BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 2664|
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                                 THIRD READING


          Bill No:  AB 2664
          Author:   Chesbro (D)
          Amended:  6/16/10 in Senate
          Vote:     21

           
           SENATE NATURAL RES. & WATER COMMITTEE  : 5-2, 6/9/10
          AYES:  Pavley, Kehoe, Lowenthal, Simitian, Wolk
          NOES:  Cogdill, Huff
          NO VOTE RECORDED:  Hollingsworth, Padilla

           SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

           ASSEMBLY FLOOR  :  69-1, 5/17/10 - See last page for vote


           SUBJECT  :    Public lands:  State Lands Commission:   
          violations

           SOURCE  :     State Lands Commission


           DIGEST  :    This bill prohibits certain activities on state  
          lands under the State Lands commissions (Commission)  
          jurisdiction without an applicable easement, lease, or  
          permit.  Subjects a violator to penalties and authorizes  
          the Commission to pursue an administrative action to obtain  
          legal remedies.

           ANALYSIS  :    

           Existing law
           
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          1. Establishes the Commission in the Natural Resources  
             Agency for the purposes of managing state lands,  
             waterways, and resources through economic development,  
             protection, preservation, and restoration.

          2. Provides that a person who trespasses on lands under the  
             jurisdiction of the Commission, including tidelands,  
             submerged lands, beds of navigable waters, and school  
             lands, without lawful authority is liable to the state  
             for damages assessed by a court in a civil action.

          3. Authorizes the Commission to "eject" from any tide and  
             submerged lands, beds of navigable channels, streams,  
             rivers, creeks, lakes, bays, and inlets under its  
             jurisdiction, any person, firm, or corporation,  
             trespassing upon any such lands, through appropriate  
             action in the courts of this state.  The Commission may  
             recover the costs of ejection through legal action.

          This bill:

          1. Prohibits a person from constructing, placing,  
             maintaining, owning, using, or possessing a structure or  
             facility on land under the Commission's jurisdiction  
             unless that person has obtained all applicable  
             easements, leases, or permits.

          2. Provides that a structure or facility includes, but is  
             not limited to, buildings, boat houses, docks, piers,  
             revetment, fill, pilings, pipelines, groins, jetties,  
             sea walls, breakwaters, and bulkheads.

          3. Subjects anyone who violates the above prohibition to a  
             penalty of not more than $1,000 a day or assessed a  
             monthly use and occupancy fee that is not more than 60%  
             higher than full fair market rental for each day that a  
             violation occurs.  In determining the penalty or fee,  
             the Commission must consider factors such as the  
             physical extent of the violation, the degree of  
             culpability of the violator, the degree of cooperation  
             of the violator, the record of the violator in  
             remediating a violation, and other relevant factors.

          4. Authorizes the Commission to enjoin a continuing  







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             violation and to require a violator to remove the  
             structure or facility at the violator's expense.  If the  
             violator refuses to remove the structure or facility, or  
             if the violator cannot be located, the Commission may  
             remove the structure or facility or take may take  
             ownership of it as a fixture.  The Commission may pursue  
             legal remedies to recover the removal costs from the  
             violator, including placing a lien on the assets of the  
             violator.

          5. Requires the Commission to obtain the bill's legal  
             remedies through administrative action or the Attorney  
             General (AG) through civil action.  If the AG prevails  
             in a civil action, the state must be awarded attorney's  
             fees and costs.

          6. Establishes due process requirements should the  
             Commission pursue a legal remedy via administrative  
             action including 30-day notice to an alleged violator.

          7. Authorizes the Commission to issue a final order if an  
             alleged violator fails to appear at the noticed hearing,  
             which may be scheduled as a regular calendar item at a  
             properly noticed Commission meeting.

          8. Provides a violator with an amnesty period of six months  
             from the bill's enactment to remedy the violation or to  
             submit a completed lease application with all fees and  
             costs to the Commission without being subject to a  
             penalty or fee.

          9. Contains various due process protections for persons  
             against whom the Commission seeks to impose  
             administrative action, including a hearing and a 30-day  
             notice period. 

          10.Exempts a telegraph or telephone corporation under  
             tanking specified action and a franchised cable  
             television corporation, limited to their usage of poles,  
             conduits, cables, wires, and associated appurtenances  
             under either their ownership or the ownership of an  
             electrical corporation from that penalty and fee.

           Background







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          The Commission is responsible for the management of all  
          ungranted tidelands and submerged lands owned by the State  
          and the beds of navigable waterways.  These lands must be  
          managed for the purposes of economic development,  
          protection, preservation, and restoration and in a manner  
          that is consistent with the public trust doctrine.  The  
          Commission is also responsible for the management of the  
          state's School Lands.

          Article 2 of Chapter 4 of Division 6 of the Public  
          Resources Code (commencing with Section 6301) authorizes  
          the Commission to allow an individual to construct jetties,  
          sea walls, breakwaters, and other such structures on,  
          across, or over state lands if the structures are  
          consistent with the public trust.  The commission may  
          collect fees and rent for the use of lands by the  
          structures.  Lease revenues are deposited into the General  
          Fund with the exception of revenues generated on the School  
          Lands, which are deposited into the Teachers' Retirement  
          Fund. 

          Under Section 6224.1, any person found trespassing on  
          commission lands is liable to the state for any damages  
          through a civil action.  Additionally, under Section 6302,  
          the Commission can eject trespassers through appropriate  
          action in the state's courts.  The Commission may recover  
          ejectment costs through legal action. 

          Section 6216.1 allows the Commission to remove manmade  
          structures on its lands.

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

           SUPPORT  :   (Verified  6/25/10)

          State Lands Commission (source)


           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          "The State Lands Commission is consistently in litigation  
          over cases that involve a person building a structure on  
          state lands without proper authorization or violating an  







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          application if they did request permission.  The  
          Commission's current recourse in the above situation is  
          generally limited to court action in which the state seeks  
          rent for the use of state lands and/or an order for the  
          structure to be removed.  In these cases, litigation can be  
          time consuming and expensive, especially when considering  
          the value of the remedies sought.  Additionally, this  
          recourse provides no deterrent against future trespasses  
          because the potential damages against a trespasser are more  
          or less equal to the cost of paying rent under a valid  
          lease."


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


          CTW:do  6/25/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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