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HomeMy WebLinkAboutLegislative Rvw Cmte - Support Lttrs for Various Legislation CITY OF PALM DESERT � OFFICE OF THE CITY MANAGER STAFF REPORT REQUEST: APPROVE THE PALM DESERT LEGISLATIVE REVIEW COMMITTEE'S RECOMMENDATION TO PROVIDE LETTERS OF SUPPORT TO VARIOUS PROPOSED STATE & FEDERAL LEGISLATION. SUBMITTED BY: Stephen Y. Aryan, Risk Manager DATE: June 12, 2014 CONTENTS: 1. Proposed Legislation Texts 2. Draft Correspondence Recommendation By Minute Motion, approve the recommended letters of support for AB 1582 (Mullin), H.R. 15 (Garcia), and S. 744 (Schumer). Committee Recommendation At their May 2, 2014 meeting, the Palm Desert Legislative Review Committee recommended that the City Council approve letters of support for AB 1582 (Mullin), AB 1747 (Holdon), H.R. 15 (Garcia), and S. 744 (Schumer). Please note that AB 1747 (Holdon) related to massage therapy recently became a dead bill and staff will not be moving forward with a support letter. Backaround At their May 2, 2014 meeting, the Palm Desert Legislative Review Committee recommended that the City of Palm Desert send correspondence indicating its support position on the following proposed legislation: AB 1582 (Mullin) Existing law dissolved redevelopment agencies as of February 1, 2012, and provides for the designation of successor agencies. Successor agencies are required to wind down the affairs of the dissolved redevelopment agencies, which involves, among other things, the preparation of a Recognized Obligation Payment Schedule for payments on enforceable obligations for each 6- month fiscal period. AB 1582 revises the timeline for the preparation of the required ROPS to provide that the successor agency prepare a schedule for a 12-month fiscal period. Furthermore, the ROPS could be amended by the oversight board during a 12-month fiscal period, if the amendment is approved at least 90 days before the date of the next property tax distribution. AB 1747 (Holdon) AB 1747, amongst other provisions, further strengthens existing law that authorizes a licensing body to deny a license if there is proof that the massage personnel, owners, and operators have been convicted of specified crimes, including soliciting or engaging in an act of prostitution. This bill is currently dead and staff will not be moving forward with a support letter. The primary bill in the current legislative session to address the massage therapy industry is AB 1147 (Bonilla, Gomez, and Holden), which the City of Palm Desert has already supported. AB 1147 is currently in the Senate under committee review. Staff Report: Propose Legislation June 12, 2014 Page 2 of 2 H.R. 15 (Garcia � S. 744 (Schumer) These two Federal bills deal with the complex issue of border security, economic opportunity, and immigration. While this issue is a more appropriate discussion at the Federal and State levels, of specific interest to the City of Palm Desert is "Section. 4503. Encouraaina Canadian Tourism to the United States," which provides Canadian retirees visiting the United States a special status. Canadian citizens at least 55 years old, who maintain a residence in Canada, would be allowed to visit the United States for 240 days each year instead of 180 days. A Canadian citizen would have to prove that he/she owns a residence in the United States, or has a rental agreement for accommodations in the United States for the duration of the stay. They could not work in the United States and their spouse would be admitted under the same conditions. Periods of time spent outside the United States during such 240-day period would not toll the expiration of such 240-day period. Leaving for any period of time does not extend the 240 days which is counted from the first date one enters the United States under this new proposal for visiting Canadian retirees. With its close proximity to California, Canada remains the second largest international market of origin for the state. California offers several positive attributes for Canadian travelers including reasonable airfares, cultural offerings, cosmopolitan cities, favorable weather, and resort communities such as Palm Desert. Approximately 1.62 million Canadians visited California in 2013 and spent $2.3 biltion. The State is projected to see an annual growth of more than four percent from the Canadian market through 2016. Fiscal Analvsis There is no fiscal impact related to the City's opposition or support of these bills. Submitted By: �''" , Stephen Y. Ary�n, Ristc Manage�r Appr�oval: � a ; � C \. f '" ITY COITNC�L,A ION JN M. Wohlmuth, City Manager ,�i'��riovrn � nFlvrEn �c�Ct?IVED OTHER ( ��1't�:TtR�G i)ATC '(2-I ;�,"� t;�;: Q�VISfir��� TDi?CcP.