BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 448|
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                                 THIRD READING


          Bill No:  SB 448
          Author:   Pavley (D)
          Amended:  4/13/09
          Vote:     21

           
           SENATE NATURAL RES. & WATER COMMITTEE  :  10-0, 4/14/09
          AYES:  Pavley, Cogdill, Hollingsworth, Huff, Kehoe, Leno,  
            Padilla, Simitian, Wiggins, Wolk
          NO VOTE RECORDED:  Benoit

           SENATE APPROPRIATIONS COMMITTEE  :  12-0, 4/27/09
          AYES:  Kehoe, Cox, Corbett, Denham, DeSaulnier, Hancock,  
            Leno, Oropeza, Runner, Walters, Wolk, Yee
          NO VOTE RECORDED:  Wyland


           SUBJECT  :    California State Safe Harbor Agreement Program  
          Act

           SOURCE  :     Defenders of Wildlife


           DIGEST  :    This bill creates a safe harbor program, under  
          which landowners could voluntarily enroll in a program to  
          protect endangered species on their property.  The  
          landowner would agree to provide a net conservation benefit  
          to endangered species over the lifetime of the agreement.   
          In return, the landowner would be allowed flexibility in  
          the management of his or her lands, including the authority  
          for the incidental "take" of endangered species.

           ANALYSIS  :    The state and federal endangered species acts  
                                                           CONTINUED





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          (ESA) generally provide a scientific basis for determining  
          the biological status of species that potentially face  
          extinction.  Although there are differences between the  
          federal and state acts, the overarching intent of both is  
          to regulate and impose mitigation activities on activities  
          that could contribute to the extirpation of species.  Under  
          the California ESA, species whose survival are imperiled  
          may be categorized as "endangered" or "threatened" or  
          "candidate" and once categorized, the "take" of those  
          species may be prohibited unless authorized by a permit  
          issued by the appropriate regulatory agency.  These permits  
          are called "incidental take" permits and authorize harm to  
          listed species that occurs "incidental" to other lawful  
          activities such as development, agriculture, and other  
          private and public sector activities. Mitigation  
          requirements are generally imposed on applicants for  
          incidental take permits.  In California, for species listed  
          under state law, that regulatory agency role belongs to the  
          Department of Fish and Game (DFG). 

          The determination whether to list a species based on a  
          review of appropriate scientific data is assigned to the  
          Fish and Game Commission. 

          The California ESA regulates the take of listed species in  
          several provisions. 

          The Fish and Game Code also authorizes voluntary programs  
          that encourage private landowners to undertake conservation  
          efforts for wildlife.  One program focuses on wetlands, and  
          one on waterfowl.  A third, federally funded, focuses on  
          landowner incentives. 

          Unlike the regulations adopted pursuant to the federal ESA,  
          the California ESA and its regulations do not explicitly  
          authorize "safe harbor" agreements that embody voluntary  
          agreements between landowners and the DFG for the  
          conservation of protected species. 

          DFG has begun using a provision in Section 2086 of the Fish  
          and Game Code to design safe harbor agreements in limited  
          circumstances.  By its own terms, Section 2086 authorizes  
          "voluntary local programs" only for agricultural  
          landowners.  Also, any incidental take of protected species  







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          must occur in the course of "routine and ongoing"  
          agricultural activities.  Such activities are defined in 14  
          CCR 786.1, a regulation adopted by DFG. 

          Section 2087 exempts the "accidental take" of listed  
          species resulting from acts that occur while farming or  
          ranching; but such take must also occur in the context of  
          "otherwise lawful and routine and ongoing agricultural  
          activities." 
          
          This bill enacts a California State Safe Harbor Agreement  
          Program Act that would be comparable to the safe harbor  
          programs administered by the federal wildlife agencies  
          under regulations adopted pursuant to the federal ESA. 

          This bill contains findings affirming that voluntary  
          programs that allow landowners to manage their lands in  
          ways that contribute to the conservation goals of  the  
          California ESA should be encouraged.  The program is  
          specifically intended to increase species populations,  
          create new habitats, and to enhance existing habitats.  An  
          additional purpose of the bill is not to subject  
          participating landowners to additional regulatory  
          restrictions as a result of their conservation efforts. 

          The obligations and benefits under this program are  
          reciprocal.  Landowners achieve much greater flexibility to  
          manage lands, are granted incidental take authority, and  
          assurances that no further regulatory requirements will be  
          imposed.  From a conservation perspective, the agreements  
          require the establishment of a scientific baseline.  Over  
          the duration of the agreement, the landowner will manage  
          his/her lands in order to provide a "net conservation  
          benefit" to the species.  When the agreement is terminated,  
          the species will be in a condition that is at least as good  
          as, and no worse than, baseline conditions. 

