BILL ANALYSIS                                                                                                                                                                                                    �






           SENATE TRANSPORTATION & HOUSING COMMITTEE       BILL NO: AB 292
          SENATOR MARK DESAULNIER, CHAIRMAN              AUTHOR:  Galgiani
                                                         VERSION: 5/27/11
          Analysis by:  Michelle Leinfelder                       
          FISCAL:YES
          Hearing date:  June 28, 2011



          SUBJECT:

          High-speed rail: agricultural lands

          DESCRIPTION:

          This bill requires the High-Speed Rail Authority (Authority) to 
          appoint a nine member agricultural advisory committee to consult 
          with prior to adopting any policy relevant to agriculture. 

          ANALYSIS:

          SB 1420 (Kopp), Chapter 796, Statutes of 1996, created the 
          Authority with a nine-member governing board, including five 
          members appointed by the governor, two members appointed by the 
          Senate Rules Committee, and two members appointed by the Speaker 
          of the Assembly.

          AB 3034 (Galgiani), Chapter 267, Statutes of 2008, authorized 
          the Safe, Reliable High-Speed Passenger Train Bond Act for the 
          21st Century (Proposition 1A).  The bill authorized $9.95 
          billion in general obligation bonds to support the Authority in 
          developing a high-speed rail system extending from San Diego to 
          Sacramento, with Phase I connecting Anaheim-Los Angeles Union 
          Station-Bakersfield-Fresno-San Jose-San Francisco Transbay 
          Terminal.  In November 2008, the people passed Proposition 1A.

           This bill:  

             1.   Requires the Authority to appoint a nine member 
               agricultural advisory committee for the purpose of advising 
               the Authority on the impact of their policies, plans, 
               practices, and procedures on the agricultural community. 

             2.   Requires the Authority to select members from a list of 
               nominees, recommended by the Secretary of Food and 
               Agriculture, who are active in a farming enterprise or in 




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               an agricultural or related trade organization and have 
               technical expertise in farm-related activities. 

             3.   Requires the Authority to consult with the agricultural 
               advisory committee prior to adopting any policy relevant to 
               agriculture, respond to any comments made by the committee, 
               and reflect the committee's comments in staff reports for 
               actions brought before the Authority board.
          


          COMMENTS:

          1.  Purpose  .  According to the author, this bill is a modest 
          proposal that will go a long way in                         
          helping the agricultural community and the Authority work 
          together in identifying and resolving potential impacts of the 
          high-speed rail project on agricultural lands.  This bill will 
          ensure that agricultural-related concerns are sufficiently 
          considered by the Authority prior to adopting any policy or 
          taking any action that would impact the agricultural community.  
          The                                                         
          agricultural community has been vocal about how the Authority's 
          choices for rail alignment    will impact prime agricultural 
          lands and family farming operations.  On September 2, 2010, 
          agricultural trade groups sent a letter to the Authority's board 
          raising concerns about the    proposed routes and the impacts on 
          agricultural lands.  In response to that letter and to the  
          concerns raised by Central Valley interests, a joint 
          informational hearing was held by the Assembly Select Committee 
          on High-Speed Rail and the Assembly Committee on            
          Agriculture to explore the impacts of high-speed rail on 
          agricultural lands.  At that hearing, the Authority's Chief 
          Executive Officer stated his intent to create an Agricultural 
          Leadership Committee and Agricultural Technical Committee to 
          advise the Authority on issues related to                   
          agricultural impacts.  This bill is the result of that hearing 
          and furthers the Authority's stated                         
          goal. 

          2.  Initial high-speed rail segment proposed for the Central 
          Valley  .  In addition to the $9.95      billion in state bond 
          funds from Proposition 1A, the Authority has also been awarded 
          approximately $3.9 billion from the federal government to 
          support the project.  The federal      government awarded this 
          money under the contingency that the project begin in the 




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          Central Valley.  Therefore, the Authority has elected to begin 
          construction on a roughly 120 mile     segment that extends from 
          just north of Fresno to Bakersfield.  The Department of     
          Transportation maintained this contingency for the use of 
          federal money despite a May 2011       recommendation by the 
          state's Legislative Analyst's Office that the Authority 
          reconsider where the project begin based on criteria that 
          optimizes potential statewide benefits.  The                
          Authority plans to make right-of-way purchases and begin 
          construction on the segment in         2012.

          3. Agriculture as a leading industry in California and the 
          Central Valley  .  California agriculture, on a whole, generates 
          nearly $35 billion in annual revenue.  The counties of Fresno, 
          Tulare,    Kern, and Merced are the top counties in agricultural 
          sales in the state and the nation, with sales exceeding $12 
          billion.  Considering both direct farm employment and indirect 
          employment in the agricultural industry, agriculture accounts 
          for 25% of the employment of           the Central Valley, with 
          every $1 billion in agricultural exports contributing to 27,000 
          jobs.

          4.  Concerns of the agricultural community over high-speed rail  .  
          Concerns of the agricultural           community include the 
          following:

                 Compensation.  Whether the Authority acquires the land 
               through negotiation or by condemnation, farmers do not know 
               whether they will be paid only for the value of the land or 
               also the future lost income from permanent crops, like 
               grapes, tree fruit, and nuts, which have production 
               lifespans of 40 or more years.  Aside from the business 
               implications of farmland loss and just compensation, there 
               can be intrinsic value tied to land that is a 
               multi-generational farm.
                 Farmland conversion.  The Authority has stated that, 
               based on a right-of-way width of 100 feet, high-speed rail 
               will remove from farm production approximately 20 acres per 
               mile of track.  Nevertheless, the potential for farmland 
               conversion should be realized as more than just what is 
               needed for right-of-way, as elaborated in points below. 
                 Diagonal cutting of parcels.  Proposed routes ignore 
               property lines, diagonally cutting parcels and rendering 
               some unfarmable. 
                 Irrigation systems.  Interrupted irrigation canals will 
               be costly to reconfigure because water currently travels by 




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               gravity pull.  Should the flow be interrupted, pumps will 
               be needed to deliver water to homes and farms.  
               Additionally, if wells are located on unfarmable parcels, 
               then new wells will be needed. 
                 Chemical applications.  According to law, chemical 
               applications must be applied at a wind speed of less than 
               10 miles per hour.  Should the speed of wind increase, a 
               farmer must wait until conditions are favorable to resume 
               spray applications.  Additionally, chemical drift to 
               passenger vehicles is prohibited by law; and thus, chemical 
               applications are often made at night or before dawn. 
               High-speed trains running day and night at 220 miles per 
               hour will present challenges for chemical applications 
               because of their frequency and speed of travel.
                 Bee pollination.  Permanent orchard crops require bee 
               pollination, but bees will only work under particular 
               temperature and wind conditions.  Fast trains could disrupt 
               bee activity, which would decrease pollination success and 
               cropping.

          5.  Double-referral  .  The Rules Committee referred this bill both 
          to the Transportation and              Housing Committee and to 
          the Agriculture Committee.  Therefore, if this bill passes this 
          committee, it will be referred to the Agriculture Committee.


          Assembly Votes:
               Floor:    70-4
               Appr: 12-5
               Trans:    14-0

          POSITIONS:  (Communicated to the Committee before noon on 
          Wednesday,                                             June 22, 
          2011)

               SUPPORT:  California Farm Bureau Federation

          
               OPPOSED:  None received.