BILL NUMBER: AB 95	CHAPTERED
	BILL TEXT

	CHAPTER  2
	FILED WITH SECRETARY OF STATE  MARCH 24, 2011
	APPROVED BY GOVERNOR  MARCH 24, 2011
	PASSED THE SENATE  MARCH 17, 2011
	PASSED THE ASSEMBLY  MARCH 17, 2011
	AMENDED IN SENATE  MARCH 17, 2011
	AMENDED IN SENATE  MARCH 15, 2011
	AMENDED IN SENATE  MARCH 14, 2011

INTRODUCED BY   Committee on Budget

                        JANUARY 10, 2011

   An act to amend Sections 19606.1, 19607.5, 19608.3, 19620.1, and
19627.5 of, to amend and renumber Sections 19621.1, 19621.3, 19622.1,
19622.2, 19622.3, 19622.4, 19630.5, and 19639 of, and to repeal
Sections 19606.3, 19606.4, 19620.2, 19621, 19621.2, 19630, 19632.5,
19632.6, 19635, 19638, and 19638.5 of, the Business and Professions
Code, to add Section 5007 to the Public Resources Code, to add
Section 326 to the Public Utilities Code, to amend Section 8352.6 of
the Revenue and Taxation Code, to amend Section 13260 of the Water
Code, and to amend Section 27 of Chapter 718 of the Statutes of 2010,
relating to public resources, making an appropriation therefor, to
take effect immediately, bill related to the budget.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 95, Committee on Budget. Public resources.
   (1) Existing law establishes the Fair and Exposition Fund for the
purpose of allocating moneys to provide financial support for the
network of California fairs. Existing law requires that $32,000,000
be transferred annually from the General Fund to the credit of a
separate account of the fund. Existing law provides that the revenues
in that separate account are continuously appropriated to the
Department of Food and Agriculture for specified purposes. In
addition, existing law requires the deposit of $10,000,000 of the
license fees for horse racing meetings into the fund and continuously
appropriates those funds to the 51st District Agricultural
Association for specified purposes.
   This bill would repeal that annual transfer from the General Fund
and those other provisions and make related changes.
   (2) Existing law requires specified revenues received by the
California Horse Racing Board to be deposited into the State Treasury
to the credit of the Fair and Exposition Fund. Existing law provides
that, in addition to those moneys deposited in the fund, the
Legislature shall appropriate, and the board shall deposit in the
fund, sums deemed necessary for the support of the board, as
specified, and to the department for oversight of the network of
California fairs, for contributions to the Unemployment Fund by the
network of fairs, and for auditing of specified fairs. Any
unallocated balance of revenues received by the board is continuously
appropriated for allocation by the Secretary of Food and Agriculture
for capital outlay to California fairs for specified projects or for
general operational support.
   This bill would repeal those provisions relating to revenues
received by the board and would instead provide that, from revenue
received by the department, the Legislature shall appropriate to the
department sums deemed necessary for oversight of the network of
California fairs and for auditing of specified fairs.
   (3) Existing law requires the Secretary of Food and Agriculture to
annually project the available revenues from the fund described
above, and to prepare an annual expenditure plan for funds available
from the fund. Existing law also requires the secretary to prepare
and submit to the Department of Finance an estimate of the
contributions, or the cost of benefits in lieu of contributions,
payable to the Unemployment Fund by all California fairs, as
specified.
   This bill would delete those provisions. The bill would also make
technical changes.
   (4) Under existing law, the Department of Parks and Recreation has
control of the state park system. The existing Tort Claims Act
provides for the liability and immunity of a governmental entity for
its acts or omissions that cause harm to persons.
   This bill would require the Department of Parks and Recreation to
achieve any required budget reductions by closing, partially closing,
and reducing services at selected units of the state park system and
would require the department to select the units to be closed based
solely on specified factors.
   The bill would provide immunity to a public entity and a public
employee for injury or damage either caused by a condition of public
property in or otherwise occurring at a state park system unit that
is designated as closed, partially closed, or subject to service
reduction by the department pursuant to these provisions.
   (5) Under existing law, the Public Utilities Commission has
regulatory authority over public utilities, as defined. Existing law
requires the commission, by January 10 of each year, to report to the
Joint Legislative Budget Committee and appropriate fiscal and policy
committees of the Legislature, on all sources and amounts of funding
and actual and proposed expenditures related to specified entities
or programs established by the commission. Existing law requires the
commission to adopt an updated Conflict of Interest Code and
Statement of Incompatible Activities.
   This bill would require that the commission, by January 10 of each
year, report to the Joint Legislative Budget Committee and
appropriate fiscal and policy committees of the Legislature, on all
sources and amounts of funding and actual and proposed expenditures
related to interactions by the commission, its officers, or its staff
with the California Public Utilities Commission Foundation. The bill
would require that within 8 weeks of any contribution to the
foundation made at the behest of a member of the commission, its
officers, or its staff, that the commission report the contribution
to the Joint Legislative Budget Committee and appropriate fiscal and
policy committees of the Legislature and include a certification that
the contribution does not violate the Conflict of Interest Code and
Statement of Incompatible Activities.
   (6) Existing law requires certain moneys on the first day of every
month to be transferred from the Motor Vehicle Fuel Account to the
Off-Highway Vehicle Trust Fund that are attributable to taxes imposed
upon distribution of motor vehicle fuel related to specified
off-highway motor vehicles and off-highway vehicle activities. The
moneys in the fund are required to be used, upon appropriation, for
specified purposes related to off-highway motor vehicle recreation.
