
may also be enforced against agencies, and their respective officers,
as follows:
   (a) Annexation or detachment:  against the city or district to, or
from, which territory is annexed or detached.
   (b) Incorporation:  against the newly incorporated city.
   (c) Formation:  against the newly formed district.
   (d) Disincorporation:  against the successor county receiving
distribution of the remaining assets of the disincorporated city.
   (e) Dissolution:  against the local agency receiving distribution
of all or any part of the remaining assets of a dissolved district.
   (f) Consolidation:  against the consolidated successor city or
district.
   (g) Reorganization:  against the affected city or district,
successor county or newly incorporated city or newly formed district,
as the case may be, for any of the above enumerated changes of
organization or city incorporations which may be included in the
particular reorganization.
56122.  Section 56886 and any term and condition provided by, or
made pursuant to, that section shall be enforceable by, between,
among, and against any public agency or agencies designated in the
term and condition, but shall not constitute, or be given effect as,
a limitation upon the power of any bondholder or other creditor to
enforce his or her rights, particularly any rights provided for by
Part 5 (commencing with Section 57300), as if Section 56886 had not
been enacted or the term and condition had not been made or provided
pursuant to that section.
56123.  Except as otherwise provided in Section 56124, if a proposed
change of organization or a reorganization applies to two or more
affected counties, for the purpose of this division, exclusive
jurisdiction shall be vested in the commission of the principal
county.  Any notices, proceedings, orders, or any other acts
authorized or required to be given, taken, or made by the commission,
board of supervisors, clerk of a county, or any other county
official, shall be given, taken, or made by the persons holding those
offices in the principal county.  The commission of the principal
county shall provide notice to the legislative body and the executive
officer of all affected agencies of any proceedings, actions, or
reports on the proposed change of organization or reorganization.
Any officer of a county other than the principal county shall
cooperate with the commission of the principal county and shall
furnish the commission of the principal county with any certificates,
records, or certified copies of records as may be necessary to
enable the commission of the principal county to comply with this
division.
56124.  If a proposed change of organization or a reorganization
applies to two or more affected counties, for purposes of this
division, exclusive jurisdiction may be vested in the commission of
an affected county other than the commission of the principal county
if all of the following occur:
   (a) The commission of the principal county approves of having
exclusive jurisdiction vested in another affected county.
   (b) The commission of the principal county designates the affected
county which shall assume exclusive jurisdiction.
   (c) The commission of the affected county so designated agrees to
assume exclusive jurisdiction.
   If exclusive jurisdiction is vested in the commission of an
affected county other than the principal county pursuant to this
section, any notices, proceedings, orders, or any other acts
authorized or required to be given, taken, or made by the commission,
board of supervisors, clerk of a county, or any other officer of a
county, shall be given, taken, or made by the persons holding those
offices in the affected county.  Any officer of a county other than
the affected county shall cooperate with the commission of the
affected county and shall furnish the commission of the affected
county with any certificates, records, or certified copies of records
as may be necessary to enable the commission of the affected county
to comply with this division.
56125.  If any reorganization provides for the formation of any new
district or districts, the district or districts shall be deemed to
have been formed upon compliance with the procedure and provisions of
this division relating to reorganization.  If the terms and
conditions of any change of organization or reorganization provide
for the formation of an improvement district or for the annexation of
territory to, or detachment of territory from, an existing
improvement district, that formation, annexation, or detachment shall
be deemed to have been completed upon compliance with the procedure
and provisions of this division relating to a change of organization
or a reorganization.  In any proceeding for a change of organization
or a reorganization providing for territory to be formed into, or
annexed to, or detached from, an improvement district, the clerk of
the county or of the district, as the case may be, shall give mailed
notice of hearing on the proposed change of organization or
reorganization to all landowners owning land within the territory.
