Amended in Assembly May 8, 2014

Amended in Assembly April 10, 2014

Amended in Assembly March 28, 2014

California Legislature—2013–14 Regular Session

Assembly BillNo. 2395


Introduced by Assembly Member Lowenthal

(Principal coauthor: Assembly Member Gorell)

begin insert

(Principal coauthor: Senator Jackson)

end insert

February 21, 2014


An act to add Section 6087 to the Harbors and Navigation Code, relating to harbor districts.

LEGISLATIVE COUNSEL’S DIGEST

AB 2395, as amended, Lowenthal. Oxnard Harbor District: infrastructure projects: funding.

(1) Existing law prescribes procedures for the formation of harbor districts, and sets forth the powers of a district with regard to the operation, management, and development of harbor facilities in a district. Existing law authorizes the board of a harbor district, among other things, to borrow up to $1,000,000 for the purposes of acquiring land for constructing or operating any work, project, or certain authorized facilities or for the making of improvements or the purchase of equipment for the maintenance of those facilities, as prescribed.

This bill would, notwithstanding that borrowing limit, authorize the Oxnard Harbor District to borrow money and incur indebtedness and to accept financial or other assistance from the state or federal government,begin delete provided thatend deletebegin insert ifend insert the proposed borrowing is not in excess of 15% of the district’s total assets, specified, as described, is considered at a public hearing, and is approved by a 23 vote of the members of the board of harbor commissioners for the district. The bill would authorize the district to expend any funds made available to the district pursuant to those provisions for the acquisition of any interests in lands, as specified, and for projects involving the acquisition, construction, development, ownership, and leasing of port facilities, infrastructure, or other projects, as described.

(2) This bill would make legislative findings and declarations as to the necessity of a special statute for the Oxnard Harbor District.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

The Legislature hereby finds and declares all of
2the following:

3(a) The Oxnard Harbor District owns and operates the Port of
4Hueneme. Although the Port of Hueneme is the only deep-water
5port between the major Pacific Ocean ports of northern and
6southern California, its depth at present is only 35 feet at mean
7lower low water (MLLW). A depth of at least 40 feet at MLLW
8is necessary to provide the port with the capacity to accommodate
9a wider variety of vessels to meet anticipated demands. As a result,
10the Oxnard Harbor District needs to finance several significant
11infrastructure projects over the next several decades to expand the
12limited capacity of the port.

13(b) The existing one-million-dollar ($1,000,000) limit on the
14borrowing of money set forth in Section 6084 of the Harbors and
15Navigation Code impedes the Oxnard Harbor District’s ability to
16develop the infrastructure and systems necessary to continue the
17development of the Port of Hueneme to expand the port’s capacity
18and meet anticipated demands.

19(c) In December 2013, the Oxnard Harbor District successfully
20implemented the Shoreside Power Project, which will dramatically
21cut pollutants from vessel emissions particle matter (PM) by 92
22percent, nitrous oxide emissions by 98 percent, and greenhouse
23gas emissions (carbon dioxide) by 55 percent, over the life of the
24project. Further, the project will benefit shippers, truckers, terminal
25operators, dock workers, and regional and national transportation
P3    1systems by extending the useful life of existing wharfs for up to
230 years.

3(d) In Spring, 2012, the Oxnard Harbor District commissioned
4a series of white papers as part of its commitment to providing the
5maximum possible economic and social benefits to the people and
6communities served by the Port of Hueneme. This commitment
7includes a responsibility to address the environmental impacts of
8port operations. The white papers are meant to help the port build
9an environmental management program, and address all of the
10following focus areas:

11(1) Community engagement.

12(2) Water quality.

13(3) Marine resources.

14(4) Air quality.

15(5) Soil and sediment.

16(6) Sustainability.

17(e) The white papersbegin insert that areend insert described in subdivision (d)
18document important accomplishments already achieved by the
19Oxnard Harbor District, including all of the following:

20(1) Active participation in community events and activities.

21(2) Receipt of a $4.5 million shoreside power grant for air
22quality improvements.

23(3) Implementation of phase 1 of a stormwater improvement
24plan.

25(4) Partnering with the United States Navy and the United States
26Corps of Engineers (USACE) to construct the Confined Aquatic
27Disposal Cell.

28(5) Actively monitoring water quality to mitigate impacts to
29marine life.

30(6) Replacement of conventional diesel-fueled maintenance
31vehicles with low-emission propane-fueled trucks.

32(f) Operations and activities at the Port of Hueneme contribute
33meaningfully, qualitatively, and quantitatively to the economic
34health and vitality of southern California and the rest of the state.
35It has been estimated that approximately 10,226 jobs statewide are
36either directly or indirectly related to activities at the Port of
37Hueneme, and the regional agricultural, automobile, and oil and
38gas industries in this state rely on the workers employed in these
39jobs and the port’s daily operations.

P4    1(g) The Oxnard Harbor District does not levy, or expend any
2funds generated by, local taxes, as most of its operations are funded
3directly through fees and other revenue the port generates from its
4users or tenants, and from occasional state and federal grants.

5

SEC. 2.  

Section 6087 is added to the Harbors and Navigation
6Code
, to read:

7

6087.  

(a) (1) Notwithstanding any other provision of this part,
8the Oxnard Harbor District may borrow money and incur
9indebtedness under this section and may accept financial or other
10assistance from the state or federal government.

11 (2) (A) The district shall not borrow an amount in excess of 15
12percent of its total assets, as determined based on the estimated
13value of the assets included in the Port of Hueneme Comprehensive
14Annual Financial Report.

15(B) The district shall, prior to commencing any action to borrow
16funds under this section, conduct a public hearing during which
17the proposed borrowing is considered.

18(C) The district shall not seek to borrow any funds under this
19section unless the proposed borrowing is approved by a 23 vote
20of the members of the boardbegin insert ofend insert harbor commissioners for the
21district.

22(b) The district may expend any funds made available to the
23district pursuant to subdivision (a) for the acquisition of any interest
24in lands, in accordance with Section 6075, and for the acquisition,
25construction, development, ownership, and leasing of port facilities,
26infrastructure, and other projects, including, but not limited to,
27harbor deepening, and for any other buildings, plants, equipment,
28aids, facilities, and improvements necessary for, or incident to, the
29accommodation and promotion of commerce and fisheries in the
30district.

31

SEC. 3.  

The Legislature finds and declares that a special law
32is necessary and that a general law cannot be made applicable
33within the meaning of Section 16 of Article IV of the California
34Constitution because of the unique circumstances applicable only
35to the Oxnard Harbor District.



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