   This bill would require the Controller to withhold $833,000 from
this monthly transfer, and transfer that amount to the General Fund.
   (7) The Porter-Cologne Water Quality Control Act, with certain
exceptions, requires a waste discharger to pay an annual fee
established by the State Water Resources Control Board. The act
requires the total amount of fees collected to equal that amount
necessary to recover certain costs relating to the administration of
waste discharge requirements. Revenues generated by the imposition of
the fee are deposited in the Waste Discharge Permit Fund for
expenditure, upon appropriation by the Legislature, for specified
water quality purposes.
   This bill, for the purpose of calculating the annual fee, would
authorize recoverable costs to also include costs incurred by the
State Water Resources Control Board and the California regional water
quality control boards in the adoption, review, and revision of
water quality control plans and state policies for water quality
control.
   (8) The Sacramento-San Joaquin Delta Reform Act of 2009
establishes the Delta Stewardship Council, which is required to
develop, adopt, and commence implementation of a comprehensive
management plan for the Delta (Delta Plan) by January 1, 2012. The
act provides that the council is the successor to the California
Bay-Delta Authority, which previously was required to carry out
programs, projects, and activities to implement the CALFED Bay-Delta
Program with other implementing agencies.
   Existing law requires the Governor, on or before April 1, 2011, to
submit to the Legislature a report on the budget for the 2011-12
fiscal year for all state agency programs that implement water and
ecosystem restoration activities in the Sacramento-San Joaquin Delta
using a zero-based budget methodology, as defined. Existing law
requires that budget to complement the budget for the CALFED
Bay-Delta Program, and requires all state expenditures reported in
the budget for the CALFED Bay-Delta Program for the 2011-12 fiscal
year to be reported using a zero-based budget methodology.
   This bill would require the Governor to submit the report on the
budget using zero-based budget methodology for the 2012-13 fiscal
year, instead of the 2011-12 fiscal year, and would require that
report to be submitted to the Legislature by April 1, 2012, instead
of April 1, 2011. The bill would additionally require the council, in
developing a zero-based budget for these purposes, to conduct a
programmatic review of CALFED Bay-Delta Program expenditures for
consistency with the Delta Plan.
   (9) The bill would appropriate $1,000 from the General Fund to the
Department of Parks and Recreation for administrative costs.
   (10) The California Constitution authorizes the Governor to
declare a fiscal emergency and to call the Legislature into special
session for that purpose. Governor Schwarzenegger issued a
proclamation declaring a fiscal emergency, and calling a special
session for this purpose, on December 6, 2010. Governor Brown issued
a proclamation on January 20, 2011, declaring and reaffirming that a
fiscal emergency exists and stating that his proclamation supersedes
the earlier proclamation for purposes of that constitutional
provision.
   This bill would state that it addresses the fiscal emergency
declared and reaffirmed by the Governor by proclamation issued on
January 20, 2011, pursuant to the California Constitution.
   (11) This bill would declare that it is to take effect immediately
as a bill providing for appropriations related to the Budget Bill.
   Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 19606.1 of the Business and Professions Code is
amended to read:
   19606.1.  (a) All license fees from satellite wagering that are
deposited in the Fair and Exposition Fund shall be deposited in a
separate account in the fund and, notwithstanding Section 13340 of
the Government Code, are continuously appropriated from that account
to the Department of Food and Agriculture, for allocation by the
Secretary of Food and Agriculture, at his or her discretion, for the
purposes set forth in paragraphs (1) to (6), inclusive. The
concurrence of the Director of Finance shall be required for
allocations pursuant to paragraphs (1) and (2). Allocations pursuant
to paragraphs (3) to (6), inclusive, shall be made with the
concurrence of the Joint Committee on Fairs Allocation and
Classification.
   (1) For the repayment of the principal of, interest on, and costs
of issuance of, and as security, including any coverage factor,
pledged to the payment of, bonds issued or to be issued by a joint
powers agency or other debt service or expense, including repayment
of any advances made or security required by any provider of credit
enhancement or liquidity for those bonds or other indebtedness or
expenses of maintaining that credit enhancement or liquidity,
incurred for the purpose of constructing or acquiring improvements at
a fair's racetrack inclosure, satellite wagering facilities at
fairs, health and safety repair projects, or handicapped access
compliance projects at fairs or for the purpose of refunding bonds or
other indebtedness incurred for those purposes. As used in this
paragraph, "coverage factor" means revenues in excess of the amount
necessary to pay debt service on the bonds or other indebtedness, up
to an amount equal to 100 percent more than the amount of that debt
service, which a joint powers agency, pursuant to the resolution or
indenture under which the bonds or other indebtedness are or will be
issued, pledges as additional security for the payment of that debt
service or is required to have or maintain as a condition to the
issuance of additional bonds or other indebtedness. Notwithstanding
any other provision of law, the department may also commit any funds
available for allocation under Article 10 (commencing with Section
19620) to complete projects funded under this paragraph in the
priority described in this paragraph.
   (2) For payment to the State Race Track Leasing Commission to be
pledged for the repayment of debt necessary to construct a racetrack
grandstand at the 22nd District Agricultural Association fairgrounds.
This payment shall be made only if the Secretary of Food and
Agriculture determines, annually, that all other pledged revenues
have been applied to the repayment of that debt and have been
determined by the secretary to be inadequate for that purpose.
   (3) For the payment of expenses incurred in establishing and
operating satellite wagering facilities at fairs.
   (4) For the support of an equipment and operating fund to produce
and display a consolidated California signal at satellite wagering
facilities and fairs.
