BILL ANALYSIS Ó
AB 42
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Date of Hearing: May 11, 2011
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Felipe Fuentes, Chair
AB 42 (Huffman) - As Amended: March 17, 2011
Policy Committee: Water, Parks and
Wildlife Vote: 13-0
Urgency: No State Mandated Local Program:
No Reimbursable: No
SUMMARY
This bill authorizes the Department of Parks and Recreation
(DPR) to enter into agreements with nonprofit organizations for
development, improvement, restoration, care, maintenance,
administration or operation of state parks. Specifically, as
proposed to be amended, this bill:
1)Authorizes DPR to enter into agreements with qualified
nonprofit organizations for development, improvement,
restoration, care, maintenance, administration or operation of
state parks if doing so would enable the department to avoid
closure of a unit or units of the state park system.
2)Limits to 20 the number of park units for which the department
may enter into an agreement for operation of an entire park
unit.
3)Requires an operating agreement for a park unit to honor
existing concession agreements for that park unit.
4)Requires a nonprofit that enters into such an agreement to
report annually to the department and requires the department
to report to the Legislature biennially.
5)Specifies that all revenue generated by a park is to be spent
only on the maintenance, improvement or operation of the park.
6)Sunsets the bill's provisions as of January 1, 2019.
FISCAL EFFECT
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Unknown GF savings to operate state park units. The authority
provided by the bill is discretionary. Presumably, DPR will not
enter into agreements with nonprofits for the operation of state
park units unless the cost to do so would be no more than equal
to the cost to DPR to operate the park units itself.
COMMENTS
1)Rationale. The author contends the operating agreements
authorized by this bill may help maintain public access to
state parks until a permanent state parks funding source is
secured.
2)Background. 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 Department of Parks and
Recreation. In recent years, support for the state park
system declined and user fees increased. The Legislative
Analyst reports an average annual shortfall of $120 million
for ongoing maintenance and operation of state parks,
resulting in $1.3 billion in deferred maintenance.
The 2011-12 Governor's Budget proposes an $11 million
reduction in GF support to DPR and anticipates an additional
$11 million GF reduction in 2012-13, for an ongoing annual GF
budget reduction to DPR of $22 million. It is anticipated the
funding reductions will result in the full or partial closure
of a number of state parks.
3)Proposed Amendments. The author has proposed amendments to
the bill to:
a) Specify DPR may enter into agreements described only if
doing so will enable to department to avoid closure of a
unit or units of the state park system.
b) Limit to 20 the number of park units for which the
department may enter into an agreement for operation of an
entire park unit.
c) Require an operating agreement for a park unit to honor
existing concession agreements for that park unit.
d) Define a qualified nonprofit organization as one that
qualifies for exemption from taxation pursuant to the
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Internal Revenue Code and has as its principal purpose
providing park visitor and related services.
e) Sunset the bill's provisions as of January 1, 2019.
4)Support. The bill is supported by numerous park supporters and
advocates.
5)There is no registered opposition to this bill.
Analysis Prepared by : Jay Dickenson / APPR. / (916) 319-2081