BILL NUMBER: AB 2620	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Achadjian

                        FEBRUARY 24, 2012

   An act to add Section 6320 to the Public Resources Code, relating
to tidelands and submerged lands.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2620, as introduced, Achadjian. Tidelands and submerged lands:
granted public trust lands.
   Existing law grants to various local entities the right, title,
and interest of the state in and to certain tidelands and submerged
lands in trust generally for purposes of commerce, navigation, and
fisheries, and for other public trust purposes. Existing law vests
the State Lands Commission with all jurisdiction and authority
remaining in the state as to tidelands and submerged lands as to
which grants have been or may be made.
   This bill would require the commission, by September 1, 2013, to
prepare a workload analysis and implementation plan that includes
specified items to ensure that the commission is able to fulfill its
oversight responsibilities with respect to all legislatively granted
public trust lands. The bill would also require the commission, in
preparing the workload analysis and implementation plan, to conduct
at least one public hearing and to consult with local trustees and
users of granted public trust lands.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) Upon admission to the United States, and as an incident of its
sovereignty, the State of California received title to the
tidelands, submerged lands, and beds of navigable waterways within
its borders to be held subject to the public trust doctrine for
statewide public purposes, including commerce, navigation, fisheries,
preservation of lands in their natural state, and other recognized
public trust uses.
   (b) The state has made grants of public trust lands to over 80
local public entities, each of which manages the state's public trust
lands as trustee pursuant to the public trust doctrine, legislative
grants, the California Constitution, and other laws governing the
trust and the trustee's fiduciary responsibilities.
   (c) A local trustee of granted public trust lands is charged with
managing the state's granted public trust lands on behalf of the
state for the benefit of all the people of California.
   (d) As part of its fiduciary duty, a local trustee of granted
public trust lands is required to take reasonable steps under the
circumstances to take and keep control of and preserve the trust
property.
   (e) All jurisdiction and authority remaining in the state as to
tidelands and submerged lands as to which grants have been or may be
made is vested in the State Lands Commission.
   (f) The use of revenues received from trust lands and trust assets
by a local trustee of granted public trust lands is limited by the
legislative grant, the public trust doctrine, and other laws
governing the trust. An evaluation of the proper use of granted
public trust lands necessarily includes evaluating whether the
operation and management of these resources managed on behalf of the
state by local trustees is consistent with the public trust for
commerce, navigation, and fisheries, and the applicable legislative
grants.
   (g) According to the State Auditor's report of August 2011, the
State Lands Commission "has not developed an audit plan designed to
ensure that the revenues generated on these granted lands are used
properly," and that "without oversight of granted lands, the
commission is neglecting its responsibility to protect the public
trust and risks having to address additional ongoing abuses of funds
dedicated for public trust uses."
   (h) As a result of the August 2011 review, the State Auditor
concluded that the State Lands Commission should establish a
monitoring program to ensure that the funds generated from granted
lands are expended in accordance with the public trust. The State
Auditor further concluded that, despite current understaffing
concerns, "the commission should perform a workload analysis to
determine the staffing levels it needs to fulfill its oversight
responsibilities of granted lands."
   (i) As a local trustee of granted public trust lands holds and
manages its public trust property, including the lands and revenue
derived from that property, as a state asset for the benefit of the
people of California and cannot use the trust corpus for general
municipal purposes or other purposes not consistent with the public
trust doctrine and its legislative grant, and because the State Lands
Commission is only being provided with a mechanism in this act to
sufficiently monitor the use and application of these state funds,
there is no state-mandated local program that results from the
implementation of this act.
  SEC. 2.  Section 6320 is added to the Public Resources Code, to
read:
   6320.  (a) For purposes of this section:
   (1) A "local trustee of granted public trust lands" means a
county, city, or district, including water, sanitary, regional park,
port, or harbor district, or any other local political or corporate
subdivision that has been granted public trust lands through a
legislative grant.
   (2) "Gross public trust revenues" means those gross revenues that
are subject to subdivision (b) of Section 6306.
   (b) The commission shall prepare a workload analysis and
implementation plan pursuant to this section to ensure that it is
able to fulfill its oversight responsibilities with respect to all
legislatively granted public trust lands.
   (c) The workload analysis and implementation plan shall be
prepared by September 1, 2013, and shall include all of the
following:
   (1) An assessment of the oversight and audit methodologies by
which the commission could most effectively and efficiently monitor
the activities of a local trustee of granted public trust lands.
   (2) The existing and historic gross public trust revenues that
would be subject to the commission's oversight.
   (3) An estimate of the financial cost of the implementation plan.
   (4) Strategies to fund the estimated financial cost of the
implementation plan.
   (5) Potential alternative strategies or reporting requirements
that could be taken by local trustees of granted public trust lands
that would avoid or mitigate costs to the commission associated with
the workload analysis and implementation plan.
   (6) Implementation measures and timetables.
   (d) In preparing the workload analysis and implementation plan,
the commission shall conduct at least one public hearing and consult
with local trustees of granted public trust lands and users of
granted public trust lands.