   (5) For health and safety repair projects at fairs, which includes
fire and life safety improvement projects, California Code of
Regulations compliance projects, and long-term deferred maintenance
projects.
   (6) For the development and payment of revenue generating
projects, the establishment of pilot projects to restructure the
current fair system, and for projects realizing a cost savings for
more efficient utilization of existing fair resources.
   (b) The Secretary of Food and Agriculture may not make an
allocation for purposes of paragraphs (2) to (6), inclusive, of
subdivision (a) until the payments required in any fiscal year
pursuant to paragraph (1) of subdivision (a) have been funded.
   (c) Pursuant to subdivision (a), the Joint Committee on Fairs
Allocation and Classification shall review and concur, or not concur,
with the secretary's determination of the allocations to be made
pursuant to paragraphs (3) to (6), inclusive, of subdivision (a) in
total, and the committee may not add to, or delete projects or line
items from, the proposed allocations.
   (d) Approval of the Joint Committee on Fairs Allocation and
Classification is deemed complete when one of the following
conditions is met:
   (1) The annual Budget Act is enacted.
   (2) If the secretary's recommendations are received by the Joint
Committee on Fairs Allocation and Classification after the enactment
of the annual Budget Act, the recommendations shall be deemed
approved 30 days after they are received unless they are rejected by
the committee.
   (e) If the Joint Committee on Fairs Allocation and Classification
does not concur with the secretary's recommendations, the secretary
may submit another set of recommendations to the committee pursuant
to this section.
   (f) The payments required in any fiscal year for the purposes of
paragraphs (1) to (3), inclusive, of subdivision (a) shall be made
before any transfer is made pursuant to subdivision (g).
   (g) Except as otherwise provided in subdivision (f), if the
revenues deposited in the separate account exceed eleven million
dollars ($11,000,000) in any fiscal year, the amount in excess of
eleven million dollars ($11,000,000) shall be transferred to the Fair
and Exposition Fund for allocation in accordance with Section
19620.1.
   (h) All of the costs of administering the account created by
subdivision (a) shall be charged to the account.
  SEC. 2.  Section 19606.3 of the Business and Professions Code is
repealed.
  SEC. 3.  Section 19606.4 of the Business and Professions Code is
repealed.
  SEC. 4.  Section 19607.5 of the Business and Professions Code is
amended to read:
   19607.5.  (a) Notwithstanding any other provision of law, if both
a fair and a thoroughbred association are licensed by the board to
conduct live racing meetings within the northern zone during the same
calendar period, signals of both racing programs shall be accepted
at each live racing meeting within the northern zone and at all
satellite wagering facilities eligible to receive these programs.
   (b) Notwithstanding any other provision of law, in order to ensure
that fairs which previously had an exclusive right to send their
signals to satellite wagering facilities in the northern zone during
periods of overlap do not lose commission revenues from satellite
wagering, each fair that conducts its meeting during the period
described in subdivision (a) shall receive the following satellite
wagering commissions:
   (1) With respect to the 2nd District Agricultural Association in
Stockton, the commissions payable to the fair from satellite wagering
during the period described in subdivision (a) shall be the greater
of any of the following:
   (A) The actual commission earned by the fair from satellite
wagering on its live races during that period.
   (B) Fifty percent of the total combined satellite wagering
commissions payable to the thoroughbred association and the fair
during that period.
   (C) One hundred ten percent of the satellite wagering commissions
paid to the fair during its live racing meeting in 1990.
   If the satellite wagering commissions received by the 2nd District
Agricultural Association are less than the greater of the amounts
specified in subparagraph (B) or (C), the thoroughbred association
shall pay to the fair from amounts deducted from satellite wagering
on its meeting and before distribution of any satellite wagering
commissions and purses on its meeting, an amount equal to the
difference between the actual satellite wagering commissions received
by the fair in that year and the applicable amount from subparagraph
(B) or (C). No additional satellite wagering commission shall be
paid to the fair by an association unless the fair conducts live
racing during the period described in subdivision (a).
   (2) With respect to the California Exposition and State Fair in
Sacramento, the commissions payable to the fair from satellite
wagering during the period described in subdivision (a) shall be the
greater of either of the following:
   (A) The actual commission earned by the fair from satellite
wagering on its live races during that period.
   (B) Sixty percent of the total combined satellite wagering
commissions payable to the thoroughbred association and the fair
during that period.
   If the satellite wagering commissions received by the California
Exposition and State Fair are less than the amount described in (B),
the thoroughbred association shall pay to the fair from amounts
deducted from satellite wagering on its meeting and before
distribution of any satellite wagering commissions and purses on its
meeting, an amount equal to the difference between the actual
satellite wagering commissions received by the fair in that year and
the amount described in (B). No additional satellite wagering
commission shall be paid to the fair by an association unless the
fair conducts live racing during the period described in subdivision
(a).
   (c) During any periods described in subdivision (a), including
periods of overlap for fairs not specified in subdivision (b), the
thoroughbred association shall deduct the same percentage from the
total amount wagered in its daily conventional and exotic parimutuel
pools as the percentage deducted by the fair meeting. The amounts
deducted shall be distributed as otherwise provided in this article,
with the following exceptions:
   (1) If the percentages deducted from the conventional and exotic
parimutuel pools of the thoroughbred association under this
subdivision exceed the percentages deducted from the association's
pools during periods other than those described under subdivision
(a), the amount deducted which is equivalent to the difference
between those percentages shall be distributed by the thoroughbred
association equally between commissions and purses.
