BILL ANALYSIS Ó AB 594 Page 1 Date of Hearing: May 8, 2013 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair AB 594 (Rendon) - As Amended: April 10, 2013 Policy Committee: Water, Parks and Wildlife Vote: 15-0 Urgency: No State Mandated Local Program: No Reimbursable: SUMMARY This bill clarifies the Department of Parks & Recreation's (DPR's) authority to enter into operating agreements with nonprofit organizations during the two-year moratorium on state park closures. This bill also modifies existing law relating to the process required for any future proposed park closures. Specifically, this bill: 1)Clarifies that the two-year moratorium on state park closures enacted in 2012 does not limit DPR's authority to enter into operating agreements with qualified nonprofit organizations and local governments. 2)Requires DPR, to document and publicly disclose the methodology, rationale and scoring system used to evaluate and select parks for proposed closure. 3)Requires DPR to provide an analysis of the impact the closure may have on the respective local economy. 4)Requires the State Park & Recreation Commission to hold a public hearing on any proposed park closure . 5)Clarifies legislative intent that park closures be considered only as a last option after other feasible alternatives, including but not limited to, operating agreements with qualified nonprofits and local governments, are analyzed. FISCAL EFFECT AB 594 Page 2 Increased potential costs to DPR in the range of $100,000 per park closure for public hearings, economic impact analysis and other new requirements. COMMENTS 1)Rationale. According to the California State Parks Foundation, parks throughout the state have been on the brink of closure over the last several years. This bill furthers the authority for DPR to enter into operating agreements with nonprofit organizations and local government to avoid closures. This bill is intended to ensure that any future considerations of park closures will be made only after alternatives are explored and within the context of public transparency and thorough information. Several operating agreements are currently under negotiation. 2)Previous Legislation. In 2011, AB 42 (Huffman) authorized DPR to enter into operating agreements with nonprofits and local governments in order to keep parks open to the public. After the Department of Finance (DOF) discovered DPR reported fund balances of at least $20 million less to DOF than reported to the State Controller's Office (SCO), AB 1478 (Blumenfield, 2012) placed a two-year moratorium on all park closures. Analysis Prepared by : Jennifer Galehouse / APPR. / (916) 319-2081