BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | SB 968| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: SB 968 Author: Hill (D) Amended: 5/27/14 Vote: 21 SENATE NATURAL RESOURCES AND WATER COMMITTEE : 7-2, 4/8/14 AYES: Pavley, Evans, Hueso, Jackson, Lara, Monning, Wolk NOES: Cannella, Fuller SENATE JUDICIARY COMMITTEE : 5-2, 4/22/14 AYES: Jackson, Corbett, Lara, Leno, Monning NOES: Anderson, Vidak SENATE APPROPRIATIONS COMMITTEE : 5-2, 5/23/14 AYES: De León, Hill, Lara, Padilla, Steinberg NOES: Walters, Gaines SUBJECT : Public lands: Martin's Beach property: access road SOURCE : Author DIGEST : This bill directs the State Lands Commission (Commission) to enter into negotiations with the owner of the property known as Martin's Beach to acquire a right-of-way or easement for the creation of a public access route. If the Commission is unable to reach an agreement to acquire a right-of-way or easement and the owners do not voluntarily provide public access by January 1, 2016, this bill will direct the Commission to acquire such a right-of-way or easement by eminent domain. CONTINUED SB 968 Page 2 ANALYSIS : Existing law: 1.Establishes the Commission in the Natural Resources Agency and prescribes the functions and duties of the Commission. 2.Specifies that the Commission has jurisdiction over various state lands, including coastal lands. 3.Authorizes the Commission to acquire a right-of-way or easement across private land in certain circumstances. This bill: 1.Directs the Commission to consult, and enter into any necessary negotiations, with the owners of the property known as Martin's Beach, consisting of two parcels of land, APN: 066-330-230 and APN: 066-330-240, in the unincorporated area of the County of San Mateo, to acquire a right-of-way or easement for the creation of a public access route to and along the shoreline, including the sandy beach, at Martin's Beach at the South Cabrillo Highway. 2.Allows the owners of the property to voluntarily provide public access to and along the shoreline at Martin's Beach upon terms acceptable to the Commission. 3.Provides that if the Commission is unable to reach an agreement to acquire a right-of-way or easement and the owners do not voluntarily provide public access by January 1, 2016, the Commission shall acquire by eminent domain a right-of-way or easement for the creation of a public access route to and along the shoreline, including the sandy beach, at Martin's Beach at the South Cabrillo Highway in accordance with the procedures set forth under the Eminent Domain Law. 4.Directs the Commission to enter into consultation and negotiation with local stakeholders, including, but not limited to, local and regional government and governmental entities, to address the ongoing management and operation of any property acquired pursuant to this bill. CONTINUED SB 968 Page 3 Background The Commission has authority over California's sovereign lands and the Commission administers these lands pursuant to statute and the public trust doctrine. The public trust doctrine is a common law doctrine that specifies the state's authority as sovereign to exercise continuous supervision and control over the navigable waters of the state, tidelands, and non-navigable tributaries to navigable waters. The doctrine includes the protection of maritime or water dependent commerce, navigation, and fisheries, and the preservation of the lands in their natural state for scientific study, open space, wildlife habitat, and water-oriented recreation. Incidental uses that directly promote trust uses or that lend themselves to the public's enjoyment of trust lands are also permitted. These may include facilities that serve visitors, such as parking lots, hotels and restaurants. In specific circumstances, the Commission may enhance public access to or along navigable waters (see, for example, Public Resources Code (PRC) Sec. 6307) to justify certain actions. Additionally, PRC Sec. 6210.9 gives the Commission specific authority, where there is no access available to public trust or similar lands, to obtain a "right-of-way or easement across privately owned land or other land that it deems necessary to provide access to such public land" via condemnation. The Commission has never exercised that authority since receiving it in 1975. The California Constitution (Article X, Section 4) states that "no individual, partnership, or corporation, claiming or possessing the frontage or tidal lands of a harbor, bay, inlet, estuary, or other navigable water in this state, shall be permitted to exclude the right of way to such water whenever it is required for any public purpose, nor to destroy or obstruct the free navigation of such water; and the Legislature shall