   (2) If a thoroughbred association and the 2nd District
Agricultural Association in Stockton or the California Exposition and
State Fair in Sacramento both conduct live racing meetings during
any period described in subdivision (a), the total amount deducted
shall be distributed by both the association and fair in the
percentages specified for fair meetings in subdivision (b) of Section
19605.7.
   This subdivision does not require any portion of the additional
deduction to be distributed pursuant to subdivision (c) of Section
19614.
   (d) Notwithstanding any other law, an association and fair that
conduct their meeting pursuant to subdivision (b) shall combine the
operating expenses incurred at satellite wagering facilities during
the period described in subdivision (a). For purposes of this
subdivision only, the combined satellite wagering operating expenses
of the association and the fair during the period described in
subdivision (a) shall not exceed the actual expenses, or 6 percent of
the combined parimutuel pool at satellite wagering facilities,
whichever amount is less.
  SEC. 5.  Section 19608.3 of the Business and Professions Code is
amended to read:
   19608.3.  (a) Funds allocated by the Secretary of Food and
Agriculture pursuant to paragraph (5) of subdivision (a) of Section
19606.1 for fire and life safety improvement projects, California
Code of Regulations compliance projects, and long-term deferred
maintenance projects at fairs in the northern zone shall be allocated
in accordance with a project schedule determined by the Department
of Food and Agriculture in compliance with this section.
   (b) The department shall prepare a three-year schedule of these
projects which commences July 1, 1987, and shall annually update the
schedule. The schedule shall list individual project costs, contain a
project description, and specify estimated project completion dates.

  SEC. 6.  Section 19620.1 of the Business and Professions Code is
amended to read:
   19620.1.  From the total revenue received by the department,
exclusive of money received pursuant to Sections 19640 and 19641, the
Legislature shall annually appropriate to the department those sums
as it deems necessary for the following purposes:
   (a) For the oversight of the network of California fairs receiving
money from the fund.
   (b) For the auditing of all district agricultural association
fairs, county fairs, and citrus fruit fairs.
  SEC. 7.  Section 19620.2 of the Business and Professions Code is
repealed.
  SEC. 8.  Section 19621 of the Business and Professions Code is
repealed.
  SEC. 9.  Section 19621.1 of the Business and Professions Code is
amended and renumbered to read:
   19621.  Notwithstanding any other law, neither the state nor the
Department of Food and Agriculture is liable for any contract or tort
of, or any action taken or any failure to act by, any fair in the
network of California fairs that does not comply with the
requirements of Section 19622.2.
   No member of the fair board, or any employee or agent thereof, is
personally liable for the contracts or actions of the fair board, and
no member of the fair board or employee or agent thereof is
responsible individually in any way to any other person for error in
judgment, mistakes, or other acts, either of commission or omission,
as principal, agent, or employee, except for his or her own
individual acts of dishonesty or crime. No member of the fair board
shall be held responsible individually for any act or omission of any
other member of the fair board. The liability of the members of the
fair board is several and not joint, and no member is liable for the
default of any other member.
  SEC. 10.  Section 19621.2 of the Business and Professions Code is
repealed.
  SEC. 11.  Section 19621.3 of the Business and Professions Code is
amended and renumbered to read:
   19621.1.  (a) The Secretary of Food and Agriculture shall prepare
and submit to the Department of Finance an estimate of revenue to be
deposited in the fund and allocations to be made from the fund for
each fiscal year.
   The Director of Finance may authorize short-term, cashflow loans
from the unappropriated surplus of the General Fund to the Fair and
Exposition Fund if all of the following conditions are met:
   (1) The loan will be repaid during the same fiscal year in which
it is made.
   (2) No loan exceeds the amount remaining to be allocated in any
fiscal year or 75 percent of the revenue estimated to be deposited in
the Fair and Exposition Fund during the remainder of the fiscal
year.
   (b) The Secretary of Food and Agriculture shall notify the
Controller when loans under this section are no longer required and
any unnecessary loan funds shall be returned to the General Fund.
  SEC. 12.  Section 19622.1 of the Business and Professions Code is
amended and renumbered to read:
   19622.  (a) In order to maintain their eligibility to receive
funds or to utilize state assets, the fairs specified in Section
19418 shall do all of the following:
   (1) File an annual statement of operations with the Department of
Food and Agriculture.
   (2) Conduct an annual fair that includes agriculture and other
community-relevant exhibits and competitions.
   (b) The Department of Food and Agriculture may withhold or
restrict allocations to fairs that do not comply with this section or
the fiscal standards or administrative standards established by the
department. The department shall establish an appeal process for
fairs regarding funds that are withheld or restricted.
  SEC. 13.  Section 19622.2 of the Business and Professions Code is
amended and renumbered to read:
   19622.1.  (a) The authority of the Department of Food and
Agriculture shall include, but is not limited to, requiring the
California Exposition and State Fair to meet all applicable standards
prescribed by the department.
   (b) The department may delegate approval authority for such
matters as the department may determine to the Board of Directors of
the California Exposition and State Fair if the fair complies with
this section.
   (c) Notwithstanding any other law, the department may assume all
rights, duties, and powers of the Board of Directors of the
California Exposition and State Fair if the department determines
there is insufficient fiscal or administrative control. The board of
directors shall again exercise these rights, duties, and powers when
the department determines that the fair has been restored to solvency
and is in compliance with this section.
   (d) The department may petition a court of competent jurisdiction
for an order appointing the department, or a person designated by the
department, as a receiver if it determines that the California
Exposition and State Fair is insolvent, or is in imminent danger of
insolvency. The court shall appoint a receiver upon showing that the
fair is insolvent, or is in imminent danger of insolvency.
