BILL ANALYSIS                                                                                                                                                                                                    �



                                                                 AB 1656
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         ASSEMBLY THIRD READING
         AB 1656 (Fong)
         As Amended  March 29, 2012
         Majority vote 

          NATURAL RESOURCES   6-3         LOCAL GOVERNMENT    9-0         
          
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         |Ayes:|Chesbro, Brownley,        |Ayes:|Smyth, Alejo, Bradford,   |
         |     |Dickinson, Huffman,       |     |Campos, Davis, Gordon,    |
         |     |Monning, Skinner          |     |Hueso, Knight, Norby      |
         |     |                          |     |                          |
         |-----+--------------------------+-----+--------------------------|
         |Nays:|Knight, Grove, Halderman  |     |                          |
         |     |                          |     |                          |
          ----------------------------------------------------------------- 
          APPROPRIATIONS      12-5                                        
          
          ----------------------------------------------------------------- 
         |Ayes:|Fuentes, Blumenfield,     |     |                          |
         |     |Bradford, Charles         |     |                          |
         |     |Calderon, Campos, Davis,  |     |                          |
         |     |Gatto, Ammiano, Hill,     |     |                          |
         |     |Lara, Mitchell, Solorio   |     |                          |
         |     |                          |     |                          |
         |-----+--------------------------+-----+--------------------------|
         |Nays:|Harkey, Donnelly,         |     |                          |
         |     |Nielsen, Norby, Wagner    |     |                          |
         |     |                          |     |                          |
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          SUMMARY  :  Expands the jurisdiction of the East Bay representative 
         on the San Francisco Bay Restoration Authority (Authority); 
         expands project eligibility to include the San Francisco Bay Area 
         (Bay Area); extends the sunset date for the Authority from 2029 to 
         2036.  Specifically,  this bill  :

         1)Expands the jurisdiction of the board member from the East Bay 
           to include all of Contra Costa County (currently limited to the 
           area west of the City of Pittsburg). 

         2)Expands project eligibility to include projects within all of 
           the Bay Area, rather than only the San Francisco Bay shoreline, 
           as defined. 









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         3)Extends the sunset for the Authority to January 1, 2036.  

          EXISTING LAW  : 

         1)Defines "San Francisco Bay" as "all areas that are subject to 
           tidal action from the south end of the bay to the Golden Gate 
           (Point Bonita-Point Lobos) and to the Sacramento River line (a 
           line between Stake Point and Simmons Point, extended 
           northeasterly to the mouth of Marshall Cut), including all 
           sloughs, and specifically, the marshlands lying between mean 
           high tide and five feet above mean sea level; tidelands (land 
           lying below mean low tide)."  

         2)Defines "San Francisco Bay Area" as "the area within the State 
           Coastal Conservancy's San Francisco Bay Area Conservancy 
           Program," as specified, and "includes the Counties of Alameda, 
           Contra Costa, Marin, Napa, San Francisco, San Mateo, Santa 
           Clara, Solano, and Sonoma."  

         3)Establishes the Authority to raise and allocate resources for 
           the restoration, enhancement, protection, and enjoyment of 
           wetlands and wildlife habitats in the San Francisco Bay and 
           along its shoreline; specifies that its jurisdiction extends 
           throughout the Bay Area. 

         4)Establishes a governing board for the Authority composed of 
           seven members, to be appointed by the Association of Bay Area 
           Governments: 

            a)   One member, who serves as chair, must be a resident of the 
              Bay Area with expertise in the implementation of the San 
              Francisco Bay Area Conservancy Program;

            b)   One member who is an elected official of a bayside city or 
              county in the North Bay, as defined; 

            c)   One member who is an elected official of a bayside city or 
              county in the East Bay, as defined; 

            d)   One member who is an elected official of a bayside city or 
              county in the South Bay, as defined; 

            e)   One member who is an elected official of a bayside city or 
              county in the West Bay, as defined; and,








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            f)   Two members who are elected officials of a bayside city or 
              county or regional park district, regional open-space 
              district, or regional park and open-space district, as 
              specified. 

         5)Authorizes the Authority to raise funding through a broad array 
           of measures, including levying a special tax, benefit 
           assessment, or property-related fee; pursuing grant funding; 
           issuing revenue bonds; and incurring bond indebtedness.  
           Specifies that the principal and interest of any bond 
           indebtedness be repaid before January 1, 2029.   

