as amended, Ting.
begin deleteEconomic development: legislative intent. end delete
Existing law regulates businesses in the state and provides for the implementation of state programs designed to facilitate economic growth and job creation in the state.end delete
This bill would declare the intent of the legislature to enact subsequent legislation that would promote economic growth and create jobs in California.end delete
begin deleteno end delete.
State-mandated local program: no.
The people of the State of California do enact as follows:
For purposes of this chapter, the following terms have
7the following meanings:
11 “BCDC” means the San Francisco Bay Conservation and
12Development Commission established pursuant to Section 66620
13of the Government Code.
P3 1(b)end delete
2 “Bay jurisdiction” means the jurisdiction, powers, and duties
3of BCDC pursuant to Title 7.2 (commencing with Section 66600)
4of the Government Code within the area defined in subdivision
5(a) of Section 66610 of the Government Code.
7 “Bay Plan” means the San Francisco Bay Plan as adopted
8and administered by BCDC pursuant to Title 7.2 (commencing
9with Section 66600) of the Government Code, including all
11(d) “Boundary of the Port of San Francisco” means that line
12defining the boundary of “Parcel A” in the description of the lands
13transferred in trust to the City and County of San Francisco
14pursuant to Chapter 1333 of the Statutes of 1968, recorded on May
1514, 1976, in Book C169, pages 573 to 664, inclusive, in the City
16and County of San Francisco Recorder’s Office.
18 “Brannan Street Wharf” means a major San Francisco
19waterfront park in the area of Piers 34 and 36, as identified in the
20Special Area Plan.
22 “Burton Act” means Chapter 1333 of the Statutes of 1968,
25 “Burton Act trust” means the statutory trust imposed by the
26Burton Act (Chapter 1333 of the Statutes of 1968, as amended),
27pursuant to which the state conveyed to the City and County of
28San Francisco, in trust, by transfer agreement, and subject to certain
29terms, conditions, and reservations, the state’s interest in certain
30tide and submerged lands.
32 “City” means the City and County of San Francisco.
34 “McAteer-Petris Act”
means Title 7.2 (commencing with
35Section 66000) of the Government Code.
37 “Public trust” or “trust” means the public trust
38for commerce, or navigation and fisheries.
P4 1 “Port” means the City and County of San Francisco acting
2by and through the San Francisco Port Commission.
Francisco Bay” means those areas defined in Section
566610 of the Government Code.
7 “San Francisco waterfront” means those portions of the area
8transferred to the port pursuant to the Burton Act that also lie within
9the area defined in subdivisions (a) and (b) of Section 66610 of
10the Government Code.
12 “Seawall Lot 330” means
that parcel of property located in
13San Francisco identified on that certain map entitled SUR 790,
14and shown on Page 318 of the City and County of San Francisco
15100 Scale Ownership Maps, which is on file with the city’s Bureau
16of Street Use and Mapping.
20 “Shoreline band jurisdiction” means the jurisdiction, powers,
21and duties of BCDC pursuant to Title 7.2 (commencing with
22Section 66600) of the Government Code to regulate uses within
23 the area defined in subdivision (b) of Section 66610 of the
24Government Code to ensure, in part, maximum feasible public
25access, as prescribed in Section 66632.4 of the Government Code.
27 “Special Area Plan” means the San Francisco Waterfront
28Special Area Plan, dated July 20, 2000, adopted by BCDC, as
29amended from time to time.
31 “Street” means those lands located within the South
32Beach/China Basin Planning area of the San Francisco waterfront
33at Seawall Lot 330, and also lying within Parcel A of those lands
34transferred to the City and County of San Francisco pursuant to
35the Burton Act, as recorded May 14, 1969, in Book C 169 at Pages
36573 to 664, inclusive, in the San Francisco Recorder’s office, as
37more particularly described as that portion of Main Street, located
38between Bryant Street and the Embarcadero, vacated per Ordinance
3914-93 on January 11, 1993, on file with the San Francisco Bureau
40of Street Use and Mapping, in Book 10, Page 94. All streets and
P5 1street lines described in the preceding sentence are in accordance
2with that certain map entitled SUR 790, and shown on Page 318
3of the City and County of San Francisco 100 Scale Ownership
4Maps, on file with the City’s Bureau of Street Use and Mapping.