   (e) For the purposes of this section, "insolvency" means that the
California Exposition and State Fair is unable to discharge its debts
as they become due in the usual course of business.
   (f) The General Fund and the Fairs and Exposition Fund shall be
held harmless from any debts, liabilities, settlements, judgments, or
liens incurred by the California Exposition and State Fair,
including any deficiency in operating funds.
  SEC. 14.  Section 19622.3 of the Business and Professions Code is
amended and renumbered to read:
   19622.2.  (a) The authority of the Department of Food and
Agriculture shall include, but is not limited to, requiring district
agricultural associations to meet all applicable standards prescribed
by the Department of Food and Agriculture.
   (b) The department may delegate approval authority for such
matters as the department may determine to the board of directors if
the board complies with this section. The department shall report
annually to the Joint Committee on Fairs Allocation and
Classification the names of fairs that are delegated that authority.
   (c) Notwithstanding any other law, and in order to protect the
integrity of the Fair and Exposition Fund, the department may assume
any or all rights, duties, and powers of the board of directors of a
district agricultural association if the department reasonably
determines that there is insufficient fiscal or administrative
control. The board of directors shall again exercise these rights,
duties, and powers when the department determines that the fair is in
compliance with this section. The department shall report annually
to the Joint Committee on Fairs Allocation and Classification the
names of fairs with respect to which the department has taken the
action prescribed in this subdivision and subdivision (d).
   (d) The department may petition a court of competent jurisdiction
for an order appointing the department, or a person designated by the
department, as a receiver if it determines that the fair is
insolvent, or is in imminent danger of insolvency. The court shall
appoint a receiver upon a showing that the fair is insolvent, or is
in imminent danger of insolvency.
   (e) For the purposes of this section, "insolvency" means that the
district agricultural association is unable to discharge its debts as
they become due in the usual course of business.
  SEC. 15.  Section 19622.4 of the Business and Professions Code is
amended and renumbered to read:
   19622.3.  The authority of the Department of Food and Agriculture
shall include, but is not limited to, requiring county fairs and
citrus fruit fairs to do all of the following:
   (a) Meet all applicable standards prescribed by the Department of
Food and Agriculture.
   (b) Submit to the department for review and approval every five
years a written agreement specifying the operational, financial, and
administrative responsibilities between the entity producing the fair
and the host county, or the host agency.
  SEC. 16.  Section 19627.5 of the Business and Professions Code is
amended to read:
   19627.5.  Notwithstanding Section 19623, any unanticipated
revenues, other than any allocation from the state, which are in
excess of the approved budget for any fiscal or calendar year of any
California fair shall be retained by that fair.
   These funds may be expended, without regard to any fiscal year, by
any fair to which Section 19623 applies, upon approval by the board
of directors of that fair, which shall be recorded in the official
minutes of the fair approving a plan of expenditure.
  SEC. 17.  Section 19630 of the Business and Professions Code is
repealed.
  SEC. 18.  Section 19630.5 of the Business and Professions Code is
amended and renumbered to read:
   19630.  Notwithstanding any other law, any fair qualified to
receive an allocation that has complied with the requirements set
forth in subdivision (b) of Section 19622, with the approval of the
Department of Food and Agriculture, may expend available funds for
the construction or operation of recreational and cultural facilities
of general public interest.
  SEC. 19.  Section 19632.5 of the Business and Professions Code is
repealed.
  SEC. 20.  Section 19632.6 of the Business and Professions Code is
repealed.
  SEC. 21.  Section 19635 of the Business and Professions Code is
repealed.
  SEC. 22.  Section 19638 of the Business and Professions Code is
repealed.
  SEC. 23.  Section 19638.5 of the Business and Professions Code is
repealed.
  SEC. 24.  Section 19639 of the Business and Professions Code is
amended and renumbered to read:
   19638.  The books and records of any county or citrus fruit fair
or exposition receiving an appropriation or an allocation from the
Fair and Exposition Fund, insofar as they relate to revenues and
expenditures for fair or exposition purposes, may be audited by the
Department of Finance.
   When any county or citrus fruit fair or exposition receiving an
appropriation or allocation from the Fair and Exposition Fund
contracts with an association to conduct such fair or exposition, the
contract shall include a provision that the books and records of
such association shall be subject to audit by the Department of
Finance at the discretion of the department.
  SEC. 25.  Section 5007 is added to the Public Resources Code, to
read:
   5007.  (a) The department shall achieve any required budget
reductions by closing, partially closing, and reducing services at
selected units of the state park system. For purposes of this
section, "required budget reductions" means the amount of funds
appropriated in the annual Budget Act to the department that is less
than the amount necessary to fully operate the 2010 level of 278
units of the state park system. The department shall select the units
to be closed based solely on all of the following factors:
   (1) The relative statewide significance of each park unit,
preserving to the extent possible, parks identified in the department'
s documents including "Outstanding and Representative Parks," the
"California State History Plan," and the "California State Parks
Survey of 1928."
   (2) The rate of visitation to each unit, to minimize impacts to
visitation in the state park system.
   (3) (A) The estimated net savings from closing each unit, to
maximize savings to the state park system.
   (B) For purposes of this subdivision, "net savings" means the
estimated costs of operation for the unit less the unit's projected
revenues and less the costs of maintaining the unit after it is
closed.
   (4) The feasibility of physically closing each unit.
   (5) The existence of, or potential for, partnerships that can help
support each unit, including concessions and both for-profit and
nonprofit partners.
   (6) Significant operational efficiencies to be gained from closing
a unit based on its proximity to other closed units where the units
typically share staff and other operating resources.
   (7) Significant and costly infrastructure deficiencies affecting
key systems at each unit so that continued operation of the unit is
less cost effective relative to other units.
   (8) Recent or funded infrastructure investments at a unit.
   (9) Necessary but unfunded capital investments at a unit.
   (10) Deed restrictions and grant requirements applicable to each
unit.
   (11) The extent to which there are substantial dedicated funds for
the support of the unit that are not appropriated from the General
Fund.
   (b) Notwithstanding Division 3.6 (commencing with Section 810) of
Title 1 of the Government Code, a public entity or a public employee
is not liable for injury or damage caused by a condition of public
property located in, or injury or damage otherwise occurring in, or
arising out of an activity in, a state park system unit that is
designated as closed, partially closed, or subject to service
reduction by the department pursuant to subdivision (a). This
immunity shall apply notwithstanding the fact that the public has
access, whether invited or uninvited, to the state park system unit,
and notwithstanding that the department may take actions such as
patrols, inspections, maintenance, and repairs necessary to protect
the state park system unit facilities and resources from
deterioration, damage, or destruction. The immunity provided by this
subdivision does not limit any other immunity or immunities available
to a public entity or a public employee.
  SEC. 26.  Section 326 is added to the Public Utilities Code, to
read:
   326.  (a) By January 10, 2012, and by January 10 of each year
thereafter, the commission shall report to the Joint Legislative
Budget Committee and appropriate fiscal and policy committees of the
Legislature, on all sources and amounts of funding and actual and
proposed expenditures, both in the two prior fiscal years and for the
proposed fiscal year, including any costs to ratepayers, related to
interactions by the commission, its officers, or its staff with the
California Public Utilities Commission Foundation, or any derivative,
or successor, or with any agent or director of the foundation,
including all of the following:
   (1) Attendance at meetings, conferences, or events organized or
sponsored by the foundation.
   (2) Any contract or other agreement between the commission, its
officers, or its staff and the foundation, including agreements
relating to attendance at any educational or training conference or
event.
   (3) Any agenda item, order, decision, resolution, or motion,
referencing the foundation.
   (4) Endorsements of the foundation or its activities.
   (5) Any contribution made to the foundation at the behest of a
member of the commission, its officers, or its staff, and any direct
or indirect contribution made to the foundation by a member of the
commission, its officers, or its staff. For purposes of this
paragraph, "contribution" means any payment, a forgiveness of a loan,
a payment of a loan by a third
        party, or an enforceable promise to make a payment, except to
the extent that full and adequate consideration is received.
   (b) (1) Within eight weeks of any contribution to the foundation
made at the behest of a member of the commission, its officers, or
its staff, the commission shall report the contribution to the Joint
Legislative Budget Committee and appropriate fiscal and policy
committees of the Legislature, and include any documents pertaining
to the contribution.
   (2) Each report shall include certification from the commission
that the contribution does not violate the Conflict of Interest Code
and Statement of Incompatible Activities adopted pursuant to Section
303.
  SEC. 27.  Section 8352.6 of the Revenue and Taxation Code is
amended to read:
   8352.6.  (a) (1) Subject to Section 8352.1, on the first day of
every month, there shall be transferred from moneys deposited to the
credit of the Motor Vehicle Fuel Account to the Off-Highway Vehicle
Trust Fund created by Section 38225 of the Vehicle Code an amount
attributable to taxes imposed upon distributions of motor vehicle
fuel used in the operation of motor vehicles off highway and for
which a refund has not been claimed. Transfers made pursuant to this
section shall be made prior to transfers pursuant to Section 8352.2.
   (2) The Controller shall withhold eight hundred thirty-three
thousand dollars ($833,000) from this monthly transfer, and transfer
that amount to the General Fund.
   (b) The amount transferred pursuant to paragraph (1) of
subdivision (a), as a percentage of the Motor Vehicle Fuel Account,
shall be equal to the percentage transferred in the 2006-07 fiscal
year. Every five years, starting in the 2013-14 fiscal year, the
percentage transferred may be adjusted by the Department of
Transportation in cooperation with the Department of Parks and
Recreation and the Department of Motor Vehicles. Adjustments shall be
based on, but not limited to, the changes in the following factors
since the 2006-07 fiscal year or the last adjustment, whichever is
more recent:
   (1) The number of vehicles registered as off-highway motor
vehicles as required by Division 16.5 (commencing with Section 38000)
of the Vehicle Code.
   (2) The number of registered street-legal vehicles that are
anticipated to be used off highway, including four-wheel drive
vehicles, all-wheel drive vehicles, and dual-sport motorcycles.
   (3) Attendance at the state vehicular recreation areas.
   (4) Off-highway recreation use on federal lands as indicated by
the United States Forest Service's National Visitor Use Monitoring
and the United States Bureau of Land Management's Recreation
Management Information System.
   (c) It is the intent of the Legislature that transfers from the
Motor Vehicle Fuel Account to the Off-Highway Vehicle Trust Fund
should reflect the full range of motorized vehicle use off highway
for both motorized recreation and motorized off-road access to other
recreation opportunities. Therefore, the Legislature finds that the
fuel tax baseline established in subdivision (b), attributable to
off-highway estimates of use as of the 2006-07 fiscal year, accounts
for the three categories of vehicles that have been found over the
years to be users of fuel for off-highway motorized recreation or
motorized access to nonmotorized recreational pursuits. These three
categories are registered off-highway motorized vehicles, registered
street-legal motorized vehicles used off highway, and unregistered
off-highway motorized vehicles.