          Specific provisions in this bill include: 

          1. Baseline conditions will be established for the species  
             covered by the agreement.  DFG will establish or approve  
             the baseline, which will be based on objective  
             scientific methodologies.  The baseline habitat surveys  
             may be conducted by a non-DFG individual who has  







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             expertise with the species and who has been approved by  
             the DFG. 

          2. The program may be used by private landowners, federal  
             entities, and others.  At the conclusion of the  
             agreement, a "return to baseline" is authorized.  This  
             is defined as returning the species population or acres  
             of habitat to baseline, excluding catastrophic events  
             beyond the control of the landowner. 

          3. "Net conservation benefit" is defined as the results of  
             management activities that cumulatively improve the  
             condition of the species, but that exclude catastrophic  
             events generally outside the control of the landowner  
             such as floods and wildfires and that exclude adverse  
             effects attributable to the incidental take allowed by  
             the agreement. 

          4. To apply for a safe harbor agreement and to obtain  
             incidental take authority, a landowner must apply to the  
             DFG.  The DFG must find that the agreement will result  
             in a net conservation benefit to the species.  Any  
             incidental take must not jeopardize the continued  
             existence of the species as defined in Section 2080(c)  
             of the Fish and Game Code.  The DFG must establish a  
             monitoring program and determine that adequate funding  
             has been provided to the monitoring effort. 

          5. The landowner shall provide a map of the area that will  
             be covered, the species that are to be covered, a  
             description of the current and future management of the  
             lands that will be covered, the proposed duration of the  
             agreement, the proposed net conservation benefit that  
             will be achieved, the incidental take that may occur,  
             and a description of the monitoring program. 

          6. This bill provides for amendments to the agreements.   
             New landowners may assume the obligations of the  
             agreements, or withdraw from the agreements pursuant to  
             the terms of the agreement. 

          7. Landowners will notify the department when incidental  
             take may occur, when the landowner plans to return to  
             baseline, and if any transactions regarding ownership of  







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             the property occurred.  In each of these situations, DFG  
             retains the right to remove the species.  The DFG is  
             obligated to give notice to landowners of its intent to  
             undertake any such activities, and a process is  
             established through which landowners retain the right to  
             reject, three times, the individuals who DFG names to  
             access their land.  Should that happen, the fourth  
             designee by DFG would have access.  Failure by a  
             landowner to object within seven days is considered  
             consent.  

          8. The DFG is authorized to develop regulations on the  
             suspension and revocation of these agreements and other  
             provisions of the bill.  It is also authorized to  
             develop guidelines to incorporate safe harbor provisions  
             into its existing voluntary local program. 

          9. Landowners are to be provided seven days notice by DFG  
             when it intends to review the baseline, monitor the  
             agreement, or remove species proposed to be incidentally  
             taken.  The landowner may approve the individuals who  
             access the property.  The same landowner approval  
             process of DFG designees who would access the property  
             in #7 above are restated here. 

          10.This bill provides a mechanism for a consistency  
             determination to be made by DFG that can provide  
             coverage to a landowner who has a federal safe harbor  
             agreement. 

           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  

          Developing agreements         Unknown, probably less than  
          $100 per year                 Special*

          * Fish and Game Preservation Fund








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           SUPPORT  :   (Verified  4/29/09)

          Defenders of Wildlife (source)
          Audubon California
          California Outdoor Heritage Alliance
          Nature Conservancy


           ARGUMENTS IN SUPPORT  :    According to the author's office  
          and the bill's sponsor, it is important to create an  
          explicit authorization for a safe harbor program under  
          state law.  While federal agencies are actively engaged in  
          working with landowners in California to create safe harbor  
          agreements for federally listed species, landowners and DFG  
          are handicapped by the silence of state law on this matter.  
           The author's office believes that landowners would benefit  
          from the ability to work simultaneously with state and  
          federal wildlife agencies on safe harbor agreements for  
          species that may be listed under both statutes. 

          The author's office and bill's sponsor agree that Section  
          2086 provides limited authority to DFG to create "safe  
          harbor" provisions.  However, legislation is clearly needed  
          not only to provide certainty to landowners that DFG is  
          acting with complete authority, but also to establish a  
          conservation benchmark ("net conservation benefit") that is  
          not mentioned in Section 2086. 


          CTW:mw  4/29/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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