BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2764
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          Date of Hearing:   April 28, 2014

                       ASSEMBLY COMMITTEE ON NATURAL RESOURCES
                                Wesley Chesbro, Chair
              AB 2764 (Natural Resources) - As Amended:  April 21, 2014
           
          SUBJECT  :   Public resources:  State Lands Commission:  State Air  
          Resources Board

           SUMMARY  :   Makes amendments to statutes related to 1) the State  
          Lands Commission's (Commission) authority to cede concurrent  
          criminal jurisdiction to the United States over military and  
          national parks land, 2) reporting requirements imposed on local  
          trustees of public trust lands, 3) the Air Resources Board's  
          (ARB) code section regarding expense reimbursements for ARB  
          members, 4) the Orange County public trust granting statute, and  
          5) the definition of "marine waters" in the Commission's oil  
          spill statutes.

           EXISTING LAW  : 

          1)Protects, pursuant to the common law doctrine of the Public  
            Trust (Public Trust Doctrine), the public's right to use  
            California's waterways for commerce, navigation, fishing,  
            boating, natural habitat protection, and other water oriented  
            activities.  Requires, through the Public Trust Doctrine, that  
            filled and unfilled tide and submerged lands and the beds of  
            lakes, streams, and other navigable waterways (public trust  
            lands) are to be held in trust by the state for the benefit of  
            the people of California.  

          2)Requires the Commission to be the steward and manager of the  
            state's public trust lands.  Gives the Commission direct  
            administrative control over the state's public trust lands and  
            oversight authority over public trust lands granted by the  
            Legislature to local governments.

          3)Grants, in trust, state public trust lands to over 80 local  
            public agencies (local trustees) to be managed for the benefit  
            of all the people of the state and pursuant to the Public  
            Trust Doctrine and terms of the applicable granting statutes.   
            This includes a grant of public trust lands located at Dana  
            Point Harbor to Orange County for the promotion of harbor  
            construction, operation, and related activities.









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          4)Requires that all revenues received by a local trustee from  
            its trust lands and trust assets be expended only for those  
            uses and purposes consistent with the public trust for  
            commerce, navigation, and fisheries, and the applicable  
            statutory grant or grants.  By October 1 of each year,  
            requires each local trustee to file with the Commission a  
            detailed statement of all revenues and expenditures relating  
            to its trust lands and trust assets, including obligations  
            incurred but not yet paid, covering the fiscal year preceding  
            submission of the statement. 

          5)Authorizes the Commission to cede concurrent criminal  
            jurisdiction for no more than a five year period to the United  
            States within certain lands held by the United States, as  
            specified.

          6)Requires the Commission to adopt rules, regulations,  
            guidelines, and leasing policies for reviewing marine  
            terminals (i.e., facilities used for transferring oil to or  
            from tankers or barges) and other marine facilities to  
            minimize the possibilities of a discharge of oil.  Defines  
            "marine facility" as any facility of any kind, other than a  
            vessel, which is or was used for the purposes of exploring  
            for, drilling for, producing, storing, handling, transferring,  
            processing, refining, or transporting oil and is located in  
            marine waters, or is located where a discharge could impact  
            marine waters.  Defines marine waters as those waters subject  
            to tidal influence, except for waters in the Sacramento-San  
            Joaquin Rivers and Delta upstream from a line running north  
            and south through the point where Contra Costa, Sacramento,  
            and Solano Counties meet.

           THIS Bill  :  

          1)Makes technical cleanup changes to the Commission's authority  
            to cede concurrent criminal jurisdiction to the United States  
            within certain lands held by the United States.  Extends the  
            maximum period of cession from 5 years to 10 years.   
            Authorizes the Commission to approve cession at a regularly  
            noticed Commission meeting.  

          2)Changes the deadline for a local trustee's annual report from  
            October 1 to December 31.

          3)Fixes a technical drafting error in an ARB code section  








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            regarding expense reimbursements for ARB members.

          4)Expressly authorizes Orange County to use public trust  
            revenues from its granted public trust lands on lands located  
            outside of the grant boundaries if those revenues are used for  
            trust purposes.

          5)Amends the definition of "marine waters" to include waterways  
            used for vessel traffic to the Port of Sacramento and the Port  
            of Stockton.

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           1)Ceding Concurrent Criminal Jurisdiction  .  The Legislature has  
            enacted a number of special statutes in the last 160 years  
            with respect to cession of the state's concurrent criminal  
            jurisdiction over federally owned lands used for military  
            purposes and national parks.  These provisions can now be  
            found in Government Code Section 126.  This bill makes cleanup  
            amendments, allows a cession to last up to ten years, and  
            allows the Commission to authorize cession at its regular  
            public meetings.  Cession hearings happen separately from the  
            regular public Commission meetings.  Since 1981, there only  
            have been two occasions when members of the public attended  
            these cession hearings.  Commission staff spends considerable  
            time, effort, and expense to set up the hearings that is  
            generally not attended by either the United States or the  
            general public for whom it is intended.  The process would be  
            more efficient if hearings could be incorporated into the  
            regular Commission meetings and if cession could be extended  
            by five years.

           2)Local Trustee Annual Report  .  This bill changes the date local  
            trustees are required to submit their financial information to  
            the Commission from October 1 of each year to December 31st of  
            each year.  This change has been suggested by Commission staff  
            because many local trustees regularly request an extension  
            from the Commission because their financial records are still  
            being audited, and often the auditing is not completed until  
            the end of December.    
                 
            3)Orange County Tidelands Grant  .  This bill amends an Orange  
            County public trust land granting statute to provide the Dana  








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            Point Harbor District with a more flexible approach for  
            purchasing, leasing, or acquiring non-adjacent lands for  
            vessel storage during upcoming harbor redevelopment work.  The  
            amendments also address concerns about the Dana Point Harbor  
            Patrol patrolling areas outside of the geographic region of  
            the grant.  The use of public trust revenues for these  
            purposes is generally consistent with the Public Trust  
            Doctrine.

           4)Marine Waters  .  The Commission's oil spill prevention statutes  
            exclude the Sacramento Delta from the definition of "marine  
            waters."  The Commission, however, asserts oil spill  
            jurisdiction over parts of the Sacramento Delta pursuant to  
            the definition of "marine facility," which includes a facility  
            "located where a discharge could impact marine waters."   
            According to Commission staff, an oil spill at a marine  
            facility at the Port of Sacramento or the Port of Stockton  
            could impact marine waters outside the Delta.  Moreover, the  
            term "marine waters" has been amended in the Government Code  
            and Revenue and Taxation Code to include waterways used for  
            vessel traffic to the Port of Sacramento and the Port of  
            Stockton.

          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          County of Orange

           Opposition 
           
          None on file
           
          Analysis Prepared by  :    Mario DeBernardo / NAT. RES. / (916)  
          319-2092