BILL ANALYSIS Ó SB 749 Page 1 SENATE THIRD READING SB 749 (Wolk) As Amended September 6, 2013 Majority vote SENATE VOTE :39-0 WATER, PARKS & WILDLIFE 15-0 APPROPRIATIONS 17-0 ----------------------------------------------------------------- |Ayes:|Rendon, Bigelow, Allen, |Ayes:|Gatto, Harkey, Bigelow, | | |Bocanegra, Dahle, Fong, | |Bocanegra, Bradford, Ian | | |Frazier, Beth Gaines, | |Calderon, Campos, | | |Gatto, Gomez, Gonzalez, | |Donnelly, Eggman, Gomez, | | |Gray, Patterson, Yamada, | |Hall, Holden, Linder, | | |Williams | |Pan, Quirk, Wagner, Weber | | | | | | |-----+--------------------------+-----+--------------------------| | | | | | ----------------------------------------------------------------- SUMMARY : Makes several procedural changes to the California Endangered Species Act (CESA); extends the sunset date on the authority for accidental take of listed species in the course of otherwise lawful and routine agricultural activities; and enacts other provisions related to agricultural leasing of state lands and protection of habitat for upland game birds and nesting waterfowl. Specifically, this bill : 1)Authorizes the Department of Fish and Wildlife (DFW) to lease department-managed lands for agricultural activities, including but not limited to grazing, where consistent with the purpose for which the lands were acquired and compatible with the DFW's management plan for the area. Requires moneys collected from agricultural leases of DFW managed lands to be deposited into the Wildlife Restoration Fund and authorizes those moneys, upon appropriation by the Legislature, to be used to support the management, maintenance, restoration and operations of DFW managed lands. 2)Requires DFW to annually provide an opportunity for licensed hunters to comment and make recommendations on public hunting programs, and authorizes DFW to hold regional meetings on hunting programs for different wildlife areas. SB 749 Page 2 3)Makes several changes to the processes and procedures required under CESA as follows: a) Clarifies when a public hearing is closed for purposes of finalizing the administrative record in CESA proceedings, and clarifies the circumstances under which the administrative record can be reopened, which include material changes in the law and a determination by the Fish and Game Commission (FGC) that additional information is needed to reach a decision on the petition. Requires the FGC if it reopens the record to provide an opportunity for public comment on the submitted information prior to the issuance of its decision. b) Requires the species status report prepared by the DFW for purposes of determining whether a petitioned action is warranted to be independently peer reviewed and made available on the DFW's Internet Web site. Requires the DFW to amend the draft status report as appropriate to incorporate scientific information from the independent peer review, and to make the revised status report available for a minimum of 30 days for public review prior to the hearing on the listing decision. Authorizes the FGC to grant an extension of up to six months if necessary to complete independent peer review and provide the required time for public notice and review. c) Provides that these changes to the CESA processes shall sunset on January 1, 2017, unless a later enacted statute deletes or extends that date. d) Extends the sunset from 2014 to 2020 on the provision of existing law allowing accidental take of a candidate, threatened or endangered species resulting from an act that occurs on a farm or ranch in the course of otherwise lawful routine and ongoing agricultural activities. Defines accidental to mean unintended or unforeseen. e) Clarifies the DFW's responsibilities for independent peer review of species status reports. 4)Requires, when agricultural lands are being idled in order to provide water for transfer, and an amount of water is determined to be made available by that idling, that landowners shall be encouraged to cultivate or retain SB 749 Page 3 non-irrigated cover crops or natural vegetation to provide waterfowl, upland game bird, and other wildlife habitat, provided that all water transfer requirements are met. Additionally requires the Department of Water Resources (DWR) to include information and resources regarding this issue in its water transfer guide. 5)Extends the sunset date on the Department of Fish and Wildlife's (DFW's) coho salmon recovery strategy pilot program from 2014 to 2017. EXISTING LAW : 1)Authorizes the DFW to acquire and manage lands for wildlife management areas, public shooting grounds, or ecological reserves. 2)Authorizes the Wildlife Conservation Board (WCB) to authorize the DFW to lease real property held under the jurisdiction of the WCB or the DFW and requires the proceeds from such transactions to be deposited in the Wildlife Restoration Fund. Authorizes monies in the Wildlife Restoration Fund to be used for land acquisitions and construction costs. 3)Establishes processes and procedures for the review and analysis of petitions for the listing of threatened and endangered species under CESA. Exempts, until January 1, 2014, accidental take of candidate, threatened or endangered species resulting from an act occurring in the course of otherwise lawful routine and ongoing agricultural activities from the prohibition on take of listed species. 4)Allows a permittee or licensee to temporarily change the point of diversion, place of use, or purpose of use due to a water transfer if the transfer would only involve the amount of water that would have been consumptively used or stored by the permittee or licensee in the absence of the proposed temporary change, would not injure any legal user of the water, and would not unreasonably affect fish, wildlife, or other instream beneficial uses. Defines "consumptively used" to mean the amount of water that has been consumed through use by evapotranspiration, has percolated underground, or has been otherwise removed from use in the downstream water supply as a result of direct diversion. SB 749 Page 4 SB 749 Page 5 FISCAL EFFECT : According to the Assembly Appropriations Committee: 1)Cost pressure of up to $1.7 million for lost revenues to the Wildlife Restoration Fund. 2)Minor, absorbable costs to review petitions to add or remove a species from the lists of threatened or endangered species and make recommendations regarding the establishment of bird habitat. COMMENTS : This bill enacts several changes related to both wildlife-friendly farming practices and CESA. The author indicates the purpose of this bill is to