(a) In any commission order giving approval to any change
of organization or reorganization, the commission may make that
approval conditional upon any of the following factors:
(1) Any of the conditions set forth in Section 56886.
(2) The initiation, conduct, or completion of proceedings for
another change of organization or a reorganization.
(3) The approval or disapproval, with or without election, as may
be provided by this division, of any resolution or ordinance ordering
that change of organization or reorganization.
(4) With respect to any commission determination to approve the
disincorporation of a city, the dissolution of a district, or the
reorganization or consolidation of agencies that results in the
dissolution of one or more districts or the disincorporation of one
or more cities, a condition that prohibits a district that is being
dissolved or a city that is being disincorporated from taking any of
the following actions, unless it first finds that either an emergency
situation exists as defined in Section 54956.5, or the legislative
body of the successor, as designated by the commission has taken
action approving one or more of the following actions:
(A) Approving any increase in compensation or benefits for members
of the governing board, its officers, or the executive officer of
the agency.
(B) Appropriating, encumbering, expending, or otherwise
obligating, any revenue of the agency beyond that provided in the
current budget at the time the commission approves the dissolution or
disincorporation.
(b) If the commission so conditions its approval, the commission
may order that any further action pursuant to this division be
continued and held in abeyance for the period of time designated by
the commission, not to exceed six months from the date of that
conditional approval.
(c) The commission order may also provide that any election called
upon any change of organization or reorganization shall be called,
held, and conducted before, upon the same date as, or after the date
of any election to be called, held, and conducted upon any other
change of organization or reorganization.
(d) The commission order may also provide that in any election at
which the questions of annexation and district reorganization or,
incorporation and district reorganization, or disincorporation and
district reorganization are to be considered at the same time, there
shall be a single question appearing on the ballot upon the issues of
annexation and district reorganization or incorporation and district
reorganization.
Any change of organization or reorganization may provide
for, or be made subject to one or more of, the following terms and
conditions. If a change of organization or reorganization is made
subject to one or more of the following terms and conditions in the
commission's resolution making determinations, the terms and
conditions imposed shall prevail in the event of a conflict between a
specific term and condition authorized pursuant to this section and
any of the general provisions of Part 5 (commencing with Section
57300). However, none of the following terms and conditions shall
directly regulate land use, property development, or subdivision
requirements:
(a) The payment of a fixed or determinable amount of money, either
as a lump sum or in installments, for the acquisition, transfer,
use, or right of use of all or any part of the existing property,
real or personal, of any city, county, or district.
(b) The levying or fixing and the collection of any of the
following, for the purpose of providing for any payment required
pursuant to subdivision (a):
(1) Special, extraordinary, or additional taxes or assessments.
(2) Special, extraordinary, or additional service charges,
rentals, or rates.
(3) Both taxes or assessments and service charges, rentals, or
rates.
(c) The imposition, exemption, transfer, division, or
apportionment, as among any affected cities, affected counties,
affected districts, and affected territory of liability for payment
of all or any part of principal, interest, and any other amounts
which shall become due on account of all or any part of any
outstanding or then authorized but thereafter issued bonds, including
revenue bonds, or other contracts or obligations of any city,
county, district, or any improvement district within a local agency,
and the levying or fixing and the collection of any (1) taxes or
assessments, or (2) service charges, rentals, or rates, or (3) both
taxes or assessments and service charges, rentals, or rates, in the
same manner as provided in the original authorization of the bonds
and in the amount necessary to provide for that payment.
(d) If, as a result of any term or condition made pursuant to
subdivision (c), the liability of any affected city, affected county,
or affected district for payment of the principal of any bonded
indebtedness is increased or decreased, the term and condition may
specify the amount, if any, of that increase or decrease which shall
be included in, or excluded from, the outstanding bonded indebtedness
of that entity for the purpose of the application of any statute or
charter provision imposing a limitation upon the principal amount of
outstanding bonded indebtedness of the entity.
(e) The formation of a new improvement district or districts or
the annexation or detachment of territory to, or from, any existing
improvement district or districts.
(f) The incurring of new indebtedness or liability by, or on
behalf of, all or any part of any local agency, including territory
being annexed to any local agency, or of any existing or proposed new
improvement district within that local agency. The new indebtedness
may be the obligation solely of territory to be annexed if the local
agency has the authority to establish zones for incurring
indebtedness. The indebtedness or liability shall be incurred
substantially in accordance with the laws otherwise applicable to the
local agency.
(g) The issuance and sale of any bonds, including authorized but
unissued bonds of a local agency, either by that local agency or by a
local agency designated as the successor to any local agency which
is extinguished as a result of any change of organization or
reorganization.
(h) The acquisition, improvement, disposition, sale, transfer, or
division of any property, real or personal.
(i) The disposition, transfer, or division of any moneys or funds,
including cash on hand and moneys due but uncollected, and any other
obligations.
(j) The fixing and establishment of priorities of use, or right of
use, of water, or capacity rights in any public improvements or
facilities or any other property, real or personal. However, none of
the terms and conditions ordered pursuant to this subdivision shall
modify priorities of use, or right of use, to water, or capacity
rights in any public improvements or facilities that have been fixed
and established by a court or an order of the State Water Resources
Control Board.
(k) The establishment, continuation, or termination of any office,
department, or board, or the transfer, combining, consolidation, or
separation of any offices, departments, or boards, or any of the
functions of those offices, departments, or boards, if, and to the
extent that, any of those matters is authorized by the principal act.
(l) The employment, transfer, or discharge of employees, the
continuation, modification, or termination of existing employment
contracts, civil service rights, seniority rights, retirement rights,
and other employee benefits and rights.
(m) The designation of a city, county, or district, as the
successor to any local agency that is extinguished as a result of any
change of organization or reorganization, for the purpose of
succeeding to all of the rights, duties, and obligations of the
extinguished local agency with respect to enforcement, performance,
or payment of any outstanding bonds, including revenue bonds, or
other contracts and obligations of the extinguished local agency.
(n) The designation of (1) the method for the selection of members
of the legislative body of a district or (2) the number of those
members, or (3) both, where the proceedings are for a consolidation,
or a reorganization providing for a consolidation or formation of a
new district and the principal act provides for alternative methods
of that selection or for varying numbers of those members, or both.
(o) The initiation, conduct, or completion of proceedings on a
proposal made under, and pursuant to, this division.
(p) The fixing of the effective date or dates of any change of
organization, subject to the limitations of Section 57202.
(q) Any terms and conditions authorized or required by the
principal act with respect to any change of organization.
(r) The continuation or provision of any service provided at that
time, or previously authorized to be provided by an official act of
the local agency.
(s) The levying of either of the following:
(1) Assessments or fees, including the imposition of a fee
pursuant to Section 50029 or 66484.3. For the purposes of this
section, imposition of a fee as a condition of the issuance of a
building permit does not constitute direct regulation of land use,
property development, or subdivision requirements.
(2) General or special taxes subject to approval by the voters.
(t) The extension or continuation of any previously authorized
charge, fee, assessment, or tax by the local agency or a successor
local agency in the affected territory.
(u) The transfer of authority and responsibility among any
affected cities, affected counties, and affected districts for the
administration of special tax and special assessment districts,
including, but not limited to, the levying and collecting of special
taxes and special assessments, including the determination of the
annual special tax rate within authorized limits; the management of
redemption, reserve, special reserve, and construction funds; the
issuance of bonds which are authorized but not yet issued at the time
of the transfer, including not yet issued portions or phases of
bonds which are authorized; supervision of construction paid for with
bond or special tax or assessment proceeds; administration of
agreements to acquire public facilities and reimburse advances made
to the district; and all other rights and responsibilities with
respect to the levies, bonds, funds, and use of proceeds that would
have applied to the local agency that created the special tax or
special assessment district.
(v) Any other matters necessary or incidental to any of the terms
and conditions specified in this section. If a change of
organization, reorganization, or special reorganization provides for,
or is made subject to one or more of, the terms and conditions
specified in this section, those terms and conditions shall be deemed
to be the exclusive terms and conditions for the change of
organization, reorganization, or special reorganization, and shall
control over any general provisions of Part 5 (commencing with
Section 57300).