BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | SB 1119|
|Office of Senate Floor Analyses | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
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THIRD READING
Bill No: SB 1119
Author: Wolk (D), et al.
Amended: 3/28/16
Vote: 27
SENATE GOVERNMENTAL ORG. COMMITTEE: 9-3, 4/12/16
AYES: Hall, Block, Galgiani, Glazer, Hernandez, Hill, Hueso,
Lara, McGuire
NOES: Berryhill, Gaines, Vidak
NO VOTE RECORDED: Runner
SENATE APPROPRIATIONS COMMITTEE: 5-2, 5/27/16
AYES: Lara, Beall, Hill, McGuire, Mendoza
NOES: Bates, Nielsen
SUBJECT: Surplus state property: Napa County Regional Park
and Open Space District
SOURCE: County of Napa
DIGEST: This bill extends the sunset date, which expired on
January 1, 2015, to January 1, 2021, for the state to sell the
area known as the Skyline Park in the County of Napa. This bill
also revises the current authorization for the state to sell the
Skyline Park from the County of Napa to the Napa County Regional
Park and Open Space District.
ANALYSIS:
Existing law:
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1)Authorizes the Director of the Department of General Services
(DGS) to sell or exchange, at fair market value based upon an
appraisal approved by DGS, all or part of a specified parcel
of state property only to the County of Napa upon those terms,
conditions, reservations, and exceptions the director
determines are in the best interest of the state, by January
1, 2015, and subject to other requirements.
2)Requires reimbursement of DGS for any cost or expense incurred
in the disposition of the property from the proceeds of the
disposition of the property.
3)Requires the proceeds from this sale to be deposited in the
Deficit Recovery Bond Retirement Sinking Fund Subaccount until
the bonds associated with this subaccount are finally paid.
This bill:
1)Extends the current sunset date, which expired on January 1,
2015, to January 1, 2021, for the state to sell, at fair
market value, the area known as the Skyline Park in the County
of Napa.
2)Revises the current authorization for the state to sell the
Skyline Park from the County of Napa to the Napa County
Regional Park and Open Space District.
3)Revises the reference to the Deficit Recovery Bond Retirement
Sinking Fund Subaccount, given that the principal and interest
on the bonds has been provided and no more bonds are
outstanding.
4)Directs, consistent with the California Constitution, that
proceeds be paid into the Special Fund for Economic
Uncertainties, which is continuously appropriated.
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Background
Purpose of the bill. According to the author, the bill "seeks
to extend the sunset date for the state to sell or exchange, at
fair market value, the area known as the Skyline Park to the
Napa County Regional Park and Open Space District. Skyline
Wilderness Park has been operated as a public park for more than
three decades. Several years ago, state law authorized the sale
of Skyline Park to Napa County so the land would be used as a
public park in perpetuity. The three year authorization period
expired on January 1, 2015."
The author further argues that, "an earlier effort by the County
of Napa to purchase the property did not succeed because the
County and the State could not agree to the fair market value
for the property in time. This bill seeks to give the County of
Napa more time to continue negotiations for the sale of the
Park."
The Skyline Wilderness Park. The Skyline Wilderness Park is an
850-acre parcel public park located on the grounds of Napa State
Hospital in Napa County. The Park includes 12 miles of hiking,
riding, and bicycling trails, a native plant garden, horse
arena, and an archery range.
According to the author, "the Skyline Wilderness Park is a
highly valuable public amenity, not only for recreation but also
to protect a pristine watershed and preserve a rich wildlife
habitat. Additionally, this property was placed on the surplus
property list by the Department of Mental Health. The
Department retains sufficient property near the present hospital
for any foreseeable expansion."
Currently, the Napa County leases the Park from the State of
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Page 4
California at $100 per year. However, the park has in the past
been placed on a list of state surplus property. The lease has
a term of 50 years, which expires in 2030.
Napa County has placed a cent local tax on the November ballot
to raise funds for the purchase of the Park. The sunset
extension allows time for a local vote and time to raise the
needed revenue.
Prior Legislation
AB 2279 (Evans, Chapter 595, Statutes of 2010) authorized DGS to
sell or exchange, at no less than current fair market value, the
Skyline Park to the County of Napa by January 1, 2015, upon
terms and conditions DGS deems are in the best interest of the
state.
AB 600 (Hall, 2009) would have authorized DGS to lease
state-owned property (the Compton Armory, to the City of
Compton) at fair market value for a period not to exceed five
years, with an option to extend the least to 25 years. (Vetoed
by Governor Schwarzenegger)
SB 678 (Wiggins, 2007) would have authorized DGS to sell or
exchange at current fair market value, by January 1, 2010, to
the County of Napa, certain property located in the County of
Napa under specified conditions. (Vetoed by Governor
Schwarzenegger)
FISCAL EFFECT: Appropriation: Yes Fiscal
Com.:YesLocal: No
According to the Senate Appropriations Committee, one-time
General Fund revenue gains, likely in the millions, related to
the sale of Napa State Hospital property at fair market value.
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(Special Fund for Economic Uncertainties)
In addition, DGS administrative costs, potentially over
$100,000, related to the sale of the property. All DGS costs
would be recovered from the proceeds of the property sale.
Also, potential foregone revenues, to the extent this bill
limits the sale to one entity for park or wilderness purposes,
thereby potentially depressing the appraised fair market value.
Finally, potential future costs to purchase additional property
to accommodate the expansion needs of the Napa State Hospital,
which will not be known until after the completion of the
Department of State Hospitals facilities master planning
process.
SUPPORT: (Verified5/27/16)
County of Napa (source)
Napa County Regional Park and Open Space District
OPPOSITION: (Verified5/27/16)
None received
ARGUMENTS IN SUPPORT: According to the Napa County Regional
Park and Open Space District, "the importance of the park to the
residents of Napa County cannot be overstated. It is within a
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few minutes' drive for over 80 percent of the residents of Napa
County. It provides an exceptional experience for hikers,
equestrians, mountain bicyclists and campers, and accommodates
an archery range, a disc golf course, a small horse arena, and a
native plant garden. Our District and our community are
committed to raising the funds needed to acquire the park."
Prepared by:Felipe Lopez / G.O. / (916) 651-1530
5/28/16 16:57:31
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