6 “Waterfront Land Use Plan” means the Waterfront Land Use
7Plan, including the Waterfront Design and Access Element, adopted
8by the port pursuant to Resolution No. 97-50, as amended from
9time to time.
The Legislature finds and declares all of the following:
13(a) In 1965, the Legislature adopted the McAteer-Petris Act to
14protect and enhance the San Francisco Bay and its natural
15resources. The McAteer-Petris Act grants BCDC regulatory
16authority over further filling in San Francisco Bay through exercise
17of its bay jurisdiction, and limits that activity to (1) water-oriented
18uses that meet specified criteria; (2) minor fill that improves
19shoreline appearance or public access; and (3) activities necessary
20for the health, safety and welfare of the public in the entire bay
21area. The McAteer-Petris Act also authorizes BCDC to require the
22provision of maximum feasible access to the bay consistent with
23the project over a 100-foot shoreline band through the exercise of
24its shoreline band jurisdiction.
25(b) In 1969, pursuant to the Burton Act, the state conveyed by
26transfer agreement certain state tide and submerged lands to the
27Port. The lands are held by the Port in trust for purposes of
28commerce, navigation, and fisheries, and are subject to the terms
29and conditions specified in the Burton Act and the public trust.
30During the three decades since passage of the Burton Act, issues
31have arisen concerning the application of the McAteer-Petris Act
32to the piers along the San Francisco waterfront. To address those
33issues, BCDC and the Port undertook two intensive and careful
34planning processes, which lasted over nine years.
35(c) The first process culminated in 1997 with the adoption by
36the Port of the Waterfront Land Use Plan and with the adoption
37by the Board of Supervisors of the City and County of San
38Francisco and the Planning Commission of the City and County
39of conforming amendments to the City’s General Plan and Planning
P6 1(d) In July 2000, after the second five-year cooperative process
2involving the Port, BCDC, the Save San Francisco Bay
3Association, and numerous interested community groups and
4individuals, was completed, the Port adopted further amendments
5to the Waterfront Land Use Plan. BCDC also adopted amendments
6to the Special Area Plan
begin delete whichend delete is incorporated into, and made
7a part of, the San Francisco Bay Plan, to create consistent plans
8for the area of the San Francisco waterfront between Pier 35 and
9China Basin. At the present time, the Waterfront Land Use Plan
10addresses specific McAteer-Petris Act issues relating to public
11access and the preservation and enhancement of open water as a
12bay resource in this area. The plan also defines public access
13opportunities on each pier in this area and calls for the removal of
14certain additional piers to enhance water views and create
15additional bay surface area.
16(e) A major objective of the joint effort described in subdivisions
17(b), (c), and (d) is to establish a new criterion in the San Francisco
18Bay Plan that would permit fill on the San Francisco waterfront
19in an area where a Special Area Plan has been adopted by BCDC
20for uses that are consistent with the public trust and the Burton
21Act trust. The Special Area Plan for the area between Pier 35 and
22China Basin should provide for all of following:
23(1) The nature and extent of maximum feasible public access
24for the piers including perimeter access, a history walk on most
25piers, and other significant access features on piers where
27(2) Two major public plazas, the Brannan Street Wharf adjacent
28to Pier 30-32 and another in the vicinity of Pier 27.
29(3) A public planning process to lead to the creation of a third
30major public plaza in the Fisherman’s Wharf area.
31(4) The removal of certain piers to uncover additional bay
33(5) The creation and funding of a special fund within the Port
34to finance the removal of the selected piers and the construction
35and maintenance of those public plazas.
36(6) A historic preservation mechanism to ensure preservation
37of important historic resources on the piers.
38(7) The ability of the Port to repair, improve, or use the
39not designated for removal between Pier 35 and China Basin for
P7 1any purpose consistent with the Burton Act, the public trust and
2the Special Area Plan.
3(f) The San Francisco waterfront, which has been the subject
4of this planning process, provides benefits to the entire bay area,
5and serves as a unique destination for the region’s public. These
6regionwide benefits include enjoyment of a unique, publicly owned
7waterfront that provides special maritime, navigational,
8recreational, cultural, and historical benefits that serve the bay
9area. Accordingly, the adoption by BCDC, and the ratification by
10the Legislature, of the Special Area Plan, as amended, is necessary
11to protect the health, safety, and welfare of the public in the entire
12bay area for purposes of subdivision (f) of Section 66632 of the
The Legislature also hereby finds and declares all of
34the following with respect to Seawall Lot 330 and the street:
35(a) The lands comprising the street are tide and submerged lands
36that have been filled and reclaimed, and were reserved to the state
37solely for street purposes.