No further or separate proceedings need be taken for the formation of
any improvement district or for the annexation of territory to, or
detachment of territory from, the existing improvement district.  To
that extent only, this division shall govern and provide the
exclusive procedure for the formation of any such improvement
district or for the annexation of territory to, or detachment of
territory from, an existing improvement district and the provisions
of the principal act relating to the formation of an improvement
district or for the annexation of territory to, or detachment of
territory from, an existing improvement district shall have no
application.
56126.  Upon request by the executive officer or the clerk of any
county or district, the assessor of any city, county, or district
shall furnish estimated assessed valuations, determined by the same
methods and valuations used in preparing the last equalized
assessment roll, in both of the following cases:
   (a) Where real property is owned by a public agency and no
assessed value for that real property is shown on the roll.
   (b) Where a single assessment parcel shown on the last equalized
assessment roll either:
   (1) Has been split into two or more parcels by reason of the sale
or conveyance of any portion of the original assessment parcel.
   (2) Overlaps two or more counties, cities, districts, or election
precincts, or any combination of those entities or precincts.
   Any of these estimates shall be conclusively presumed to be
assessed values for the purpose of this division, but shall be given
no force or effect for other  purposes.
56127.  If the legislative body of any of the districts, agencies,
or authorities enumerated in subdivision (c) of Section 56036 desires
a determination by the commission that the district, agency, or
authority is not a district or a special district, for purposes of
Part 4 (commencing with Section 57000) or Part 5 (commencing with
Section 57300), the legislative body, prior to the adoption of any
ordinance, resolution, or order proposing, declaring an intention, or
initiating proceedings to make a change of organization, shall make
application to the  commission of the principal county describing the
proposed change of organization and requesting that determination.
If a proposal is initiated by other than the legislative body of a
district or special district, the district or special district may,
within 10 days of notification by the commission of the initiation of
the proposal, request a determination by the commission that it is
not a district or special district for purposes of Part 4 (commencing
with Section 57000) or Part 5 (commencing with Section 57300).  That
application shall be filed with the executive officer and shall be
presented to the commission not later than its next regular meeting.
The executive officer shall give the legislative body filing the
application mailed notice of the time and place at which the
application shall be presented to the commission.  No other notice is
required to be given.  However, the commission may, prior to making
its findings and determinations, order the executive officer to give
notice of the filing and presentation of the application by
publication or by mailing to other affected counties, cities, and
districts, or by both publication and mailing.
56128.  (a) Upon presentation of any application filed pursuant to
Section 56127, the commission shall determine that the applicant
district, agency, or authority is not a district or special district
for purposes of Part 4 (commencing with Section 57000) or Part 5
(commencing with Section 57300), if the commission finds that the
applicant is not engaged in any of the following:
   (1) The distribution and sale for any purpose, other than for the
purpose of resale, of water or of gas or electricity for light, heat,
or power.
   (2) Furnishing sanitary sewer service or garbage and refuse
collection service to the ultimate users, as defined in subdivision
(b), of those services.
   (3) Providing fire or police protection.
   (4) The acquisition, construction, maintenance, lighting, or
operation of streets and highways, street and highway improvements,
or park and recreation facilities, except as an incident to the
exercise of other lawful powers of the applicant.
   (b) "Ultimate user" means any user or consumer other than the
state, the United States, a city, a county, or a district, or any
agency, department, or office of any of those entities or a public
utility.
   If the commission determines that any applicant district, agency,
or authority enumerated in subdivision (c) of Section 56036 is not a
district or special district, for purposes of Part 4 (commencing with
Section 57000) or Part 5 (commencing with Section 57300), then those
provisions shall not apply to the change of organization or
reorganization described in the application and proceedings for the
change of organization or reorganization shall be taken under and
pursuant to the principal act.  If no application is made to the
commission, or if the commission in passing upon an application does
not determine that the applicant is not a district or special
district for the purposes of Part 4 (commencing with Section 57000)
or Part 5 (commencing with Section 57300), then, except as otherwise
provided in Section 56115, this division shall provide the sole and
exclusive authority for the initiation, conduct, and completion for a
change of organization or reorganization by that district, agency,
or authority and, to the extent of any inconsistency between this
division and the principal act of the applicant, this division shall
control.