� (�rf�iu+�v�_. "9;�?s,.;e; �oI�D "� _,'7 9' �`< :. __�D I�-4 i @s� 4 �.��,': X�OI'l9 ��i'`i���'.�`:; �•'>�':� ��/ ��{'� • ���°��s.;�k�s�i �a�� 3�ilc ����iih Cdty Clcrk's Of�ce June 12, 2014 The Honorable Kevin Mullin State Capitol Building, Room 2163 Sacramento, CA 95814 Via FAX: (916) 319-2122 RE: AB 1582 (Mullin) Successor A�encies: Recoqnized Obliaation Pavment Schedule. (As amended 6/02/2094) Notice of Support Dear Assemblymember Mullin: The City of Palm Desert supports your AB 1582 (Mullin), which would extend the existing Recognized Obligation Payment Schedule (ROPS) process from once every six months to once per year. Shifting the ROPS process from every six months to once per year will save staff time by avoiding repetitive processing of non-controversial items; an annual cycle will also improve predictability especially since many former RDA debts will need to be repaid over several decades. Furthermore, allowing the ROPS to be amended by the oversight board if the amendment is approved at least 90 days before the date of the next property tax distribution, provides local agencies greater flexibility should unanticipated changes occur. For these reasons, the City of Palm Desert support AB 1747. Please let us know if you have any questions or need any additional information by contacting Stephen Y. Aryan, Risk Manager, at (760) 776-6326. Sincerely, VAN G. TANNER MAYOR cc: City Council The Honorable Brian Nestande, California State Assembly Erin Sasse, League of California Cities, esasseCc�cacities.org Anthony Gonsalves, Gonsalves and Sons, aonsalvesCcr�.qansalvi.com John M. Wohlmuth, City Manager Stephen Y. Aryan, Risk Manager Rudy Acosta, Assistant City Manager Paul S. Gibson, Director of Finance Martin Alvarez, Director of Economic Development Janet Moore, Director of Housing Veronica Tapia, Management Analyst II AMENDED 1N SENATE JUNE 2, 2014 AMENDED IN ASSEMBLY APRIL 22, 2014 AMENDED IN ASSEMBLY APRIL 3, 2014 CALIFORNIA LEGISLATURE-2013-14 REGULAR SESSION ASSEMBLY BILL No. 1582 Introduced by Assembly Member Mullin February 3, 2014 An act to amend Section 34177 of the Health and Safety Code, relating to redevelopment. LEGISLATIVE COUNSEL'S DIGEST AB 1582, as amended,Mullin. Redevelopment: successor agencies: Recognized Obligation Payment Schedule. The Community Redevelopment Law authorized the establishment of redevelopment agencies in communities to address the effects of blight, as defined. Existing law dissolved redevelopment agencies as of February l, 2012, and provides for the designation of successor agencies, as defined. Existing law requires successor agencies to wind down the affairs of the dissolved redevelopment agencies. Existing law requires a successor agency to, among other things, prepare a Recognized Obligation Payment Schedule for payments on enforceable obligations for each 6-month fiscal period. This bill would revise the timeline for the preparation of the required Recognized Obligation Paytnent Schedule to provide that the successor agency prepare a schedule for a 12-month fiscal period, and would authorize the Recognized Obligation Payment Schedule to be amended by the oversight board during a 12-month fiscal period if the amendment 96 AB 1582 —2— is approved at least 90 days before the date of the next property tax distribution. Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no. The people of the State of California do enact as follows: 1 SECTION 1. Section 34177 of the Health and Safety Code is 2 amended to read: 3 34177. Successor agencies are required to do all of the 4 following: 5 (a) Continue to make payments due for enforceable obligations. 6 (1) On and after February 1, 2012, and until a Recognized 7 Obligation Payment Schedule becomes operative, only payments 8 required pursuant to an enforceable obligations payment schedule 9 shall be made.The initial enforceable obligation payment schedule 10 shall be the last schedule adopted by the redevelopment agency 11 under Section 34169. However, payments associated with 12 obligations excluded from the definition of enforceable obligations 13 by paragraph (2) of subdivision (d) of Section 34171 shall be 14 excluded from the enforceable obligations payment schedule and 15 be removed from the last schedule adopted by the redevelopment 16 agency under Section 34169 prior to the successor agency adopting 17 it as its enforceable obligations payment schedule pursuant to this 18 subdivision. The