BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  AB 2105
          Author:   Frazier (D)
          Amended:  7/2/14 in Senate
          Vote:     21


           SENATE NATURAL RESOURCES AND WATER COMMITTEE  :  7-0, 6/10/14
          AYES:  Pavley, Cannella, Evans, Hueso, Lara, Monning, Wolk
          NO VOTE RECORDED:  Fuller, Jackson

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

           ASSEMBLY FLOOR  :  77-0, 4/21/14 - See last page for vote


           SUBJECT  :    Big game mammals:  bighorn sheep

           SOURCE  :     California Chapter of the Wild Sheep Foundation


           DIGEST  :    This bill authorizes a nonprofit organization  
          designated by the Department of Fish and Wildlife (DFW) to  
          assist in the sale of big game mammal hunting tags to retain 5%  
          of the amount of the sale price of the tag as a vendor fee to  
          cover administrative costs, and raises the fee for a nonresident  
          Nelson bighorn ram tag.

           ANALYSIS  :    

          Existing law:

          1.Requires all revenues from the sale of antelope, elk, deer,  
            wild pig, bear, and sheep tags, including any fundraising  
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            tags, to be deposited in the Big Game Management Account in  
            the Fish and Game Preservation Fund. 

          2.Establishes a state policy to encourage the preservation,  
            restoration, utilization and management of California's  
            bighorn sheep population.  Requires the DFW to determine the  
            status and trend of bighorn sheep populations by management  
            units, and to develop a plan for each unit. 

          3.Authorizes the Fish and Game Commission (FGC) to adopt all  
            regulations necessary to provide for biologically sound  
            management of Nelson bighorn sheep.  Authorizes the FGC to  
            authorize sport hunting of mature Nelson bighorn sheep rams,  
            but prohibits the FGC from authorizing the sport hunting in a  
            single year of more than 15% of the mature Nelson bighorn rams  
            in a management unit.

          4.Requires the FGC to determine the fee for a tag to take a  
            Nelson bighorn ram, not to exceed $500.  Requires the FGC to  
            direct the DFW annually to authorize not more than three of  
            the tags available for issuance that year to be sold at  
            auction for the purpose of raising funds for programs and  
            projects to benefit Nelson bighorn sheep.  If more than one  
            tag is authorized for sale at auction the DFW shall designate  
            a nonprofit organization as the seller of not less than one of  
            the tags.  Allows no more than 15% of the total number of tags  
            authorized to be issued to be sold at auction for higher  
            amounts.

          This bill:

          1.Authorizes a nonprofit organization designated by the DFW to  
            assist in the sale of deer, elk, antelope, or bighorn sheep  
            fundraising tags on behalf of the DFW to retain 5% of the  
            amount of the sale price of the tag as a reasonable vendor  
            fee.

          2.Clarifies that with the exception of the above fee, all  
            revenues from the sale of antelope, elk, deer, wild pig, bear  
            and sheep tags, including any fundraising tags, shall be  
            deposited in the Big Game Management Account within the Fish  
            and Game Preservation Fund. 

          3.Requires the nonprofit selling the tags, within 30 days of the  

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            date of the sale, to send the DFW 95% of the total auction  
            sale price of the tag, with an itemized receipt showing the  
            sale price and the 5% reduction retained by the nonprofit as a  
            vendor's fee.

          4.Requires that the fee for a tag to take a Nelson bighorn ram  
            shall be $400 for a resident of the state, adjusted annually  
            to reflect changes in the Implicit Price Deflator.  Requires  
            the FGC by July 1, 2015, to fix the fee for a nonresident tag,  
            by regulation, at not less than $1,500, which will also be  
            adjusted annually to reflect changes in the Implicit Price  
            Deflator. 

          5.States legislative findings and declarations regarding the  
            national survey of fishing, hunting and wildlife-associated  
            recreation, and the economic contributions of hunters,  
            fishers, and other wildlife-dependent recreation.  Also states  
            legislative findings and declarations regarding demand for  
            desert bighorn sheep tags and associated fees which have not  
            been adjusted since 1986. 

           Background
           
          California is home to two distinct subspecies of bighorn sheep:   
          the Sierra Nevada (Ovis canadensis sierrae) and the Nelson.   
          Nelson bighorns are charismatic mammalian megafauna found in the  
          dry desert mountains of southeastern California.  Due to  
          conservation measures initiated in the 1960s, total Nelson  
          bighorn populations doubled to about 4,000 individuals by 1993  
          (the historical number of bighorn sheep is unknown).   
          Conversely, the peninsular population of Nelson bighorns has  
          experienced declines.  Because peninsular Nelson and Sierra  
          Nevada bighorns are protected under both the federal and state  
          Endangered Species Acts, only a certain portion of the Nelson  
          subspecies is available for taking.

