BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 595| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ UNFINISHED BUSINESS Bill No: SB 595 Author: Wolk (D) Amended: 6/29/11 Vote: 21 SENATE NATURAL RESOURCES & WATER COM. : 9-0, 3/22/11 AYES: Pavley, La Malfa, Cannella, Evans, Fuller, Kehoe, Padilla, Simitian, Wolk SENATE JUDICIARY COMMITTEE : 4-0, 4/26/11 AYES: Evans, Blakeslee, Corbett, Leno NO VOTE RECORDED: Harman SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 SENATE FLOOR : 39-0, 5/31/11 AYES: Alquist, Anderson, Blakeslee, Calderon, Cannella, Corbett, Correa, De León, DeSaulnier, Dutton, Emmerson, Evans, Fuller, Gaines, Hancock, Harman, Hernandez, Huff, Kehoe, La Malfa, Leno, Lieu, Liu, Lowenthal, Negrete McLeod, Padilla, Pavley, Price, Rubio, Runner, Simitian, Steinberg, Strickland, Vargas, Walters, Wolk, Wright, Wyland, Yee NO VOTE RECORDED: Berryhill ASSEMBLY FLOOR : 74-0, 8/22/11 - See last page for vote SUBJECT : Tidelands and submerged lands: removal of vessels SOURCE : California State Lands Commission CONTINUED SB 595 Page 2 DIGEST : This bill revises provisions regarding the authorization of the State Lands Commission (Commission) to remove unattended vessels that obstruct traffic or create a hazard to other vessels or property by allowing the Commission to take immediate action, without notice, to remove vessels and expand the circumstances in which that authority may be exercised. Assembly Amendments establish the definition of "unclaimed," in regards to the bill, and make technical changes. ANALYSIS : Existing Law 1. Permits the Commission to eject trespassers from any tide and submerged land, beds of navigable channels, streams, rivers, creeks, lakes, bays, and inlets under its jurisdiction through a court action, and recover its costs of ejectment through that legal action. 2. Allows the Commission to remove, from areas under its jurisdiction, any vessel, boat, raft, or watercraft which either: (a) is left unattended and is moored, docked, beached, or made fast to land in a position as to obstruct the normal movement of traffic, or to create a hazard to other vessels, to public safety, or to the property of another; or (b) seriously interferes with, or otherwise poses a critical and immediate danger to navigation or to the public health, safety, or welfare 3. Allows the Commission, through appropriate court action, to remove or destroy any vessel, boat, watercraft, raft, or other similar obstruction which hinders navigation or otherwise creates a public nuisance in areas under the commission's jurisdiction. 4. Allows the commission to recover costs incurred in removal actions undertaken through appropriate action in the courts of this state. SB 595 Page 3 This bill: 1. Expands the above authority of the Commission, by revising the above provisions to instead, allows the Commission to take immediate action, without notice, to remove from areas within its jurisdiction: A. Vessels that are left unattended and are moored to land in a position that obstructs the normal movement of traffic, or in a condition as to create a hazard to navigation, other vessels, or property of another. B. Vessels that pose a significant threat to the public health, safety, or welfare or to sensitive habitat, wildlife, or water quality, or that constitute a public nuisance. 2. Allows the Commission to remove, from areas under its jurisdiction, a vessel that has been placed on state lands without permission. Prior to removal, the commission shall: A. Give 30-day notice to remove the vessel by attaching it to the vessel in a clearly visible place. B. Use reasonable means to identify and locate the owner and any lienholder. If the owner is located, the Commission shall mail notice to the owner to remove the property by a date certain at least 15 days from the date of the notice. 3. Provides that if a vessel remains unclaimed, as specified, after the expiration of the 30-day notice period and the 15 days' owners notice, if applicable, it is abandoned property and the Commission may direct disposition of the property, as specified. The Commission may either remove the vessel or allow it to remain in place until the commission takes action to dispose of the property. 4. States that "unclaimed" means that an owner or a lienholder of the vessel has not contacted the SB 595 Page 4 Commission in response to a notice made pursuant to this section if notice is required, and has not made adequate arrangements to take or remove the vessel to an authorized location. 5. Requires the Commission to return a vessel removed under the above provisions to the owner, upon request of the owner and payment of cots and storage. 6. Authorizes the Commission, at its discretion, to remove and dispose of an abandoned or derelict vessel on a navigable waterway in the state that is not under their jurisdiction pursuant to the above provisions, if requested to do so by another public entity with regulatory authority over the area where the vessel is located. 7. Allows the Commission to recover all costs incurred in removal actions, including administrative costs and the costs of compliance with the California Environmental Quality Act, through an appropriate action in the courts of this state or by use of any available administrative remedy. 8. Authorizes the Commission, at a properly noticed Commission hearing, to take title to an abandoned vessel subject to disposal (pursuant to the above provisions) for the sole purpose of abatement, without satisfying any lien on the property, and may cause the property to be sold, destroyed, or otherwise disposed of in any manner it determines expedient or convenient. Those abandoned vessels shall not be considered surplus state property, and title transferred to the Commission by sale to third parties shall be clear of any lien or encumbrance. 