BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   AB 166|
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                                 THIRD READING


          Bill No:  AB 166
          Author:   Lieu (D), et al
          Amended:  9/2/09 in Senate
          Vote:     21

           
           SENATE NATURAL RES. & WATER COMMITTEE :  11-0, 6/23/09
          AYES:  Pavley, Cogdill, Benoit, Hollingsworth, Huff, Kehoe,  
            Leno, Padilla, Simitian, Wiggins, Wolk
           
          SENATE JUDICIARY COMMITTEE  :  5-0, 7/7/09
          AYES:  Corbett, Harman, Florez, Leno, Walters
           
          SENATE APPROPRIATIONS COMMITTEE  :  13-0, 8/27/09
          AYES:  Kehoe, Cox, Corbett, Denham, Hancock, Leno, Oropeza,  
            Price, Runner, Walters, Wolk, Wyland, Yee
           
          ASSEMBLY FLOOR  :  79-0, 6/1/09 - See last page for vote


           SUBJECT  :    Vessels:  abandonment:  abatement

           SOURCE  :     California Association of Harbor Masters and  
          Port Captains
                      California Marine Parks and Harbors Association
                      California State Sheriffs Association
                      California Yacht Brokers Association
                      Marina Recreation Association
                      Northern California Marine Association
                      San Francisco Baykeeper
                      Western Boaters Safety Group


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           DIGEST  :    This bill establishes a pilot program that  
          authorizes the sale of surrendered vessels prior to their  
          potential or eventual abandonment, and authorizes local  
          agencies to accept title of vessels from willing owners for  
          the purposes of disposal.

           Senate Floor Amendments  of 9/2/09 require any public agency  
          who receives a grant from the Abandoned Watercraft  
          Abatement Fund for the abatement, removal, and storage of  
          abandoned, surrendered, or wrecked watercraft, to report  
          information to the Department of Boating and Waterways  
          regarding the use of the funds.

           ANALYSIS  :    

          Existing law: 

          1. Holds the registered owner of an abandoned vehicle  
             responsible for the costs of abating and disposing of  
             the vehicle, and any other past due fees and penalties. 

          2. Authorizes the sale of a hulk, derelict, wreck, or parts  
             of a ship, vessel, or other watercraft sunk, beached, or  
             allowed to remain in an unseaworthy or dilapidated  
             condition upon publicly owned submerged lands, salt  
             marsh, or tidelands within corporate limits of a  
             municipal corporation or other public corporation or  
             entity having jurisdiction or control over those lands,  
             without its consent, for a period longer than 30 days  
             without a watchman or other person in charge of the  
             property. 

          3. Makes it an infraction with a minimum $500 fine and  
             maximum $3,000 fine for a person to abandon a vessel  
             upon a public waterway or public or private property  
             without the express or implied consent of the owner or  
             person in lawful possession or control of the property,  
             except for the urgent and immediate concern for the  
             safety of those aboard the vessel.  Provides that 80  
             percent of the money collected as fines shall be  
             deposited in the Abandoned Watercraft Abatement Fund  
             (AWAF).  Upon appropriation by the Legislature, money in  
             AWAF may be used for grants to be awarded by the  
             Department of Boating and Waterways (DBW) to local  

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             agencies for the abatement and removal of abandoned,  
             wrecked, and dismantled vessels or parts of those  
             vessels.  Grant funds are prohibited for use on  
             commercial vessels. 

          4. Authorizes wrecked property that is an unseaworthy  
             derelict or hulk, or abandoned property removed from a  
             navigable waterway, to be sold or otherwise disposed of  
             by the public agency that removed or caused the removal  
             of the property, subject to certain conditions,  
             including that the property has been appraised by  
             disinterested persons, and has an estimated value of  
             less than $2,000. 

          5. States the Legislature's intent that a maximum $1  
             million be appropriated from the Harbors and Watercraft  
             Revolving Fund to AWAF in each fiscal year and that  
             grantees provide a 10 percent match for use of AWAF  
             grant funds. 

          6. Requires DBW to establish an Abandoned Vessel Advisory  
             Committee to study ways to prevent the abandonment of  
             boats. 

          This bill:

          1. Establishes a new class of vessels called "surrendered  
             vessels" and authorizes the sale of them to local law  
             enforcement or harbor departments prior to them being  
             abandoned.  As defined, "surrendered vessels" means a  
             recreational vessel that the verified title holder has  
             willingly surrendered to a willing public agency under  
             both following conditions: 

             A.    The public agency has determined, in its sole  
                discretion, that the vessel is in danger of being  
                abandoned, and therefore has a likelihood of causing  
                environmental degradation or becoming a hazard to  
                navigation.
              
             B.    The decision to accept a vessel is based solely on  
                the potential of the vessel to likely be abandoned  
                and cause environmental degradation or become a  
                hazard to navigation. 

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          2. Increases the current fine amount for vessel  
             abandonments from $500 to $1,000. 