56129.  (a) If a public utility has been granted a certificate of
public convenience and necessity authorizing and requiring it to
furnish gas or electric service within a certain service area and, as
a result of a change of organization or a reorganization, territory
consisting of all, or any part, of that service area becomes a part
of, or is formed into, a district authorized by its principal act to
furnish gas or electric service, the district shall not furnish that
service within the territory except upon approval by both of the
following:
   (1) The commission after receipt and consideration of the report
of the Public Utilities Commission made as provided in Section 56131.
   (2) The voters within the territory, given at an election as
provided in Section 56130.
   (b) If both of those approvals are given, upon assumption of
service by the district the public utility may at any time thereafter
withdraw service within the territory, unless otherwise ordered by
the Public Utilities Commission.
   (c) "Gas or electric service," as used in this section and in
Sections 56130, 56131, and 56875, means the distribution and sale for
any purpose, other than for the purpose of resale, of gas or
electricity for light, heat, or power.
56130.  Voter approval within the territory, as required by Section
56129, shall be given at an election.  The question submitted at the
election shall identify the district, designate the kind of service
to be furnished, identify the territory within which the service is
proposed to be furnished, and state the name of the public utility
presently authorized to furnish the gas or electric service within
the territory.
   The district shall not furnish the gas or electric service, as
defined in subdivision (c) of Section 56129, within the territory
unless the question of furnishing the gas or electric service has
been submitted to the voters at an election called, held, and
conducted within the territory and a majority of the votes cast upon
the question are in favor of the service.  The board of supervisors
or the legislative body of the conducting district may submit the
question at the election called upon the question of confirmation of
an order of change of organization or reorganization, or the board of
directors of the district may submit the question of the gas or
electric service at a special election called after completion of the
proceedings for a change of organization or a reorganization.  The
question of the service shall be submitted as a separate proposition
at any election within the territory and shall be voted upon only by
qualified voters within the territory.  If the question is defeated
at the election, for one year thereafter no petition requesting the
gas or electric service may be filed and no new election called upon
the question.
56131.  The executive officer shall file with the Public Utilities
Commission a certified copy of any proposal for a change of
organization or a reorganization which provides, as a part of the
change of organization or reorganization, that gas or electric
service, as defined in subdivision (c) of Section 56129, be furnished
by a district within any of the territory affected by the change of
organization or reorganization.  The certified copy need not contain
any signatures  if the proposal is by petition.  After that change of
organization or reorganization has been ordered, the clerk of the
district shall file with the Public Utilities Commission a certified
copy of any ordinance, resolution, or order made by the board of
directors of a district proposing to furnish gas or electric service,
as defined in subdivision (c) of Section 56129, within the
territory.
   After that filing, the Public Utilities Commission shall cause an
investigation to be made and may conduct any hearings in connection
with the proposal.  Upon completion of the investigation and not
later than 90 days after the date of the filing, the Public Utilities
Commission shall make a report to the commission stating whether, in
the opinion of the Public Utilities Commission, the proposed service
by the district within the territory will substantially impair the
ability of the public utility to provide adequate service at
reasonable rates within the remainder of the service area of the
public utility.
   The secretary of the Public Utilities Commission shall immediately
file a certified copy of that report with the executive officer.
56131.5.  Upon the filing of an application for the formation of,
annexation to, consolidation of, or dissolution of a local hospital
district created pursuant to Division 23 (commencing with Section
32000) of the Health and Safety Code or of an application for a
reorganization including any of those changes of organization or the
initiation by the commission of any of those changes of organization
or any reorganization including any of those changes of organization,
the commission shall notify all state agencies that have oversight
or regulatory responsibility over, or a contractual relationship
with, the local hospital district that is the subject of the proposed
change of organization or reorganization, of its receipt of the
application or the initiation by the commission of the proposed
change of organization or reorganization and the proposal, including,
but not limited to, the following:
   (a) The State Department of Health Services, including, but not
limited to, Licensing and Certification and the Medi-Cal Division.