enforceable obligation payment schedule may 19 be amended by the successor agency at any public meeting and 20 shall be subject to the approval of the oversight board as soon as 21 the board has sufficient members to form a quorum.In recognition 22 of the fact that the timing of the California Supreme Court's ruling 23 in the case California Redevelopment Association v. Matosantos 24 (2011) 53 Ca1.4th 231 delayed the preparation by successor 25 agencies and the approval by oversight boards of the January 1, 26 2012, through June 30, 2012, Recognized Obligation Payment 27 Schedule, a successor agency may amend the Enforceable 28 Obligation Payment Schedule to authorize the continued payment 29 of enforceable obligations until the time that the January l, 2012, 30 through June 30,2012,Recognized Obligation Payment Schedule 31 has been approved by the oversight board and by the Department 32 of Finance.The successor agency may utilize reasonable estimates 33 and projections to support payment amounts for enforceable 96 —3— AB 1582 1 obligations if the successor agency submits appropriate supporting 2 documentation of the basis for the estimate or projection to the 3 Department of Finance and the auditor-controller. 4 (2) The Department of Finance and the Controller shall each 5 have the authority to require any documents associated with the 6 enforceable obligations to be provided to them in a manner of their 7 choosing. Any taxing entity, the department, and the Controller 8 shall each have standing to file a judicial action to prevent a 9 violation under this part and to obtain injunctive or other 10 appropriate relief. 11 (3) Commencing on the date the Recognized Obligation Payrnent 12 Schedule is valid pursuant to subdivision(�,only those payments 13 listed in the Recognized Obligation Payment Schedule may be 14 made by the successor agency from the funds specified in the 15 Recognized Obligation Payment Schedule. In addition, after it 16 becomes valid,the Recognized Obligation Payment Schedule shall l7 supersede the Statement of Indebtedness, which shall no longer 18 be prepared nor have any effect under the Community 19 Redevelopment Law(Part 1 (commencing with Section 33000)). 20 (4) Nothing in the act adding this part is to be construed as 21 preventing a successor agency, with the prior approval of the 22 oversight board, as described in Section 34179, from making 23 payments for enforceable obligations from sources other than those 24 listed in the Recognized Obligation Payment Schedule. 25 (5) From February l,2012,to July l,2012, a successor agency 26 shall have no authority and is hereby prohibited from accelerating 27 payment or making any lump-sum payments that are intended to 28 prepay loans unless-snek the accelerated repayments were required 29 prior to the effective date of this part. 30 (b) Maintain reserves in the amount required by indentures, 31 trust indentures, or similar documents governing the issuance of 32 outstanding redevelopment agency bonds. 33 (c) Perform obligations required pursuant to any enforceable 34 obligation. 35 (d) Remit unencumbered balances of redevelopment agency 36 funds to the county auditor-controller for distribution to the taxing 37 entities, including, but not limited to, the unencumbered balance 38 of the Low and Moderate Income Housing Fund of a former 39 redevelopment agency. In making the distribution, the county 40 auditor-controller shall utilize the same methodology for allocation 96 AB 1582 —4— 1 and distribution of property tax revenues provided in Section 2 34188. 3 (e) Dispose of assets and properties of the former redevelopment 4 agency as directed by the oversight board;provided,however,that 5 the oversight board may instead direct the successor agency to 6 transfer ownership of certain assets pursuant to subdivision(a) of 7 Section 34181. The disposal is to be done expeditiously and in a 8 manner aimed at maximizing value.Proceeds from asset sales and 9 related funds that are no longer needed for approved development 10 projects or to otherwise wind down the affairs of the agency, each 11 as determined by the oversight board, shall be transferred to the 12 county auditor-controller for distribution as property tax proceeds 13 under Section 34188. The requirements of this subdivision shall 14 not apply to a successor agency that has been issued a finding of 15 completion by the Department of Finance pursuant to Section 16 34179.'7. 17 (� Enforce all former redevelopment agency rights far the 18 benefit of the taxing entities, including, but not limited to, 19 continuing to collect loans,rents,and other revenues that were due 20 to the redevelopment agency. 21 (g) Effectuate transfer of housing functions and assets to the 22 appropriate entity designated pursuant to Section 34176. 23 (h) Expeditiously wind down the affairs of the redevelopment 24 agency pursuant to the provisions of this part and in accordance 25 with the direction of the oversight board. 26 (i) Continue to oversee development of properties until the 27 contracted work has been completed or the contractual obligations 28 of the former redevelopment agency can be transferred to other 29 parties. Bond proceeds shall be used for the purposes for which 30 bonds were sold unless the purposes can no longer be achieved, 31 in which case, the proceeds may be used to defease the bonds. 32 (j) Prepare a proposed administrative budget and submit it to 33 the oversight board for its approval. The proposed administrative 34 budget shall include all of the following: 35 (1) Estimated amounts for successor agency administrative costs 36 for the upcoming 12-month fiscal period that corresponds to the 37 fiscal year of the city, county, or city and county that created the 38 former redevelopment agency. 39 (2) Proposed sources of payment for the costs identified in 40 paragraph(1). 96 —5— AB 1582 1 (3) Proposals for arrangements for administrative and operations 2 services provided by a city,county,city and county,or other entity. 3 (k) Provide administrative cost estimates, from its approved 4 administrative budget that are to be paid from property tax revenues 5 deposited in the Redevelopment Property Tax Trust Fund, to the 6 county auditor-controller for each six-month fiscal period. 7 (� (1) Before each 12-month fiscal period,to correspond with 8 th ' fiscal year of the city, county, or city and 9 county that created the former redevelopment agency, prepare a 10 Recognized Obligation Payment Schedule in accordance with the 11 requirements of this paragraph. For each recognized obligation, 12 the Recognized Obligation Payment Schedule shall identify one 13 or more of the following sources of payment: 14 (A) Low and Moderate Income Housing Fund. 15 (B) Bond proceeds. 16 (C) Reserve balances. 17 (D) Administrative cost allowance. 18 (E) The Redevelopment Property Tax Trust Fund, but only to 19 the extent no other funding source is available or when payment 20 from property tax revenues is required by an enforceable obligation 21 or by the provisions of this part. 22 (F) Other revenue sources, including rents, concessions, asset 23 sale proceeds, interest earnings, and any other revenues derived 24 from the former redevelopment agency, as approved by the 25 oversight board in accordance with this part. 26 (2) A Recognized Obligation Payment Schedule shall not be 27 deemed valid unless all of the following conditions have been met: 28 (A) A Recognized Obligation Payment Schedule is prepared 29 by the successor agency for the enforceable obligations of the 30 former redevelopment agency. The initial schedule shall project 31 the dates and amounts of scheduled payments for each enforceable 32 obligation for the remainder of the time period during which the 33 redevelopment agency would have been authorized to obligate 34 property tax increment had the�redevelopment agency not been 35 dissolved. 36 (B) The Recognized Obligation Payment Schedule is submitted 37 to and duly approved by the oversight board.The successor agency 38 shall submit a copy of the Recognized Obligation Payment 39 Schedule to the county administrative officer, the county 40 auditor-controller,and the Department of Finance at the same time 96 AB 1582 —6— 1 that the successor agency submits the Recognized Obligation 2 Payment Schedule to the oversight board for approval. 3 (C) A copy of the approved Recognized Obligation Payment 4 Schedule is submitted to the county auditar-controller, the 5 Controller's office, and the Department of Finance, and is posted 6 on the successor agency's Internet Web site. 7 (3) The Recognized Obligation Payment Schedule shall be 8 forward looking to the next , 9 en-a� 12-month fiscal period,fo�the first 12-month fiscal period 10 commencing after January l,2015.The first Recognized Obligation 11 Payrnent Schedule shall be submitted to the Controller's office 12 and the Department of Finance by April 15, 2012, for the period 13 of January 1, 2012, to June 30, 2012, inclusive. This Recognized 14 Obligation Payment Schedule shall include all payments made by 15 the former redevelopment agency between January 1,2012,through 16 January 31, 2012, and shall include all payments proposed to be 17 made by the successor agency from February l, 2012, through 18 June 30, 2012. Former redevelopment agency enforceable 19 obligation payments due, and reasonable or necessary 20 administrative costs due or incurred,prior to January l,2012,shall 21 be rnade from property tax revenues received in the spring of 2011 22 property tax distribution, and from other revenues and balances 23 transferred to the successor agency. 