   (d) It is the intent of the Legislature that the off-highway motor
vehicle recreational use to be determined by the Department of
Transportation pursuant to paragraph (2) of subdivision (b) be that
usage by vehicles subject to registration under Division 3
(commencing with Section 4000) of the Vehicle Code, for recreation or
the pursuit of recreation on surfaces where the use of vehicles
registered under Division 16.5 (commencing with Section 38000) of the
Vehicle Code may occur.
  SEC. 28.  Section 13260 of the Water Code is amended to read:
   13260.  (a) Each of the following persons shall file with the
appropriate regional board a report of the discharge, containing the
information that may be required by the regional board:
   (1) A person discharging waste, or proposing to discharge waste,
within any region that could affect the quality of the waters of the
state, other than into a community sewer system.
   (2) A person who is a citizen, domiciliary, or political agency or
entity of this state discharging waste, or proposing to discharge
waste, outside the boundaries of the state in a manner that could
affect the quality of the waters of the state within any region.
   (3) A person operating, or proposing to construct, an injection
well.
   (b) No report of waste discharge need be filed pursuant to
subdivision (a) if the requirement is waived pursuant to Section
13269.
   (c) Each person subject to subdivision (a) shall file with the
appropriate regional board a report of waste discharge relative to
any material change or proposed change in the character, location, or
volume of the discharge.
   (d) (1) (A) Each person who is subject to subdivision (a) or (c)
shall submit an annual fee according to a fee schedule established by
the state board.
   (B) The total amount of annual fees collected pursuant to this
section shall equal that amount necessary to recover costs incurred
in connection with the issuance, administration, reviewing,
monitoring, and enforcement of waste discharge requirements and
waivers of waste discharge requirements.
   (C) Recoverable costs may include, but are not limited to, costs
incurred in reviewing waste discharge reports, prescribing terms of
waste discharge requirements and monitoring requirements, enforcing
and evaluating compliance with waste discharge requirements and
waiver requirements, conducting surface water and groundwater
monitoring and modeling, analyzing laboratory samples, adopting,
reviewing, and revising water quality control plans and state
policies for water quality control, and reviewing documents prepared
for the purpose of regulating the discharge of waste, and
administrative costs incurred in connection with carrying out these
actions.
   (D) In establishing the amount of a fee that may be imposed on a
confined animal feeding and holding operation pursuant to this
section, including, but not limited to, a dairy farm, the state board
shall consider all of the following factors:
   (i) The size of the operation.
   (ii) Whether the operation has been issued a permit to operate
pursuant to Section 1342 of Title 33 of the United States Code.
   (iii) Any applicable waste discharge requirement or conditional
waiver of a waste discharge requirement.
   (iv) The type and amount of discharge from the operation.
   (v) The pricing mechanism of the commodity produced.
   (vi) Any compliance costs borne by the operation pursuant to state
and federal water quality regulations.
   (vii) Whether the operation participates in a quality assurance
program certified by a regional water quality control board, the
state board, or a federal water quality control agency.
   (2) (A) Subject to subparagraph (B), the fees collected pursuant
to this section shall be deposited in the Waste Discharge Permit
Fund, which is hereby created. The money in the fund is available for
expenditure by the state board, upon appropriation by the
Legislature, solely for the purposes of carrying out this division.
   (B) (i) Notwithstanding subparagraph (A), the fees collected
pursuant to this section from stormwater dischargers that are subject
to a general industrial or construction stormwater permit under the
national pollutant discharge elimination system (NPDES) shall be
separately accounted for in the Waste Discharge Permit Fund.
   (ii) Not less than 50 percent of the money in the Waste Discharge
Permit Fund that is separately accounted for pursuant to clause (i)
is available, upon appropriation by the Legislature, for expenditure
by the regional board with jurisdiction over the permitted industry
or construction site that generated the fee to carry out stormwater
programs in the region.
   (iii) Each regional board that receives money pursuant to clause
(ii) shall spend not less than 50 percent of that money solely on
stormwater inspection and regulatory compliance issues associated
with industrial and construction stormwater programs.
   (3) A person who would be required to pay the annual fee
prescribed by paragraph (1) for waste discharge requirements
applicable to discharges of solid waste, as defined in Section 40191
of the Public Resources Code, at a waste management unit that is also
regulated under Division 30 (commencing with Section 40000) of the
Public Resources Code, shall be entitled to a waiver of the annual
fee for the discharge of solid waste at the waste management unit
imposed by paragraph (1) upon verification by the state board of
payment of the fee imposed by Section 48000 of the Public Resources
Code, and provided that the fee established pursuant to Section 48000
of the Public Resources Code generates revenues sufficient to fund
the programs specified in Section 48004 of the Public Resources Code
and the amount appropriated by the Legislature for those purposes is
not reduced.
   (e) Each person that discharges waste in a manner regulated by
this section shall pay an annual fee to the state board. The state
board shall establish, by regulation, a timetable for the payment of
the annual fee. If the state board or a regional board determines
that the discharge will not affect, or have the potential to affect,
the quality of the waters of the state, all or part of the annual fee
shall be refunded.
   (f) (1) The state board shall adopt, by emergency regulations, a
schedule of fees authorized under subdivision (d). The total revenue
collected each year through annual fees shall be set at an amount
equal to the revenue levels set forth in the Budget Act for this
activity. The state board shall automatically adjust the annual fees
each fiscal year to conform with the revenue levels set forth in the
Budget Act for this activity. If the state board determines that the
revenue collected during the preceding year was greater than, or less
than, the revenue levels set forth in the Budget Act, the state
board may further adjust the annual fees to compensate for the over
and under collection of revenue.
   (2) The emergency regulations adopted pursuant to this
subdivision, any amendment thereto, or subsequent adjustments to the
annual fees, shall be adopted by the state board in accordance with
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code. The adoption of these regulations
is an emergency and shall be considered by the Office of
Administrative Law as necessary for the immediate preservation of the
public peace, health, safety, and general welfare. Notwithstanding
Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3
of Title 2 of the Government Code, any emergency regulations adopted
by the state board, or adjustments to the annual fees made by the
state board pursuant to this section, shall not be subject to review
by the Office of Administrative Law and shall remain in effect until
revised by the state board.
   (g) The state board shall adopt regulations setting forth
reasonable time limits within which the regional board shall
determine the adequacy of a report of waste discharge submitted under
this section.
   (h) Each report submitted under this section shall be sworn to, or
submitted under penalty of perjury.
   (i) The regulations adopted by the state board pursuant to
subdivision (f) shall include a provision that annual fees shall not
be imposed on those who pay fees under the national pollutant
discharge elimination system until the time when those fees are again
due, at which time the fees shall become due on an annual basis.
   (j) A person operating or proposing to construct an oil, gas, or
geothermal injection well subject to paragraph (3) of subdivision (a)
shall not be required to pay a fee pursuant to subdivision (d) if
the injection well is regulated by the Division of Oil and Gas of the
Department of Conservation, in lieu of the appropriate California
regional water quality control board, pursuant to the memorandum of
understanding, entered into between the state board and the
Department of Conservation on May 19, 1988. This subdivision shall
remain operative until the memorandum of understanding is revoked by
the state board or the Department of Conservation.
   (k) In addition to the report required by subdivision (a), before
a person discharges mining waste, the person shall first submit both
of the following to the regional board:
   (1) A report on the physical and chemical characteristics of the
waste that could affect its potential to cause pollution or
contamination. The report shall include the results of all tests
required by regulations adopted by the board, any test adopted by the
Department of Toxic Substances Control pursuant to Section 25141 of
the Health and Safety Code for extractable, persistent, and
bioaccumulative toxic substances in a waste or other material, and
any other tests that the state board or regional board may require,
including, but not limited to, tests needed to determine the
acid-generating potential of the mining waste or the extent to which
hazardous substances may persist in the waste after disposal.
   (2) A report that evaluates the potential of the discharge of the
mining waste to produce, over the long term, acid mine drainage, the
discharge or leaching of heavy metals, or the release of other
hazardous substances.
   (l) Except upon the written request of the regional board, a
report of waste discharge need not be filed pursuant to subdivision
(a) or (c) by a user of recycled water that is being supplied by a
supplier or distributor of recycled water for whom a master recycling
permit has been issued pursuant to Section 13523.1.
  SEC. 29.  Section 27 of Chapter 718 of the Statutes of 2010 is
amended to read:
  Sec. 27.  (a) It is the intent of the Legislature that a zero-based
budget for programs and expenditures related to water and ecosystem
restoration activities in the Sacramento-San Joaquin Delta will
enable the Legislature to better understand the overall size of the
state's investment in the Sacramento-San Joaquin Delta and how funds
are being allocated and prioritized for particular programs and
functions.
   (b) (1) On or before April 1, 2012, the Governor shall submit to
the Legislature a report on the budget for the 2012-13 fiscal year
for all state agency programs that implement water and ecosystem
restoration activities in the Sacramento-San Joaquin Delta, including
activities related to the CALFED Bay-Delta Program, using a
zero-based budget methodology.
   (2) The budget submitted pursuant to this subdivision shall
complement the budget display for the CALFED Bay-Delta Program budget
annually submitted by the Governor in conjunction with the budget,
and shall show all state agency expenditures that implement water and
ecosystem restoration activities in the Sacramento-San Joaquin
Delta. All state expenditures reported in the budget for the CALFED
Bay-Delta Program for the 2012-13 fiscal year shall be reported using
a zero-based budget methodology, regardless of whether the
appropriation authority is continuous or on an annual basis.
   (3) In developing a zero-based budget for the CALFED Bay-Delta
Program, the Delta Stewardship Council shall conduct a programmatic
review of CALFED Bay-Delta Program expenditures for consistency with
the Delta Plan developed pursuant to Section 85300 of the Water Code.

   (c) As used in the section, "zero-based budget methodology" means
determining a budget by starting with a base of zero dollars ($0) and
adding dollar amounts necessary to conduct specific activities and
operations. A zero-based budget shall set forth all of the following:

   (1) Each activity performed for which an appropriation is made or
is requested.
   (2) The legal basis for performing the activity.
   (3) An itemized justification for the amount requested to perform
the activity.
  SEC. 30.  There is hereby appropriated one thousand dollars
($1,000) from the State Parks and Recreation Fund to the Department
of Parks and Recreation for administrative costs.
  SEC. 31.  This act addresses the fiscal emergency declared and
reaffirmed by the Governor by proclamation on January 20, 2011,
pursuant to subdivision (f) of Section 10 of Article IV of the
California Constitution.
  SEC. 32.  This act is a bill providing for appropriations related
to the Budget Bill within the meaning of subdivision (e) of Section
12 of Article IV of the California Constitution, has been identified
as related to the budget in the Budget Bill, and shall take effect
immediately.