BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                 UNFINISHED BUSINESS


          Bill No:  SB 630
          Author:   Pavley (D), Gaines (R), and Steinberg (D)
          Amended:  9/3/13
          Vote:     21


           SENATE NATURAL RESOURCES AND WATER COMMITTEE  :  7-2, 4/9/13
          AYES:  Pavley, Evans, Hueso, Jackson, Lara, Monning, Wolk
          NOES:  Cannella, Fuller

           SENATE APPROPRIATIONS COMMITTEE  :  4-1, 5/23/13
          AYES:  De Le�n, Gaines, Hill, Padilla
          NOES:  Walters
          NO VOTE RECORDED:  Lara, Steinberg

           SENATE FLOOR  :  39-0, 5/29/13
          AYES:  Anderson, Beall, Berryhill, Block, Calderon, Cannella,  
            Corbett, Correa, De Le�n, DeSaulnier, Emmerson, Evans, Fuller,  
            Gaines, Galgiani, Hancock, Hernandez, Hill, Hueso, Huff,  
            Jackson, Knight, Lara, Leno, Lieu, Liu, Monning, Nielsen,  
            Padilla, Pavley, Price, Roth, Steinberg, Torres, Walters,  
            Wolk, Wright, Wyland, Yee
          NO VOTE RECORDED:  Vacancy

           ASSEMBLY FLOOR  :  74-0, 9/9/13 - See last page for vote


           SUBJECT  :    California Tahoe Regional Planning Agency

           SOURCE  :     Author


           DIGEST  :    This bill amends the Tahoe Regional Planning Compact  
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          (Compact), which requires ratification by Congress, to (1)  
          clarify that a party challenging the Tahoe Regional Planning  
          Agency's (TRPA) regional plan or an action of TRPA has the  
          burden of proof and (2) direct TRPA to ensure that the regional  
          plan reflects economic considerations in the Lake Tahoe Basin.

           Assembly Amendments  (1) require the TRPA, until January 1, 2018,  
          to annually prepare and submit a report to the Department of  
          Finance (DOF) and the appropriate legislative budget committees  
          a report, of the revenues provided to the TRPA by the States of  
          Nevada and California; (2) create the Lake Tahoe Science and  
          Lake Improvement Account (Account), which will be funded by  
          rental income from surface uses for public trust lands at Lake  
          Tahoe; (3) clarify that funds in the Account must be expended  
          for near-shore environmental improvement program activities and  
          projects, as specified; and (4) make other technical changes.

           ANALYSIS  :    

          Existing law:

          1. Ratifies the Compact, a bilateral agreement between the  
             States of Nevada and California to regulate development in  
             the Lake Tahoe basin.  The Compact established the TRPA as a  
             separate legal entity, comprised of members from the states  
             of Nevada and California, responsible for implementing a  
             "regional plan," as defined, regulating development in the  
             Lake Tahoe region, as defined.

          2. Creates TRPA as a separate legal entity and as a political  
             subdivision of the State of California, and prescribes the  
             membership, functions, and duties of the TRPA, as specified.

          3. Requires the TRPA, within 18 months of its formation, to  
             prepare, adopt, and review and maintain a comprehensive  
             long-term general plan for the development of the Tahoe  
             region, referred to as the "regional plan," as prescribed.

          4. Requires that within one year after adoption of environmental  
             threshold carrying capacities for the Tahoe region, the TRPA  
             to amend its regional plan so that, at a minimum, the plan  
             and all of its elements, as implemented through agency  
             ordinances, rules, and regulations, achieves and maintains  
             the adopted environmental threshold carrying capacities, and  

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             requires that the advisory planning commission appointed by  
             the TRPA and the governing body of the TRPA continuously  
             review and maintain the regional plan.  This provision is  
             contained in the bistate Compact in the Government Code.
          5. Authorizes the State Lands Commission (Commission) to  
             administer, sell, lease, or dispose of public lands owned or  
             controlled by this state. Requires, with specified  
             exceptions, all rental income received for surface uses upon  
             lands under the jurisdiction of the Commission, to be  
             deposited in the General Fund.