          The process for obtaining a big game tag differs depending on  
          the species and type of tag.  An individual may acquire up to  
          two deer tags per year through outright purchase or through  
          entering drawings for special tags.  Antelope, elk, and bighorn  
          sheep tags are primarily allocated via a drawing system and  
          purchased for a set amount.  In addition, the FGC must direct  
          the DFW to annually reserve a specified amount of deer,  
          antelope, elk, and bighorn sheep game tags for fundraising  

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          auctions that are often executed through nonprofit conservation  
          groups supporting the interests of hunters.  Statute limits the  
          number of available auction tags for antelope, elk, deer, and  
          bighorn sheep to a maximum of 1% of total available tags, 3, 10,  
          and 3 tags respectively.  The actual number issued depends on  
          conservation status of each species.  Each fall, the DFW  
          requests proposals from interested conservation nonprofit  
          organizations to auction these tags.  Auction tags are not  
          subject to fee limits and have typically sold for around  
          $50,000-100,000 per bighorn sheep tag or $5,000-20,000 for other  
          tags.  During the most recent auction period, a coveted bighorn  
          tag sold for $170,000.

          License fees available from non-government agents include a 5%  
          license agent handing fee levied on the base fee.

          Although populations of antelope, elk, and deer have somewhat  
          increased since the Gold Rush (1848-1855), current numbers are  
          far lower than historical values.  For example, deer populations  
          peaked in the 1960s at 700,000-1,000,000 individuals and have  
          since slowly declined.  The DFW scientists attribute this trend  
          to long-term habitat degradation.

          In 2012, SB 1166 (Berryhill) contained nearly identical language  
          allowing nonprofits to recoup their costs or up to 10% of the  
          sale price.  The DFW opposed this legislation due to concerns  
          that federal entities might see this retention as a diversion of  
          funds, placing $10 million in federal funding in jeopardy.  The  
          bill was amended against the wishes of the author to change the  
          vendor fee to a flat 2% in the Assembly Appropriations  
          Committee, and died on the Assembly Inactive File.

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

           SUPPORT  :   (Verified  7/1/14)

          California Chapter of the Wild Sheep Foundation (source)
          Black Brant Group
          California Deer Association
          California Sportsman's Lobby
          California Waterfowl Association
          Gaines & Associates
          Mule Deer Foundation

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          Outdoor Sportsmen's Coalition of California
          Safari Club International

           OPPOSITION  :    (Verified  7/1/14)

          Public Interest Coalition

           ARGUMENTS IN SUPPORT  :    The California Chapter of the Wild  
          Sheep Foundation (CA WSF) state that the price of a non-resident  
          sheep tag has been set in statute at $500 and has not been  
          allowed to increase with inflation or demand since 1986.  This  
          bill would "bring the cost of a non-resident sheep tag current  
          with inflation, in-line with the cost of similar non-resident  
          sheep tags in other states, and allow it to adjust annually with  
          inflation and demand." In addition, CA WSF asserts that DFW  
          looks to hunting-related nonprofit conservation organizations to  
          partner in the sale of tags within the community having the  
          greatest interest to generate the absolute highest return.   
          Rising costs of this partnership are an increasing disincentive  
          for these nonprofits to partner with DFW.

          The California Sportsman's Lobby, Outdoor Sportsmen's Coalition  
          of California, and Safari Club International (SCI) argue that  
          allowing a non-profit organization selling a deer, elk,  
          antelope, or bighorn sheep fundraising tag to keep 5% of the  
          sales price as a vendor fee, plus credit card costs, is  
          "appropriate."  They contend that, "the ability to recover tag  
          sales overhead costs will encourage more qualified SCI chapters  
          to participate in this fundraising program for the department  
          [DFW] and to expend a maximum effort to realize the most revenue  
          possible." 

           ARGUMENTS IN OPPOSITION  :    The Public Interest Coalition argues  
          that this bill will wrongly reduce California government's  
          revenue streams with sales commissions and fees.  If private  
          vendors sell tags, then commissions and applicable credit card  
          fees must be added to the final cost to ensure no net loss in  
          fees to the state.  The coalition also questions the findings  
          and declarations, stating that they rely on a suspect survey  
          that was coordinated by the U.S. Fish and Wildlife Service, but  
          was requested by the Association of Fish and Wildlife Agencies,  
          rendering the results biased.  In addition, they note that the  
          percentage of Californians purchasing hunting licenses and tags  
          is less than 1%.

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           ASSEMBLY FLOOR  :  77-0, 4/21/14
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,  
            Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian  
            Calderon, Campos, Chau, Chávez, Chesbro, Conway, Cooley,  
            Dababneh, Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Fox,  
            Frazier, Beth Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon,  
            Gorell, Gray, Grove, Hagman, Hall, Harkey, Roger Hernández,  
            Holden, Jones, Jones-Sawyer, Levine, Linder, Logue, Lowenthal,  
            Maienschein, Medina, Mullin, Muratsuchi, Nazarian, Nestande,  
            Olsen, Pan, Patterson, Perea, V. Manuel Pérez, Quirk,  
            Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez, Salas, Skinner,  
            Stone, Ting, Wagner, Waldron, Weber, Wieckowski, Wilk,  
            Williams, Yamada, John A. Pérez
          NO VOTE RECORDED:  Mansoor, Melendez, Vacancy


          RM:e  7/2/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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