BILL ANALYSIS Ó Bill No: AB 737 SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION Senator Roderick D. Wright, Chair 2011-2012 Regular Session Staff Analysis AB 737 Author: Buchanan As Amended: June 28, 2012 Hearing Date: July 2, 2012 Consultant: Paul Donahue SUBJECT Boating and Waterways (Advisory) Commission; Governor's Reorganization DESCRIPTION This bill proposes legislative changes to the Governor's Reorganization Plan No. 2 (GRP 2), which will become effective by operation of law on July 3, 2012 unless either house of the Legislature adopts a resolution disfavoring it before that date. Specifically, this bill : 1)Creates the Boating and Waterways Commission within the Division of Boating and Waterways, a proposed division created by GRP 2 within the Department of Parks and Recreation (DPR) ÝGRP 2 eliminates the Department of Boating and Waterways]. 2)Specifies that the Commission shall be composed of 7 members appointed by the Governor and subject to Senate confirmation, shall have boating-related experience, and that the Governor shall give primary consideration to the geographical residence of commissioners as related to boating activities. 3)Provides for staggered terms for commissioners, and specifies various desirable characteristics and occupations for commissioners. AB 737 (Buchanan) continued Page 2 4)Sets forth additional operational particulars regarding the Commission, such as a requirement for a majority vote prior to any Commission action, that the Commissioners shall receive $100 per day in salary, up to a maximum of 14 days per year, and the like. 5)Specifies that DPR's Division of Boating and Waterways shall do the following: a) Submit proposed changes in regulations pertaining to boating functions and responsibilities to the Commission for its advice and comment prior to enactment of changes. b) Submit proposals for transfers of small craft harbors, loans to build same, and grants for launching facilities to the Commission for its advice and comment. c) Submit any project proposed for approval to the Commission if it could have a potentially significant impact on either public health or safety, public access or the environment to the Commission for its advice and comment. 6)Provides that the Commission shall have the following duties: a) Be fully informed regarding all governmental activities affecting Division programs. b) Meet at least 4 times a year to receive comments on the implementation of programs administered by the Division. c) Receive public comments at a public hearing on specified projects. d) Review and comment annually to the Division on the proposed budget of expenditures from the Harbors and Watercraft Revolving Fund. e) Review plans for new and expanded local and regional waterways, piers, docks or other recreational areas that have applied for grant or loan funds from the Division, prior to approval by the Division. AB 737 (Buchanan) continued Page 3 7)Requires the Commission to submit a program report to the Governor and the relevant policy and fiscal committees of the Legislature on January 1, 2013 and every 3 years thereafter. 8)Provides that this bill shall become operative only if GRP 2 becomes effective. EXISTING LAW 1)Establishes the Department of Boating and Waterways (DBW) in the Natural Resources Agency and charges the Department with duties related to beach erosion, harbors, and recreational boat trails. 2)Establishes the Boating and Waterways Commission to advise DBW with respect to all matters within the jurisdiction of the DBW. 3)Requires the Department to submit any proposed changes in regulations pertaining to boating functions and responsibilities of the department to the commission for its review and comment prior to enactment of changes. 4)Specifies that transfers of small craft harbors, loans to build same, and grants for launching facilities shall be submitted by DBW to the Commission for its advice and consent. 5)Specifies that a reorganization plan submitted by the Governor shall become effective the first day after 60 calendar days of continuous session of the Legislature after the date on which the plan is transmitted to each house, or at a later date as may be provided by the plan, unless, prior to the end of the 60 days, either house of the Legislature adopts a resolution disfavoring the reorganization. BACKGROUND 1)Purpose : This bill is one of several measures that amend various provisions of GRP 2, which is a comprehensive gubernatorial reorganization of state government agencies and departments. The author intends to submit this bill to the Governor for consideration as a companion measure AB 737 (Buchanan) continued Page 4 to GRP 2. The GRP 2 would transfer DBW into DPR as a division within DPR, and would eliminate the Boating and Waterways Commission altogether. Instead, this bill would reconstitute the Boating & Waterways Commission, but the Commission would no longer have any authority to approve (or deny) transfers of small craft harbors to local entities, loans to build small craft harbors, and grants for launching facilities. Under this bill the Commission could only comment on these proposed actions. 2)Rationale for continuation of Commission is elusive : Under existing law, the Commission performs meaningful functions, in that it has the authority to give its advice and consent to loans, grants and transfers relating to small craft harbors and related property. Under this bill, the Commission would only have the power to make comments on these proposed actions, but it could neither approve nor deny a loan, grant, transfer or other action proposed by DPR. 3)Bill does not appear to be responsive to criticisms of GRP 2 : During the Senate informational hearing on GRP 2, several witnesses voiced objections to the plan to subsume the DBW into the DPR. Among other things, opponents to this plan stated fears that the money in the Harbors and Watercraft Revolving Fund would fund DPR activities and priorities, and would no longer be used exclusively for small craft harbors and boat launches, or to fight beach erosion and invasive species in state waterways. Continuation of the Boating and Waterways Commission with reduced oversight powers doesn't appear to address these concerns. 4)Recommendations : The Committee may wish to consider holding this bill pending implementation of GRP 2, at which time the Legislature can reexamine whether or not to create a Commission to oversee the Division of Boating and Waterways within DPR. Should the Committee agree that the Commission should be spared in the pending gubernatorial reorganization, then the bill should be amended to grant powers to the Committee that correspond with those conferred on the Commission as it now exists. AB 737 (Buchanan) continued Page 5 PRIOR/RELATED LEGISLATION Governor's Reorganization No. 2 (2011-2012 Session) transfers the Department of Boating and Waters into the Department of Parks and Recreation as a division of that department and eliminates the Boating and Waterways Commission. (Pending in Senate) SUPPORT: None on file OPPOSE: None on file FISCAL COMMITTEE: Senate Appropriations Committee **********