38(b) The filled and reclaimed tide and submerged lands
39constituting the street have been filled and reclaimed for, and in
P8 1connection with, a highly beneficial plan of improvement for harbor
3(c) The street is not used, suitable, or necessary for navigation
4purposes and is not necessary, or used for street purposes.
5(d) The street or any interests in the street that are to be sold by
6the city, and over which the Burton Act trust and the public trust
7will be terminated, constitute a relatively small portion of the
8granted tide and submerged lands.
9(e) Section 3 of Article X of the California Constitution permits
10the sale to any city, county, city and county, municipal corporation,
11private person, partnership, or corporation of tidelands reserved
12to the state solely for street purposes, which tidelands the
13Legislature finds and declares are not used and not necessary for
14navigation purposes, subject to
begin delete suchend delete conditions begin delete asend delete the
15Legislature may impose to protect the public interest.
16(f) The existence of the street limits the potential development
17of Seawall Lot 330. The proposed sale will be consistent with
18Section 3 of Article X of the California Constitution, if all of the
19following conditions are met:
20(1) The consideration for the sale of the street, pursuant to
21Section 3 of Article X of the California Constitution, shall be the
22fair market value of those lands or interests in the lands.
23(2) The street to be sold by the city and over which the public
24trust or the Burton Act trust, or both trusts, will be terminated has
25been filled and reclaimed, and the street consisting entirely of dry
26land lying above the present line of mean high tide is no longer
27needed or required for the purposes of the public trust or the Burton
29(3) The street to be sold by the city and over which the public
30trust or the Burton Act trust, or both trusts, will be terminated has
31been cut off from direct access to the waters of San Francisco Bay
32by past filling of intervening property for a major roadway (the
33Embarcadero), which has provided, and will continue to provide,
34lateral public access to the water.
35(4) The street was reserved to the state for street purposes and
36is not used or necessary for navigation purposes. Therefore, in
37accordance with Section 3 of Article X of the California
38Constitution, that street can and should be conveyed into private
39ownership for uses consistent with, and in furtherance of, this act.
P9 1(5) The sale of the street shall occur only in conjunction with a
2simultaneous exchange of the state’s sovereign title in Seawall Lot
3330 pursuant to Chapter 310 of the Statutes of 1987, according to
4the terms and conditions required by the State Lands Commission,
5or other disposition of the state’s sovereign title in Seawall Lot
6330 approved by the State Lands Commission or the Legislature.
7(g) It is therefore the intent of the Legislature, subject to the
8terms and conditions set forth in this act to authorize the city to
9dispose of the street for private use free from the public trust or
10the Burton Act trust.
The Legislature further finds and declares that the
30following unique circumstances exist at Pier 30-32 on the San
31Francisco waterfront, and that therefore, this act sets no precedent
32for any other location or project in the state:
33(a) The Pier 30-32 platform bayward of the Embarcadero
begin delete anend delete obsolete, pile-supported pier structures that are
35physically no longer capable of serving most trust-related purposes
36without substantial modification and repair.
begin deleteSan Francisco is the center of northern California’s cruise
6activity. The end delete
25for a new cruise ship terminal has been recognized for over 40
begin delete, most recently in aend delete 1998 assessment by the Port begin delete thatend delete found
27that cruise industry experts considered the present terminal at Pier
2835 on the San Francisco waterfront to be inferior to other cruise
29terminals in the United States. That assessment also concluded
30that the existing San Francisco passenger terminal at Pier 35 cannot
31accommodate modern cruise
begin delete ships. Without a new passenger
32terminal, California stands to lose a significant portion of the cruise
33ship business it presently enjoys, which would also adversely affect
34the many maritime industries dependent on a healthy cruise
begin delete(c)end delete begin delete end delete begin deleteTheend delete ships. The Port’s 1998 assessment evaluated alternative
37locations for a new cruise ship terminal and concluded that Pier
3830-32 was the most viable site for a new cruise terminal in San
39Francisco because of dredging, site configuration, and development
17The Waterfront Land Use Plan and the Special Area Plan
18recognize that the development of Pier 30-32 and the surrounding
19area within the South Beach/China Basin subarea identified in the
20Waterfront Land Use Plan would further the public trust purposes
21of increasing maritime activities and expanding public use and
22enjoyment of the waterfront on trust lands at this location.
