BILL ANALYSIS Ó AB 42 Page 1 Date of Hearing: March 22, 2011 ASSEMBLY COMMITTEE ON WATER, PARKS AND WILDLIFE Jared Huffman, Chair AB 42 (Huffman) - As Amended: March 17, 2011 SUBJECT : State Parks SUMMARY : Authorizes the Department of Parks and Recreation (DPR) to enter into contracts with qualified nonprofit organizations to assist with operation of state parks. Specifically, this bill : 1)States legislative findings regarding the benefits and fiscal challenges facing California's state park system, and the need for stable, reliable and adequate funding to support state parks. 2)Recognizes the importance, as the search for stable funding continues, of efforts to continue public access to state parks and to keep parks open, and acknowledges that nonprofit organizations can be important partners in assisting the state in that effort. 3)Authorizes DPR to enter into an operating agreement for the development, improvement, restoration, care, maintenance, administration or operation of a state park unit with a qualified nonprofit organization that exists to provide visitor services in state parks, facilitate public access, improve park facilities, or provide interpretive and educational services. 4)Requires any nonprofit who enters an operating agreement with DPR to submit an annual written report that would be publicly available providing a full accounting of all revenues and expenditures. 5)Requires that all revenues received from a state park unit shall be expended only for the care, maintenance, operation, administration, improvement or development of the unit. 6)Authorizes nonprofit organizations to contribute additional in-kind services and funds for the care, maintenance, operation, administration, improvement or development of the park. AB 42 Page 2 7)Requires DPR to provide a biennial report to the Legislature on the status of any operating agreements it has entered. EXISTING LAW : 1)Authorizes DPR to enter into operating agreements with local government entities for the operation of a state park unit. 2)Authorizes DPR to enter into contracts with for-profit companies for concession services in state parks. 3)Authorizes DPR to enter into cooperative agreements with nonprofit organizations to provide educational and interpretive services in state parks. 4)Authorizes DPR to enter into an operating agreement with a qualified nonprofit organization for the development, improvement, restoration, care, maintenance, administration, and control of El Presidio de Santa Barbara State Historic Park. 5)Authorizes DPR to enter into an operating agreement with a qualified nonprofit organization for the development, improvement, restoration, care, maintenance, administration, and control of the Marconi Conference Center. FISCAL EFFECT : Unknown COMMENTS : California's state park system is the largest in the nation and includes 278 state parks covering over 1.5 million acres of lands managed by the state Department of Parks & Recreation for their natural, cultural and historical values for present and future Californians. Over the past several years, the general fund budget for state parks has decreased while user fees have increased. Today the park system has a deferred maintenance backlog of over $1 billion. Last year as a result of budget reductions, hours of operation at many parks were reduced, and a number of campgrounds, visitor centers and other public services were closed. In November 2010, Proposition 21, a statewide ballot initiative which would have provided ongoing dedicated funding for state parks through a vehicle license surcharge failed passage. This year the Governor has proposed, and the legislative Budget Conference Committee approved, an $11 million reduction in General Fund (GF) support to DPR in the AB 42 Page 3 proposed 2011-12 budget. The Governor is also proposing an additional $11 million reduction in 2012-13, for an ongoing annual GF budget reduction to DPR of $22 million. These cuts are anticipated to necessitate the closure of a number of state parks this year throughout the system. The author and sponsor of this bill assert that while the search for stable funding continues, it is critical that creative opportunities for public/private partnerships be explored and encouraged in order to minimize the impacts to state parks and, where possible, maintain public access to park resources. Public/private partnerships are one tool which may help the state to keep a few of the parks open that would otherwise be subject to closure. Currently, there are 86 nonprofit cooperating associations that provide varying levels of support for individual state park units. Cooperating associations are non-profit charitable 501 (c) 3 organizations dedicated to enhancing educational and interpretive programs in California State Parks. The associations assist with educational activities, provide trained docents for fieldtrips, raise funds for state parks, and volunteer in a variety of other ways to support the operation of state parks. Some qualified nonprofit organizations could provide greater assistance to DPR with the operations of a state park unit if DPR had authority to enter into negotiated agreements with nonprofits for that purpose. Such agreements could potentially enable DPR to keep open a park that would otherwise be subject to closure. REGISTERED SUPPORT / OPPOSITION : Support California State Park Foundation (sponsor) Audubon California California League of Park Associations Central Coast Natural History Association Chino Hills State Park Interpretive Association Friends of Pio Pico, Inc. Friends of Santa Cruz State Parks Mendocino Area Parks Association Stewards of the Coast and Redwoods The Nature Conservancy Opposition AB 42 Page 4 None on file Analysis Prepared by : Diane Colborn / W., P. & W. / (916) 319-2096