24 (4) The Recognized Obligation Payment Schedule may be 25 amended by the oversight board during a 12-month fiscal period 26 as long as the amendment is approved at least 90 days before the 27 date of the next property tax distribution. 28 (m) The Recognized Obligation Payment Schedule for the period 29 of January l, 2013, to June 30, 2013, shall be submitted by the 30 successor agency, after approval by the oversight board, no later 31 than September l, 2012. Commencing with the Recognized 32 Obligation Payment Schedule covering the period July 1, 2013, 33 through December 31, 2013, successor agencies shall submit an 34 oversight board-approved Recognized Obligation Payment 35 Schedule to the Department of Finance and to the counry 36 auditor-controller no fewer than 90 days before the date of property 37 tax distribution. The Department of Finance shall make its 38 determination of the enforceable obligations and the amounts and 39 funding sources of the enforceable obligations no later than 45 40 days after the Recognized Obligation Payment Schedule is 96 —7— AB 1582 1 submitted. Within five business days of the department's 2 determination, a successor agency may request additional review 3 by the department and an opportunity to meet and confer on 4 disputed items.The meet and confer period may vary;an untimely 5 submittal of a Recognized Obligation Payment Schedule may result 6 in a meet and confer period of less than 30 days. The department 7 shall notify the successor agency and the county auditor-controllers 8 as to the outcome of its review at least 15 days before the date of 9 property tax distribution. 10 (1) The successor agency shall submit a copy of the Recognized 11 Obligation Payment Schedule to the Department of Finance 12 electronically, and the successor agency shall complete the 13 Recognized Obligation Payment Schedule in the manner provided 14 for by the department. A successor agency shall be in 15 noncompliance with this paragraph if it only submits to the 16 department an electronic message or a letter stating that the 17 oversight board has approved a Recognized Obligation Payment 18 Schedule. 19 (2) If a successor agency does not submit a Recognized 20 Obligation Payment Schedule by the deadlines provided in this 21 subdivision, the city, county, or city and county that created the 22 redevelopment agency shall be subject to a civil penalty equal to 23 ten thousand dollars ($10,000)per day for every day the schedule 24 is not submitted to the department. The civil penalty shall be paid 25 to the county auditor-controller for allocation to the taxing entities 26 under Section 34183. If a successor agency fails to submit a 27 Recognized Obligation Payment Schedule by the deadline, any 28 creditor of the successor agency or the Department of Finance or 29 any affected taxing entity shall have standing to and may request 30 a writ of mandate to require the successor agency to immediately 31 perform this duty. Those actions may be filed only in the County 32 of Sacramento and shall have priority over other civil matters. 33 Additionally,if an agency does not submit a Recognized Obligation 34 Payment Schedule within 10 days of the deadline, the maximum 35 administrative cost allowance for that period shall be reduced by 36 25 percent. 37 (3) If a successor agency fails to submit to the department an 38 oversight board-approved Recognized Obligation Payment 39 Schedule that complies with all requirements of this subdivision 40 within five business days of the date upon which the Recognized 96 AB 1582 —g— 1 Obligation Payment Schedule is to be used to determine the amount 2 of property tax allocations, the department may detertnine if any 3 amount should be withheld by the county auditor-controller far 4 payments for enforceable obligations from distribution to taxing 5 entities, pending approval of a Recognized Obligation Payment 6 Schedule.The county auditor-controller shall distribute the portion 7 of any of the sums withheld pursuant to this paragraph to the 8 affected taxing entities in accordance with paragraph (4) of 9 subdivision (a) of Section 34183 upon notice by the department 10 that a portion of the withheld balances are in excess of the amount 11 of enforceable obligations. The county auditor-controller shall 12 distribute withheld funds to the successor agency only in 13 accordance with a Recognized Obligation Payment Schedule 14 approved by the department. County auditor-controllers shall lack 15 the authority to withhold any other amounts from the allocations 16 provided for under Section 34183 or 34188 unless required by a 17 court order. 