BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 418|
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THIRD READING
Bill No: AB 418
Author: Ammiano (D)
Amended: 8/30/11 in Senate
Vote: 21
SENATE NATURAL RESOURCES AND WATER COMM : 8-0, 06/28/11
AYES: Pavley, La Malfa, Cannella, Evans, Fuller, Kehoe,
Padilla, Wolk
NO VOTE RECORDED: Simitian
SENATE APPROPRIATIONS COMMITTEE : 9-0, 08/25/11
AYES: Kehoe, Walters, Alquist, Emmerson, Lieu, Pavley,
Price, Runner, Steinberg
ASSEMBLY FLOOR : 78-0, 05/19/11 - See last page for vote
SUBJECT : Tidelands and submerged lands: City and County
of
San Francisco: Pier 70
SOURCE : Author
DIGEST : This bill authorizes two exchanges of public
trust lands in San Francisco and places a variety of
conditions on the exchanges and the uses of the current
public trust lands.
ANALYSIS : Existing law grants to the City and County of
San Francisco the right, title, and interest of the State
of California in and to certain tidelands and submerged
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lands in trust for certain purposes. Under existing law,
the Burton Act, and the Burton Act transfer agreement, the
interest of the state in and to the Harbor of San Francisco
was transferred in trust to the City and County of San
Francisco. The State Lands Commission has jurisdiction
over tidelands and submerged lands of the state.
Regarding Pier 70, this bill:
1.Authorizes the State Lands Commission to approve an
exchange of trust lands within Pier 70 to allow for the
development of the area, subject to multiple conditions,
including:
The lands being exchanged out of the public trust
and Burton Act trusts are filled so that they are no
longer tidelands or navigable waterways;
The lands being impressed with the trust have a
monetary value equal to or greater than the monetary
value of the lands being exchanged out of the trust;
The lands being impressed with the trust will
provide a significant benefit to the trust;
There is public access to the trust lands and
streets, and other transportation facilities will
provide access to shoreline improvements; and
The exchange is in the best interests of the
statewide public.
1.Allows the Port to continue to hold title to lands that
are released from the public trust (e.g. trust
termination lands) so long as they are managed as assets
of the public trust. Any revenues generated from these
trust termination lands must be deposited into the Harbor
Fund. The Harbor Fund may be used by the Port for the
management of the trust termination lands subject to
certain conditions.
2.Allows historic buildings on the trust lands to be leased
for non-trust purposes so long as the buildings are
rehabilitated to federal restoration standards, the
leases allow for public access to view the historic
architectural amenities of the buildings, and the
Executive Officer of the Commission finds that the leases
are part of an overall program that furthers trust
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purposes.
3.Makes numerous findings and declarations regarding the
history of Pier 70, the future plans for the area, and
the need for a trust exchange.
Regarding Seawall Lot 330, this bill:
1.Terminates the public trust on Seawall Lot 330 in
perpetuity.
2.Allows the Port to convey the title and interest of
Seawall Lot 330 to any person so long as the Port
receives at least fair market value. Revenues or
considerations from the sale must be used for trust
purposes. Considerations may be in the form of
improvements to other trust lands within the Port's
jurisdiction.
3.Requires the Commission to review the appraisals used to
determine the fair market value of the lot.
4.Requires the Port, as a condition of selling the fee
title to Seawall Lot 330, to impress new lands with the
public trust. The new lands must be within or adjacent
to the San Francisco Bay, have a total area equal to or
greater than the area of Seawall Lot 330, and be useful
for trust purposes as determined by the Commission.
5.Makes numerous findings and declarations regarding
extensive needed capital improvements along the
waterfront, the insufficient revenues from the trust
lands to fund such improvements, the host agreement for
the 34th America's Cup, the economic impacts of hosting
the 34th America's Cup, and the current underutilization
of Seawall Lot 330.
6.Delineates definitions, including the exact delineations
of the properties to be exchanged, require additional
reporting by the Port to the Commission on the proposed
development of Pier 70 and Seawall Lot 330, conditions
the exchange of Seawall Lot 330 on the America's Cup race
actually occurring in San Francisco, require full
reimbursement of State Land's Commission costs by the
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Port, and make other technical changes.
