BILL ANALYSIS SB 1058 Page 1 Date of Hearing: August 4, 2010 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair SB 1058 (Harman) - As Amended: June 17, 2010 Policy Committee: Water, Parks and Wildlife Vote: 11-0 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill establishes the Upland Game Bird Account (UGBA) and the Big Game Management Account (BGMA) within the Fish and Game Preservation Fund (FGPF). Specifically, this bill: 1)Establishes two accounts within the FGPF: (a) the UGBA, to receive all revenue from the sale of upland game bird validations and stamps; and (b) the BGMA, to receive all revenue from the sale of antelope, elk, deer, wild pig, bear, and sheep tags. 2)Makes funds in the UGBA available, upon appropriation of the Legislature, to the Department of Fish and Game (DFG) for acquisitions, projects and programs to benefit upland game bird species and to expand public hunting opportunities. 3)Makes funds in the BGMA available, upon appropriation, to DFG for acquisitions, projects and programs to benefit antelope, elk, deer, wild pigs, bear, and sheep and to expand public hunting opportunities. 4)Establishes two, separate stakeholder advisory committees to review and comment on planned expenditures from the UGBA and the BGMA, respectively. 5)Requires DFG to post UGMA and BGMA budget information on its Web site. 6)Identifies hunting and fishing as particularly desirable uses among the many uses of wildlife management areas to be encouraged by the Fish and Game Commission. SB 1058 Page 2 FISCAL EFFECT 1)Minor, absorbable one-time costs to establish UGBPA and BGMA (FGPF.) 2)Redirection of approximately $8.7 million in nondedicated funds from the FGPF to the two subaccounts created by this bill-about $7.2 million to the BGMA and about $1.5 million to the UGBPA. 3)Minor ongoing costs to DFG, likely less than $50,000 annually, to administer funds and maintain required fund information on its Web site. (FGPF.) COMMENTS 1)Rationale . The author contends this bill allows greater transparency and oversight to ensure hunting license tag and stamp funds benefit bird and game species and their habitats. 2)Background . a) Hunting Regulation and Revenue. Existing law establishes hunting seasons, bag limits, and other restrictions on hunting game in California, including the requirement that hunters obtain a seasonal hunting license. In addition, hunters may be required to purchase tags to permit the hunting of specific animals, such as deer, elk, bear, wild pigs, antelope, bighorn sheep, and upland game birds. Revenue from the sale of these licenses and tags is deposited in the FGPF. Some funds in the FGPF are deposited in "dedicated accounts" and may be used only for narrow purposes, such as species-specific habitat restoration. Other funds in the FGPF are "nondedicated" and may be used for broader habitat benefit purposes. For example, DFG may use funds from the sale of bear hunting licenses for projects that benefit wild pig habitat or that benefit game habitat overall. b) History of Concern with Management of Fish and Game Preservation Fund. In 2005, a state audit of DFG's administration of the FGPF criticized the department's use SB 1058 Page 3 of those funds to cover deficits in other funds. Similarly, in 2006, the Legislative Analyst's Office (LAO) found "inappropriate budgeting practices" in regard to DFG's management of the FGPF, including inappropriately shifting money within the FGPF to cover deficits within the fund and failing to provide key budget information to the Legislature. 3)Why Hunting and Fishing, in Particular ? "Wildlife management areas" are lands managed by DFG to protect and enhance habitat for wildlife and to provide for wildlife-related public uses. Existing statute declares the desirability of "multiple recreational use" of the state's wildlife management areas and calls on the Fish and Game Commission to encourage that use. This bill would modify existing statute in a way that elevates the desirability of hunting and fishing in wildlife management areas above other uses of those areas. It is unclear what purpose is served by this subtle, yet significant, change in state policy concerning management of the state's wildlife management areas. Nor is it clear that a bill that concerns DFG's accounting procedures is the appropriate vehicle for such a policy change. The committee may wish to amend the bill so that it does not promote hunting and fishing over the other, coequal uses of wildlife management areas. 4)Related Legislation. a) SB 589 (Harman, 2009 ), similar to this bill, passed the Assembly 73-0 and was vetoed by the governor. b) SB 1535 (Kuehl, Chapter 667, Statutes of 2006) adopted a number of recommendations made by the LAO in its review of DFG's management of the FGPF, including requiring the Secretary for Resources to annually report on the fund conditions accounts of the FGPF as part of the annual budget process. Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081