republic-os/legislation/us/states/ca/20172018/ab-2339.md

---
type: "Bill"
title: "Water utility service: sale of water utility property by a city."
description: "Existing law authorizes the furnishing of utility services by publicly owned public utilities, including municipal corporations, which are subject to control by their governing bodies. Existing law authorizes any municipal corporation to acquire, construct, own, operate, or lease any public utility, as defined, and authorizes a municipal corporation to sell or dispose of any public utility it owns. Existing law establishes an alternative procedure whereby a municipal corporation can lease, sell, or transfer that portion of a water utility used for furnishing water service outside or inside the boundaries of the municipal corporation, including the determination that the public utility is not necessary for supplying water to its own inhabitants or that its inhabitants will be provided with equal or better service by the acquiring entity, the sale or transfer is approved by a majority of all voters voting on this issue in an election, and that the acquiring entity disclose specified information before the election."
jurisdiction: "us/states/ca"
legislature: "California Legislature"
session: "20172018"
identifier: "AB 2339"
citation: "California AB 2339 (20172018)"
classification: ["bill"]
subjects: ["Water utility service: sale of water utility property by a city."]
status: "enacted"
primary_sponsors: ["Gipson"]
version_count: 7
action_count: 26
vote_count: 7
first_action: "2018-02-13"
last_action: "2018-09-28"
source: "openstates"
source_identifier: "ocd-bill/d8ef0d33-8287-4c38-9392-761006a22693"
source_url: "http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201720180AB2339"
source_hash: "47284e6d7acf489919510aa97a74e4482ed8754375c26ba78156867f5a706cbd"
vintage: "2026-07-01"
source_snapshot: "https://data.openstates.org/daily/2026-07-01/public.pgdump"
retrieved_at: "2026-07-06"
confidence: "reported"
tags: ["legislation", "bill", "us-ca"]
---

# California AB 2339 (20172018) — Water utility service: sale of water utility property by a city.

Existing law authorizes the furnishing of utility services by publicly owned public utilities, including municipal corporations, which are subject to control by their governing bodies. Existing law authorizes any municipal corporation to acquire, construct, own, operate, or lease any public utility, as defined, and authorizes a municipal corporation to sell or dispose of any public utility it owns. Existing law establishes an alternative procedure whereby a municipal corporation can lease, sell, or transfer that portion of a water utility used for furnishing water service outside or inside the boundaries of the municipal corporation, including the determination that the public utility is not necessary for supplying water to its own inhabitants or that its inhabitants will be provided with equal or better service by the acquiring entity, the sale or transfer is approved by a majority of all voters voting on this issue in an election, and that the acquiring entity disclose specified information before the election.

## Version chain

The bill's text revisions, in order — the diff chain from filing to enrollment.

1. **02/13/18 - Introduced** (filed) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=201720180AB2339&version=20170AB233999INT)
2. **04/03/18 - Amended Assembly** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=201720180AB2339&version=20170AB233998AMD)
3. **07/05/18 - Amended Senate** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=201720180AB2339&version=20170AB233997AMD)
4. **08/15/18 - Amended Senate** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=201720180AB2339&version=20170AB233996AMD)
5. **09/28/18 - Chaptered** (committee substitute) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=201720180AB2339&version=20170AB233994CHP)
6. **AB2339** (committee substitute) — [source](http://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=201720180AB2339)
7. **08/29/18 - Enrolled** (enrolled) — [source](https://leginfo.legislature.ca.gov/faces/billPdf.xhtml?bill_id=201720180AB2339&version=20170AB233995ENR)

## Votes

- Do pass as amended — **7–0** (pass) · upper
- 3rd Reading AB2339 Gipson et al. By Delgado — **38–1** (pass) · upper
- Do pass and be re-referred to the Committee on [Appropriations] — **7–0** (pass) · lower
- AB 2339 GIPSON Concurrence in Senate Amendments — **64–11** (pass) · lower
- Do pass and be re-referred to the Committee on [Local Government] — **12–1** (pass) · lower
- AB 2339 GIPSON Assembly Third Reading — **59–13** (pass) · lower
- Do pass. — **13–2** (pass) · lower

## Sponsors

- Gipson — primary (person)
- Gallagher — coauthor (person)

## Timeline

The legislative action history — every referral, reading, and vote.

- **2018-02-13** Read first time. To print. `reading-1`
- **2018-02-14** From printer. May be heard in committee March 16.
- **2018-03-01** Referred to Coms. on W.,P., & W. and L. GOV. `referral-committee`
- **2018-03-20** From committee: Do pass and re-refer to Com. on L. GOV. (Ayes 12. Noes 1.) (March 20). Re-referred to Com. on L. GOV. `committee-passage-favorable, committee-passage, referral-committee`
- **2018-04-03** From committee chair, with author's amendments: Amend, and re-refer to Com. on L. GOV. Read second time and amended. `amendment-introduction, amendment-passage, reading-2, reading-1`
- **2018-04-04** Re-referred to Com. on L. GOV. `referral-committee`
- **2018-04-12** From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (April 11). Re-referred to Com. on APPR. `committee-passage-favorable, committee-passage, referral-committee`
- **2018-04-25** In committee: Set, first hearing. Referred to APPR. suspense file. `referral-committee`
- **2018-05-25** From committee: Do pass. (Ayes 13. Noes 2.) (May 25). `committee-passage-favorable, committee-passage`
- **2018-05-25** Read second time. Ordered to third reading. `reading-2, reading-1`
- **2018-05-31** Read third time. Passed. Ordered to the Senate. (Ayes 59. Noes 13. Page 5591.) `reading-3, passage, reading-1`
- **2018-06-04** In Senate. Read first time. To Com. on RLS. for assignment. `reading-1`
- **2018-06-13** Referred to Com. on GOV. & F. `referral-committee`
- **2018-07-03** From committee: Amend, and do pass as amended. (Ayes 7. Noes 0.) (June 27). `amendment-passage, committee-passage, amendment-introduction`
- **2018-07-05** Read second time and amended. Ordered to third reading. `reading-1, amendment-passage, reading-2`
- **2018-07-05** Re-referred to Com. on APPR. `referral-committee`
- **2018-08-06** From committee: Be ordered to second reading pursuant to Senate Rule 28.8. `committee-passage, reading-2`
- **2018-08-07** Read second time. Ordered to third reading. `reading-2, reading-1`
- **2018-08-15** Read third time and amended. Ordered to second reading. `amendment-passage, reading-3, reading-1`
- **2018-08-16** Read second time. Ordered to third reading. `reading-2, reading-1`
- **2018-08-22** Read third time. Passed. Ordered to the Assembly. (Ayes 38. Noes 1. Page 5608.). `reading-3, passage, reading-1`
- **2018-08-22** In Assembly. Concurrence in Senate amendments pending. May be considered on or after August 24 pursuant to Assembly Rule 77.
- **2018-08-28** Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 64. Noes 11. Page 6727.). `committee-passage-favorable, amendment-passage`
- **2018-09-06** Enrolled and presented to the Governor at 3 p.m.
- **2018-09-28** Approved by the Governor. `executive-signature`
- **2018-09-28** Chaptered by Secretary of State - Chapter 866, Statutes of 2018.

## Source

OpenStates / OpenCivicData bulk snapshot [2026-07-01](https://data.openstates.org/daily/2026-07-01/public.pgdump); origin `ocd-bill/d8ef0d33-8287-4c38-9392-761006a22693`. Confidence: reported (aggregated from official California legislature records).