BILL ANALYSIS �
Bill No: SB
152
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2011-2012 Regular Session
Bill Analysis
SB 152 Author: Pavley
Amended: March 10, 2011
Hearing Date: April 12, 2011
Consultant: Paul Donahue
SUBJECT : Public Lands: Private Recreational Piers
SUMMARY : Repeals a law that prohibits the State Lands
Commission from charging rent for specified private
recreational piers constructed for the use of an owner of
land adjacent to the shoreline of a lake, river or stream.
Existing law :
1) Grants the State Lands Commission (SLC) the authority to
fix the rental or other consideration for non-extractive
leases and permits on state lands under its jurisdiction.
2) Prohibits the SLC from charging rent for private
recreational piers constructed on state lands for the use
of an owner of property located adjacent to a state
waterway.
3) Requires a littoral residential landowner to pay the
expenses incurred by the SLC in issuing a permit for a
recreational pier located on private residential property.
4) Defines "littoral landowner" as (A) a person who owns
littoral land �directly adjacent to state waterways] used
solely for a single-family dwelling, or (B) any association
of persons or a nonprofit corporation that owns parcels of
land, each of which is zoned or used solely for
single-family dwellings.
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5) Defines a "recreational pier" as any fixed facility for
the docking or mooring of boats that is constructed for the
use of the littoral landowner.
6) Contains un-codified legislative findings and
declarations that substantial public benefit is derived
from the construction and maintenance of private
recreational piers on the waterways of the state, including
safe harbor for disabled vessels, safe anchorage during
sever weather conditions, elimination or retardation of
erosion along the shorelines of rivers.
7) Declares that, in providing for rent-free private
recreational piers, it is the intent of the Legislature to
encourage members of the public to construct the piers, at
no cost to the state, upon the navigable lakes, rivers and
streams of the state.<1>
This bill : Repeals this statute, and its associated
findings, declarations, and statements of legislative
intent concerning the law.
COMMENTS :
1) Tide and submerged lands : The state owns tide and
submerged lands for purposes of commerce, navigation,
recreation, fisheries, and the protection of natural
resources. These lands are held in public trust for the
benefit of the people of the state. State law allows the
SLC to lease state lands for various purposes, including
recreation. The proceeds from annual rent charged by the
SLC are deposited into the General Fund.
2) Littoral land : The rights of littoral landowners are
subordinate to the rights of the SLC in the exercise of its
trust powers over navigable waters.<2> Littoral land is
land located directly adjacent to state waterways, such as
streams, rivers and lakes. A littoral landowner has a right
in the shore adjacent to his or her property that is
separate and distinct from the rights of the general
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<1> In addition, the intent language provides that the
statements are declaratory of existing law. (Section 2 of
Chap. 4331, Stats. 1977)
<2> Marks v. Whitney (1971) 6 Cal.3d 1951
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public. A littoral owner has been held to have the right
to build a pier out to the line of navigability; a right to
accretion; a right to navigation (the latter right being
held in common with the general public); and a right of
access from every part of his or her frontage across the
foreshore. This right of access extends to ordinary low
tide both when the tide is in and when the tide is out.<3>
3) Purpose : The author has introduced this measure to
require owners of private recreational piers on state lands
to pay a fair rent for use of state lands. All commercial
uses of state lands, such as marinas, commercial piers or
floating restaurants presently pay rent for the use of
state lands. The author states that the rent-free
provisions of existing law that this bill seeks to repeal
create an arbitrary and unfair policy favoring residential
recreational piers.
The author states that this law should be repealed because
it is an unconstitutional gift of public land that
additionally contributes significant value to the
residential landowner's property, with no monetary benefit
to the state, and is a benefit bestowed on a special
category of private recreational pier owners.
4) State Lands Commission's viewpoint : The SLC writes that
rent equity has long been an issue of concern to the
Commission, which takes seriously its responsibility to
protect the public's interest by assessing appropriate
rents for all private and commercial use of state lands to
ensure a fair and equitable return to the General Fund on
private use of state trust property. The SLC objects to the
prohibition in existing law on charging rent for leases
issued for private recreational piers that benefit only an
arbitrary special class - the owners of single-family
dwellings. The SLC notes that in 1976 the Attorney General
opined that issuance of rent-free lease for a private
recreational pier was an unconstitutional gift of public
funds.<4> "While the Legislature responded to this opinion
by adopting findings to establish a public benefit, the
Commission does not believe that these findings have
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<3> Kendall v. Walker (2010) 181 Cal.App.4th 584
<4> Cal. Const., art XVI, � 6
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materialized to an extent to justify the exclusive use of
state property by private parties for no consideration. The
Committee should note that these piers not only offer a
recreational benefit to the landowner, but the presence of
these piers significantly add to the upland property's real
estate value, without providing any commensurate benefit to
the state."
5) Location of the piers : According to the SLC, most of
the recreational pier permits have been granted in 3
general areas - Lake Tahoe/Donner (nearly of all leases),
the Sacramento River Delta, and Huntington Harbor in Orange
County.
6) Proposed rental plan : The SLC states there are about
1250 recreational piers, buoys, and other mooring
structures that may be affected by passage of the bill.
The SLC estimates that it plans to charge about $1700
annually for each pier, buoy or mooring structure located
on or adjacent to residential lands, but it states that the
actual rent charged would be based on SLC regulations and
application of benchmark appraisals for the local area
involved.
The SLC states that the bill would not alter the rent-free
status of any existing lease contract until the lease is
renewed.<5> Recreational pier permits are 10 years in
duration.
7) Policy considerations : The policy question presented by
this bill is whether owners of private recreational piers
should pay rent for the use of state lands underlying their
piers or buoys, or should the Legislature in its discretion
continue to live by the declaration made by the Legislature
in 1977 that substantial public benefits are derived from
the 1955 law allowing private residential landowners to
maintain rent-free recreational piers on the waterways of
the state because these piers represent an important
addition to the waterways and recreation facilities of the
state.
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<5> Starting in 2008, however, the SLC included a provision
in its new and renewed leases providing that the SLC could
charge rent during the lease period if the Legislature
passed a law repealing the rent-free recreational permit
law applicable to private residential landowners.
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8) Prior legislation :
AB 1490 (Speier, 1991) . Would have required owners of
recreational piers to pay a fair market rental fee and the
SLC's expenses in issuing a lease. It also prohibited
transfers of leases of state tide and submerged lands for
private recreational piers. (Hearing in Senate Governmental
Organization Committee cancelled by the author)
SB 1017 (Sieroty, 1981 ). Would have required owners of
state lands on which private piers had been constructed to
pay rent to the State Lands Commission. (Failed passage in
Senate Governmental Organization Committee)
SB 349 (Nejedly, 1977) . Adopted legislative findings and
declarations that establish the public benefits derived
from private recreational piers. (Chap. 431, Stats. 1977)
SUPPORT: State Lands Commission (source)
OPPOSE: None on file
FISCAL COMMITTEE: Yes
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