BILL ANALYSIS Ó AB 384 Page 1 Date of Hearing: May 4, 2011 ASSEMBLY COMMITTEE ON APPROPRIATIONS Felipe Fuentes, Chair AB 384 (Chesbro) - As Amended: April 5, 2011 Policy Committee: Business and Professions Vote: 9-0 (Consent) Natural Resources 9-0 (Consent) Urgency: No State Mandated Local Program: No Reimbursable: SUMMARY This bill authorizes a three-way property transfer involving the state and either Mendocino County or the City of Fort Bragg. Specifically, this bill: 1)Authorizes the Department of General Services (DGS) to effectuate a three-way land exchange, at fair market value, that would: a) Grant the City or County a five-year option to acquire 17 acres of the California Department of Forestry's (CDF's) Jackson Demonstration State Forest for the development of a solid waste transfer station. b) Grant CDF a 12.6 acre parcel of the Department of Parks and Recreation's (DPR's) Russian Gulch State Park, which will 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-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 AB 384 Page 2 the state receives less value in the exchange and to reimburse the state for reasonable administrative costs incurred to complete the transfer of title. FISCAL EFFECT No net state costs, as the bill requires the state to be compensated both for its administrative costs and any difference in land values if the state properties are appraised at less than the non-state properties. COMMENTS Background and Purpose . 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 lacks such a facility, thus its trash is collected in short-haul collection trucks that use detachable pods, each holding up to five tons of trash. These individual pods are then detached and transported three-at-a-time over 30 miles to the Willits Transfer Station (WTS), where 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. This entire journey of 120 miles from the Fort Bragg Haulers Yard to the PHL is extremely inefficient. The City and County, whose current solid waste contract is set to expire in 2014, would like a new long-haul transfer station open by that date. A 2007 long-haul transfer station siting study done for the Mendocino Solid Waste Management Authority identified a 17-acre section of the Jackson Demonstration State Forest as a prime candidate site. 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. DPR would likely oppose this approach. 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, and DPR, a plan emerged for a three-way land exchange as authorized by this bill. Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081 AB 384 Page 3