         6)Specifies that an eligible project shall do at least one of the 
           following: 

            a)   Restore, protect, or enhance tidal wetlands, managed 
              ponds, or natural habitats on the San Francisco Bay 
              shoreline; 

            b)   Build or enhance shoreline levees or other flood 
              management features that are part of a project to restore, 
              enhance, or protect the lands in (a); 

            c)   Provide or improve public access or recreational amenities 
              that are part of a project to restore, enhance, or protect 
              the lands in (a); 

         7)Requires regular auditing of the Authority's accounts and 
           records.  Requires the board to provide annual financial 
           reports.  

         8)Sunsets the Authority on January 1, 2029.  

          FISCAL EFFECT  :  According to the Assembly Appropriations 
         Committee:

         1)Negligible direct state costs.  (The Authority currently 
           receives administrative support from the Coastal Conservancy, 
           roughly equivalent to less than $50,000 annually.  However, the 
           Conservancy anticipates its administrative support of the 
           Authority to cease, or to be funded by contract, following 
           parcel tax measures the Authority is expected soon to place 
           before Bay Area voters.)








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         2)Substantial cost pressures, in the millions of dollars annually 
           starting in a future fiscal year, to fund wetlands and wildlife 
           habitat restoration, enhancement, protection, and recreational 
           activities. (GF, future resources bond proceeds.)

          COMMENTS  :  The San Francisco Bay is the second largest in the 
         nation and perhaps the most biologically significant estuary on 
         the Pacific Coast.  Approximately 500 species of fish and wildlife 
         call it home, 128 of them threatened or endangered like the 
         California clapper rail and salt marsh harvest mouse.  The Bay has 
         also suffered what is likely the most extensive degradation of any 
         estuary in the U.S.  Many years of filling, pollution, and alien 
         species invasions have taken a great toll on the ecosystem.  
         Today, only 20% of the Bay's original tidal marshes and wetlands 
         remain.  Despite these losses, however--or perhaps because of 
         them--the Bay is now a major center for a vibrant habitat 
         restoration movement.

         The Authority was established by AB 2954 (Lieber), Chapter 690, 
         Statutes of 2008, to restore shoreline wetland habitat around the 
         San Francisco Bay.  In 2007, Save the Bay released a report 
         proposing a broad framework to achieve a goal of 100,000 
         cumulative acres of wetlands in the Bay. The report estimated 
         costs of about $1.43 billion over 50 years to restore, monitor, 
         and maintain approximately 36,000 acres of wetlands that have 
         already been acquired, not including the costs of acquiring and 
         restoring an additional 22,912 acres.  AB 2954 implemented this 
         recommendation. 

         Previously, the Legislature created the San Francisco Bay Area 
         Conservancy Program (Program) in 1997 within the State Coastal 
         Conservancy.  Since then, it has helped develop and fund over 425 
         restoration and other projects, urban and rural, large and small, 
         in Bay and Delta waters, in streams and on land.  The Program has 
         lead or facilitated the restoration planning for four of the 
         largest restoration projects in the Bay totaling over 26,000 acres 
         and at a cost of over $1.2 billion.  

         According to the sponsor, current statute specifies that the 
         Authority's jurisdiction includes the entire San Francisco Bay 
         Area, including Contra Costa County.  However, the East Bay seat 
         on the governing board excludes the eastern portion of the county. 
          This bill expands the jurisdiction of the East Bay board member 








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         to include all of Contra Costa County.  

         This bill also expands the eastern boundary for eligible projects 
         to include all of the Bay-related shoreline in Solano and Contra 
         Costa counties.  The author states that important Bay restoration 
         opportunities have been identified on the eastern Solano and 
         Contra Costa county shorelines.  

         Additionally, this bill extends the sunset date for the Authority 
         from 2029 to 2036.  The sponsor indicates that revenue for 
         restoration project is not expected prior to 2015, and possibly as 
         late as 2017, depending on when a ballot measure passes.  Funding 
         from a ballot measure would continue to come in for 10 years.   
          

         Analysis Prepared by  :    Elizabeth MacMillan / NAT. RES. / (916) 
         319-2092 


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