24 The Port
begin delete has solicited proposals and has chosen a developer a mixed-use development at Pier 30-32, the
26primary proposes of which are to
begin delete promote waterborne further
27transportation at the port by constructing the James R. Herman
28International Cruise Terminal at Pier 30-32, and toend delete
29public use and enjoyment of the tidelands at this location by providing
begin delete boat berths,end delete public access,
begin delete and substantial ground floorend delete commercial public trust
37 In addition to
begin delete beingend delete a destination for begin delete cruise shipsend delete
38, the planned
P12 1 berthing facilities for waterborne transit, such as water taxis
begin delete andend delete commercial excursion begin delete and recreational boats thatend delete will promote local waterborne transit and establish
7the proposed development at Pier 30-32 as a
begin delete water-sideend delete
8 destination for recreational boating.
9(g) The Brannan Street Wharf will lie adjacent to Pier 30-32.
10Pursuant to the Special Area Plan implementation requirements,
11the approval and construction of the proposed development at Pier
1230-32 requires that the construction of Phase I of the Brannan
13Street Wharf be completed no later than five years after the
14issuance of a certificate of occupancy for the major reuse of Pier
1530-32, and that the entire Brannan Street Wharf be completed no
16later than 15 years after issuance of a certificate of occupancy for
17the major reuse of Pier 30-32, if grant funds or other funding are
18available, or 20 years if not. The Brannan Street Wharf will provide
19an essential recreational element to serve the public trust as
20provided in the Special Area Plan. Accordingly, it is desirable that
21the construction of the Brannan Street Wharf be accelerated.
33(h) The Port isend delete
34 committed to the construction
2of the Brannan Street Wharf earlier than required under the Special
3Area Plan through investment of approximately
begin delete fifteenend delete
4 million dollars
begin delete ($15,000,000)end delete for the removal of
5175,000 square feet of pile-supported fill and development of
6public access improvements
begin delete, to be funded primarily by revenue .
7from port operations, including the development of Pier 30-32end delete
13(i) The proposed development of a cruise ship terminal at Pier
1430-32 will require a substantial capital investment to improve the
15piles and decking. The Port must conserve port revenue to support
16those maritime uses and public improvements for which private
17investment is not economical. Therefore, the Port cannot directly
18fund all necessary capital improvements to construct new needed
19maritime facilities, including a new passenger terminal and
21(j) Under applicable regulations, and due to the limited, seasonal
22(May through September) nature of the cruise ship operation, cruise
23ships will use the cruise terminal only approximately 65 to 100
24days per year.
26 The inclusion of public access
begin delete structures, a lagoon, transient commercial
27boat berthing,end delete
28public trust uses, together with a new
begin delete passenger terminalend delete
29, promotes the trust objectives of furthering
30maritime commerce and improving public access and use on the
31San Francisco waterfront.
32(l) The inclusion of upper level general office space at Pier
3330-32 is proposed because it provides a needed incentive for private
34investment. To the extent the office space is not occupied by trust
35tenants, it is not a trust use, notwithstanding its importance as a
The Legislature, in the exercise of its retained power
15as trustee of the public trust, and in view of the unique
16circumstances existing at Pier 30-32 on the San Francisco
17waterfront and the considerable statewide public benefit and
begin delete maritime transportationend delete that will be
19brought about by the construction of a
begin delete passenger cruise ship terminal, improvements to berthing improved public access and
21facilities for waterborne transit, a lagoon,end delete
23commercial public trust uses on this site, hereby authorizes the
24Port to approve a
begin delete cruise ship terminalend delete development on the San
25Francisco waterfront at Pier 30-32,
begin delete which would include general ,
26office use and general retail useend delete
27if all of the following conditions are met:
28(a) The development includes a modern two-berth cruise ship
38(b) The development includes a public access component that
39meets the requirements of the Special Area Plan and the San
40Francisco Bay Plan as interpreted by BCDC
begin delete and that also offers .