Note: The purpose of the proposed land exchanges is to
facilitate development on lands that, while they are
under the public trust, are isolated from the San
Francisco Bay or have limited benefit to the public
in their current location and configuration. In part,
the development of these parcels will allow for
improvements necessary for San Francisco to host the
America's Cup in 2013.
Background
Section 3 of Article X of the California Constitution
prohibits all tidelands within two miles of any
incorporated city, city and county, or town from being
granted or sold to private parties unless the Legislature
finds that these tidelands are not used or necessary for
navigation. The Legislature may impose conditions on these
sales and grants to protect the public interest.
Chapter 1333 of the Statutes of 1968, otherwise known as
the Burton Act, allowed the granting of the Port of San
Francisco from the state to the City and County of San
Francisco. The Act allows San Francisco to operate,
manage, regulate, and improve the granted lands in a manner
consistent with the public trust. Allowable activities
include: activities for the promotion and accommodation of
commerce and navigation; and the construction, maintenance,
and operation of public buildings, parks, and public
educational and recreational facilities. The Burton Act
also allows San Francisco to lease portions of the granted
lands for periods up to 66 years for uses that are
consistent with the public trust and the state's commerce
and navigation needs. Revenues from the leases and other
uses of the granted lands are deposited into the Harbor
Trust Fund (Harbor Fund) and may only be used for the
management of San Francisco's granted trust lands.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
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Fiscal Impact (in thousands)
Major Provisions 2011-12 2012-13
2013-14 Fund
Implementation of the
Unknown costs, likely in the hundreds
General
exchanges of thousands. Fully reimbursed.
SUPPORT : (Verified 8/29/11)
City and County of San Francisco
Dogpatch Neighborhood Association
GreenTrustSF- Central Waterfront
Neighborhood Parks Council
Northern California District Council of the International
Longshore and Warehouse Union
Port of San Francisco
Potrero Boosters Neighborhood Association
San Francisco Architectural Heritage
San Francisco Building and Construction Trades Council
San Francisco Chamber of Commerce
San Francisco Planning and Urban Research Association
ARGUMENTS IN SUPPORT : According to the Port of San
Francisco, in support of the bill, "A trust realignment
will make both trust and non-trust parcels more valuable by
enabling major economic development and waterfront
restoration and providing for the preservation of ongoing
ship repair and historic resources, while creating a
vibrant and authentic historic district that will activate
new waterfront open spaces and development? Market
potential and community consensus suggest that cultural,
institutional, office, biotech, other commercial, and
perhaps a limited amount of residential uses, most of which
are not consistent with the public trust, should be
developed at Pier 70 in areas that are least suitable for
public trust uses, as reflected in the Master Plan. Higher
land value uses are essential to generating the revenues
needed to realize Pier 70's potential and the Port's
overarching goals. Realigning the land use regulations is
imperative to realizing the vision of a revitalized Pier
70."
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ASSEMBLY FLOOR : 78-0, 05/19/11
AYES: Achadjian, Allen, Ammiano, Atkins, Beall, Bill
Berryhill, Block, Blumenfield, Bonilla, Bradford,
Brownley, Buchanan, Butler, Charles Calderon, Campos,
Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson,
Donnelly, Eng, Feuer, Fletcher, Fong, Fuentes, Furutani,
Beth Gaines, Galgiani, Garrick, Gatto, Gordon, Grove,
Hagman, Halderman, Hall, Harkey, Hayashi, Roger
Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones,
Knight, Lara, Logue, Bonnie Lowenthal, Ma, Mansoor,
Mendoza, Miller, Mitchell, Monning, Morrell, Nestande,
Nielsen, Norby, Olsen, Pan, Perea, V. Manuel Pérez,
Portantino, Silva, Skinner, Smyth, Solorio, Swanson,
Torres, Valadao, Wagner, Wieckowski, Williams, Yamada,
John A. Pérez
NO VOTE RECORDED: Alejo, Gorell
CTW:nl 8/30/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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