          This bill:

           1. Makes several findings and declarations, including the  
             following: 

              A.    The State of California, by and through the Governor,  
                agrees to cooperate with the State of Nevada in seeking to  
                have Congress ratify the amendments to the Compact made by  
                this bill. 

              B.    The State of California supports the full  
                implementation of the regional plan update (RPU) adopted  
                by TRPA in December 2012. 

           1. Amends the Compact, which requires ratification by Congress,  
             to clarify that a party challenging the TRPA regional plan or  
             an action of TRPA has the burden of proof and to direct TRPA  
             to ensure that the regional plan reflects economic  
             considerations in the Lake Tahoe Basin. 

           2. Creates the Account, which will be funded by rental income  
             from surface uses for public trust lands at Lake Tahoe.   
             Authorizes the Account to fund, among other things, the  
             creation of a bistate science-based advisory council which is  
             required to focus on activities that will advance attainment  
             of environmental thresholds as provided in the Compact.

           3. Allows the funds in the Account to be expended for  
             activities and projects that include, but are not limited to,  
             aquatic invasive species prevention projects, projects to  
             improve public access to sovereign land in Lake Tahoe, and  
             projects to improve near-shore water quality monitoring, as  
             specified.

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           4. Requires the TRPA, until January 1, 2018, to annually  
             prepare and submit to the DOF and the appropriate legislative  
             budget committees a report, in a format established by the  
             DOF, of the revenues provided to the TRPA by the States of  
             Nevada and California, including a complete summary and  
             explanation of the expenditure of the revenues received and  
             expended by the TRPA.


           Background
           
          TRPA was first created in 1969 through a bi-state compact  
          between California and Nevada that was also ratified by the  
          United States Congress.  The Compact was revised in 1980 and  
          gave TRPA authority to adopt environmental quality standards  
          (called "thresholds").  Thresholds on various environmental  
          indicators were first adopted in 1982.

          The TRPA board consists of seven voting members from each state  
          and one federal member.  The members represent local governments  
          and the public.  Development project approvals require five  
          affirmative votes from the state in which the project is located  
          and a total of at least nine affirmative votes.  To amend the  
          regional plan or the ordinances of the TRPA, four votes are  
          required from each state. 

          The compact allows either California or Nevada to withdraw based  
          on passage of a statute to that effect. 

          Prior to TRPA, both California and Nevada had state-only Tahoe  
          regional planning agencies:  NTRPA and CTRPA.  The NTRPA still  
          exists, but has virtually no workload.  The CTRPA statutes are  
          still in the California code, but are basically a relic.  Those  
          statutes have not been effective since the Legislature approved  
          the TRPA Compact. 

          The states' share of funding TRPA was intended to be split so  
          that 2/3 would be provided by California and 1/3 by Nevada, with  
          additional federal funding not a part of that formula.  Nevada,  
          although hard hit by the recession, is lagging, although there  
          are indications it may increase its contributions in the next  
          fiscal year.  Currently, of the $14.7 million TRPA budget,  
          California contributes $4.1 million (28%) and Nevada contributes  

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          $1.3 million (9%).  Federal funds and other sources contribute  
          $6.6 million (63%). 

          A long-range regional plan was adopted by TRPA in 1984, and,  
          after litigation and protracted negotiations, a successor  
          regional plan was adopted in 1987.  The regional plan is the  
          overall approach TRPA will use to achieve the thresholds.  That  
          plan remained in effect until December, 2012, when a new RPU was  
          approved.  Despite several prolonged attempts, TRPA itself was  
          never able successfully to complete negotiations for a new  
          regional plan after 1987.  The 2012 update resulted in large  
          part from marathon negotiations on the part of several key  
          leaders and TRPA board members from both states who established  
          negotiations parallel to the TRPA process.  Those efforts  
          resulted in amendments to the draft that TRPA had proposed and  
          the resulting RPU modified TRPA's original proposal. 

