BILL ANALYSIS Ó AB 384 Page 1 Date of Hearing: April 25, 2011 ASSEMBLY COMMITTEE ON NATURAL RESOURCES Wesley Chesbro, Chair AB 384 (Chesbro) - As Amended: April 5, 2011 SUBJECT : State forest land: Jackson Demonstration State Forest SUMMARY : Authorizes the City of Fort Bragg (City) and the County of Mendocino (County) to acquire up to 17 acres of the Jackson Demonstration State Forest to develop a long-haul transfer station for solid waste management as part of a three-way land exchange involving the California Department of Forestry and Fire Protection (CDF) and Department of Parks and Recreation (DPR). EXISTING LAW : 1)Authorizes the Department of General Services (DGS), subject to legislative approval, to sell, lease, exchange, or transfer various specified properties for current market value, or upon terms and conditions as DGS determines are in the state's best interests. 2)Authorizes the CDF to engage in the management, protection, and reforestation of state forests. CDF's management must be in conformity with forest management practices designed to achieve maximum sustained production of high-quality forest products while giving consideration to values relating to recreation, watershed, wildlife, range and forage, fisheries, and aesthetic enjoyment. 3)Authorizes DPR to have control of the state park system. 4)Prohibits the Legislature from making any gift or authorizing the making of any gift, of any public money or thing of value to any individual, municipal, or other corporation. THE BILL : 1)Authorizes DGS to effectuate a three-way land exchange set at fair market value that would: a) Grant the City or County an option to acquire AB 384 Page 2 approximately 17 acres of CDF's Jackson Demonstration State Forest for the development of a solid waste transfer station. Upon purchase and the opening of a solid waste transfer station at this site, solid waste delivery and acceptance will be required to cease at the City and County's Caspar landfill property located by the Russian Gulch State Park. b) Grant CDF a 12.6 acre section of DPR's Russian Gulch State Park, which will be required to become part of the Jackson Demonstration State Forest. c) Grant DPR (i) a covenant restricting the use and activities on 60 acres of the City and County's Caspar Landfill property located on the boundary of the Russian Gulch State Park, which is currently a closed landfill and small volume solid waste transfer station, and (ii) a 99 year option to buy 35 acres of the Caspar Landfill property for $1. 2)Requires the City or County to reimburse the state for any difference in the appraisal value of the exchanged asset if the state receives less value in the exchange; reimburse the state for reasonable administrative costs incurred to complete the transfer of title; and be responsible for compliance with the California Environmental Quality Act. FISCAL EFFECT : Unknown COMMENTS : 1)Need for a Long-Haul Transfer Station. The City and County are looking for a site to build a long-haul transfer station for solid waste management. Currently, the Fort Bragg area does not have a long-haul transfer station, and in order to dispose of its trash for its 15,000 residents, it must collect trash in Waste Management's (WM) short-haul collection trucks that use detachable pods. Each pod holds up to five tons of trash, first collected at the Fort Bragg Haulers Yard, then detached and transported three-at-a-time, in 15-ton trips, over 30 miles to the Willits Transfer Station (WTS). The solid waste is dumped, repackaged, and reloaded once more in transfer trailers carrying 25 tons to its final destination at the Portero Hills Landfill (PHL) in Solano County. The entire journey is approximately 120 miles from the Fort Bragg Haulers AB 384 Page 3 Yard to the PHL. This process is extremely inefficient in terms of costs, fuel consumption, and emissions. Additionally, the WM pod collection trucks are no longer manufactured and current pod trucks are operating with scavenged parts, and could cease operation at any time. If this occurs, solid waste will have to be hauled even less efficiently to the WTS and annual costs would rise substantially. The WM contract is set to expire in 2014 and the City and County would like a new long-haul transfer station open by that date. 2)Three-Way Land Exchange. The Mendocino Solid Waste Management Authority (Authority) paid for a long-haul transfer station siting study in 2007. The study identified a 17 acre section of the Jackson Demonstration State Forest as a prime candidate. This section is isolated from the rest of the forest, has no timber significance or recreational function, is situated along the "road out" of the area so vehicle miles are minimized, has no adjoining uses that conflict with a transfer station, and has heavy vegetation that would screen it from neighboring properties. According to the Authority, the only viable alternative involves building the transfer station on the closed Caspar landfill, which is located next to the Russian Gulch State Park. The problems with this alternative is that DPR would likely oppose the project, the surrounding infrastructure is not suitable for heavy truck traffic, and vehicle miles and fuel consumption would be higher than at the Jackson Demonstration State Forest site. After discussions between the County, City, CDF, DPR, a plan emerged for a three-way land exchange-the plan proposed in the bill. On April 7, 2010, CDF adopted a resolution supporting the land exchange proposal. CDF would receive 12.66 acres from the Russian Gulch State Park, which has more timber potential than the land it would transfer in the exchange. DPR is also satisfied with the exchange as it would receive a restrictive covenant prohibiting any undesirable uses on the entire 60 acre Caspar landfill property, as well as a 99 year option with a price of $1 to purchase a 35 acre non-landfill portion of the Caspar site. AB 384 Page 4 DGS has been involved with the negotiations regarding the three-way land exchange to ensure that the exchange is in the best interest of the state and that the state receives fair market value for the lands transferred to the City or County. On April 12, 2011, the bill was passed on consent by the Assembly Committee on Business, Professions and Consumer Protection. REGISTERED SUPPORT / OPPOSITION : Support None on file Opposition None on file Analysis Prepared by : Mario DeBernardo / NAT. RES. / (916) 319-2092