18 (4) (A) The Recognized Obligation Payment Schedule payrnents 19 required pursuant to this subdivision may be scheduled beyond 20 the existing Recognized Obligation Payment Schedule cycle upon 21 a showing that a lender requires cash on hand beyond the 22 Recognized Obligation Payment Schedule cycle. 23 (B) When a payment is shown to be due during the Recognized 24 Obligation Payment Schedule period,but an invoice or other billing 25 document has not yet been received, the successor agency may 26 utilize reasonable estimates and projections to support payment 27 amounts for enforceable obligations if the successor agency submits 28 appropriate supporting documentation of the basis for the estimate 29 or projection to the department and the auditor-controller. 30 (C) A Recognized Obligation Payment Schedule may also 31 include appropriation of moneys from bonds subject to passage 32 during the Recognized Obligation Payment Schedule cycle when 33 an enforceable obligation requires the agency to issue the bonds 34 and use the proceeds to pay for project expenditures. 35 (n) Cause a postaudit of the financial transactions and records 36 of the successor agency to be made at least annually by a certified 37 public accountant. 38 (o) The changes made by the act that added this subdivision 39 shall not be construed to alter the semiannual distribution of 40 Redevelopment Property Tax Trust Fund payments made in 96 —9— AB 1582 1 accordance with the projected payment schedule of the approved 2 Recognized Obligation Payment Schedule. O 96 The Honorable Charles E. Schumer United States Senate 322 Hart Senate Office Building Washington D.C. 20510 Via Fax: (202) 228-3027 RE: H.R. 15 (Garcia) 8� S. 744 (Schumer) Notice of Support Dear Senator Schumer: On behalf of my city council colleagues, I wish to express the City of Palm Desert's support of both H.R. 15 and Senate Bill 744. These bills deal with the complex issue of border security, economic opportunity, and immigration. While this issue is more appropriately discussed at the Federal and State levels, of specific interest to the City of Palm Desert is "Section. 4503. Encouraginq Canadian Tourism to the United States," which provides Canadian retirees visiting the United States a special status. Canadian citizens at least 55 years old, who maintain a residence in Canada, would be allowed to visit the United States for 240 days each year instead of 180 days. A Canadian citizen would have to prove that he/she owns a residence in the United States, or has a rental agreement for accommodations in the United States for the duration of the stay. They could not work in the United States and their spouse would be admitted under the same conditions. Periods of time spent outside the United States during such 240-day period would not toll the expiration of such 240-day period. Leaving for any period of time does not extend the 240 days which is counted from the first date one enters the United States under this new proposal for visiting Canadian retirees. With its close proximity to California, Canada remains the second largest international market of origin for the state. California offers several positive attributes for Canadian travelers including reasonable airfares, cultural offerings, cosmopolitan cities, favorable weather, and an unparalleled experience from visiting resort communities such as Palm Desert. H.R. 15 (Garcia) & S. 744 (Schumer): Notice of Support June 12, 2014 Page 2 of 2 Approximately 1.62 million Canadians visited California in 2013 and spent $2.3 billion. The State is projected to see an annual growth of more than four percent from the Canadian market through 2016. Palm Desert supports any efforts to increase trade and tourism between our two countries. For these reasons, we support H.R. 15 and S. 744. Please let us know if you have any questions or need any additional information by contacting Stephen Y. Aryan, Risk Manager, at (760) 776-6326. Sincerely, VAN G. TANNER MAYOR cc: City Council The Honorable Dianne Feinstein, United