P15 1expanded bay views and public accessend delete
9(c) Prior to submitting a major permit application to BCDC for
10the cruise ship terminal development, the Port, after review by or
11on behalf of BCDC, approves the final design concept for the
12Brannan Street Wharf.
13(d) Prior to the issuance of a BCDC permit for the cruise ship
14terminal development, the Port demonstrates, to the satisfaction
15of BCDC and the Attorney General’s office, that it has irrevocably
16encumbered all of the funds deemed necessary for the completion
17of the Brannan Street Wharf and has placed the funds in a
18segregated account guaranteed to be available to be drawn upon
19for the construction of the Brannan Street Wharf, and the Port and
20BCDC enter into an enforceable agreement that provides for the
21Port to fund, directly or through grant funding, or both, design,
22and construct the Brannan Street Wharf consistent with the
24(1) The Port shall complete preliminary engineering drawings
25for the Brannan Street Wharf and prepare and submit to BCDC a
26financing plan approved by the Port indicating funding sources
27and estimated construction costs at the time the construction of
28the cruise ship terminal development commences.
29(2) The Port shall complete Phase 1, the northern portion of the
30Brannan Street Wharf (in the area of Pier 34), as described in the
31Special Area Plan contemporaneously with the construction of the
32cruise terminal development.
33(3) The Port shall remove Pier 36 and complete the Brannan
34Street Wharf no later than five years after commencement of
35construction of the cruise ship terminal development.
36(e) The amount of office space in the development does not
37exceed 300,000 leasable square feet, all of which shall be above
38the ground level. This office space shall also be designed to
39contribute to a development design that includes public spaces and
40promotes visual and public access. An additional 25,000 leasable
P16 1square feet of space in the cruise ship terminal building may be
2used for general office use until the earlier of either of the
4(1) Fourteen years from the first date of occupancy.end delete
5(2) When home berthing ships above 5,000 passenger berth
6capacity call for 15 days per year for two consecutive years.
7(f) The development includes a marketing program designed to
8maximize the amount of general office space occupied by
9trust-related tenants over the life of the development.
10(g) The cruise ship terminal development, if approved by BCDC,
11complies with the requirements set forth in this subdivision. For
12purposes of this subdivision only, “trust retail” means visitor
13serving public trust retail and restaurant use. “Nontrust retail”
14means other retail and theatre uses. The amount of trust retail
15leasable space shall be equal to or greater than the nontrust retail
16leasable space. The amount of trust retail leasable space, nontrust
17retail leasable space, and visitor serving trust use converted from
18trust or nontrust retail, as approved by BCDC, shall be at least 40
19percent of the total amount of office leasable space.
The Legislature finds and declares that the 2000
19amendments of the San Francisco Bay Plan and the Special Area
20Plan by BCDC are authorized under subdivision (f) of Section
2166632 of the Government Code as necessary to protect the health,
22safety, and welfare of the public in the entire
begin delete Bay Areaend delete,
23and BCDC’s actions with respect to those amendments are hereby
24ratified and confirmed.
Notwithstanding the Special Area Plan and the Bay
29Plan requirement for findings of consistency with the public trust
30doctrine and the Burton Act, BCDC is authorized to approve the
31cruise ship terminal development trust as provided in this act.
32Except as provided in Section 14 of this act, nothing in this act is
33intended to limit the discretion of BCDC to approve or deny
34permits for the projects described in this act in a manner consistent
35with the McAteer-Petris Act, the Bay Plan, the Special Area Plan,
36and this act, or to limit the discretion of BCDC to enforce permits
37issued for the projects described in this act.
(a) For the purpose of effectuating the sale of the street,
13including the conveyance of the street by the city, free of the public
14trust and the Burton Act trust, the State Lands Commission may
15convey to the city by patent all of the rights, title, and interest held
16by the state by virtue of its sovereign trust title to the street,
17including any public trust interest or Burton Act reservation or
18trust interest, not heretofore conveyed, subject to any reservations
19the State Lands Commission determines appropriate.