   (b) The Office of Statewide Health Planning and Development,
including, but not limited to, the Cal-Mortgage Loan Insurance
Division.
   (c) The California Health Facilities Financing Authority.
   (d) The California Medical Assistance Commission.
   A state agency shall have 60 days from the date of receipt of
notification by the commission to comment on the proposal.  The
commission shall consider all comments received from any state agency
in making its decision.
56131.7.  Upon the filing of an application for the formation of,
consolidation of, or dissolution of a recreation and park district
formed pursuant to the Recreation and Park District Law, Chapter 4
(commencing with Section 5780) of Division 5 of the Public Resources
Code, or of an application for a reorganization that includes any of
those changes of organization, or the initiation by the commission of
any of those changes or organization or any reorganization that
includes any of those changes of organization, the executive officer
shall notify the Director of the State Department of Parks and
Recreation.  The director shall have 60 days from the date of receipt
of notification by the executive officer to comment on the proposal.
  The commission shall consider all comments received from the
director in making its decision.
56133.  (a) A city or district may provide new or extended services
by contract or agreement outside its jurisdictional boundaries only
if it first requests and receives written approval from the
commission in the affected county.
   (b) The commission may authorize a city or district to provide new
or extended services outside its jurisdictional boundaries but
within its sphere of influence in anticipation of a later change of
organization.
   (c) The commission may authorize a city or district to provide new
or extended services outside its jurisdictional boundaries and
outside its sphere of influence to respond to an existing or
impending threat to the public health or safety of the residents of
the affected territory if both of the following requirements are met:
   (1) The entity applying for the contract approval has provided the
commission with documentation of a threat to the health and safety
of the public or the affected residents.
   (2) The commission has notified any alternate service provider,
including any water corporation as defined in Section 241 of the
Public Utilities Code, or sewer system corporation as defined in
Section 230.6 of the Public Utilities Code, that has filed a map and
a statement of its service capabilities with the commission.
   (d) The executive officer, within 30 days of receipt of a request
for approval by a city or district of a contract to extend services
outside its jurisdictional boundary, shall determine whether the
request is complete and acceptable for filing or whether the request
is incomplete.  If a request is determined not to be complete, the
executive officer shall immediately transmit that determination to
the requester, specifying those parts of the request that are
incomplete and the manner in which they can be made complete.  When
the request is deemed complete, the executive officer shall place the
request on the agenda of the next commission meeting for which
adequate notice can be given but not more than 90 days from the date
that the request is deemed complete, unless the commission has
delegated approval of those requests to the executive officer.  The
commission or executive officer shall approve, disapprove, or approve
with conditions the contract for extended services.  If the contract
is disapproved or approved with conditions, the applicant may
request reconsideration, citing the reasons for reconsideration.
   (e) This section does not apply to contracts or agreements solely
involving two or more public agencies where the public service to be
provided is an alternative to, or substitute for, public services
already being provided by an existing public service provider and
where the level of service to be provided is consistent with the
level of service contemplated by the existing service provider.  This
section does not apply to contracts for the transfer of nonpotable
or nontreated water.  This section does not apply to contracts or
agreements solely involving the provision of surplus water to
agricultural lands and facilities, including, but not limited to,
incidental residential structures, for projects that serve
conservation purposes or that directly support agricultural
industries.  However, prior to extending surplus water service to any
project that will support or induce development, the city or
district shall first request and receive written approval from the
commission in the affected county.  This section does not apply to an
extended service that a city or district was providing on or before
January 1, 2001.  This section does not apply to a local publicly
owned electric utility, as defined by Section 9604 of the Public
Utilities Code, providing electric services that do not involve the
acquisition, construction, or installation of electric distribution
facilities by the local publicly owned electric utility, outside of
the utility's jurisdictional boundaries.