BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                  SB 1148|
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                                 THIRD READING


          Bill No:  SB 1148
          Author:   Pavley (D)
          Amended:  5/29/12
          Vote:     21

           
           SENATE NATURAL RESOURCES AND WATER COMM.  :  5-3, 4/10/12
          AYES:  Pavley, Kehoe, Padilla, Simitian, Wolk
          NOES:  La Malfa, Cannella, Fuller
          NO VOTE RECORDED:  Evans

           SENATE APPROPRIATIONS COMMITTEE  :  5-2, 5/24/12
          AYES:  Kehoe, Alquist, Lieu, Price, Steinberg
          NOES:  Walters, Dutton


           SUBJECT  :    Fish and Game Commission:  Department of Fish 
          and Game

           SOURCE  :     Author


           DIGEST  :    This bill grants authorization for the 
          Department of Fish and Game (DFG) to administer a program 
          for conservation and mitigation banks, requires the Fish 
          and Game Commission (FGC) to establish base fees for 
          numerous licenses which are currently set in statute, and 
          explicitly requires trustee agencies to participate in the 
          preparation of the State Environmental Goals and Policy 
          Report.

           ANALYSIS  :    The DFG has numerous statutory functions and 
          the FGC has both statutory and constitutional functions 
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          related to management of the state's wildlife and 
          protection of habitat.  These two units of government have 
          specific and occasionally overlapping roles.  Key 
          provisions relate to hunting and fishing and to limiting 
          catch or take of species, to protect wildlife and its 
          habitat, to conserve endangered and threatened species, to 
          operate hatcheries for various fisheries, to discourage the 
          importation or spread of invasive species, to protect 
          streambeds from harmful activities, and to provide access 
          to lands managed for hunting and fishing and public access, 
          among many other responsibilities.  DFG also has a 
          responsibility under the California Environmental Quality 
          Act (CEQA) to provide comments on proposed actions that 
          require permits from other agencies that have been 
          determined to affect any of the statutory responsibilities 
          assigned to DFG. 

          This bill makes various changes to the responsibilities of 
          DFG and the FGC in three areas.  Specifically, this bill:

          1. Authorizes DFG to approve conservation and mitigation 
             banks.

             A.    Defines a "conservation bank" as land that can 
                provide mitigation for species.

             B.    Defines a "mitigation bank" as lands that can be 
                used to mitigate wetland losses.

             C.    Requires DFG to create and maintain information 
                about mitigation and conservation banks on its Web 
                site.

             D.    Allows DFG to establish a fee on an entity 
                applying to DFG to establish a conservation or 
                mitigation bank, in an amount necessary to pay costs 
                incurred by DFG in providing program services 
                including review, approval, establishment, 
                monitoring, and oversight. These fees would be 
                deposited into a separate unspecified dedicated 
                account within the Fish and Game Preservation 
                Account.

          2. Eliminates statutorily determined base fees for various 

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             hunting and fishing licenses and enhancement stamps and 
             instead direct the FGC to establish the base fee in an 
             amount sufficient to recover all reasonable 
             administrative and implementation costs of the license. 
             The FGC would be required to adjust fees for any 
             license, stamp, permit, tag, or other entitlement issued 
             by the FGC for inflation. 

          3. Explicitly requires trustee agencies, as defined by CEQA 
             (such as DFG) to be included in the development of the 
             Office of Planning and Research's Environmental Goals 
             and Policy Report.

          4. Authorizes DFG to charge existing banks a fee for 
             ongoing monitoring and oversight.

           Background  

          For many years, DFG has been hampered by budgetary 
          constraints which were driven both by widely variable 
          General Fund appropriations (in some years partially offset 
          by bond funds) but also by an increase in statutory 
          responsibilities.  For example, DFG's General Fund 
          appropriations in the past ten years included four years 
          when it received approximately $35 million, one year when 
          it received about $50 million, one year when it received 
          $115 million, and two years in the low $80 million range.  
          The last two years have seen General Fund appropriations in 
          the low to mid-$60 million range. 

          For decades, various stakeholder organizations (who include 
          hunters, sport and commercial fishers, recreational users 
          of DFG lands, regulatory permit applicants, and 
          conservation advocates) have struggled with the appropriate 
          funding mix for DFG and the appropriate allocation of the 
          workload to DFG.  Hunting and fishing groups are concerned 
          that their license fees are not spent on providing greater 
          access to fish or prey.  Conservation groups worry that not 
          enough effort is spent on scientific research, field work, 
          or activities to conserve important natural habitats.  They 
          are also concerned that some decisions reflect political 
          and not scientific priorities.  Permit applicants (such as 
          developers, farmers and ranchers, and renewable energy 
          companies) are concerned that, in their view, permit 

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          decisions are sometimes too slow or that the required 
          mitigation is sometimes too much. 

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes   
          Local:  No

          According to the Senate Appropriations Committee:

           Ongoing costs of $75,000 from the Fish and Game 
            Preservation Account (special fund) to establish and 
            maintain conservation bank database from 2013 to 2015.  
            These costs are expected to be fully offset by fees.

           One-time costs of at least $50,000 from the Fish and Game 
            Preservation Account (special fund) to develop and adopt 
            regulations for the collection of a fee from conservation 
            and mitigation bank applicants.

           One-time costs of approximately $50,000 from the Fish and 
            Game Preservation Account (special fund) for outside 
            consulting needed by the FGC to establish base fees for 
            specified licenses and stamps.

           SUPPORT  :   (Verified  5/29/12)

          Defenders of Wildlife 
          The Nature Conservancy


           ARGUMENTS IN SUPPORT  :    The Nature Conservancy supports 
          the bill both because of the fee provisions and because of 
          the importance of mitigation banking in the Delta and 
          elsewhere. 

          Defenders of Wildlife is in support of the conservation and 
          mitigation banking provision. 


          CTW:mw  5/29/12   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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