ARTICLE 7. Leases [50490. - 50516.]

Cal. Government Code - GOV 7.
in effect

Cal. Government Code - GOV § 50490. Section 50490.

Pursuant to this article, the legislative body of a local agency may lease real property owned by it if: (a) The property was acquired for a particular purpose with funds derived from an assessment district. (b) It appears to the legislative body that it is advantageous to the owners of property in the local agency or assessment district to use the property for purposes other than the original purpose.

Cal. Government Code - GOV § 50491. Section 50491.

The legislative body shall lease the property upon receipt of a petition signed by the owners of at least 51 percent of the property lying in the assessment district created for the purpose of acquiring the property, and who have paid or are paying special assessment taxes or assessments for the purchase of the property.

Cal. Government Code - GOV § 50492. Section 50492.

The legislative body of the local agency or assessment district shall not lease the property or use it except for the purposes for which it is acquired unless such a petition is filed with it. It may lease or use the property only according to the terms of the petition.

Cal. Government Code - GOV § 50493. Section 50493.

The petition shall be in general language and no particular requirements are necessary for its validity, except it shall provide that the property be leased to the highest bidder. The petition may state the terms under which the property may be leased.

Cal. Government Code - GOV § 50494. Section 50494.

Upon receiving the petition, the legislative body may adopt a resolution of intention to lease the property according to the terms of the petition. The resolution of intention is sufficient if it states in general terms: (a) The terms of the petition. (b) The location of the property. (c) The purpose for which the property is proposed to be leased.

Cal. Government Code - GOV § 50495. Section 50495.

The resolution of intention shall also contain a notice of the time and place persons objecting to the proposed leasing may appear before the legislative body and show cause why the proposed leasing should not be executed in accordance with the resolution of intention and petition. The time shall be not less than fifteen, nor more than forty days after the passage of the resolution.

Cal. Government Code - GOV § 50496. Section 50496.

The clerk of the legislative body shall cause the resolution of intention to be published once a week for two successive weeks in one or more daily newspapers published and circulated in the local agency.

Cal. Government Code - GOV § 50497. Section 50497.

At the time fixed in the resolution of intention, any owner of property assessed or being assessed to purchase the property to be leased may appear before the legislative body and object to the lease. Failure to object at that time is a waiver of all objections to the proposed leasing and a bar to any subsequent action for the prevention of the leasing.

Cal. Government Code - GOV § 50498. Section 50498.

At any time not later than the hour set for hearing objections, any owner of property assessed or being assessed to purchase the property to be leased may make and deliver to the clerk of the legislative body a written protest against the proposed leasing. No other protest or objections shall be considered.

Cal. Government Code - GOV § 50499. Section 50499.

At the time for hearing protests, the legislative body shall hear and pass upon all protests and objections and its decision is final.

Cal. Government Code - GOV § 50500. Section 50500.

The legislative body shall also pass upon the protests filed by other persons than those petitioning. If in the opinion of a majority of the legislative body the protests are valid and the terms of the petition will not result in the leasing of the property to the best interests of the property owners, the legislative body may deny the petition and decline to proceed further unless a majority of the property owners consent to the terms in the protest allowed by the legislative body.

Cal. Government Code - GOV § 50504. Section 50504.

If a majority of the owners of property assessed or being assessed protest the leasing of the property pursuant to the petition, the legislative body shall cease all proceedings for leasing the property.

Cal. Government Code - GOV § 50505. Section 50505.

Unless the power to proceed has ceased, at the conclusion of the hearing and on a determination of all questions arising, the legislative body shall declare its finding that the owners of more than one-half of the area of the property in the assessment district created for the purchase or improvement of the property have not made written protest to the leasing of the property. The finding shall be declared by resolution entered in the minutes.

Cal. Government Code - GOV § 50506. Section 50506.

If the legislative body has denied the protests, or if no protests have been made, it shall by resolution order the property leased pursuant to the petition.

Cal. Government Code - GOV § 50507. Section 50507.

In the resolution ordering the lease the legislative body shall fix a time for receiving bids for the leasing of the property and the amount of the bond required and shall direct its clerk to give notice inviting sealed bids.

Cal. Government Code - GOV § 50508. Section 50508.

The time for receiving bids shall not be fixed until the first regular meeting of the legislative body after the expiration of 15 days following the adoption of the resolution ordering the property to be leased.

Cal. Government Code - GOV § 50509. Section 50509.

The legislative body shall cause a notice to be posted conspicuously for five days on or near the legislative body’s chamber door.

Cal. Government Code - GOV § 50511. Section 50511.

The notice shall be published once a week for two successive weeks in a daily, semiweekly, or weekly newspaper published or circulated in the local agency or assessment district.

Cal. Government Code - GOV § 50512. Section 50512.

If the property is offered for lease at a monthly rental, all bids shall be accompanied by a bond in the amount fixed by the legislative body.

Cal. Government Code - GOV § 50513. Section 50513.

If the petition requires the making of improvements upon the property and the payment of rentals in products from the land, royalties, or commissions, the bidder shall furnish with the bid a bond in the amount fixed by the legislative body and conditioned for the faithful performance of the obligations assumed by the bidder.

Cal. Government Code - GOV § 50515. Section 50515.

After the bid has been accepted by the legislative body, it shall enter into a lease with the highest bidder. The lease shall contain all the terms of the petition and provide for the payment of rentals, commissions, or royalties, in an amount equal to the amount in the accepted bid.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026

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