ensure good stewardship of private property and DFW-managed lands by: 1) extending accidental take protection under CESA for routine and ongoing agricultural activities; 2) requiring independent scientific review of endangered species status reports; 3) clarifying DFW's authority to lease DFW-managed lands for agricultural activities and to use the revenues from the leases to support maintenance and operation of the lands; and 4) encouraging non-irrigated cover crops or natural vegetation on agricultural lands that are fallowed as a result of water transfers, in order to provide habitat benefits for waterfowl and upland game bird nesting and brooding activities. The DFW has supplemented the costs of maintenance and operations of DFW-managed lands by granting leases for agricultural activities on some state managed wildlife lands. A state audit conducted last year raised questions regarding the accountability of the leasing process and the reporting of revenues. The issue was addressed in the budget process and language was included in the budget bill and resources budget trailer bill clarifying the DFW's expenditure authority and bringing these revenues on budget by requiring that the revenues from the agricultural leases be deposited in the Wildlife Restoration Fund. This bill clarifies that the DFW is authorized to lease DFW-managed lands for agricultural activities, including but not limited to grazing, where consistent with the purpose for which the lands were acquired and compatible with the DFW's approved management plan for the area. It also clarifies that the moneys collected from the leases, upon appropriation, may be used to support the maintenance and operations of DFW-managed lands, and requires DFW to deposit the funds in the Wildlife Restoration Fund. The SB 749 Page 6 ability of DFW to grant agricultural leases has been an important component of the overall management plan for a number of wildlife refuges managed by DFW. One example is the Yolo Basin Wildlife Refuge, where lands leased for the growing of rice provide habitat for waterfowl and other wildlife species, and managed grazing in other parts of the refuge help to maintain vernal pool habitat. The revenues generated from the leases also assist the DFW in covering maintenance and operations costs for the refuge. This bill makes several amendments to facilitate and improve the implementation process under CESA. Specifically, this bill: 1) extends the sunset date on the accidental take exemption for agricultural activities from 2014 to 2020 and defines "accidental" as unintended and unforeseen; 2) clarifies when the administrative record under the CESA listing process is open and closed; 3) clarifies that independent scientific peer review is required of all species status reports, and that the peer review report must be publicly disclosed; and 4) allows the FGC to grant an extension of time of up to 6 months if necessary to complete the peer review process and provide public disclosure. The FGC and DFW indicate that the procedural changes will help add clarity to the petition review and hearing process and the ability to grant an extension of time will help to facilitate completion of peer review. This bill also extends the sunset period for three years on DFW's authority for continued implementation of its existing coho salmon recovery strategy pilot program, which would otherwise sunset the end of this year. The author indicates that growers interested in providing water transfers, but also interested in engaging in wildlife friendly land practices, have expressed concerns that state rules regarding water transfers may be interpreted in ways that prohibit or discourage the growing of non-irrigated cover crops or natural vegetation on agricultural lands idled to facilitate water transfers. Waterfowl and upland game birds have come to rely to a considerable extent on vegetated agricultural lands for nesting and rearing habitat, as much of their other habitat has been lost to development. There is concern that this problem could increase as more lands are fallowed in the future to facilitate water transfers. On the other hand, state water agencies have expressed concerns that in some cases non-irrigated vegetation may consume ground water in areas where the water table is high, or if the land is near a canal, may SB 749 Page 7 consume water through seepage, thereby reducing the amount of water that is actually available for transfer. This bill seeks to accommodate both concerns by providing that when agricultural lands are idled to provide water for transfer, and an amount of water is determined to be made available by that idling, the growth of non-irrigated cover crops or natural vegetation for waterfowl, upland game birds and other wildlife habitat shall be encouraged, provided all other water transfer requirements are met. Supporters, which include agricultural entities and waterfowl hunting groups, note that California's farmers and ranchers provide habitat for wildlife throughout the state, but that California's laws can sometimes make farming and ranching a challenge. In particular, many farmers are fearful that if they allow habitat to develop on their property they may attract protected species and be liable for accidentally harming a species through routine agricultural activities. Continuation of the accidental take provision provides an incentive for farmers to engage in wildlife friendly farming practices, without fear of liability. Similarly, existing rules regarding water transfers can discourage landowners from providing upland nesting cover on lands fallowed as a result of water transfers. While recognizing water transfers are an increasing strategy to meet California's water needs, this bill seeks to help ensure some wildlife habitat benefit can remain on a transferor's land. Allowing non-irrigated cover vegetation may also assist in meeting state goals for carbon sequestration to reduce global warming and improve air quality by reducing air borne dust particulates. The Central Valley Joint Venture, a public/private partnership dedicated to implementing the North American Waterfowl Management Plan in the Central Valley has also identified the need to establish additional waterfowl habitat, including upland nesting cover, to bolster bird populations. Supporters also note that the other proposed changes to CESA in this bill will improve the listing process by ensuring scientific data is better incorporated into the listing process. Analysis Prepared by : Diane Colborn / W., P. & W. / (916) 319-2096 FN: 0002502 SB 749 Page 8