§ 11011.4. — 11011.4. (Added by Stats. 2025, Ch. 20, Sec. 20.)

California § 11011.4.

• Jurisdiction: California
• Code GOV: Government Code - GOV
• Div.: 3.
• Title 2.: DIVISION 3. EXECUTIVE DEPARTMENT
• Part 1.: PART 1. STATE DEPARTMENTS AND AGENCIES
• Ch. 1.: CHAPTER 1. State Agencies
• Art. 1.: ARTICLE 1. General

Text

(a)
Upon approval from the Department of Finance, the Secretary of the Department of Corrections and Rehabilitation shall notify the Department of General Services and the Joint Legislative Budget Committee of any state real property under its jurisdiction that has been determined to be excess to its needs, as defined in Section 11011, and shall request authorization from the Legislature to dispose of the land by sale, exchange, sale in combination with an exchange, or transfer to a local government.
(b)
(1)
Notwithstanding any other law, upon authorization by the Legislature, the Department of General Services may sell, lease, exchange, sell in combination with an exchange, transfer to a local government, or otherwise
dispose of, upon terms and conditions as the Director of General Services determines are in the best interest of the state, excess state real property under the jurisdiction of the Department of Corrections and Rehabilitation.
(2)
Notwithstanding paragraph (1), and insofar as the Department of General Services has authority to lease state real property under the jurisdiction of the Department of Corrections and Rehabilitation, the Department of General Services may execute leases for those properties.
(c)
(1)
State real property identified pursuant to subdivision (a) shall be evaluated by the Department of General Services for alternative use by the state pursuant to subdivision (e) of Section 11011, including for affordable housing in accordance with the criteria established pursuant to subdivision (a) of Section 14684.3.
(2)
If the Department of General Services determines that an alternative use by the state is in the best interests of the state, the department may transfer all or portions of a property to the appropriate state agency.
(3)
If no alternative uses by the state are determined to be feasible or in the best interest of the state, the Department of General Services is authorized to dispose of all or portions of a property pursuant to subdivision (b).
(d)
Before the disposal to a nonstate entity of property identified pursuant to this section, the Department of General Services shall notify the Joint Legislative Budget Committee of its intent to dispose of specified property no earlier than 30 days after notification is made.
(e)
In setting the purchase price or
lease terms for property identified pursuant to this section, the Department of General Services may permit a sales price or set lease terms at less than fair market value if it determined that a discount is in the best interest of the state.
(f)
The Department of General Services shall be reimbursed for any cost or expense incurred in the disposition of any parcel and may be reimbursed from the net proceeds of a transaction entered into pursuant to this section.
(g)
Net proceeds of a sale of state real property identified in subdivision (a) shall be deposited pursuant to subdivision (g) of Section 11011.
(h)
(1)
Excluding revenue received pursuant to subdivision (g), and excluding any reimbursement of the Department of General Services pursuant to subdivision (f), all other revenues received
pursuant to this section shall be deposited into the Property Acquisition Law Money Account and be available for transfer into the Architectural Revolving Fund for expenditure by the Department of General Services.
(2)
Funds transferred pursuant to this subdivision shall be made available to the Department of General Services to improve the likelihood of successful redevelopment of property identified pursuant to this section. Those activities may include, but are not limited to, any of the following:
(A)
Undertaking studies and real estate due diligence regarding specific properties.
(B)
Performing abatement or demolition of existing improvements.
(C)
Constructing infrastructure to improve or otherwise modify a property.
(D)
Executing contracts with local government entities for land use planning or entitlement activities.
(3)
The Department of General Services shall notify the Joint Legislative Budget Committee at least 30 days before expending funds pursuant to paragraph (2).
(i)
Property processed pursuant to this section is prohibited from being used for carceral purposes or as a detention facility.
(j)
(1)
The sale, lease, exchange, sale in combination with an exchange, or transfer to a local government, made pursuant to this section and made on an “as is” basis shall be exempt from Division 13 (commencing with Section 21000) of the Public Resources Code. Upon title to the parcel vesting in the purchaser or transferee of the property, the
purchaser or transferee shall be subject to any local governmental land use entitlement approval requirements and to Division 13 (commencing with Section 21000) of the Public Resources Code.
(2)
If the sale, lease, exchange, sale in combination with an exchange, or transfer to a local government made pursuant to this section is not made on an “as is” basis and is contingent on the satisfaction of a local governmental land use entitlement approval requirement or compliance by the local government with Division 13 (commencing with Section 21000) of the Public Resources Code, the execution of a disposition agreement by all parties to the agreement shall be exempt from Division 13 (commencing with Section 21000) of the Public Resources Code.

Legislative History

Added by Stats. 2025, Ch. 20, Sec. 20. (AB 137) Effective June 30, 2025.