BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 599
                                                                  Page  1

          Date of Hearing:   July 2, 2013

                   ASSEMBLY COMMITTEE ON WATER, PARKS AND WILDLIFE
                                Anthony Rendon, Chair
                     SB 599 (Evans) - As Amended:  June 12, 2013

           SENATE VOTE  :   (vote not relevant)
          This bill was substantially amended in the Assembly and the  
          Senate-approved version of this bill was deleted.  Consequently,  
          this hearing is the first hearing on the current language in the  
          bill. 
           
          SUBJECT  :   California State Park and Recreation Commission

           SUMMARY  :   Enhances the oversight role of the State Park and  
          Recreation Commission (Commission).  Specifically,  this bill  :

          1)States legislative findings and declarations regarding the  
            difficulties experienced by the Department of Parks &  
            Recreation (DPR), including decreased funding, the threatened  
            closure of state parks, and fiscal mismanagement, resulting in  
            audits and investigations.

          2)States legislative findings and declarations regarding actions  
            the Legislature took in response in 2012, including:  directed  
            DPR to establish a revenue generating program with dedicated  
            funding, expanded opportunities for contracts and agreements  
            with nonprofits, added legislative ex officio members to the  
            Commission, directed the Commission to review DPR's deferred  
            maintenance backlog, authorized the sale of specialized state  
            park license plates, required a prioritized plan to increase  
            revenues and collect user fees, and prohibited the closure of  
            any state parks for two years. States that because of the  
            important public functions of DPR and the need for continued  
            public oversight, the Legislature is enacting this bill.

          3)Requires the Commission to meet at least quarterly and that  
            the location of meetings be geographically balanced.   
            Authorizes the Commission to arrange for meetings to be  
            broadcast or streamed live on the Internet through a provider  
            contract, and to conduct meetings through videoconferencing to  
            achieve financial savings.

          4)Requires the annual report produced by the Commission to  
            identify any budgetary requests of the Commission for  








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            consideration by the Department of Finance and the  
            Legislature, including any recommendations for hiring of  
            Commission staff.

          5)Requires the Commission to review DPR's proposed capital  
            outlay and infrastructure expenditures.  Authorizes the  
            Commission to conduct public meetings or hearings on all  
            matters within the jurisdiction of DPR, including but not  
            limited to revenue generation, public-private partnerships,  
            and concession agreements.

          6)Requires DPR, if it proposes to close a park on or after the  
            2014-15 fiscal year, to first provide notice to the Commission  
            six months in advance of the closure in order to provide the  
            Commission an opportunity to provide input and to propose one  
            or more alternatives to closure.

          7)Requires the Department of Finance to establish a separate  
            line item in the annual Budget Act for any annual  
            appropriations to the Commission proposed by the Governor or  
            appropriated by the Legislature.  

           EXISTING LAW  :

          1)Establishes the Commission, consisting of nine members  
            appointed by the Governor and subject to Senate confirmation,  
            and two ex officio legislative representatives appointed by  
            the Speaker of the Assembly and the Senate Committee on Rules.  
             Provides that the nine voting members shall include: three  
            public representatives; one with expertise in cultural or  
            historic resources management; one with professional parks  
            experience; one representing an organization with statewide  
            state park policy expertise or experience operating a state  
            park; one representing a statewide conservation organization;  
            one with a background in the recreational industry; and one  
            representing a local business community with a state park  
            relationship.  Requires that members be selected from areas  
            throughout the state and because of their interest in park,  
            recreation, conservation, and boating and waterways matters.   
            Provides that the Commission members shall serve for four year  
            terms.

          2)Requires the Commission to report annually to the Governor,  
            through the director, on existing and operating recreational  
            facilities, programs and activities of the state park system,  








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            and on the needs of the state and local subdivisions for  
            recreational facilities, programs, and activities, and to make  
            recommendations for programs and activities to meet future  
            needs of the state for parks and recreation.

          3)Requires the Commission to evaluate and assess DPR's deferred  
            maintenance obligations, and authorizes the Commission, after  
            holding a public hearing and presentation by a state park  
            district superintendent, to establish the relative priority of  
            deferred maintenance projects.  Further authorizes the  
            Commission to: provide advice to the Governor, Legislature,  
            and DPR; conduct workshops to review DPR's annual operating  
            budget and proposed capital improvement projects; make  
            recommendation on improvements to visitor services, natural  
            resource protection, and revenue opportunities in state parks;  
            and assist in promoting state parks.

          4)Authorizes the Commission to classify units of the state park  
            system and to approve general plans for state park units.

          5)Requires the Commission to establish general policies to guide  
            the DPR director in the administration, protection and  
            development of the state park system.     

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   Under existing law, the Commission is tasked with  
          establishing policies to guide DPR's management of the state  
          park system.  They also have authority to approve state park  
          general plans and to classify units of the state park system.   
          Last year, after the fiscal management problems at DPR surfaced,  
          the Legislature, through a budget trailer bill, AB 1478  
          (Blumenfield), expanded the composition of the Commission,  
          adding specific qualifications for members and adding two  
          legislative ex officio nonvoting members.  The legislative  
          findings and declarations in last year's trailer bill also  
          included the following finding: "(d) The department has  
          demonstrated that greater public and legislative oversight is  
          necessary. Adjusting the membership of the State Park and  
          Recreation Commission to provide opportunities for experienced  
          and professional experts from qualified organizations with  
          expertise and interest in improving the management and  
          programming within the department is essential. It is equally  
          important to add ex officio legislative members to the  
          commission."  AB 1478 also tasked the Commission with reviewing  








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          and making recommendations on prioritization of DPR's deferred  
          maintenance backlog.  

          This bill would further expand the statutory role of the  
          Commission in the management, oversight and support of  
          California's state park system.  According to the author, in  
          light of the recent difficulties DPR has experienced with  
          decreased funding, the threatened closure of state parks, and  
          fiscal mismanagement that resulted in at least four separate  
          audits or investigations, this bill would assist in providing  
          further transparency, accountability and public accessibility  
          regarding state park management, by expanding the role and  
          independence of the State Parks and Recreation Commission.   
          Specifically, this bill would:

           Require that the Commission meet at least quarterly, and  
            authorize meetings to be broadcast, streamed online or  
            video-cast to achieve financial savings and increase public  
            accessibility.

           Require the existing annual report produced by the Commission  
            to include any budgetary requests of the Commission, and for  
            the Commission's budget to be included in the state budget as  
            a separate line item.  (A separate line item for the  
            Commission was included in this year's budget - this bill  
            would make this an ongoing practice.)

           Require the Commission to review DPR's proposed capital outlay  
            and infrastructure expenditures, as well as deferred  
            maintenance obligations.  

           Authorize the Commission to conduct public meetings or  
            hearings on any matters within the jurisdiction of DPR,  
            including but not limited to, revenue generation,  
            public-private partnerships, and concession agreements.

           Require DPR, if it proposes to close a park on or after the  
            2014-15 fiscal year to first provide notice to the Commission  
            six months in advance of the closure in order to provide the  
            Commission an opportunity to provide input and to propose  
            alternatives to closure.

          The four audits referenced above reviewed a number of issues at  
          state parks, including fiscal mismanagement problems regarding  
          hidden funds, unauthorized vacation buy-outs, and out of class  








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          payment rule violations.  The Bureau of State Audits report in  
          particular highlighted the need for greater transparency.  Among  
          other things, the audit found that DPR, in announcing the 70  
          parks for closure, may have been premature because it had not  
          completed the required cost analysis, and the limited  
          documentation DPR maintained of their evaluation process did not  
          allow the auditor to determine the completeness or  
          reasonableness of the proposal.  The auditor concluded that  
          without documentation, DPR was unable to demonstrate that it  
          followed its process and it would be difficult to defend its  
          park closure decisions.  

          This bill proposes that enhancing the Commission's role, which  
          includes providing a structured and ongoing opportunity for  
          public input on park management issues, is one avenue, in  
          addition to other reforms, through which the identified need for  
          greater transparency and oversight might be further advanced.     
           

           Related Legislation  :  AB 594 (Water, Parks & Wildlife  
          Committee), updates existing law to reflect legislative intent  
          that DPR implement other alternatives, including but not limited  
          to, implementing efficiencies, increasing revenue collection,  
          and operating agreements with nonprofit and local government  
          partners before resorting to full park closures to address  
          budget reductions.  It also requires, for any park closures  
          proposed after the current moratorium ends on July 1, 2014, that  
          DPR document and publicly disclose the methodology and process  
          used to evaluate and select parks for closure, and that a public  
          hearing be held before the Commission.  
            
           Suggested Technical Amendments  :  Committee staff recommends a  
          technical amendment be adopted to recodify the changes to  
          Section 541.5 in this bill by moving the new subdivision (e)  
          into a new code section, in order to avoid chaptering out  
          problems with AB 594 (Water, Parks & Wildlife Committee).  In  
          addition, to avoid concerns that Department of Finance may have  
          regarding public discussion of Budget Change Proposals prior to  
          the process for preparation of the Governor's budget, it is  
          suggested that this bill be amended on page 4, lines 4 and 5, to  
          delete the words "Department of Finance and the Legislature" and  
          insert "director." 

           REGISTERED SUPPORT / OPPOSITION  :









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           Support 
           
          None on file.
           
            Opposition 
           
          None on file.

           Analysis Prepared by  :    Diane Colborn / W., P. & W. / (916)  
          319-2096