BILL ANALYSIS                                                                                                                                                                                                    Ó





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          |                                                                 |
          |         SENATE COMMITTEE ON NATURAL RESOURCES AND WATER         |
          |                   Senator Fran Pavley, Chair                    |
          |                    2013-2014 Regular Session                    |
          |                                                                 |
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          BILL NO: SB 633                    HEARING DATE: August 21, 2014  
           
          AUTHOR: Pavley                     URGENCY: No  
          VERSION: August 4, 2014            CONSULTANT: Bill Craven  
          DUAL REFERRAL: No                  FISCAL: Yes  
          SUBJECT: State Parks.  
          
          BACKGROUND AND EXISTING LAW
          The California Department of Parks and Recreation (DPR), now  
          celebrating its 150th anniversary, is vested with control of the  
          state park system and responsibility for administering,  
          protecting, developing, and interpreting state parks for the use  
          and enjoyment of the public. DPR is also responsible for  
          protecting the state park system from damage and preserving the  
          peace. 


          A series of recent statutory changes augmented the department's  
          authority to collect fees, rents, and other returns for the use  
          of state parks with amounts to be determined by DPR, to sell  
          annual and regional passes, and to enter into concession  
          contracts, subject to specified conditions. Those statutory  
          changes also established a revenue generation program, added  
          ex-officio legislative members to the California State Parks and  
          Recreation Commission, and established a moratorium on park  
          closures (that would be extended by AB 2150 (Rendon) that is now  
          pending in the Senate). 


          PROPOSED LAW
          This bill makes several relatively modest changes to the ongoing  
          efforts at the department to establish a successful revenue  
          generation program in ways that are consistent with the ongoing  
          Parks Forward Commission's recommendations. It also would  
          establish a separate line item for the Commission, have the  
          department analyze its energy infrastructure needs to determine  
          possible eligibility for access to cap and trade auction  
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          revenues, and increase public participation in making  
          recommendations for spending revenues generated as part of the  
          state parks license plate fund. Specifically, this bill would 

          1) State legislative findings and declarations regarding recent  
          and ongoing efforts to stabilize and improve the financial base  
          of DPR and clarifying that provisions of this bill regarding  
          pilot projects for sales of park passes through vendors,  
          creation of additional regional passes, and for mobile food and  
          beverage concessions, rely on the existing authority of DPR. 


          2) Requires the Commission's costs to be reflected separately in  
          the Governor's annual proposed budget to increase transparency. 


          3) States legislative intent that the Commission and DPR  
          cooperate to increase public support and participation in the  
          voluntary tax check-off contribution program for state parks by  
          soliciting public input into how the contributions should be  
          spent. The bill would have DPR create one or more projects per  
          year to be funded by the voluntary tax-deductible contributions.  
          The projects would be  selected through a process involving  
          public input, and would involve one or more public hearings to  
          be held by the Commission along with relevant information posted  
          on its Internet Web site. Eligible projects would include, but  
          are not limited to, the repair, preservation, restoration, or  
          rehabilitation of natural or cultural resources, and programs  
          that facilitate increased park visitation by underserved  
          communities. 


          4) Requires DPR to report to the Legislature on or before July  
          1, 2015, on its energy costs, projects that could reduce those  
          costs and potential energy-related infrastructure projects that  
          may be eligible for funding from revenues that may be generated  
          through a market-based compliance mechanism adopted by the Air  
          Resources Board (commonly known as cap and trade). This section  
          would sunset on January 1, 2020. 


          5) States legislative intent to increase opportunities for DPR  
          to sell park passes through vendors. DPR has existing authority  
          to sell park passes through vendor contracts, and the bill  
          requires DPR to report to the Legislature on or before July 1,  
          2016, on its activities to increase such opportunities. This  
          section would also sunset on January 1, 2020. 
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          6) Requires DPR on or before December 31, 2015, and from  
          available appropriated funds, to establish a minimum of two  
          additional regional park passes that are available for purchase  
          through DPR's Internet Web site, park offices, or other  
          designated vendors.  DPR shall determine the regions served by  
          the passes. The bill states that the recent regional passes  
          created by DPR such as the Surf Explorer Vehicle Day Use annual  
          pass, the Historian Passport Day Use Admissions annual pass, and  
          the California Park Experience Vehicle Day Use annual pass may  
          serve as useful models for future regional passes. 


          7) Requires DPR until January 1, 2018, and from available  
          appropriated funds, to establish a pilot program for mobile food  
          and beverage services in multiple state parks, as feasible. The  
          bill requires DPR to submit a report to the Legislature on the  
          results of the pilot program on or before January 1, 2018. This  
          section would sunset in 2019. There is a statement of intent  
          that DPR in implementing this section will not compete with  
          existing concession contracts that provide comparable food and  
          beverage services to the public. 

          ARGUMENTS IN SUPPORT
          According to the author, the purpose of this bill is to continue  
          the bi-partisan work and the close co-operation of the Assembly  
          and the Senate regarding budget and policy reforms at DPR. All  
          of the provisions in this bill, which passed in the Assembly by  
          a vote of 75-0, may be viewed in that light. Three of the  
          provisions (food trucks, new regional passes, and vendor sales  
          of regional passes) build on recommendations of the Parks  
          Forward Commission and are designed to broaden the financial  
          base of the department in ways that are consistent with its  
          overall responsibilities and mission.  The energy report is also  
          designed to broaden the financial base of the department by  
          determining if it is eligible to request auction revenues for  
          some of its energy-related infrastructure needs. 

          The budget line item for the Commission is intended to improve  
          the fiscal transparency of that entity so that the Legislature  
          can determine how much money the Commission spends and whether  
          that amount is adequate or not. 


          Supporters uniformly agree that increasing the number of  
          regional passes will benefit the public by allowing access to  
          the parks in specified regions at considerable savings compared  
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          to an annual pass. 

          Other supporters point out that the bill continues the progress  
          at DPR in using modern technology to sell passes, innovate  
          through the use of food trucks, and analyze energy  
          infrastructure needs. 

          ARGUMENTS IN OPPOSITION
          The Department of Finance is concerned about costs to the  
          department in implementing the bill even though the bill  
          requires that the department would use funds already  
          appropriated to it. The funds would come from the revenue  
          generation subaccount which was recently appropriated several  
          million dollars in the most recent budget. 

          SUPPORT
          California State Parks and Recreation 
          California Travel Association
          State Park Partners Coalition
          Watershed Conservation Authority
          California Park and Recreation Society
          East Bay Regional Parks
          Watershed Conservation Authority
          Trust for Public Land

          OPPOSITION
          Department of Finance 




















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