States Senate The Honorable Barbara Boxer, United States Senate The Honorable Raul Ruiz, M.D., United States House of Representatives Scott White, Greater Palm Springs Convention & Visitors Bureau Barbara deBoom, Palm Desert Area Chamber of Commerce Erin Sasse, League of California Cities, esasse(a�cacities.org Anthony Gonsalves, Gonsalves and Sons, gonsalves(a�gonsalvi.com John M. Wohlmuth, City Manager Stephen Y. Aryan, Risk Manager Rudy Acosta, Assistant City Manager Paul S. Gibson, Director of Finance Donna Gomez, Marketing Manager The Honorabie Joe Garcia United States House of Representatives 1440 Longworth House Office Building Washington D.C. 20515 RE: H.R. 15 (Garcia) 8� S. 744 (Schumerl Notice of Support Dear Congressman Garcia: On behalf of my city council colleagues, I wish to express the City of Palm Desert's support of both H.R. 15 and Senate Bill 744. These bills deal with the complex issue of border security, economic opportunity, and immigration. While this issue is more appropriately discussed at the Federal and State levels, of specific interest to the City of Palm Desert is "Section. 4503. Encouraqina Canadian Tourism to the United States," which provides Canadian retirees visiting the United States a special status. Canadian citizens at least 55 years old, who maintain a residence in Canada, would be allowed to visit the United States for 240 days each year instead of 180 days. A Canadian citizen would have to prove that he/she owns a residence in the United States, or has a rental agreement for accommodations in the United States for the duration of the stay. They could not work in the United States and their spouse would be admitted under the same conditions. Periods of time spent outside the United States during such 240-day period would not toll the expiration of such 240-day period. Leaving for any period of time does not extend the 240 days which is counted from the first date one enters the United States under this new proposal for visiting Canadian retirees. With its close proximity to California, Canada remains the second largest international market of origin for the state. California offers several positive attributes for Canadian travelers including reasonable airfares, cultural offerings, cosmopolitan cities, favorable weather, and an unparalleled experience from visiting resort communities such as Palm Desert. H.R. 15 (Garcia) � S. 744 (Schumer): Notice of Support June 12, 2014 Page 2 of 2 Approximately 1.62 million Canadians visited California in 2013 and spent $2.3 billion. The State is projected to see an annual growth of more than four percent from the Canadian market through 2016. Palm Desert supports any efforts to increase trade and tourism between our two countries. For these reasons, we support H.R. 15 and S. 744. Please let us know if you have any questions or need any additional information by contacting Stephen Y. Aryan, Risk Manager, at (760) 776-6326. Sincerely, VAN G. TANNER MAYOR cc: City Council The Honorable Dianne Feinstein, United States Senate The Honorable Barbara Boxer, United States Senate The Honorable Raul Ruiz, M.D., United States House of Representatives Scott White, Greater Palm Springs Convention & Visitors Bureau Barbara deBoom, Palm Desert Area Chamber of Commerce Erin Sasse, League of California Cities, esasse _cacities.orq Anthony Gonsalves, Gonsalves and Sons, qonsalvesCa�gonsalvi.com John M. Wohlmuth, City Manager Stephen Y. Aryan, Risk Manager Rudy Acosta, Assistant City Manager Paul S. Gibson, Director of Finance Donna Gomez, Marketing Manager 968 1 "�A� REQUIRE�VIENT FOR REPORT.-NOt 2 later than 18 months after the da,te of the en- 3 actment of the JOLT Act of 2013, the Sec- 4 retary of State shall submit to the appropriate 5 corrimittees of Congress a re�ort on tlle results 6 of the pilot service earried out under this sec- 7 tion. H "(B� APPROPRIATE COlVIDIITTEES OF CU�1- 9 GRESS DEFI�'ED.—In this paragraph, tlie term 10 `appropriate committees of Congress' means— 11 "(i) the Committee on the Judiciary, 12 the Committee on Foreign Relations, and 13 the Committee on Appropriations of the 14 Senate; and 15 "(ii) the Committee on the Judiciary, 16 the Committee on Foreign Affairs, and the 17 Committee on Appropriations of the House 18 of Representatives.". 19 SEC. 4503. ENCOURAGING CANAD�AN TOUR,ISM TO THE ZO LTNITED STATES. 21 Section 214 (8 U.S.C. 1184), as amended by sections 22 3609, 4233, and 4405, is further amended by adding at 23 the end tlie following: Z.4 "(v� CANADIAN RETIREES.- •HR 15 IH 969 1 "(1) I� GE�E�.—The Secretary of Homeland 2 Security may admit as a visitor for pleasure as de- 3 scribed in section 101(a)(15)(S) any alien for a pe- 4 riod not to exceed 240 d�ys, if the alien dem- 5 onstrates, to tlle satisfaetion of tlie Secretary, tliat 6 the alien— 7 "(A) is a citizen of Canada; 8 "(B) is at least 55 years of age; 9 "(C) maintains a residence in Canada; 10 "(D) owns a residence in the United States 11 or has signed a rental agreement for accom- 12 modations in the United States for the duration 13 of the alien's stay in the United States; 14 "(E) is not inadmissible under section 212; 15 "(F) is not described in an,y ground of de- 16 portability under seetion 237; 17 "(G) will not engage in employment or 18 labor for hire in the United States; and 19 "(H) will not seek an,y form of assistance 20 or bene�it described in section 403(a) of the 21 Personal Responsibility and Work Opportunity 22 Reconciliation Act of 1996 (8 U.S.C. 1613(a)). 23 "(2) SPot;sE.—The spouse of an �lien de- 24 scribed in paragraph (1) may be admitted under the 25 same terms as the principal alien if the spouse satis- •HR 15 IH 970 1 fies the requirements of paragraph (1), other than 2 subparagraphs (B) and (D). 3 "(3) I�I�IG��T I�TENT.—In determining eli- 4 gibility for admission under this subsection, mainte- 5 nance of a residence irl t�ie United States shall not 6 be considered evidence of intent by the alien to 7 abandon the alien's residence in Canada. g "(4) PERIOD OF ADMISSION.—During any Sin- 9 gle 365-day period, an alien may be admitted as de- 10 scribed in section 101(a)(15)(B) pursuant to this 11 subsection for a period not to exceed 240 days, be- 12 ginning on the date of admission. Unless an exten- 13 sion is approved by the Secretary, periods of time 14 spent outside the United States during such 240-day 15 period shall not toll the e�piration of sueh 240-day 16 period.". 17 SEC. 4504. RETIREE VISA. 18 (a) NOIvI�IMIG��vTT ST�TUS.—Section 101(a)(15), 19 as amended, is further amended by inserting after sub- 20 paragraph (X) the following: 21 "(Y) subject to section 214(w), an alien 22 who, after the date of the enactment of the 23 JOLT Act of 2013— 24 "(i)(I) uses a-t least $500,000 in cash 25 to purch�,se 1 or more residences in the •HR 15 IA 1011 1 SEC. 4503. ENCOURAGING CANADIAN TOUR.ISM TO THE 2 iTNITED STATES. 3 Section 214 (8 U.S.C. 1184), as amended by sections 4 3609, 4233, and 4405, is further amended by adding at 5 the end the follow-ing: 6 "�V� C1INADIAN RETIREES,- 7 "(1) I� c�E:vE�.—The Secretary of Homeland 8 Security may admit as a visitor for pleasure as de- 9 scribed in section 101(a)(15)(B) any alien for a pe- 10 riod not to exceed 240 days, if the alien dem- 11 onstrates, to the satisfaction of the Secretary, tliat 12 the alien— 13 "(A) is a citizen of Canada; 14 "(B) is at least 55 years of age; 15 "(C) maintains a residence in Canada; 16 "(D) owns a residence in the United States 17 or has signed a rental agreement for accom- 18 modations in the United States for the duration 19 of the alien's stay in the United States; 20 "(E) is not inadmissible under section 212; 21 "(F) is not described in any ground of de- 22 portability under section 237; 23 "(G) will not engage in employment or 24 labor for hire in the United States; and 25 "(H) will not seek any form of assistance 26 or benefit described in section 403(a) of the S 744 PAP 1012 1 Personal Responsibility and Work Opportunity 2 Reconciliation Act of 1996 (8 U.S.C. 1613(a,)). 3 "(2) SPOLs�.—The spouse of an alien de- 4 scribed in paragraph (1) may be admitted under the 5 same terrns as tlle principal alien if the spouse satis- 6 fies the requirements of paragraph (1), other than 7 subparagraphs (B) and (D). 8 "(3) I�I�Ir�,a�vTT I�TE�T.—In determining eli- 9 gibility for admission under this subsection, mainte- 10 nance of a residence in the United States shall not 11 be considered evidenee of intent by the alien to 12 abandon the alien's residence in Canada. 13 "(4) PERIOD OF ADMISSION.—During any sin- 14 gle 365-day period, an alien may be admitted as de- 15 scribed in section 101(a)(15)(B) pursuant to tlus 16 subsection for a period not to exceed 240 days, be- 17 ginning on the date of admission. Unless an exten- 18 sion is approved b,y the Secretary, periods of time 19 spent outside the United States during such 240-da,y 20 period shall not toll the e�piration of such 240-day 21 period.". 22 SEC. 4504. RETIREE VISA. 23 (a) �Oi�IDI�VIICxRAlVT ST�Ttrs.—Section 101(a)(15), 24 as amended, is further amended by inserting after sub- 25 paragraph (X) the following: s �� raP