BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 860
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          SENATE THIRD READING
          SB 860 (Natural Resources and Water Committee)
          As Amended  June 20, 2011
          Majority vote 

           SENATE VOTE  :  38-0

           NATURAL RESOURCES   8-0                                         
           
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          |Ayes:|Chesbro, Brownley,        |     |                          |
          |     |Dickinson, Grove,         |     |                          |
          |     |Halderman, Hill, Monning  |     |                          |
          |     |Skinner                   |     |                          |
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          SUMMARY  :  Makes clean-up amendments regarding the state's 
          mineral interest, redevelopment agencies' successors, and 
          hazardous materials remediation to statutes authorizing public 
          trust land exchanges and grants for redevelopment projects at 
          Hunters Point Naval Shipyard and Candlestick Point, Treasure 
          Island, and the Naval Air Station Alameda.  Specifically,  this 
          bill: 
           
           1)Clarifies, with regard to the statutes authorizing public 
            trust land exchanges and grants at Hunters Point Naval 
            Shipyard and Candlestick Point, that:  1) the state reserves 
            the mineral interest in lands granted to the San Francisco 
            Redevelopment Agency; 2) if the state enters into a public 
            trust land exchange, it may quitclaim all mineral rights in 
            the lands that it is transferring out of the public trust; 
            and, 3) if the San Francisco Redevelopment Agency dissolves, 
            its successor agency is to take its duties and 
            responsibilities for the purposes of administering the granted 
            public trust lands.  

           2)Clarifies, with regard to the statutes authorizing public 
            trust land exchanges and grants at Treasure Island, that:  1) 
            the state reserves the mineral interest in lands granted to 
            the Treasure Island Development Authority (TIDA) subject to 
            restrictions regarding exploration; and, 2) if the state 
            enters into a public trust land, it may quitclaim all mineral 
            rights in the lands that it is transferring out of the public 
            trust.  Establishes that the City and County of San Francisco, 








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            and not the Port of San Francisco, is the successor agency to 
            TIDA if TIDA were to dissolve.  

           3)With regard to the statutes authorizing public trust land 
            exchanges and grants at Naval Air Station Alameda:  

              a)   Establishes that the requirements to complete all 
               necessary hazardous materials remediation pursuant to the 
               Naval Air Station Alameda Public Trust Exchange Act are 
               satisfied if either of the following occurs:  
                
               i)     All remedial action necessary to protect human 
                 health and the environment with respect to the hazardous 
                 substances on the land has been completed as determined 
                 in accordance with the Federal Facility Agreement for 
                 Alameda Naval Air Station between United States 
                 Environmental Protection Agency, the United States 
                 Department of the Navy, and the State of California; or,

               ii)    The United States has obtained a warranty deferral, 
                 approved by the Governor, and the State Lands Commission 
                 (SLC) finds that sufficient liability measures and 
                 implementation measures will be in place upon the 
                 completion of the land exchange.

             b)   Clarifies that:  1) the state reserves the mineral 
               interest in lands granted to the Alameda Reuse and 
               Redevelopment Agency and the City of Alameda subject to 
               restrictions regarding exploration; and, 2) if the state 
               enters into a public trust land exchange pursuant to the 
               Naval Air Station Alameda Public Trust Exchange Act, it may 
               quitclaim all mineral rights in the lands that it is 
               transferring out of the public trust. 

           EXISTING LAW  :  

          1)Protects, pursuant to the common law Public Trust Doctrine, 
            the public's right to use California's waterways for commerce, 
            navigation, fishing, boating, natural habitat protection, and 
            other water oriented activities.  The Public Trust Doctrine 
            provides that filled and unfilled tide and submerged lands and 
            the beds of lakes, streams, and other navigable waterways 
            (i.e., public trust lands) are to be held in trust by the 
            state for the benefit of the people of California.  








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          2)Establishes that the SLC is the steward and manager of the 
            state's public trust lands.  

          3)Grants, in trust, state public trust lands to over 80 local 
            public agencies (a.k.a. local trustees or grantees) to be 
            managed for the benefit of all the people of the state and 
            pursuant to the Public Trust Doctrine and terms of the 
            applicable granting statutes.  SLC has oversight authority 
            over these granted public trust lands to ensure that they are 
            managed pursuant to the Public Trust Doctrine and granting 
            statutes.

          4)Grants in trust to the Port of San Francisco (Port), pursuant 
            to the "Burton Act" (AB 190 Chapter 1333, Statutes of 1968), 
            administrative control over the public trust lands in the 
            Harbor of San Francisco for purposes of commerce, navigation, 
            and fisheries and subject to other terms and conditions 
            specified in the act.

          5)Authorizes, pursuant to SB 792 (Leno), Chapter 203, Statutes 
            of 2009, a public trust land exchange at the Hunters Point 
            Naval Shipyard and Candlestick Point; requires SLC to ensure 
            that lands are not exchanged into the trust until all 
            necessary hazardous materials remediation for those lands has 
            been completed; grants to the San Francisco Redevelopment 
            Agency administrative control over the public trust lands at 
            the Hunters Point Naval Shipyard.

          6)Authorizes, pursuant to the "Treasure Island Conversion Act" 
            (AB 699 (Migden), Chapter 898, Statutes of 1997) the City and 
            County of San Francisco to designate the Treasure Island 
            Development Authority (TIDA) as the redevelopment agency for 
            Treasure Island; requires that all money received or collected 
            by TIDA from the use or operation of the trust property be 
            deposited in the Treasure Island Trust Fund to be used only 
            for purposes consistent with the public trust for navigation, 
            commerce, and fisheries; and, designates TIDA as the trustee 
            of the trust property.

          7)Authorizes, pursuant to the "Treasure Island Public Trust 
            Exchange Act" (SB 1873 (Burton), Chapter 543, Statutes of 
            2004; SB 815 (Migden), Chapter 660, Statutes of 2007), a 
            public trust land exchange at Treasure Island and Yerba Buena 








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            Island, subject to SLC's approval.  

          8)Authorizes, pursuant to the "Naval Air Station Alameda Public 
            Trust Exchange Act" (SB 2049 (Perata), Chapter 734, Statutes 
            of 2000), a public trust land exchange at the former Naval Air 
            Station Alameda; requires SLC to ensure that lands are not 
            exchanged into the trust until all necessary hazardous 
            materials remediation for those lands has been completed; 
            grants to the Alameda Reuse and Redevelopment Agency and the 
            City of Alameda the responsibility of administering the public 
            trust lands within the Naval Air Station Alameda property.

           FISCAL EFFECT  :  This bill is keyed non-fiscal by the Legislative 
          Counsel.

           COMMENTS  :  The Legislature has authorized the above referenced 
          public trust land grants and land exchanges to facilitate local 
          redevelopment projects in San Francisco and Alameda.  The local 
          governments agencies involved in these land grants and land 
          exchanges have identified minor technical issues with the terms 
          of the enabling statutes.  These issues include:  1) ambiguities 
          in the provisions involving the state's mineral interests in the 
          exchanged and granted lands; 2) for the San Francisco 
          redevelopment projects, questions about who will be the 
          successor agency if the redevelopment agencies dissolve; and, 3) 
          for the Alameda redevelopment project, how are hazardous 
          materials remediation requirements satisfied.  This bill 
          addresses these issues in a manner that is consistent with the 
          original intent of the enabling legislation.


           Analysis Prepared by  :    Mario DeBernardo / NAT. RES. / (916) 
          319-2092 


                                                                 FN:  
          0001453