9. Requires notice of the Commission's meeting to be given to a known owner and known lienholder, and gives those individuals, and any interested party, the right to appear and be heard prior to disposition of the property. 10.Specifies that the hearing on the disposition of property shall be an informal hearing unless designated SB 595 Page 5 as a formal hearing by the Commission. 11.Requires any action with regard to the disposition of property as directed by the commission, with the exception of returning the property to the owner, to be delayed for 30 days after the date of the Commission's determination, to allow the owner to pursue any other cause of action in law or equity. 12.Provides that the Commission's cost of disposing of abandoned property, including staff time and legal and attorney's fees, may be recovered by appropriate action in any court or by use of any available administrative remedy. If the property is sold, the Commission may recover its costs from any proceeds of the sale and any additional funds shall be deposited into the General Fund. 13.Provides that, at the request of the Commission, an employee or agent of the commission, a peace officer, or a city, county, or other political subdivision of this state shall have authority to board a vessel for the purposes of carrying out the provisions of this bill. 14.Exempts an action of the Commission with regard to any property acquired or disposed of pursuant to this bill from the State Contract Act. 15.Clarifies that to the extent its provisions are in conflict with the Harbors and Navigation Code, the provisions of this bill shall govern. Background The Commission estimates that there are thousands of abandoned vessels across the state, which can cause environmental and navigation impacts. Oil, gasoline, sewage, and toxic metals can leak from abandoned vessels and their equipment such as motors and batteries. Abandoned vessels can also be navigational hazards. According to the Commission, the down economy has increased the number of abandoned vessels as owners find themselves unable to afford the cost of storage and upkeep and instead elect to illegally leave their vessels on public land. The SB 595 Page 6 Commission currently has authority to remove abandoned vessels; however it must do so by taking action in court. Vessel removal can have costs in the tens of thousands of dollars, partially because of the legal costs. Being that the Commission has no dedicated funding stream for vessel removal; the cost of vessel remove has largely prevented the Commission from widely addressing abandoned vessels. This bill establishes an administrative process for vessel removal that would both reduce removal costs and the time that it takes to remove abandoned vessels. The Commission estimates that under the process established in this bill, it will take approximately 90 to 120 days from the time that an abandoned vessel is reported to when the vessel is disposed, compared to a court process which takes approximately two years. The administrative process would additionally save $50,000 to $100,000 per incident in costs. This bill is very similar to SB 459 (Wolk), of 2009, was eventually passed by both houses of the Legislature, it was ultimately vetoed by Governor Schwarzenegger. In his veto message, the Governor stated: I recognize that, to the extent that unattended and abandoned property can be removed from public lands and waterways more quickly, state and local agencies could experience potentially significant savings in court costs and environmental cleanup costs. However, there are also potentially significant costs that the state would incur under this bill since it would enhance the Commission's ability to remove and dispose of abandoned vessels. These implementation costs cannot be overlooked, especially given the state's current fiscal condition and the fact that no source of funding is identified in this bill. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No SUPPORT : (Verified 8/15/11) California State Lands Commission (source) Contra Costa County Board of Supervisors SB 595 Page 7 San Luis Obispo County Board of Supervisors Santa Clara Valley Water District ARGUMENTS IN SUPPORT : The author's office states, "There are a number of boat owners storing their vessels on state lands without permission. There are also boat owners dumping or abandoning their old or unseaworthy vessels on state lands without permission?The Commission's current recourse against these boat owners is limited to court action. This is usually a long and costly process that requires approximately two years and involves the Attorney General's office. ÝThe administrative process established in SB 595] would streamline the current lengthy and expensive judicial process while allowing for a fair and practical approach to the handling the problem of abandoned vessels, trespassing vessels, and trespassing ground tackle." ASSEMBLY FLOOR : 74-0, 8/22/11 AYES: Achadjian, Alejo, 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, Beth Gaines, Galgiani, 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, Olsen, Pan, Perea, V. Manuel Pérez, Portantino, Skinner, Smyth, Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski, Williams, Yamada, John A. Pérez NO VOTE RECORDED: Furutani, Garrick, Gorell, Nielsen, Norby, Silva CTW:do 8/23/11 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** SB 595 Page 8