20(b) In any case
begin delete whereend delete the state, pursuant to this act,
21conveys filled tidelands and submerged lands transferred to the
22city pursuant to the Burton Act, the state shall reserve all minerals
23and all mineral rights in the lands of every kind and character now
24known to exist or hereafter discovered, including, but not limited
25to, oil and gas and rights thereto, together with the sole, exclusive,
26and perpetual right to explore for, remove, and dispose of those
27minerals by any means or methods suitable to the state or to its
28successors and assignees, except that, notwithstanding the Burton
29Act, or Section 6401 of the Public Resources Code, any such
30reservation shall not include the right of the state or its successors
31or assignees in connection with any mineral exploration, removal,
32or disposal activity, to do either of the following:
33(1) Enter upon, use, or damage the surface of the lands or
34interfere with the use of the surface by any grantee or by the
35grantee’s successors or assignees.
36(2) Conduct any mining activities of any nature whatsoever
37above a plane located 500 feet below the surface of the lands
38without the prior written permission of any grantee of the lands or
39the grantee’s successors or assignees.
The city may, pursuant to Section 3 of Article X of the
8California Constitution, sell the street to any private person,
9partnership, or corporation, with the approval of the State Lands
10Commission, if the city first finds that the sale is consistent with
11the legislative findings and declarations set forth in Section 3. That
12sale shall not be effective unless and until the State Lands
13Commission, at a regular open meeting with the proposed sale of
14the street as a properly scheduled agenda item, does or has done,
15all of the following:
16(a) Finds, or has found, that the consideration for the sale of the
17street pursuant to Section 3 of Article X of the California
18Constitution shall be the fair market value of the street.
19(b) Adopts, or has adopted, a resolution approving the sale that
20finds and declares that the street has been filled and reclaimed, is
21cut off from access to the waters of San Francisco Bay, and is no
22longer needed or required for the promotion of the public trust or
23the Burton Act trust, and that no substantial interference with the
24public trust or Burton Act trust uses and purposes will ensue by
25virtue of the sale. The resolution shall also declare that the sale is
26consistent with the findings and declarations in Section 3, and the
27sale is in the best interests of the state and city. Upon adoption of
28the resolution, or at a time that is specified in the resolution, the
29street shall thereupon be free from the public trust and the Burton
31(c) Finds, or has found, that the sale of the
begin delete shall occur only in conjunction with a simultaneous exchange
will be devoted to trust-related capital improvements by
33of the state’s sovereign title in Seawall Lot 330 pursuant to Chapter
34310 of the Statutes of 1987, according to the terms and conditions
35required by the State Lands Commission, or other disposition of
36the state’s sovereign title in Seawall Lot 330 approved by the State
37Lands Commission or the Legislature, and that the proceeds for
38that saleend delete
begin deleteAny agreement for the sale of, and trust termination shall be
7over, the street pursuant to this act end delete
14conclusively presumed to be valid, unless held to be invalid in an
15appropriate proceeding in a court of competent jurisdiction to
16determine the validity of the agreement
begin delete. Any such commenced within 60 days after
17proceeding shall beend delete
18the recording of the agreement.
An action may be brought under Chapter 4
24(commencing with Section 760.010) of Title 10 of Part 2 of the
25Code of Civil Procedure by the parties to any agreement regarding
27a street sale or exchange of land entered into pursuant to this act
28or pursuant to Chapter 310 of the Statutes of 1987 to confirm the
29validity of the agreement. Notwithstanding Section 764.080 of the
30Code of Civil Procedure, the statement of decision in the action
31shall include a recitation of the underlying facts and a determination
32whether the agreement meets the requirements of
33this act, Chapter 310 of the Statutes of 1987,
34Sections 3 and 4 of Article X of the California Constitution, and
35any other law applicable to the validity of the
The authorization contained in Section 5, and any
21lease, permit, development approval, or other entitlement for use,
22including any BCDC permit, for the cruise ship terminal
23development that is dependent upon that authorization is not
24affected by the failure of the Port to perform any obligation under
25the BCDC agreement referred to in subdivision (d) of Section 5,
26and that authorization and the lease, permit, development approval,
27or other entitlement for use shall remain in full force and effect.
28BCDC may enforce the agreement referred to in subdivision (d)
29of Section 5 by specific performance or by any other enforcement
30remedy in the McAteer-Petris Act, except for revocation of any
31BCDC permit issued for the cruise terminal development.
It is the intent of the Legislature to enact
9subsequent legislation that would promote economic growth and
10create jobs in California.