1. What’s Ahead Why LAFCo was created LAFCo’s role and functions
What are MSRs and SOIs, and why do them anyway?
Special District Issues
Your questions

2. Promote orderly growth
Prevent sprawl
Preserve agriculture and open space
Assure efficient, sustainable public services

3. What Does LAFCo Do?? Creates new cities and special districts
Changes boundaries
Changes authorized services
Allows service extensions
Performs municipal service reviews
Reorganizes local agencies

4. Why Create a LAFCo?
Post World War II population and housing boom in California
Street car suburbs; scramble to finance and extend services
City annexation "wars;" proliferation of limited purpose special districts
Confusion with multiple local governments

5. Cover

6. ,953,134
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Nightmare

7. Chaos

8. Legislative Solution (1960 to 1963)
No state commission or statewide agency
Local control; no state appointments
A LAFCo in every county
Each LAFCo independent

9. Nearly 50 Years of LAFCo 1963 – Knox Nesbitt Act
1965 – District Reorganization Act
1971 – Spheres of Influence
1972 – Districts seated on LAFCo
1985 – Cortese Knox Local Government Reorganization Act
2000 – Cortese Knox Hertzberg Local Government Reorganization Act

10. Commissions a Unique Mix
29 LAFCos with Special District Members
2 county supervisors, 2 city council members, 1 public member
29 LAFCos have 2 special district board members
An alternate member for each category
Members required by law to represent interests of all the public

11. Jurisdiction Includes: Does NOT include:
Counties, cities, most special districts
Does NOT include:
Redevelopment agencies or JPAs
Community facilities or Mello-Roos districts
School or college districts
County boundary lines
Bridge and highway districts
Transit or rapid transit districts
Improvement districts

12. As a PLANNING Agency
Develop and update Spheres of Influence for cities and districts
Prepare Municipal Service Reviews for all local agencies
Work cooperatively with public and private interests on growth, preservation and service delivery

13. As a REGULATORY Agency
Manages modification of existing agencies and creation of new ones
Approves boundary changes if consistent with spheres
Controls extension of public services
Is prohibited from directly regulating how land is used, but …

14. LAFCos Are Independent
Commissioners make final decisions
Decisions cannot be appealed
Adopt local policies
Executive Officer accountable to commission and statutes
Administrative authority as an independent public agency

15. LAFCo is Funded Locally
Must adopt a budget each fiscal year
Funded by the county, cities and special districts in equal thirds
Local funding formulas allowed
Processing fees help offset expenses

16. The Courts Support LAFCo Authority
Engaged in the pursuit of an overriding State purpose
Is quasi-legislative; limited legal challenge to decisions
Determinations vs. findings
Is the Legislature’s “watch dog” on local governments

17. The Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000

18. Spheres of Influence §56425
(a) “… the commission shall develop and determine the sphere of influence of each local governmental agency within the county and enact policies designed to promote the logical and orderly development of areas within the sphere.”

19. Typical Sphere of Influence Map

20. Spheres of Influence §56425
In determining the SOI the commission considers …
Present and planned land uses, including agricultural and open-space
Present and probable need for public facilities and services
Present capacity of public facilities and adequacy of public services
Existence of any social or economic communities of interest

21. Spheres of Influence §56425
(g) “The commission may recommend governmental reorganizations to particular agencies in the county, using the spheres of influence as the basis for those recommendations.” (added in 2001)

22. Municipal Service Reviews §56430
“In order to prepare and to update spheres of influence in accordance with Section 56425, the commission shall conduct a service review of the municipal services provided in the county or other appropriate area designated by the commission.”
Added in January, 2001

23. Service Reviews Have Details §56430
Growth projections
Present and planned capacity
Financial ability of agency
Shared facilities
Accountability
Other matters

24. When Are SOI/MSRs Done? All spheres updated by 1 January 2008
Subsequent reviews every five years, as necessary
1 January 2013 next deadline
MSR required with sphere update

25. District/LAFCo Issues on the Horizon
Viable local agencies and services
Consolidation of agencies
Regional planning – SB 375
Infrastructure and capacity
Urbanization outside of cities
Disadvantaged unincorporated communities

26. Special Districts on LAFCo: Why, Why Not, & How

27. Why be on LAFCo? Gain a seat at the table
If you’re not at the table, then you are on the table
Special Districts are becoming more visible; concerns
Bring district perspective to LAFCo policy discussions

28. Districts Benefit from Serving on LAFCo
Special Districts have two votes in LAFCo deliberations
LAFCo Policies
Annexations & reorganizations of cities and districts
MSR and Sphere of Influence decisions
Latent powers of districts
District consolidations and dissolutions

29. Districts Benefit from Serving on LAFCo
LAFCo is the ONLY venue where special districts can fully participate equal to cities and the county
All special districts gain stature when seated on LAFCo
Build better relationships with county supervisors and mayors

30. LAFCo Benefits from Districts
Districts bring a perspective distinct from general governments
Districts are service-focused and bring knowledge of infrastructure
Districts are often more in tune with the spirit and intent of LAFCo law
Districts alter the dynamics between the county and cities

31. Cost of Being Seated on LAFCo
CSD, San Luis Obispo County %
$19,756 of $5.3 million O&M budget
CSD, Santa Barbara County %
$1,242 of $1,346,587 O&M budget
56381(1)(a): LAFCo is funded one-third each from the county, cities and independent special districts
Can be negotiated . . .

32. Changes to Districts: No longer “just a small district”
Changes the balance of power
There will be change, and by being at the table, you have a vote and a voice in the process

33. On-Line Resources

34. Information and resources on LAFCo law and process
Information and resources on LAFCo law and process