          The 2012 update makes several significant changes that will have  
          the effect of expanding or expediting development projects many  
          of which were sought by Nevada interests or local governments.

           SB 271 in Nevada  .  The discontent with TRPA in Nevada has been  
          historic but most recently culminated with the passage of SB 271  
          in 2011.  That law demanded that a new regional plan be  
          approved, and, as indicated earlier, that occurred.  That law  
          stated that Nevada would withdraw from the compact as early as  
          2015 (but with a possible extension to 2017) unless California  
          changed its laws regarding the voting structure of TRPA for both  
          the approval of regional plan amendments as well as approval of  
          projects.  In both cases, Nevada and some local governments from  
          both sides of the state line desire a pro-development voting  
          structure.  These items would constitute amendments to the  
          compact and would require both states to adopt the same language  
          and Congress to ratify that language. 

          SB 271 also has two other requirements.  One is that the new  
          regional plan reflects Lake Tahoe's economic conditions (both  
          the compact and the regional plan already do this).  The second  
          is that a party challenging the regional plan has the burden of  
          proof to show that the plan violates the Compact.  Some legal  
          authorities believe this requirement re-states existing law.   
          California may be open to a compromise that allows the retention  
          of those provisions provided the voting structure provisions of  
          SB 271 are repealed. 

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          There is no indication that California has any interest in  
          changing the voting structure.  Even if it did, that change  
          would have to be approved by Congress and there is no indication  
          that Congress has any interest in the topic or that any such  
          congressional action would occur prior to the deadlines in SB  
          271.

           SB 229 in Nevada  .  Based on conversations and unofficial  
          statements from various Nevada officials, many in California  
          believed that the successful adoption of the RPU ended any real  
          need of or utility for, SB 271.  Apparently that is also the  
          case with some in Nevada.  To that end, SB 229 introduced in the  
          2013 Nevada Legislature, repeals SB 271.  However, at a hearing  
          on April 2, various elected and appointed Nevada officials, some  
          representing its governor, and including two Nevada TRPA board  
          members, said that the administration opposed SB 229 in its  
          current form.  Many of the speakers at the hearing openly  
          acknowledged that SB 271 was considered effective leverage over  
          California.  Negotiations are still underway to determine if  
          some successful way can be achieved to amend SB 229 in a way  
          that could be acceptable in both states.

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

          According to the Senate Appropriations Committee, there are  
          minor costs, if any.

           SUPPORT  :   (Verified  9/9/13)

          California Attorney General
          California Tahoe Regional Planning Agency 
          City of South Lake Tahoe
          El Dorado County
          League to Save Lake Tahoe
          North Tahoe Chamber of Commerce
          Placer County
          Sustainable Community Advocates
          Tahoe Chamber of Commerce
          Tahoe Fund

           OPPOSITION :    (Verified  9/9/13)


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          Sierra Club 

           ASSEMBLY FLOOR  :  74-0, 9/9/13
          AYES:  Achadjian, Alejo, Allen, Atkins, Bigelow, Bloom,  
            Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian  
            Calderon, Campos, Chau, Ch�vez, Chesbro, Conway, Cooley,  
            Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Fox, Beth  
            Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell, Gray,  
            Grove, Hagman, Hall, Harkey, Roger Hern�ndez, Holden, Jones,  
            Jones-Sawyer, Levine, Linder, Logue, Maienschein, Mansoor,  
            Medina, Melendez, Mitchell, Morrell, Mullin, Muratsuchi,  
            Nazarian, Nestande, Olsen, Pan, Patterson, Perea, V. Manuel  
            P�rez, Quirk, Quirk-Silva, Rendon, Salas, Stone, Ting, Wagner,  
            Waldron, Weber, Wieckowski, Wilk, Williams, Yamada, John A.  
            P�rez
          NO VOTE RECORDED:  Ammiano, Frazier, Lowenthal, Skinner,  
            Vacancy, Vacancy


          RM:ke  9/9/13   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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