1. 2010 CALAFCO Annual Conference Moderator: Brendon Freeman, Napa LAFCO

2. Panel Adam Lindgren, Principal Jim Simon, Principal Ken Lee, Senior Associate

3. Audience Who’s in the room? What do spheres of influence mean to you in your role as a commissioner? How about in your role as an agency board member (city council, district board member, county board of supervisors)?

4. History of CKH Post WWII growth 1959 Commission on Metro Area Problems 1963 LAFCo enabling legislation, 3 enabling acts 1985 Cortese-Knox 1997 “Growth Within Bounds” 2000 CKH

5. Purpose of CKH Gov’t Code Sections 56001, 56300, 56301, 56434 Efficient delivery of services Promote orderly growth and development Discourage sprawl – tension Govt C 56001 Consider local conditions and circumstances Preserve open space & agriculture Provide housing for all incomes

6. Sphere of Influence SOI means “a plan for the probable physical boundaries and service area of a local agency, as determined by the commission.” Gov’t Code 56076. Purpose of an SOI is “to ensure the provision of efficient services while discouraging urban sprawl and the premature conversion of agricultural and open space lands by preventing overlapping jurisdictions and duplication of services.” CALAFCO.org

7. History of SOIs SIO: derived from the term in international relations an area or region over which a state or organization has significant cultural, economic, military or political influence more specifically and ironically, in international relations it is known as the claim by a state to exclusive or predominant control over a foreign area or territory that other nations may or may not recognize

8. SOIs in Context of Other Boundaries and Planning Areas City limits / district boundaries Sphere of Influence: a plan for the probable physical boundaries and service area of a local agency, as determined by the commission. Gov. Code 56076. General Plan Planning Area: A city's general plan must include a comprehensive, long-term plan for the physical development of both the city and any land outside the city's boundaries that the city determines is related to its planning (together the city's general plan planning area). Gov. Code 65300. Urban Service Boundary/Urban Service Area Boundary: a boundary that limits the expansion of municipal services, often used to plan to the size and location of public infrastructure.

10. Sphere of Influence Life Cycle Establishing Planning Developing Annexing STATUTORY MODEL MSRs & SOI Updates Every 5 Years

11. Sphere of Influence Life Cycle Establishing Planning Developing Annexing COMMON MODEL

12. Legislative Evolution Spheres “probable ultimate physical boundary” Sphere Amendments City-County agreements Sphere Updates (every 5 years) MSRs “Backbone Infrastructure” (Govt Code 56434)

13. Factors in the SOI Life Cycle – From Unincorporated to SOI to Incorporated Political Financial Legal Land use authority Site control / ownership Legal processing requirements Existing jurisdictional boundaries/service territory (e.g., special districts) Financing plan – land uses that balance revenues and service costs Fiscal impact analysis to city, county, etc. LAFCO as facilitator & leader County leadership City tact Elected vs. staff Resident opposition

14. Rancho Cordova

15. Southeast Orange County

16. Rancho Santa Margarita RSM Pop: 49,988 Median HH Income: $102,370 Housing: 17,191 ‘09 Taxable Sales: $103,426,000 Las Flores Pop 5,779 Median HH Income $120,882 2,049 Housing Units Coto de Caza Pop 15,002 Median HH Income $178,897 4,660 Housing Units

17. Remaining Southeast Orange County

18. Ladera Ranch Pop: 21,877 Median HH Income: $152,957 Housing: 7,877

19. Takeaways SOIs are as relevant as agencies want to make them relevant (think MSRs) Not one agency can do it alone, including LAFCO All agencies and stakeholders need to understand the factors and their roles in influencing them

20. Q & A / Open Discussion Questions Opinions Differing Viewpoints