enact such laws as will give the most liberal construction to this provision, so that access to the navigable waters of this state shall be always attainable for the people thereof." Further, the Coastal Act (PRC Sec. 30000 et seq.) requires maximizing public access to the coast and recreational CONTINUED SB 968 Page 4 opportunities. Martin's Beach is located on the Coast of San Mateo County approximately eight miles south of Half Moon Bay. Seventy-five foot cliffs are located on both the north and south ends of the beach. Access to the beach is via a private road (Martin's Beach Road) from Highway 1. There are approximately 45 cabins on long-term lease adjacent to the beach area. Prior to July 2008, a single family had owned Martin's Beach and the surrounding land for over 100 years. At various times the family allowed the public access to the beach by vehicle, according to documents filed during recent litigation. A parking area was maintained near the beach and parking fees were charged. Facilities available included a general store, restaurant and restrooms. These uses and development pre-date the passage of the Coastal Act. Documents submitted during litigation state that the store and restaurant were closed by the end of the 1980s. In July 2008, two parcels totaling 89 acres from Highway 1 west to the coast and encompassing most of Martin's Beach and all of Martin's Beach Road were sold for $37.5 million. The new owners of the two parcels are Martins Beach 1, LLC and Martins Beach 2, LLC (MB12). Vinod Khosla, the prominent venture capitalist, and his family are behind these two LLCs. In fall 2009 or at some point thereafter, local management of MB12 closed and locked a gate on Martin's Beach Road at Highway 1, and repainted a roadside sign indicating the beach, among other actions. According to the local management, the road and parking area were in disrepair and it was uneconomic to provide a parking attendant at the beach. Considerable local controversy ensued as activists and political figures sought to obtain public access to the beach again. There are numerous news stories describing trespassing by surfers and others as well as attempts by stakeholders to negotiate renewed public access. MB12 have been sued twice in an effort to obtain public access to the beach. Friends of Martin's Beach LLC sued for public access to the tidelands, beach parking area and access along the Martin's Beach Road invoking, in part, the public trust doctrine and provisions of the state's constitution (CIV517634, San Mateo County Superior Court). The case was decided in favor of MB12 in October 2013, although the final order has not yet been CONTINUED SB 968 Page 5 issued. News reports indicate there will be an appeal. Additionally, the Surfrider Foundation has filed a citizen's suit under the Coastal Act to compel public access (CIV520336, San Mateo County Superior Court). A trial is scheduled for May 2014 in this suit. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No According to the Senate Appropriations Committee: Unknown one-time costs, likely in the hundreds of thousands to low millions from the General Fund for the purchase of a right-of-way or easement for access to the public lands at Martin's Beach. Unknown ongoing costs from the General Fund for the maintenance of the right-of-way or easement. SUPPORT : (Verified 5/27/14) Black Surfers Collective California Coastal Commission California Coastal Protection Network Coastside Beach Coalition Committee for Green Foothills Environmental Action Committee of West Marin Ocean Conservancy San Mateo County Save the Waves Coalition Sierra Club California Coastal Committee Surfrider Foundation Wildcoast ARGUMENTS IN SUPPORT : The author states that this bill was introduced "to try and provide a pathway for compromise so the public can once again access Martin's Beach. [?] Local residents and Californians have been deprived of this natural treasure for long enough. [?] This bill tries to bring the landowner to the table to reach a compromise since they have been unresponsive to other efforts. I hope a compromise can be reached because no one wants to use eminent domain; however, to me there is no better or more appropriate use for eminent domain." CONTINUED SB 968 Page 6 According to the California Coastal Commission, "An opportunity to secure permanent public access to such a significant stretch of beach adjacent to major urban areas without the cost, time delays and uncertainty of litigation is worthy of pursuing, and acquisition here under the terms of this bill would appear to be consistent with the Constitutional and statutory direction to maximize access." RM:e 5/27/14 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED