BILL ANALYSIS                                                                                                                                                                                                    





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          |                                                                 |
          |         SENATE COMMITTEE ON NATURAL RESOURCES AND WATER         |
          |                   Senator Fran Pavley, Chair                    |
          |                    2009-2010 Regular Session                    |
          |                                                                 |
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          BILL NO: SB 539                    HEARING DATE: April 28, 2009   

          AUTHOR: Wiggins                    URGENCY: No  
          VERSION: April 2, 2009             CONSULTANT: Bill Craven  
          DUAL REFERRAL: No                  FISCAL: Yes  
          SUBJECT: Salmon and steelhead trout: California Ocean Protection  
          Trust Fund.  
          
          BACKGROUND AND EXISTING LAW
          The California Ocean Protection Council (OPC) was established by  
          the Ocean Protection Act (Act) that was passed in 2004. The OPC  
          is directed to coordinate the activities of the many state  
          entities that are involved in ocean-related activities and  
          conservation efforts. It consists of the Secretary of Resources,  
          the Secretary of Cal-EPA, the chair of the State Lands  
          Commission, and two public members appointed by the Governor.  A  
          legislator from each house serves as an ex officio member. 

          The central roles of the council are to establish ocean policy,  
          coordinate the activities of various state agencies that  
          implement policies that affect the ocean, and approving grants  
          of bond funds for scientific research.

          The Act also established the Ocean Protection Trust Fund. The  
          eligible uses of the trust fund include, but are not limited to,  
          expenditures that would result in water quality improvements,  
          habitat protection, the promotion of sustainable fisheries, and  
          other activities consistent with the Ocean Protection Act.
                    
          The Council was formed as a reaction to the Pew Oceans  
          Commission report and other national reports that called for a  
          coordinated state effort to address ocean and coastal resource  
          needs. 

          Since its inception, the Act directed the OPC to "foster  
          sustainable fisheries, [promote] value-added wild fisheries to  
          offset economic losses attributable to reduced fishing  
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          opportunities, and [create] revolving loan programs for the  
          purpose of implementing sustainable fishery projects." 

          In 2007, the Act was amended by AB 1280 (Laird) to add  
          eligibility for the Ocean Protection Trust Fund to make grants  
          or loans for the development and implementation of fishery  
          management plans developed pursuant to the Marine Life  
          Management Act of 1998.  

          The OPC is funded almost entirely through resource bond funds. 

          PROPOSED LAW
          This bill would further expand the eligible uses of the Ocean  
          Protection Trust Fund to include grants and loans to public  
          agencies or private entities that would assist in the  
          restoration of the native populations of salmon and steelhead  
          trout and the restoration of the state's salmon fishery. 

          These projects are specified in the bill and include:  
           Removing dams for the purpose of restoring salmon and  
          steelhead populations, including, but not limited to, dams on  
          the Klamath River, the San Clemente Dam on the Carmel River, the  
          Matilija Dam on the Ventura River, and the Rindge Dam on Malibu  
          Creek. 
            Removing blockages to fish passage in all of the 100 highest  
          priority streams, as identified in the CalFish database, a  
          cooperative multi-agency effort that includes California  
          Department of Fish and Game, National Marine Fisheries Service,  
          Department of Water Resources, CalTrans, the Coastal  
          Conservancy, and the Natural Resources Agency. 
           Characterizing streamflow requirements for the 100 highest  
          priority rivers and creeks for salmonid production and  
          enforcing, in these highest priority streams, adequate in-stream  
          flows for salmonid spawning, rearing, and fish passage on rivers  
          and creeks including actions to stop unlawful diversions,  
          adjudication of water rights, and ensuring sufficient resource  
          flows. 
           Characterizing the groundwater resources needed to ensure  
          adequate streamflows and authorizing the grantees and donors to  
          acquire land and water rights in key groundwater basins to
          reestablish flows.  
           Implementing water conservation technologies and developing  
          new water supplies, including, but not limited to, desalination,  
          offstream storage, and water reclamation in the highest priority
          groundwater basins. 

          ARGUMENTS IN SUPPORT
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          According to the author, while the Ocean Protection Council has  
          engaged in fisheries management issues, it has not yet focused  
          much attention on the collapse of California's salmon which is  
          not only a commercial disaster but indicative of a water-related  
          environmental disaster as well. 

          A recent report by CalTrout authored in part by Dr. Peter Moyle  
          from UC Davis said that the state's native salmonids are in  
          unprecedented decline and are teetering towards the brink of  
          extinction - an alarm bell that signals the deteriorating health  
          of the state's rivers and streams that provide drinking water to  
          millions of Californians. 


          The report concluded that: 


           If present trends continue, 65% of native salmon, steelhead,  
          and trout species will be extinct within 100 years. 


           Sixty-five percent of the species headed towards extinction  
          are found only in California. 


           Of the state's 22 anadromous fish species (which spawn in  
          freshwater and live most of their adult lives in the ocean), 59%  
          are in danger of extinction. 


          All of the species studied in the report support, or have  
          previously supported, major recreational and commercial  
          fisheries and provide enormous economic and cultural value to  
          Californians. And as shown in a report released in January 2008  
          by CalTrout, direct spending by anglers in the state on  
          fishing-related items and activities comes to over $2 billion  
          each year. 


          ARGUMENTS IN OPPOSITION
          None received






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          COMMENTS 
          While the Committee may determine that it is appropriate to add  
          salmon and steelhead restoration to the list of eligible  
          activities that the OPC may undertake or fund, the list of  
          activities now included in the text of the bill seems overly  
          broad and could potentially involve the OPC in regulatory  
          activities that have not been a part of the Ocean Protection Act  
          or the OPC workload. Simply adding salmon restoration as an  
          eligible activity at the OPC may be sufficient and would allow  
          the OPC to use its existing grant-making processes to consider  
          applications from interested applicants. 

          SUGGESTED AMENDMENTS 

               AMENDMENT 1  
               Page 4, line 16, delete "including projects" 
               Page 4, Delete lines 17-39
               Page 5, Delete lines 1-2. 
               

          SUPPORT
          Pacific Coast Federation of Fishermen's Associations

          OPPOSITION
          None Received





















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