          3. Allows the use by local entities of grant funds from the  
             existing AWAF to dispose of the surrendered vessels.  As  
             a condition of receiving grant funding, a local agency  
             shall report to the department data relative to  
             abandoned and surrendered vessels.

          4. Authorizes surrendered vessels to be disposed of  
             immediately upon acceptance by a public agency and  
             exempts them from the provisions of transfer that must  
             be followed by abandoned vessels. 

          5. Requires DBW to track the number of surrendered vessels  
             accepted by a public agency for disposal under AWAF  
             grant funding over a two-year period from January 1,  
             2010, to January 1, 2013.  Requires DBW to report the  
             information, along with any recommendations to revise or  
             continue the pilot program, to the Assembly  
             Transportation Committee and the Senate Natural  
             Resources and Water Committee by July 1, 2013. 

          6. Sunsets on January 1, 2014. 

           Background
           
          DBW administers the Abandoned Watercraft Removal Program to  
          provide grants to local agencies to help pay the costs of  
          abatement, removal, storage, and disposal of abandoned,  
          wrecked, and dismantled vessels or parts of those  vessels  
          that pose navigational hazards on the public waterways.   
          This program is funded by AWAF.  

          Section 525 of the Harbors and Navigation Code prohibits a  
          vessel from being abandoned, except in emergencies, on  
          public waterways, public land, or private land.  Abandoned  
          vessels are an infraction and subject to a fine between  
          $500 and $3,000 plus the cost of removing and disposing of  
          the vessel.  Eighty percent of these fines are deposited in  
          AWAF.

          Section 526 authorizes wrecked property that is an  

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          unseaworthy derelict or hulk, or abandoned property removed  
          from a navigable waterway, to be sold or otherwise disposed  
          of by the public agency that removed or caused the removal  
          of the property, subject to certain conditions including  
          conditions on notification and property value.  

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

          According to the Senate Appropriations Committee:

                          Fiscal Impact (in thousands)

             Major Provisions                2009-10     2010-11     
             2011-12               Fund  

            DBW administration                                 
            $84Special*
            and reporting

            Cost pressure for             up to $500 per  
            yearSpecial*
            grant funds

             *   Abandoned Watercraft Abatement Fund, from the  
              Harbors and Watercraft Revolving Fund

           SUPPORT  :   (Verified  9/2/09)

          California Association of Harbor Masters and Port Captains  
          (co-source)
          California Marine Parks and Harbors Association (co-source)
          California State Sheriffs' Association (co-source)
          California Yacht Brokers Association (co-source)
          Marina Recreation Association (co-source)
          Northern California Marine Association (co-source)
          San Francisco Baykeeper (co-source)
          Western Boaters Safety Group (co-source)
          California Peace Officers' Association
          California Police Chiefs Association
          Cities of Newport Beach and Santa Barbara
          Contra Costa County Board of Supervisors
          Contractors Authority 
          Harbor Association of Industry and Commerce

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          Marin County Board of Supervisors
          Recreational Boaters of California
          Richardson's Bay Regional Agency (Marin County, Cities of  
            Belvedere, Mill Valley, Sausalito and Tiburon) 
          Sacramento County Sheriff's Department 
          San Francisco Bay Conservation and Development Commission 
          Santa Clara Valley Water District 
          Southern California Marine Association
          State Lands Commission
          State Water Project 


           ARGUMENTS IN SUPPORT  :    The author states, "There is an  
          overwhelming problem with abandoned vessels in California  
          and this bill will have a significant impact on that  
          problem by allowing more vessels to be disposed of with  
          fewer dollars by truncating the process and allowing  
          vessels to be destroyed before they are abandoned.  
          Abandoned vessels are usually doing harm to the environment  
          due to the leakage of oil and fuel into the water and can  
          become a hazard to navigation, making them a safety hazard.  
          Furthermore, once a vessel is abandoned, it is very  
          [expensive] to remove because they can be sunk or in some  
          other difficult circumstance."  


           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Arambula, Beall, Bill  
            Berryhill, Tom Berryhill, Blakeslee, Blumenfield,  
            Brownley, Buchanan, Caballero, Charles Calderon, Carter,  
            Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon,  
            DeVore, Duvall, Emmerson, Eng, Evans, Feuer, Fletcher,  
            Fong, Fuentes, Fuller, Furutani, Gaines, Galgiani,  
            Garrick, Gilmore, Hagman, Hall, Harkey, Hayashi,  
            Hernandez, Hill, Huber, Huffman, Jeffries, Jones, Knight,  
            Krekorian, Lieu, Logue, Bonnie Lowenthal, Ma, Mendoza,  
            Miller, Monning, Nava, Nestande, Niello, Nielsen, John A.  
            Perez, V. Manuel Perez, Portantino, Price, Ruskin, Salas,  
            Saldana, Silva, Skinner, Smyth, Solorio, Audra  
            Strickland, Swanson, Torlakson, Torres, Torrico, Tran,  
            Villines, Yamada, Bass
          NO VOTE RECORDED:  Block



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          CTW/RJG:mw  9/3/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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