State surplus property: armories: sales.

(1) Existing law authorizes the Director of General Services to dispose of state surplus property, subject to specified conditions, including authorization by the Legislature. This bill would authorize the director to dispose of 3 specified parcels of state property. The bill would also rescind the surplus property sale authorization of a specified parcel. The bill would subject the proceeds from one parcel to the reimbursement of federal equity financing, as specified. (2) The California Constitution provides that the proceeds from the sale of surplus state property be used to pay the principal and interest on bonds issued pursuant to the Economic Recovery Bond Act until the principal and interest on those bonds are fully paid, after which these proceeds are required to be deposited into the Special Fund for Economic Uncertainties. Existing statutory law similarly requires that the net proceeds received from any real property disposition be paid into the Deficit Recovery Bond Retirement Sinking Fund Subaccount, a continuously appropriated fund, until the bonds issued pursuant to the act are retired. By increasing the amount transferred into a continuously appropriated fund, this bill would make an appropriation. (3) Existing law authorizes the Director of General Services, with the approval of the Adjutant General, to lease and sell real property held for armory purposes, subject to legislative approval. Existing law establishes the Armory Fund and requires that the proceeds from the sale or lease of armories be deposited in the fund, for use, upon appropriation by the Legislature, for specified purposes related to armories. This bill would authorize the Director of General Services, with the approval of the Adjutant General, to sell specified armories, including improvements made to those armories. This bill would, notwithstanding the requirement for payment of sale proceeds into the Deficit Recovery Bond Retirement Sinking Fund Subaccount, require the proceeds from the sale to be deposited in the Armory Fund. This bill would require the Department of General Services to be reimbursed for any reasonable costs or expenses incurred in conducting a transaction involving those armories, as specified. This bill would provide that the disposition of certain property does not constitute a sale or other disposition of surplus property, as specified.