BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de Le�n, Chair


          AB 315 (Committee on Veterans Affairs) - State parks: veteran of  
          war: Purple Heart recipient.
          
          Amended: As introduced          Policy Vote: NR&W 9-0
          Urgency: No                     Mandate: No
          Hearing Date: August 12, 2013                     Consultant:  
          Marie Liu     
          
          This bill meets the criteria for referral to the Suspense File.
          
          
          Bill Summary: AB 315 would make recipients of a Purple Heart  
          eligible to use all facilities of the state park facilities for  
          free.

          Fiscal Impact: Unknown losses of revenue, potentially in the  
          millions of dollars, to the State Parks and Recreation Fund  
          (special). 

          Background: Under existing law, the Department of Parks and  
          Recreation (DPR) issues the Distinguished Veteran Pass to  
          honorably discharged war veterans with 50 or greater  
          service-connected disability, veterans who were prisoners of  
          war, or recipients of the Congressional Medal of Honor. The  
          Distinguished Veteran Pass entitles the holder to free lifetime  
          access to all facilities of the state park system including boat  
          launching facilities. DPR has issued approximately 26,000  
          Distinguished Veteran Passes since its inception.

          Proposed Law: This bill would make recipients a Purple Heart  
          eligible to receive free use of the state park system.

          Related Legislation: AB 150 (Olsen) would give free access to  
          state parks by certain active and former military personnel on  
          Memorial and Veterans Day.

          AB 257 (Anderson) Chapter 129/2007 eliminated the $3.50 fee for  
          the Distinguished Veteran Pass.

          AB 1561 (Assembly Committee on Veteran Affairs) Chapter 499/2000  
          decreased the percent disability eligibility requirement from  
          70% to 50% for the Distinguished Veteran Pass.








          AB 315 (Committee on Veterans Affairs)
          Page 1



          Staff Comments: The California Department of Veteran Affairs  
          estimates that roughly 60,000 California residents have been  
          awarded the Purple Heart. It us unknown what portion of these  
          awardees will seek a Distinguished Veteran Pass and which  
          portion may already be eligible for the pass under the existing  
          criteria. It is also unknown the extent to which the average  
          pass holder will utilize free use of state park facilities.  
          However given the number of Purple Heart awardees compared to  
          the number of current Distinguished Veteran Pass holders, this  
          bill could significantly increase free use of the state park  
          system. 

          A 2001 DPR survey of Distinguished Veteran Pass usage estimated  
          that the program resulted in approximately $9 million in lost  
          revenue annually to the state park system. For illustration  
          purposes, assuming a 10% participation rate of Purple Heart  
          recipients and the same rate of usage as current pass holders,  
          DPR would see an additional $2 million in additional lost  
          revenue. 

          Staff notes that the State Park system continues to operate with  
          a structural deficit with revenues covering approximately half  
          of the system's operating costs. Additionally there are over  
          $1.3 billion in deferred maintenance for the system. Under the  
          direction of the Legislature, DPR is currently developing and  
          implementing plans to increase state park revenues, including  
          increasing paid day use of the parks. Any restriction on to  
          DPR's ability to increase revenues, including the collection of  
          day-use fees, arguably goes counter to recent Legislative  
          direction to increase revenues to improve sustainability of the  
          system.